# EDGAR Filing Document

**Accession Number:** 0001831096
**File Stem:** 0000950170-23-000059
**Filing Date:** 2023-1
**Character Count:** 689130
**Document Hash:** 727a37858dbae9b5db28522a2e519890
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000950170-23-000059.hdr.sgml**: 20230103

**ACCESSION NUMBER**: 0000950170-23-000059

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 30

**CONFORMED PERIOD OF REPORT**: 20221229

**ITEM INFORMATION**: Entry into a Material Definitive Agreement

**ITEM INFORMATION**: Completion of Acquisition or Disposition of Assets

**ITEM INFORMATION**: Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Other Events

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230103

**DATE AS OF CHANGE**: 20230103

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Great Elm Group, Inc.
- **CENTRAL INDEX KEY:** 0001831096
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-PREPACKAGED SOFTWARE [7372]
- **IRS NUMBER:** 853622015
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 0630

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-39832
- **FILM NUMBER:** 23503184

**BUSINESS ADDRESS:**
- **STREET 1:** 800 SOUTH STREET, SUITE 230
- **CITY:** WALTHAM
- **STATE:** MA
- **ZIP:** 02453
- **BUSINESS PHONE:** (617) 375-3006

**MAIL ADDRESS:**
- **STREET 1:** 800 SOUTH STREET, SUITE 230
- **CITY:** WALTHAM
- **STATE:** MA
- **ZIP:** 02453

?xml version="1.0" encoding="ASCII"? 8-K

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

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**FORM** 8-K

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**CURRENT REPORT** 

**Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934**

**Date of Report (Date of earliest event reported):** December 29, 2022

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Great Elm Group, Inc.

**(Exact name of Registrant as Specified in Its Charter)** 

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| | | |
|:---|:---|:---|
| Delaware | 001-39832 | 85-3622015 |
| (State or Other Jurisdiction<br>of Incorporation) | (Commission File Number) | (IRS Employer<br>Identification No.) |
| 800 South Street**,** Suite 230**,** Waltham**,** MA |  | 02453 |
| (Address of Principal Executive Offices) |  | (Zip Code) |

---

Registrant's Telephone Number, Including Area Code: **(**617**)** 375-3006

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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) 

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) 

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) 

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) 

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

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| | |
|:---|:---|
| &nbsp;&nbsp;Title of each class | &nbsp;&nbsp;Name of each exchange on which registered |
| &nbsp;&nbsp;Common stock, par value $0.001 per share<br> &nbsp;&nbsp;GEG | &nbsp;&nbsp;The Nasdaq Stock Market LLC**<br>(Nasdaq Global Select Market)** |
| &nbsp;&nbsp;7.25% Notes due 2027<br> &nbsp;&nbsp;GEGGL | &nbsp;&nbsp;The Nasdaq Stock Market LLC<br>**(Nasdaq Global Select Market)** |

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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

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. ☐

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**Item 1.01 Entry into a Material Definitive Agreement.**

Transactions with JPM

On December 30, 2022, Great Elm Group, Inc. ("GEG") and its wholly-owned subsidiary, Great Elm FM Acquisition, Inc. ("FM Acquisition"), entered into a stock purchase agreement (the "Stock Purchase Agreement") with J.P. Morgan Broker-Dealer Holdings Inc. ("JPM") to sell 61 shares of the common stock, $0.001 par value per share, of Forest Investments, Inc. ("Forest") owned by FM Acquisition and GEG, which shares constitute 61% of the issued and outstanding shares of Forest's common stock, to JPM for approximately $18.4 million in cash.

In connection with the Stock Purchase Agreement, GEG, JPM and Forest entered into an amended and restated stockholders' agreement (the "Stockholders Agreement"). Pursuant to the Stockholders Agreement, from January 17, 2023 until February 17, 2023, GEG may sell the remaining shares of Forest's common stock owned by GEG, which shares constitute 19% of the issued and outstanding shares of Forest's common stock, to Forest for fair market value (approximately $26.5 million in cash). If GEG exercises its put option to sell its remaining shares of Forest's common stock, the total consideration received by GEG in connection with the transactions contemplated by the Stock Purchase Agreement and the Stockholders Agreement is expected to be approximately $44.9 million in cash.

The transactions contemplated by the Stock Purchase Agreement and Stockholders Agreement closed simultaneously with their signing.

As a result of the transactions with JPM, GEG is expected to retain approximately $154 million of the net operating losses it held as of June 30, 2022, of which approximately $131 million are able to be used for taxable income in the fiscal year ending June 30, 2023 (other than gains resulting from the transactions with JPM) but expire on June 30, 2023.

This summary of the Stock Purchase Agreement and Stockholders Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Purchase Agreement attached as Exhibits 2.1 and 4.2 to this current report on Form 8-K, which are incorporated herein by reference.

Forest Note

In connection with the JPM transactions, on December 29, 2022, GEG and FM Acquisition issued a promissory note (the "Note") in favor of Forest in an aggregate principal amount equal to approximately $38.1 million, in exchange for the transfer to FM Acquisition of $3.3 million of Series A-1 preferred interests held by Forest in Great Elm Healthcare, LLC ("HC LLC") and $34.0 million of Series A-2 preferred interest held by Forest in HC LLC plus, in each case, accrued dividends thereon to the date of transfer.

This summary of the Note does not purport to be complete and is qualified in its entirety by reference to the full text of the Note attached as Exhibit 4.1 to this current report on Form 8-K, which is incorporated herein by reference.

Sale of HC LLC

On January 3, 2023, GEG's wholly-owned subsidiary, Great Elm DME Holdings, Inc., along with the minority owners of HC LLC, entered into an agreement (the "Purchase Agreement") with QHM Holdings, Inc., a subsidiary of Quipt Home Medical Corp. ("Quipt"), to sell 100% of the outstanding membership interests in HC LLC to Quipt for $80.0 million, consisting of approximately $72.8 million in cash, $5.2 million of indebtedness assumed by Quipt and $2.0 million in shares of Quipt common stock based on the 20 day volume weighted average price of Quipt's common stock for the period ending on and including the second business day prior to the closing of the transaction.

HC LLC specializes in the distribution of respiratory care equipment, including primarily positive air pressure equipment and supplies, ventilators and oxygen equipment and operates in Arizona, Nebraska, Kansas, Missouri, Oregon, Washington and Alaska. Wholly-owned subsidiaries include Advanced Medical DME, LLC; Alliance Home Care & Mobile Diagnostics, LLC; Focus Respiratory, LLC; Heartland Health Therapy, LLC; Northwest Medical, LLC; PM Sleep Lab, LLC; Rejuvenight, LLC; RTA Homecare, LLC and United Respiratory Services, LLC.

The transactions contemplated by the Purchase Agreement closed contemporaneously with its signing.

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This summary of the Purchase Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Purchase Agreement attached as Exhibit 2.2 to this current report on Form 8-K, which is incorporated herein by reference.

**Item 2.01 Completion of Acquisition or Disposition of Assets.** 

The information set forth in Item 1.01 above is incorporated by reference into this Item 2.01.

**Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.**

The information set forth in Item 1.01 above is incorporated by reference into this Item 2.03.

**Item 7.01 Regulation FD Disclosure.**

On January 3, 2023, GEG published a presentation related to the transactions with JPM and the sale of HC LLC. The presentation is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.

The foregoing information (including the Exhibit 99.3 hereto) is being furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.

**Item 8.01 Other Events.**

On January 3, 2023, GEG issued press releases announcing the transactions with JPM and the sale of HC LLC. Copies of the press releases are attached hereto as Exhibits 99.2 and 99.3, respectively, to this current report on Form 8-K and are incorporated herein by reference.

**Item 9.01 Financial Statements and Exhibits.**

(b) Pro forma financial information

The unaudited pro forma condensed consolidated financial information required by Item 9.01(b) of Form 8-K is attached hereto as Exhibit 99.4 and is incorporated herein by reference. The unaudited pro forma condensed consolidated balance sheet as of September 30, 2022 has been prepared to give effect to the sale of HC LLC and the transactions with JPM as if they had been completed on September 30, 2022. The unaudited pro forma condensed consolidated statements of operations for the three months ended September 30, 2022 and the fiscal years ended June 30, 2022 and 2021 have been prepared to reflect the sale of HC LLC as if it had been completed on July 1, 2020, the first day of GEG's earliest fiscal year presented, and the transactions with JPM as if they had been completed on July 1, 2021, the first day of the most recent fiscal year.

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(d) Exhibits.

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| | |
|:---|:---|
| **Exhibit**<br>**Number** | **Description** |
| 2.1\* | [<u>Stock Purchase Agreement, dated December 30, 2022, among Great Elm FM Acquisition, Inc., Great Elm Group, Inc. and J.P. Morgan Broker-Dealer Holdings Inc.</u>](geg-ex2_1.htm) |
| 2.2\* | [<u>Purchase Agreement, dated January 3, 2023, among Great Elm Healthcare, LLC, Great Elm DME Holdings, Inc. and QHM Holdings Inc.</u>](geg-ex2_2.htm) |
| 4.1\* | [<u>Promissory Note, dated December 29, 2022, among Great Elm FM Acquisition, Inc., Great Elm Group, Inc., and Forest Investments, Inc.</u>](geg-ex4_1.htm) |
| 4.2\* | [<u>Amended and Restated Stockholders Agreement of Forest Investments, Inc., dated December 30, 2022, among Forest Investments, Inc., Great Elm Group, Inc. and J.P. Morgan Broker Dealer-Holdings, Inc.</u>](geg-ex4_2.htm) |
| 99.1 | [<u>Presentation issued by Great Elm Group, Inc., dated January 3, 2023.</u>](geg-ex99_1.htm) |
| 99.2 | [<u>Transactions with JPM Press Release issued by Great Elm Group, Inc., dated January 3, 2023.</u>](geg-ex99_2.htm) |
| 99.3 | [<u>Sale of HC LLC Press Release issued by Great Elm Group, Inc., dated January 3, 2023.</u>](geg-ex99_3.htm) |
| 99.4 | [<u>Unaudited pro forma condensed consolidated financial statements of GEG for the years ended June 30, 2022 and 2021 and as of and for the three months ended September 30, 2022.</u>](geg-ex99_4.htm) |
| 104 | The cover page from this current Report on Form 8-K, formatted as inline XBRL. |

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\* Schedules and exhibits have been omitted pursuant to Item 601(a)(5) of Regulation S-K. GEG hereby undertakes to furnish supplementally a copy of any omitted schedule or exhibit upon request by the Securities and Exchange Commission.

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**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

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| | |
|:---|:---|
|  | **GREAT ELM GROUP, INC.** |
| Date: January 3, 2023 | /s/ Brent J. Pearson |
|  | By: Brent J. Pearson |
|  | Title: Chief Financial Officer |

---

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## Exhibit 2.1

**Exhibit 2.1**

**Execution Version**

**STOCK PURCHASE AGREEMENT**

 **by and among**

**GREAT ELM FM ACQUISITION, INC.,** 

**GREAT ELM GROUP, INC., and**

**J.P. MORGAN BROKER-DEALER HOLDINGS INC.** 

**Dated as of December 30, 2022**

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**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
| **ARTICLE I Purchase and sale** | **ARTICLE I Purchase and sale** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 1.01** | **Purchase and Sale** | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 1.02** | **Purchase Price** | 2 |
| **ARTICLE II CLOSING** | **ARTICLE II CLOSING** | **2** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 2.01** | **Closing** | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 2.02** | **Seller Closing Deliverables** | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 2.03** | **Buyer Closing Deliverables** | 3 |
| **ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING SELLERS AND THE COMPANY** | **ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING SELLERS AND THE COMPANY** | **3** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.01** | **Organization and Authority of Seller** | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.02** | **Organization, Authority and Qualification of the Company** | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.03** | **Capitalization** | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.04** | **No Subsidiaries; Investments** | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.05** | **No Conflicts; Consents** | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.06** | **Financial Statements; Accounts Receivable** | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.07** | **Undisclosed Liabilities** | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.08** | **Absence of Certain Changes, Events, and Conditions** | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.09** | **Material Contracts** | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.10** | **Real Property; Title to Assets** | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.11** | **Intellectual Property** | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.12** | **Insurance** | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.13** | **Legal Proceedings; Governmental Orders** | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.14** | **Compliance with Laws; Permits** | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.15** | **Taxes** | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.16** | **Investment Company** | 10 |

---

i

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.17** | **Employee Benefit Matters; Employment Matters** | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.18** | **Affiliate Transactions** | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.19** | **Foreign Corrupt Practices Act; Sanction Laws; Data Privacy** | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.20** | **Bank Accounts; Books and Records** | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.21** | **Brokers** | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 3.22** | **No Other Representations or Warranties of Buyer** | 12 |
| **ARTICLE IV REPRESENTATIONS AND WARRANTIES REGARDING BUYER** | **ARTICLE IV REPRESENTATIONS AND WARRANTIES REGARDING BUYER** | **12** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.01** | **Organization and Authority of Buyer** | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.02** | **No Conflicts; Consents** | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.03** | **Investment Purpose** | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.04** | **Legal Proceedings** | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.05** | **Solvency** | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.06** | **Brokers** | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 4.07** | **No Other Representations or Warranties of Sellers or the Company** | 14 |
| **ARTICLE V Covenants** | **ARTICLE V Covenants** | **14** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 5.01** | **Confidentiality** | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 5.02** | **Release** | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 5.03** | **Further Assurances** | 15 |
| **ARTICLE VI Tax matters** | **ARTICLE VI Tax matters** | **15** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.01** | **Tax Covenants** | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.02** | **Transfer Taxes** | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.03** | **Termination of Existing Tax Sharing Agreements** | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.04** | **Tax Indemnification** | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.05** | **Straddle Period** | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.06** | **NOL Reduction Indemnity** | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.07** | **No Section 336(e) or Section 338 Election** | 18 |

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ii

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.08** | **Cooperation and Exchange of Information** | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.09** | **Contests** | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.10** | **Withholding** | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.11** | **Certain Tax Liability Indemnification** | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 6.12** | **Survival** | 20 |
| **ARTICLE VII Indemnification** | **ARTICLE VII Indemnification** | **20** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 7.01** | **Survival** | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 7.02** | **Indemnification by Sellers** | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 7.03** | **Indemnification by Buyer** | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 7.04** | **Additional Provisions** | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 7.05** | **Indemnification Procedures** | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 7.06** | **Tax Claims** | 25 |
| **ARTICLE VIII Miscellaneous** | **ARTICLE VIII Miscellaneous** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.01** | **Expenses** | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.02** | **Notices** | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.03** | **Interpretation; Headings** | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.04** | **Severability** | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.05** | **Entire Agreement** | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.06** | **Successors and Assigns; No Third Party Beneficiaries** | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.07** | **Amendment and Modification; Waiver** | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.08** | **Governing Law; Submission to Jurisdiction; Waivers** | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.09** | **Equitable Remedies** | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.10** | **Waiver of Conflict; Attorney-Client Privilege** | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Section 8.11** | **Counterparts; Electric Transmission** | 30 |

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Exhibit A Form of Amended and Restated Stockholders Agreement

iii

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iv

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**STOCK PURCHASE AGREEMENT**

This Stock Purchase Agreement (this "**Agreement**") is entered into as of December 30, 2022, by and among Great Elm FM Acquisition, Inc., a Delaware corporation ("**GE FM**"**)**, Great Elm Group, Inc., a Delaware corporation ("**GEG**" and together with GE FM, "**Sellers**" and each of them individually, a "**Seller**"), and J.P. Morgan Broker-Dealer Holdings Inc., a Delaware corporation ("**Buyer**"). Capitalized terms used in this Agreement have the meanings given to such terms herein.

**RECITALS**

**WHEREAS**, as of the date hereof, Buyer owns 20 shares of the common stock, $0.001 par value per share (the "**Common Stock**"), of Forest Investments, Inc., a Delaware corporation (the "**Company**"), GEG owns 20 shares of Common Stock and GE FM owns 60 shares of Common Stock, which such shares constitute 20%, 20% and 60%, respectively, of the issued and outstanding shares of Common Stock;

**WHEREAS**, the Company, Buyer and Sellers are parties to that certain Stockholders Agreement, dated as of December 29, 2020 (the "**Stockholders Agreement**");

**WHEREAS**, (a) GE FM desires to sell to Buyer, and Buyer desires to purchase from GE FM, all 60 shares of Common Stock held by GE FM (the "**GE FM Shares**"), and (b) GEG desires to sell to Buyer, and Buyer desires to purchase from GEG, one share of Common Stock held by GEG (the "**GEG Share**" and together with the GE FM Shares, the "**Shares**"), in each case, on the terms and subject to the conditions set forth herein (the "**Sale**");

**WHEREAS**, following the consummation of the Sale, GE FM will own zero shares of Common Stock, GEG will own 19 shares of Common Stock and Buyer will own 81 shares of Common Stock, representing 0%, 19% and 81%, respectively, of the issued and outstanding shares of Common Stock; and

**WHEREAS**, (a) in connection with the Sale and effective as of the Closing, the Company, GEG and Buyer will amend and restate the Stockholders Agreement in the form attached hereto as <u>Exhibit A</u> (the "**Amended and Restated Stockholders Agreement**"), which sets forth the respective rights and obligations of the Company, Buyer and GEG following the Closing, and (b) immediately following the Closing, the Company and J.P. Morgan Chase & Co., a Delaware corporation and the parent company of Buyer ("**JPM Parent**"), will enter into a Tax Sharing Agreement in the form and substance agreed to by the parties (the "**Tax Sharing Agreement**").

**NOW, THEREFORE**, in consideration of the promises and the mutual benefits to be derived from this Agreement and the representations, warranties, covenants and agreements contained herein, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:

**ARTICLE I<br>Purchase and sale**

**Section 1.01 Purchase and Sale.** On the terms and subject to the conditions set forth herein, at the Closing, (a) GE FM shall sell to Buyer, and Buyer shall purchase from GE FM, all of the GE FM Shares, and (b) GEG shall sell to Buyer, and Buyer shall purchase from GEG, the GEG Share, in each case, free and clear of any mortgage, pledge, lien, charge, security interest, claim, community property interest, option, equitable interest, restriction of any kind (including any restriction on use, voting, transfer, receipt of income, or exercise of any other ownership attribute) or other encumbrance (each, an "**Encumbrance**"),

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except for any Encumbrances arising as a result of or under the terms of the Amended and Restated Stockholders Agreement ("**Permitted Encumbrances**").

**Section 1.02 Purchase Price.** Buyer agrees to purchase (a) the GE FM Shares from GE FM for cash in the total amount of $16,722,910.06 (the "**GE FM Purchase Price**") and (b) the GEG Share from GEG for cash in the total amount of $1,685,877.65 (the "**GEG Purchase Price**" and together with the GE FM Purchase Price, the "**Purchase Price**").

**ARTICLE II<br>CLOSING**

**Section 2.01 Closing.** The closing of the transactions contemplated by this Agreement, including the Sale (the "**Closing**"), shall take place simultaneously with the execution of this Agreement on the date of this Agreement (the "**Closing Date**") remotely by exchange of documents and signatures (or their electronic counterparts). The consummation of the Sale shall be deemed to occur at 12:01 a.m. Eastern time on the Closing Date.

**Section 2.02 Seller Closing Deliverables.** At the Closing, Sellers shall deliver or cause to be delivered to Buyer 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) the GE FM Shares, in book entry form, free and clear of all Encumbrances (other than Permitted Encumbrances), accompanied by stock powers or other instruments of transfer duly and validly executed in blank by GE FM;

&nbsp;&nbsp;&nbsp;&nbsp;&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 GEG Share, in book entry form, free and clear of all Encumbrances (other than Permitted Encumbrances), accompanied by stock powers or other instruments of transfer duly and validly executed in blank by GEG;

&nbsp;&nbsp;&nbsp;&nbsp;&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 certificate of the Secretary (or other officer) of the Company, certifying that attached thereto are true, correct and complete copies of the governing documents of the Company, including any amendments or restatements thereof, and that such governing documents are in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&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) resignations of the directors and officers of the Company, effective as of the Closing 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;(e) a good standing certificate (or its equivalent) for the Company from the secretary of state or similar Governmental Authority of the jurisdiction in which the Company is organized. The term "**Governmental Authority**" means any federal, state, local or foreign government, or political subdivision thereof, or any agency or instrumentality of such government or political subdivision, or any arbitrator, court or tribunal 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;(f) an IRS Form W-9 completed by each Seller in accordance with Treasury Regulations Section 1.1445-2(b)(2)(v);

&nbsp;&nbsp;&nbsp;&nbsp;&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) a counterpart signature page to the Amended and Restated Stockholders Agreement, duly and validly executed by GEG;

&nbsp;&nbsp;&nbsp;&nbsp;&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) evidence of the termination of the Management Agreement, dated as of December 29, 2020, by and between the Company and Great Elm DME Manager, LLC, a Delaware limited liability 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) an Amended and Restated Certificate of Designation of Series A Preferred Stock of the Company filed with the Secretary of State of the State of Delaware in a form agreed upon by the parties hereto (the "**Amended and Restated Certificate of Designation**");

&nbsp;&nbsp;&nbsp;&nbsp;&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) a copy of the Data Room (as defined below) in an electronic storage medium; 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;(k) all books and records of the Company, to the extent not consolidated with GEG.

**Section 2.03 Buyer Closing Deliverables.** At the Closing, Buyer shall deliver or cause to be delivered to Sellers 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) the Purchase Price, which Sellers hereby direct Buyer to pay to the Company on their behalf to be applied to the outstanding balance due under that certain Promissory Note dated as of December 29, 2022, issued by Sellers to the Company in the original principal amount of $38,104,000.00.;

&nbsp;&nbsp;&nbsp;&nbsp;&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) a counterpart signature page to the Amended and Restated Stockholders Agreement, duly and validly executed by Buyer and 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;(c) the Tax Sharing Agreement, duly and validly executed by JPM Parent and 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;(d) payment of the fees, costs and expenses of Sellers in accordance with <u>Section 8.01</u>, which shall be made by wire transfer of immediately available funds to an account designated in writing by GEG; 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) a counterpart signature page to a written consent of the holders of Series A Preferred Stock of the Company authorizing and approving the Amended and Restated Certificate of Designation.

The documents listed in <u>Section 2.02</u> and <u>Section 2.03</u>, together with this Agreement, are collectively referred to herein as the "**Transaction Documents**", and the transactions contemplated thereby, the "**Transactions**."

**ARTICLE III** **<br>REPRESENTATIONS AND WARRANTIES REGARDING SELLERS AND THE COMPANY**

Sellers represent and warrant, jointly and severally, to Buyer that the statements contained in this <u>ARTICLE III</u>3 are true and correct as of the date hereof except as set forth in the Disclosure Schedules. The term "**Disclosure Schedules**" means the disclosure schedules, attached hereto and made a part hereof, delivered by Sellers concurrently with the execution and delivery of this Agreement. The disclosures in any section or subsection of the Disclosure Schedules shall qualify other sections and subsections in this <u>ARTICLE III</u> where it is reasonably apparent that such disclosure relates to such other sections and subsections. For purposes of this 3ARTICLE III, "**Sellers' Knowledge**," "**Knowledge of Sellers**" and any similar phrases shall mean the actual knowledge of Adam Kleinman, Peter Reed or Brent Pearson, after due inquiry.

**Section 3.01 Organization and Authority of Seller.** Each Seller is a corporation duly organized, validly existing and in good standing under the Laws of the State of Delaware. Each Seller has full corporate power and authority to enter into this Agreement and the other Transaction Documents to which it is a party, to carry out its obligations hereunder and thereunder and to consummate the Transactions to

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which it is a party. The execution and delivery by each Seller of this Agreement and the other Transaction Documents to which it is a party, the performance by each Seller of its obligations hereunder and thereunder and the consummation by each Seller of the Transactions to which it is a party have been duly authorized by all requisite corporate action on the part of such Seller. Assuming due authorization, execution and delivery by the other parties hereto and thereto, this Agreement and each other Transaction Document to which each Seller is a party constitutes the legal, valid and binding obligation of such Seller enforceable against it in accordance with their respective terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or similar Laws affecting creditors' rights generally and by general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

**Section 3.02 Organization, Authority and Qualification of the Company.** The Company is a corporation duly organized, validly existing and in good standing under the Laws of the State of Delaware and has full corporate power and authority to own, operate or lease the properties and assets now owned, operated or leased by it and to carry on its business as it has been and is currently conducted. The Company is duly licensed or qualified to do business and is in good standing in each jurisdiction in which the properties owned or leased by it or the operation of its business as currently conducted makes such licensing or qualification necessary, except where the failure to be so licensed or qualified or in good standing would not individually, or in the aggregate, be reasonably likely to have a materially adverse effect on the business, results of operations, condition (financial or otherwise) or assets of the Company.

**Section 3.03 Capitalization.**

&nbsp;&nbsp;&nbsp;&nbsp;&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 authorized shares of the Company consist of (i) 5,000 shares of Common Stock, of which 100 shares are issued and outstanding (the "**Outstanding Common Shares**"), and (ii) 75,000 shares of preferred stock, $0.001 par value per share, of which 35,010 shares are issued and outstanding (the "**Outstanding Preferred Shares**" and together with the Outstanding Common Shares, the "**Outstanding Shares**"). All of the Outstanding Shares, including the Shares, have been duly authorized, are validly issued, fully paid and nonassessable and are owned of record and beneficially by the applicable holder as set forth in <u>Section 3.03(a)</u> of the Disclosure Schedules, free and clear of all Encumbrances (other than Permitted Encumbrances). GE FM has good, valid and marketable title to the GE FM Shares, and such GE FM Shares constitute all of the equity interests in the Company owned by GE FM. GEG has good, valid and marketable title to the GEG Share.

&nbsp;&nbsp;&nbsp;&nbsp;&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) All of the Shares were issued in compliance with applicable Laws. None of the Shares were issued in violation of any agreement or commitment to which a Seller or the Company is a party or is subject to or in violation of any preemptive or similar rights of any individual, corporation, partnership, joint venture, limited liability company, Governmental Authority, unincorporated organization, trust, association or other entity (each, a "**Person**").

&nbsp;&nbsp;&nbsp;&nbsp;&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) There are no outstanding or authorized options, warrants, convertible securities or stock appreciation, phantom stock, profit participation or other rights, agreements or commitments relating to the shares of the Company or obligating a Seller or the Company to issue or sell any shares of, or any other interest in, the Company. Except with respect to the Stockholders Agreement, there are no voting trusts, stockholder agreements, proxies or other agreements in effect with respect to the voting or transfer of any of the Shares.

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**Section 3.04 No Subsidiaries; Investments.** The Company does not have any subsidiaries, and, except for the investments set forth in <u>Section 3.04</u> of the Disclosure Schedules (the "**Investments**"), it does not own any equity interests in any Person. The Company is the record and beneficial owner and holder of the issued and outstanding equity interests ("**Investment Interests**") of each Investment set forth in <u>Section 3.04</u> of the Disclosure Schedules, and the Company has good, valid and marketable title to the Investment Interests, free and clear of Encumbrances, other than any Encumbrances imposed by the governing documents with respect to such Investments, if any. To Sellers' Knowledge, all of the Investment Interests were issued in compliance with applicable Laws and none of the Investment Interests were issued in violation of any agreement or commitment to which the Company is a party or is subject to or in violation of any preemptive or similar rights of any Person. From and after the initial entry into the Stockholders Agreement on December 29, 2020 by the Company and the stockholders thereto (the "**Investment Effective Time**"), the Company is and has been engaged solely in the business of holding equity interests of other Persons and has not engaged in any other business. <u>Section 3.04</u> of the Disclosure Schedules sets forth a complete and correct list of the equity interests (including subsidiary and minority interests) which have been divested or are no longer otherwise held by the Company from and after the Investment Effective Time (the "**Divested Interests**"). Neither the Company nor, to Sellers' Knowledge, any other party thereto is in breach of or default under (or is alleged to be in breach of or default under), the sale agreements related to the Divested Interests. None of the Company, Sellers nor their respective Affiliates have provided or received a notice of indemnification under the sale agreements related to the Divested Interests and no such Person is aware of any material Liability associated with the Divested Interests.

**Section 3.05 No Conflicts; Consents.** The execution, delivery and performance by each Seller of this Agreement and the other Transaction Documents to which it is a party, and the consummation of the Transactions to which it is a party, do not and will not: (a) violate or conflict with any provision of the certificate of incorporation, by-laws or other governing documents of such Seller or the Company; (b) violate or conflict with any provision of any statute, law, ordinance, regulation, rule, code, treaty or other requirement of any Governmental Authority (collectively, "**Law**") or any order, writ, judgment, injunction, decree, determination, penalty or award entered by or with any Governmental Authority ("**Governmental Order**") applicable to such Seller or the Company; (c) require any consent or declaration of, notice to or filing with any Governmental Authority other than pursuant to applicable securities laws; (d) require any consent, declaration, notice or filing under, violate or conflict with, result in the acceleration of or create in any Person the right to accelerate, terminate or modify any contract, lease, deed, mortgage, license, instrument, note, indenture, joint venture or any other legally-binding agreement, commitment or arrangement, whether written or oral (collectively, "**Contracts**"), to which such Seller or the Company is a party, by which such Seller or the Company is bound or to which any of their respective properties or assets are subject; or (e) result in the creation or imposition of any Encumbrance (other than Permitted Encumbrances) on any properties or assets of the Company, except, in the case of <u>clauses (b)</u>, <u>(c)</u>, <u>(d)</u> and <u>(e)</u>, where such (i) violation or conflict, (ii) failure to obtain any consent or declaration, provide any notice or make any filing or (iii) creation or imposition of an Encumbrance would not individually or in the aggregate, result in a materially adverse effect on the business, results of operations, condition (financial or otherwise) or assets of the Company.

**Section 3.06 Financial Statements; Accounts Receivable.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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) Attached as <u>Section 3.06</u> of the Disclosure Schedules are complete and accurate copies of the Company's unaudited financial statements consisting of (a) the balance sheet of the Company as at December 31, 2021 and the related statements of income and retained earnings, stockholders' equity and cash flows for the year then ended and (b) the balance sheet of the Company as at September 30, 2022 (the "**Balance Sheet**" and such date, the "**Balance Sheet Date**") and the related statements of operations and cash flows for the quarter then ended (the financial statements described in <u>clauses (a)</u> and <u>(b)</u>, together, the "**Financial Statements**"). The

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Financial Statements have been prepared in accordance with GAAP in all material respects, applied on a consistent basis throughout the periods involved, subject, in the case of the financial statements described in <u>clause (b)</u> above, to normal year-end audit adjustments and the absence of notes. The Financial Statements are based on the books and records of the Company and fairly present in all material respects the financial condition of the Company as at the respective dates they were prepared and the results of the operations of the Company for the periods indicated. The Company maintains a standard system of accounting established and administered in accordance with GAAP in all material respects.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company has no accounts receivable or notes receivable or amounts owing or payable to it, other than in respect of its Investments. The Company has no accounts payable or other amounts due by it, except for amounts due under the Management Agreement, which have been paid in full prior to the Closing.

**Section 3.07 Undisclosed Liabilities.** The Company has no material liabilities, obligations or commitments of any nature whatsoever, whether asserted, known, absolute, accrued, matured or otherwise (collectively, "**Liabilities**"), except: (a) those which are adequately reflected or reserved against in the Balance Sheet as of the Balance Sheet Date; and (b) those which have been incurred in the ordinary course of business consistent with past practice since the Balance Sheet Date.

**Section 3.08 Absence of Certain Changes, Events, and Conditions.** Since the Balance Sheet Date, except as set forth on <u>Section 3.08</u> of the Disclosure Schedules, the Company (a) has operated in the ordinary course of business consistent with past practice in all material respects and (b) there has not been, with respect to the Company, any change, event, condition or development that has had, or could reasonably be expected to have, individually or in the aggregate, a materially adverse effect on the business, results of operations, condition (financial or otherwise) or assets of the Company.

**Section 3.09 Material Contracts.** Other than the Contracts evidencing the Company's Investment Interests set forth on <u>Section 3.09</u> of the Disclosure Schedules and the Stockholders Agreement (collectively, the "**Material Contracts**"), the Company does not have any Contracts that are, or could reasonably be expected to be, individually or in the aggregate, material to the business, results of operations, condition (financial or otherwise) or assets of the Company. Each Material Contract is valid and binding on the Company in accordance with its terms and is in full force and effect. None of the Company or, to Sellers' Knowledge, any other party thereto, is in breach of or default under (or is alleged to be in breach of or default under) in any material respect, or has provided or received any notice of any intention to terminate, any Material Contract.

**Section 3.10 Real Property; Title to Assets.** The Company has no ownership or leasehold (or subleasehold) interest in any real property and, except as set forth on <u>Section 3.10</u> of the Disclosure Schedule, has not from and after the Investment Effective Time, owned, leased or subleased any interest in any real property. The Company has good and valid title to, a valid leasehold interest in or a valid license to use, all personal property and other assets reflected in the Financial Statements or acquired after the Balance Sheet Date. All personal property and other assets are free and clear of Encumbrances.

**Section 3.11 Intellectual Property.** The Company has no material Intellectual Property. The term "**Intellectual Property**" means any and all of the following in any jurisdiction throughout the world: (a) issued patents and patent applications; (b) trademarks, service marks, trade names and other similar indicia of source or origin, together with the goodwill connected with the use of and symbolized by, and all registrations, applications for registration and renewals of, any of the foregoing; (c) copyrights, including all applications and registrations for copyrights; (d) trade secrets, know-how, inventions (whether or not patentable) and other confidential and proprietary information and all rights therein; and (e) internet domain

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names and social media accounts and pages. The conduct of the Company's business as currently conducted and as conducted from and after the Investment Effective Time has not infringed, misappropriated or otherwise violated the Intellectual Property or other rights of any Person. There are no pending, or to Sellers' Knowledge, threatened claims of infringement, misappropriation or violation of Intellectual Property or other rights of any Person against the Company arising as a result of the conduct of the Company's business prior to the Investment Effective Time.

**Section 3.12 Insurance.** The Company has in effect, in all material respects, insurance policies concerning such casualties as would be reasonable and customary for companies similar to the Company. All such insurance policies are listed on <u>Section 3.12</u> of the Disclosure Schedules, except for such insurance policies covering the Company which are maintained, sponsored or held by a Seller.

**Section 3.13 Legal Proceedings; Governmental Orders.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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) There are no material claims, actions, causes of action, demands, lawsuits, arbitrations, inquiries, audits, notices of violation, proceedings, litigation, citations, summons, subpoenas or investigations of any nature, whether at law or in equity (collectively, "**Actions**"), pending or, to Sellers' Knowledge, threatened, against or by the Company or a Seller: (i) solely relating to or affecting the Company or any of the Company's properties or assets; or (ii) that challenge or seek to prevent, enjoin or otherwise delay the consummation of the Transactions. To Sellers' Knowledge, no event has occurred or circumstances exist that would be reasonably likely to give rise to, or serve as a basis for, any such 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;(b) There are no outstanding Governmental Orders against or solely relating to or affecting the Company or any of its properties or assets.

**Section 3.14 Compliance with Laws; Permits.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company has, from and after the Investment Effective Time, complied, and is now complying, with all Laws applicable to it or its business, properties or assets in all material respects.

&nbsp;&nbsp;&nbsp;&nbsp;&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) All permits, licenses, franchises, approvals, registrations, certificates, variances and similar rights obtained, or required to be obtained, from Governmental Authorities (collectively, "**Permits**") in order for the Company to conduct its business as currently conducted have been obtained and are valid and in full force and effect. <u>Section 3.14(b)</u> of the Disclosure Schedules lists all current Permits issued to the Company and no event has occurred that would reasonably be expected to result in the revocation or lapse of any such Permit.

**Section 3.15 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;(a) All returns, declarations, reports, information returns and statements and other documents relating to Taxes (including amended returns and claims for refund) (collectively, "**Tax Returns**") required to be filed by the Company on or before the Closing Date have been timely filed (taking into account any extensions of time to file such Tax Returns that were validly obtained). Such Tax Returns are true, correct and complete in all material respects. The Company has (i) paid all Taxes due and owing by the Company (whether or not shown on any Tax Return) or, where payment is not yet due, has established (or has had established on its behalf and for its sole benefit and recourse) in accordance with GAAP an adequate accrual for all Taxes through the end of the last period for which the Company ordinarily records items on its books, (ii) timely paid to the appropriate taxing authorities all estimated Tax payments necessary to avoid estimated Tax

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penalties and (iii) complied with all information reporting (and related withholding) and record retention requirements. The Company has not granted any extension for the assessment or collection of Taxes (other than pursuant to extensions of time to file Tax Returns obtained in the ordinary course of business) and no extensions or waivers of statutes of limitations have been given or requested with respect to any Taxes of the Company, in each case, in respect of any Taxes for which the applicable statute of limitations period remains open as of the date hereof. Seller has made available to Buyer copies of all income Tax Returns and examination reports of the Company and statements of deficiencies assessed against, or agreed to by, the Company, for all Tax periods ending on or after December 31, 2020. The term "**Taxes**" means all federal, state, local, foreign and other income, gross receipts, sales, use, production, ad valorem, transfer, franchise, registration, profits, license, lease, service, service use, withholding, payroll, employment, unemployment, estimated, excise, severance, environmental, stamp, occupation, premium, property (real or personal), real property gains, windfall profits, customs, duties or other taxes, fees, assessments or charges of any kind whatsoever, together with any interest, additions or penalties with respect 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;(b) The Company has withheld and paid all Taxes required to have been withheld and paid in connection with amounts paid or owing to any employee, independent contractor, creditor, customer, shareholder or other party and complied with all information reporting and backup withholding provisions of applicable Law. Each Person classified as an employee or independent contractor has been property classified 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;(c) No claim has been made by, and no written correspondence with respect to any prior claim has been received from, within the last three years, any taxing authority in any jurisdiction where the Company does not file Tax Returns that the Company is, or may be, subject to Taxes by that jurisdiction, which claim has not been withdrawn or fully paid or otherwise fully settled.

&nbsp;&nbsp;&nbsp;&nbsp;&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) There is no audit, investigation, claim, litigation or other proceeding pending by any taxing authority against the Company. No deficiencies for any Taxes have been proposed, asserted or assessed in writing against the Company which have not been withdrawn or fully paid or otherwise fully settled.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company has not been a member of an affiliated, consolidated, combined or unitary group (other than the consolidated group of which GEG is the common parent) and has no liability for the Taxes of any Person under Treasury Regulations Section 1.1502-6 or any similar provision of any federal, state, local or foreign Law, as a transferee or successor or by contract (other than a contract, the principal subject matter of which is not 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;(f) Except as set forth on <u>Section 3.15(f)</u> of the Disclosure Schedules, the Company will not be required to include any income by reason of the Transactions triggering deferred intercompany gains pursuant to Treasury Regulations Section 1502-13.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company has not suffered any reduction of its tax attributes described in either Treasury Regulations Section 1.1502-36 or Treasury Regulations Section 1.1502-28.

&nbsp;&nbsp;&nbsp;&nbsp;&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) There are no Encumbrances for Taxes (other than for current Taxes not yet due and payable) upon the assets 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;(i) No Seller is a "foreign person" as that term is used in Treasury Regulations Section 1.1445-2. The Company is not, nor has it been, a United States real property holding corporation

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(as defined in Section 897(c)(2) of the Code) during the applicable period in Section 897(c)(1)(a) 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;(j) The Company's U.S. federal net operating loss carryforwards that may be carried to the consolidated group of which Buyer is a member under Treasury Regulations Section 1.1502-21(b)(2)(ii)(A) ("**NOL Carryovers**") shall not be less than $617,790,385 (based on an interim closing of the books as of the close of business on the Closing Date), without regard to any limitations with respect to Buyer's utilization of such NOL Carryovers under the Internal Revenue Code of 1986 (the "**Code**"), or the Treasury Regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&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 NOL Carryovers are not limited by the application of Treasury Regulations Section 1.1502-28(a)(4) by reason of such NOL Carryovers being limited under the separate return limitation year ("**<u>SRLY</u>**") rules under Treasury Regulations Section 1.1502-21 (except for any application of the SRLY rules caused by a transaction involving Buyer or any member of the consolidated group of which Buyer is a member or any transaction following the Closing Date, including the Transactions).

&nbsp;&nbsp;&nbsp;&nbsp;&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) The Company has complied in all material respects with the provisions of the Code as necessary to avoid any redistribution, reapportionment, reallocation, recharacterization or adjustment pursuant to Section 482 of the Code or any similar provision of state, local or foreign Tax 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;(m) The Company has not engaged in any "reportable transaction" as defined in Treasury Regulation Section 1.6011-4(b) or in any transaction that is required to be reported under a similar provision of state, local or foreign 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;(n) The Company will not be required to include any item of income in, or to exclude any material item of deduction from, taxable income in any taxable period (or portion thereof) ending after the Closing Date as a result of (i) any installment sale or open transaction occurring prior to the Closing, (ii) any accounting method change or agreement with any Tax authority that is made prior to the Closing, (iii) other than in the ordinary course of business, any prepaid amount received prior to the Closing or (iv) any intercompany transaction occurring prior to the Closing or excess loss account described in Section 1502 of the Code (or any corresponding provision of state or local Tax Law) in existence prior to the Closing. The Company has not made an election under Section 965(h) of the Code to defer the payment of any "net tax liability" as such term is defined in Section 965(h)(6) 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;(o) The Company has not constituted a "distributing corporation" or a "controlled corporation" (within the meaning of Section 355(a)(1)(A) of the Code) in a distribution of shares intended to or purported to qualify for tax-free treatment under Section 355 of the Code in the two years prior to the date 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;(p) There are no closing agreements, private letter rulings, gain recognition agreements, technical advance memoranda or similar agreements or rulings that have been entered into or issued by any taxing authority in respect of any Tax matters with respect to the Company that will be binding on the Company following the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>Section 3.15(q)</u> of the Disclosure Schedule sets forth those taxable years for which examinations by taxing authorities are presently being conducted. Sellers have made available in the Data Room complete and accurate copies of all audit or examination reports with respect to any audit or examination by the U.S. Internal Revenue Service of the U.S. federal income Tax Return

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of the consolidated group of which GEG is the common parent for any taxable year of such consolidated group beginning on or after July 1, 2003. "**Data Room**" means the electronic data room established and maintained on behalf of Sellers and hosted by DropBox.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Except as set forth in <u>Section 3.15(r)</u> of the Disclosure Schedules, the Company is not subject to Tax (other than withholding Taxes imposed on dividends, interest or other similar income received by the Company), is not engaged in business and does not have a permanent establishment in any country other than the United States.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) The Company has since its formation been classified as a corporation for U.S. federal income Tax 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;(t) Notwithstanding anything in this Agreement to the contrary, except for the representations and warranties contained in <u>Section 3.15</u> with respect to NOL Carryovers (the sole indemnification for which shall be contained in <u>Section 6.01(e)</u> and <u>Section 6.06</u>), the use thereof or limitations thereon set forth in <u>Section 3.15(g)</u> and <u>Section 3.15(k)</u>, Sellers make no representation or warranty, directly or indirectly, (i) regarding any Taxes of the Company for any taxable period, or portion thereof, beginning on or after the Closing Date (a "**Post-Closing Tax Period**") and (ii) regarding the amount of, or the ability of Buyer (or any of its Affiliates, including the Company) to use in a Post-Closing Tax Period, any Tax attributes of the Company arising in a Pre-Closing Tax Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) Except for the representations and warranties set forth in this <u>Section 3.15</u>, Sellers do not make any other representation or warranty, directly or indirectly, with respect to Taxes.

**Section 3.16 Investment 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;(a) The Company is not required to be registered as an "investment company" within the meaning of the Investment Company Act of 1940 (the "**Investment Company Act**") and does not rely on the exemptions from registration set forth in Section 3(c)(1) or Section 3(c)(7) of the Investment Company Act.

&nbsp;&nbsp;&nbsp;&nbsp;&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) At all times that the Company has held any preferred equity interests in Great Elm Healthcare, LLC, a Delaware limited liability company ("**HC LLC**"), the Company has not been required to be registered as an "investment company" within the meaning of the Investment Company Act and has not relied on the exemptions from registration set forth in Section 3(c)(1) or Section 3(c)(7) of the Investment Company Act. The Company has taken the actions set forth in <u>Section 3.16(b)</u> of the Disclosure Schedules.

**Section 3.17 Employee Benefit Matters; Employment Matters.** The Company does not, in its own name, maintain any employee benefit plans (as defined in Section 3(3) of the Employee Retirement Income Security Act of 1974) for the benefit of any current or former employee, officer or director of the Company. The Company does not have, nor has it had from and after the Investment Effective Time, any employees or independent contractors. All operations of the Company are carried out through the Management Agreement.

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**Section 3.18 Affiliate Transactions.** Except as set forth in <u>Section 3.18</u> of the Disclosure Schedules, there are no Contracts involving the Company, on the one hand, and a Seller or any Affiliate of a Seller, on the other hand. "**Affiliate**" of a Person means any other Person that directly or indirectly, through one or more intermediaries, controls, is controlled by or is under common control with, such Person. "**Control**" (including the terms "controlled by" and "under common control with") means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting securities or other ownership interests, by contract or otherwise.

**Section 3.19 Foreign Corrupt Practices Act; Sanction Laws; Data Privacy.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 Investment Effective Time, neither the Company, nor any of its officers or directors, nor, to Sellers' Knowledge, any agent or other third party representative acting directly or indirectly on behalf of, or pursuant to a Contract with, the Company, has, directly or indirectly, made, offered, promised or authorized any payment or gift of any money or anything of value to or for the benefit of any "foreign official" (as such term is defined in the U.S. Foreign Corrupt Practices Act of 1977 (the "**FCPA**")), foreign political party or official thereof or candidate for foreign political office for the purpose of (i) influencing any official act or decision of such official, party or candidate, (ii) inducing such official, party or candidate to use his, her or its influence to affect any act or decision of a foreign governmental authority or (iii) securing any improper advantage, in the case of <u>clauses (i)</u>, <u>(ii)</u> and <u>(iii)</u> above, in order to assist the Company or any of its Affiliates in obtaining or retaining business for or with, or directing business to, any Person. From and after the Investment Effective Time, neither the Company, nor any of its officers or directors, nor, to Sellers' Knowledge, any agent or other third party representative acting directly or indirectly on behalf of, or pursuant to a Contract with, the Company, has made or authorized any bribe, rebate, payoff, influence payment, kickback or other unlawful payment of funds or received or retained any funds in material violation of any law, rule or regulation. Neither the Company nor, to Sellers' Knowledge, any of its officers or directors are the subject of any allegation, voluntary disclosure, investigation, prosecution or other enforcement action related to the FCPA or any other applicable anti-corruption 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;(b) Neither the Company, nor any of its officers or directors, nor, to Sellers' Knowledge, any agent or other third party representative acting directly or indirectly on behalf of, or pursuant to a Contract with, the Company, is currently, or from and after the Investment Effective Time has been: (i) a Sanctioned Person, (ii) organized, resident or located in a Sanctioned Country, (iii) engaging, directly or indirectly, in any dealings or transactions with any Sanctioned Person or in any Sanctioned Country or (iv) otherwise in violation of applicable Sanctions Laws in any material respect. "**Sanctioned Person**" means any Person that is the subject or target of sanctions or restrictions under Sanctions Laws or Ex-Im Laws, including: (A) any Person listed on any applicable U.S. or non-U.S. sanctions- or export-related restricted party list, including OFAC's Specially Designated Nationals and Blocked Persons List; and (B) any Person that is, in the aggregate, 50% or greater owned, directly or indirectly, or otherwise controlled by a Person or Persons described in <u>clause (i)</u>. "**Sanctions Laws**" means all U.S. and non-U.S. Laws, regulations and executive orders relating to economic or trade sanctions, including the Laws administered or enforced by the United States (including by OFAC or the U.S. Department of State) and the United Nations Security Council. "**OFAC**" means the United States Department of the Treasury Office of Foreign Assets Controls.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company is and has been from and after the Investment Effective Time in compliance in all material respects with all applicable Privacy Laws. "**Privacy Laws**" means all applicable laws governing the receipt, collection, use, storage, processing, sharing, security,

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disclosure or transfer of Personal Information and Confidential Data, or the security of the Company's Business Systems. "**Personal Information and Confidential Data**" means any information relating to an identified or identifiable natural person and any similar information or data regulated under applicable Privacy Laws. For purposes of this definition, an "identifiable natural person" is one who can be identified, directly or indirectly, in particular by reference to an identifier such as a name, an identification number, location data, an online identifier or to one or more factors specific to the physical, physiological, genetic, mental, economic, cultural or social identity of that natural person. "**Business Systems**" means all software, computer hardware (whether general or special purpose), electronic data processors, databases, communications, telecommunications, networks, interfaces, platforms, servers, peripherals and computer systems, including any outsourced systems and processes. No circumstance has arisen in which applicable Law would require the Company to notify a Governmental Authority or other third party of a data security breach.

**Section 3.20 Bank Accounts; Books and Records.** <u>Section 3.20</u> of the Disclosure Schedules sets forth a complete and correct list of the identity, location, account numbers and authorized signatories of (a) all bank accounts and lock boxes maintained by the Company at banks, trust companies, securities firms or other brokers or financial institutions and (b) all persons holding a general or special power of attorney granted by the Company, a complete and correct copy of which has been included in the Disclosure Schedules. From and after the Investment Effective Time, the minute books and share record and transfer books of the Company are true, correct and complete.

**Section 3.21 Brokers.** No broker, finder or investment banker is entitled to any brokerage, finder's or other fee or commission in connection with the consummation of the Transactions based upon arrangements made by or on behalf of a Seller or the Company.

**Section 3.22 No Other Representations or Warranties of Buyer.** Except for the representations and warranties expressly made by Buyer set forth in <u>ARTICLE IV</u>, each Seller acknowledges that neither Buyer nor any other Person on behalf of Buyer makes any other representation or warranty, express or implied, at law or in equity, with respect to Buyer, the Transactions or any other matter whatsoever, and each Seller (on behalf of itself and its Affiliates and its and their respective Representatives) hereby expressly disclaims any other representations or warranties, whether implied or made by Buyer or any other Person on behalf of Buyer.

**ARTICLE IV<br>REPRESENTATIONS AND WARRANTIES REGARDING BUYER**

Buyer represents and warrants to Sellers that the statements contained in this <u>ARTICLE IV</u> are true and correct as of the date hereof.

**Section 4.01 Organization and Authority of Buyer.** Buyer is a corporation duly organized, validly existing and in good standing under the Laws of the State of Delaware. Buyer has full corporate power and authority to enter into this Agreement and the other Transaction Documents to which it is a party, to carry out its obligations hereunder and thereunder and to consummate the Transactions to which it is a party. The execution and delivery by Buyer of this Agreement and the other Transaction Documents to which it is a party, the performance by Buyer of its obligations hereunder and thereunder and the consummation by Buyer of the Transactions to which it is a party have been duly authorized by all requisite corporate action on the part of Buyer. Assuming due authorization, execution and delivery by the other parties hereto and thereto, this Agreement and each other Transaction Document to which Buyer is a party constitutes the legal, valid and binding obligation of Buyer enforceable against it in accordance with their respective terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization,

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moratorium or similar Laws affecting creditors' rights generally and by general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

**Section 4.02 No Conflicts; Consents.** The execution, delivery and performance by Buyer of this Agreement and the other Transaction Documents to which it is a party, and the consummation of the Transactions to which it is a party, do not and will not: (a) violate or conflict with any provision of the certificate of incorporation, by-laws or other governing documents of Buyer; (b) violate or conflict with any provision of any Law or any Governmental Order applicable to Buyer; (c) require any consent or declaration of, notice to or filing with any Governmental Authority; (d) require any consent, declaration, notice or filing under, violate or conflict with, result in the acceleration of or create in any Person the right to accelerate, terminate or modify any Contract to which Buyer is a party, by which Buyer is bound or to which any of its properties or assets are subject; or (e) result in the creation or imposition of any Encumbrance (other than Permitted Encumbrances) on any properties or assets of the Company, except, in the case of <u>clauses (b)</u>, <u>(c)</u>, <u>(d)</u> and <u>(e)</u>, where such (i) violation or conflict, (ii) failure to obtain any consent or declaration, provide any notice or make any filing or (iii) creation or imposition of an Encumbrance would not prevent or be reasonably likely to materially delay or materially impede the consummation of the Transactions.

**Section 4.03 Investment Purpose.** Buyer is acquiring the Shares solely for its own account for investment purposes and not with a view to, or for offer or sale in connection with, any distribution thereof or any other security related thereto within the meaning of the Securities Act of 1933 (the "**Securities Act**"). Buyer acknowledges that Sellers have not registered the offer and sale of the Shares under the Securities Act or any state securities Laws and that the Shares may not be pledged, transferred, sold, offered for sale, hypothecated or otherwise disposed of except pursuant to the registration provisions of the Securities Act or pursuant to an applicable exemption therefrom and subject to state securities Laws and regulations, as applicable. Buyer is able to bear the economic risk of holding the Shares for an indefinite period (including total loss of its investment) and has sufficient knowledge, experience and expertise in business and financial matters to fully understand and evaluate the risks and merits associated with the Transactions. Buyer acknowledges that it is not in a disparate bargaining position with respect to this Agreement or the other Transaction Documents to which it is a party. Buyer has been represented or advised by advisors of its own choice that have assisted it in understanding the risks and merits associated with the Transactions. Buyer has received all the information it considers necessary or appropriate for deciding whether to enter into this Agreement and the other Transaction Documents to which it is a party and to consummate the Transactions, including the Sale. Buyer agrees to accept the Shares at the Closing based upon its own investigation, examination and determination with respect thereto as to all matters.

**Section 4.04 Legal Proceedings.** There are no material Actions pending or, to Buyer's knowledge, threatened, against or by Buyer that challenge or seek to prevent, enjoin or otherwise delay the consummation of the Transactions. To Buyer's knowledge, no event has occurred or circumstances exist that would be reasonably likely to give rise to, or serve as a basis for, any such Action.

**Section 4.05 Solvency.** Immediately after giving effect to the Transactions and assuming the representations and warranties regarding Sellers and the Company contained in this Agreement are true and correct in all material respects, Buyer and its subsidiaries (including, following the Closing, the Company) shall (a) be able to pay their respective debts as they become due and shall have adequate cash on hand and property which has a fair saleable value greater than the amounts required to pay their respective debts (including a reasonable estimate of the amount of all contingent liabilities) and (b) have adequate capital to carry on their respective businesses.

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**Section 4.06 Brokers.** No broker, finder or investment banker is entitled to any brokerage, finder's or other fee or commission in connection with the consummation of the Transactions based upon arrangements made by or on behalf of Buyer.

**Section 4.07 No Other Representations or Warranties of Sellers or the Company.** Except for the representations and warranties expressly made by Sellers set forth in <u>ARTICLE III</u>, Buyer acknowledges that none of Sellers, the Company or any Person on behalf of Sellers or the Company makes any other representation or warranty, express or implied, at law or in equity, with respect to Sellers, the Company, the Company's business or operations, the Shares, the Transactions or any other matter whatsoever, and Buyer (on behalf of itself and its Affiliates and its and their respective Representatives) hereby expressly disclaims any other representations or warranties, whether implied or made by Sellers, the Company, or any other Person on behalf of a Seller or the Company.

**ARTICLE V<br>Covenants**

**Section 5.01 Confidentiality.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 Closing, each Seller shall, and shall cause its directors, managers, officers, employees, consultants, counsel, accountants and other agents (collectively, "**Representatives**") to, keep confidential and not divulge any information (including all budgets, business plans and analyses) concerning the Company, including its assets, business, operations, financial condition or prospects (the "**Information**"); provided, that nothing herein shall prevent a Seller from disclosing Information that: (i) is or becomes generally available to the public other than as a result of a disclosure by a Seller or any of its Representatives in violation of this <u>Section 5.01</u>; (ii) is or becomes available to a Seller or any of its Representatives on a non-confidential basis prior to its disclosure by or on behalf of the Company to a Seller and any of its Representatives; (iii) is or has been independently developed or conceived by a Seller or any of its Representatives without use of the Information; (iv) becomes available to a Seller or any of its Representatives on a non-confidential basis from a source other than the Company or any of its stockholders, or any of their respective Representatives; provided, that such source is not known by the recipient of such Information, after reasonable inquiry, to be bound by a contractual, legal or fiduciary obligation of confidentiality to the Company; or (v) is disclosed in connection with (A) any dispute between the parties hereto regarding this Agreement or any other Transaction Document or the Transactions, (B) the defense of any claim by a third party, or (C) the exercise of the right to indemnification under <u>Section 7.03</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) If a Seller or any of its Representatives is compelled to disclose any Information by Governmental Order or Law, such Seller shall, to the extent legally permissible and as promptly as reasonably practicable, notify Buyer in writing so that Buyer may seek, at its sole cost and expense, an appropriate protective order or other reasonable assurance that confidential treatment will be accorded such Information, and such Seller shall disclose only that portion of such Information which is legally required to be disclosed. Such Seller shall reasonably cooperate with Buyer, at Buyer's sole cost and expense, upon Buyer's written request in seeking any such protective order or other reasonable assurances. Notwithstanding the foregoing, no such notice or cooperation shall be required where a disclosure is made by a Seller or any of its Representatives in connection with a routine audit or examination by a regulatory agency, bank examiner or auditor and such audit or examination does not specifically target the Information.

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**Section 5.02 Release.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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) Effective as of the Closing, each Seller (on behalf of itself and its Affiliates) hereby releases each Buyer Indemnitee, from any and all claims, and agrees not to bring or threaten to bring or otherwise join in any claim against any of the Buyer Indemnitees or any of them, relating to, arising out of or in connection with any facts or circumstances relating to the Company, the Company's business or operations (including with respect to the Management Agreement), the Shares or such Seller's status as a stockholder of the Company, in each case, which existed on or prior to the Closing; provided, however, that the foregoing shall not apply to any rights of a Seller arising under this Agreement, any other Transaction Document (including the Tax Sharing Agreement) or any rights of GEG under the Amended and Restated Stockholders 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) Effective as of the Closing, Buyer (on behalf of itself and its Affiliates) hereby releases each Seller Indemnitee, from any and all claims, and agrees not to bring or threaten to bring or otherwise join in any claim against any of the Seller Indemnitees or any of them, relating to, arising out of or in connection with any facts or circumstances relating to the Company, the Company's business or operations (including with respect to the Management Agreement) or Buyer's status as a stockholder of the Company, in each case, which existed on or prior to the Closing; provided, however, that the foregoing shall not apply to any rights of Buyer arising under this Agreement, any other Transaction Document (including the Tax Sharing Agreement) or any rights of Buyer under the Amended and Restated Stockholders Agreement.

**Section 5.03 Further Assurances.** Following the Closing, each of the parties hereto shall, and shall cause their respective Affiliates to, execute and deliver such additional documents and instruments and take such further actions as may be reasonably required to carry out the provisions hereof and give effect to the Transactions.

**ARTICLE VI<br>Tax matters**

**Section 6.01 Tax Covenants.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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) Buyer shall prepare, or cause to be prepared, at the Company's expense, all Tax Returns required to be filed by the Company with respect to any taxable period beginning on or before and ending after the Closing Date ("**Straddle Period**"); <u>provided</u>, that such Tax Return shall be prepared in a manner consistent with past practice (unless otherwise required by applicable Law), and, subject to <u>Section 6.01(c)</u>, Buyer shall provide a copy of any such Tax Return to Sellers at least 30 days prior to the filing due date of such Tax Return (taking into account extensions of time to file such Tax Return) and consider in good faith the reasonable comments of Sellers received within 15 days of delivering such Tax Returns related to a Straddle Period. Buyer shall cause the Company to timely file, and timely pay all Taxes shown as due and owing on, any Tax Return described in this <u>Section 6.01(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) Sellers shall prepare, or cause to be prepared, at Sellers' own expense all Tax Returns required to be filed by the Company after the Closing Date with respect to any taxable period ending on or before the Closing Date ("**Seller Prepared Returns**"). Any such Seller Prepared Return shall be prepared in a manner consistent with past practice (unless otherwise required by Law) and without a change of any election or any accounting method. At least 30 days prior to the filing due date, Sellers shall, subject to <u>Section 6.01(c)</u>, provide a copy of such Seller Prepared Returns (and the schedules related thereto) to Buyer and consider in good faith the reasonable comments of Buyer received within 15 days of delivering such Seller Prepared Returns. Buyer shall cause the

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Company to timely file, and timely pay all Taxes shown as due and owing on, any Tax Return described in this <u>Section 6.01(b)</u>, except, for the avoidance of doubt, any Tax Return of a consolidated, combined, unitary, affiliated Tax group of which a Seller is a member.

&nbsp;&nbsp;&nbsp;&nbsp;&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, (i) Seller shall not have the right to prepare, review or comment on any Tax Return of a consolidated, combined, unitary, affiliated Tax group of which Buyer is a member under <u>Section 6.01(a)</u> and (ii) Buyer shall not have the right to prepare, review or comment on any Tax Return of a consolidated, combined, unitary, affiliated Tax group of which Seller is a member under <u>Section 6.01(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;(d) Except as required by applicable Law or as otherwise required by this Agreement, from and after the Closing, Buyer shall not, and shall not permit the Company to: (i) file a Tax Return that is first due under applicable Law prior to the Closing in a jurisdiction where the Company has not previously filed Tax Returns; (ii) amend, refile or otherwise modify any Tax Return of the Company relating to a Pre-Closing Tax Period; (iii) enter into any voluntary disclosure Tax program, agreement or arrangement with any Governmental Authority that relates to the Taxes of the Company for any Pre-Closing Tax Period; (iv) cause or permit the Company to take any action on the Closing Date after the Closing that is outside the ordinary course of business; or (v) make any election that only has effect with respect to a Pre-Closing Tax Period, in each case, only if and solely to the extent that such action creates or increases (A) a Tax liability of a Seller or any of its Affiliates or (B) an indemnification obligation of a Seller for Taxes hereunder. Except as required by applicable Law, Buyer shall not, or permit any of its Affiliates to, carryback any losses from a taxable period beginning after the Closing Date to any consolidated, combined, unitary, affiliated Tax group of which a Seller is a member, and Buyer shall, and shall cause its Affiliates to, make any elections available under applicable Law to forego the right to carryback any such losses to any consolidated, combined, unitary, affiliated Tax group of which a Seller is a member.

&nbsp;&nbsp;&nbsp;&nbsp;&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) GEG hereby agrees to make an election under Treasury Regulations Section 1.1502-36(d)(6)(i)(A) (and under any comparable provisions of applicable state or local Law) to reduce each Seller's basis in the Shares in order to avoid any reduction in the Tax attributes of Company or any subsidiary pursuant to Treasury Regulations Section 1.1502-36 (and pursuant to any comparable provisions of applicable state or local Law). Sellers shall provide a copy of any election described in this <u>Section 6.01(e)</u> (together with reasonable supporting documentation setting forth any relevant calculations) to Buyer at least 15 days prior to the due date for such election and shall reflect any reasonable comments delivered by Buyer on such election. Notwithstanding anything to the contrary set forth in this Agreement, Sellers shall indemnify Buyer for any reduction in NOL Carryovers attributable to any breach or violation of the covenant under this <u>Section 6.01(e)</u> that arises as a result of the intentional action or gross negligence of Sellers or their respective employees or officers for an amount equal to the product of (i) the reduction in NOL Carryovers attributable to such breach or violation and (ii) the U.S. federal income tax rate under Section 11 of the Code, less any amount paid to the Company pursuant to the indemnification obligation of GEG under Section 6.05 of the Amended and Restated Stockholders Agreement, no more than ten (10) days after the final due date for the election described in this <u>Section 6.01(e)</u>. The indemnification under this <u>Section 6.01(e)</u> shall be subject to the limitations contained in <u>Section 7.04(a)(iv)</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) GEG, on behalf of its Affiliates, hereby agrees not to engage and to cause its Affiliates not to engage in any transaction on the Closing Date after the Closing that is outside the ordinary course of business (other than any transactions (i) contemplated by this Agreement or (ii) disclosed to Buyer or its Representatives on <u>Section 6.01(f)</u> of the Disclosure Schedules).

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**Section 6.02 Transfer Taxes.** Each of Buyer, on the one hand, and Sellers, on the other hand, shall be responsible for 50% of any transfer, documentary, sales, use, stamp, registration, duty, gross receipts, filing, recordation, excise, value added and other such Taxes and fees (including any penalties and interest thereon) incurred in connection with the Transactions ("**Transfer Taxes**"). The party hereto required by applicable Law to file any necessary Tax Returns with respect to any Transfer Taxes shall file such Tax Returns and pay all Transfer Taxes shown as due and owing on such Tax Returns; provided, that the non-paying party shall promptly reimburse the party paying for such non-paying party's share of the Transfer Taxes that are paid by the paying party. The parties hereto shall (a) use commercially reasonable efforts to reduce or eliminate any Transfer Taxes and (b) reasonably cooperate with respect to the filing of any Tax Returns relating to Transfer Taxes.

**Section 6.03 Termination of Existing Tax Sharing Agreements.** Any and all existing Tax sharing agreements (whether written or not) (other than (a) an agreement the principal subject matter of which is not Taxes and (b) the Tax Sharing Agreement) that are binding upon the Company shall be terminated as of the Closing Date. After such date, none of the Company, Sellers, nor any of Sellers' Affiliates or Representatives shall have any further rights or liabilities thereunder.

**Section 6.04 Tax Indemnification.** Sellers shall jointly and severally indemnify the Company, Buyer, JPM Parent and each Buyer Indemnitee (as defined in <u>Section 7.02</u>) and hold them harmless from and against any Losses (as defined in <u>Section 7.04(g)</u>) attributable to (a) any breach of or inaccuracy in any representation or warranty made in <u>Section 3.15</u> (determined without regard to any qualification or exception contained therein relating to materiality or similar qualification or standard); (b) any breach or violation of, or failure to fully perform, any covenant, agreement, undertaking, or obligation in <u>ARTICLE VI</u> other than as described in <u>Section 6.01(e)</u>; (c) all Taxes of the Company for all Pre-Closing Tax Periods (determined, in the case of a Straddle Period, in accordance with the methodology set forth in <u>Section 6.05</u>); (d) any Taxes imposed on the Company (or any predecessor of the Company) as a result of the Company (or its predecessor) being a member of an affiliated, consolidated, combined, or unitary group (including pursuant to Treasury Regulation Section 1.1502-6 or any comparable provisions of foreign, state or local Law); (e) any Taxes of any Person imposed on the Company arising under the principles of transferee or successor liability or by contract (other than a contract the principal subject matter of which is not Taxes), in each case described in this <u>clause (e)</u>, relating to an event or transaction occurring before the Closing Date. For the avoidance of doubt, this <u>Section 6.04</u> shall not apply to any Losses that arise as a result of the unavailability in any Post-Closing Tax Period of any tax attributes arising in a Pre-Closing Tax Period (including any unavailability that arises as a result of an adjustment to a Tax Return for a Pre-Closing Tax Period), including with respect to an NOL Reduction, with respect to which the terms of <u>Section 6.06</u> shall control. Notwithstanding anything in this <u>Section 6.04</u> to the contrary, Sellers shall not be responsible under this <u>Section 6.04</u> for any Losses to the extent that such Losses: (i) relate to any Taxes listed on <u>Section 6.04</u> of the Disclosure Schedules; (ii) arise from a breach by Buyer of any covenant or agreement contained in <u>Section 6.01(d)</u> or <u>Section 6.07</u>; (iii) relate to the portion of the Transfer Taxes that are the responsibility of Buyer under <u>Section 6.02</u>; or (iv) are indemnifiable under <u>Section 6.11</u>. The indemnification under this <u>Section 6.04</u> shall be subject to the Cap Amount contained in <u>Section 7.04(a)(i)</u> (but not the Basket). The term "**Pre-Closing Tax Period**" means any taxable period ending on or before the Closing Date and, with respect to any taxable period beginning before and ending after the Closing Date and with respect to a Straddle Period, the portion of such Taxable period ending on and including the Closing Date.

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**Section 6.05 Straddle Period.** In the case of Taxes that are payable with respect to any Straddle Period, the amount of any real property, personal property or similar ad valorem Taxes which are imposed on a periodic basis shall be determined ratably on a per diem basis, and the amount of any other Taxes that are allocable to the Pre-Closing Tax Period shall be determined based on an interim closing of the books of Company as of the Closing Date and, to the extent relevant, in accordance with the provisions of Treasury Regulations Section 1.1502-76(b)(1)(ii)(A) and (B) (and similar provisions of state, local or non-U.S. Law).

**Section 6.06 NOL Reduction Indemnity.** In the event that the Company and the consolidated group of which the Company will be a member following the Closing Date shall suffer a disallowance or reduction of the NOL Carryovers below $617,790,385, to the extent that such disallowance or reduction is attributable to (a) any breach of or inaccuracy in the representation or warranty made under <u>Section 3.15(g)</u> (but only to the extent relating to (i) any reduction to the NOL Carryovers under Treasury Regulations Section 1.1502-28 or (ii) a reduction to the NOL Carryovers under Treasury Regulations Section 1.1502-36 arising prior to the Closing Date as a result of a transaction (other than the Transactions) where a Seller (or any other member of the consolidated group of which GEG is the common parent) was the transferor of the applicable loss share), (b) any breach of the covenant contained in <u>Section 6.01(e)</u> (but only to the extent that such breach is not indemnifiable pursuant to <u>Section 6.01(e)</u>) or (c) any gain recognized by any member of the consolidated group of which GEG is the common parent (including, prior to the Closing, the Company) in the current taxable year of the consolidated group of which GEG is the common parent from any transaction made outside the ordinary course of business, the existence of which was not disclosed to Buyer or its representatives prior to the Closing (an "**NOL Reduction**"), Sellers shall, jointly and severally, indemnify Buyer and its Affiliates and hold them harmless on an after-tax basis for any such NOL Reduction for an amount equal to the sum of (a) $11,573,829.14 multiplied by a fraction, the numerator of which shall be the difference between (A) $617,790,385 and (B) the amount of NOL Carryovers after such NOL Reduction and the denominator of which shall be $617,790,385 and (b) any Losses (as defined in <u>Section 7.04(g)</u>) (excluding, for the avoidance of doubt, any Losses that are Taxes) that are attributable to such NOL Reduction. Notwithstanding anything in this <u>Section 6.06</u> to the contrary, Sellers shall not be responsible under this <u>Section 6.06</u> for any NOL Reduction to the extent that such NOL Reduction arises from a breach by Buyer of any covenant or agreement contained in <u>Section 6.01(d)</u> or <u>Section 6.07.</u> The indemnification under this <u>Section 6.06</u> shall be subject to the limitations contained in <u>Section 7.04(a)(ii)</u>.

**Section 6.07 No Section 336(e) or Section 338 Election.** None of Sellers, Buyer or any of their respective Affiliates shall make an election under Section 336(e) or Section 338 of the Code with respect to the Transactions.

**Section 6.08 Cooperation and Exchange of Information.** Sellers and Buyer shall provide each other with such cooperation and information as any of them reasonably may request of the other in filing any Tax Return (including any Tax Return filed pursuant to this <u>ARTICLE VI</u> or any Tax Return filed following the Closing by, or with respect to, the Company) or in connection with any proceeding in respect of Taxes of the Company, including providing copies of relevant Tax Returns, workpapers and accompanying memos, opinions and other relevant documents. Sellers and Buyer shall retain all Tax Returns and other documents in its possession relating to Tax matters of the Company for any Pre-Closing Tax Period (collectively, "**Tax Records**") until the expiration of the statute of limitations of the taxable periods to which such Tax Records relate. Within 30 business days after closing, Sellers shall provide Buyer with all Tax Records with respect to any Pre-Closing Tax Period that includes any loss or deduction that is reflected as net operating loss described in <u>Section 3.15(j)</u>. Furthermore, Sellers shall provide to Buyer a calculation of the amount of U.S. federal net operating loss carryforwards that may be carried to the consolidated group of which JPM Parent is the common parent under Treasury Regulations Section 1.1502-21(b)(2)(ii)(A) together with any additional detail supporting such calculation that is reasonably

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requested by Buyer as soon as reasonably practical upon such calculation and supporting detail becoming available to Sellers, but in any event no later than 30 business days prior to the due date for filing the consolidated U.S. federal income tax return of the consolidated group of which GEG is the common parent for the taxable year of such consolidated group that includes the Closing Date and consider in good faith the reasonable comments of Buyer received within 15 days of delivering such calculation and supporting detail. In addition, Sellers shall give Buyer access to personnel of Sellers involved in the tax compliance function and access to any outside advisors (including, if necessary, providing waivers of privilege or confidentiality). Notwithstanding anything to the contrary contained in this Agreement, none of Sellers, JPM Parent or Buyer, or any their respective Affiliates, shall be required to disclose any consolidated, combined, affiliated, unitary or other Tax Return which includes any information not pertaining to the Company; provided, that Sellers shall provide copies of any pro forma Tax Returns for the Company that is prepared on a separate company basis to the extent that such pro forma Tax Returns are in its possession.

**Section 6.09 Contests.** Buyer hereby agrees to give prompt written notice to Sellers of the receipt of any written notice by the Company or Buyer (and, in any event, not later than 20 days after receipt of such notice) which involves the assertion of any claim, or the commencement of any action or proceeding, which, if determined adversely to the Company or after a lapse of time, would be grounds for indemnification pursuant to this <u>ARTICLE VI</u> (a "**Tax Claim**"); provided, that the failure to comply with this provision shall not affect Buyer's right to indemnification hereunder except and only to the extent that Sellers forfeit rights or defenses by reason of such failure or a Seller is materially prejudiced as a result thereof. Buyer shall control the contest or resolution of any Tax Claim; provided, however, that Buyer shall (a) keep Sellers reasonably informed of all material developments with respect to such Tax Claim on a timely basis, (b) allow Sellers to participate in the defense of such Tax Claim and to employ counsel of its choice for such purpose, the fees and expenses of which shall be borne solely by Sellers, (c) consult with Sellers and offer Sellers a reasonable opportunity to comment before submitting any written materials prepared or furnished in connection with such Tax Claim to the extent such materials relate solely to such Tax Claim and (d) not settle or compromise any such Tax Claim without first obtaining the prior written consent of Sellers (not to be unreasonably withheld, conditioned or delayed). In the event of any conflict or overlap between the provisions of this <u>Section 6.09</u> and <u>Section 7.05</u>, the provisions of this <u>Section 6.09</u> shall control.

**Section 6.10 Withholding.** Buyer shall be entitled to deduct and withhold from the Purchase Price such amounts that Buyer is required to deduct and withhold with respect to any such deliveries and payments under the Code, any other applicable Tax Law or any other applicable Law requiring the amount deducted or withheld to be deposited with a governmental authority; provided that: (a) Buyer shall provide Sellers with notice (which shall include the authority, basis and method of calculation of the proposed deduction or withholding) as soon as reasonably practicable (and in any case at least two business days prior to making the deduction or withholding) upon becoming aware of any such requirement to deduct and withhold from any consideration otherwise payable to Sellers, and (b) the parties shall use their respective reasonable best efforts in seeking to reduce or eliminate any such withholding or deduction. To the extent that amounts are so withheld, and duly and timely deposited with the appropriate governmental authority, such withheld amounts shall be treated for all purposes of this Agreement as having been paid to the Person in respect of which such deduction and withholding was made.

**Section 6.11 Certain Tax Liability Indemnification.** Notwithstanding anything in this Agreement to the contrary, Sellers shall jointly and severally indemnify Buyer for any Losses (as defined in <u>Section 7.04(g)</u>, except solely for purposes of this <u>Section 6.11</u>, by computing such Losses as if the pro rata portion of the equity of the Company being sold hereunder was 80%) incurred by Buyer or any of its Affiliates to the extent that such Losses are attributable to the Taxes set forth in <u>Section 6.11</u> of the Disclosure Schedules; <u>provided</u>, that Sellers shall not be responsible under this <u>Section 6.11</u> for any Losses to the extent that such Losses arise from a breach by Buyer of any covenant or agreement contained in

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<u>Section 6.01(d)</u> or <u>Section 6.07</u>. The indemnification under this <u>Section 6.11</u> shall be subject to the limitation contained in <u>Section 7.04(a)(iii)</u> (but shall not be subject to the limitations set forth in <u>Section 7.04(a)(iv)</u>.

**Section 6.12 Survival.** Notwithstanding anything in this Agreement to the contrary, the provisions of <u>Section 3.15</u> and this <u>ARTICLE VI</u> shall survive for the full period of all applicable statutes of limitations (giving effect to any waiver, mitigation, or extension thereof) plus 90 days.

**ARTICLE VII<br>Indemnification**

**Section 7.01 Survival.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 the limitations and other provisions of this Agreement, the representations and warranties contained herein shall survive the Closing and shall remain in full force and effect until the date that is 15 months from the Closing Date; provided, however, that the representations and warranties contained in (i) <u>Section 3.01</u> (Organization and Authority of Sellers), <u>Section 3.02</u> (Organization, Authority and Qualification of the Company), <u>Section 3.03</u> (Capitalization), <u>Section 3.04</u> (No Subsidiaries; Investments), <u>Section 3.05</u> (No Conflicts; Consents) and <u>Section 3.21</u> (Brokers) (collectively, the "**Seller Fundamental Representations**") and (ii) <u>Section 4.01</u> (Organization and Authority of Buyer), <u>Section 4.02</u> (No Conflicts; Consents) and <u>Section 4.06</u> (Brokers) (collectively, the "**Buyer Fundamental Representations**") shall survive the Closing and shall remain in full force and effect until the date that is 6 years from the Closing Date. All covenants, agreements and obligations of the parties contained herein shall survive the Closing until the date on which the applicable covenant, agreement or obligation is fully performed in accordance with its 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;(b) Notwithstanding the terms of <u>Section 7.01(a)</u>, any claims for indemnification made pursuant to <u>Section 7.02</u> or <u>Section 7.03</u> in good faith which are timely asserted in writing by notice from the non-breaching party to the breaching party prior to the expiration date of the applicable survival period set forth in <u>Section 7.01(a)</u> shall not thereafter be barred by the expiration of the relevant representation, warranty, covenant, agreement or obligation, and such claim shall survive until finally 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;(c) The parties hereto specifically intend that the survival periods set forth in this <u>Section 7.01</u> shall replace any statute of limitations that would otherwise be applicable (including any statute of limitations prescribed by applicable Law).

**Section 7.02 Indemnification by Sellers.** Subject to the limitations and other provisions of this <u>ARTICLE VII</u>, from and after the Closing, Sellers shall jointly and severally indemnify and defend each of Buyer and its Affiliates (including, following the Closing, the Company) and their respective Representatives (collectively, the "**Buyer Indemnitees**") against, and shall hold each of them harmless from and against, and shall pay and reimburse each of them for any and all Losses incurred or sustained by, or imposed upon, the Buyer Indemnitees based upon, arising out of, with respect to or by reason 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 inaccuracy in, or breach of, any of the representations or warranties contained in <u>ARTICLE III</u> (other than (i) the Seller Fundamental Representations or (ii) the representations or warranties contained in <u>Section 3.15</u>, which shall be indemnifiable under <u>Section 6.04</u> or <u>Section 6.06</u>, 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;(b) any inaccuracy in, or breach of, any of the Seller Fundamental Representations; 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;(c) any breach or non-fulfillment of any covenant, agreement or obligation to be performed by a Seller pursuant to this Agreement (other than a covenant or agreement contained in <u>ARTICLE VI</u>, which shall be indemnifiable in accordance with the terms set forth in <u>ARTICLE VI</u>).

**Section 7.03** **Indemnification by Buyer.** Subject to the limitations and other provisions of this 20<u>ARTICLE VII</u>, Buyer shall indemnify and defend Sellers and their Affiliates and their respective Representatives (collectively, the "**Seller Indemnitees**") against, and shall hold each of them harmless from and against, and shall pay and reimburse each of them for, any and all Losses incurred or sustained by, or imposed upon, the Seller Indemnitees based upon, arising out of, with respect to or by reason 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 inaccuracy in, or breach of, any of the representations or warranties of Buyer contained in <u>ARTICLE IV</u> (other than the Buyer Fundamental Representations);

&nbsp;&nbsp;&nbsp;&nbsp;&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 inaccuracy in, or breach of, any of the Buyer Fundamental Representations; 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) any breach or non-fulfillment of any covenant, agreement or obligation to be performed by Buyer pursuant to this Agreement.

**Section 7.04 Additional Provisions.**

&nbsp;&nbsp;&nbsp;&nbsp;&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 rights to indemnification provided in <u>ARTICLE VI</u>, <u>Section 7.02</u> and <u>Section 7.03</u> shall be subject to the following limitations:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) In no event shall Sellers' aggregate indemnity obligations under <u>Section 6.04</u> and <u>Section 7.02(a)</u> exceed, in the aggregate, $2,761,318.16 (the "**Cap Amount**"). Sellers shall not be liable to the Buyer Indemnitees for indemnification under <u>Section 7.02(a)</u> until the aggregate amount of Losses in respect of indemnification under <u>Section 7.02(a)</u> collectively exceeds $184,087.88 (the "**Basket**"), in which event Sellers shall be required to pay or be liable for all Losses from the first dollar. For the avoidance of doubt, Sellers' indemnity obligations under <u>Section 6.04</u> shall not be subject to the Basket.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 no event shall Sellers' aggregate indemnity obligations under <u>Section 6.06</u> exceed $11,573,829.14.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 no event shall Sellers' aggregate indemnity obligations under <u>Section 6.11</u> exceed $505,600.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) In no event shall Sellers' aggregate indemnity obligations under this Agreement exceed the Purchase Price, without inclusion of any indemnity obligation under <u>Section 6.11</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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) In no event shall Buyer's aggregate indemnity obligations under <u>Section 7.03(a)</u> exceed the Cap Amount. Buyer shall not be liable to the Seller Indemnitees for indemnification under <u>Section 7.03(a)</u> until the aggregate amount of all Losses in respect of indemnification under <u>Section 7.03(a)</u> collectively exceeds the Basket, in which event Buyer shall be required to pay or be liable for all such Losses from the first dollar.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) In no event shall Buyer's aggregate indemnity obligations under this Agreement exceed the Purchase Price.

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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 any other provision hereof, none of the limitations set forth in <u>Section 7.04(a)</u> shall limit, in any manner, any remedy at law or equity to which any Person may be entitled as a result of Fraud. The term "**Fraud**" shall mean an actual and intentional misrepresentation of fact with respect to the making of the representations and warranties set forth in <u>ARTICLE III</u> or <u>ARTICLE IV</u>, as applicable; provided, that, in the case of any representation and warranty set forth in <u>ARTICLE III,</u> such misrepresentation shall only be deemed to exist if any of the individuals included in the definition of "Sellers' Knowledge" had actual knowledge that such representation and warranty was actually breached when made with the express intention that Buyer rely thereon to its detriment.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Following the Closing, except for (i) claims for indemnification made pursuant to <u>Section 7.02</u> or <u>Section 7.03</u> based upon Fraud and (ii) claims seeking equitable remedies made pursuant to <u>Section 8.09</u>, the parties hereto acknowledge and agree that their exclusive remedy with respect to any and all claims for any breach of any provision set forth in this Agreement shall be pursuant to the indemnification provisions set forth in <u>ARTICLE VI</u> or this <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;(d) Each Buyer Indemnitee and Seller Indemnitee, as the case may be, shall take, and shall cause its Affiliates and Representatives to take, all commercially reasonable steps to mitigate any Loss upon becoming aware of any event or circumstance that would be reasonably expected to or does give rise to such Loss, including using commercially reasonable efforts to incur costs only to the minimum extent necessary to remedy the breach that gives rise to such Loss. For the avoidance of doubt, this <u>Section 7.04(d</u>) shall not apply with respect to any indemnification obligations arising under <u>Section 6.01(e)</u> or <u>Section 6.06</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) The amount of Losses an Indemnifying Party would otherwise be required to indemnify the Indemnified Party under <u>ARTICLE VI</u> and this <u>ARTICLE VII</u> shall be reduced by (i) any insurance proceeds (net of any deductibles and any reasonable attorney's fees and other expenses actually incurred by the Indemnified Party in connection with such recovery) actually received by the Indemnified Party (excluding, for the avoidance of doubt, any self-insurance, risk management program or other funds set aside by such Person in connection therewith), and (ii) any Tax benefit (A) arising directly and solely in connection with the incurrence or payment of the applicable Loss and (B) that is actually recognized by the Indemnified Party or any of its Affiliates to reduce the amount of cash Taxes payable by the Indemnified Party or any of its Affiliates in the taxable year in which the indemnification payment was made, any preceding taxable year or the immediately succeeding taxable year; provided, that for this purpose, a Tax benefit will be considered actually recognized to reduce the amount of cash Taxes payable at the time that the applicable Tax Return is filed on which such reduction in Tax is taken into account to actually reduce the cash Tax liability of the Indemnified Party or its Affiliates, as determined on a with and without basis and as the last item taken into account (each of the items described in clauses (i) and (ii), a "**Recovery**").

&nbsp;&nbsp;&nbsp;&nbsp;&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) If an Indemnified Party who received a payment from or on behalf of an Indemnifying Party in connection with a claim for indemnification made pursuant to <u>ARTICLE VI</u> or <u>Section 7.02</u> subsequently receives a payment from a third party under any insurance policy, indemnification right or similar arrangement with respect to the Losses giving rise to such claim for indemnification, such Indemnified Party will promptly pay or cause to be paid to the Indemnifying Party an amount necessary to avoid any double recovery arising from such payments.

&nbsp;&nbsp;&nbsp;&nbsp;&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) For purposes of <u>ARTICLE VI</u> and this <u>ARTICLE VII</u>, "**Losses**" means any and all losses, damages, liabilities, Taxes, deficiencies, judgments, interest, awards, penalties, fines, costs and expenses (including reasonable attorney's fees and the cost of enforcing any right to

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indemnification under this Agreement) of whatever kind; provided, however, that "Losses" shall not include any special, exemplary, punitive or consequential Losses (unless such Losses are payable as a result of a Third Party Claim or as a result of a party's Fraud); provided, further, that to the extent any Loss is a Loss incurred or sustained by, or imposed upon, the Company, the aggregate amount of such Losses shall only include a portion of such Losses that corresponds to the pro rata portion of the equity of the Company being sold 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;(h) For purposes of determining whether there has been a breach of or inaccuracy in, a representation and warranty and the amount of Losses which are the subject matter of a claim for indemnification hereunder with respect to such breach or inaccuracy and for the purposes of calculating Losses, each representation and warranty in this Agreement shall be read without regard and without giving effect to the terms "material," "materially" or "material adverse effect" contained in such representation or warranty.

&nbsp;&nbsp;&nbsp;&nbsp;&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 all Tax purposes, amounts paid to or on behalf of any party hereto as indemnification under this Agreement shall be treated as adjustments to the Purchase Price unless otherwise required by applicable Law.

**Section 7.05 Indemnification Procedures.** The Buyer Indemnitee or Seller Indemnitee making a claim for indemnification pursuant to <u>Section 7.02</u> or <u>Section 7.03</u> (as applicable), is referred to herein as the "**Indemnified Party**," and the party against whom such claim is referred to herein as the "**Indemnifying 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;(a) **Third Party 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **Notice.** If an Indemnified Party receives notice of the assertion of any claim, or the commencement of any action or proceeding, made or brought by any Person who is not a party hereto or an Affiliate of a party hereto, or any of their respective Representatives (such claim, action or proceeding, a "**Third Party Claim**"), against such Indemnified Party with respect to which the Indemnifying Party is obligated to provide indemnification pursuant to <u>Section 6.06</u>, <u>Section 7.02</u> or <u>Section 7.03</u> (as applicable), such Indemnified Party shall give the Indemnifying Party prompt written notice thereof, but in any event, not later than 20 days after receipt of such notice of such Third Party Claim; provided, that if the Indemnifying Party is a Seller, such Indemnifying Party shall not have the right to defend or direct the defense of any such Third Party Claim that (A) seeks an injunction or other equitable relief against any Indemnified Party; (B) arises out of a criminal, governmental or regulatory investigation or proceeding; or (C) will result or is reasonably likely to result in Losses in excess of the Cap Amount (with respect to Third Party Claims arising out of an inaccuracy or breach of representation or warranty, other than a Seller Fundamental Representation or a Buyer Fundamental Representation) or the Purchase Price (with respect to any other Third Party Claim); and provided further that, that the failure by an Indemnified Party to comply with the foregoing shall not affect its right to indemnification under <u>Section 6.06</u>, <u>Section 7.02</u> or <u>Section 7.03</u> (as applicable), except and only to the extent that the Indemnifying Party forfeits rights or defenses by reason of such failure or such Indemnifying Party is materially prejudiced as a result thereof. Such written notice by the Indemnified Party shall describe the Third Party Claim in reasonable detail and shall indicate the estimated amount, if reasonably ascertainable, of the Loss that has been or may be sustained by the Indemnified Party in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) **Right to Defend.** Upon receipt of written notice of a Third Party Claim in accordance with <u>Section 7.05(a)(i)</u>, the Indemnifying Party, at its sole cost and expense

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and upon written notice to the Indemnified Party within 30 days after its receipt of such notice that acknowledges its obligation to indemnify the Indemnified Party under <u>Section 6.06,</u> <u>Section 7.02</u> or <u>Section 7.03</u> (as applicable), may assume the defense of any such Third Party Claim with the assistance of counsel reasonably satisfactory to the Indemnified Party; provided, that the Indemnifying Party shall (A) conduct the defense of such Third Party Claim actively and diligently, (B) keep the Indemnified Party apprised of all material developments, including settlement offers, with respect to such Third Party Claim and (C) permit the Indemnified Party to participate in the defense of such Third Party Claim with counsel selected by the Indemnified Party and retained at the Indemnified Party's sole cost and expense, subject to the Indemnifying Party's right to control the defense thereof. If the Indemnifying Party elects not to defend such Third Party Claim, fails to notify the Indemnified Party in writing of its election to defend in accordance with <u>Section 7.05(a)(i)</u> or fails to actively and diligently defend against such Third Party Claim, the Indemnified Party may, subject to <u>Section 7.05(a)(iv)</u>, pay, compromise or defend such Third Party Claim and seek indemnification against the Indemnifying Party for any and all Losses based upon, arising from or relating to such 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) **Cooperation.** With respect to any Third Party Claim, both the Indemnified Party and the Indemnifying Party shall keep the other reasonably informed of all material developments with respect to such Third Party Claim on a timely basis. The parties hereto agree to provide one another with reasonable access to any documents or information as may be reasonably requested in connection with the defense, negotiation or settlement of any such Third Party Claim; provided, however, that the parties hereto shall cooperate in such a manner as to preserve in full (to the extent possible) the confidentiality of the Information and the attorney-client and work-product privileges of the other parties. In connection therewith, each party hereto agrees that (A) it will use commercially reasonable efforts, in respect of any Third Party Claim in which it has assumed or participated in the defense, to avoid production of any Information (consistent with applicable Law) and (B) all communications between any party hereto and counsel responsible for or participating in the defense of any Third Party Claim shall, to the extent possible, be made so as to preserve any applicable attorney-client or work-product 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) **Settlement.** The Indemnifying Party or the Indemnified Party (as applicable) shall not enter into any settlement or compromise of any Third Party Claim, or permit a default or consent to entry of any judgment or admit any Liability with respect thereto, if it is not defending such Third Party Claim (the "**Non-Defending Party**" and the party defending such Third Party Claim, the "**Defending Party**") in accordance with this <u>Section 7.05</u>. The Defending Party shall not enter into any settlement or compromise of any Third Party Claim, or permit a default or consent to entry of any judgment or admit any liability with respect thereto, without the prior written consent of the Non-Defending Party (not to be unreasonably withheld, conditioned or delayed) unless such settlement, compromise or judgment (A) does not involve any liability or the creation of a financial or other obligation on the part of the Non-Defending Party, does not involve any finding or admission of any violation of Law or any violation of the rights of any Person or the admission of wrongdoing and would not have any adverse effect on other claims that may have been made against the Non-Defending Party, (B) does not involve any relief other than monetary damages that are paid in full by the Defending Party and (C) provides for the complete, final and unconditional release of the Non-Defending Party and its Affiliates from all liabilities in connection with such Third Party Claim and would not otherwise adversely affect the Non-Defending Party or its Affiliates.

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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) **Direct Claims.** Any assertion of any claim, or the commencement of any action or proceeding, by an Indemnified Party on account of a Loss that does not result from a Third Party Claim (a "**Direct Claim**") shall be asserted by the Indemnified Party by giving the Indemnifying Party prompt written notice thereof, but in any event, not later than 20 days after the Indemnified Party becomes aware of such Direct Claim; provided, that the failure by an Indemnified Party to comply with the foregoing shall not affect its right to indemnification under <u>Section 6.06</u>, <u>Section 7.02</u> or <u>Section 7.03</u> (as applicable), except and only to the extent that the Indemnifying Party forfeits rights or defenses by reason of such failure or such Indemnifying Party is materially prejudiced as a result thereof. Such written notice by the Indemnified Party shall describe the Direct Claim in reasonable detail and shall indicate the estimated amount, if reasonably ascertainable, of the Loss that has been or may be sustained by the Indemnified Party in connection therewith. The Indemnifying Party shall have 30 days after its receipt of such notice to respond in writing to such Direct Claim. If the Indemnifying Party does not so respond within such 30 day period, the Indemnifying Party shall be deemed to have acknowledged that it is fully liable for such Direct Claim.

**Section 7.06 Tax 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;(a) Notwithstanding any other provision of this Agreement, no Buyer Indemnitee shall be entitled to receive an indemnification payment pursuant to <u>ARTICLE VI</u> for any Losses, to the extent arising from or related to any Taxes (including any such claim in respect of a breach of the representations and warranties in <u>Section 3.15</u> hereof or any breach or violation of or failure to fully perform any covenant, agreement or obligation in <u>15</u><u>ARTICLE VI</u>) (other than as described in <u>Section 6.01(e)</u>) earlier than two days prior to the date the applicable Tax is due to the applicable Governmental Authority (it being understood, for the avoidance of doubt, that a Tax is not due or payable to the extent that such Tax may be contested prior to payment or deposit by the means selected by the Person entitled to control such Tax contest); provided, however, in the case of a Tax that is contested in accordance with the provisions of <u>Section 6.09</u> and for which a deposit or prepayment of the applicable Tax is not required in order to contest the applicable Tax, payment of the Tax to the appropriate Governmental Authority will be considered to be due no earlier than (i) the date such Tax is payable to the applicable Governmental Authority or (ii) the date of either (A) a closing or settlement agreement entered into with a Governmental Authority establishing the amount of such Taxes or (B) a final decision of a court of competent jurisdiction with respect to such Taxes that is not appealable or in respect of which the period for appeal has lapsed with respect to the applicable Tax. The procedures of this <u>Section 7.06(a)</u> shall not apply to the indemnity obligations under <u>Section 6.06</u>, which shall be governed by the procedures set forth in <u>Section 7.05</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 any other provision of this Agreement, the control of any claim, assertion, event, or proceeding in respect of Taxes of the Company (including, but not limited to, any such claim in respect of a breach of the representations and warranties in <u>Section 3.15</u> hereof or any breach or violation of or failure to fully perform any covenant, agreement, undertaking, or obligation in <u>15</u><u>ARTICLE VI</u>) shall be governed exclusively by this <u>Section 7.06</u> and <u>15</u><u>ARTICLE VI</u> hereof.

**ARTICLE VIII<br>Miscellaneous**

**Section 8.01 Expenses.** All costs and expenses incurred in connection with this Agreement and the Transactions shall be paid by the party incurring such costs and expenses; provided, however, that Buyer shall reimburse Sellers for their reasonable and documented legal fees, costs and expenses in an aggregate amount not to exceed $425,000.

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**Section 8.02 Notices.** All notices, requests, consents, claims, demands, waivers and other communications hereunder shall be in writing and shall be deemed to have been given (a) when delivered by hand (with written confirmation of receipt), (b) one Business Day after deposit with a nationally recognized overnight courier, specifying next day delivery, with written verification of receipt, (c) on the date sent by email if sent during normal business hours of the recipient, and on the next Business Day if sent after normal business hours of the recipient, or (d) on the third day after the date mailed, by certified or registered mail, return receipt requested, postage prepaid. Such communications must be sent to the respective parties hereto at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this <u>Section 8.02</u>):

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| | |
|:---|:---|
| &nbsp;&nbsp;**If to a Seller:** | &nbsp;&nbsp;Great Elm Group, Inc.<br>800 South Street, Suite 230<br>Waltham, MA 02453<br>Attention: Adam Kleinman<br>Email: akleinman@greatelmcap.com<br>|
| &nbsp;&nbsp;with a copy (which shall not constitute notice) to: | &nbsp;&nbsp;Shearman & Sterling LLP<br>2601 Olive Street, 17th Floor<br>Dallas, Texas 75201<br>Attention: Alain Dermarkar; Michael Walraven<br>Email: alain.dermarkar@shearman.com; michael.walraven@shearman.com<br>|
| &nbsp;&nbsp;**If to Buyer:** | &nbsp;&nbsp;J.P. Morgan Broker-Dealer Holdings Inc.<br>c/o JPMorgan Chase<br>JPM-Delaware Loan Operations <br>500 Stanton Christiana Road, Ops 2/ Floor 3<br>Newark DE 19713<br>Nicholas Rapak (mgr) 302-634-4961 <br>Email: nicholas.t.rapak@jpmorgan.com<br>Group Email Address: de_custom_business@jpmorgan.com<br>|
| &nbsp;&nbsp;with a copy (which shall not constitute notice) to: | &nbsp;&nbsp;J.P. Morgan Chase, N.A.<br>383 Madison Avenue<br>New York, NY 10179<br>Attention: Gillian L. Warmflash<br>Email: gillian.l.warmflash@jpmchase.com<br>Thompson & Coburn LLP<br>One US Bank Plaza<br>St. Louis, Missouri 63101<br>Attention: Michele Kloeppel<br>Email: mkloeppel@thompsoncoburn.com<br>|

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**Section 8.03 Interpretation; Headings.** Each party hereto confirms that both it and its counsel have reviewed, negotiated and adopted this Agreement as the joint agreement and understanding of the parties hereto and, therefore, this Agreement shall be construed without regard to any presumption or rule requiring construction or interpretation against the party hereto drafting an instrument or causing any instrument to be drafted. The headings in this Agreement are for reference only and shall not be deemed a part of or affect the interpretation of this Agreement. For purposes of this Agreement, (a) the words "include," "includes" and "including" shall be deemed to be followed by the words "without limitation";

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(b) the word "or" is not exclusive; and (c) the words "herein," "hereof," "hereby," "hereto" and "hereunder" refer to this Agreement as a whole. The definitions given for any defined terms in this Agreement shall apply equally to both the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. Unless the context otherwise requires, references herein: (i) to Articles, Sections and Exhibits mean the Articles and Sections of, and Exhibits attached to, this Agreement; (ii) to an agreement, instrument or other document means such agreement, instrument or other document as amended, supplemented and modified from time to time to the extent permitted by the provisions thereof; and (iii) to a statute or Law means such statute or Law as amended from time to time and includes any successor legislation thereto and any regulations promulgated thereunder. The Exhibits referred to herein shall be construed with, and as an integral part of, this Agreement to the same extent as if they were set forth verbatim herein.

**Section 8.04 Severability.** If any term or provision of this Agreement is held by a court of competent jurisdiction or other authority to be invalid, illegal or unenforceable, such invalidity, illegality or unenforceability shall not affect the enforceability or validity of any other term or provision of this Agreement. Upon such determination, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties hereto as closely as possible in order that the Transactions be consummated as originally contemplated to the greatest extent possible.

**Section 8.05** **Entire Agreement.** This Agreement (including the Disclosure Schedules and the Exhibits hereto) and the other Transaction Documents constitute the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained herein and therein, and supersede all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject matter. In the event of any inconsistency between this Agreement and the other Transaction Documents, this Agreement will control.

**Section 8.06 Successors and Assigns; No Third Party Beneficiaries.** This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and permitted assigns. No provision of this Agreement is intended to or shall be construed to grant or confer any right to enforce this Agreement or any remedy for breach of this Agreement to or upon any Person other than the parties hereto. No party hereto may assign its rights or obligations hereunder without the prior written consent of the other parties hereto, which consent shall not be unreasonably withheld, conditioned or delayed. No assignment permitted hereunder shall relieve the assigning party of any of its obligations hereunder.

**Section 8.07 Amendment and Modification; Waiver.** This Agreement may only be amended, modified or supplemented by an agreement in writing signed by each party hereto. No waiver by any party hereto of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the party so waiving. No waiver by any party hereto shall operate or be construed as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different character and whether occurring before or after such waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof. No single or partial exercise of any right, remedy, power or privilege hereunder shall preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege.

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**Section 8.08 Governing Law; Submission to Jurisdiction; Waivers.**

&nbsp;&nbsp;&nbsp;&nbsp;&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 and the rights of the parties hereto hereunder shall be interpreted in accordance with the laws of the State of Delaware, without giving effect to any conflicts of law principles. Each of the parties hereto agrees that if any dispute is not resolved by the parties hereto, it shall be resolved only in the Courts of the State of Delaware sitting in New Castle County or the United States District Court for the District of Delaware and the appellate courts having jurisdiction of appeals in such courts (collectively, the "**Proper Courts**"). In that context, and without limiting the generality of the foregoing, each of the parties hereto irrevocably and unconditionally: (i) submits for itself and its property in any action relating to any document delivered pursuant to this Agreement or for recognition and enforcement of any judgment in respect thereof, to the exclusive jurisdiction of the Proper Courts and agrees that all claims in respect of any such action shall be heard and determined in such court in the State of Delaware, to the extent permitted by Law, in such federal court; (ii) consents that any such action may and shall be brought in such courts and waives any objection that it may now or thereafter have to the venue or jurisdiction of any such action in any such court or that such action was brought in an inconvenient court and agrees not to plead or claim the same; (iii) agrees that service of process in any such action may be effected by mailing a copy of such process by registered or certified mail (or any substantially similar form of mail), postage prepaid, to such party at its address set forth in <u>Section 8.02</u>; and (iv) agrees that nothing in this Agreement or any document delivered pursuant to this Agreement shall affect the right to effect service of process in any other manner permitted by the laws of 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;(b) EACH PARTY HERETO HEREBY: (I) IRREVOCABLY WAIVES, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY ACTION DIRECTLY OR INDIRECTLY AT ANY TIME ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR THE TRANSACTIONS; (II) IRREVOCABLY WAIVES, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW, ANY RIGHT IT MAY HAVE TO CLAIM OR RECOVER IN ANY SUCH ACTION BY SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES (INCLUDING ANY LOST PROFITS), OR DAMAGES OTHER THAN, OR IN ADDITION TO, ACTUAL DAMAGES; (III) CERTIFIES THAT NO PARTY HERETO NOR ANY REPRESENTATIVE OR AGENT OR COUNSEL FOR ANY SUCH PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, OR IMPLIED THAT SUCH PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVERS; AND (IV) ACKNOWLEDGES THAT IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE TRANSACTIONS, AMONG OTHER THINGS, BY THE MUTUAL WAIVERS AND CERTIFICATIONS CONTAINED IN THIS <u>SECTION 8.08(b)</u>.

**Section 8.09 Equitable Remedies.** Each party hereto acknowledges that the other parties hereto may be irreparably damaged in the event of a breach or threatened breach by such party of any of its obligations under this Agreement and hereby agrees that, in the event of a breach or a threatened breach by such party of any such obligations, each of the other parties hereto shall, in addition to any and all other rights and remedies that may be available to them in respect of such breach, be entitled to seek an injunction from a court of competent jurisdiction (without any requirement to post bond) granting such parties specific performance by such party of its obligations under this Agreement.

**Section 8.10 Waiver of Conflict; Attorney-Client Privilege.** 

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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) Shearman & Sterling LLP ("**S&S**") has acted as counsel to Sellers, the Company and their respective Affiliates (the "**GEG Parties**") in connection with the negotiation, preparation, execution and delivery of this Agreement and the other Transaction Documents and the consummation of the Transactions. Buyer hereby, on behalf of itself and its Affiliates, (i) agrees that following the Closing, such representation and any prior representation of a GEG Party by S&S shall not preclude S&S from serving as counsel to any GEG Party in connection with any litigation, claim or obligation arising out of or relating to this Agreement, the other Transaction Documents or the Transactions, (ii) agrees not to seek or have S&S disqualified from any representation of a GEG Party based upon such representation or any prior representation of a GEG Party by S&S and (iii) consents to any future representation of a GEG Party by S&S and waives any conflict of interest arising from such representation and any prior representation of a GEG Party. Each party hereto acknowledges that the consent and waiver in this <u>Section 8.10(a)</u> is voluntary, that it has been carefully considered and that the parties hereto have consulted with counsel or have been advised they should do so in connection with the consent and waiver set forth in this <u>Section 8.10(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) All communications with or between any GEG Party, on the one hand, and S&S, on the other hand, solely relating to S&S's representation of any GEG Party on or prior to the Closing with respect to the negotiation, preparation, execution and delivery of this Agreement and the other Transaction Documents and the consummation of the Transactions (collectively, the "**Privileged Communications**"), shall be deemed to be subject to attorney-client privilege, and the expectation of client confidence relating to all such communications shall belong solely to Sellers and shall not pass to or be claimed by Buyer or its Affiliates (including, following the Closing, the Company). Accordingly, none of Buyer or its Affiliates (including, following the Closing, the Company) shall have access to any Privileged Communications or to the files of S&S relating to such representation from and after the Closing. Without limiting the generality of the foregoing, from and after the Closing, (i) Sellers (and not Buyer or any of its Affiliates (including, following the Closing, the Company)) shall be the sole holder of the attorney-client privilege with respect to such representation, (ii) to the extent that files of S&S in respect of such representation constitute property of the client, only Sellers (and not Buyer or any of its Affiliates (including, following the Closing, the Company)) shall hold such property rights, and (c) S&S shall have no duty whatsoever to reveal or disclose any such Privileged Communications or files to Buyer or any of its Affiliates (including, following the Closing, the Company) by reason of any attorney-client relationship between S&S and Buyer or any of its Affiliates (including, following the Closing, the Company) or otherwise. Notwithstanding the foregoing, in the event that a dispute arises between the Company, on the one hand, and a third party, including Buyer, on the other hand, the Company and its Affiliates may assert the attorney-client privilege to prevent disclosure of such Privileged Communications or files to such third party; provided, however, that the Company and its Affiliates may not waive such privilege without the prior written consent of Sellers, and none of the Company or its Affiliates shall raise any possible disclosure to Sellers as a waiver of such privilege.

**Section 8.11 Counterparts; Electric Transmission.** This Agreement may be executed in two or more counterparts with the same effect as if all of the parties hereto had signed the same document, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement. The exchange of copies of this Agreement and of signature pages by PDF or other electronic means shall constitute effective execution and delivery of this Agreement as to the parties hereto, and a signed copy of this Agreement delivered by email or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement for all purposes. Signatures of the parties transmitted by PDF or other electronic means shall be deemed to be their original signatures for all purposes.

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[Signature Page Follows]

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**IN WITNESS WHEREOF**, the parties hereto have caused this Agreement to be executed as of the date first written above by their duly authorized officers.

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| |
|:---|
| &nbsp;&nbsp; <br>**<u>SELLERS</u>:** |
| &nbsp;&nbsp;**GREAT ELM FM ACQUISITION, INC.** |
| &nbsp;&nbsp; <br>By_<u>/s/ Adam Kleinman</u>______________________<br>Name: Adam Kleinman<br>Title: Secretary |
| &nbsp;&nbsp;**GREAT ELM GROUP, INC.** |
| &nbsp;&nbsp; <br>By_<u>/s/ Adam Kleinman</u>______________________ <br>Name: Adam Kleinman<br>Title: President  |

---

[Signature Page to Stock Purchase Agreement]

------

**IN WITNESS WHEREOF**, the parties hereto have caused this Agreement to be executed as of the date first written above by their duly authorized officers.

---

| |
|:---|
| &nbsp;&nbsp;**<u>BUYER</u>:** |
| &nbsp;&nbsp;**J.P. MORGAN BROKER-DEALER HOLDINGS INC.** |
| &nbsp;&nbsp; <br>By_<u>/s/ Brian M. Ercolani</u>_____________________ <br>Name: Brian M. Ercolani<br>Title: Attorney-in-Fact |

---

[Signature Page to Stock Purchase Agreement]

------

## Exhibit 2.2

**Exhibit 2.2**

**Execution Version**

**MEMBERSHIP INTEREST PURCHASE AGREEMENT**

**BY AND AMONG**

**GREAT ELM HEALTHCARE, LLC, THE SELLERS NAMED HEREIN, GREAT ELM DME HOLDINGS, INC., AS SELLERS' REPRESENTATIVE, QHM HOLDINGS INC.,** 

**AND, SOLELY FOR PURPOSES OF SECTIONS 2.7 AND 9.17, QUIPT HOME MEDICAL CORP.**

**DATED AS OF JANUARY 3, 2023**

------

**<u>**Table of Contents**</u>**

**<u>Page</u>**

---

| | | |
|:---|:---|:---|
| ARTICLE I RECITALS AND DEFINITIONS | ARTICLE I RECITALS AND DEFINITIONS | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.1** | **Recitals** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.2** | **Definitions** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.3** | **Other Terms** | **1** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.4** | **Usage** | **1** |
| ARTICLE II PURCHASE AND SALE | ARTICLE II PURCHASE AND SALE | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.1** | **Purchase and Sale of Equity Interests; Contribution** | **3** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.2** | **Closing** | **3** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.3** | **Payment of the Purchase Price** | **4** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.4** | **Estimated Purchase Price Adjustment** | **5** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.5** | **Adjustments to Purchase Price** | **5** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.6** | **Withholding** | **8** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.7** | **Investment in Parent Stock** | **9** |
| ARTICLE III REPRESENTATIONS AND WARRANTIES RELATING TO THE SELLERS | ARTICLE III REPRESENTATIONS AND WARRANTIES RELATING TO THE SELLERS | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.1** | **Organization and Qualification** | **12** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.2** | **Authority, Due Execution and Binding Effect** | **13** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.3** | **No Violation; Consents and Approvals; No Conflict** | **13** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.4** | **Ownership; No Liens** | **13** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.5** | **Litigation** | **14** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.6** | **Brokers** | **14** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.7** | **No Other Representations or Warranties** | **14** |
| ARTICLE IV REPRESENTATIONS AND WARRANTIES RELATING TO THE COMPANY AND THE SUBSIDIARIES | ARTICLE IV REPRESENTATIONS AND WARRANTIES RELATING TO THE COMPANY AND THE SUBSIDIARIES | 14 |

---

i

------

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.1** | **Incorporation, Organization and Qualification; Capitalization; Authority, Due Execution and Binding Effect** | **14** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.2** | **No Violation; Consents and Approvals; No Conflict** | **15** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.3** | **Ownership; No Liens** | **16** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.4** | **Company Financial Statements** | **16** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.5** | **No Undisclosed Liabilities** | **17** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.6** | **Absence of Certain Changes or Events** | **17** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.7** | **Litigation** | **17** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.8** | **Compliance with Laws** | **17** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.9** | **International Trade and Anti-Corruption** | **18** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.10** | **Permits** | **18** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.11** | **Environmental Matters** | **18** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.12** | **Material Contracts** | **19** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.13** | **Intellectual Property** | **21** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.14** | **Real Property** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.15** | **Employee Matters and Benefit Plans** | **23** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.16** | **Taxes** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.17** | **Brokers** | **27** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.18** | **Affiliates** | **27** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.19** | **Insurance** | **28** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.20** | **Ownership and Sufficiency of Assets** | **28** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.21** | **Labor** | **28** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.22** | **Bank Accounts** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.23** | **Customers; Suppliers** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.24** | **Inventory** | **30** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.25** | **Warranties** | **30** |

---

ii

------

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.26** | **Name** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.27** | **COVID-19 Relief** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.28** | **Healthcare Laws** | **31** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.29** | **Accounts Receivable** | **32** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.30** | **Medicare and Medicaid Program Participation** | **32** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.31** | **Stark Law** | **33** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.32** | **Billing Practices** | **33** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.33** | **Certain Actions** | **33** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.34** | **No Other Representations or Warranties** | **33** |
| ARTICLE V REPRESENTATIONS AND WARRANTIES RELATING TO THE PURCHASER | ARTICLE V REPRESENTATIONS AND WARRANTIES RELATING TO THE PURCHASER | 34 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1** | **Organization and Qualification** | **34** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2** | **Authority, Due Execution and Binding Effect** | **34** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.3** | **No Violation; Consents and Approvals; No Conflict** | **34** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.4** | **Litigation** | **35** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.5** | **Parent Stock** | **35** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.6** | **TSX Venture Exchange Approval for Issuance of Parent Stock** | **35** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.7** | **Parent SEC Reports** | **36** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.8** | **Parent Financial Statements** | **36** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.9** | **Brokers** | **36** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.10** | **Solvency** | **36** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.11** | **No Other Representations or Warranties** | **36** |
| ARTICLE VI COVENANTS | ARTICLE VI COVENANTS | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.1** | **Access to Information; Cooperation** | **37** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2** | **Further Action** | **37** |

---

iii

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---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3** | **Officers' and Directors' Indemnification** | **37** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.4** | **Taxes** | **38** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.5** | **Confidentiality** | **44** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.6** | **Non-Competition; Non-Solicitation; Non-Disparagement** | **44** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.7** | **Release** | **46** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.8** | **Employees** | **47** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.9** | **R&W Insurance Policy** | **48** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.10** | **Financial Statements** | **48** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.11** | **TSX Venture Exchange** | **48** |
| ARTICLE VII CLOSING DELIVERABLES | ARTICLE VII CLOSING DELIVERABLES | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.1** | **Sellers' Representative Closing Deliveries** | **49** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.2** | **Purchaser's Closing Deliveries** | **50** |
| ARTICLE VIII INDEMNIFICATION | ARTICLE VIII INDEMNIFICATION | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.1** | **Indemnification by the Sellers** | **51** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.2** | **Indemnification by the Purchaser** | **51** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.3** | **Survival and Time Limitations** | **51** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.4** | **Limitations on Indemnification by the Sellers** | **52** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.5** | **Sources** | **53** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.6** | **Other Indemnification Matters** | **54** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.7** | **Calculation of Losses** | **56** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.8** | **Exclusive Remedy** | **57** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.9** | **Release of Indemnity Escrow Amount** | **57** |
| ARTICLE IX MISCELLANEOUS | ARTICLE IX MISCELLANEOUS | 57 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.1** | **Appointment of Sellers' Representative** | **57** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.2** | **Notices, Consents, Etc.** | **60** |

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iv

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.3** | **Severability** | **61** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.4** | **Assignment; Successors** | **61** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.5** | **Counterparts; Facsimile or PDF Signatures** | **61** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.6** | **Governing Law** | **61** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.7** | **Table of Contents and Headings** | **62** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.8** | **Entire Agreement** | **62** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.9** | **Third Parties** | **62** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.10** | **Schedules and Exhibits; Disclosure Generally** | **62** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.11** | **Submission to Jurisdiction; Consent to Service of Process** | **63** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.12** | **Waiver of Jury Trial** | **63** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.13** | **Public Announcements** | **63** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.14** | **Amendments and Waivers** | **64** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.15** | **Expenses** | **64** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.16** | **Specific Performance** | **64** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.17** | **Parent Obligations** | **65** |

---

**<u>EXHIBITS</u>**

Exhibit A Form of Shareholder Representation Letter

v

------

**MEMBERSHIP INTEREST PURCHASE AGREEMENT**

**THIS MEMBERSHIP INTEREST PURCHASE AGREEMENT** (this "**Agreement**") dated as of January 3, 2023, by and among (i) Great Elm Healthcare, LLC, a Delaware limited liability company (the "**Company**"), (ii) Great Elm DME Holdings, Inc., a Delaware corporation ("**DME Holdings**"), Great Elm DME, Inc., a Delaware corporation ("**DME**"), Corbel Capital Partners SBIC, L.P., a Delaware limited partnership ("**Corbel**"), and Valley Healthcare Group, LLC, an Arizona limited liability company ("**VHG**" and, together with DME Holdings, DME and Corbel, each a "**Seller**" and, collectively, the "**Sellers**"), (iii) **DME Holdings**, in its capacity as the Sellers' Representative (the "**Sellers' Representative**"), (iv) **QHM Holdings Inc**., a Delaware corporation (the "**Purchaser**") and, solely for purposes of <u>Sections 2.7</u> and <u>9.17</u>, (v) QUIPT Home Medical Corp., a company amalgamated under the laws of the Province of British Columbia ("**Parent**"). Throughout the remainder of this Agreement, the Purchaser, the Company and the Sellers shall each be referred to, individually, as a "**Party**," and, collectively, as the "**Parties**."

**ARTICLE I<u><br>RECITALS AND DEFINITIONS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.1 <u>Recitals</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 Company is a limited liability company organized under the laws of the State of Delaware and a participating Medicare provider that provides (i) nebulizers, oxygen concentrators, and continuous positive airway pressure (CPAP) and bilevel positive airway pressure (BiPAP) units; (ii) traditional and non-traditional durable medical respiratory equipment and services; (iii) non-invasive ventilation equipment, supplies and services; (iv) power mobility services; and (v) sleep testing (collectively the "**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;(b) Concurrently with the execution and delivery of this Agreement and as a material inducement to the Sellers' willingness to enter into this Agreement, the Purchaser has obtained the R&W Insurance Policy which has been issued and bound as of the date of 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) In connection with the execution and delivery of this Agreement, (i) certain Persons have executed and delivered non-competition agreements and (ii) certain individuals have entered into employment agreements with the Company, in each case, in the form previously agreed by the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.2 <u>Definitions</u>**. Defined terms used in this Agreement shall have the meanings ascribed to them in the <u>Annex of Defined Terms</u> attached hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.3 <u>Other Terms</u>**. Other terms may be defined elsewhere in this Agreement and, for the purposes of this Agreement, those other terms shall have the meanings specified in those other places of this Agreement unless the context requires otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.4 <u>Usage</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>Interpretation</u>. In this Agreement, unless a clear contrary intention appears:

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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;(i) the singular number includes the plural number and vice versa;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) reference to any Person includes such Person's successors and assigns but, if applicable, only if such successors and assigns are not prohibited by this Agreement from succeeding to such Person's rights or obligations under this Agreement, and reference to a Person in a particular capacity excludes such Person in any other capacity or individually;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) reference to any gender includes each other gender;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) reference to any agreement (including this Agreement), Contract, document, instrument, statute or regulation means such agreement, Contract, document, instrument, statute or regulation as amended or modified and in effect from time to time in accordance with the 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) reference to any Law means such Law as amended, modified, codified, replaced or reenacted, in whole or in part, and in effect from time to time, including rules and regulations promulgated thereunder, and reference to any section or other provision of any Law means that provision of such Law from time to time in effect and constituting the substantive amendment, modification, codification, replacement or reenactment of such section or other provision;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) "herein," "hereunder," "hereof," "hereto," "hereby," and words of similar import shall be deemed references to this Agreement as a whole and not to any particular Article, Section or other provision 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;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "including" (and with correlative meaning "include") means including without limiting the generality of any description preceding such term;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) "or" is used in the inclusive sense of "and/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;&nbsp;&nbsp;&nbsp;&nbsp;(ix) no prior draft of this Agreement nor any course of performance or course of dealing will be used in the interpretation or construction of 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the phrase "made available" means made available to the Purchaser in the online data room established for the Transaction at least two (2) Business Day prior to the time of execution of this Agreement by the 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;(xi) all references to monetary amounts in this Agreement refer to U.S. Dollars;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) the word "will" shall be construed to have the same meaning and effect as the word "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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the phrase "to the extent" shall mean the degree to which a subject or other thing extends, and such phrase shall not mean simply "if";

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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;(xiv) the words "writing," "written" and comparable terms refer to printing, typing and other means of reproducing words (including electronic media) in a visible 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;&nbsp;&nbsp;&nbsp;&nbsp;(xv) with respect to the determination of any period of time, "from" means "from and including" and "to" means "to but excluding";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) reference to "day" or "days" means calendar days; 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;(xvii) notwithstanding anything to the contrary contained in this Agreement, for the avoidance of doubt, to the extent that any obligation is treated as (A) a reduction in Cash or (B) a liability in Indebtedness, Transaction Expense or taken into account in determining the Working Capital Ratio, such obligation shall not be counted more than once, i.e., in more than one category.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Accounting Terms and Determinations</u>. Unless otherwise specified herein, all accounting terms used herein shall be interpreted and all accounting determinations hereunder shall be made in accordance with GAAP.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Legal Representation of the Parties</u>. This Agreement was negotiated by the Parties with the benefit of legal representation, and any rule of construction or interpretation otherwise requiring this Agreement to be construed or interpreted against any Party shall not apply to any construction or interpretation hereof.

**ARTICLE II<u><br>PURCHASE AND SALE</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.1 <u>Purchase and Sale of Equity Interests; Contribution</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 the terms and the conditions of this Agreement, at the Closing, the Sellers shall sell to the Purchaser, free and clear of all Liens and other restrictions on transfer (other than restrictions on transfer arising under applicable securities Laws) all of the outstanding Equity Interests of the Company (the "**Purchased Interests**"), by the Sellers' delivery to the Purchaser of assignments of membership interests evidencing Sellers' sale, transfer, and assignment of the Purchased Interests to Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Upon the terms and subject to the conditions set forth in this Agreement, at the Closing, the Purchaser shall purchase the Purchased Interests from the Sellers, by its delivery of the Purchase Price, as set forth in <u>Section 2.3</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.2 <u>Closing</u>**. The closing (the "**Closing**") of the purchase and sale of the Purchased Interests and the other transactions contemplated by this Agreement and the Ancillary Agreements (collectively, the "**Transaction**") shall take place by electronic means, simultaneously with the execution of this Agreement, subject to receipt by the Sellers of the Purchase Price in accordance with <u>Section 2.3</u>. The date on which the Closing occurs is referred to as the "**Closing Date**". The

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Closing will be deemed to occur for all purposes at 11:59 p.m. (Eastern Time) on December 31, 2022 (the "**Effective Time**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.3 <u>Payment of the Purchase Price</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 2.5</u>, in consideration for the sale of the Purchased Interests pursuant to <u>Section 2.1(b)</u>, the Purchaser shall pay an aggregate amount equal to (i) the Base Price, <u>less</u> (ii) the Estimated Closing Date Debt, <u>less</u> (iii) the Estimated Closing Date Transaction Expenses, <u>less</u> (iv) the Estimated Working Capital Deficit, if any, <u>plus</u> (v) the Estimated Closing Date Cash (such calculated amount, the "**Purchase Price**"). At the Closing, in the following chronological order, the Purchaser shall pay:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) on behalf of the Sellers and the Company, as the case may be, and as directed by the Sellers' Representative, the amounts necessary to pay the Estimated Closing Date Transaction Expenses (which such amounts and payees the Sellers' Representative shall deliver to the Purchaser prior to the Closing);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 holders of any Estimated Closing Date Debt of the type referred to in clauses (a) through (g) of the definition of Indebtedness, the amount required to pay in full and discharge all such Indebtedness in accordance with the Payoff Statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Escrow Agent, the Indemnity Escrow 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) to the Sellers' Representative, on behalf of the Participating Sellers, 431,996 shares of Parent Stock, for further distribution to the Participating Sellers in accordance with the allocation set forth on <u>Schedule 3.4</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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to the Sellers' Representative, an amount in cash equal to $3,750,000 (the "**Expense Fund**"), to be held on behalf of the Sellers and used at the discretion of the Sellers' Representative to satisfy or enforce any of the Sellers' obligations hereunder (or any expenses related thereto); 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;(vi) to the Sellers, by wire transfer of immediately available funds to the account(s) designated in writing by Sellers' Representative at least three days prior to the Closing Date, an aggregate amount in cash (the "**Closing Payment**") equal to (A) the Purchase Price, <u>minus</u> (B) the Indemnity Escrow Amount, <u>minus</u> (C) an amount equal to the Expense Fund, <u>minus</u> (D) an amount equal to the Parent Stock Value. The Closing Payment shall be paid to each Seller in accordance with, if applicable, such Sellers' Pro Rata Share; <u>provided</u>, <u>however</u>, for purposes of such allocation, an amount equal to the Parent Stock Value shall be added to the Closing Payment and with respect to each Participating Seller, an amount equal to the Stock Price <u>multiplied by</u> the number of shares of Parent Stock allocated to such Participating Seller shall be deducted from such Participating Seller's Closing Payment.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Payoff Documents</u>. The Sellers' Representative has delivered to the Purchaser, a written statement from each Person identified in <u>Schedule 2.3(b)</u> (each such written statement, hereinafter, a "**Payoff Statement**"), which Payoff Statements as to each Person identified in <u>Schedule 2.3(b)</u>: (i) sets forth the full amount (or a methodology for calculating the full amount) which is to be paid to such Person on the Closing Date in order to pay in full and

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discharge all Indebtedness which the Company owes to any such Person, including interest, fees, prepayment fees or penalties and amounts, if any, due in connection with the termination of any interest rate protection agreements; (ii) provides that upon payment to the Person that has issued the Payoff Statement of the amount stated or described in the Payoff Statement, all Liens of such Person on any tangible and intangible assets of the Company shall be released and discharged; (iii) authorizes the Company to terminate all UCC financing statements and other filings made to perfect or evidence such Liens; and (iv) was accompanied by any UCC authorizations or other releases as may be reasonably required to evidence the satisfaction of such Estimated Closing Date Debt (item (iv) the "**Lien Releases**" and together with the Payoff Statement, the "**Payoff Documents**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.4 <u>Estimated Purchase Price Adjustment</u>**. The Sellers' Representative has delivered to the Purchaser (i) an estimated consolidated balance sheet of the Company as of the Effective Time (the "**Estimated Closing Balance Sheet**"), (ii) an estimated calculation of the Closing Date Debt (the "**Estimated Closing Date Debt**"), (iii) an estimated calculation of the Closing Date Transaction Expenses (the "**Estimated Closing Date Transaction Expenses**"), (iv) an estimated calculation of the Closing Date Working Capital Ratio, based on the Estimated Closing Balance Sheet (the "**Estimated Working Capital Ratio**") and in accordance with the accounting principles set forth on <u>Schedule 2.5</u> and (v) an estimated calculation of the Closing Date Cash (the "**Estimated Closing Date Cash**"). The Estimated Closing Balance Sheet, Estimated Closing Date Debt, Estimated Working Capital Ratio and the Estimated Closing Date Cash have been prepared in accordance with GAAP, as used in the preparation of the Company Financial Statements, and, to the extent GAAP provides for a range of alternatives, in accordance with the past practices of the Company within such range. If the Estimated Working Capital Ratio is less than the Working Capital Target, then an amount equal to the current assets necessary to be added to achieve the Working Capital Target shall constitute the "**Estimated Working Capital Deficit**." The Company and Purchaser agrees that the Company has made available to Purchaser and its advisors all material records and work papers and personnel used in preparing the Estimated Closing Balance Sheet and the foregoing calculations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.5 <u>Adjustments to Purchase Price</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>Closing Balance Sheet</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;&nbsp;&nbsp;&nbsp;&nbsp;(i) Within 30 days following the Measurement Date, the Purchaser shall, acting in good faith, prepare and deliver to the Sellers' Representative a consolidated balance sheet of the Company as of the Effective Time (the "**Closing Balance Sheet**"), a calculation of Working Capital Ratio as of the Effective Time based on the Closing Balance Sheet (the "**Closing Date Working Capital Ratio**") and in accordance with the accounting principles set forth on <u>Schedule 2.5</u>, a calculation of the Indebtedness of the Company as of the Effective Time (the "**Closing Date Debt**"), a calculation of the Transaction Expenses as of the Effective Time (the "**Closing Date Transaction Expenses**"), and a calculation of the Cash as of the Effective Time (the "**Closing Date Cash**") (collectively, the "**Draft Closing Statements**"). The Closing Balance Sheet, the Closing Date Working Capital Ratio, the Closing Date Debt and the Closing Date Cash shall be

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prepared in accordance with GAAP, and, to the extent GAAP provides for a range of alternatives, in accordance with the past practices of the Company within such range.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) During the period from the date the Draft Closing Statements are delivered by the Purchaser to the Sellers' Representative through the date such statements are finally determined, the Purchaser and Parent shall, and shall cause the Purchaser's, Parent's and the Company's Representatives to, reasonably cooperate with the Sellers' Representative and its Representatives and to provide the Sellers' Representative and its Representatives reasonable access to the books and records (including work papers) of the Purchaser, Parent and the Company and their respective Representatives in connection with the review of the Draft Closing Statements, and the Purchaser shall make available to the Sellers' Representative and its Representatives, personnel responsible for the preparation of the Draft Closing Statements in order to respond to inquiries of the Sellers' Representative related thereto. The Sellers' Representative agrees, on behalf of itself and its Representatives, that it shall treat all such information as confidential.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) If the Sellers' Representative disputes the correctness of the Draft Closing Statements provided to the Sellers' Representative by the Purchaser, the Sellers' Representative shall notify the Purchaser in writing (a "**Dispute Notice**") of its objections within 30 days after its receipt of the Draft Closing Statements and shall describe the reasons for the Sellers' Representative's objections (specifying in reasonable detail such disagreement along with Sellers' Representative's alternative calculation of the corresponding item(s) on the Draft Closing Statements). If the Sellers' Representative fails to timely deliver a Dispute Notice to the Purchaser within such 30-day period, the Sellers' Representative shall be deemed to have accepted the Draft Closing Statements provided by the Purchaser to the Sellers' Representative, which shall be final, conclusive and binding on the Parties and the Sellers' Representative and used for all purposes of this <u>Section 2.5</u>. If, however, the Sellers' Representative delivers a Dispute Notice to the Purchaser within such 30-day period, the Sellers' Representative and the Purchaser shall endeavor in good faith to resolve any disputed items within 30 days after the date of the Purchaser's receipt of the Dispute Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) If the Sellers' Representative and the Purchaser are unable to resolve any items in dispute relating to the Draft Closing Statements within 30 days after the date of the Purchaser's receipt of the Dispute Notice (or such other period as the Parties may mutually agree), the Sellers' Representative and the Purchaser shall submit the dispute to a nationally recognized accounting firm reasonably agreed to by the Sellers' Representative and the Purchaser (the "**Independent Accountant**") to resolve all items remaining in dispute, and such determination by the Independent Accountant shall be final, binding and conclusive on the Parties. The Independent Accountant, in undertaking the tasks to be performed by it as provided herein, shall act as an expert and not as an arbitrator. The Purchaser and the Sellers' Representative shall present to the Independent Accountant their respective positions regarding any remaining disputed items (<u>provided</u> that, for greater certainty, such presentations are limited to matters described in the Dispute Notice) in the form of a written report, a copy of which shall be delivered to the Independent Accountant and the Purchaser or the Sellers' Representative, as applicable, within 20 days of the submission of the dispute to the Independent Accountant, and no ex parte conferences, oral examinations, testimony, depositions, discovery or other form of evidence gathering or hearings shall be conducted or allowed; <u>provided</u>, <u>however</u>, that at the Independent Accountant's request, or as mutually agreed by the Sellers' Representative and the Purchaser, the Sellers'

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Representative and the Purchaser may meet with the Independent Accountant so long as Representatives of both the Sellers' Representative and the Purchaser are present.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Independent Accountant shall determine, based solely on such written reports from the Purchaser and the Sellers' Representative, and the relevant terms set forth herein, and not by independent review, only those issues in dispute specifically set forth in the Dispute Notice (to the extent remaining in dispute) and shall deliver to the Purchaser and the Sellers' Representative its resolution of all issues in dispute (together with revised calculations of the applicable amounts). In resolving any disputed item, the Independent Accountant (A) shall be bound to the principles of this <u>Section 2.5</u> (including <u>Section 2.5(a)(i)</u>), (B) shall limit its review to matters specifically set forth in the Dispute Notice and which remain in dispute, and (C) shall not assign a value to any item higher than the highest value for such item claimed by either the Purchaser or the Sellers' Representative or lower than the lowest value for such item claimed by either the Purchaser or the Sellers' Representative. The Purchaser and the Sellers' Representative shall instruct the Independent Accountant to complete its work and render its determination in writing within 30 calendar days of its engagement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Closing Date Working Capital Ratio, the Closing Date Debt, the Closing Date Transaction Expenses and the Closing Date Cash, as finally determined pursuant to this <u>Section 2.5</u> (whether by failure of the Sellers' Representative to deliver a Dispute Notice to the Purchaser, by the written agreement of the Parties or by the final determination of the Independent Accountant), shall be deemed to be, and shall be referred to herein, as the "**Final Working Capital Ratio**," the "**Final Closing Date Debt**," the "**Final Closing Date Transaction Expenses**" and the "**Final Closing Date Cash**."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Company, prior to Closing, shall be responsible for the costs and expenses incurred in connection with the preparation of the Estimated Closing Balance Sheet, Estimated Closing Date Debt, Estimated Closing Date Transaction Expenses, Estimated Working Capital Ratio and Estimated Closing Date Cash (such costs and expenses, to the extent payable to third parties and unpaid, shall be included in the Transaction Expenses). The Purchaser and/or the Company, following the Closing, shall be responsible for the costs and expenses incurred in connection with the preparation of the Draft Closing Statements. The Sellers' Representative and the Purchaser shall each bear, and be responsible for, the costs and expenses incurred by each of them (including any fees and expenses of their respective accounting firms) in connection with negotiation of disputed items in the Draft Closing Statements. If the Independent Accountant is engaged, the fees, expenses and disbursements of the Independent Accountant shall be allocated between (and paid by) the Sellers and the Purchaser in inverse proportion to the degree to which the position of the Sellers' Representative and the position of the Purchaser as to the amount of the Draft Closing Statements has been confirmed by the Independent Accountant, which proportionate allocation of fees, expenses and disbursements shall be determined by the Independent Accountant and set forth in the written determination of the Independent Accountant. Notwithstanding the foregoing, the Sellers, on the one hand, and the Purchaser, on the other hand, each agree to pay 50% of all fees and expenses to the Independent Accountant until such time as the ultimate allocation is determined, such that the Independent Accountant will be permitted to invoice 50% of its retainer, fees, and expenses directly to each Party. Once the ultimate allocation is determined, the Sellers or the Purchaser, as the case may be, shall promptly pay to the other a

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"make whole" payment in an amount, in immediately available funds to the account designated by such Party, commensurate with the ultimate allocation.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Adjustment for Working Capital Ratio</u>. If the Final Working Capital Ratio is less than the Estimated Working Capital Ratio, then the Purchase Price shall be decreased if the calculation pursuant to <u>Section 2.4</u> would have been subject to adjustment. If the Final Working Capital Ratio is greater than the Estimated Working Capital Ratio, the Purchase Price shall be increased if the calculation pursuant to <u>Section 2.4</u> would have been subject to adjustment, <u>provided</u>, <u>however</u>, any such increase shall not exceed the amount of the Estimated Working Capital Deficit.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Adjustment for Final Closing Date Debt</u>. If the Final Closing Date Debt is less than the Estimated Closing Date Debt, the Purchase Price shall be increased by an amount equal to the difference. If the Final Closing Date Debt is greater than the Estimated Closing Date Debt, the Purchase Price shall be decreased by an amount equal to the difference.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Adjustment for Final Closing Date Transaction Expenses</u>. If the Final Closing Date Transaction Expenses are less than the Estimated Closing Date Transaction Expenses, the Purchase Price shall be increased by an amount equal to the difference. If the Final Closing Date Transaction Expenses are greater than the Estimated Closing Date Transaction Expenses, the Purchase Price shall be decreased by an amount equal to the difference.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Adjustment for Final Closing Date Cash</u>. If the Final Closing Date Cash is less than the Estimated Closing Date Cash, the Purchase Price shall be decreased by an amount equal to the difference. If the Final Closing Date Cash is greater than the Estimated Closing Date Cash, the Purchase Price shall be increased by an amount equal to the difference.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Final Closing Payment</u>. The final adjustments pursuant to <u>Sections 2.5(b)</u>, <u>2.5(c)</u>, <u>2.5(d)</u> and <u>2.5(e)</u> shall be netted and the final Closing Payment determined (the "**Final Closing Payment**"). In the event that the Final Closing Payment is greater than the Closing Payment (such excess, the "**Final Overage**"), the Purchaser will deposit, or cause to be deposited, within three Business Days of the determination of the Final Closing Payment, with the Sellers' Representative, by wire transfer of immediately available funds, an amount equal to such Final Overage. Upon payment of such Final Overage, the Purchaser will be fully released and discharged of any obligation with respect to payment of the Final Overage. In the event that the Closing Payment is greater than the Final Closing Payment Price (such excess, the "**Final Underage**"), then the Sellers, jointly and severally, shall within three Business Days of the determination of the Final Closing Payment, reimburse the Purchaser, by wire transfer of immediately available funds, for an amount equal to the absolute value of the Final Underage, <u>provided</u> that the Sellers' Representative shall first use the Expense Fund to satisfy such obligations. Upon payment of such Final Underage, the Sellers will be fully released and discharged of any obligation with respect to payment of the Final Underage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.6 <u>Withholding</u>**. The Purchaser shall be entitled to deduct and withhold from any amount payable pursuant to this Agreement such amounts as are required to be deducted and withheld under the Code or pursuant to any other applicable Law. The Purchaser shall (a) use commercially reasonable efforts to notify the Sellers' Representative of its obligation to deduct

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and withhold at least five days prior to making any such deduction or withholding and (b) cooperate in good faith with the Sellers' Representative to reduce (or eliminate) the deduction or withholding of such amounts to the extent permitted by applicable Law (including by accepting any properly completed documentation that is provided by the Sellers' Representative). Amounts deducted and withheld pursuant to this <u>Section 2.6</u> shall be timely paid over to the appropriate Governmental Authority and shall be treated for all purposes of this Agreement as having been paid to the Person in respect of which such deduction and withholding was made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.7 <u>Investment in Parent Stock</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 Participating Seller represents and warrants that it is an "accredited investor" within the meaning of the Securities Act and Rule 501(a) of Regulation D promulgated 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;(b) Each Participating Seller understands that the shares of Parent Stock it will receive as part of the Purchase Price are "restricted securities" within the meaning of Rule 144 under the Securities Act and are being acquired in a transaction not involving a public offering and that such securities may not be resold within the United States without registration under the Securities Act and registration or qualification under applicable state securities Laws of the United States ("**blue sky laws**"), except pursuant to an exemption from such registration. Each Participating Seller understands that it may not be able to resell the shares of Parent Stock it receives pursuant to this Agreement except in accordance with limited exemptions available under the Securities Act and all rules and regulations promulgated thereunder and the applicable blue sky laws (collectively, the "**U.S. Securities Laws**"), and that such Participating Seller is solely responsible for (and the Quipt Parties are in no way responsible for) such Participating Seller's compliance with applicable resale restrictions. Each Participating Seller acknowledges that no representation has been made by the Quipt Parties respecting the applicable holding periods imposed by Canadian securities Laws and/or U.S. Securities Laws or other resale restrictions applicable to the shares of Parent Stock it receives pursuant to this Agreement which restrict the ability of such Participating Seller to resell such securities, and such Participating Seller will comply with all applicable Canadian securities Laws and U.S. Securities Laws concerning the acquisition, holding and resale of the shares of Parent Stock that it receives pursuant to this Agreement and will not resell any such shares of Parent Stock except in accordance with the provisions of applicable Canadian securities Laws and U.S. Securities 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;(c) Each Participating Seller agrees that if, prior to the removal of the restrictive legend from the certificates representing the shares of Parent Stock pursuant to <u>Section 2.7(k)</u> or, alternatively, the registration of such shares, it decides to offer, sell or otherwise transfer the shares of Parent Stock its receives pursuant to this Agreement, it will not offer, sell or otherwise transfer any of such Parent Stock, directly or indirectly, unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 is to the Purchaser and/or Parent, 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;(ii) The transfer is outside the United States in a transaction meeting the requirements of Rule 904 of Regulation S under the Securities Act and in compliance with applicable laws and regulations of the jurisdiction(s) in which such sale is made, 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) In accordance with Rule 144 of the Securities Act, if available, and in compliance with applicable blue sky laws and other applicable U.S. Securities Laws (if any); 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;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The transfer is made in a transaction that does not require registration under the Securities Act or any applicable securities Laws, and such Participating Seller has, prior to such transfer, furnished to the Purchaser and/or Parent an opinion of counsel of recognized standing or other evidence of exemption, in either case reasonably satisfactory to Parent.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Participating Seller understands and acknowledges that the certificates representing the shares of Parent Stock it receives pursuant to this Agreement and each certificate issued in transfer thereof, will bear, as of the Closing Date, legends substantially in the following forms and with the necessary information inserted:

"UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE <insert date that is four (4) months and one (1) day after Closing Date>."

"THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "<u>U.S. SECURITIES ACT</u>") OR ANY STATE SECURITIES LAWS, AND MAY BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION (B) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 OF REGULATION S UNDER THE U.S. SECURITIES ACT AND IN COMPLIANCE WITH LOCAL LAWS AND REGULATIONS, (C) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE U.S. SECURITIES ACT AND IS AVAILABLE FOR RESALE OF THE SECURITIES, OR (D) IN COMPLIANCE WITH ANY OTHER EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT, INCLUDING RULE 144 OR RULE 144A THEREUNDER, IF AVAILABLE, AND, IN EACH CASE, IN COMPLIANCE WITH ANY APPLICABLE STATE SECURITIES LAWS. THE HOLDER FURTHER UNDERSTANDS AND AGREES THAT IN THE EVENT OF A TRANSFER PURSUANT TO THE FOREGOING CLAUSE (B) OR (D), THE CORPORATION WILL REQUIRE A LEGAL OPINION OF COUNSEL OF RECOGNIZED STANDING OR OTHER EVIDENCE REASONABLY SATISFACTORY TO THE CORPORATION THAT SUCH TRANSFER IS EXEMPT FROM REGISTRATION UNDER THE U.S. SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS. DELIVERY OF THIS CERTIFICATE MAY NOT CONSTITUTE "GOOD DELIVERY" IN SETTLEMENT OF TRANSACTIONS ON STOCK EXCHANGES IN CANADA."

; <u>provided</u>, <u>however</u>, that if any of the shares of Parent Stock issued pursuant to this Agreement is being sold or transferred pursuant to Rule 144 under the Securities Act and in compliance with any applicable blue sky laws and other applicable securities Laws, the latter legend may be

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removed by delivery to Parent's registrar and transfer agent of an opinion satisfactory to Parent and its registrar and transfer agent to the effect that the legend is no longer required under applicable requirements of the Securities Act or applicable blue sky laws or other applicable securities 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;(e) Each Participating Seller acknowledges that it is able to protect its own interests, can bear the economic risk of his investment in the shares of Parent Stock it receives pursuant to this Agreement and has such knowledge and experience in financial or business matters that it is capable of evaluating the merits and risks of the investment in the shares of Parent Stock it receives pursuant 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;(f) Each Participating Seller consents to Parent making a notation on its records or giving instructions to any registrar and transfer agent for the shares of Parent Stock it receives pursuant to this Agreement in order to implement the restrictions on transfer set forth and described in this <u>Section 2.7</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) Parent has informed each Participating Seller that it is issuing the Parent Stock pursuant to an exemption from the requirements to file and obtain a receipt for a prospectus or registration statement or to deliver an offering memorandum, and no prospectus or registration statement has been filed by Parent with any securities commission or similar regulatory authority in any jurisdiction in connection with the issuance of the Parent 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;(h) Each Participating Seller confirms that none of Parent nor any Quipt Party or any of their respective directors, employees, officers, representatives, agents or affiliates have made any representations (written or oral) to the Participating Seller (i) regarding the future value of any of the shares of Parent Stock or (ii) that any person will resell or repurchase any of the shares of the Parent 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;(i) Each Participating Seller hereby consents to the collection, use and disclosure by Parent and any other of its authorized representatives of the personal information (i.e. any information about an identifiable individual) relating to such Participating Seller solely to the extent necessary for Parent to satisfy its regulatory and reporting requirements under applicable Law, and recognizes that this disclosure may result in the disclosure of some or all of such personal information becoming public information and, without limiting the foregoing, consents to the disclosure of such personal information to Parent and any of its other authorized representatives, securities commissions and/or other regulatory agencies in any jurisdiction in which the rules and requirements of such body may require such reporting, stock exchanges, publication on the SEDAR website, or as may be required or permitted by applicable Law. In order to permit Parent to comply with the requirements of the Personal Information Protection and Electronic Documents Act (Canada), each Participating Seller expressly consents to the disclosure by Parent in any submission or filing that Parent may be required to make with applicable Canadian regulatory authorities or the TSX Venture Exchange of any such personal information. Each Participating Seller further acknowledges that freedom of information legislation may require the securities regulatory authority or regulator in possession of any such personal information to make this information available if requested. Each Participating Seller hereby provides its express consent to (i) the disclosure of personal information by Parent to the TSX Venture Exchange pursuant to the forms required to be submitted to it in connection with the Transactions, and (ii)

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the collection, use and disclosure of personal information by the TSX Venture Exchange for the purposes described in Appendix 6A of the TSX Venture Exchange or as otherwise identified by the TSX Venture Exchange, 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;(j) This Agreement is made with the Participating Sellers in reliance upon representations to the Quipt Parties under this <u>Section 2.7</u>, which by each Participating Seller's execution of this Agreement it hereby confirms, that the shares of Parent Stock to be received by such Participating Seller pursuant to this Agreement will be acquired for investment for its own account, not as a nominee or agent. Each Participating Seller has conducted its own due diligence in making a decision with respect to the Parent Stock, has been furnished all materials relating to the Purchaser, Parent and the shares of Parent Stock which it has requested and has been afforded the opportunity to obtain any additional information necessary to evaluate an investment in the shares of Parent Stock. In making a decision with respect to the shares of Parent Stock, each Participating Seller has not relied upon any representations and warranties or other information (whether written or oral) from the Quipt Parties other than as expressly set forth in this Agreement, or any of its principals or any other Person or entity acting as an agent for Quipt Parties and has relied solely on publicly available information regarding the Purchaser, Parent, and the shares of Parent Stock, including any publicly available information in the SEC Reports, under its profile on SEDAR at www.sedar.com, and its own knowledge of Parent and the Purchaser and the industries in which they operate.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Effective on the six-month anniversary of the Closing Date, the Quipt Parties shall provide to Parent's registrar and transfer agent a legal opinion satisfactory to the Participating Sellers and Parent's registrar and transfer agent to the effect that the restrictive legend is no longer required under the applicable requirements of the Securities Act or applicable blue sky laws with respect to the shares of Parent Stock held by the Participating Sellers and such restrictive legend may be removed, <u>provided</u>, that Parent shall have received a customary shareholder representation letter substantially in the form attached hereto as <u>Exhibit A</u> from each Participating Seller.

**ARTICLE III<u><br>REPRESENTATIONS AND WARRANTIES RELATING TO THE SELLERS</u>**

Except as disclosed in the Disclosure Schedules, each Seller hereby severally (and not jointly and severally) represents and warrants to the Purchaser, as to itself, as of the date hereof, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.1 <u>Organization and Qualification</u>**. Such Seller is duly incorporated or organized, as the case may be, validly existing and in good standing under the Laws of its jurisdiction of formation, and has all requisite corporate power and authority to own, lease and operate its assets and properties and to conduct its business as presently being conducted. Such Seller is duly authorized to conduct business in, and is good standing under the laws of, each jurisdiction in which such qualification is required, except where the failure to be so qualified would reasonably be expected to have a material adverse effect on the ability of such Seller to consummate the Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.2 <u>Authority, Due Execution and Binding Effect</u>**. Such Seller has the requisite power and authority and full legal capacity to execute and deliver this Agreement and each

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Ancillary Agreement to which such Seller will be a party, to consummate the Transaction, and to perform such Seller's obligations under this Agreement and the Ancillary Agreements. The execution, delivery and performance by each Seller of this Agreement and the consummation of the Transaction, have been duly authorized by all necessary action on the part of such Seller. Assuming the due authorization, execution and delivery by the Purchaser, this Agreement constitutes the valid and binding obligation of such Seller, enforceable against such Seller in accordance with its terms, except as enforcement may be limited by the Enforceability Exceptions. Each Ancillary Agreement to which such Seller will be a party will be duly executed and delivered by such Seller, and, assuming that such Ancillary Agreement constitutes a valid and binding obligation of the other parties thereto, will constitute a valid and binding obligation of such Seller, enforceable against such Seller in accordance with its terms, except to the extent that the enforceability thereof may be limited by the Enforceability Exceptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.3 <u>No Violation; Consents and Approvals; No Conflict</u>**. Except as set forth on <u>Schedule 3.3</u>, the execution, delivery and performance by such Seller of this Agreement and each Ancillary Agreement to which such Seller will be a party does not, and the consummation of the Transaction and compliance with the terms hereof and thereof will not, directly or indirectly (a) violate, conflict with, or result in (with or without notice or lapse of time) a violation or breach of any Law, Governmental Authorization or Order to which such Seller is subject; (b) violate, conflict with or result in the breach of any provision of the Organizational Documents of such Seller; or (c) conflict in any material respect with, result in a material breach of, constitute a material default (or event which with the giving of notice or lapse of time, or both, would become a material default) under, require any Consent under, give to others any right of termination, amendment, acceleration, suspension, revocation or cancellation of, or result in the creation of any Lien (other than a Permitted Lien) pursuant to any material Contract to which such Seller is a party or by which any of such Seller's material assets or material properties are bound or affected, in each case which would reasonably be expected, individually or in the aggregate, to prevent or materially impair such Seller's ability to perform such Seller's obligations hereunder and thereunder and to consummate the Transaction. No Governmental Authorization of any Governmental Authority, or any other Consent, waiver, approval, Order or authorization of, or declaration or filing with, or notification to, any Governmental Authority is required to be obtained or made by or with respect to such Seller in connection with the consummation of the Transaction, except for such consents, notices, waivers, approvals, orders, authorizations, registrations, declarations and filings as may be required under applicable securities Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.4 <u>Ownership; No Liens</u>**. Such Seller owns, beneficially and of record, the Equity Interests of the Company set forth on <u>Schedule 3.4</u>, and such Equity Interests constitute all of the Equity Interests in the Company owned by such Seller. Except as set forth on <u>Schedule 3.4</u>, such Seller's Equity Interests of the Company are duly authorized, validly issued, fully paid and non-assessable and are owned directly by such Seller free and clear of any Liens (other than restrictions on transfer arising under the Securities Act or any applicable state or federal securities Law) and such Seller has good, valid and marketable title to such Equity Interests. <u>Schedule 3.4</u> sets forth all of the issued and outstanding Equity Interests of the Company as of immediately prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.5 <u>Litigation</u>**. There are no pending Actions by or against such Seller, and to the knowledge of such Seller there are no threatened Actions against such Seller before any

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Governmental Authority, in each case that affect such Seller's Equity Interests in the Company, any of the assets of the Business, or that would reasonably be expected to have a material adverse effect on the ability of such Seller to consummate the Transaction. There are no outstanding Orders against such Seller that would reasonably be expected to prohibit, make illegal, enjoin or restrain the Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.6 <u>Brokers</u>**. No broker, finder or agent is entitled to any brokerage fees, finder's fees or commissions in connection with this Agreement or the Transaction based upon agreement, arrangement or understanding made by or on behalf of such Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.7 <u>No Other Representations or Warranties</u>**. Except for the representations and warranties contained in this <u>ARTICLE III</u> and <u>ARTICLE IV</u> (in each case, as modified by the Disclosure Schedules), none of the Company, the Sellers or any other Person makes any other express or implied representation or warranty with respect to the Company, the Sellers, the Business or the Transaction or with respect to any other information provided to the Purchaser, and the Company and the Sellers disclaim any other representations or warranties, whether made by the Company, the Sellers or any of their respective Affiliates, officers, directors, employees, agents or other Representatives. None of the Company, the Sellers or any other Person will have or be subject to any liability to the Purchaser or any other Person resulting from the distribution to the Purchaser, or the Purchaser's use of, any such information, including any information, documents, projections, forecasts or other material made available to the Purchaser or its Representatives in any "data rooms," "virtual data rooms," management presentations or in any other form in expectation of, or in connection with, the Transaction, or in respect of any other matter or thing whatsoever.

**ARTICLE IV<br> <u>REPRESENTATIONS AND WARRANTIES RELATING TO THE COMPANY AND THE SUBSIDIARIES</u>**

Except as disclosed in the Disclosure Schedules, the Company hereby represents and warrants to the Purchaser, as of the date hereof and as of the Closing Date, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.1 <u>Incorporation, Organization and Qualification; Capitalization; Authority, Due Execution and Binding Effect</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 Company and each Subsidiary is duly incorporated or organized, as the case may be, validly existing and in good standing under the Laws of its jurisdiction of incorporation or organization, as set forth on <u>Schedule 4.1(a)</u>, and has all requisite corporate or limited liability company power and authority to own, lease and operate its assets and properties and to conduct the Business as presently being conducted. Complete and correct copies of the Organizational Documents of the Company and the Subsidiaries as presently in effect have been made available to Purchaser. The Organizational Documents of the Company and the Subsidiaries, as made available to Purchaser prior to Closing, shall be complete and correct as of the Closing 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;(b) <u>Schedule 4.1(a)</u> sets forth for each of the Company and each Subsidiary (i) its name and jurisdiction of incorporation or organization; (ii) the number of authorized, issued and

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outstanding Equity Interests of the Company and each Subsidiary and the identity of the record and beneficial owner of such issued and outstanding Equity Interests; (iii) a list of the current officers and directors of the Company and each Subsidiary; and (iv) each jurisdiction in which the Company and each Subsidiary is qualified to do business as a foreign corporation or entity. Except for the Equity Interests of the Company and each Subsidiary which are identified in <u>Schedule 4.1(a)</u> as being issued and outstanding, there are no Equity Interests which are issued and outstanding with respect to the Company. Except as set forth on <u>Schedule 4.1(a)</u>, all of the Equity Interests of the Company and each Subsidiary which are identified on <u>Schedule 4.1(a)</u> as being issued and outstanding have been duly authorized and validly issued and are fully paid and non-assessable and all of such Equity Interests are owned by the Person identified on <u>Schedule 4.1(a)</u>. The Company and each Subsidiary is duly authorized to conduct business in, and is good standing under the laws of, each jurisdiction in which such qualification is required, except where the failure to be so qualified would not have a Company Material Adverse Effect. Except for the Subsidiaries, the Company does not own or have any right to acquire, directly or indirectly, any Equity Interests in any Person.

&nbsp;&nbsp;&nbsp;&nbsp;&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 execution and delivery of this Agreement and the Ancillary Agreements by the Company, the performance by the Company of its obligations hereunder and thereunder and the consummation by the Company of the Transaction have been duly and validly authorized by all necessary action and no other action on the part of the Company is necessary to authorize the execution, delivery and performance of this Agreement and the Ancillary Agreements, or the consummation of the Transaction. Assuming the due authorization, execution and delivery by the Purchaser, this Agreement shall constitute, upon such execution and delivery hereof, the legal, valid and binding obligation of the Company, enforceable against the Company, in accordance with its terms, except as enforcement may be limited by the Enforceability Exceptions. Each Ancillary Agreement to which the Company is party will be duly and validly executed and delivered by the Company, and, assuming that such Ancillary Agreement constitutes a valid and binding obligation of the other parties thereto, each Ancillary Agreement will constitute a legal, valid and binding obligation of the Company, enforceable against it in accordance with its terms, except to the extent that the enforceability thereof may be limited by the Enforceability Exceptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.2 <u>No Violation; Consents and Approvals; No Conflict</u>**. Except as set forth on <u>Schedule 4.2</u>, the execution, delivery and performance of this Agreement and each Ancillary Agreement to which the Company is party does not, and the consummation of the Transaction and compliance with the terms hereof and thereof will not, directly or indirectly (a) violate, conflict with, or result in (with or without notice or lapse of time) a violation or breach of any Law, Governmental Authorization or Order to which the Company is subject; (b) violate, conflict with or result in the breach of any provision of the Organizational Documents of the Company; (c) conflict in any respect with, result in a breach of, constitute a default (or event which with the giving of notice or lapse of time, or both, would become a default) under, require any Consent under, or give to others any right of termination, amendment, acceleration, suspension, revocation or cancellation (or other material right including a right of payment) of any Material Contract; or (d) result in the creation of any Lien (other than a Permitted Lien) upon or with respect to any of the assets or properties of the Company, except where the violation, conflict, breach, default, acceleration, termination, modification, cancellation, failure to give notice, or Lien would not have a Company Material Adverse Effect. Except as set forth on <u>Schedule 4.2</u>, no Governmental Authorization of any Governmental Authority, or any other Consent, waiver, approval, Order or

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authorization of, or declaration or filing with, or notification to, any Governmental Authority is required to be obtained or made by or with respect to the Company or the Sellers in connection with the consummation of the Transaction, except where the failure to obtain such Governmental Authorization, Consent, waiver, approval, Order, Permit, or authorization, or such failure to provide such notification, would not have a Company Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.3 <u>Ownership; No Liens</u>**. The Equity Interests of the Company and the Subsidiaries are duly authorized, validly issued, fully paid and non-assessable and are owned free and clear of any Liens (other than restrictions on transfer arising under the Securities Act or any applicable state or federal securities Law). Except for the Organizational Documents of the Company and as otherwise set forth on <u>Schedule 4.3</u>, there are no (a) equityholder agreements, voting trusts, proxies or other agreements or understandings, including any rights, warrants, put, call, subscription, option, buy-sell or other agreements or commitments with respect to any Equity Interests in the Company or any Subsidiary, including with respect to the issuance, sale, redemption, acquisition, disposition, transfer, pledge, or voting thereof and (b) outstanding or authorized equity appreciation rights, options, restricted equity, phantom equity, other equity or equity-based rights or similar rights with respect to the Company or any Subsidiary, or the payment of a value relating to the Equity Interests of the Company or any Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.4 <u>Company Financial Statements</u>**. <u>Schedule 4.4</u> sets forth the Company Financial Statements, which, except as set forth in the notes thereto or on <u>Schedule 4.4</u>, have been prepared from the books and records of the Company and the Subsidiaries, in accordance with GAAP on a consistent basis throughout the periods covered thereby and fairly present in all material respects the financial condition and results of operations of the Business or the Company, as applicable, as of the respective date thereof and for the period referred to therein, subject to, in the case of the Latest Financials, the absence of notes and normal year-end adjustments, none of which would be material if properly presented. The books of account, minute books and other records of the Company and the Subsidiaries, all of which have been made available to the Purchaser, are in all material respects true, correct and complete and have been maintained in accordance with sound business practices. As of the Closing, all such books and records will be in the possession of the Company. The Company maintains and complies in all material respects with a system of accounting controls sufficient, in all material respects, to provide reasonable assurance (a) that transactions are recorded as necessary to permit the preparation of financial statements in conformity with GAAP, applied on a consistent basis (except as may be set forth in the notes thereto), (b) that receipts and expenditures of the Company are being made only in accordance with the respective management's authorization, (c) all income and expense items are promptly and properly recorded for the relevant periods in accordance with policies maintained by the Company, and (d) regarding prevention or timely detection of unauthorized acquisition, use or disposition of the assets of the Company that could have a material effect on the consolidated financial statements of the Company and the Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.5 <u>No Undisclosed Liabilities</u>**. Except for Liabilities that are (a) reflected, accrued or reserved against on balance sheet dated as of the Latest Balance Sheet Date in the Company Financial Statements, (b) set forth in the Disclosure Schedules, (c) Liabilities which will be included in the calculation of Closing Date Debt or Closing Date Transaction Expenses, (d) incurred in the ordinary course of business after the date of the Latest Financials, (e) Liabilities incurred in connection with the Transaction, or (f) Liabilities or obligations for performance of

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Contracts to which the Company or any Subsidiary is party, the Company does not have any material Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.6 <u>Absence of Certain Changes or Events</u>**. Except as set forth on <u>Schedule 4.6</u>, since the Latest Balance Sheet Date, (a) there has been no event, change, circumstance, effect or state of facts that, individually or in the aggregate with other events, changes, circumstances, effects or states of facts, has had a Company Material Adverse Effect, (b) the Company and the Subsidiaries have operated the Business in all material respects in the ordinary course of business consistent with past practices, and (c) neither the Sellers, the Company, nor the Subsidiaries have authorized the issuance, delivery or sale of: (i) any part of the Equity Interests of the Company or any Subsidiary; (ii) any securities convertible into, or exchangeable or exercisable for, the Equity Interests of the Company or any Subsidiary; or (iii) any rights, warrants, calls, subscriptions or options to acquire the Equity Interests of the Company or any Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.7 <u>Litigation</u>**. Except as set forth on <u>Schedule 4.7</u>, during the three year period ending on the date of this Agreement, (a) there have not been any (i) pending or, to the Knowledge of the Company, threatened Actions against the Company, the Subsidiaries or any of their properties or assets, (ii) Orders outstanding against the Company or any of its properties or assets, or (iii) Action pending or, to the Knowledge of the Company, threatened, or Order, against or affecting any of the officers, directors, employees or contractors of the Company or the Subsidiaries with respect to their activities for or on behalf of the Company or the Subsidiaries or their respective properties, assets, personnel or business activities; and (b) the Company and the Subsidiaries have not initiated, and do not have a present intent to initiate, any Action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.8 <u>Compliance with Laws</u>**. Except as set forth on <u>Schedule 4.8</u>, the Company and the Subsidiaries are, and have been at all times during the five year period ending on the date of this Agreement, in compliance in all material respects with all applicable Laws and all Orders of, and agreements with, any Governmental Authority applicable to the Business. Except as set forth in <u>Schedule 4.8</u>, the Company and the Subsidiaries have not received, within the last five years, any notice from any Governmental Authority that the Business is being conducted in violation of any applicable Laws. To the Knowledge of the Company, except for customary or routine inspections by Governmental Authorities, no investigation or review by any Governmental Authority with respect to the Company or any Subsidiary is underway or threatened, nor has any Governmental Authority indicated to the Company or any Subsidiary an intention to conduct the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.9 <u>International Trade and Anti-Corruption</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) Neither the Company, the Subsidiaries nor any of their respective officers, directors, employees or agents nor any other third-party representative acting at the direction of the Company or any Subsidiary is currently, or has been in the last five years: (i) a Sanctioned Person; (ii) organized, resident or located in a Sanctioned Country; (iii) engaging in any dealings or transactions with, or for the benefit of, any Sanctioned Person or in any Sanctioned Country, or

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(iv) otherwise in violation of Sanctions Laws, Ex-Im Laws, or anti-boycott Laws (collectively, "**Trade Control 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) Neither the Company, the Subsidiaries nor any of their officers, directors, employees or agents nor any other third-party representative acting at the direction of the Company or any Subsidiary has at any time made any unlawful payment or given, offered, promised, or authorized or agreed to give, any money or thing of value, directly or indirectly, to any Government Official or other Person or has otherwise been in violation of any Anti-Corruption Laws. The Company and the Subsidiaries have maintained in all material respects complete and accurate books and records, including records of payments to any agents, consultants, representatives, third parties and Government Officials.

&nbsp;&nbsp;&nbsp;&nbsp;&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) During the five years prior to the date of this Agreement, neither the Company nor any Subsidiary has (i) received from any Governmental Authority or any other Person any notice, inquiry, or internal or external allegation, (ii) made any voluntary or involuntary disclosure to a Governmental Authority or (iii) conducted any internal investigation or audit concerning any actual or potential violation or wrongdoing, in each case, related to, or in connection with, Trade Control Laws or Anti-Corruption Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.10 <u>Permits</u>**. <u>Schedule 4.10</u> sets forth, for the Company and each Subsidiary, a true, correct and complete list of each Permit which, if not obtained, maintained or held by such Company or any Subsidiary would reasonably be expected to have a Company Material Adverse Effect. The Company and the Subsidiaries currently has and at all times prior to the date of this Agreement has had all Permits in full force and effect required for the lawful conduct of the Business. Each Permit is valid, binding and in full force and effect and the Company and each Subsidiary is not in default (or with the giving of notice or lapse of time or both, would be in default) under any Permit. The Company and the Subsidiaries have not received any notice alleging the failure to hold a required Permit or threatening revocation of any Permit. Except as set forth on <u>Schedule 4.10</u>, the consummation of the purchase and sale of the Purchased Interests will not affect the validity of any Permit held by the Company or any Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.11 <u>Environmental Matters</u>**. The Company and each Subsidiary is now, and at all times has been, in material compliance with all applicable Environmental Laws and all Permits required thereunder. The Company and the Subsidiaries have not received any written notice regarding any uncured or unresolved violation of or Liability under Environmental Laws by or for the Company or any Subsidiary, and, to the Knowledge of the Company, no such notice is, or has been, threatened. No Environmental Claims are pending or, to the Knowledge of the Company, threatened against the Company or any Subsidiary. There has been no release or disposal of, contamination by, or exposure of any Person to any Hazardous Materials that has given or would give rise to any Liability under Environmental Laws for the Company or any Subsidiary. The Company has furnished to the Purchaser all environmental assessments, audits, reports and other material environmental documents in their possession or control that relate to the Company and

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the subsidiaries or the Business (including any current or former facilities, properties or operations thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.12 <u>Material 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) For purposes hereof, the term "**Material Contracts**" shall mean all Contracts or groups of related Contracts to which the Company or any Subsidiary is a party or by which the assets of the Company or any Subsidiary are bound:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 the same party for the sale of products or services by the Company or any Subsidiary under which the undelivered balance of such products or services has a sales price in excess of $200,000 payable in any 12-month period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 the same party for the purchase of products or services by the Company or any Subsidiary under which the undelivered balance of such products or services has a purchase price in excess of $200,000 payable in any 12-month period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) relating to capital expenditures with respect to the Company and involving future payments that will exceed $200,000 in any 12-month period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) regarding acquisitions or dispositions of a material portion of the business or material assets of the Company or any 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) that are employment agreements, severance agreements, employee termination agreements, change in control agreements, indemnification agreements, or other agreements with any Employee with an annual base salary or annual base wages in excess of $150,000 for any 12-month period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) that is a collective bargaining agreement or other Contract with any labor union, works council or labor organization (each, a "**CBA**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) that is a settlement, conciliation or similar agreement with any Governmental Authority or pursuant to which the Company or any Subsidiary will have any material outstanding obligation (including monetary or non-monetary) to any Governmental Authority after the date of 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) relating to the borrowing of money or the guaranteeing, incurring, assuming, creating or securing of any obligation for borrowed money or loaned money, other than ordinary course extensions of credit to Employees (not to exceed $25,000 individually or $150,000 in aggregate), or other guaranty by or with the Company or any Subsidiary, or allowing or permitting the imposition of any Lien on any material asset, including the Equity Interests, or property of the Company or any Subsidiary, or any note, bond, indenture, mortgage, installment obligation or other evidence of Indebtedness or any guarantee of such Indebtedness by the Company or any 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) relating to leases, licenses, installment or conditional sale agreements, and other contracts affecting the ownership of, leasing of, title to, use of, holding of, operation of, or any leasehold or other interest in, any real or personal property of the Company or

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any Subsidiary; <u>provided</u> that in each case such Contract involves an amount in excess of $200,000 in any 12-month period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) that are guaranties, suretyships or other contingent agreements, or Contracts relating to, or evidences of, or providing security for, Liabilities (whether incurred, assumed, guaranteed or secured by any asset of the Company or any Subsidiary) of any Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) relating to the acquisition (by merger, purchase of stock, or assets, or otherwise) of substantially all the assets or any Equity Interests of any business enterprise, or other merger, consolidation or business combination involving the Company or any Subsidiary (other than 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) relating to any joint venture, strategic alliance, partnership agreements, minority equity investment, profit-sharing or other agreements involving the sharing of profits;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) that contain any covenant materially limiting the ability of or prohibiting the Company or any Subsidiary from freely engaging in any business in any specified geographical area, or competing against any Person, or from soliciting business relations or customers or from hiring any Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) relating to IP Rights, including (x) Contracts under which any IP Rights are licensed, granted or otherwise transferred by or to the Company or any Subsidiary, other than (A) non-exclusive licenses granted by the Company or any Subsidiary to customers in the ordinary course of business, or (B) generally available, off-the-shelf Software licenses and support/maintenance agreements commercially available on standard terms for no more than $75,000 annually, (y) research, development, collaboration or assignment Contracts, and (z) Contracts affecting the Company's, Subsidiary's or any other Person's ability to enforce, own, register, license, use, disclose, transfer or otherwise exploit any IP Rights (including any covenant not to sue or co-existence or settlement agreements);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) that relate to the engagement by the Company or any Subsidiary of the services of any Service Provider (other than an Employee) with an annual target cash compensation in excess of $150,000;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) under which the Company or any Subsidiary is subject to any obligation or requirement to make any investment (in the form of a loan, extension of credit, advance, or capital contribution) in any Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) equityholders' or other agreements governing the voting or transfer of the Equity Interests or the approval of or restrictions on material transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) that contain any capped pricing, "sole source", "best pricing", "most favored nation" pricing or similar pricing terms or provisions in favor of the counterparty and regarding minimum volumes, volume discount, rebates or refunds or other similar items;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) with a material indemnity, either to or by the Company or any Subsidiary; 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;&nbsp;&nbsp;&nbsp;&nbsp;(xx) granting to any Person a first refusal, a first offer or similar preferential right to purchase or acquire any material right, asset or property of the Company or any Subsidiary or otherwise grant any right to buy any material portion of the assets of Business or purports to limit the ability of the Company or any Subsidiary to sell, transfer, pledge or otherwise dispose of any material portion of their assets or the 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;(b) <u>Schedule 4.12</u> sets forth a correct and complete list, as of the date of this Agreement, of all Material Contracts. Correct and complete copies of each Material Contract have been made available to the Purchaser. Each of the Material Contracts is in full force and effect and is a legal, valid and binding obligation of the Company or Subsidiary, as applicable, and to the Knowledge of the Company, each other party thereto, enforceable against the Company or the Subsidiary, as applicable, and, to the Knowledge of the Company, each such other party thereto, in accordance with its terms, subject to the Enforceability Exceptions. With respect to all Material Contracts, neither the Company, the Subsidiaries nor, to the Knowledge of the Company, any other party to any such Material Contract (i) has failed to perform, in any material respect, its obligations under the Material Contracts required to be performed by it, or (ii) is in material breach or anticipated breach thereof or default thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.13 <u>Intellectual 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;(a) <u>Schedule 4.13(a)</u> sets forth a correct and complete list of each of the following IP Rights owned (or purported to be owned) or filed by or on behalf of the Company or any Subsidiary: (i) all issued Patents and pending Patent applications; (ii) all Trademark registrations and pending Trademark applications; (iii) all domain name registrations, (iv) all unregistered Trademarks; (v) all copyright registrations and pending copyright applications; and (vi) all material proprietary Software (for each, indicating, as applicable, the owner(s), filing or registration number, title, jurisdiction, date of issuance, and current record applicant(s) and registrants and, for Internet domain names, the registrant, registrar, and expiration date). All of the foregoing IP Rights are valid, enforceable, in full force and effect and subsisting. Except as set forth on <u>Schedule 4.13(a)</u>, the Company or a Subsidiary solely and exclusively owns all rights, title or interest in all IP Rights owned (or purported to be owned) by the Company or any Subsidiary, and has valid, enforceable, sufficient and continuing rights to use, all Company Intellectual Property and Licensed Intellectual Property, in each case free and clear of all Liens (other than Permitted Liens). The Transaction and the consummation thereof will not impair any right, title or interest of the Company in or to any Company Intellectual Property, Licensed Intellectual Property or Company IT Systems, and all of the Company Intellectual Property, Licensed Intellectual Property and Company IT Systems will be owned or available for use, as applicable, by the Company immediately after the Closing on terms and conditions substantially similar to those under which the Company owned or used the Company Intellectual Property, Licensed Intellectual Property and Company IT Systems immediately prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&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) No claim or Action is pending or was made within the past five years, or, to the Knowledge of the Company, threatened, against the Company or any Subsidiary, (i) challenging the ownership, enforceability, patentability, registrability, validity or use by the Company of any Company Intellectual Property or any Licensed Intellectual Property, or (ii) alleging that the Company, any Subsidiary or any Company Software or product (in each case, owned by the Company or any Subsidiary) or the use thereof, is or was (or without a license is)

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infringing, misappropriating or otherwise violating the IP Rights of any Person, and, to the Knowledge of the Company, no valid basis exists for any such claim or Action. Except as set forth on <u>Schedule 4.13(b)</u>, no Company Intellectual Property is subject to any outstanding Order, settlement, consent or Contract restricting the use, ownership, registration, enforcement, or other exploitation thereof by the Company or any 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;(c) Except as set forth on <u>Schedule 4.13(c)</u>: (i) neither the Company, any Subsidiary, nor the conduct and operations of the Business, or its products and services, has infringed, misappropriated or otherwise violated, or infringed, misappropriated or otherwise violated the IP Rights of any Person, and the Company and the Subsidiaries have not received any notice (including any cease and desist letters, demands or offers to license any IP Rights from any Person) regarding any of the foregoing within the past five years; and (ii) to the Knowledge of the Company, no Person has infringed, misappropriated or otherwise violated or is infringing, misappropriating or otherwise violating any Company Intellectual Property owned by the Company or any 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;(e) The Company and each Subsidiary owns or has a valid right to access and use all computer systems, networks, platforms and related systems, hardware, Software, databases, websites, and equipment used to process, transmit, store, maintain and operate data, information, and functions used or held for use in connection with, or otherwise necessary for, the Business (the "**Company IT Systems**"). The Company IT Systems (i) are adequate and in good working condition for, and operate and perform in all material respects as required in connection with, the operation of the Business, and (ii) do not, to the Knowledge of the Company, contain any viruses, worms, Trojan horses, bugs, faults or other devices, errors, contaminants or effects that (A) materially disrupt or adversely affect the functionality of any Company IT Systems, except as disclosed in their documentation, or (B) enable or assist any Person to access without authorization any Company IT Systems. During the past five years, there have been no failures, continued substandard performance or other adverse events affecting any Company IT Systems that have

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caused any material disruption or interruption in the use of any Company IT Systems or the conduct of the Business. The Company and the Subsidiaries maintain commercially reasonable security, disaster recovery and business continuity plans, procedures and facilities, and act in compliance therewith in all material respects. The Company and the Subsidiaries have purchased a sufficient number of license seats (and scope of rights) for all third-party Software that is used or held for use in the conduct of the Business, and has complied in all material respects with the terms and conditions of the Contracts corresponding to such Software.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company, the Subsidiaries and the operation of the Business (including the collection, storage, processing, use, and sharing of personal or sensitive information or data) are, and during the past five years have been, in compliance with all Data Security Requirements in all material respects. Neither the Company's and the Subsidiary's operation of any websites used in connection with the Business, nor the content thereof or data processed, collected, stored, or disseminated by the Company and the Subsidiaries in connection therewith, violates any applicable Law or other Data Security Requirement in any material respect. There is no claim or Action pending or, to the Knowledge of the Company, threatened against the Company and the Subsidiaries, alleging a violation of any Person's privacy or confidentiality rights under any applicable Laws or other Data Security Requirement, and, to the Knowledge of the Company, no valid basis exists for any such claim or Action. The Company and the Subsidiaries have not been subject to any investigations or audits concerning any Data Security Requirements. There have not been any security breaches or other unauthorized access to or use of, (i) any of the Company IT Systems (including with respect to any data or other information stored or contained therein or accessed, transmitted or processed thereby), or (ii) any data, Trade Secrets or other personal, business, sensitive or confidential information of the Company, including those owned thereby or in the possession thereof. The Transaction and the consummation thereof will not violate any Data Security Requirement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.14 <u>Real Property</u>**. The Company and the Subsidiaries do not own, and have never owned, any real property. <u>Schedule 4.14</u> sets forth a correct and complete list of all real property leased, subleased or licensed by the Company or any Subsidiary as tenant, lessee or licensee or that is otherwise used or occupied by the Company or any Subsidiary (the "**Leased Real Property**"). Except as set forth on <u>Schedule 4.14</u>, and except as may be limited by the Enforceability Exceptions, the Company or a Subsidiary, as applicable, has a valid, binding and enforceable leasehold interest under each of the Leased Real Properties, free and clear of all Liens (other than Permitted Liens).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.15 <u>Employee Matters and Benefit 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) <u>Schedule 4.15(a)</u> contains a correct and complete list of all "employee benefit plans" (as defined in Section 3(3) of ERISA, whether or not subject to ERISA) and all other benefit or compensation plans, programs, policies, arrangements or payroll practices, including, without limitation, all bonus, commission, incentive, equity or equity-based compensation, profit-sharing, pension, stock purchase, deferred compensation, retirement, supplemental retirement, savings, severance, termination, sick leave, vacation pay, salary continuation for disability, hospitalization, medical insurance, life insurance, scholarship plans and any other employee benefit plans, programs, policies, agreements, contracts or arrangements, and all employment, consulting, retention, change in control or compensation agreements, contracts or arrangements, in each case,

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sponsored, maintained by, contributed to or required to be contributed to (other than through intercompany charges) by the Company or the Subsidiaries with respect to which the Company or the Subsidiaries has any Liability (the "**Employee 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;(b) Except as set forth in <u>Schedule 4.15(b)</u>, none of the Company and the Subsidiaries or any trade or business (whether or not incorporated) which is or has in the last six years been under common control, or which is or has in the last six years been treated as a single employer, with any of them under Section 414(b), (c), (m) or (o) of the Code has, in the last six years, maintained, sponsored, contributed to or has been obligated to contribute to, or otherwise has any Liability under or with respect to, any "employee pension benefit plans" (as defined in Section 3(2) of ERISA) subject to Title IV of ERISA or Section 412 or 430 of the Code, including a "multiemployer plan" (as defined in Section 3(37) of ERISA). Neither the Company nor the Subsidiaries has any Liability as a consequence of at any time being considered a single employer under Section 414 of the Code with any other Person. None of the Employee Plans provide (or could be required to provide) for post-employment, post-termination or post-ownership life or health insurance, benefits or coverage for any participant or any beneficiary of a participant, or any other Person, except as may be required under COBRA and at the expense of the participant or the participant's beneficiary.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Correct and complete copies of the following documents, with respect to each of the Employee Plans, have been made available or delivered to Purchaser, to the extent applicable: (i) any plans and all amendments thereto and any related trust documents and all amendments thereto or, where a plan document does not exist, a written description of the Employee Plan; (ii) the most recent Form 5500 and all schedules thereto; (iii) the most recent actuarial report; (iv) for each Employee Plan intended to be qualified under Section 401(a) of the Code, the most recent determination or opinion letter regarding the qualification of such Employee Plan; (v) the most recent summary plan description and all summaries of material modification thereto; and (vi) any non-routine correspondence with any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Employee Plan has been established, maintained, funded, operated and administered in all material respects, in accordance with its terms and in compliance with all applicable provisions of ERISA, the Code and other applicable Laws, and neither the Company, or the Subsidiaries, nor, to the Knowledge of the Company, any "party in interest" or "disqualified person" with respect to the Employee Plans has engaged in a non-exempt "prohibited transaction" within the meaning of Section 4975 of the Code or Section 406 of ERISA.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Employee Plan subject to Section 401(a) of the Code qualifies thereunder and any trusts maintained pursuant thereto are exempt from federal income taxation under Section 501 of the Code, and nothing has occurred with respect to any Employee Plan which could reasonably be expected to cause the loss of such qualification or exemption or otherwise result in the imposition of any Liability, penalty or tax under ERISA or 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;(f) All contributions (including all employer contributions and employee salary reduction contributions) or other payments required to have been made under any of the Employee Plans to any insurance carrier or service provider or any funds or trusts established thereunder or in connection therewith have been made by the due date thereof (including any valid extension).

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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) There are no pending or, to the Knowledge of the Company, threatened Actions, claims or lawsuits which have been asserted or instituted against or relating to any of the Employee Plans, the assets of any of the trusts under such plans or the plan sponsor or the plan administrator, or against any fiduciary of the Employee Plans with respect to the operation of such plans (other than routine benefit 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;(h) Except as set forth in <u>Schedule 4.15(h)</u>, the execution and performance of this Agreement and the consummation of the Transaction would not, either alone or in combination with any other event(s), directly or indirectly: (i) result in any payment or benefit (whether in cash, property, or vesting of property) becoming due to any Service Provider or satisfy any prerequisite (whether exclusive or non-exclusive) to any payment or benefit to any Service Provider; (ii) increase any benefits or compensation under any Employee Plan or otherwise to any Service Provider; (iii) result in the acceleration of the time of payment, vesting or funding or the forfeiture of any such benefits under any Employee Plan or otherwise to any Service Provider; or (iv) result in any payments or benefits to be made to any Service Provider by the Company or the Subsidiaries to be non-deductible (in whole or in part) under Section 280G of the Code or with any other such payment, be characterized as an "excess parachute payment" (as such term is defined in Section 280G(b)(1) 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;(i) Any Service Provider who is not treated as an employee for federal tax purposes by the Company or the Subsidiaries, as applicable, is not an employee for such 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;(j) Each of the Employee Plans that is a "nonqualified deferred compensation plan" (within the meaning of Code Section 409A(d)(1)) and is subject to the requirements of Code Section 409A is in compliance with Code Section 409A and all guidance issued by the Internal Revenue Service of the United States Department of Treasury applicable to nonqualified deferred compensation 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;(k) Neither the Company nor any Subsidiary is party to, or has any obligation under, any contract or Employee Plans to indemnify or gross up any Person for any Tax, including under Section 4999 of the Code and Section 409A of the Code (or any corresponding provisions of state, local or non-U.S. Tax Laws).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.16 <u>Taxes</u>**. Except as set forth on <u>Schedule 4.16</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 Company is currently, and has been at all times since the date of its formation, properly classified as a partnership for federal and applicable state Income Tax purposes. No issue has been raised by a Governmental Authority in any prior examination of the Company or any Subsidiary which, by application of the same or similar principles, could reasonably be expected to result in a proposed deficiency for any subsequent taxable period.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company and each Subsidiary have timely filed all federal, state, local and foreign income Tax Returns and all other material Tax Returns that were required to be filed by it, taking into account any valid extensions of time to file such Tax Return. All income and other material Tax Returns filed by or with respect to the Company and the Subsidiaries are true, correct and complete in all material respects. All Taxes due by or on behalf of the Company and the Subsidiaries have been fully and timely paid.

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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) Within the last three years, no Governmental Authority has asserted in writing any deficiency or claim for any amount of additional Taxes against the Company and the 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) No federal, state, local or foreign audits or other administrative proceedings or court proceedings are pending with regard to any Taxes or Tax Returns of the Company and the Subsidiaries, and the Company has not received a written notice of any actual or threatened audits or proceedings that have not been fully resolved and paid in full. Each Subsidiary is currently, and has been at all times during the Company's ownership of an equity interest in such Subsidiary, an entity disregarded as separate from the Company for U.S. federal and state tax purposes. No Subsidiary was, at any time prior to the time the Company's acquired an equity interest in such Subsidiary, treated as a subchapter "S" corporation for U.S. federal and applicable state income Tax 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;(e) All material Taxes that the Company or any Subsidiary was or is required to charge, withhold or collect have been charged, withheld and collected and have been timely paid to the proper Governmental Authorities.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Permitted Liens of the type described in clause (a) of the definition thereof, there are no Liens for Taxes upon the assets of the Company or any 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;(g) Neither the Company nor any Subsidiary (i) is a party to any tax sharing, tax allocation or tax indemnity agreement or similar Contract or arrangement, whether written or unwritten (other than a Contract or agreement entered into in the ordinary course of business the principal subject matter of which is not Taxes) or (ii) is subject to any private letter ruling of the Internal Revenue Service or comparable rulings of any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&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) The Company and the Subsidiaries have never been a party to any "listed transaction" as defined in Section 1.6011-4(b) of the Regulations (or any similar provisions of state, local or non-U.S. 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) Since the Latest Balance Sheet Date, the Company and the Subsidiaries have not incurred any material liability for Taxes other than 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;(j) The Company and the Subsidiaries have not waived any statute of limitations with respect to any Taxes or agreed to any extension of time with respect to any Tax assessment or deficiency nor is any such waiver or extension pending, in each case, except for any extension arising as a result of the Company or a Subsidiary obtaining an extension of time to file a Tax Return.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Neither the Company nor any Subsidiary is liable for the Taxes of any other Persons (i) under Section 1.1502-6 of the Regulations (or comparable provisions of state, local or foreign Law) or (ii) as a transferee or successor or under any other 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;(l) During the past three years, the Company and the Subsidiaries have not received written notice of any claim made by a Governmental Authority in a jurisdiction where the Company or Subsidiary does not file Tax Returns such that it is or may be subject to taxation by that jurisdiction. The Company and the Subsidiaries do not have a permanent establishment in

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any country other than the country of its organization. To the Knowledge of the Company, neither the Company nor any of the Subsidiaries is subject to Tax in a jurisdiction outside the country of its organization.

&nbsp;&nbsp;&nbsp;&nbsp;&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) The unpaid Taxes of the Company and the Subsidiaries (i) did not, as of the date of the Latest Financials, materially exceed the accrued liability for Taxes (rather than any reserve for deferred Taxes established to reflect timing differences between book and Tax income) set forth on the face of the Latest Financials as of the date of the Latest Financials (rather than in any notes thereto) and (ii) as of the Closing Date, does not materially exceed such accrued liability for Taxes as adjusted for the passage of time through the Closing Date in accordance with the past custom and practice of the Company and the Subsidiaries in filing its Tax Returns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) The Company and the Subsidiaries have (i) properly collected and remitted sales, value added and similar Taxes with respect to sales made and services provided to its customers and (ii) for all sales made or services provided that are exempt from sales, value added or similar Taxes, received and retained all appropriate documentation qualifying such sales as exempt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) The Company and the Subsidiaries and any of their Affiliates or predecessors by merger or consolidation have never been a party to any transaction intended to qualify under Section 355 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;(p) Except for the representations and warranties set forth in <u>Section 4.16(f)</u>, no representation or warranty contained in this <u>Section 4.16</u> shall be deemed to apply directly or indirectly with respect to any Post-Closing Period. Notwithstanding anything to the contrary in this <u>Section 4.16</u>, the Sellers make no representation as to the amount of, or limitations on the use of, any net operating losses, capital losses, deductions, Tax credits and similar items of the Company or any of its Subsidiaries that are properly attributable to a Pre-Closing Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) For purposes of this <u>Section 4.16</u>, any reference to the Company or any Subsidiary shall be deemed to include any successor, transferee, or Person that merged with or was liquidated or converted into the Company or Subsidiary, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.17 <u>Brokers</u>**. No broker, finder or agent is entitled to any brokerage fees, finder's fees or commissions in connection with this Agreement or the Transaction based upon arrangements made by or on behalf of the Company or the Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.18 <u>Affiliates</u>**. Except as set forth on <u>Schedule 4.18</u>, there are no loans, leases, commitments, guaranties, transactions, arrangements or other Contracts between (a) the Company or any Subsidiary, on the one hand, and (b) any Seller or any equityholder, director or officer of the Company or any Subsidiary, or any immediate family member or Affiliate of any of the foregoing Persons, on the other hand (the Persons identified in this clause (b), the "**Seller Related Parties**"). Except as set forth on <u>Schedule 4.18</u>, no Seller Related Party (x) owns any interest in any material asset used in the Business, (y) possesses, directly or indirectly, any material financial interest in, or is a director or executive officer of, any Person which is a material client, supplier, customer, lessor, lessee or competitor of the Company or any Subsidiary, and (z) owes any material amount to, or is owed any material amount by, the Company or any Subsidiary (other than ordinary

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course accrued compensation, employees benefits or employee or director expense reimbursement). All Contracts, arrangements, understandings and interests that are required to be disclosed pursuant to this <u>Section 4.18</u> are referred to herein as "**Seller Related Party Transactions**."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.19 <u>Insurance</u>**. <u>Schedule 4.19</u> identifies, as of the date of this Agreement, all material insurance policies (the "**Insurance Policies**") with respect to the properties or assets of the Company or any Subsidiary or the Business, the name of the insurer of such policy and the type of policy provided by such insurer. Correct and complete copies of each of the Insurance Policies have been made available to the Purchaser. All Insurance Policies are valid and in full force and effect, all premiums due and payable thereon have been paid in full, and the Company and the Subsidiaries are in compliance in all material respects with the terms of the Insurance Policies. Neither the Company nor any Subsidiary has received any written notice regarding any actual or threatened (a) cancellation or invalidation of any Insurance Policy or (b) refusal of any coverage or rejection of any claim under any Insurance Policy at any time during the preceding five year period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.20 <u>Ownership and Sufficiency of 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;(a) The Company and the Subsidiaries own good and valid title to, or a valid leasehold interest in, or a valid license to use, all of its personal property and assets (whether tangible or intangible) shown to be owned, leased, used, held for use or licensed by the Company or the Subsidiaries on the balance sheet included in the Latest Financial Statements (except to the extent such property was sold or otherwise disposed of in the ordinary course of business since the date thereof), free and clear of all Liens (other than Permitted Liens).

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company's and each Subsidiary's tangible assets are (i) free from any material defects, (ii) have been maintained in accordance with normal industry practice, and (iii) are in good operating condition and repair consistent with their age and expected useful life (subject to normal wear and tear and routine repairs and maintenance) adequate and suitable for the purposes for which such assets and properties are presently used.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.21 <u>Labor</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) Neither the Company nor any Subsidiary is a party to or bound by any CBA. No employees of the Company or any Subsidiary ("**Employees**") are represented by any union, labor organization, or works council. No labor organization or group of Employees has made a demand for recognition or certification, and in the past five years, there have been no representation or certification proceedings or petitions seeking a representation or certification proceeding pending or threatened to be brought or filed with the National Labor Relations Board or any other labor relations tribunal or union organizing activities. There are, and in the past three years there have been, no (a) strikes, work stoppages, slowdowns, lockouts or arbitrations or (b) material grievances, unfair labor practice charges or other labor disputes pending or, to the Knowledge of the Company, threatened against or involving the Company, any Subsidiary or any Employee. There are no complaints, charges, claims or other Actions against the Company or any Subsidiary pending or, to Knowledge of the Company, threatened that could be brought or filed, with any Governmental Authority or based on, arising out of, in connection with or otherwise

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relating to the employment, engagement or termination of employment or engagement or failure to employ or engage any individual by the Company or any 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;(b) The Company and each Subsidiary is, and for the past three years has been, in compliance in all material respects with all Laws relating to labor, employment and employment practices, including the WARN Act and all such Laws relating to classification of exempt and non-exempt employees and of independent contractors, wages and hours, collective bargaining, discrimination, harassment and retaliation, civil rights, whistleblowing, disability rights or benefits, equal opportunity, employee trainings and notices, affirmative action, safety and health, workers' compensation, COVID-19 and the collection and payment of withholding and/or social security taxes and any similar tax except for immaterial non-compliance. There has been no "mass layoff" or "plant closing" (as defined by the WARN Act) with respect to the Company or any Subsidiary within the six months prior to Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&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 4.21(c)</u>, neither the Company nor any Subsidiary has any material Liability for (i) any unpaid wages, salaries, wage premiums, commissions, bonuses, fees, or other compensation to Service Providers under applicable Law, Contract or Company policy; and/or (ii) any fines, Taxes, interest, or other penalties for any failure to pay or delinquency in paying such compensation. To the Knowledge of the Company, no Service Provider is in any material respect in violation of any term of any employment agreement, nondisclosure agreement, common law nondisclosure obligation, fiduciary duty, noncompetition agreement, nonsolicitation agreement, restrictive covenant or other obligation: (x) owed to the Company or any Subsidiary; or (y) owed to any third party with respect to such person's right to be employed or engaged by the Company or any 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;(d) To the Knowledge of the Company, no Employee with an annual base salary or annual wages in excess of $110,000 has given written notice of an intention to terminate his or her employment prior to the one year anniversary of the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company and each Subsidiary has reasonably investigated all sexual harassment, or other discrimination, retaliation or policy violation allegations of which the Sellers have actual knowledge. With respect to each such allegation with merit, the Company and each Subsidiary has taken corrective action that is reasonably calculated to prevent further improper action. The Company and the Subsidiaries do not reasonably expect any material Liabilities with respect to any such allegations and, to the Knowledge of the Company, there are no allegations relating to Service Providers, that, if known to the public, would bring the Company or any Subsidiary into material disrepute.

&nbsp;&nbsp;&nbsp;&nbsp;&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 as set forth on <u>Schedule 4.21(f)</u>, no layoff, facility closure or shutdown, reduction-in-force, furlough, temporary layoff, material work schedule change or reduction in hours, or reduction in salary or wages, or other material workforce changes affecting Service Providers has occurred since March 1, 2020 or is currently contemplated, planned or announced, including as a result of COVID-19 or any Law, directive, guidelines or recommendations by any Governmental Authority in connection with or in response to COVID-19. Neither the Company nor any Subsidiary has otherwise experienced any material employment-related Liability with respect to COVID-19.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.22 <u>Bank Accounts</u>**. Set forth on <u>Schedule 4.22</u> is a complete and correct list setting forth the name of each bank in which the Company or any Subsidiary has an account, lock box, safe deposit box or borrowing privileges and the names of all Persons authorized to withdraw any funds from any such account or lock box, to have access to any such account, lock box or safe deposit box or to borrow therefrom, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.23 <u>Customers; Suppliers</u>**. <u>Schedule 4.23</u> contains a correct and complete list of the top ten customers (the "**Material Customers**") and top ten suppliers (the "**Material Suppliers**"), of the Company and the Subsidiaries (on a consolidated basis), by dollar volume for the twelve-month period ended September 30, 2022. Neither the Company nor any Subsidiary has received any written notice from any Material Customer or Material Supplier and, to the Knowledge of the Company, no facts or circumstances exist to the effect that any such Material Customer or Material Supplier has stopped or may stop, materially decrease the rate of, or materially change the terms (whether related to payment, price or otherwise) with respect to purchasing or supplying materials, products or services from or to the Company or any Subsidiary, as applicable (whether as a result of the consummation of the Transaction or otherwise). The terms under which the Material Customers or Material Suppliers purchase or supply materials, products or services from or to the Company or any Subsidiary, as applicable, are the result of arm's length transactions. There are no material disputes between the Company or any Subsidiary, as applicable, and any Material Customer or Material Supplier. The Company and each Subsidiary are in compliance in all material respects with all conditions and compliance requirements contained in any agreement between the Company or such Subsidiary and any Material Customer or Material Supplier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.24 <u>Inventory</u>**. The inventory of the Company and each Subsidiary consists of materials and supplies, manufactured and purchased parts, goods in process, and finished goods, which is useable or saleable in the ordinary course of business, and none of which is materially obsolete, damaged or defective, subject only to the reserve for inventory write-down as set forth on the balance sheet included in the Latest Financials as adjusted for the passage of time through the Closing Date in accordance with the past custom and practice of the Company and the Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.25 <u>Warranties</u>**. Except as set forth on <u>Schedule 4.25</u>, (a) none of the products or services provided by the Company and Subsidiaries and are subject to any guarantee, warranty or other indemnity beyond the written applicable terms and conditions of such sale or service, and (b) the products and services offered by the Company's and Subsidiaries' Business have conformed in all material respects with such written terms and conditions and the Company and the Subsidiaries do not have any material Liability for replacement or repair thereof or other damages in connection therewith in excess of any warranty reserve established with respect thereto and included on the face of the Latest Financials as adjusted for the passage of time through the Closing Date in accordance with the past custom and practice of the Company and the Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.26 <u>Name</u>**. Except as set forth on <u>Schedule 4.26</u>, during the past five years, neither the Company nor any Subsidiary has (a) operated under any legal name or used any fictitious or trade name or (b) been the surviving entity of a merger or consolidation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.27 <u>COVID-19 Relief</u>**. Except as set forth on <u>Schedule 4.27</u>, neither the Company nor any Subsidiary has obtained any financial aid or other assistance or relief under any Pandemic

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Response Law. With respect to any assistance or relief set forth on <u>Schedule 4.27</u>, the Company and each Subsidiary (a) has complied in all material respects with the requirements of the applicable program, (b) has utilized all such assistance received by them in accordance with the Pandemic Response Laws and other Laws, including maintaining accounting records or distributing or expending such relief in an unauthorized manner, (c) has not made any misstatement or omission of fact (whether intentional or unintentional) to any Governmental Authority or the lender thereunder, and, (d) if applicable, has submitted forgiveness applications for all outstanding loans or other financial assistance received and forgiveness in full has been granted. All applications, questionnaires, and other material documents related to such COVID-19 financial aid or other assistance was correct and complete at the time of filing, and correct and complete copies have been provided to Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.28 <u>Healthcare Laws</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 employee and independent contractor of the Company and the Subsidiaries that is required to be licensed to perform his or her healthcare duties for the Company and the Subsidiaries that require a license holds a valid and unrestricted license to practice or perform those healthcare duties in the state(s) where he or she performs such duties for the Company and the Subsidiaries, and has held such a valid and unrestricted license for the purposes identified in this <u>Section 4.28</u> at all times while employed or contracted by such Company and the 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;(b) The Company and the Subsidiaries and their respective officers, managers, employees, and contractors have operated the Business in compliance with all Permits and Laws, including but not limited to, those Laws that apply to regulatory matters primarily relating to patient healthcare, healthcare providers and healthcare services (including, without limitation, the Social Security Act, as amended, Sections 1128, 1128A and 1128B, 42 U.S.C. Sections 1320a-7, 7(a) and 7(b), including Criminal Penalties Involving Medicare or Medicaid, commonly referred to as the "Federal Anti-Kickback Statute" and the Social Security Act, as amended, Section 1877, 42 U.S.C. Section 1395nn (Prohibition Against Certain Referrals), commonly referred to as the "Stark Statute," the statute commonly referred to as the "Federal False Claims Act," the Health Insurance Portability and Accountability Act of 1996 **(**"**HIPAA**"), Durable Medical Equipment, Prosthetics Orthotics, and Supplies ("**DMEPOS**") Supplier Standards and Quality Standards, state and local equivalents to such statutes and the rules and regulations issued pursuant thereto (collectively, as amended from time to time, "**Healthcare Laws**"), which are applicable to the Company, the Subsidiaries or the Business. The Company and the Subsidiaries have not received at its corporate address, and to the Knowledge of the Company, the Company and the Subsidiaries have not received any written notice or other written communication from any Governmental Authority at any time regarding (i) any actual, alleged, possible, or potential violation of, or failure to comply with, any Healthcare Laws or any other applicable laws, rules, regulations, ordinances or administrative orders, or (ii) any actual, alleged, possible, or potential obligations on the part of any Company or any Subsidiary to undertake, or to bear all or any portion of the cost of, any remedial action of any nature. During the past five years, the Company and the Subsidiaries have not been served with any subpoenas, notices of investigation, or otherwise been provided with notice of any investigation from any Governmental Authority.

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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) All claims, reports, schedules and/or returns required to be filed by the Company or any Subsidiary with any Governmental Authority have been timely filed and all such claims, reports, schedules and/or returns are complete and accurate in all material respects. The Company and each Subsidiary have no Liabilities to any payer with respect to claims submitted. The Company and each Subsidiary has maintained substantially all records required to be maintained by the Food and Drug Administration, Drug Enforcement Administration and State Board of Pharmacy and the Programs and the laws of all other applicable federal, state and local Governmental Authorities as required by applicable Healthcare Laws. To the Knowledge of the Company, there are no presently existing circumstances relating to the operations of the Company or any Subsidiary or otherwise that would result or would be reasonably likely to result in material violation of any such Healthcare 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;(d) Neither the Company, the Subsidiaries nor, to Knowledge of the Company, any of their employees, contractors or subcontractors have been convicted of, charged with or investigated for a Medicare, Medicaid or other Federal Health Care Program (as defined in 42 U.S.C. § 1320a-7b(f)) related offense, or convicted of, charged with or investigated for a violation of federal or state law relating to fraud, theft, embezzlement, breach of fiduciary duty or responsibility, financial misconduct, obstruction of an investigation or controlled substances. Neither the Company, the Subsidiaries nor, to Knowledge of the Company, any of their employees, contractors or subcontractors have been excluded or suspended from participation in Medicare, Medicaid or any other Federal Health Care Program, or have been debarred, suspended or are otherwise ineligible to participate in federal programs. Neither the Company, the Subsidiaries nor, to the Knowledge of the Company, any of their employees, contractors or subcontractors have committed any offense which would reasonably serve as the basis for any such exclusion, suspension, debarment or other ineligibility. Neither the Company nor any Subsidiary has arranged or contracted with any individual or entity that is suspended, excluded or debarred from participation in, or otherwise ineligible to participate in a Federal Health Care Program or other federal program.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.29 <u>Accounts Receivable</u>**. All accounts receivable of the Company and the Subsidiaries that are reflected on the balance sheet included in the Latest Financials represent valid obligations arising from sales actually made or services actually performed in the ordinary course of business and the reserves for doubtful accounts set forth on the balance sheet included in the Latest Financials does reflect a good faith estimate and was determined in accordance with GAAP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.30 <u>Medicare and Medicaid Program Participation</u>**. The Company and each Subsidiary (a) is currently participating in good standing with the Medicare and applicable Medicaid Programs (collectively, the "**Programs**") in the geographic areas in which the Company or such Subsidiary provides services or products, (b) is eligible to receive payment under such Programs for which the Company or such Subsidiary is a participating provider and (c) is a party to valid provider Contracts related to such Programs, correct and complete copies of which have been made available to the Purchaser. The Company and the Subsidiaries have obtained and maintain a Medicare Provider Transaction Number and Medicaid provider numbers for various states. <u>Schedule 4.30</u> contains a list of all Medicare and Medicaid provider numbers held by the Company and each Subsidiary as of the date of this Agreement. Neither the Company nor any Subsidiary has received any notice indicating that such participation may be terminated or withdrawn nor have any reason to believe that such qualification may be terminated or withdrawn.

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Except as set forth on <u>Schedule 4.30</u>, there are no pending appeals, overpayment determinations, adjustments, challenges, audit, litigation or notices of intent to open Medicare or Medicaid claim determinations or other reports required to be filed by the Company or any Subsidiary, other than as would not be material to the Company or the Subsidiaries. As of the Closing, neither the Company or any Subsidiaries, nor any Employee or shareholder, member, officer or director of the Company or any Subsidiaries shall be identified as "excluded individuals or entities" as said term is defined by Section 1128(a) of the Social Security Act (codified at 42 U.S.C. Section 1320a-7).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.31 <u>Stark Law</u>**. The conduct of the Business by the Company and the Subsidiaries from and after the Closing in a manner substantially consistent with the past practices of the Company and the Subsidiaries, and having the same officers, directors, employees as the Company and the Subsidiaries had immediately prior to the Closing, will not constitute a violation of 42 U.S.C. 1395nn.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.32 <u>Billing Practices</u>**. All billing practices of the Company and the Subsidiaries with any commercial insurance payor, managed care plan, other prepaid plan, health care service plan or other third party payor, including any Governmental Authority or private payor (collectively "**Payors**"), including amounts the Company and the Subsidiaries are entitled to receive under the Programs and from cash payors, are and have been in material compliance with all applicable Laws and/or billing guidelines of the Programs and the Payors. The Company and the Subsidiaries have not intentionally or negligently billed or received any payment or reimbursement in excess of amounts allowed by applicable Law or Contract. There are no claims, actions, or appeals pending (and neither Company nor any Subsidiary has filed any claims or reports that should result in any such claims, actions or appeals) before any commission, board or agency, including, without limitation, any fiscal intermediary or carrier or the Centers for Medicare & Medicaid Services ("**CMS**"), with respect to any state or federal Medicare or Medicaid claims filed on behalf of Company or a Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.33 <u>Certain Actions</u>**. Company is not a party to a corporate integrity agreement with the Office of the Inspector General of the Department of Health and Human Services or any other Governmental Authority, or has any reporting obligations pursuant to any settlement agreement entered into with any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.34 <u>No Other Representations or Warranties</u>**. Except for the representations and warranties contained in <u>ARTICLE III</u> and this <u>ARTICLE IV</u> (in each case, as modified by the Disclosure Schedules), none of the Company, the Sellers or any other Person makes any other express or implied representation or warranty with respect to the Company, the Sellers, the Business or the Transaction or with respect to any other information provided to the Purchaser, and the Company and the Sellers disclaim any other representations or warranties, whether made by the Company, the Sellers or any of their respective Affiliates, officers, directors, employees, agents or other Representatives. None of the Company, the Sellers or any other Person will have or be subject to any liability to the Purchaser or any other Person resulting from the distribution to the Purchaser, or the Purchaser's use of, any such information, including any information, documents, projections, forecasts or other material made available to the Purchaser or its Representatives in any "data rooms," "virtual data rooms," management presentations or in any other form in expectation of, or in connection with, the Transaction, or in respect of any other

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matter or thing whatsoever. None of the Company or the Sellers make or provide any warranty or representation, express or implied, as to the quality, merchantability, fitness for a particular purpose, conformity to samples, or condition of the Company's assets or any part thereof. Subject to the terms and conditions of this Agreement, the Purchaser shall acquire the Purchased Interests directly and, thereby, the Business and the assets of the Company and the Subsidiaries indirectly, in each case, in an "as-is" condition and on a "where-is" basis, except as expressly represented and warranted in <u>ARTICLE III</u> and this <u>ARTICLE IV</u> (in each case, as modified by the Disclosure Schedules).

**ARTICLE V<u><br>REPRESENTATIONS AND WARRANTIES RELATING TO THE PURCHASER</u>**

The Purchaser hereby represents and warrants to each Seller, as of the date hereof, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1 <u>Organization and Qualification</u>**. The Purchaser is a corporation, duly formed, validly existing and in good standing under the Laws of the State of Delaware, and has all requisite corporate power and authority to purchase the Purchased Interests. The Purchaser has heretofore made available to the Sellers complete and correct copies of its Organizational Documents as presently in effect. The Purchaser is duly authorized to conduct business in, and is good standing under the laws of, each jurisdiction in which such qualification is required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2 <u>Authority, Due Execution and Binding Effect</u>**. The Purchaser has the requisite corporate power and authority and full legal capacity to execute and deliver this Agreement and each Ancillary Agreement to which it will be a party, to consummate the Transaction and to perform its obligations under this Agreement and the Ancillary Agreements. The execution, delivery and performance by the Purchaser of this Agreement and each Ancillary Agreement to which it will be a party, and the consummation of the Transaction, have been duly authorized by all necessary action on the part of the Purchaser. Assuming the due authorization, execution and delivery by the other Parties, this Agreement shall constitute, upon such execution and delivery hereof, the valid and binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms except as enforcement may be limited by the Enforceability Exceptions. Each Ancillary Agreement to which the Purchaser will be a party will be duly executed and delivered by the Purchaser, and, assuming that such Ancillary Agreement constitutes a valid and binding obligation of the other parties thereto, will constitute a valid and binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms, except to the extent that the enforceability thereof may be limited by the Enforceability Exceptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.3 <u>No Violation; Consents and Approvals; No Conflict</u>**. Neither the execution and delivery of this Agreement or any Ancillary Agreement by Purchaser, nor the consummation of the Transaction and compliance with the terms hereof and thereof, will, directly or indirectly (a) violate, conflict with, or result in (with or without notice or lapse of time) a violation or breach of any Law, Governmental Authorization or Order to which the Purchaser is subject; (b) violate, conflict with or result in the breach of any provision of the Organizational Documents of the Purchaser; or (c) conflict in any material respect with, result in a material breach of, constitute a material default (or event which with the giving of notice or lapse of time, or both, would become a material default) under, require any Consent under, give to others any right of termination,

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amendment, acceleration, suspension, revocation or cancellation of, result in the creation of any Lien (other than a Permitted Lien) pursuant to any Contract to which the Purchaser is a party or by which any of its material assets or properties are bound or affected, in each case which would reasonably be expected, individually or in the aggregate, to prevent or materially impair the Purchaser's ability to perform its obligations hereunder and thereunder and to consummate the Transaction. No Governmental Authorization of any Governmental Authority, or any other Consent, waiver, approval, Order or authorization of, or declaration or filing with, or notification to, any Governmental Authority is required to be obtained or made by or with respect to the Purchaser in connection with the consummation of the Transaction, except for such consents, notices, waivers, approvals, orders, authorizations, registrations, declarations and filings as may be required under applicable securities Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.4 <u>Litigation</u>**. There are no pending Actions by or against the Purchaser, and to such knowledge of the Purchaser there are no threatened Actions against the Purchaser before any Governmental Authority, in each case that would reasonably be expected to have a material adverse effect on the ability of the Purchaser to consummate the Transaction. There are no outstanding Orders against the Purchaser that would reasonably be expected to prohibit, make illegal, enjoin or restrain the Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.5 <u>Parent Stock</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) As of the date of this Agreement, all shares of Parent Stock issued to the Participating Sellers as contemplated in this Agreement are duly authorized and, upon delivery to the Participating Sellers hereunder, shall be validly issued, fully paid and non-assessable, free of all claims and Liens and shall be reflected in the stock records of Parent so as to show each such Participating Seller or its respective nominees, including the Sellers' Representative, as the record holder of all such shares.

&nbsp;&nbsp;&nbsp;&nbsp;&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) As of the date of this Agreement, Parent has sufficient authorized but unissued or treasury Parent Stock for Purchaser to meet its obligation to deliver the shares of Parent Stock to the Participating Sellers under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.6 <u>TSX Venture Exchange Approval for Issuance of Parent Stock</u>**. The issuance and delivery by the Purchaser of the shares of Parent Stock to the Participating Sellers does not require (a) any vote or other approval or authorization of any holder of any securities of Parent or (b) any approval or authorization of any Governmental Authority or other regulatory authority, other than approval from the TSX Venture Exchange. As of this date of this Agreement, the TSX Venture Exchange has provided its conditional approval of the issuance of shares of the Parent Stock to the Participating Sellers as contemplated hereby, and the Participating Sellers acknowledge and agree that issuance of the shares of Parent Stock in accordance with this Agreement remains subject to the final approval of the TSX Venture Exchange (the "**Final Approval**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.7 <u>Parent SEC Reports</u>**. All forms, reports, schedules, statements, registration statements, prospectuses and other documents required to be filed or furnished by Parent with the SEC under the Securities Act and/or the Exchange Act, together with any amendments, restatements or supplements thereto (collectively, the "**SEC Reports**"), (a) were prepared in all

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material respects in accordance with the requirements of the Securities Act and the Exchange Act, as the case may be, and the rules and regulations thereunder and (b) did not, as of their respective effective dates (in the case of SEC Reports that are registration statements filed pursuant to the requirements of the Securities Act) and at the time they were filed with the SEC (in the case of all other SEC Reports) contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.8 <u>Parent Financial Statements</u>**. The financial statements and notes of Parent contained or incorporated by reference in the SEC Reports, fairly present in all material respects the financial position and the results of operations, changes in stockholders' equity, and cash flows of Parent at the respective dates of and, for the periods referred to in such financial statements, all in accordance with (a) IFRS applied on a consistent basis throughout the periods involved and (b) Regulation S-X or Regulation S-K, as applicable (except as may be indicated in the notes thereto, for the omission of notes and audit adjustments in the case of unaudited quarterly financial statements to the extent permitted by Regulation S-X or Regulation S-K, as applicable, and for year-end audit adjustments applied consistent with past practice, none of which are or would be material, individually or in the aggregate).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.9 <u>Brokers</u>**. No broker, finder or agent is entitled to any brokerage fees, finder's fees or commissions in connection with this Agreement or the Transaction based upon agreement, arrangement or understanding made by or on behalf of the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.10 <u>Solvency</u>**. As of the Closing, the Purchaser will not (a) be insolvent (either because its financial condition is such that the sum of its debts is greater than the fair value of its assets or because the present fair salable value of its assets will be less than the amount required to pay its probable liability on its debts as they become absolute and matured), (b) have unreasonably small capital with which to engage in its business or (c) have incurred or plan to incur debts beyond its ability to pay as they become absolute and matured.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.11 <u>No Other Representations or Warranties</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 Purchaser acknowledges that, except for the representations and warranties contained in <u>ARTICLE III</u> and <u>ARTICLE IV</u>, neither the Sellers nor any other Person has made, and the Purchaser has not relied upon, any representation or warranty, whether express or implied, with respect to the Company and the Subsidiaries or their respective businesses (including the Business), affairs, assets, liabilities, financial condition, results of operations or prospects, with respect to the accuracy or completeness of any other information provided to the Purchaser by or on behalf of the Sellers or with respect to any other matter relevant to this Agreement or the 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;(b) In connection with any investigation by the Purchaser of the Company and the Subsidiaries, the Purchaser has received or may receive from the Sellers or the Company and/or other Persons on behalf of the Sellers or the Company certain estimates, projections, forward-looking statements and other forecasts and certain business plan information in written or verbal communications. The Purchaser acknowledges that there are uncertainties inherent in all such estimates, projections, forward looking statements and other forecasts and plans, that the Purchaser

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is familiar with such uncertainties, that the Purchaser is not relying on any such estimates, projections, forward looking statements and other forecasts and plans and that neither the Sellers nor any other Person has made any representation or warranty with regard to such estimates, projections, forward looking statements and other forecasts and plans, <u>provided</u> that the foregoing acknowledgement shall not limit, in any way, the specific representations or warranties made by Sellers in <u>ARTICLE III</u> and <u>ARTICLE IV</u>.

**ARTICLE VI<u><br>COVENANTS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.1 <u>Access to Information; Cooperation</u>**. Following the Closing Date and without limiting the obligations of the Parties under <u>Section 6.4(a)</u>, the Purchaser shall, and shall cause the Company to, grant to the Seller's Representative, on behalf of the Sellers and their Representatives, at the Seller's Representative's reasonable request, reasonable access, during normal business hours and times mutually convenient to the Sellers' Representative and the Company, to and the right to make copies of (at its sole expense), those records and documents covering any period prior to the Closing related to the Company, as reasonably requested by the Sellers' Representative in connection with any third party litigation, preparation of financial statements and Tax Returns, audits or other valid and legitimate business purposes; <u>provided</u>, <u>however</u>, that such access shall not unreasonably interfere with the Business and operations of the Company. If the Purchaser elects to dispose of any of such records within seven years after the Closing Date, the Purchaser shall first give the Sellers' Representative at least 20 Business Days prior written notice, during which period the Sellers' Representative shall have the right to take possession of such records at the Sellers' sole expense, but without payment of consideration.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2 <u>Further Action</u>**. From the date of this Agreement, and without further consideration, each of the Parties shall use its reasonable best efforts to take, or cause to be taken, all appropriate action, do or cause to be done all things necessary, proper or advisable under applicable Law, and execute and deliver, or arrange for the execution and delivery of, such other instruments of conveyance and transfer, in each case, as may be reasonably requested by another Party (at such requesting Party's sole expense) necessary or reasonably desirable to carry out the provisions of this Agreement and consummate and make effective the Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3 <u>Officers' and Directors' Indemnification</u>**. As of the date of this Agreement, the Company has obtained and fully paid the premium (which will constitute a Transaction Expense) for a "tail" officers' and directors' liability insurance policy (the "**Tail Policy**") covering the current and former directors, officers, and managers of the Company and the Subsidiaries who are presently covered by officers' and directors' liability insurance policies of the Company. For the six year period immediately following the Closing, neither Purchaser nor its Affiliates shall, and shall not permit the Company to, amend, repeal or otherwise modify any provisions set forth in such Company's Organizational Documents as in effect on the Closing Date in any way adverse to any current or former officers, managers or directors with respect to matters existing or occurring at or prior to the Closing, whether asserted or claimed prior to, at or after the Closing Date, unless such amendment, repeal or modification is required by Law. If the Purchaser or any of its successors or assigns (a) consolidates with or merges into any other Person and shall not be the continuing or surviving entity of such consolidation or merger, or (b) transfers or conveys all or substantially all of its properties and assets to any Person, then, and in each such case, proper

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provision shall be made so that the successors and assigns of the Purchaser, as the case may be, shall assume the obligations set forth in this <u>Section 6.3</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.4 <u>Taxes</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>Tax Returns</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;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Sellers' Representative shall prepare and timely file or cause to be prepared and timely filed all Tax Returns required to be filed by the Company or any Subsidiary related to any Pre-Closing Period (other than a Straddle Period) that are due (including applicable extensions) after the Closing Date at Sellers' sole expense. Any such Tax Returns shall be prepared in accordance with past practice (including, for this purpose, any past practice of the Company to the extent applicable to such Tax Return) to the extent permitted by applicable Law; <u>provided</u>, <u>however</u>, that the Sellers' Representative shall provide the Purchaser with a copy of any such Tax Returns (x) in respect of Income Taxes at least 10 Business Days prior to its filing and (y) in respect of non-Income Taxes, reasonably in advance of filing, in each case, for its review and comment and the Sellers' Representative shall consider in good faith any changes reasonably requested by the Purchaser; <u>provided</u>, <u>further</u>, that a comment by the Purchaser shall not be considered reasonable for this purpose to the extent that it is inconsistent with past practice (including, for this purpose, any past practice of the Company or the Subsidiaries to the extent applicable to such Tax Return) or not required by applicable Law. The Parties acknowledge and agree that any deduction of Transaction Expenses for U.S. federal and applicable state and local Income Tax purposes may be claimed by the Sellers, to the extent such deduction is at least "more likely than not" deductible under applicable Law by the Sellers in a Pre-Closing Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Purchaser, at its sole expense, shall control and be responsible for the preparation and timely filing of all Tax Returns of the Company and the Subsidiaries that relate to a Straddle Period. Any such Tax Returns shall be prepared in accordance with past practice (including, for this purpose, any past practice of the Company to the extent applicable to such Tax Return) to the extent permitted by Law, <u>provided</u>, <u>however</u>, that the Purchaser shall provide the Sellers' Representative with a copy of any such Tax Returns (A) in respect of Income Taxes at least 10 Business Days prior to its filing and (B) in respect of non-Income Taxes for which the Sellers would be liable pursuant to clause (iii) below, reasonably in advance of filing, in each case, for the Sellers' Representative's review and comment and the Purchaser shall consider in good faith any changes reasonably requested by the Sellers' Representative; <u>provided</u>, <u>further</u>, that a comment by the Sellers' Representative shall not be considered reasonable for this purpose to the extent that it is inconsistent with past practice (including, for this purpose, any past practice of the Company or the Subsidiaries to the extent applicable to such Tax Return). The Parties acknowledge and agree that any deduction of Transaction Expenses for U.S. federal and applicable state and local Income Tax purposes may be claimed by the Sellers, to the extent such deduction is at least "more likely than not" deductible under applicable Law by the Sellers in a Pre-Closing Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) Without duplication of any amounts taken into account in the calculation of Working Capital Ratio, Transaction Expenses or Indebtedness, the Sellers shall pay and be responsible for all Taxes shown to be due on any Pre-Closing Period Tax Returns and on the Straddle Period Tax Returns to the extent such Taxes are allocable to the Pre-Closing Period

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under <u>Section 6.4(e)</u>. The Purchaser shall pay (or cause to be paid) all Taxes shown to be due on the Straddle Period Tax Returns to the extent such Taxes are allocable to the Post-Closing Period under <u>Section 6.4(e)</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) <u>Cooperation on Tax Matters</u>. Each of the Sellers' Representative, the Sellers and the Purchaser shall use (and shall cause their respective Affiliates to use) commercially reasonable efforts to: (i) provide assistance to the other Party as reasonably requested in preparing and filing Tax Returns or obtaining a Tax refund; (ii) make available to the other Party as reasonably requested all information, records, and documents relating to Taxes concerning the Company and the Subsidiaries; and (iii) (A) retaining any books and records that relate to Tax matters of the Company and its Subsidiaries until the expiration of the applicable statute of limitations period and (B) giving the other Party 60 days' written notice prior to transferring, destroying or discarding any such books and records, and if the other Party so requests, allowing the requesting Party to, at its sole expense, take possession of such books and records. Each of the Sellers' Representative, the Sellers and the Purchaser shall cooperate fully, as and to the extent reasonably requested by the other Parties, in connection with any Tax Contest. Such cooperation shall include, upon any Party's reasonable request, and at such Party's expense, providing records and information that are reasonably relevant to any Tax Contest, making employees available on a mutually convenient basis to provide additional information, and explaining any materials provided pursuant to this <u>Section 6.4(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;(c) <u>Transfer Taxes</u>. Any transfer, sales, use value added, excise, stock transfer, stamp, recording, registration and any similar Taxes ("**Transfer Taxes**") that become payable in connection with the Transaction shall be borne equally by the Sellers (in accordance with their respective Pro Rata Shares), on the one hand, and the Purchaser on the other hand. If a Party is required by applicable Law to pay any Transfer Taxes, the non-paying Party shall reimburse the paying Party for the non-paying Party's share of the Transfer Taxes (but, in the case of any Transfer Taxes that would otherwise be payable by the Sellers, only to the extent that the amount of such Transfer Taxes exceeds the amount of Transfer Taxes reflected in the calculation of the Final Closing Transaction Expenses). The Parties shall cooperate in filing such forms and documents as may be necessary in connection with the payment of any such Transfer Tax, and to obtain any exemption or refund of any such Transfer Tax.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Tax Contests</u>. If any Party receives notice of any Tax Contest with respect to Taxes of the Company or any Subsidiary for which the other Party may be liable under this Agreement, such Party will notify, as promptly as reasonably practicable, but in no event more than 20 days following the receipt of such notice, the other Party in writing of such Tax Contest, but the failure to so notify will not relieve the other Party of any liability it may have, except to the extent the indemnifying Party has suffered actual prejudice thereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Tax Contest relating to a Pre-Closing Period (other than a Straddle Period), the Sellers' Representative may elect to assume and control all proceedings taken in connection with such Tax Contest (at the Sellers' sole cost and expense) by notifying the Purchaser within 30 days of receiving a notice of a Tax Contest; <u>provided</u>, that: (A) in the case of any Tax Contest that the Sellers' Representative elects to control, the Sellers' Representative shall (1) diligently defend such Tax Contest, (2) keep the Purchaser reasonably informed of all material developments and events relating to such Tax Contest (including promptly forwarding copies to

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the Purchaser of any related correspondence) and (3) provide such cooperation and information as the Purchaser shall reasonably request and (B) in the case of any Tax Contest that the Sellers' Representative elects to control that could reasonably be expected to adversely affect the Taxes of the Company or the Purchaser (or any direct or indirect owner thereof) in a Post-Closing Period, the Sellers' Representative shall: (1) permit the Purchaser to participate in, but not control, such Tax Contest at its own expense, (2) consult with the Purchaser in connection with the defense or prosecution of any such Tax Contest (including providing the Purchaser with an opportunity to review and comment on any material correspondence before the Sellers' Representative sends such correspondence to any Governmental Authority) and (3) not settle or compromise any such Tax Contest, to the extent that such settlement could reasonably be expected to materially and adversely affect the Taxes of the Purchaser or any of its Affiliates (including the Company and its Subsidiaries) in a Post-Closing Period without first obtaining the prior consent of the Purchaser, which consent shall not be unreasonably withheld, conditioned or delayed. Purchaser shall promptly execute any documents, including any power of attorney, reasonably requested by the Sellers' Representative in order to permit the Sellers' Representative to control a Tax Contest under this <u>Section 6.4(d)(i)</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;&nbsp;&nbsp;&nbsp;&nbsp;(ii) With respect to any (A) Tax Contest relating to a Pre-Closing Period (other than a Straddle Period) that the Sellers' Representative does not elect to control within the time period described in <u>Section 6.4(d)(i)</u> or (B) a Tax Contest relating to a Straddle Period, the Purchaser shall assume and control all proceedings in connection with such Tax Contest (at the Sellers' expense (provided such expenses are reasonably incurred) to the extent the Sellers' are ultimately liable for the Taxes at issue in such Tax Contest under this Agreement); <u>provided</u>, that to the extent that such Tax Contest relates to an issue that would adversely affect the Taxes of the Sellers in a Pre-Closing Period or create or increase an indemnification obligation of the Sellers under this Agreement, the Purchaser shall: (1) diligently defend such Tax Contest, (2) permit the Sellers' Representative to participate in, but not control, such Tax Contest at the Sellers' sole expense, (3) keep the Sellers' Representative reasonably informed of all material developments and events relating to such Tax Contest (including promptly forwarding copies to the Sellers' Representative of any related correspondence), (4) consult with the Sellers' Representative in connection with the defense or prosecution of any such Tax Contest (including (x) providing the Sellers' Representative with an opportunity to review and comment on any material correspondence before the Purchaser sends such correspondence to any Governmental Authority and (y) providing such cooperation and information as the Sellers' Representative shall reasonably request) and (5) not settle or compromise any such Tax Contest, to the extent that such settlement could reasonably be expected to materially and adversely affect the Taxes of the Sellers in a Pre-Closing Period or create or increase an indemnification obligation of the Sellers under this Agreement, without the written consent of the Sellers' Representative, 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;&nbsp;&nbsp;&nbsp;&nbsp;(iii) With respect to any Tax Contest relating to a Pre-Closing Period Tax Return, the Sellers shall pay or cause to be paid any amount in connection with such Tax Contest in respect of which a Governmental Authority is entitled to take collection action, and affirmatively takes such collection action, pending the resolution of the Tax Contest at least two (2) days before the applicable Tax is due to the Governmental Authority; <u>provided</u>, <u>that</u> any refund or credit related to such payment that is received by Purchaser or any of its Affiliates shall be paid

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to the Sellers' Representative (for further distribution to the Sellers) in accordance with <u>Section 6.4(j)</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;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Notwithstanding anything to the contrary in this Agreement, this <u>Section 6.4(d)</u> shall control with respect to any 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;(e) <u>Allocation of Taxes</u>. In the case of Taxes due with respect to a Straddle Period, the allocation of such Taxes to the Pre-Closing Period 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the case of any Taxes imposed on a periodic basis (such as any real property Taxes, ad valorem or similar Taxes), be deemed to be the amount of such Tax for the entire taxable period multiplied by a fraction, the numerator of which is the number of days in the portion of the Straddle Period ending on the Closing Date and the denominator of which is the number of days in the entire Straddle Period; 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;(ii) in the case of any Taxes not described in <u>Section 6.4(e)(i)</u>, be deemed equal to the amount which would be payable if the relevant taxable period ended as of the end of the Closing Date; <u>provided</u>, that any item determined on an annual or periodic basis (such as deductions for depreciation or real estate taxes) shall be apportioned on a daily basis; <u>provided</u>, <u>further</u>, that to the maximum extent permitted by applicable Law, all Transaction Tax Deductions shall be allocated to the Pre-Closing Period.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Post-Closing Actions</u>. Except as expressly required by applicable Law and except as provided in <u>Section 6.4(j)</u>, the Purchaser shall not (and shall not permit any of its Affiliates (including, after the Closing, the Company and its Subsidiaries) to: (i) amend, refile or otherwise modify any Tax Return of the Company or any Subsidiary relating to a Pre-Closing Period; (ii) file a Tax Return of the Company or any Subsidiary for a Pre-Closing Period in a jurisdiction where the Company or any Subsidiary, as the case may be, has not previously filed a Tax Return (other than a Tax Return that is first due after the Closing Date and prepared in accordance with <u>Section 6.4(a)</u>); (iii) make or initiate any voluntary contact with a Governmental Authority with respect to Taxes of the Company or any Subsidiary for a Pre-Closing Period (including any voluntary disclosure, agreement or similar process); (iv) make or change any Tax election with respect to the Taxes of the Company or any Subsidiary that has retroactive effect to a Pre-Closing Period; (v) extend the statute of limitations with respect to any Tax Return of the Company or any Subsidiary for a Pre-Closing Period; (vi) file an administrative adjustment request under Section 6227(a) of the Code (or a corresponding provision of state or local Law) in respect of Taxes of the Company or any of its Subsidiaries for a Pre-Closing Period; or (vii) take any action with respect to the Taxes of the Company or any of its Subsidiaries outside the ordinary course of business on the Closing Date, but after the Closing (except as otherwise contemplated by this Agreement), in each case, only if such action would be reasonably expected to either (1) increase the amount of Taxes payable by the Sellers or (2) create or increase an indemnification obligation of the Sellers under this Agreement. If the Purchaser believes that an action described in the preceding sentence is required by applicable Law, the Purchaser shall use commercially reasonable efforts to notify the Sellers' Representative, in writing at least 20 Business Days prior to the filing of any such Tax Return, and provide the Sellers' Representative with all required information regarding such action, and if the Sellers' Representative does not believe that such

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action is required by applicable Law, Purchaser and the Sellers' Representative shall attempt in good faith to resolve any such dispute within a reasonable period of 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) <u>Allocation of Purchase Price</u>. Within 90 days after the determination of the Final Working Capital Ratio, Final Closing Date Debt, Final Closing Date Transaction Expenses and Final Closing Date Cash, the Purchaser shall prepare and deliver to the Sellers' Representative a proposed allocation of the Purchase Price (and other relevant items for U.S. federal and applicable state Income Tax purposes) among the assets of the Company and the Subsidiaries in a manner consistent with Sections 1060, 751 and 755 of the Code (and applicable Regulations) and <u>Schedule 6.4(g)</u>, which sets forth the mutually agreed allocation methodologies that shall be used to determine the final Purchase Price allocation (the "**Purchase Price Allocation**"). If the Sellers' Representative fails to deliver a written notice of objection to the Purchaser within the 20 Business Day period following delivery of the Purchase Price Allocation, the Sellers shall be deemed to have accepted the Purchase Price Allocation proposed by the Purchaser to the Sellers' Representative, which shall be final and binding on the Purchaser and the Sellers for purposes of their Tax Returns. If, however, the Sellers' Representative delivers a written notice of objection to the Purchaser within such 20 Business Day period, the Sellers' Representative and the Purchaser shall endeavor in good faith to resolve any disputed items within 15 Business Days after the date of the Purchaser's receipt of the Sellers' Representative's written notice of objection (or such longer period of time as may be mutually agreed to by the Purchaser and the Sellers' Representative). If the Sellers' Representative and the Purchaser are unable to resolve the disputed items, the Sellers' Representative and the Purchaser shall submit the dispute to the Independent Accountant to resolve all items remaining in dispute and the fees and expenses of the Independent Accountant shall be allocated between the Purchaser and the Sellers in the manner provided for by <u>Section 2.5(a)</u>. The Purchaser and the Sellers' Representative shall use commercially reasonable efforts to provide to the Independent Accountant, on a timely basis, all back-up materials relating to the unresolved disputes requested by the Independent Accountant to the extent available to the Purchaser or its Representatives or the Sellers' Representative and its Representatives. The Independent Accountant, in undertaking the tasks to be performed by it as provided herein, shall act as an expert and not as an arbitrator. The Purchaser and the Sellers' Representative may present to the Independent Accountant any material related to the unresolved disputes (<u>provided</u> that copies of such material shall be provided to the other party) and discuss the issues in question with the Independent Accountant (<u>provided</u> that both Parties participate in such discussions, so that no "ex-parte" communications take place with the Independent Accountant). In conjunction with resolving any items in dispute between the Purchaser and the Sellers' Representative, within 30 days of engagement of the Independent Accountant, the Independent Accountant shall prepare and deliver to the Purchaser and the Sellers' Representative a Purchase Price Allocation reflecting its resolution of all issues in dispute. The determination by the Independent Accountant shall be final, binding and conclusive on the Parties. The Parties shall use the final Purchase Price Allocation to prepare and file IRS Form 8594 "Asset Acquisition Statement Under Section 1060" and any other federal, state, local or foreign Tax Returns (including for purposes of reporting gain from the sale of the Purchased Interests under Sections 741 and 751 of the Code). No Party shall take any inconsistent position with the final Purchase Price Allocation, unless otherwise required by applicable Law. The Parties shall use commercially reasonable efforts to cooperate in preparing, executing and filing with the IRS and any other state, local or foreign tax authorities all necessary information returns required to be filed with respect to the transactions contemplated by 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;(h) <u>Intended Tax Treatment</u>. For federal income and applicable state and local Income Tax purposes, the Parties acknowledge and intend the purchase and sale of the Purchased Interests shall be treated as (A) a taxable sale of the Purchased Interests by each Seller and (B) an acquisition of the assets of the Company and its Subsidiaries by the Purchaser consistent with Revenue Ruling 99-6, 1999-1 C.B. 432 (Situation 2) (collectively, the "**Intended Tax Treatment**") and the Parties acknowledge and agree to not take any position inconsistent with the Intended Tax Treatment on any Tax Return, unless 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Tax Elections</u>. Notwithstanding anything to the contrary in this Agreement, the Sellers, Sellers' Representative and the Company each agree that the Purchaser shall have the right to cause the Company to make a "push-out election" under Section 6226 of the Code (or analogous state or local Income Tax Law) for any Pre-Closing Period or Straddle Period, and the Sellers (and their direct or indirect owners) shall reasonably cooperate with respect 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;(j) <u>Tax Refunds</u>. If the Purchaser or any of its Affiliates (including, following the Closing, the Company or any of its Subsidiaries) either (i) receives, at any time after the Closing, any refund of Taxes of the Company or any of its Subsidiaries that are properly attributable to a Pre-Closing Period (including, without limitation, any refunds arising from any employee retention tax credits available under the CARES Act, as amended by the Consolidated Appropriations Act, 2021, P.L. 116-260 and the American Rescue Plan Act, P.L. 117-2, or a corresponding provision of state or local Law with respect to compensation paid by the Company or any of its Subsidiaries prior to the Closing Date (each, an "**Employee Retention Tax Credit**")) or (ii) realizes, in a Post-Closing Period, any Tax savings as a result of the utilization of any Tax credit with respect to Taxes of the Company or any of its Subsidiaries that is properly attributable to a Pre-Closing Period (including an Employee Retention Tax Credit), in each case, to the extent that such Tax refund or credit (A) was not reflected as an asset in the final calculation of Working Capital and (B) did not result from the carryback of a loss or deduction arising in a Post-Closing Period, then the Purchaser shall pay to the Sellers' Representative (for further distribution to the Sellers in accordance with their respective Pro Rata Shares) by wire transfer of immediately available funds, an amount, in cash equal to (1) the amount of such Tax refund or (2) the aggregate amount of Tax savings to the Purchaser or any of its Affiliates arising from the utilization of any such Tax credit, in each case, net of any reasonable, out-of-pocket fees or expenses (including Taxes) incurred by the Purchaser or any of its Affiliates as a result of the pursuit or receipt of any such Tax refund or utilization of any such Tax credit. Any payment required by the Purchaser to this <u>Section 6.4(j)</u> shall be paid to the Sellers' Representative no later than 15 days following either the receipt of the Tax refund or the date of filing the Tax Return upon which the Tax credit was utilized to reduce the amount of Taxes payable by the Purchaser or any of its Affiliates (including the Company and its Subsidiaries). The Purchaser shall (x) cooperate with the Sellers' Representative, upon the Sellers' Representative's reasonable request, and at the Sellers' sole expense, in filing any amended Tax Returns or claims to obtain or expedite the receipt of any Tax refund (<u>provided</u> that all material positions reflected on such Tax Returns or claims for refund are supportable at a "more-likely-than-not" or greater level of comfort) that the Sellers are entitled to receive under this <u>Section 6.4(j)</u> (including by utilizing any reasonably available short-form or accelerated procedures) or (y) to the extent permitted by applicable Law, request a Tax refund (rather than a Tax credit or other offset in lieu of a Tax refund).

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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;(k) <u>Tax Treatment of Payments</u>. All payments under <u>Section 2.5</u>, this <u>Section 6.4</u> and <u>ARTICLE VIII</u> will, in each case, be deemed adjustments to the Purchase Price (including for applicable Tax purposes).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.5 <u>Confidentiality</u>**. From and after the Closing, the Sellers shall maintain the confidentiality of, and refrain from using or disclosing to any Person, all confidential and proprietary information solely regarding the Business, the Company and the Subsidiaries (the "**Confidential Information**"). In the event that a Seller is requested or required (by oral question or request for information or documents in any Action, interrogatory, subpoena, civil investigative demand, or similar process of any Governmental Authority or any other similar body) to disclose any Confidential Information, such Seller will (a) if permitted by Law, notify Purchaser promptly in writing of the request or requirement so that Purchaser may seek an appropriate protective order (at Purchaser's sole cost) or waive compliance with the provisions of this <u>Section 6.5</u> and (b) reasonably cooperate with Purchaser in attempting to obtain such order or assurance. If, in the absence of a protective Order or the receipt of a waiver hereunder, such Seller is, after consultation with counsel, required by Law to disclose any Confidential Information, such Seller may disclose the Confidential Information to such Governmental Authority or other similar body without recourse hereunder; <u>provided</u>, <u>however</u>, that such Seller discloses only that portion of the Confidential Information that is legally required to be disclosed and that the disclosing party shall use commercially reasonable efforts to obtain, at the request of, and at the expense of, the Purchaser, an Order or other assurance that confidential treatment will be accorded to any Confidential Information required to be disclosed (as designated by the Purchaser).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.6 <u>Non-Competition; Non-Solicitation; Non-Disparagement</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>Non-competition</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;&nbsp;&nbsp;&nbsp;&nbsp;(i) During the Restricted Period, Corbel shall not (other than when employed by, and on behalf of, the Purchaser, the Company, or any of their respective Subsidiaries) in any manner, either directly or indirectly (through a controlled Affiliate), whether as principal, agent, partner, officer, director, shareholder, manager, member, employee, consultant or otherwise, either alone or acting jointly or in conjunction with any Person, operate or manage, engage in, permit its name to be used by, act as consultant or advisor to, supply, render services for (of an executive, management, supervising, marketing, manufacturing, research and development, administrative, financial, consulting or other nature) or otherwise assist in any manner any Person in any business that engages in or competes with the Business within the Territory; <u>provided</u>, that the passive ownership of (A) an entity, (B) a private equity fund or similar vehicle or (C) the outstanding debt, or similar obligations, of any entity that engages in or competes with the Business, shall not be considered a breach of this <u>Section 6.6(a)(i)</u>, so long as Corbel has no active participation in connection with the business of such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) During the Restricted Period, none of DME Holdings, DME or VHG shall (other than when employed by, and on behalf of, the Purchaser, the Company, or any of their respective Subsidiaries) in any manner, either directly or indirectly (through a controlled Affiliate), whether as principal, agent, partner, officer, director, shareholder, manager, member, employee, consultant or otherwise, either alone or acting jointly or in conjunction with any Person, (A) engage in or compete with the Business within the Territory, or (B) own, operate, lease,

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manage, control, engage in, invest in, permit his, her or its name to be used by, act as consultant or advisor to, supply, render services for (of an executive, management, supervising, marketing, manufacturing, research and development, administrative, financial, consulting or other nature) or otherwise assist in any manner any Person in any business that engages in or competes with the Business within the Territory; <u>provided</u> that the passive ownership of less than 5% of (1) an entity, the Equity Interests of which are publicly traded on a national exchange, (2) a private equity fund or similar vehicle or (3) the outstanding debt, or similar obligations, of any entity, the Equity Interests of which are publicly traded on a national exchange, in each shall not be considered a breach of this <u>Section 6.6(a)(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;(b) <u>Non-interference</u>. During the Restricted Period, no Seller shall in any manner, either directly or indirectly (through a controlled Affiliate), whether as principal, agent, partner, officer, director, shareholder, manager, member, employee, consultant or otherwise, either alone or acting jointly or in conjunction with any Person, request, knowingly induce or knowingly attempt to influence any distributor, supplier, customer or other business relation of the Company or any Subsidiary to curtail in any material respect or cancel or terminate any business which such distributor, supplier or customer or other business relation is currently transacting with the Company or any 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;(c) <u>Non-solicitation</u>. During the Restricted Period, no Seller shall (other than when employed by, and on behalf of, the Purchaser, the Company, or their Subsidiaries) in any manner, directly or indirectly (through a controlled Affiliate), whether as principal, agent, partner, officer, director, shareholder, manager, member, employee, consultant or otherwise, either alone or acting jointly or in conjunction with any Person, (i) hire, recruit, employ or solicit or attempt to hire, recruit, employ, retain or solicit on such Person's own behalf or on behalf of any other Person, any Employee or any Person who was an Employee during the Restricted Period or (ii) otherwise encourage, influence, or induce any Employee to discontinue his or her employment by the Company or any Subsidiary, the Purchaser or one of 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;(d) <u>Non-Disparagement</u>. Each Seller agrees that such Seller shall not, nor shall its controlled Affiliates, at any time, intentionally disparage in any material respect the Company, the Subsidiaries or the Business or the reputation of any of the foregoing. The Purchaser shall not, nor shall its Affiliates, at any time, intentionally disparage in any material respect any Seller or any of its respective Affiliates or the reputation of any of the foregoing. This <u>Section 6.6(d)</u> shall not apply to (i) testimony obtained through subpoena or (ii) any information provided pursuant to an investigation by any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Severability</u>. The Parties agree that a court or arbitrator of competent jurisdiction shall have the power with respect to this <u>Section 6.6</u> to reduce the scope, duration, or area of the term or provision, to delete specific words or phrases, or to replace any invalid or unenforceable term or provision with a term or provision that is valid and enforceable and that comes closest to expressing the intention of the invalid or unenforceable term or provision, and this Agreement shall be enforceable as so modified to cover the maximum, duration, scope or area permitted by law. The time period during which the prohibitions set forth in this <u>Section 6.6</u> shall apply shall be tolled and suspended for a period equal to the aggregate time during which any Seller violates such prohibitions in any 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;(f) <u>Injunctive Relief</u>. The Sellers agree that any remedy at law for any breach of the provisions contained in this <u>Section 6.6</u> may be inadequate and the Purchaser, the Company and the Subsidiaries and their respective successors or assigns shall, in addition to other rights and remedies available hereunder, be entitled to seek specific performance or injunctive relief in the case of a breach of this <u>Section 6.6</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) <u>Acknowledgment by the Sellers</u>. Each Seller agrees to the covenants set forth in this <u>Section 6.6</u> and acknowledges that (i) the covenants set forth in this <u>Section 6.6</u> are reasonable in terms of duration, scope and area restrictions, (ii) the covenants set forth in this <u>Section 6.6</u> are reasonably necessary for the protection of Purchaser, (iii) Purchaser would not have entered into this Agreement but for the Sellers' agreement to the restrictions set forth in this <u>Section 6.6</u>, and (iv) the covenants set forth in this <u>Section 6.6</u> have been made in order to induce Purchaser to enter into this Agreement. Notwithstanding the foregoing, the agreements, acknowledgements and obligations set forth in this <u>Section 6.6(g)</u> shall not apply to any direct or indirect equityholder of Forest Investments, Inc. other than Great Elm Group, Inc. and its subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.7 <u>Release</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) Effective as of the Closing, each Seller on such Seller's own behalf and on behalf of Seller's, heirs, successors, trustees, executors, administrators, assigns, Representatives and Affiliates and any other Person that may claim by, through or in the right of such Seller (collectively, the "**Seller Releasing Parties**"), hereby irrevocably waives, releases and discharges the Company, the Subsidiaries and their Affiliates and any director, manager, equityholder, member, partner, officer, employees, owners, accountants, consultants, advisors, attorneys and other Representatives and any successor, heir or assign of any of the foregoing (collectively, the "**Purchaser Released Parties**") from any and all Actions, Liabilities, Contracts and claims of any kind or nature whatsoever, which each Seller Releasing Party or any of their respective Affiliates, or any of their respective heirs, executors, administrators or assigns, now has, has ever had, or may hereafter have against any Purchaser Released Party arising on or prior to the Closing or on account of or arising out of any matter, cause or event related to the Company, any Subsidiary or the Business and occurring on or prior to the Closing, in each case (i) solely to the extent related to such Seller Releasing Party's capacity as a direct or indirect holder of Equity Interests of the Company and (ii) whether absolute or contingent, liquidated or unliquidated, known or unknown, suspected or unsuspected, direct or indirect, both in law or in equity, and such Seller Releasing Party shall not seek to recover any amounts or any other remedy in connection therewith or thereunder from any Purchaser Released Party; <u>provided</u>, <u>however</u>, that the foregoing release will not be construed to apply to or release any claims relating to or arising under this Agreement, the Ancillary Agreements, any directors' or officers' liability insurance policy (including the Tail Policy) or the indemnification obligations of the Company or any Subsidiary to any Seller Releasing Party in such Seller Releasing Party's capacity as a director, officer or manager under the Organizational Documents of the Company or the Subsidiaries. Each Purchaser Released Party that is not a party to this Agreement is an express third-party beneficiary of this <u>Section 6.7(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) Effective as of the Closing, the Purchaser, on its own behalf and on behalf of its heirs, successors, trustees, executors, administrators, assigns, Representatives and Affiliates (including, after the Closing, the Company and the Subsidiaries) and any other Person that may

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claim by, through or in the right of the Purchaser (collectively, the "**Purchaser Releasing Parties**"), hereby irrevocably waives, releases and discharges the Sellers and their respective Affiliates and any director, manager, equityholder, member, partner, officer, employees, owners, accountants, consultants, advisors, attorneys and other Representatives and any successor, heir or assign of any of the foregoing (collectively, the "**Seller Released Parties**") from any and all Actions, Liabilities, Contracts and claims of any kind or nature whatsoever, which each Purchaser Releasing Party or any of their respective Affiliates, or any of their respective heirs, executors, administrators or assigns, now has, has ever had, or may hereafter have against any Seller Released Party arising on or prior to the Closing, in each case (i) solely to the extent related to such Seller Released Party's capacity as a direct or indirect holder of Equity Interests of the Company and (ii) whether absolute or contingent, liquidated or unliquidated, known or unknown, suspected or unsuspected, direct or indirect, both in law or in equity, and such Purchaser Releasing Party shall not seek to recover any amounts or any other remedy in connection therewith or thereunder from any Seller Released Party; <u>provided</u>, <u>however</u>, that the foregoing release will not be construed to apply to or release any claims relating to or arising under this Agreement or the Ancillary Agreements. Each Seller Released Party that is not a party to this Agreement is an express third-party beneficiary of this <u>Section 6.7(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.8 <u>Employees</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 employees of the Company or the Subsidiaries as of the Closing who continue employment with the Company or the Subsidiaries immediately following the Closing (the "**Retained Employees**"), during the period commencing at the Closing Date and ending on the date which is one year following the Closing Date (or, if earlier, the date of the Retained Employee's termination of employment with the Company or a Subsidiary), the Purchaser shall and shall cause the Company or the Subsidiaries to provide each Retained Employee with (i) at least the same annual base salary compensation or hourly wage rate as provided by the Company or the Subsidiary, as applicable, immediately prior to the Closing, (ii) overall target earnings opportunities that are substantially similar in the aggregate to the overall target earnings opportunities provided by the Company or the Subsidiary immediately prior to the Closing, (iii) retirement and welfare benefits that are substantially similar in the aggregate to those provided by the Company or the Subsidiary immediately prior to the Closing, including eligibility to participate in a tax qualified defined contribution plan that is substantially similar to any such plan of the Company or the Subsidiary that the Retained Employee is eligible to participate in immediately prior to the Closing, and (iv) severance benefits that are substantially similar in the aggregate to the severance benefits, if any, in effect for such Retained Employee immediately prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Under the employee benefit plans, programs and arrangements established or maintained by the Purchaser and its subsidiaries and Affiliates, including following the Closing, the Company and the Subsidiaries, in which the Retained Employees are eligible to participate after the Closing, (i) each Retained Employee shall be credited for purposes of eligibility to participate, vesting (other than vesting of future equity awards that are not granted as of the Closing), future vacation benefit accrual and eligibility to receive benefits, for full or partial years of service with the Company or any Subsidiary to the same extent and for the same purpose credited under the corresponding Employee Plan, <u>provided</u> that such crediting of service shall not apply to benefit accrual under any defined benefit plan or operate to duplicate any compensation

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or benefit or the funding of any benefit; (ii) the Purchaser shall, and shall cause its subsidiaries and Affiliates, including following the Closing, the Company and the Subsidiaries to, waive all limitations as to preexisting conditions, actively-at-work requirements, exclusions and waiting periods with respect to participation and coverage requirements applicable to the Retained Employees and their covered dependents; and (iii) the Purchaser shall, and shall cause its subsidiaries and Affiliates, including following the Closing, the Company and the Subsidiaries to, provide credit under any such welfare plan for any co-payments, deductibles, co-insurance and out-of-pocket expenditures for the remainder of the coverage period during which any transfer of coverage 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;(c) This <u>Section 6.8</u> shall be binding upon and inure solely to the benefit of each of the Parties to this Agreement, and nothing in this <u>Section 6.8</u>, express or implied, shall confer upon any employee, or any legal representative or beneficiary thereof, or any other Person any rights or remedies, including any third-party beneficiary rights or any right to employment or continued employment for any specified period, or compensation or benefits of any nature or kind whatsoever under this Agreement. Nothing in this <u>Section 6.8</u>, express or implied, shall be deemed an establishment, modification, termination or amendment of any Employee Plan or any other plan, program, contract, policy, agreement or arrangement providing benefits or compensation or shall limit the ability of the Purchaser or any of its Affiliates (including, following the Closing, the Company and the Subsidiaries) from amending, modifying or terminating any benefit or compensation plan, program, contract, policy, agreement or arrangement at any time assumed, maintained, sponsored or established by any of them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.9 <u>R&W Insurance Policy</u>**. Notwithstanding anything in this Agreement to the contrary, the Purchaser acknowledges and agrees that (a) the R&W Insurance Policy has been issued as of the date of this Agreement, (b) the R&W Insurance policy provides that the insurer has no, and has waived any and all rights of, subrogation as against the Sellers and their respective Affiliates (other than in cases of fraud by such Seller) and that the Sellers are third party beneficiaries of such waiver and that the insured and insurer cannot amend the R&W Insurance Policy with respect to the subrogation provisions without the consent of Sellers' Representative; (b) the Purchaser will not agree to any amendment or waiver of the R&W Insurance Policy that would adversely impact the Sellers without Sellers' Representative prior written consent (not to be unreasonably withheld, conditioned or delayed); and (c) the Purchaser will not take any action to terminate the R&W Insurance Policy or take any action or fail to take any action with the primary intent of causing the R&W Insurance Policy not to become effective at the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.10 <u>Financial Statements</u>**. Notwithstanding anything herein to the contrary, any costs, fees and expenses incurred in connection with any auditor consents related to the use of the Company Financial Statements in Parent's securities filings will be borne solely by Purchaser and/or Parent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.11 <u>TSX Venture Exchange</u>**. Following the Closing, Parent shall use its reasonable best efforts to obtain the Final Approval and shall take, or cause to be taken, all actions, and do, or cause to be done, all things necessary, proper or advisable to obtain the Final Approval, including preparing and filing as promptly as reasonably practicable with the TSX Venture Exchange, any Governmental Authority or other third party all documentation to effect all necessary, proper and advisable filings, notices, petitions, statement, registrations, submissions of information,

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applications and other documents or instruments to obtain the Final Approval. If the Final Approval is not granted by January 16, 2023, then as promptly as practicable, and in any event within two Business Days of the date thereof, the shares of Parent Stock that have been or were to be issued and delivered to the Sellers' Representative, on behalf of the Participating Sellers, in accordance with this Agreement shall be cancelled, and Purchaser shall pay an amount in cash equal to $2,000,000 to the Participating Sellers (in accordance with their respective Pro Rata Share of Parent Stock as set forth on <u>Schedule 3.4</u>) by wire transfer of immediately available funds to the accounts designated by Sellers' Representative, which shall be the Participating Sellers' sole and exclusive remedy against Purchaser for the shares of Parent Stock that were to be issued and delivered to the Sellers' Representative, on behalf of the Participating Sellers, in accordance with this Agreement.

**ARTICLE VII<br> <u>CLOSING DELIVERABLES</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.1 <u>Sellers' Representative Closing Deliveries</u>**. At the Closing, the Sellers (or the Sellers' Representative, on behalf of the Sellers) shall have delivered to the Purchaser:

&nbsp;&nbsp;&nbsp;&nbsp;&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) assignments of membership interests evidencing each Seller's sale, transfer, and assignment of the Purchased Interests to Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&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 Escrow Agreement, duly executed by the Sellers' Representative and the Escrow Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&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) minute books or similar ownership records for the Company and each Subsidiary (to the extent not in the possession or control of the Company or such 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;(d) the resignation, effective as at the Effective Time, in writing from each manager, director and officer of the Company and each Subsidiary as requested by the Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&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) a certificate of insurance evidencing the Tail 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;(f) any other Ancillary Agreements, duly executed by the Sellers, the Company, or any of their Affiliates who are a party 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;(g) a secretary's certificate, dated as of the Closing Date and executed by the secretary of the Company, certifying: (i) the incumbency and specimen signature of each officer of the Company executing this Agreement or any other Ancillary Agreements on the Company's behalf; (ii) a copy of the resolutions authorizing the Company's execution, delivery and performance of this Agreement and the Ancillary Agreements to which it is a party; and (iii) that all such resolutions are in full force and effect and are all of the resolutions adopted in connection with the 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;(h) a secretary's certificate, dated as of the Closing Date and executed by the secretary of DME Holdings, certifying: (i) the incumbency and specimen signature of each officer of DME Holdings executing this Agreement or any other Ancillary Agreements on DME Holdings' behalf; (ii) a copy of the resolutions, including the resolutions of DME Holdings' sole stockholder, authorizing DME Holdings' execution, delivery and performance of this Agreement

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and the Ancillary Agreements to which it is a party; and (iii) that all such resolutions are in full force and effect and are all of the resolutions adopted in connection with the 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;(i) the Payoff Documents, in each case, duly executed by the Person owed the Indebtedness corresponding to such Payoff Document, and Lien Releases with respect to all Liens (other than Permitted Liens) affecting the assets of the Company and the 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;(j) evidence, in form and substance reasonably acceptable to Purchaser, that each Seller Related Party Transaction has been terminated as of the Closing Date with no further liability to Purchaser, the Company or any 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;(k) a good standing certificate with respect to the Company and each Subsidiary certified by the Secretary of State of the State of incorporation or organization, as the case may be, as of a date not more than 30 days prior to the Closing Date; 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;(l) a duly completed and executed IRS Form W-9 from each Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.2 <u>Purchaser's Closing Deliveries</u>**. At the Closing, the Purchaser shall have delivered or cause to be delivered to the Sellers and/or Sellers' Representative (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) the Escrow Agreement, duly executed by the Purchaser and the Escrow Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&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 other Ancillary Agreements, duly executed by the Purchaser and its Affiliates who are a party 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;(c) a secretary's certificate, dated as of the Closing Date and executed by the secretary of the Purchaser, certifying: (i) the incumbency and specimen signature of each officer of the Purchaser or Parent, as applicable, executing this Agreement or any other Ancillary Agreements on the Purchaser's or Parent's behalf; (ii) a copy of the resolutions authorizing the Purchaser's and Parent's execution, delivery and performance of this Agreement and the Ancillary Agreements to which it is a party, including authorization to issue and deliver the shares of Parent Stock pursuant to <u>Section 2.3(a)(iv)</u>; and (iii) that all such resolutions are in full force and effect and are all of the resolutions adopted in connection with the 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;(d) evidence, in form and substance reasonably acceptable to the Sellers' Representative, from Parent's registrar and transfer agent that the shares of Parent Stock to be delivered to the Sellers' Representative, on behalf of the Participating Sellers, in accordance with <u>Section 2.3(a)(iv)</u> have been issued to and recorded in the name of the Sellers' Representative in accordance with the terms of 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;(e) a good standing certificate with respect to the Purchaser certified by the Secretary of State of the State of the Purchaser's incorporation or organization, as the case may be, as of a date not more than 30 days prior to the Closing Date; 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) a certificate of good standing with respect to Parent from the Registrar appointed under the Business Corporations Act (British Columbia) dated as of a date not more than 30 days prior to the Closing Date.

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**ARTICLE VIII<u><br>INDEMNIFICATION</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.1 <u>Indemnification by the Sellers</u>**. From and after the Closing, the Sellers, severally (and not jointly and severally), will indemnify, defend and hold harmless the Purchaser Indemnitees from, and pay and reimburse the Purchaser Indemnitees for, all Losses incurred or sustained by, or imposed on, the Purchaser Indemnitees, directly or indirectly, relating to or arising from: (a) any breach of any representation or warranty made by such Seller in <u>ARTICLE III</u> or by the Company in <u>ARTICLE IV</u>; (b) any breach of or failure to perform any covenant or agreement of such Seller in this Agreement; (c) any Indebtedness of the Company or the Subsidiaries or Transaction Expenses, in each case, outstanding and not fully paid on or prior to the Closing Date or not included in the calculation of the Purchase Price (as finally determined) (other than Indebtedness or Transaction Expenses for Taxes, which shall be indemnifiable pursuant to clause (d)); (d) any Pre-Closing Taxes; (e) any claim by any Seller or any Person claiming through or on behalf of any Seller arising out of or relating to any act or omission by the Purchaser or any other Person in reliance upon instructions from or notices given by the Sellers' Representative; and (f) any claim arising from matters set forth in <u>Schedule 8.1(f)</u>. Notwithstanding the foregoing, the Sellers' Liability pursuant to <u>Section 8.1(a)</u> for breaches of any representation or warranty by the Company in <u>ARTICLE IV</u> will be joint and several up to the amount of and only in respect of the funds held in the Indemnity Escrow Account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.2 <u>Indemnification by the Purchaser</u>**. From and after the Closing, the Purchaser will indemnify, defend and hold harmless the Seller Indemnitees from, and pay and reimburse the Seller Indemnitees for, all Losses incurred or sustained by, or imposed on, the Seller Indemnitees, directly or indirectly, relating to or arising from: (a) any breach of any representation or warranty made by the Purchaser in <u>ARTICLE V</u> or (b) any breach of or failure to perform any covenant or agreement of the Purchaser in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.3 <u>Survival and Time Limitations</u>**. All representations, warranties, covenants and agreements of the Purchaser and the Sellers in this Agreement will survive the Closing in accordance with the terms of this <u>Section 8.3</u>. The Sellers will have no Liability with respect to any claim for Losses for any breach of any representation or warranty in this Agreement or for any Losses related to the matters described in <u>Section 8.1(f)</u>, unless the Purchaser notifies the Sellers' Representative of any such a claim on or before the date that is 12 months after the Closing Date (the "**Survival Date**"); <u>provided</u>, <u>however</u>, that (a) any claim for Losses relating to <u>Sections 3.1</u> (Organization and Qualification), <u>3.2</u> (Authority, Due Execution and Binding Effect), <u>3.3</u> (No Violation; Consents and Approvals; No Conflict), <u>3.4</u> (Ownership; No Liens); <u>3.6</u> (Brokers), <u>4.1</u> (Incorporation, Organization and Qualification; Capitalization; Authority, Due Execution and Binding Effect), <u>4.2</u> (No Violation; Consents and Approvals; No Conflict), <u>4.3</u> (Ownership; No Liens), <u>4.16</u> (Taxes), <u>4.17</u> (Brokers) and <u>4.20(a)</u> (Ownership and Sufficiency of Assets) (collectively, the "**Fundamental Reps**") may be made at any time on or before the date that is the six-year anniversary of the Closing Date, (b) any claim for Losses relating to any covenant or agreement to be performed or complied with (i) prior to the Closing, may be made at any time until the 12-month anniversary of the Closing Date or (ii) at or after the Closing, may be made at any time until fully performed, and (c) any claim for Losses relating to any fraud, willful misconduct or intentional misrepresentation be made at any time without any time limitation. The Purchaser will have no Liability with respect to any claim for Losses for any breach or inaccuracy

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of any representation or warranty in this Agreement, unless the Sellers' Representative notifies the Purchaser of such a claim on or before the Survival Date; <u>provided</u>, <u>however</u>, that (x) any claim for Losses relating to <u>Sections 5.1</u> (Organization and Qualification), <u>5.2</u> (Authority, Due Execution and Binding Effect), <u>5.3</u> (No Violation; Contests and Approvals; No Conflict) and <u>5.9</u> (Brokers) may be made at any time on or before the date that is the six-year anniversary of the Closing Date, (y) any claim for Losses relating to any covenant or agreement to be performed or complied with (i) prior to the Closing, may be made at any time until the 12-month anniversary of the Closing Date or (ii) at or after the Closing, may be made at any time until fully performed and (z) any claim for Losses relating to any fraud, willful misconduct or intentional misrepresentation be made at any time without any time limitation. If the Purchaser or the Sellers' Representative, as applicable, provides proper notice of a claim for indemnification within the applicable time period set forth in this <u>Section 8.3</u>, Liability for such claim will continue until such claim is finally resolved. For the avoidance of doubt, nothing contained in this <u>Section 8.3</u> shall in any way limit or otherwise affect any claim or recovery available to any Purchaser Indemnitee or other insured under the R&W Insurance Policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.4 <u>Limitations on Indemnification by the Sellers</u>**. The rights of the Purchaser Indemnitees to indemnification pursuant to <u>Section 8.1</u> are subject to the following limitations:

&nbsp;&nbsp;&nbsp;&nbsp;&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 Sellers' maximum aggregate Liability with respect to the matters described in <u>Section 8.1(a)</u> will be limited to the then-remaining amount in the Indemnity Escrow Account, in each case, which shall be the sole and exclusive remedy against the Sellers for indemnification under <u>Section 8.1(a)</u>; <u>provided</u>, <u>however</u>, that the foregoing limitations shall not apply to recovery for any claim for Losses relating to any Fundamental Rep. The Sellers' maximum aggregate Liability with respect to the matters described in <u>Section 8.1(f)</u> will be limited to $8,000,000 less any amounts paid to any Purchaser Indemnitee from the Indemnity Escrow Account; <u>provided</u>, <u>however</u>, that the foregoing limitation shall not apply to recovery for any claim for Losses under any Fundamental Rep.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Section 8.4(a)</u>, (i) each Seller's maximum aggregate Liability with respect to the matters described in <u>Section 8.1</u> (inclusive of claims for Losses relating to any Fundamental Rep) shall be limited to an amount equal to such Seller's Pro Rata Share of the Purchase Price (as finally determined). For the avoidance of doubt, nothing contained in this <u>Section 8.4(b)</u> or otherwise in this <u>ARTICLE VIII</u> shall in any way limit or otherwise affect any claim or recovery available to any Purchaser Indemnitee or other insured under the R&W 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;(c) No Seller shall have Liability under this Agreement (including this <u>ARTICLE VIII</u>) with respect to any Losses to the extent arising out of matters disclosed, provided for, accrued or reserved for in the Interim Financial Statements or taken into account in the determination of the Final Working Capital Ratio, Final Closing Date Debt, Final Closing Date Transaction Expenses or Final Closing Date Cash.

&nbsp;&nbsp;&nbsp;&nbsp;&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 contained herein to the contrary, the limitations set forth in this <u>Section 8.4</u> or elsewhere in this Agreement will not apply to any claim for Losses relating to any fraud, willful misconduct or intentional misrepresentation committed by or on behalf of any Seller.

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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) Notwithstanding anything to the contrary in this Agreement, the Purchaser Indemnitees shall not have any right to indemnification hereunder to the extent that the applicable claim for indemnification is attributable to: (i) any Taxes arising in a Post-Closing Period (other than Taxes resulting from or arising in connection with the breach of a representation or warranty contained in <u>Section 4.16(f)</u>), (ii) any Taxes to the extent that the Purchaser or any of its Affiliates (including the Company and its Subsidiaries) received a payment from the Sellers in respect of such Taxes under <u>Section 6.4(a)(iii)</u>; (iii) any Taxes that arise as a result of the breach by the Purchaser of any of covenant or agreement contained in ‎<u>Section 6.4</u>, (iv) the portion of the Transfer Taxes that are the responsibility of Purchaser under <u>Section 6.4(d)</u> or (v) any professional fees or expenses incurred by the Purchaser or any of its Affiliates (including, following the Closing, the Company or any of its Subsidiaries) in connection with a Tax Contest if it is ultimately determined that the Company or its Subsidiary is not liable for any Taxes that are the responsibility of the Sellers under <u>Section 8.1</u> as a result of such Tax Contest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.5 <u>Sources</u>**. If a Purchaser Indemnitee has indemnification claims for Losses under this <u>ARTICLE VIII</u> with respect 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) a breach of a representation and warranty under <u>Section 8.1(a)</u> shall be satisfied from the following sources:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) first, from, an amount equal to one-half of such Losses from the Indemnity Escrow Account; 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;(ii) second, to the extent Losses exceed the Retention Amount, from the R&W Insurance Policy, and in no event shall any Seller have any Liability or obligation for Losses under <u>Section 8.1(a)</u> beyond the funds held in the Indemnity Escrow 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;(b) the matters set forth in <u>Sections 8.1(b)-(e)</u> or a breach of a Fundamental Rep shall be satisfied from the following sources:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) first, from, and only to the extent of, Losses from the Indemnity Escrow 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;&nbsp;&nbsp;&nbsp;&nbsp;(ii) second, from the R&W Insurance Policy, if the R&W Insurance Policy provides coverage for such Losses, until such Losses equal the policy limits of the R&W Insurance Policy; 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;(iii) third, from, and only to the extent Losses exceed the funds held in the Indemnity Escrow Account, from Sellers, severally and not jointly, up to a maximum aggregate amount equal to such Seller's Pro Rata Share of the Purchase Price (as finally determined).

&nbsp;&nbsp;&nbsp;&nbsp;&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 matters set forth in <u>Section 8.1(f)</u> shall be satisfied from the following sources:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) first, from, an amount equal to the lesser of (A) one-half of such Losses and (B) the amount then-remaining in the Indemnity Escrow Account, from the Indemnity Escrow Account; 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;(ii) second, from, and only to the extent Losses exceed the funds held in the Indemnity Escrow Account, from Sellers, severally and not jointly, up to a maximum aggregate amount equal to such Seller's Pro Rata Share of (A) $8,000,000 <u>less</u> (B) an amount equal to the amount recovered pursuant to <u>Section 8.5(c)(i)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.6 <u>Other Indemnification 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) If a Purchaser Indemnitee or a Seller Indemnitee (each, an "**Indemnified Party**"), believes that a claim, demand or other circumstance exists that has given or may reasonably be expected to give rise to a right for indemnification under this <u>ARTICLE VIII</u>, such Indemnified Party shall assert its claim for indemnification by giving written notice thereof (a "**Claim Notice**") to the Party (or, in the event indemnification is sought from Sellers, the Sellers' Representative) from which indemnification is sought (the "**Indemnifying Party**") (i) if the event or occurrence giving rise to such claim for indemnification is, or relates to, a claim or Action brought by a Person that is not a Party or affiliated with any Party (a "**Third Party**"), within ten Business Days following receipt of notice of such claim or Action by such Indemnified Party, or (ii) if the event or occurrence giving rise to such claim for indemnification is not, or does not relate to, a claim or Action brought by a Third Party, as promptly as practicable after the discovery by the Indemnified Party of the circumstances giving rise to such claim for indemnity; <u>provided</u>, <u>however</u>, that in each of the cases in clauses (i) and (ii), that the failure to notify or delay in notifying Sellers' Representative or the Purchaser, as the case may be, shall not relieve the Indemnifying Party of its obligations pursuant to this <u>ARTICLE VIII</u>, except to the extent that such Indemnifying Party is materially prejudiced as a result thereof. Each Claim Notice shall describe the claim in reasonable detail.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Upon receipt by an Indemnifying Party of a Claim Notice in respect of an action or claim of a Third Party, the Indemnifying Party shall be entitled to assume and have sole control over the defense of such action or claim at its sole cost and expense. If the Indemnifying Party assumes the defense of any such claim or Action arising therefrom, the Indemnified Party shall reasonably cooperate in the defense or prosecution thereof. Such cooperation shall include the retention and (upon the Indemnifying Party's request) the provision to the Indemnifying Party of records and information that are reasonably requested by the Indemnifying Party or that are reasonably relevant to such claim or Action, and making employees available on a mutually convenient basis during normal business hours to provide reasonable additional information and explanation of any material provided hereunder. If the Indemnifying Party assumes the defense of such claim or Action, the Indemnified Party may participate in such defense at the Indemnified Party's expense, which shall include counsel of its choice. If the Indemnifying Party assumes the defense of such a Third Party Action or claim, the Indemnifying Party shall be entitled to negotiate a settlement or compromise of such Action or claim; <u>provided</u>, <u>however</u>, that (x) such settlement or compromise shall only involve the payment of monetary damages by the Indemnifying Party (without any admission of guilt or equitable remedy) and shall include a full and unconditional waiver and release by the Third Party of all Indemnified Parties, and (y) any such settlement or compromise that does not satisfy the requirements of clause (x) shall be permitted only with the written consent of the Indemnified Party, which consent shall not be unreasonably withheld, conditioned or delayed. If, within 30 days of receipt from an Indemnified Party of any Claim

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Notice with respect to a Third Party Action or claim, the Indemnifying Party (i) advises such Indemnified Party in writing that the Indemnifying Party shall not elect to defend, settle or compromise such action or claim or (ii) is not entitled to assume and control the defense of such Action or claims, such Indemnified Party may, at its option, defend, settle or otherwise compromise or pay such action or claim; <u>provided</u>, <u>however</u>, that any such settlement or compromise shall be permitted only with the written consent of the Indemnifying Party, which consent shall not be unreasonably withheld, conditioned or delayed. Each Indemnified Party shall make available to the Indemnifying Party all information reasonably available to such Indemnified Party relating to such action or claim, except as may be prohibited by applicable Law. In addition, the Parties shall render to each other such assistance as may reasonably be requested in order to ensure the proper and adequate defense of any such Action or claim. The Party in charge of the defense shall keep the other Parties fully apprised at all times as to the status of the defense or any settlement negotiations with respect 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;(c) With respect to any claim for indemnification under this <u>ARTICLE VIII</u> that arises from, or relates to, Taxes, the applicable indemnification payment shall not be due to, or recoverable by (including by an offset), the Indemnified Party earlier than two days before the applicable Tax is due to the Governmental Authority (it being understood, for the avoidance of doubt, that a Tax is not due or payable to the extent that such Tax may be contested prior to payment by the means selected by the Person entitled to control such Tax Contest pursuant to <u>Section 6.4(d)</u>), and in the case of a Tax that is contested in accordance with the provisions of <u>Section 6.4(d)</u>, payment of the Tax to the appropriate Governmental Authority will be considered to be due no earlier than the earlier of (A) the date paid to the applicable Governmental Authority (to the extent that the applicable Tax must be prepaid or deposited before the applicable Tax Contest may be contested by the Party entitled to control such Tax Contest under <u>Section 6.4(d)</u>) or (B) the date of a Final Determination with respect to the applicable Tax).

&nbsp;&nbsp;&nbsp;&nbsp;&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 qualifications as to "materiality," "in all material respects," "Material Adverse Effect," "material adverse effect" or words of similar import contained or otherwise applicable to the relevant representation or warranty in this Agreement shall be disregarded for purposes of (i) determining whether there has been a breach of any representation or warranty in this Agreement and (ii) calculating the amount of any Losses that are subject to indemnification under 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;(e) If any Seller liquidates or dissolves at any time when any Liability of such Seller with respect to this <u>ARTICLE VIII</u> may thereafter arise or be determined, then at the time of such liquidation or dissolution, such Seller will cause its shareholders, members, partners or other equityholders or distributees of such Seller's assets, as the case may be, to take such assets subject to such Liabilities ratably in proportion to the assets received; <u>provided</u>, <u>however</u>, that the failure on behalf of such Seller to comply with the covenant set forth in this <u>Section 8.6(e)</u> will in no way reduce the such Seller's obligations in 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;(f) Notwithstanding any other provision set forth in this <u>Section 8.6</u>, the rights to conduct the defense of any Third Party Action or claim set forth herein shall in all events be subject to the rights of the insurer under the R&W Insurance Policy to conduct the defense of any Third Party Action or claim covered by the R&W Insurance Policy. The Parties acknowledge and agree that if a Third Party Action or claim results in a claim for indemnification being brought by any

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Purchaser Indemnitee that includes or involves a claim against the R&W Insurance Policy, with respect to which the Indemnifying Party has elected to assume the defense under <u>Section 8.6(b)</u> (an "**Insured Claim**"), then the insurer or its representatives shall have the right to associate effectively in the defense of the Insured Claim, and the Sellers' Representative and its Affiliates shall provide the insurer such cooperation and information as the R&W Insurance Policy insurer may reasonably require in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.7 <u>Calculation of Losses</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 amount of any Losses payable under this <u>ARTICLE VIII</u> by the Indemnifying Party shall be net of (i) any amounts actually recovered by the Indemnified Party under applicable insurance policies (net of costs of any recovery (including any deductible amounts, attorney's fees and any increased insurance premiums)), excluding, however, the R&W Insurance Policy (which shall be governed by <u>Section 8.5</u> hereof) and (ii) any net Tax benefit (A) arising in connection with the incurrence or payment of the applicable Loss giving rise to the claim for indemnification (including any Tax benefit arising as a result of an adjustment that has the effect of either moving (1) any Taxes or an item of income or gain, in each case, from a Post-Closing Period to a Pre-Closing Period or (2) a loss, deduction or credit from a Pre-Closing Period to a Post-Closing Period) and (B) that is actually utilized by the Indemnified Party or its Affiliates to reduce the amount of Taxes payable by the Indemnified Party or any of its Affiliates (as determined on a with and without basis and as the last item taken into account) in (1) the Tax period in which the applicable indemnification payment was made to the Indemnified Party, (2) any taxable period beginning before the taxable period that includes the date on which the applicable indemnification payment was made to the Indemnified Party or (3) the first three taxable periods beginning after the Tax period that includes the date on which the applicable indemnification payment was made to the Indemnified Party. If the Indemnified Party actually recovers any amounts under applicable insurance policies or recognizes a net Tax benefit, in each case, subsequent to an indemnification payment by the Indemnifying Party, then such Indemnified Party shall promptly reimburse the Indemnifying Party for any payment made or expense incurred by such Indemnifying Party in connection with providing such indemnification payment in the amount received (or net Tax benefit recognized) by the Indemnified Party, net of any expenses reasonably incurred by such Indemnified Party in collecting such amount (including any deductible amounts and attorneys' fees).

&nbsp;&nbsp;&nbsp;&nbsp;&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) UNDER NO CIRCUMSTANCES SHALL AN INDEMNIFYING PARTY HAVE ANY LIABILITY TO ANY INDEMNIFIED PARTIES UNDER THIS AGREEMENT FOR, AND THE INDEMNIFIED PARTIES SHALL NOT HAVE THE RIGHT TO CLAIM OR RECOVER FROM THE INDEMNIFYING PARTY, ANY EXEMPLARY OR PUNITIVE DAMAGES, LOSSES OR EXPENSES OF ANY KIND OR NATURE WHATSOEVER, EXCEPT (I) TO THE EXTENT RECOVERED FROM THE INDEMNIFIED PARTY BY A THIRD PARTY OR (II) ARISING FROM FRAUD, WILLFUL MISCONDUCT OR INTENTIONAL MISREPRESENTATION OF THE INDEMNIFYING PARTY.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.8 <u>Exclusive Remedy</u>**. This <u>ARTICLE VIII</u> will provide the exclusive legal remedies for any and all claims for any breach of this Agreement, except for (i) claims based upon fraud, willful misconduct or intentional misrepresentation by any Seller or the Purchaser, (ii) claims related to or arising from any breach or threatened breach of <u>Section 6.5</u> (Confidentiality) or <u>6.6</u>

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(Non-Competition; Non-Solicitation; Non-Disparagement) or (iii) claims related to or arising out of <u>Section 6.12</u> (TSX Venture Exchange); <u>provided</u>, <u>however</u>, that this <u>Section 8.8</u> shall not limit or otherwise affect any rights or remedies available to any Purchaser Indemnitee or other insured under the R&W Insurance Policy. Notwithstanding anything contained herein to the contrary, this <u>ARTICLE VIII</u> will not affect any equitable remedy available to any Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.9 <u>Release of Indemnity Escrow Amount</u>**. No later than the fifth Business Day following the Survival Date, the Purchaser and the Sellers' Representative shall deliver joint written instructions to the Escrow Agent instructing the Escrow Agent to release to the Sellers' Representative any remaining funds held in the Indemnity Escrow Account (other than the aggregate amount claimed by the Purchaser Indemnitees pursuant to claims made in accordance with this <u>ARTICLE VIII</u> and not fully resolved prior to the Survival Date). At any time following the release of such funds, to the extent the funds held in the Indemnity Escrow Account exceed the aggregate amount claimed by the Purchaser Indemnitees pursuant to claims made prior to the Survival Date, and not fully resolved prior to the time of determination, such excess funds shall be promptly released to the Sellers' Representative.

**ARTICLE IX<u><br>MISCELLANEOUS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.1 <u>Appointment of Sellers' Representative</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) By execution and delivery of this Agreement, the Sellers hereby irrevocably constitute and appoint the Sellers' Representative as their and each Seller's true and lawful representative, agent and attorney-in-fact, which appointment is coupled with an interest, with full authority and power of substitution, to act in the name, place and stead of such Person with respect to all powers and rights set out in this <u>Section 9.1</u> or in other provisions of this Agreement (including full power and authority to do, and to execute documents on such Seller's behalf and to bind such Seller), to take any action in accordance with and pursuant to the terms of this Agreement and such other actions on behalf of the Sellers as the Sellers' Representative may deem necessary or appropriate in connection with or to consummate the Transaction. Notwithstanding anything in this Agreement to the contrary, the Sellers' Representative shall not have the authority pursuant to this <u>Section 9.1</u> to take, and shall not take, any action that disproportionately affects any Seller or that affects any Seller differently than it affects any other Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&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 the final sentence of <u>Section 9.1(a)</u>, the Sellers' Representative, on behalf of the Sellers, is authorized to (i) take any and all actions (including, executing and delivering any certificates, notices, consents, or other documents contemplated by this Agreement, including the Ancillary Agreements), and make any and all determinations which may be required or permitted to be taken or made by the Sellers under this Agreement, (ii) approve any amendment, supplement, restatement or replacement, waiver to or of this Agreement or any applicable Ancillary Agreement, so long as such amendment or waiver does not materially adversely and disproportionately alter the rights or obligations of any Seller in a manner disproportionate to the other Sellers, (iii) exercise such other rights, power and authority as are authorized, delegated and granted to the respective Seller under this Agreement (including the waiver of any condition as set out herein), (iv) dispute or refrain from disputing any claim made by the Purchaser under this Agreement, (v) enforce any rights of the Sellers, (vi) negotiate and compromise any dispute under

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this Agreement on behalf of the Sellers, (vii) execute any settlement agreement, release or other document with respect to such dispute or remedy on behalf of the Sellers, (viii) execute, deliver and file all such further documents and instruments relating to this Agreement on behalf of the Sellers, and do all acts and things as may be necessary or desirable in connection therewith, (ix) receive and make payments, receive and send notices, give releases and discharges, and establish reserves or reserve accounts for post-Closing expenses and/or payments, (x) at its discretion, use the Expense Fund to make payments required to be paid by the Sellers hereunder or to pay any expenses incurred by the Sellers' Representative in connection with executing or enforcing the rights of the Sellers hereunder, and (xi) exercise such rights, power and authority as are incidental to the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Seller shall act through the Sellers' Representative, with respect to the matters for which the Sellers are to act as set out in this Agreement and none of the Sellers shall have the right to act independently with respect to any such matter or to institute any claim, now existing or hereafter arising, against the Purchaser with respect to this Agreement, any such right being irrevocably and exclusively vested in the Sellers' Representative. Notwithstanding any disagreement or dispute among the Sellers or between any of the Sellers and the Sellers' Representative, the Purchaser shall be entitled to rely on any and all action taken by the Sellers' Representative without any liability to, or obligation to inquire of, any of the Sellers. In no event shall the Purchaser be held responsible or liable for the application or allocation of any monies paid to the Sellers' Representative by the Purchaser, and the Purchaser shall be entitled to rely upon any notice provided to the Purchaser by the Sellers' Representative, or action taken by the Sellers' Representative acting within the scope of its authority. The Purchaser is entitled to give notice of any claims only to the Sellers' Representative and notice to the Sellers' Representative shall constitute notice to the Sellers for all purposes hereof. All actions taken by the Sellers' Representative under this Agreement shall be binding upon the Sellers and their successors as if expressly confirmed and ratified in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Sellers' Representative will be protected in acting and relying reasonably upon any written notice, direction, instruction, order, certificate, confirmation, request, waiver, consent, receipt, statutory declaration or other document furnished to the Sellers' Representative and signed by the Sellers in connection with this Agreement, not only as to their due execution and the validity and effectiveness of their provisions, but also as to the truth and accuracy of any information therein contained, which the Sellers' Representative in good faith believes to be genuine, excepting only the fraud, gross negligence, willful misconduct or bad faith of the Sellers' Representative. The Sellers shall, each, as a group, jointly (but not jointly and severally) indemnify and hold harmless the Sellers' Representative against all claims, losses, damages, reasonable costs, penalties, fines and reasonable expenses (including reasonable expenses of the Sellers' Representative's legal counsel) which, without fraud, negligence, recklessness, willful misconduct or bad faith on the part of the Sellers' Representative, may be paid, incurred or suffered by such Sellers' Representative by reason or as a result of the performance by the Sellers' Representative of its obligations set out in 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;(e) In performing its duties hereunder the Sellers' Representative will exercise that degree of care, skill and diligence that a prudent person would exercise in the conduct of its own affairs.

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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) The Sellers and the Sellers' Representative, as applicable, agree that the Purchaser will have no Liability with respect to any dispute or disagreement between any of the Sellers, or between any of the Sellers and the Sellers' Representative, including with respect to any payments made or to be made pursuant to this Agreement, and the Sellers and the Sellers' Representative agree to indemnify the Purchaser against all costs and expenses incurred by the Purchaser as a result of any such dispute or disagreement.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Sellers' Representative shall be entitled at any time and from time to time to reimbursement from the Sellers for any Sellers' Representative's expenses, including for the Expense Fund. The Sellers' Representative shall, in its discretion, release all or a portion of the Expense Fund that it deems no longer necessary to satisfy or enforce any of the Sellers' obligations hereunder (or any expenses related thereto) to each of the Sellers in accordance with such Seller's Pro Rata Share.

&nbsp;&nbsp;&nbsp;&nbsp;&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) The power and authority of the Sellers' Representative, as described in this Agreement, shall be effective until all rights and obligations of the Sellers under this Agreement have terminated, expired or been fully performed. The appointment of the power of attorney pursuant to <u>Section 9.1(a)</u> is coupled with an interest and is irrevocable and will not be terminated by any Sellers or by operation of Law, whether by death or incapacity of any Sellers or the occurrence of any other event, and any action taken by the Sellers' Representative will be as valid as if such death, incapacity or other event had not occurred, regardless of whether or not any Sellers or the Sellers' Representative will have received any notice 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;(i) For greater certainty and without limitation, this <u>Section 9.1</u> shall survive the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&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) As of the date of this Agreement, the Sellers hereby appoint DME Holdings as the Sellers' Representative (and by the execution of this Agreement, it hereby accepts such appointment) and has the authority to exercise the powers and perform the duties of the Sellers' Representative under this Agreement and any Ancillary Agreement and shall continue to have such authority until notice to the contrary is provided to the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Notwithstanding anything to the contrary contained herein, any reference in this Agreement to actions, decisions or communications by any of the Sellers shall mean and refer exclusively to the actions, decisions or communications of the Sellers' Representative; <u>provided</u> that, this <u>Section 9.1</u> shall in no way be deemed to limit or relieve any of the Sellers or their respective Affiliates from their indemnification or other covenants or obligations under this Agreement. All references in this Agreement to decisions and actions to be taken by the Purchaser and directed to the Sellers or any one of them shall be deemed directed to the Sellers or any one of them if such decisions or actions are directed by the Purchaser to the Sellers' Representative.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Each of the Participating Sellers hereby authorizes the Sellers' Representative (i) to hold the shares of Parent Stock on its behalf in accordance with the terms of this Agreement and (ii) in its sole discretion, to either (A) distribute such shares of Parent Stock to the Participating Sellers in accordance with the allocation set forth on <u>Schedule 3.4</u> and in accordance with applicable U.S. Securities Laws or (B) sell or transfer such shares of Parent Stock in exchange for cash and distribute such cash proceeds to the Participating Sellers in accordance with their

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respective Pro Rata Share of Parent Stock as set forth on <u>Schedule 3.4</u> by wire transfer of immediately available funds.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.2 <u>Notices, Consents, Etc.</u>**. Any notices, requests, demands, consents or other communications required to be sent or given hereunder by any of the Parties shall in every case be in writing, be addressed as follows, and shall be deemed properly given and received (a) on the date delivered by hand; (b) on the date sent if transmitted by email with confirmation of receipt during normal business hours for the recipient or on the next Business Day if sent after normal business hours to the recipient (<u>provided</u> that such sent email is kept on file (whether electronically or otherwise) by the sending Party and the sending Party does not receive an automatically generated message from the recipient's email server that such email could not be delivered to such recipient); or (c) one Business Day after it is sent if sent by prepaid overnight delivery service (providing proof of delivery).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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>If to the Sellers and/or the Sellers' Representative</u>:

Great Elm DME Holdings, Inc.

c/o Great Elm Capital Corp.

800 South Street, Suite 230

Waltham, MA 02453

Phone: (617) 375-3006

Attn: Adam Kleinman

Email: akleinman@greatelmcap.com

with a copy to (which copy shall not constitute notice):

Shearman & Sterling LLP

The Link at Uptown

2601 Olive Street, 17th Floor

Dallas, TX 75201

Attn: Alain Dermarkar and Michael Walraven

Email: alain.dermarkar@shearman.com and michael.walraven@shearman.com

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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>If to the Purchaser</u>:

c/o Quipt Home Medical Corp.

1019 Town Drive<br>Wilder, KY 41076

Attn: Gregory Crawford

Email: gcrawford@myquipt.com

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with a copy to (which copy shall not constitute notice):

Katz Teller<br>255 E. Fifth Street, Suite 2400

Cincinnati, Ohio 45202<br>Tel: (513) 721-4532<br>Attn: John R. Gierl

Email: jgierl@katzteller.com

Any Party may change the address to which notices, requests, demands, claims, and other communications hereunder are to be delivered by giving the other Parties notice in compliance with the terms of this <u>Section 9.2</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.3 <u>Severability</u>**. The unenforceability, illegality or invalidity of any provision of this Agreement shall not affect the enforceability or validity of any other provision. Upon the determination by a court of competent jurisdiction that any term or other provision is illegal, invalid or incapable of being enforced, the Parties shall negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in order that the Transaction is consummated as originally contemplated to the greatest extent possible.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.4 <u>Assignment; Successors</u>**. Neither this Agreement, nor any rights, obligations or interests hereunder, may be assigned by any Party hereto except with the prior written consent of the other Parties; <u>provided</u> that Purchaser may assign, delegate or otherwise transfer its rights and obligations under this Agreement, without the prior written consent of any other Party, to one or more of Purchaser's Affiliates or to the Debt Financing Sources for purposes of creating a security interest herein or otherwise assigning as collateral in respect of the Debt Financing; <u>provided</u>, <u>further</u>, that such assignment shall not relieve the Purchaser from any of its obligations hereunder.. Subject to the preceding sentence, this Agreement shall be binding upon, and shall inure to the benefit of, the Parties and their respective successors and assigns. Notwithstanding the foregoing, after the Closing, the Sellers and the Purchaser may assign this Agreement to any of their respective beneficial owners or successors by operation of law; <u>provided</u> that no assignment to any permitted Person hereunder will in any way affect such assigning Party's obligations or liabilities under this Agreement. Any purported assignment without such prior written consents shall be void.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.5 <u>Counterparts; Facsimile or PDF Signatures</u>**. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument. Counterparts may be delivered via electronic mail (including pdf or any electronic signature complying with the U.S. federal ESIGN Act of 2000, the Uniform Electronic Transactions Act or other applicable law, e.g., www.docusign.com) or other transmission method and any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective for all purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.6 <u>Governing Law</u>**. This Agreement and the negotiation, execution, performance or non-performance, interpretation, termination, construction and all claims or causes of action (whether in contract or tort), that may be based upon, arise out of or relate to this Agreement (including any claim or cause of action based upon, arising out of or related to any representation

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or warranty made or in connection with this Agreement or as an inducement to enter this Agreement) shall be governed by, and construed in accordance with, the Laws of the State of Delaware without giving effect to any choice of law or conflicts of laws principles that would require or permit the application of the Laws of another jurisdiction. Notwithstanding anything to the contrary contained in this Agreement, the Parties acknowledge and agree that any Action or dispute of any kind or nature (whether based upon contract, tort or otherwise) involving a Debt Financing Source that is in any way related to the Debt Financing shall be governed by, and construed in accordance with, the Laws of the State of New York without giving effect to any choice of law or conflicts of laws principles that would require or permit the application of the Laws of another jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.7 <u>**Table of Contents** and Headings</u>**. The table of contents and section headings of this Agreement are included for reference purposes only and shall not affect the construction or interpretation of any of the provisions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.8 <u>Entire Agreement</u>**. This Agreement, including the Exhibits and Disclosure Schedules (all of which shall be deemed incorporated in this Agreement and made a part hereof) and the other documents referred to herein, set forth the entire understanding of the Parties with respect to the Transaction and supersede all prior discussions, understandings, agreements and representations relating to the subject matter hereof. The Parties acknowledge that the information provided in connection with this Agreement and the Transaction is subject to the terms of the Confidentiality Agreement, by and between Great Elm DME, Inc. and the Purchaser, dated February 23, 2021 (the "**NDA**"), the terms of which are incorporated herein by reference. Effective upon, and only upon, the Closing, the NDA shall automatically terminate and be of no further force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.9 <u>Third Parties</u>**. This Agreement is for the sole benefit of the Parties and their respective successors and permitted assigns and nothing herein, express or implied, is intended to or shall confer upon any other Person any legal or equitable right, benefit or remedy of any nature whatsoever under or by reason of this Agreement any rights or remedies under or by reason of this Agreement; provided that the Debt Financing Sources shall be intended third parties beneficiaries of Section 9.6, this Section 9.9, Section 9.11(b), Section 9.11(c), Section 9.12 and Section 9.14 and shall be entitled to enforce such provisions directly (and no amendment or modification to such provisions in respect to the Debt Financing Sources may be made without the prior consent of the Debt Financing Sources)..

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.10 <u>Schedules and Exhibits; Disclosure Generally</u>**. The schedules and exhibits attached to this Agreement form an integral part of this Agreement for all purposes of it. All references herein to this Agreement shall include the schedules and exhibits attached to this Agreement. Any exception or qualification set forth in the Disclosure Schedules with respect to a particular representation, warranty or covenant contained herein shall be deemed to be an exception or qualification with respect to all other applicable representations, warranties and covenants contained in this Agreement to the extent the applicability of such exception or qualification to any other applicable representation, warranty or covenant would be reasonably apparent on the face of the disclosure, regardless of whether an explicit reference to such other representation, warranty or covenant is made. Nothing in the Disclosure Schedules shall broaden the scope of any representation or warranty contained in this Agreement. Inclusion of any item in

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the Disclosure Schedules does not constitute a determination by the representing Party that such item is material and shall not be deemed to establish a standard of materiality. No disclosure in the Disclosure Schedules relating to any possible breach or violation of any Contract, Law or any potential adverse contingency shall be construed as an admission or indication that any such breach or violation exists or has actually occurred or that such adverse contingency will actually occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.11 <u>Submission to Jurisdiction; Consent to Service of Process</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 Parties hereby irrevocably submit to the exclusive jurisdiction of any federal or state court sitting in New Castle County, Delaware over all claims or causes of action (whether in contract, tort, or pursuant to any other legal theory) that may be based upon, arise out of or relate to this Agreement or any Ancillary Agreement, or the negotiation, execution or performance of this Agreement or any Ancillary Agreement (including any claim or cause of action based upon, arising out of or related to any representation or warranty made in or in connection with this Agreement or as an inducement to enter into this Agreement) and each Party hereby irrevocably agrees that all such claims and causes of action must be heard and determined in such courts and each Party hereby waives any objection on the basis of personal jurisdiction. The Parties hereby irrevocably waive, to the fullest extent permitted by applicable law, any objection that they may now or hereafter have to the laying of venue of any such dispute brought in such court or any defense of inconvenient forum for the maintenance of such dispute. Each of the Parties agrees that a judgment in any such dispute may be enforced in other jurisdictions by suit on the judgment or in any other manner provided 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;(b) Each of the Parties hereby consents to process being served by any Party in any Action by the delivery of a copy thereof in accordance with the provisions of <u>Section 9.2</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;(c) Notwithstanding anything herein to the contrary, each of the Parties hereby agrees that any action, cause of action, claim, cross-claim or third-party claim against the Debt Financing Sources in any way relating to the Debt Financing shall be subject to the exclusive jurisdiction of any state or federal court sitting in the Borough of Manhattan, New York, New York, and any appellate courts thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.12 <u>Waiver of Jury Trial</u>**. EACH PARTY HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE ANCILLARY AGREEMENTS OR THE TRANSACTION (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS <u>SECTION 9.12</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.13 <u>Public Announcements</u>**. All press releases or other public announcements or notices regarding the Transaction shall be made jointly by the Sellers' Representative and the Purchaser, subject to each of their consent and approval (which consent shall not be unreasonably

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withheld, conditioned or delayed); <u>provided</u>, <u>however</u>, that the foregoing shall not restrict or prohibit (a) disclosures made by any Party or any Affiliate thereof which is a private equity or other investment fund to its direct and indirect investors or potential investors in connection with normal fund raising and related marketing or informational or reporting activities; (b) press releases or public announcements by the Purchaser or its Affiliates after the Closing that do not include the amount of consideration involved hereunder (or any other financial metric such as proceeds, rate of return or multiples of money) or the name of any Seller or any Affiliate of the Sellers (other than the Company); (c) press releases or public announcements by the Sellers or the Sellers' Representative or their respective Affiliates after the Closing that do not include the amount of consideration involved hereunder (or any other financial metric such as proceeds, rate of return or multiples of money) or the name of Purchaser or any Affiliate of Purchaser (other than the Company); (d) disclosures made in connection with the any Party's enforcement of its rights hereunder or the defense of its interests hereunder, or (e) any Party from making any other announcement as may be required by applicable Law, including stock exchange requirements, in which case the Party making such announcement shall, if practicable under the circumstances, use commercially reasonable efforts to allow the other Parties an opportunity to comment on such announcement in advance of its issuance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.14 <u>Amendments and Waivers</u>**. This Agreement (including the Disclosure Schedules and exhibits hereto) may not be amended, restated, supplemented or otherwise modified, except by an instrument in writing signed by the Sellers' Representative and the Purchaser and subject to the proviso set forth in <u>Section 9.9</u>. No failure or delay of any Party hereto to exercise any right or remedy given to such Party under this Agreement or otherwise available to such Party, or to insist upon strict compliance by any other Party with its obligations hereunder, no single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such right or power, and no custom or practice of the Parties in variance with the terms hereof, shall constitute a waiver of any Party's right to demand exact compliance with the terms hereof. No waiver shall be effective unless it is in writing and signed by an authorized representative of the waiving Party. Any written waiver shall be limited to those items specifically waived therein and shall not be deemed to waive any future breaches or violations or other non-specified breaches or violations unless, and to the extent, expressly set forth therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.15 <u>Expenses</u>**. The fees payable to the Escrow Agent shall be borne equally by the Sellers (in accordance with their respective Pro Rata Shares), on the one hand, and the Purchaser on the other hand. The Parties shall, except as otherwise specifically provided herein, bear their respective expenses incurred in connection with the preparation, execution, and performance of this Agreement and the Transaction, including all fees and expenses of agents, representatives, counsel and accountants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.16 <u>Specific Performance</u>**. Each Party's obligations under this Agreement are unique. If any Party should breach its covenants or agreements under this Agreement, the Parties each acknowledge that it would be extremely impracticable to measure the resulting damages. Accordingly, the non-breaching Party or Parties, in addition to any other available rights or remedies they may have under the terms of this Agreement, may sue in equity for specific

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performance or to obtain an injunction or injunctions to prevent breaches of this Agreement, and each Party expressly waives the defense that a remedy in damages will be adequate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.17 <u>Parent Obligations</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) Parent hereby makes, as of the date hereof, the representations and warranties set forth in <u>Section 5.1</u> (Organization and Qualification), <u>Section 5.2</u> (Authority, Due Execution and Binding Effect), <u>Section 5.3</u> (No Violation; Consents and Approvals; No Conflict), <u>Section 5.4</u> (Litigation), <u>Section 5.5</u> (Parent Stock), <u>Section 5.6</u> (No Parent Stockholder Approval), <u>Section 5.7</u> (Parent SEC Reports), and <u>Section 5.8</u> (Parent Financial Statements) as to itself.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Parent acknowledges that it will receive substantial direct and indirect benefits from the Transaction and hereby agrees to duly perform all covenants and agreements of Parent in this Agreement. Each Party acknowledges and agrees that this <u>Section 9.17</u> is an integral and essential part of the Transaction and no Party would have entered into this Agreement, nor would it have entered into the Ancillary Agreements, without the benefit of Parent's representations and warranties set forth in this <u>Section 9.17</u> and covenants and agreements set forth in this Agreement, and each Party has relied on the execution of this Agreement by Parent as set forth on this signature page hereto in that regard.

 **[Signature Pages Follow]**

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**IN WITNESS WHEREOF**, the Parties have executed this Agreement on the date first written above.

Purchaser:

**QHM HOLDINGS INC.**

By: <u>/s/ Gregory Crawford</u> <br> Name: Gregory Crawford<br>Title: President

Parent:

**QUIPT HOME MEDICAL CORP.**

By: <u>/s/ Gregory Crawford</u> <br> Name: Gregory Crawford<br>Title: President

[Signature Page – Membership Interest Purchase Agreement]

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**IN WITNESS WHEREOF**, the Parties have executed this Agreement on the date first written above.

Company:

**GREAT ELM HEALTHCARE, LLC**

By: <u>/s/ John Ehlinger</u> <br> Name: John Ehlinger<br>Title: Chief Executive Officer and President

[Signature Page – Membership Interest Purchase Agreement]

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**IN WITNESS WHEREOF**, the Parties have executed this Agreement on the date first written above.

Sellers' Representative:

**GREAT ELM DME HOLDINGS, INC.**

By: <u>/s/ Adam Kleinman</u> <br> Name: Adam Kleinman<br>Title: Authorized Signatory

Sellers:

**GREAT ELM DME HOLDINGS, INC.**

By: <u>/s/ Adam Kleinman</u> <br> Name: Adam Kleinman<br>Title: Authorized Signatory

[Signature Page – Membership Interest Purchase Agreement]

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**IN WITNESS WHEREOF**, the Parties have executed this Agreement on the date first written above.

Sellers:

**GREAT ELM DME, INC.**

By: <u>/s/ Michael H. Jones</u> <br> Name: Michael H. Jones<br>Title: Member

[Signature Page – Membership Interest Purchase Agreement]

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**IN WITNESS WHEREOF**, the Parties have executed this Agreement on the date first written above.

Sellers:

**CORBEL CAPITAL PARTNERS SBIC, L.P.**

By: <u>/s/ Michael H. Jones</u> <br> Name: Michael H. Jones<br>Title: Managing Director

[Signature Page – Membership Interest Purchase Agreement]

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**IN WITNESS WHEREOF**, the Parties have executed this Agreement on the date first written above.

Sellers:

**VALLEY HEALTHCARE GROUP, LLC**

By: <u>/s/ Ron A. Evans</u> <br> Name: Ron A. Evans<br>Title: Chief Executive Officer

[Signature Page – Membership Interest Purchase Agreement]

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**ANNEX OF DEFINED TERMS**

Definitions. For purposes of this Agreement, unless the context otherwise requires, the following terms shall have the meanings specified or referred to in this Annex:

"**Action**" means any claim, action, charge, complaint, suit, litigation, arbitration, audit, proceeding, investigation or other legal proceeding (whether federal, state, local or foreign) by or before any Governmental Authority, whether civil, criminal, administrative or otherwise, in law or in equity.

"**Affiliate**" means with respect to any Person (a) who is an individual, the spouse, parent, sibling or lineal descendent of such Person, (b) that is an entity, any Person which, directly or indirectly, controls, is controlled by, or is under common control with such Person, and (c) that is an entity, any Person who is a director, officer, manager, member, partner, or principal of such Person or of any other Person which directly or indirectly controls, is controlled by, or is under common control with such Person. For purposes of this definition, "control" of a Person shall mean the power, direct or indirect, to direct or cause the direction of the management and policies of such Person whether by ownership of voting stock, by contract or otherwise.

"**Agreement**" means this Membership Interest Purchase Agreement, the Disclosure Schedules and all other schedules and exhibits attached to this Agreement.

"**Ancillary Agreements**" means the Escrow Agreement and all other agreements, documents and instruments required to be delivered by any Party pursuant to this Agreement.

"**Anti-Corruption Laws**" means all U.S. and non-U.S. Laws relating to the prevention of corruption, kickbacks, money laundering, and bribery including the U.S. Foreign Corrupt Practices Act of 1977.

"**Base Price**" means $80,000,000.

"**blue sky laws**" has the meaning set forth in <u>Section 2.7(b)</u>.

"**Business**" has the meaning set forth in <u>Section 1.1(a)</u>.

"**Business Day**" means a day other than Saturday, Sunday or any other day on which commercial banks in Cincinnati, Ohio are authorized or required by Law to close.

"**CARES Act**" means (a) the Coronavirus Aid, Relief, and Economic Security Act (Pub. L. 116-136) and any administrative or other guidance published with respect thereto by any Governmental Authority (including IRS Notices 2020-22 and 2020-65), or any other Law or executive order or executive memorandum (including the Memorandum on Deferring Payroll Tax Obligations in Light of the Ongoing COVID-19 Disaster, dated August 8, 2020) intended to address the consequences of COVID-19 (in each case, including any comparable provisions of state, local or non-U.S. Law and including any related or similar orders or declarations from any Governmental Authority) and (b) any extension of, amendment, supplement, correction, revision or similar treatment to any provision of the CARES Act contained in The Taxpayer Certainty and Disaster Tax Relief Act of 2020 or the Consolidated Appropriations Act, 2021, H.R. 133.

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"**Cash**" means all cash and cash equivalents, funds in time deposits and demand deposits or similar accounts of the Company, determined in accordance with GAAP. For the avoidance of doubt, Cash shall, without duplication, (a) be reduced by issued but uncleared checks and drafts as of the Effective Time and (b) include checks, ACH transactions and other wire transfers and drafts received and/or deposited for the account of the Company as of the Effective Time to the extent a corresponding reduction in receivables has been made as of the Effective Time, excluding however, any Restricted Cash. Cash shall not include any assets included in the determination of the Working Capital Ratio or to the extent such items are included as offsets to the calculation of Indebtedness. Cash may be a positive or negative amount.

"**CBA**" has the meaning set forth in <u>Section 4.12(a)(vi)</u>.

"**Change of Control**" shall mean with respect to any Person, the consummation of any one of the following events: (a) a sale, lease or other disposition of all or a portion of the consolidated assets of such Person (determined on a consolidated basis with any of its subsidiaries); (b) a consolidation or merger of such Person with or into any other corporation or other entity or Person, or any other corporate reorganization, in which the equityholders of such Person immediately prior to such consolidation, merger or reorganization, own less than 50% of such Person's outstanding voting power of the surviving entity following the consolidation, merger or reorganization; or (c) any transaction (or series of related transactions involving a third Person or entity, or a group of affiliated third Persons or entities) in which in excess of 50% of such Person's then-outstanding voting power is transferred, excluding any consolidation or merger effected exclusively to change the domicile of such Person.

"**Claim Notice**" has the meaning set forth in <u>Section 8.6(a)</u>.

"**Closing**" has the meaning set forth in <u>Section 2.2</u>.

"**Closing Balance Sheet**" has the meaning set forth in <u>Section 2.5(a)(i)</u>.

"**Closing Date**" has the meaning set forth in <u>Section 2.2</u>.

"**Closing Date Cash**" has the meaning set forth in <u>Section 2.5(a)(i)</u>.

"**Closing Date Debt**" has the meaning set forth in <u>Section 2.5(a)(i)</u>.

"**Closing Date Transaction Expenses**" has the meaning set forth in <u>Section 2.5(a)(i)</u>.

"**Closing Date Working Capital Ratio**" has the meaning set forth in <u>Section 2.5(a)(i)</u>.

"**Closing Payment**" has the meaning set forth in <u>Section 2.3(a)(vi)</u>.

"**CMS**" has the meaning set forth in <u>Section 4.32</u>.

"**COBRA**" means Title X of the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended, and any similar state Law.

"**Code**" means the Internal Revenue Code of 1986.

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"**Company**" has the meaning set forth in the preamble to this Agreement.

"**Company Financial Statements**" means the (a) consolidated audited balance sheets of Great Elm Group, Inc. and its subsidiaries as at June 30, 2020, along with the related consolidated audited statements of income and noncomprehensive income, changes in stockholders' equity, and cash flows for the year then ended, along with the notes thereto, (b) consolidated audited balance sheets of the Company and the Subsidiaries as at June 30, 2021 and 2022, along with the related consolidated audited statements of income and noncomprehensive income, changes in members' equity, and cash flows for the years then ended, along with the notes thereto, and (c) the Latest Financials.

"**Company Intellectual Property**" means all IP Rights used in or held for use in, or necessary for the operation of the Business, as currently conducted by the Company and the Subsidiaries.

"**Company IT Systems**" has the meaning set forth in <u>Section 4.13(e)</u>.

"**Company Material Adverse Effect**" means any fact, circumstance, event, change, development, effect or condition that, individually or in the aggregate with any other such fact, circumstance, event, change, development, effect or condition, has had or would reasonably be expected to have (a) a material adverse effect on the Business, assets, properties, financial condition or results of operations of the Company and the Subsidiaries, taken as a whole, or (b) a material adverse effect on the ability of the Sellers or the Company to perform their obligations under this Agreement including to consummate the Transaction; <u>provided</u>, <u>however</u>, that none of the following shall constitute, and none of the following shall be taken into account in determining whether there has been or shall be, or would reasonably be expected to be, a Company Material Adverse Effect: any fact, circumstance, event, change, development effect or condition resulting from or arising out of (i) conditions affecting the industry in which the Company or any Subsidiary participates, the United States economy as a whole or the capital markets in general, or the geographical markets in which the Company or any Subsidiary operates, that do not disproportionately affect the Company or any Subsidiary as compared with other participants in the industry in which the Company or any Subsidiary operates; (ii) changes in GAAP or standard accounting principles that do not disproportionately affect the Company or any Subsidiary as compared with other participants in the industry in which the Company or any Subsidiary operates; (iii) changes in Law that do not disproportionately affect the Company or any Subsidiary as compared with other participants in the industry in which the Company or any Subsidiary operates; (iv) global, national or regional political, financial, labor, social, economic or business conditions, including hostilities, acts of war, sabotage or terrorism or military actions or any escalation or worsening of any such hostilities, acts of war, sabotage or terrorism or military actions existing or underway that do not disproportionately affect the Company or any Subsidiary as compared with other participants in the industry in which the Company or any Subsidiary operates; (v) effects arising from or related to hurricanes, earthquakes, floods, tsunamis, tornadoes, mudslides, wild fires or other acts of God or natural disasters or any epidemic, pandemic or disease outbreak (including with respect to or as a result of COVID-19 or any Pandemic Response Law) or any escalation or worsening of any of the foregoing that does not disproportionately affect the Company or any Subsidiary as compared with other participants in the industry in which the Company or any Subsidiary operates; (vi) supplier recalls or supply chain disruption, delays or

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issues that do not disproportionately affect the Company or any Subsidiary as compared with other participants in the industry in which the Company or any Subsidiary operates; (vii) the effect of any action taken by Parent, the Purchaser or their respective Affiliates with respect to the Transaction or with respect to the Company; (viii) the effect of any action taken, or failed to be taken, by the Sellers, the Company or the Subsidiaries at the request of or with the consent of the Purchaser or otherwise in compliance with the terms of this Agreement or the Ancillary Agreements; (ix) the failure of the Business or the Company to meet any of its internal or published projections, forecasts, budgets or revenue or earnings predictions or guidance; (x) any effect resulting from the public announcement of, entry into or pendency of, actions required or contemplated by or performance of obligations under, this Agreement, the Ancillary Agreements and the Transaction or the identity of the parties to this Agreement, including any termination of, reduction in or similar adverse impact on relationships, contractual or otherwise, with any customers, suppliers, distributors, partners or employees of the Company relating thereto.

"**Company Software**" shall mean all Software owned or used by or licensed to the Company or any Subsidiary including any Software that is distributed, sold, licensed or marketed in connection with the Business.

"**Confidential Information**" has the meaning set forth in <u>Section 6.5</u>.

"**Consent**" means any approval, consent, ratification, waiver or other authorization from, or notice to, any Person other than a Governmental Authority.

"**Contract**" means any written agreement, commitment, note, mortgage, indenture, lease, sublease, deed of trust, license, plan, instrument or other contract, in each case, that is legally binding on the parties thereto.

"**COVID-19**" means SARS-CoV-2 or COVID-19, and any evolutions thereof or related or associated epidemics, pandemic or disease outbreaks.

"**Data Security Requirements**" means all of the following, in each case, to the extent relating to confidential or sensitive information, payment card data, personally identifiable information, or other protected information relating to individuals, or otherwise relating to privacy, security, or security breach notification requirements: (a) the Company's own written rules, policies, and procedures; (b) all applicable Laws; (c) industry and self-regulatory standards applicable to the industries in which the Company operates (including the Payment Card Industry Data Security Standard (PCI-DSS)); and (d) Contracts to which the Company has entered into or by which it is otherwise bound.

"**Debt Financing Source**" means Senior Lender, or such other Persons that have committed to provide or arrange or otherwise entered into agreements in connection with the Debt Financing in connection with the Transaction and any joinder agreements, indentures, credit agreements or note purchase agreements entered into pursuant thereto or relating thereto, together with their respective Affiliates, and their respective Affiliates' Representatives, and their respective successors and assigns.

"**Disclosure Schedules**" means any disclosure schedules attached hereto.

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"**Dispute Notice**" has the meaning set forth in <u>Section 2.5(a)(iii)</u>.

"**DME**" has the meaning set forth in the preamble to this Agreement.

"**DME Holdings**" has the meaning set forth in the preamble to this Agreement.

"**DMEPOS**" has the meaning set forth in <u>Section 4.28(b)</u>.

"**Draft Closing Statements**" has the meaning set forth in <u>Section 2.5(a)(i)</u>.

"**Effective Time**" has the meaning set forth in <u>Section 2.2</u>.

"**Employees**" has the meaning set forth in <u>Section 4.21(a)</u>.

"**Employee Plans**" has the meaning set forth in <u>Section 4.15(a)</u>.

"**Employee Retention Tax Credit**" has the meaning set forth in <u>Section 6.4(j)</u>.

"**Enforceability Exceptions**" means any limitation on the enforceability of a Party's obligation resulting from the application of bankruptcy, reorganization, insolvency, fraudulent conveyance, moratorium or similar Laws affecting the enforcement of creditors rights generally and by general principles of equity (regardless of whether such enforcement is considered in a proceeding in Law or equity).

"**Environmental Claim**" means any Action, Lien, notice of non-compliance or violation, notice of liability, Order or consent agreement relating to or made under or in accordance with any Environmental Law.

"**Environmental Law**" means any Law relating to: (a) pollution of, damage to or protection of the environment or natural resources; (b) public or worker health or safety, including with respect to exposure of any Person to Hazardous Materials; (c) emissions, discharges or releases of Hazardous Materials into the environment (including ambient air, surface water, groundwater, drinking water supplies, land surface or subsurface); or (d) the manufacture, processing, distribution, use, treatment, storage, generation, disposal, transport or handling of any Hazardous Materials or the cleanup or remediation of any contamination.

"**Equity Interests**" means, with respect to any Person, any share, unit, capital stock, limited liability company interest, membership interest, partnership interest or similar interest or other indicia of equity or equity-like ownership (including any option or similar right or security convertible, exchangeable or exercisable therefor or other instrument or right the value of which is based on any of the foregoing) in such Person.

"**ERISA**" means the Employee Retirement Income Security Act of 1974.

"**Escrow Agent**" means TMI Trust Company.

"**Escrow Agreement**" means an Escrow Agreement, in form and substance reasonably acceptable to the Purchaser, the Sellers' Representative and the Escrow Agent.

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"**Estimated Closing Balance Sheet**" has the meaning set forth in <u>Section 2.4</u>.

"**Estimated Closing Date Cash**" has the meaning set forth in <u>Section 2.4</u>.

"**Estimated Closing Date Debt**" has the meaning set forth in <u>Section 2.4</u>.

"**Estimated Closing Date Transaction Expenses**" has the meaning set forth in <u>Section 2.4</u>.

"**Estimated Working Capital Ratio**" has the meaning set forth in <u>Section 2.4</u>.

"**Estimated Working Capital Deficit**" has the meaning set forth in <u>Section 2.4</u>.

"**Exchange Act**" means the United States Securities Exchange Act of 1934, as amended.

"**Ex-Im Laws**" means all U.S. and non-U.S. Laws relating to export, reexport, transfer, and import controls, including the Export Administration Regulations, the International Traffic in Arms Regulations, and the customs and import Laws administered by U.S. Customs and Border Protection.

"**Expense Fund**" has the meaning set forth in <u>Section 2.3(a)(v)</u>.

"**Final Approval**" has the meaning set forth in <u>Section 5.6</u>.

"**Final Closing Date Cash**" has the meaning set forth in <u>Section 2.5(a)(vi)</u>.

"**Final Closing Date Debt**" has the meaning set forth in <u>Section 2.5(a)(vi)</u>.

"**Final Closing Date Transaction Expenses**" has the meaning set forth in <u>Section 2.5(a)(vi)</u>.

"**Final Closing Payment**" has the meaning set forth in <u>Section 2.5(f)</u>.

"**Final Determination**" means, with respect to any Taxes, (a) a closing or settlement agreement entered into with a Governmental Authority establishing the amount of such Taxes or (b) a final decision of a court of competent jurisdiction with respect to such Taxes that is non-appealable or in respect of which the period for appeal has lapsed.

"**Final Overage**" has the meaning set forth in <u>Section 2.5(f)</u>.

"**Final Underage**" has the meaning set forth in <u>Section 2.5(f)</u>.

"**Final Working Capital Ratio**" has the meaning set forth in <u>Section 2.5(a)(vi)</u>.

"**Fundamental Reps**" has the meaning set forth sin <u>Section 8.3</u>.

"**GAAP**" means the United States generally accepted accounting principles as of the date of this Agreement, consistently applied in the manner applied in preparing the Company Financial Statements.

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"**Government Official**" shall mean any officer or employee of a Governmental Authority or any department, agency or instrumentality thereof, including state-owned entities, or of a public organization or any person acting in an official capacity for or on behalf of any such government, department, agency, or instrumentality or on behalf of any such public organization.

"**Governmental Authority**" means any national, federal, state, provincial, municipal, local, foreign or other government, governmental, regulatory or administrative authority, agency or commission or any court, tribunal or other judicial body or arbitral body (public or private).

"**Governmental Authorizations**" means any licenses, permits, rights, certificates, permissions, variances, clearances, qualifications, notifications, exemptions, classifications, registrations, franchises, approvals, consents, orders or similar authorizations, or any waivers of the foregoing, issued, granted, given or otherwise made available by or under the authority of any Governmental Authority or pursuant to any Law, or filings with any Governmental Authority.

"**Hazardous Materials**" means any chemical, material, waste or substance defined or regulated as toxic, hazardous, a pollutant, or contaminant (or for which Liability or standards of conduct may be imposed) under any Environmental Law, including petroleum and petroleum products, by-products or breakdown products, radioactive materials, asbestos containing materials, per- and polyfluoroalkyl substances, and polychlorinated biphenyls.

"**Healthcare Laws**" has the meaning set forth in <u>Section 4.28(b)</u>.

"**HIPAA**" has the meaning set forth in <u>Section 4.28(b)</u>.

"**IFRS**" means the International Financial Reporting Standards as issued by the International Accounting Standards Board, consistently applied in the manner in preparing the financial statements of Parent.

"**Income Tax**" means any federal, state, local, provincial or non-U.S. Tax measured by or imposed on net income, gross income, or passive income (however denominated, including any withholding and franchise Taxes), including any interest, penalty or addition thereto, whether disputed or not.

"**Indebtedness**" means as applied to any Person, without duplication: (a) all obligations for borrowed money; (b) all obligations created or arising under any conditional sale or other title retention agreement with respect to property acquired (even though the rights and remedies of the seller or lender under such agreement in the event of default are limited to repossession or sale of such property); (c) all obligations of such Person evidenced by bonds (convertible or not), debentures, notes or similar instruments, but excluding surety bonds related to ongoing projects; (d) all obligations of such Person issued or assumed as the deferred purchase price of property or businesses (other than trade payables or accruals incurred in the ordinary course of business); (e) all indebtedness of others secured by (or for which the holder of such indebtedness has an existing right, contingent or otherwise, to be secured by) any Lien on property owned or acquired by such Person; (f) all obligations of such Person in respect of interest rate protection agreements, foreign currency exchange agreements or other interest or exchange rate hedging arrangements; (g) all obligations of such Person as an account party in respect of letters of credit and bankers' acceptances, to the extent currently drawn; (h) all obligations of such Person to pay rent or other

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amounts under any lease of (or other arrangement conveying the right to use) real or personal property which obligation has been, or is required to be classified and accounted for as, a finance lease on a balance sheet prepared in accordance with GAAP (<u>provided</u>, for the avoidance of doubt no obligation under any real property lease shall constitute Indebtedness); (i) any unfunded retiree health and welfare obligations of such Person; (j) all obligations in respect of Pre-Closing Taxes which are Income Taxes; (k) all obligations in respect of Taxes deferred under the CARES Act; (l) all obligations of such Person with respect to any severance or deferred compensation obligations that are vested and accrued but unpaid as of the Closing, plus the employer portion of any employment, payroll and other Taxes incurred in respect of such obligations; and (m) all obligations of the type referred to in clauses (a) through (l) above guaranteed directly or indirectly in any manner by such Person, in each case including the principal, accrued interest and other obligations (including any prepayment premiums, penalties or termination fees payable as a result of the consummate of the Transaction); <u>provided</u>, <u>however</u>, that if any of the foregoing are included as Transaction Expenses or taken into account in determining the Working Capital Ratio they shall not also constitute Indebtedness.

"**Indemnified Party**" has the meaning set forth in <u>Section 8.6(a)</u>.

"**Indemnifying Party**" has the meaning set forth in <u>Section 8.6(a)</u>.

"**Indemnity Escrow Account**" means that certain escrow account with the Escrow Agent containing the Indemnity Escrow Amount and held in accordance with the Escrow Agreement.

"**Indemnity Escrow Amount**" means $400,000.

"**Independent Accountant**" has the meaning set forth in <u>Section 2.5(a)(iv)</u>.

"**Insurance Policies**" has the meaning set forth in <u>Section 4.19</u>.

"**Insured Claim**" has the meaning set forth in <u>Section 8.6(f)</u>.

"**Intended Tax Treatment**" has the meaning set forth in <u>Section 6.4(h)</u>.

"**IP Rights**" means any and all rights, title and interest in or relating to intellectual property and associated rights throughout the world, including: (a) all patents, patent applications, patent disclosures, industrial and utility models, industrial designs and statutory invention registrations, together with all counterparts, reissues, divisions/divisionals, continuations, continuations-in-part, extensions, provisional or supplemental protection certificates, renewals and reexaminations thereof ("**Patents**"); (b) all inventions (whether patentable or not), invention disclosures and improvements, all trade secrets, proprietary or confidential information, know-how and technology, including discoveries, methods, processes, techniques, protocols, formulae, algorithms, compositions, industrial models, architectures, layouts, designs, drawings, plans, specifications, methodologies, ideas, research and development, technical data, customer and supplier lists, pricing and cost information, and business and marketing plans and proposals ("**Trade Secrets**"); (c) all works of authorship, copyrights, mask works, Software, database and design rights, whether or not registered or published, all registrations and recordations thereof and all applications in connection therewith, along with all reversions, extensions and renewals thereof; (d) all corporate names, trade names, business names, designs, slogans, logos, trademarks, service

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marks, trade dress, domain names and other source identifiers, including all registrations, renewals and applications therefor, and all goodwill associated with any of the foregoing ("**Trademarks**"); and (e) all copies and tangible embodiments or descriptions of any of the foregoing (in whatever form or medium).

"**Knowledge of the Company**" means the actual knowledge after due inquiry of each of the following: John Ehlinger, Brent Pearson, Sheila Roberson and Rick Gamble.

"**Latest Balance Sheet Date**" means September 30, 2022.

"**Latest Financials**" means the consolidated unaudited balance sheets and related unaudited statements of income of the Company and the Subsidiaries as at the Latest Balance Sheet Date and for the three-month period then-ended.

"**Law**" means any law, act, statute, ordinance, order, code, rule, directive, principle of common law, Order, regulation or other requirement enacted, entered, promulgated or issued by any Governmental Authority.

"**Leased Real Property**" has the meaning set forth in <u>Section 4.14</u>.

"**Liabilities**" means any and all debts, liabilities and obligations, and including all costs and expenses related thereto including all fees, disbursements and expenses of legal counsel, deficiency, interest, penalty, fine, obligations or other loss, cost or expense of any kind or nature whatsoever, whether asserted or unasserted, whether or not contingent, known or unknown, accrued or unaccrued, liquidated or unliquidated, and whether due or becoming due and regardless of when asserted.

"**Licensed Intellectual Property**" means all IP Rights licensed or otherwise granted to the Company pursuant to a Contract with a third party.

"**Lien**" means any mortgage, pledge, charge, adverse claim, security interest, encumbrance, hypothecation, lease, license, easement, right-of-way, encroachment, option, right of first refusal or other lien.

"**Lien Releases**" has the meaning set forth in <u>Section 2.3(b)</u>.

"**Losses**" means any Liabilities, deficiencies, demands, Actions, Orders, assessments, damages, dues, Taxes, penalties, fines, amounts paid in settlement, losses, out-of-pocket costs and expenses (including reasonable attorneys' and accountants' fees).

"**Material Contracts**" has the meaning set forth in <u>Section 4.12(a)</u>.

"**Material Customers**" has the meaning set forth in <u>Section 4.23</u>.

"**Material Suppliers**" has the meaning set forth in <u>Section 4.23</u>.

"**Measurement Date**" means the date which is the 180-day anniversary of the Closing Date, or if such day is not a Business Day, the next succeeding Business Day.

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"**NDA**" has the meaning set forth in <u>Section 9.8</u>.

"**OFAC**" is defined in the definition of "Sanctioned Person".

"**Order**" means any legally binding award, injunction, judgment, order, determination, ruling, decree, writ, subpoena, or verdict or other decision entered, issued, made, or rendered by any Governmental Authority.

"**Organizational Documents**" means (a) with respect to a corporation, the certificate or articles of incorporation and bylaws or code of regulations; (b) with respect to any other entity, any charter, bylaws, partnership agreement, operating agreement or similar document adopted or filed in connection with the creation, formation or organization of a Person; (c) with respect to a trust, the trust agreement, and (d) any amendment to any of the foregoing.

"**Pandemic Response Law**" means any quarantine, "shelter in place," "stay at home," workforce reduction, social distancing, shut-down, closure, sequester or any Law, order, directive, guideline or recommendation by any Governmental Authority or public health agency in connection with or in response to COVID-19, including, but not limited to, the CARES Act (together with any presidential memoranda or executive orders relating to COVID-19, including the Memorandum on Deferring Payroll Tax Obligations in Light of the Ongoing COVID-19 Disaster, dated August 8, 2020 and IRS Notice 2020-65), the Paycheck Protection Program and Health Care Enhancement Act (P.L. 116-136), the Federal Reserve Main Street Lending Program, the 2021 Consolidated Appropriations Act (P.L. 116-260), the Families First Coronavirus Response Act (P.L. 115-127), the Occupational Safety and Health Administration and the Centers for Disease Control and Prevention guidelines and requirements, such as social distancing, cleaning, and other similar or related measures.

"**Parent**" has the meaning set forth in the preamble to this Agreement.

"**Parent Stock**" means the common shares in the capital of Parent.

"**Parent Stock Value**" means $2.0 million.

"**Participating Seller(s)**" means DME Holdings and DME.

"**Party**" and "**Parties**" have the meanings set forth in the preamble to this Agreement.

"**Patents**" is defined in the definition of "IP Rights".

"**Payoff Documents**" has the meaning set forth in <u>Section 2.3(b)</u>.

"**Payoff Statement**" has the meaning set forth in <u>Section 2.3(b)</u>.

"**Payors**" has the meaning set forth in <u>Section 4.32</u>.

"**Permits**" means each Governmental Authorization necessary to be obtained, maintained or held by the Company for the lawful operation of the Business.

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"**Permitted Lien**" means: (a) statutory Liens for Taxes, assessments, charges, levies or other claims not yet due and payable or the validity of which are being contested or for which an appropriate reserve has been established therefor in the Company Financial Statements to the extent required by GAAP; (b) materialmen's, mechanics', carriers', warehousemen's, workmen's and repairmen's liens and other similar liens arising in the ordinary course of business for amounts not yet due and payable or are being contested in good faith by appropriate proceedings; (c) pledges or deposits to secure obligations under workers' compensation Laws or similar legislation or to secure public or statutory obligations; (d) with respect to any real property and/or improvements and structures located thereon, any (i) easements, rights-of-way, restrictive covenants and servitudes, and other similar matters of record affecting title to such real property, (ii) such rights, if any, of any utility company to construct and/or maintain lines, pipes, wires, cables, poles, conduits and distribution boxes and equipment in, over, under and/or upon any portion thereof, or (iii) any registered subdivision, development, servicing, site plan or other similar agreement with any Governmental Authority or public utility which do not or would not materially impair the use or occupancy of real property in the operation of the Business conducted thereon; (e) restrictions on transfer of securities under applicable U.S. state and federal securities Laws; (f) liens securing Indebtedness owed to any Person as identified in <u>Schedule 2.3(b)</u>, which will be released upon payment at Closing of the amount set forth in the corresponding Payoff Statement; and (g) Liens set forth on <u>Schedule 1.2</u>.

"**Person**" means any individual, corporation, limited liability company or partnership, general or limited partnership, association, trust or any other entity or organization, including a Governmental Authority.

"**Post-Closing Period**" means any taxable period (or portion thereof) of the Company that begins after the Closing Date, including in respect of a Straddle Period the portion beginning after the Closing Date.

"**Pre-Closing Period**" means any taxable period (or portion thereof) of the Company that ends on or before the Closing Date, including in respect of a Straddle Period the portion ending on and including the Closing Date.

"**Pre-Closing Taxes**" means (a) any Taxes of or imposed on the Sellers as a result of owning the Purchased Interests or selling the Purchased Interests in connection with the Transaction, (b) any Taxes (or the non-payment thereof) of, imposed on or incurred by the Company or any Subsidiary for all Pre-Closing Periods calculated with respect to a Straddle Period in accordance with <u>Section 6.4(e)</u> herein, (c) any Taxes of any Person for which the Company or any Subsidiary (or any predecessor of the foregoing) is held liable under Regulations Section 1.1502-6 (or any similar provision of state, local or foreign Law) by reason of such entity being included in any consolidated, affiliated, combined or unitary group at any time prior to the Closing or as a transferee or successor, by contract (other than a Contract the principal matter of which is not Taxes), by operation of Law, or otherwise (in each cause described in this clause (c), only to the extent arising from a transaction occurring, or contract entered into, prior to the Closing), and (d) the portion of the Transfer Taxes that are the responsibility of the Sellers pursuant to <u>Section 6.4(c)</u>.

"**Programs**" has the meaning set forth in <u>Section 4.30</u>.

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"**Pro Rata Share**" means, for each Seller, the percentage set forth on <u>Schedule 3.4</u> across from such Sellers' name under the heading "Pro Rata Share."

"**Purchase Price**" has the meaning set forth in <u>Section 2.3(a)</u>.

"**Purchase Price Allocation**" has the meaning set forth in <u>Section 6.4(g)</u>.

**"Purchased Interests"** has the meaning set forth in <u>Section 2.1(a)</u>.

"**Purchaser**" has the meaning set forth in the preamble to this Agreement.

"**Purchaser Indemnitees**" means each of Purchaser, and following the Closing, the Company, the Subsidiaries and their respective Affiliates (other than the Sellers) and Representatives (other than the Sellers) and each of their respective successors and assigns.

"**Purchaser Released Parties**" has the meaning set forth in <u>Section 6.7(a)</u>.

"**Purchaser Releasing Parties**" has the meaning set forth in <u>Section 6.7(b)</u>.

"**Quipt Parties**" means, collectively, the Purchaser and Parent.

"**Regulations**" means the Treasury Regulations (including Temporary Regulations) promulgated by the United States Department of Treasury with respect to the Code.

"**Representatives**" means, with respect to any Person, any director, manager, officer, agent, employee, general partner, member, stockholder, agent, accountant, auditor, legal counsel, advisor, consultant, debt financing source or other representative of such Person.

"**Restricted Cash**" means any cash or cash equivalents that is not freely transferable or usable within 90 days by the Company because it is subject to express contractual restrictions or limitations on use or distribution by Law, GAAP or contract, including all cash and cash equivalents posted to support letters of credit, surety bonds or other similar obligations, customer deposits and any lease or other security deposits posted by the Company.

"**Restricted Period**" shall mean with respect to each Seller, four years from the Closing Date.

"**Retained Employees**" has the meaning set forth in <u>Section 6.8(a)</u>.

"**Retention Amount**" means the retention amount under the R&W Insurance Policy in the amount of $800,000.

"**R&W Insurance Policy**" means that certain representations and warranties insurance policy, bound effective as of the date of this Agreement, issued by Travelers Excess and Surplus Lines Company.

"**Sanctioned Country**" means any country or region that is, or has been in the last five years, the subject or target of a comprehensive embargo under Trade Control Laws (including Cuba, Iran, North Korea, Sudan, Syria, Venezuela, and the Crimea region of Ukraine).

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"**Sanctioned Person**" means any Person that is the subject or target of sanctions or restrictions under Sanctions Laws or Ex-Im Laws, including: (i) any Person listed on any U.S. or non-U.S. sanctions- or export-related restricted party list, including the U.S. Department of the Treasury Office of Foreign Assets Control's ("**OFAC**") List of Specially Designated Nationals and Blocked Persons, or any other OFAC, U.S. Department of Commerce Bureau of Industry and Security, or U.S. Department of State sanctions- or export-related restricted party list; (ii) any Person that is, in the aggregate, 50% or greater owned, directly or indirectly, or otherwise controlled by a Person or Persons described in clause (i); or (iii) any national of a Sanctioned Country.

"**Sanctions Laws**" means all U.S. and non-U.S. Laws relating to economic or trade sanctions, including the Laws administered or enforced by the United States (including by OFAC or the U.S. Department of State) or the United Nations Security Council.

"**SEC**" means the U.S. Securities and Exchange Commission.

"**SEC Reports**" has the meaning set forth in <u>Section 5.7</u>.

"**Securities Act**" means the United States Securities Act of 1933, as amended.

"**Seller Indemnitees**" means each Seller and its respective Affiliates (other than the Company and the Subsidiaries) and Representatives (other than the Company and the Subsidiaries) and each of their respective successors and assigns.

"**Seller(s)**" has the meaning set forth in the preamble to this Agreement.

"**Seller Related Parties**" has the meaning set forth in <u>Section 4.18</u>.

"**Seller Related Party Transactions**" has the meaning set forth in <u>Section 4.18</u>.

"**Seller Released Parties**" has the meaning set forth in <u>Section 6.7(b)</u>.

"**Seller Releasing Parties**" has the meaning set forth in <u>Section 6.7(a)</u>.

"**Sellers' Representative**" has the meaning set forth in the preamble to this Agreement.

"**Senior Lender**" means CIT Bank, a division of First-Citizens Bank & Trust Company, its successors and assigns.

"**Service Provider**" means all current or former employees or other individual service providers of the Company and the Subsidiaries.

"**Software**" means all software, programs, and databases in any form, including websites, website content, member or user lists and information associated therewith, links, source code, object code, operating systems and specifications, data, databases, database management code, utilities, graphical user interfaces, APIs, applications, menus, images, icons, links, forms, methods of processing, software engines, platforms, and data formats, all versions, updates, corrections,

------

enhancements, and modifications thereto, and all related documentation, materials, developer notes, comments, and annotations.

"**Stock Price**" means $4.63.

"**Straddle Period**" means any taxable period of the Company and the Subsidiaries that begins before or on, and ends after, the Closing Date.

"**Straddle Period Tax Returns**" means a Tax Return of the Company and the Subsidiaries for a Straddle Period.

"**Subsidiary**" means the direct and indirect wholly-owned Subsidiaries of the Company as set forth in <u>Schedule 4.1(a)</u>.

"**Survival Date**" has the meaning set forth in <u>Section 8.3</u>.

"**Tail Policy**" has the meaning set forth in <u>Section 6.3</u>.

"**Tax**" or "**Taxes**" means any federal, state, local or foreign income, gross receipts, franchise, estimated, alternative, minimum, add-on minimum, sales, use, transfer, capital gains, capital stock or shares, value added, excise, ad valorem, stamp, gains, severance, occupation, premium, windfall profit, real property, personal property, escheat or unclaimed property, intangibles, withholding, social security, workers' compensation, unemployment, disability, payroll, net worth, employee or other tax, fee, levy, duty, tariff, impost or other like charges imposed by a Governmental Authority, including any interest, penalties, fines, loss, damage, liability, expense, or additions thereto, whether disputed or not.

"**Tax Contest**" means an audit, examination, claim, or other administrative or judicial proceeding, contest, assessment, notice of deficiency, proposed adjustment, dispute or controversy relating to Taxes.

"**Tax Return**" means any return, declaration, report, claim for refund, FBAR report, information return or statement relating to any Taxes, including any schedule or attachment thereto and including any amendment thereof, supplied or required to be supplied to a Governmental Authority and including, where permitted or required, combined, consolidated or unitary returns for any group of entities that includes the Company.

"**Territory**" means anywhere in the United States.

"**Third Party**" has the meaning set forth in <u>Section 8.6(a)</u>.

**"Trade Control Laws**" has the meaning set forth in <u>Section 4.9(a)</u>.

"**Trade Secrets**" is defined in the definition of "IP Rights".

"**Trademarks**" is defined in the definition of "IP Rights".

"**Transaction**" has the meaning set forth in <u>Section 2.2</u>.

------

"**Transaction Expenses**" means as of the Effective Time, whether payable prior to, at or after the Closing, (a) the aggregate amount of all fees, costs and expenses accrued, incurred or payable by the Company to any Person, in each case, to the extent unpaid and incurred solely in connection with the negotiation, execution and delivery of this Agreement and the consummation of the Transaction, including (x) any amounts payable to financial, legal or other advisors and (y) any sale, change of control, commission, retention, severance, incentive compensation, equity or equity-based rights or other similar payments payable or owed to current or former directors, officers, employees or other service providers of the Company or otherwise payable or owed by the Company that are triggered in whole in connection with the Transaction (including the aggregate amounts payable at or after Closing pursuant to the Transaction Bonus Agreements (as defined on the Disclosure Schedules), including any employer's portion of employment, payroll and other similar Taxes associated with such amounts or other compensatory payments made pursuant to this Agreement; any amounts payable to financial, legal or other advisors, (b) 50% of all Transfer Taxes, (c) fees related to the Tail Policy, (d) 50% of the premium of the R&W Insurance Policy, (e) the sum of severance, bonus and any other payments payable or owed to John Ehlinger, including any employer's portion of employment, payroll and other similar Taxes associated with such amounts, <u>less</u> $40,000 and (f) 50% of the fees payable to the Escrow Agent.

"**Transaction Tax Deduction**" means, without duplication, any Tax loss or Tax deduction, which is either deductible or allowable as a loss for Income Tax purposes at a more-likely-than-not (or greater) level of comfort, in each case, resulting from or attributable to the payment of: (a) any Transaction Expenses; (b) any fees, expenses and interest (including amounts treated as interest for Tax purposes and any breakage fees) incurred by Company or any of the Subsidiaries, and any unamortized deferred financing costs, with respect to the payment of Indebtedness in connection with the Transactions; (c) any deduction arising from the payment or accrual of any Taxes to the extent that such Taxes are included in the calculation of Closing Date Debt or Working Capital; and (d) any other amounts that arise from, or are incurred in connection with, the transactions and which are economically borne by the Sellers under this Agreement.

"**Transfer Taxes**" has the meaning set forth in <u>Section 6.4(c)</u>.

"**U.S. Securities Laws**" has the meaning set forth in <u>Section 2.7(b)</u>.

"**VHG**" has the meaning set forth in the preamble to this Agreement.

"**WARN Act**" means the federal Worker Adjustment and Retraining Notification Act, 29 U.S.C. § 2101 et seq. (1988) and any similar Laws.

"**Working Capital Ratio**" means the ratio of those current assets of the Company and the Subsidiaries of the types identified on <u>Schedule 2.5</u>, to those current liabilities of the Company and the Subsidiaries of the types identified on <u>Schedule 2.5</u>, in each case, determined (a) without duplication and on a consolidated basis in accordance with GAAP and (b) in accordance with any accounting principles set forth on <u>Schedule 2.5</u>; <u>provided</u>, <u>however</u>, for purposes of determining the Closing Date Working Capital Ratio, the line item labeled "Accounts Receivable (net of reserves)" under Current Assets set forth on <u>Schedule 2.5</u> shall be equal to the aggregate sum of the accounts receivable of the Company and its Subsidiaries as of the Effective Time actually collected as of the Measurement Date; <u>provided</u>, <u>further</u>, that (i) accounts receivable subject to

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recoupment by Noridian Medicare under the CARES Act ("**Noridian AR**") shall be deemed collected accounts receivable and (ii) reserves for any Noridian AR shall not be netted against collected accounts receivable, in each case, for purposes of calculating the Closing Date Working Capital Ratio. In no event will the Working Capital Ratio include any amount taken into account in determining Indebtedness or Transaction Expenses.

"**Working Capital Target**" means a Working Capital Ratio of 1.0 to 1.0.

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## Exhibit 4.1

**Exhibit 4.1**

**Execution Version**

<u>PROMISSORY NOTE</u>

New York, New York December 29, 2022

FOR VALUE RECEIVED, each of the undersigned unconditionally, jointly and severally, promises to pay to FOREST INVESTMENTS, INC., a Delaware corporation ("**Seller**"), at Seller's principal place of business as confirmed by Seller (or at such other office or affiliate as Seller may from time to time specify in writing) the principal amount of THIRTY EIGHT MILLION ONE HUNDRED FOUR THOUSAND DOLLARS ($38,104,000.00) (the "**Loan**") on March 1, 2023 (or such later date as may be agreed to by Seller in its sole discretion, the "**Maturity Date**"), and to pay interest on the unpaid balance of the principal amount of such Loan from and including the date of such Loan to such Maturity Date at a fixed rate per annum of nine percent (9%) (the "**Interest Rate**"). Any amount not paid when due shall bear interest at a rate per annum equal to eleven percent (11%) until paid in full. Interest shall be due and payable on the Maturity Date. Interest shall be calculated on the then-outstanding principal amount of this Loan on the basis of a year of 360 days and for the actual days elapsed prior to any such payment. All payments hereunder shall be made in lawful money of the United States and in immediately available funds. Any extension of time for the payment of the principal of this Note resulting from the due date falling on a non-Banking Day shall be included in the computation of interest. The date, Maturity Date and the interest rates with respect to, the Loan and any payments of principal shall be recorded by Seller on its books, which such books shall be admissible in evidence in any action or proceeding with regard to this Note and shall constitute prima facie proof of the amount due hereunder. This Loan may be prepaid at any time at the option of the undersigned in its sole discretion, without any penalty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.<u>Certain Definitions</u>. As used herein, the following terms shall have the corresponding meanings:

"**Banking Day**" means any day on which commercial banks are not authorized or required to close in New York City.

"**Change of Control**" means: (a) the acquisition of ownership, directly or indirectly, beneficially or of record, by any person, entity or group (within the meaning of the Securities Exchange Act of 1934 and the rules of the SEC thereunder as in effect on the date hereof), of equity interests representing at least a majority of the aggregate ordinary voting power represented by the issued and outstanding equity interests of the undersigned; (b) occupation of a majority of the seats (other than vacant seats) on the board of directors of the undersigned by persons who were not (i) directors of the undersigned on the date of this Note, (ii) nominated or appointed by the board of directors of the undersigned or (iii) approved as director candidates prior to their election by the board of directors of the undersigned; (c) the acquisition of direct or indirect control of the undersigned by any Person or group; or (d) Great Elm FM Acquisition, Inc. ("**FM Acquisition**") ceases to be, directly or indirectly, a wholly owned subsidiary of Great Elm Group, Inc. ("**GEG**").

"**Note**" means this Promissory Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.<u>Mandatory Prepayments</u>. The undersigned shall pay to Seller certain payments as set forth below, which such payments will be applied to the outstanding obligations hereunder; <u>provided</u>, <u>however</u>, to the extent any such payment made hereunder exceeds the outstanding obligations owed, such excess amount shall be returned to the undersigned:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)On the date on which the sale by FM Acquisition of sixty percent (60%) and GEG of one percent (1%) of the common stock of Seller to J.P. Morgan Broker-Dealer Holdings Inc. or its affiliate is consummated (such transaction, the "**Sale Transaction**"), a payment in the amount equal to the proceeds otherwise payable to FM Acquisition and GEG in connection with the Sale Transaction;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)On the date on which the undersigned or any affiliate of the undersigned receives proceeds from a transaction contemplated by Section 1.05(b) of the Purchase Agreement, a payment in the aggregate amount of any proceeds received by the undersigned or such affiliate of the undersigned in connection with such transaction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)(i) If a Put Right is exercised pursuant to Section 5.01 of that certain Amended and Restated Stockholders Agreement to be entered into among Seller and the stockholders named therein in connection with the closing of the Sale Transaction (the "**A&R Stockholders Agreement**"), then on the Put Right Closing Date the then outstanding principal amount of the Loan shall be reduced by the Put Purchase Price and (ii) if a Call Right is exercised pursuant to Section 5.02 of the A&R Stockholders Agreement, then on the Call Right Closing Date, the then outstanding principal amount of the Loan shall be reduced by the Call Purchase Price. All capitalized terms used but not defined in this clause (c) shall have the meanings set forth in the A&R Stockholders Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.<u>Representations and Warranties</u>. Each of the undersigned represents and warrants that: (a) this Note (i) has been authorized by all necessary corporate action; (ii) does not violate any agreement, instrument, law, regulation or order applicable to the undersigned; (iii) does not require the consent or approval of any person or entity, including but not limited to any governmental authority, or any filing or registration of any kind; and (iv) is the legal, valid and binding obligation of the undersigned enforceable against the undersigned in accordance with its terms, except to the extent that enforcement may be limited by applicable bankruptcy, insolvency and other similar laws affecting creditors' rights generally; and (b) the undersigned is in compliance with all laws applicable to the undersigned except where any such non-compliance would not affect any of the undersigned's obligations hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.<u>Events of Default</u>. If any of the following events shall occur and be continuing (each an "**Event of Default**"): (a) the undersigned shall fail to pay the principal of, or interest on, this Note, or any other amount payable under this Note, as and when due and payable; (b) the undersigned shall breach any representation or warranty made in this Note or that certain Preferred Unit Purchase Agreement entered into on the date hereof between Seller and FM Acquisition (the "**Purchase Agreement**" and together with this Note, the "**Transaction Documents**") shall prove to have been incorrect in any material respect on or as of the date made, and such breach shall have failed to have been cured within fifteen (15) days after receiving notice of such breach; (c) the undersigned, or if the Units (as defined in the Purchase Agreement) are transferred to Great Elm DME Holdings, Inc. ("**DME Holdings**") prior to the Maturity Date (such documents of purchase and transfer, the "**Transfer Documents**"), DME Holdings, shall fail to perform or observe in any material respect any term, covenant or agreement contained in any Transaction Document or Transfer Document on its part to be performed or observed, and such undersigned shall have failed to perform or observe such term, covenant or agreement within fifteen (15) days after receiving notice of such failure; (d) the undersigned, or if the Units are transferred to DME Holdings prior to the Maturity Date, DME Holdings, shall fail to pay when due any indebtedness for borrowed money; (e) Great Elm Healthcare, LLC, a Delaware limited liability company ("**Great Elm Healthcare**"), shall have failed to pay to the holder of Units, when due, the payments payable to the holders of Series A Preferred Units (as defined in that certain Amended and Restated Limited Liability Company Agreement dated as of December 29, 2020 of Great Elm Healthcare (as the same may be further amended as the case may be, "**Healthcare LLCA**")), pursuant to and in accordance with the terms of the Healthcare LLCA; (f) the undersigned, or if the Units are transferred to DME Holdings prior to the Maturity Date, DME Holdings: (i) shall generally not, or be unable to, or shall admit in writing its inability to, pay its debts as its debts become due, (ii) shall make an assignment for the benefit of creditors, (iii) shall file a petition in bankruptcy or for any relief under any law of any jurisdiction relating to reorganization, arrangement, readjustment of debt, dissolution or liquidation, (iv) shall have any such petition filed against it in which an adjudication is made or order for relief is entered or which shall remain undismissed for a period of thirty (30) days or shall consent or acquiesce thereto or (v) shall have had a receiver, custodian or trustee appointed for all or a substantial part of its property; (g) any Transaction

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Document shall at any time cease to be in full force and effect or its validity or enforceability shall be disputed or contested by the undersigned; (h) the Sale Transaction shall not have closed on or before January 17, 2023 or (i) a Change of Control shall have occurred; **THEN**, in any such case, upon Seller's notice to each of the undersigned, the unpaid principal amount of this Note, together with accrued interest, shall become forthwith due and payable; <u>provided</u> that in the case of an Event of Default under clause (f) or (h) above, the unpaid principal amount of this Note, together with accrued interest, shall immediately become due and payable without any notice or other action by Seller. Promptly (but in no event later than the next Banking Day after either of the undersigned obtains knowledge itself), the undersigned shall notify Seller and J.P. Morgan Broker-Dealer Holdings Inc. in writing of the occurrence of any Event of Default or any event that with the passage of time, the giving of notice or any other condition, would be reasonably likely to constitute an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.<u>Setoff</u>. Each of the undersigned agrees that, in addition to (and without limitation of) any right of setoff, banker's lien or counterclaim Seller may otherwise have, Seller shall be entitled, at its option, to offset balances (general or special, time or demand, provisional or final) held by it for the account of the undersigned at any of Seller's offices, in U.S. dollars or in any other currency, against any amount payable by the undersigned under this Note which is not paid when due (regardless of whether such balances are then due to Seller), in which case it shall promptly notify the undersigned thereof; <u>provided</u> that Seller's failure to give such notice shall not affect the validity thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.<u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Each of the undersigned waives presentment, notice of dishonor, protest and any other formality with respect to this Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each of the undersigned agrees to reimburse Seller on demand for all costs, expenses and charges (including without limitation, fees and charges of external legal counsel for Seller) in connection with the preparation, interpretation, performance or enforcement of this Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)This Note shall be binding on each of the undersigned and its respective successors and assigns and shall inure to the benefit of Seller and its successors and assigns, except that none of the undersigned may delegate any obligations hereunder without the prior written consent of Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No amendment or supplement to this Note shall be valid and binding unless set forth in a written agreement executed and delivered by each of the undersigned and Seller and consented to in writing by J.P. Morgan Broker-Dealer Holdings Inc.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)No waiver by any party hereto of any provision of this Note shall be effective unless set forth in a written agreement executed and delivered by each of the undersigned and Seller and consented to in writing by J.P. Morgan Broker-Dealer Holdings Inc. Except as provided in the preceding sentence, no action taken pursuant to this Note shall be deemed to constitute a waiver by the party taking such action of compliance with any provisions set forth in this Note or in the Purchase Agreement. The waiver by any party of a breach of any provision of this Note shall not operate or be construed as a waiver of any prior or subsequent breach.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)Any notices to J.P. Morgan Broker-Dealer Holdings Inc. under this Note shall be sent to J.P. Morgan Broker-Dealer Holdings Inc., c/o JPMorgan Chase, JPM-Delaware Loan Operations, 500 Stanton Christiana Road, Ops 2/ Floor 3, Newark DE 19713, Email: nicholas.t.rapak@jpmorgan.com and de_custom_business@jpmorgan.com with a copy to J.P. Morgan Chase, N.A., 383 Madison Avenue, New York, NY 10179, Attention: Gillian L. Warmflash, Email: gillian.l.warmflash@jpmchase.com.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)**Each of the undersigned consents to the exclusive jurisdiction and venue of the federal courts located in the City of New York, Borough of Manhattan (or New York state court sitting in the Borough of Manhattan in the event that the federal court lacks subject matter jurisdiction) and any appellate court from any thereof in any action or proceeding arising out of or relating to this Note or any loan evidenced hereby; <u>provided</u> that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. Service of process by Seller in connection with any dispute shall be binding on the undersigned if sent to the undersigned by registered mail at the address specified below.** Nothing herein will affect the right of Seller to serve process in any other manner permitted by law. **EACH OF SELLER AND THE UNDERSIGNED HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY RIGHT IT MAY HAVE TO JURY TRIAL IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS NOTE OR TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)**This Note shall be governed by and interpreted and construed in accordance with the laws of the State of New York**; <u>provided</u> that the foregoing is not intended to limit the maximum rate of interest which may be charged or collected by Seller hereon if, under the law applicable to it, Seller may charge or collect such interest at a higher rate than is permissible under the law of said State. In no case shall the interest hereon exceed the maximum amount which Seller may charge or collect under such law applicable to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Delivery of an executed counterpart of a signature page of this Note by emailed pdf. or any other electronic means that reproduces an image of the actual executed signature page shall be effective as delivery of a manually executed counterpart of this Note.

[Signature Page Follows]

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**Exhibit 4.1**

**Execution Version**

GREAT ELM FM ACQUISITION, INC.

By_<u>/s/ Adam Kleinman</u>________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Name: Adam Kleinman

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Title: Secretary

<u>Address</u>:

Great Elm Group, Inc.

800 South Street, Suite 230

Waltham, MA 02453

Attention: Adam Kleinman

Email: akleinman@greatelmcap.com

Signature Page to Promissory Note

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GREAT ELM GROUP, INC.

By_<u>/s/ Adam Kleinman</u>________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Name: Adam Kleinman

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Title: President

<u>Address</u>:

Great Elm Group, Inc.

800 South Street, Suite 230

Waltham, MA 02453

Attention: Adam Kleinman

Email: akleinman@greatelmcap.com

Signature Page to Promissory Note

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## Exhibit 4.2

**Exhibit 4.2**

**Execution Version**

**AMENDED AND RESTATED**

**STOCKHOLDERS AGREEMENT**

among

**Forest Investments, Inc.**

and

**the Stockholders named herein**

dated as of

December 30, 2022

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**Exhibit 4.2**

**Execution Version**

**TABLE OF CONTENTS**

**Page**

---

| | | |
|:---|:---|:---|
| **Article I DEFINITIONS** | **Article I DEFINITIONS** | **1** |
| **Article II MANAGEMENT AND OPERATION OF THE COMPANY; CERTAIN RIGHTS** | **Article II MANAGEMENT AND OPERATION OF THE COMPANY; CERTAIN RIGHTS** | **8** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 2.01 | Board of Directors | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 2.02 | Meetings of the Board of Directors | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 2.03 | GEG Common Stockholder and JPM Preferred Stockholder Consent Rights | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 2.04 | Observer Rights | 11 |
| **Article III TRANSFER OF INTERESTS** | **Article III TRANSFER OF INTERESTS** | **11** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 3.01 | General Restrictions on Transfer | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 3.02 | Right of First Refusal | 12 |
| **Article IV PRE-EMPTIVE RIGHTS; FINANCING RIGHT OF FIRST REFUSAL** | **Article IV PRE-EMPTIVE RIGHTS; FINANCING RIGHT OF FIRST REFUSAL** | **14** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 4.01 | Pre-emptive Right | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 4.02 | Financing Right of First Refusal | 16 |
| **Article V PUT AND CALL RIGHTS** | **Article V PUT AND CALL RIGHTS** | **16** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 5.01 | Put Right | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 5.02 | Call Right | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 5.03 | Fair Market Value | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 5.04 | Transfer Taxes | 20 |
| **Article VI OTHER AGREEMENTS** | **Article VI OTHER AGREEMENTS** | **20** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 6.01 | Corporate Opportunities | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 6.02 | Confidentiality | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 6.03 | Insurance; Indemnification | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 6.04 | Investment Company Act | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 6.05 | Tax Sharing Agreement Indemnification | 21 |
| **Article VII INFORMATION RIGHTS** | **Article VII INFORMATION RIGHTS** | **23** |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;Section 7.01 | Inspection Rights of the JPM Preferred Stockholder and the GEG Common Stockholder | 23 |
| **Article VIII REPRESENTATIONS AND WARRANTIES** | **Article VIII REPRESENTATIONS AND WARRANTIES** | **24** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 8.01 | Representations and Warranties | 24 |
| **Article IX TERM AND TERMINATION** | **Article IX TERM AND TERMINATION** | **25** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 9.01 | Termination | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 9.02 | Effect of Termination | 25 |
| **Article X MISCELLANEOUS** | **Article X MISCELLANEOUS** | **26** |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.01 | Expenses | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.02 | Additional Stockholders | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.03 | Release of Liability | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.04 | Notices | 26 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.05 | Interpretation | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.06 | Headings and Captions | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.07 | Severability | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.08 | Entire Agreement | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.09 | Parties Bound; No Third Party Beneficiaries | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.10 | Amendment and Modification; Waiver | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.11 | Governing Law; Submission to Jurisdiction; Waivers | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.12 | Waiver of Jury Trial and Consequential Damages | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.13 | Equitable Remedies | 28 |
| &nbsp;&nbsp;&nbsp;&nbsp;Section 10.14 | Counterparts; Electric Transmission | 29 |

---

<u>Schedules</u>:

Schedule A Stockholders

Schedule B Company Group

Schedule C Put Purchase Price Methodology

<u>Exhibits</u>:

Exhibit A Joinder Agreement

ii

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iii

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**AMENDED AND RESTATED**

**STOCKHOLDERS AGREEMENT**

This Amended and Restated Stockholders Agreement (this "<u>Agreement</u>"), dated as of December 30, 2022 (the "<u>Effective Date</u>"), is entered into among (a) Forest Investments, Inc. a Delaware corporation (the "<u>Company</u>"), (b) each holder of Common Stock listed on <u>Schedule A</u> (together with any subsequent holders of Common Stock or transferees who become parties hereto pursuant to <u>Section 3.01</u> or <u>Section 10.02</u> below, the "<u>Common Stockholders</u>"), and (c) each holder of Preferred Stock listed on <u>Schedule A</u> (together with any subsequent holders of Preferred Stock or transferees who become parties hereto pursuant to <u>Section 3.01</u> or <u>Section 10.02</u> below, the "<u>Preferred Stockholders,</u>" and together with the Common Stockholders, the "<u>Stockholders</u>").

**Recitals**

WHEREAS, the Company and the Stockholders entered into a Stockholders Agreement effective as of December 29, 2020 (the "<u>Original Agreement</u>"); and

WHEREAS, the parties hereto deem it in their best interests and in the best interests of the Company to amend and restate the Original Agreement as set forth in this Agreement to set forth their respective rights and obligations in connection with their investment in the Company.

NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

**Article I <br>DEFINITIONS**

Capitalized terms used herein and not otherwise defined shall have the meanings set forth in this Article I .

"<u>Additional Indebtedness</u>" has the meaning set forth in <u>Section 4.02(a)</u>.

"<u>Affiliate</u>" means, with respect to any Person: (a) any Person directly or indirectly controlling, controlled by, or under common control with such Person; or (b) any Person owning or controlling 50% or more of the outstanding voting securities of such Person. For purposes of this definition, "controlling," "controlled by," or "under common control with" shall mean the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting securities, by contract or otherwise.

"<u>Agreement</u>" has the meaning set forth in the preamble.

"<u>Applicable Law</u>" means all applicable provisions of (a) constitutions, treaties, statutes, laws (including the common law), rules, regulations, decrees, ordinances, codes, proclamations, declarations or orders of any Governmental Authority, (b) any consents or approvals of any Governmental Authority and (c) any orders, decisions, advisory or interpretative opinions, injunctions, judgments, awards, decrees of, or agreements with, any Governmental Authority.

"<u>Bankruptcy</u>" of any Person means (a) the institution of any proceedings under any federal or state law for the relief of debtors, including the filing by or against such Person of a voluntary or involuntary case under the federal bankruptcy law, which proceedings, if involuntary, are not dismissed within 60 days after their filing; an assignment of the property of that Person for the benefit of creditors; the appointment

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of a receiver, trustee or conservator of any substantial portion of the assets of that Person, which appointment, if obtained ex parte, is not dismissed within 60 days thereafter; (b) the seizure by a sheriff, receiver, trustee or conservator of any substantial portion of the assets of such Person; (c) the failure by such Person generally to pay its debts as they become due within the meaning of Section 303(h)(1) of the United States Bankruptcy Code, as determined by the Bankruptcy Court; or (d) such Person's admission in writing, by an authorized officer thereof after a determination by the Board (or other governing body of such Person), of its inability to pay its debts as they become due.

"<u>Board</u>" has the meaning set forth in <u>Section 2.01(a)</u>.

"<u>Business Day</u>" means a day other than a Saturday, Sunday or other day on which commercial banks in the City of New York or Boston, Massachusetts are authorized or required to close.

"<u>By-laws</u>" means the by-laws of the Company, as amended, modified, supplemented or restated from time to time in accordance with the terms of this Agreement.

"<u>Call Exercise Notice</u>" has the meaning set forth in <u>Section 5.02(b)</u>.

"<u>Call Purchase Price</u>" has the meaning set forth in <u>Section 5.02(e)</u>.

"<u>Call Right</u>" has the meaning set forth in <u>Section 5.02(a)</u>.

"<u>Call Right Closing Date</u>" has the meaning set forth in <u>Section 5.02(d)</u>.

"<u>Call Shares</u>" has the meaning set forth in <u>Section 5.02(a)</u>.

"<u>Capital Stock</u>" means (a) shares of Common Stock and Preferred Stock (whether now outstanding or hereafter issued in any context), (b) shares of Common Stock issued or issuable upon conversion of Preferred Stock, and (c) shares of Common Stock issued or issuable upon exercise or conversion, as applicable, of stock options, warrants or other convertible securities of the Company, in each case now owned or subsequently acquired by any Stockholder, or their respective successors or permitted transferees or assigns.

"<u>CARES Act</u>" means the Coronavirus Aid, Relief, and Economic Security Act, as amended.

"<u>Certificate of Designation</u>" means that certain Amended and Restated Certificate of Designation of the Series A Preferred Stock, as filed on the date hereof with the Secretary of State of the State of Delaware and as amended, modified, supplemented or restated from time to time in accordance with the terms of this Agreement.

"<u>Certificate of Incorporation</u>" means that certain second amended and restated certificate of incorporation of the Company (including any certificates of designation thereto), as filed on December 29, 2020 with the Secretary of State of the State of Delaware and as amended, modified, supplemented or restated from time to time in accordance with the terms of this Agreement.

"<u>Change of Control</u>" means any transaction or series of related transactions (as a result of a tender offer, merger, consolidation or otherwise) that results in, or that is in connection with, (a) any Third Party Purchaser or "group" (within the meaning of Section 13(d)(3) of the Exchange Act) of Third Party Purchasers acquiring beneficial ownership, directly or indirectly, of a majority of the then issued and outstanding Common Stock, or (b) the sale, lease, exchange, conveyance, transfer or other disposition (for cash, shares of stock, securities or other consideration) of all or substantially all of the property and assets

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of the Company and its Subsidiaries (if any), on a consolidated basis, to any Third Party Purchaser or "group" (within the meaning of Section 13(d)(3) of the Exchange Act) of Third Party Purchasers (including any liquidation, dissolution or winding up of the affairs of the Company, or any other distribution made, in connection therewith).

"<u>Code</u>" means the Internal Revenue Code of 1986, as amended.

"<u>Common Director</u>" has the meaning set forth in <u>Section 2.01(b)(i)</u>.

"<u>Common Stock</u>" means the common stock, par value $0.001 per share, of the Company and any securities issued in respect thereof, or in substitution therefor, in connection with any stock split, dividend or combination, or any reclassification, recapitalization, merger, consolidation, exchange or similar reorganization.

"<u>Common Stockholder</u>" has the meaning set forth in the preamble.

"<u>Company</u>" has the meaning set forth in the preamble.

"<u>Company Group</u>" means the Company, the Subsidiaries set forth on <u>Schedule B</u>, if any, and any other Subsidiary that may become a consolidating Subsidiary of the Company.

"<u>Consolidated Interest Expense</u>" means, for any period, the interest expense of the Company Group calculated on a consolidated basis for such period with respect to all outstanding Indebtedness allocable to such period in accordance with GAAP.

"<u>Consolidated LTM EBITDA</u>" means, as of the time of its calculation, an amount equal to (a) Consolidated Net Income for the 12-month period ended prior to the time of calculation (excluding extraordinary gains and losses) plus to the extent reducing Consolidated Net Income for such period, the sum, without duplication, of: (i) Consolidated Interest Expense; (ii) consolidated income tax expense for such period; (iii) all amounts attributable to depreciation and amortization for such period; (iv) other non-cash charges reducing Consolidated Net Income (excluding any such non-cash charge to the extent that it represents an accrual or reserve for a potential cash charge in any future period or amortization of a prepaid cash charge that was paid in a prior period); (v) non-recurring expenses incurred in connection with or related to any Extraordinary Transaction; (vi) charges, losses or expenses to the extent indemnified or reimbursed by a third party in connection with any Extraordinary Transaction or otherwise (including expenses incurred with respect to liability or casualty events or business interruption that are covered by insurance to the extent coverage has not been denied in writing), to the extent actually indemnified or reimbursed; (vii) reasonable fees, costs and expenses (including legal fees and expenses) incurred, and cash payments made, in connection with the settlement of any litigation or claim not in the ordinary course of business involving any member of the Company Group and (viii) contingent or deferred payments (including earn-outs, non-compete payments and other consulting payments) incurred in connection with any Extraordinary Transaction, and earn-out obligation expense (including adjustments thereto), to the extent incurred, paid or accrued during such period; minus (b) non-cash gains increasing Consolidated Net Income for such period (excluding any such non-cash gain to the extent it represents the reversal of an accrual or reserve for a potential cash gain in any prior period); provided, that, the aggregate amount of the items listed in subclause (vi)) above with respect to any Extraordinary Transactions qualifying as "restructurings approved by the Board" shall not exceed an amount equal to 10% of the Consolidated LTM EBITDA of the Company as of the applicable time of calculation, provided, further that, for the avoidance of doubt, such 10% limitation shall not apply to any other transaction included in the definition of Extraordinary Transaction. Consolidated LTM EBITDA shall be calculated pro forma for any acquired

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assets or business as if the last 12-month EBITDA of such acquired assets or businesses had been Consolidated LTM EBITDA of the Company as of the applicable time of calculation.

"<u>Consolidated Net Income</u>" means, for any period, the consolidated net income (or loss) of the Company Group for such period, determined on a consolidated basis in accordance with GAAP; provided, however, that there shall be excluded, without duplication: (a) the income (or loss) of any Person accrued prior to the date it becomes a member of the Company Group or is merged with or consolidated with a member of the Company Group or that Person's assets are acquired by any member of the Company Group; provided however, that such income (or loss) will be taken into account for the entire period in question (including prior to it becoming a member of the Company Group) if Consolidated Net Income is being calculated for purposes of <u>Section 2.03(b)(iii)</u> and the additional Indebtedness with respect to which such Indebtedness is being calculated relates to acquiring such Person; (b) the income (or loss) of any Person that is not a Subsidiary of the Company or that is accounted for by the equity method of accounting; provided that Consolidated Net Income shall be increased by the amount of dividends or distributions or other payments that are actually paid in cash or cash equivalents (or to the extent subsequently converted into cash or cash equivalents) to the Company or any of its Subsidiaries by such Person in such period; (c) the undistributed earnings of any Subsidiary of the Company to the extent that the declaration or payment of dividends or similar distributions by such Subsidiary is not at the time permitted by operation of the terms of its organizational documents or other contractual obligations or requirements of law applicable to such Subsidiary; (d) any after-tax effect of any extraordinary, non-recurring or unusual items (including gains or losses and all fees and expenses relating thereto) for such period; (e) the cumulative effect of a change in accounting principles and changes as a result of the adoption or modification of accounting policies during such period to the extent included in Consolidated Net Income; and (f) any Stimulus Benefits received by any member of the Company Group.

"<u>Corporate Opportunity</u>" has the meaning set forth in <u>Section 6.01</u>.

"<u>Director</u>" has the meaning set forth in <u>Section 2.01(a).</u> 

"<u>Effective Date</u>" has the meaning set forth in the preamble.

"<u>Electing Common Stockholder</u>" has the meaning set forth in <u>Section 4.01(d)</u>.

"<u>Equity Securities</u>" shall have the meaning ascribed to such term in Rule 405 promulgated under the Securities Act and in any event includes any Capital Stock, any common stock, any limited partnership interest, any limited liability company interest and any other interest or security with an indicia of an ownership in the issuer thereof, whether economically or by having an attendant right to vote for directors or managers or similar representatives, including any options or warrants to purchase the foregoing and other securities convertible, exchangeable or exercisable for the foregoing.

"<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended, or any successor federal statute, and the rules and regulations thereunder, which shall be in effect at the time.

"<u>Excluded Securities</u>" means any Capital Stock or other Equity Securities issued in connection with: (a) a grant to any existing or prospective consultants, employees, officers or Directors pursuant to any stock option, employee stock purchase or similar equity-based plans or other compensation agreement or other arrangement; (b) the exercise or conversion of options to purchase shares of Common Stock, or shares of Common Stock issued to any existing or prospective consultants, employees, officers or Directors pursuant to any stock option, employee stock purchase or similar equity-based plans or any other compensation agreement; (c) any acquisition by the Company of the stock, assets, properties or business of any Person; (d) any merger, consolidation or other business combination involving the Company or any of

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its Subsidiaries; (e) the commencement of any Initial Public Offering or any transaction or series of related transactions involving a Change of Control; or (f) a stock split, stock dividend or any similar recapitalization.

"<u>Exercise Period</u>" has the meaning set forth in <u>Section 4.01(d)</u>.

"<u>Extraordinary Transaction</u>" means any mergers and other business combinations, acquisitions, divestitures, dispositions, discontinuance of activities or operations, or any restructurings approved by the Board, in the case of each of the foregoing, involving the Company Group or any member thereof.

"<u>Fair Market Value</u>" has the meaning set forth in <u>Section 5.03(a)</u>.

"<u>GAAP</u>" means United States generally accepted accounting principles in effect from time to time.

"<u>GEG Common Stockholder</u>" means Great Elm Group, Inc., a Delaware corporation or any Permitted Transferee.

"<u>GEG Group</u>" has the meaning set forth in <u>Section 6.05(a)</u>.

"<u>GEG Observer</u>" has the meaning set forth in <u>Section 2.04</u>.

"<u>Government Approval</u>" means any authorization, consent, approval, waiver, exception, variance, order, exemption, publication, filing, declaration, concession, grant, franchise, agreement, permission, permit, or license of, from or with any Governmental Authority, the giving notice to, or registration with, any Governmental Authority or any other action in respect of any Governmental Authority.

"<u>Governmental Authority</u>" means any federal, state, local or foreign government or political subdivision thereof, or any agency or instrumentality of such government or political subdivision, or any self-regulated organization or other non-governmental regulatory authority or quasi-governmental authority (to the extent that the rules, regulations or orders of such organization or authority have the force of law), or any arbitrator, court or tribunal of competent jurisdiction.

"<u>Healthcare LLC</u>" means Great Elm Healthcare, LLC, a Delaware limited liability company.

"<u>Indebtedness</u>" means, as of any date of determination, without duplication, (a) all obligations of any member of the Company Group for borrowed money, including any notes or other similar instruments, (b) all obligations of any member of the Company Group evidenced by bonds, debentures or other similar instruments, (c) all obligations of any member of the Company Group to pay the deferred purchase price of property or services, except trade accounts payable arising and paid in the ordinary course of business, (d) the capitalized amount of all capital leases of any member of the Company Group, (e) all contingent obligations of any member of the Company Group to reimburse any bank or other Person in respect of amounts paid under a letter of credit, bankers, acceptance, surety bond or similar instruction, (f) all obligations of a type described in clauses (a) through (e) and clause (h) of this definition secured by a Lien on any asset of any member of the Company Group, whether or not such obligation is otherwise an obligation of any member of the Company Group, (g) contingent or deferred payments (including earn-outs, non-compete payments and other consulting payments) incurred in connection with any Extraordinary Transaction, and earn-out obligation expense (including adjustments thereto), in each case, to the extent paid in cash by the Company other than from proceeds drawn by the Company Group under any credit facility included or otherwise taken into account in the definition of Indebtedness, and (h) all other Indebtedness of others guaranteed by any member of the Company Group; provided, however, that in no

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event will Indebtedness include any Indebtedness of one member of the Company Group owed to another member of the Company Group.

"<u>Information</u>" has the meaning set forth in <u>Section 6.02(a)</u>.

"<u>Initial Public Offering</u>" means any offering of Common Stock pursuant to a registration statement filed in accordance with the Securities Act.

"<u>Investment Company Act</u>" means the Investment Company Act of 1940, as amended.

"<u>Issuance Notice</u>" has the meaning set forth in <u>Section 4.01(c)</u>.

"<u>Joinder Agreement</u>" means the joinder agreement in form and substance of <u>Exhibit A</u> attached hereto.

"<u>JPM Common Stockholder</u>" means J.P. Morgan Broker-Dealer Holdings Inc. or any Permitted Transferee.

"<u>JPM Financing Negotiation Period</u>" has the meaning set forth in <u>Section 4.02(a)</u>.

"<u>JPM Preferred Stockholder</u>" means J.P. Morgan Broker-Dealer Holdings Inc. or any Permitted Transferee.

"<u>JPM Preferred Observer</u>" has the meaning set forth in <u>Section 2.04</u>.

"<u>Lien</u>" means any lien, claim, charge, mortgage, pledge, security interest, option, preferential arrangement, right of first offer, encumbrance or other restriction or limitation of any nature whatsoever.

"<u>New Common Securities</u>" means shares of Common Stock or any other common equity securities of the Company, whether or not currently authorized, as well as rights, options, or warrants to purchase such equity securities, or securities of any type whatsoever that are, or may become, convertible or exchangeable into or exercisable for such equity securities.

"<u>New Preferred Securities</u>" means shares of Preferred Stock or any other preferred equity securities of the Company, whether or not currently authorized, as well as rights, options, or warrants to purchase such equity securities, or securities of any type whatsoever that are, or may become, convertible or exchangeable into or exercisable for such equity securities.

"<u>New Securities</u>" means the New Common Securities or the New Preferred Securities, as applicable.

"<u>NOL Carryovers</u>" has the meaning set forth in <u>Section 8.01(g)</u>.

"<u>Observer</u>" or "<u>Observers</u>" has the meaning set forth in <u>Section 2.04</u>.

"<u>Offered Shares</u>" has the meaning set forth in <u>Section 3.02(a)</u>.

"<u>Offering Stockholder</u>" has the meaning set forth in <u>Section 3.02(a)</u>.

"<u>Offering Stockholder Notice</u>" has the meaning set forth in <u>Section 3.02(b)</u>.

"<u>Organizational Documents</u>" means the By-laws and the Certificate of Incorporation.

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"<u>Permitted Transferee</u>" means with respect to any Stockholder, any Affiliate of such Stockholder.

"<u>Person</u>" means an individual, corporation, partnership, joint venture, limited liability company, Governmental Authority, unincorporated organization, trust, association or other entity.

"<u>Preferred Director</u>" has the meaning set forth in <u>Section 2.01(b)(ii)</u>.

"<u>Preferred Stock</u>" means shares of the Series A Preferred Stock and any other shares of Preferred Stock hereinafter designated under the Certificate of Incorporation or a certificate of designation thereof.

"<u>Preferred Stockholder</u>" has the meaning set forth in the preamble.

"<u>Promissory Note</u>" means that certain Promissory Note dated as of December 29, 2022, issued by the GEG Common Stockholder and Great Elm FM Acquisition, Inc. to the Company in the original principal amount of $38,104,000.00.

"<u>Purchasing Stockholder</u>" has the meaning set forth in <u>Section 3.02(d)</u>.

"<u>Put Exercise Notice</u>" has the meaning set forth in <u>Section 5.01(b)</u>.

"<u>Put Purchase Price</u>" has the meaning set forth in <u>Section 5.01(c)</u>.

"<u>Put Right</u>" has the meaning set forth in <u>Section 5.01(a)</u>.

"<u>Put Right Closing Date</u>" has the meaning set forth in <u>Section 5.01(c)</u>.

"<u>Put Shares</u>" has the meaning set forth in <u>Section 5.01(a)</u>.

"<u>Redemption Price</u>" has the meaning ascribed to such term in the Certificate of Designation.

"<u>Representative</u>" means, with respect to any Person, any and all directors, managers, officers, employees, consultants, financial advisors, counsel, accountants and other agents of such Person.

"<u>ROFR Notice</u>" has the meaning set forth in <u>Section 3.02(d)</u>.

"<u>ROFR Notice Period</u>" has the meaning set forth in <u>Section 3.02(d)</u>.

"<u>ROFR Rightholder</u>" has the meaning set forth in <u>Section 3.02(a)</u>.

"<u>Securities Act</u>" means the Securities Act of 1933, as amended, or any successor federal statute, and the rules and regulations thereunder, which shall be in effect at the time.

"<u>Series A Liquidation Preference</u>" has the meaning set forth in the Certificate of Designation.

"<u>Series A Preferred Stock</u>" means the Series A Preferred Stock, par value $0.001, of the Company issued on or about December 29, 2020.

"<u>SRLY</u>" has the meaning set forth in <u>Section 6.05(a)</u>.

"<u>Stimulus Benefits</u>" means (a) any loan to, or other borrowing of money by, the Company Group under any program created pursuant to or supported by the CARES Act (including any "Payroll Protection

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Program" loan) and (b) any employer-paid employment taxes of the Company Group, the payment of which have been deferred under the authority of Section 2302 of the CARES Act.

"<u>Stockholders</u>" has the meaning set forth in the preamble.

"<u>Subsidiary</u>" means with respect to any Person, any other Person of which a majority of the outstanding shares or other equity interests having the power to vote for directors or comparable managers are owned, directly or indirectly, by the first Person.

"<u>Tax Claim</u>" has the meaning set forth in <u>Section 6.05(d)</u>.

"<u>Tax Sharing Agreement</u>" means the Tax Sharing Agreement dated on or about the Effective Date by and between the Company and J.P. Morgan Chase & Co., the common parent of the consolidated group of which the JPM Preferred Stockholder is a member, as amended, modified, supplemented or restated from time to time in accordance with the provisions thereof.

"<u>Third Party Purchaser</u>" means any Person who, immediately following the Effective Date, (a) does not directly or indirectly own or have the right to acquire any Capital Stock or (b) is not a Permitted Transferee of any Person who directly or indirectly owns or has the right to acquire any Capital Stock.

"<u>Transfer</u>" means to, directly or indirectly, sell, transfer, assign, pledge, encumber, hypothecate or similarly dispose of, either voluntarily or involuntarily, or to enter into any contract, option or other arrangement or understanding with respect to the sale, transfer, assignment, pledge, encumbrance, hypothecation or similar disposition of, any Capital Stock owned by a Person or any interest (including a beneficial interest) in any Capital Stock owned by a Person. Notwithstanding the foregoing, for purposes of <u>Article III</u>, "Transfer" shall not include any transaction or series of related transactions involving the Equity Securities of the then-ultimate parent entity of a Stockholder.

"<u>Valuation Agent</u>" has the meaning set forth in <u>Section 5.03(a)</u>.

"<u>Waived ROFR Transfer Period</u>" has the meaning set forth in <u>Section 3.02(f)</u>.

**Article II** **<br>MANAGEMENT AND OPERATION OF THE COMPANY; CERTAIN RIGHTS**

**Section 2.01 Board of Directors.**

&nbsp;&nbsp;&nbsp;&nbsp;&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 Stockholders agree that the business and affairs of the Company shall be managed through a board of directors (the "<u>Board</u>") consisting of three members (each, a "<u>Director</u>"), unless expanded in accordance with the By-laws, Certificate of Incorporation or Certificate of Designation.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Directors shall be elected 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;(i) two Directors shall be elected by Stockholders owning a majority of the total Common Stock issued and outstanding as of the applicable record date for such meeting at which an election of Directors will be determined or by written consent of the Stockholders (each, a "<u>Common Director</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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) one Director shall be elected by Stockholders owning a majority of the total Preferred Stock issued and outstanding as of the applicable record date for such meeting at

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which an election of Directors will be determined or by written consent of the Stockholders (the "<u>Preferred Director</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 Board shall have the right to establish any committee of Directors as the Board shall deem appropriate from time to time. Subject to this Agreement, the Organizational Documents and Applicable Law, committees of the Board shall have the rights, powers and privileges granted to such committee by the Board from time to time. Any delegation of authority to a committee of Directors to take any action must be approved in the same manner as would be required for the Board to approve such action directly.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Common Director may not be removed from office, other than for cause, unless such removal is directed or approved by Stockholders owning a majority of the total Common Stock issued and outstanding as of the date of such removal. The Preferred Director may not be removed from office, other than for cause, unless such removal is directed or approved by Stockholders owning a majority of the total Preferred Stock issued and outstanding as of the date of such removal.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Stockholder, nor any Affiliate of any Stockholder, shall have any liability as a result of designating a person for election as a Director for any act or omission by such designated person in his or her capacity as a Director of the Company, nor shall any Stockholder have any liability as a result of voting for any such designee in accordance with the provisions of this Agreement.

**Section 2.02 Meetings of the Board of Directors.**

&nbsp;&nbsp;&nbsp;&nbsp;&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 Board will meet no less than once a year, and each meeting of the Board shall occur in accordance with the terms of the Organizational 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;(b) The Company shall pay all reasonable and documented out-of-pocket fees, charges and expenses (including travel and related expenses) incurred by each Director in connection with: (i) attending the meetings of the Board and any committee thereof and (ii) conducting any other Company business requested by the Board or any officer of the Company.

**Section 2.03 GEG Common Stockholder and JPM Preferred Stockholder Consent Rights.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 contained in this Agreement to the contrary and in addition to any vote or consent of the Board or the Stockholders of the Company required by Applicable Law, the Organizational Documents or this Agreement, for so long as the GEG Common Stockholder holds shares of Common Stock of the Company, the approval of the GEG Common Stockholder shall be required in connection with the Company taking the following actions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) amending, modifying or waiving any provision of the Organizational Documents in a manner that would be materially adverse to the GEG Common 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) entering into any material transaction with any Affiliate of the Company (other than with a member of the Company Group), excluding for purposes of this <u>Section 2.03(a)(ii)</u> (A) any such transaction that relates to the exercise of any right or obligation of

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a party under this Agreement, including <u>Article IV</u> and <u>Article V</u>, (B) any such transaction that occurs in the ordinary course of business of the Company and is entered into on "arm's length" terms and conditions, (C) the Tax Sharing Agreement or (D) any indemnification agreement between any officer or director of the Company, on the one hand, and the Company or any of its Affiliates, on the other hand;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) creating, or authorizing the creation of, or issuing or obligating itself to issue shares of, or reclassify, any new class or series of Capital 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) amending or terminating, or waiving or interpreting any provision of, the Tax Sharing Agreement, or providing any notice thereunder or entering into any arrangement or agreement that would offset the rights or obligations of any party 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) granting any options to purchase shares of Capital Stock, or shares of Capital Stock issued to any existing or prospective consultants, employees, officers or Directors pursuant to any stock option, employee stock purchase or similar equity-based plans or any other compensation 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) making any filing under any Bankruptcy, insolvency or similar law on or prior to March 1, 2023; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) effecting a Change of Control or Initial Public Offering.

&nbsp;&nbsp;&nbsp;&nbsp;&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 contained in this Agreement to the contrary and in addition to any vote or consent of the Board or the Stockholders of the Company required by Applicable Law, the Organizational Documents or this Agreement, for so long as the JPM Preferred Stockholder holds shares of Preferred Stock of the Company, the approval of the JPM Preferred Stockholder shall be required in connection with the Company taking the following actions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) entering into any material transaction with any Affiliate of the Company (other than with a member of the Company Group), excluding for purposes of this <u>Section 2.03(b)(i)</u> (A) any such transaction that relates to the exercise of any right or obligation of a party under this Agreement, including <u>Article IV</u> and <u>Article V</u>, (B) any such transaction that occurs in the ordinary course of business of the Company and is entered into on "arm's length" terms and conditions, (C) the Tax Sharing Agreement or (D) any indemnification agreement between any officer or director of the Company, on the one hand, and the Company or any of its Affiliates, on the other hand;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) amending or terminating, or waiving or interpreting any provision of, the Tax Sharing Agreement, or providing any notice thereunder or entering into any arrangement or agreement that would offset the rights or obligations of any party thereunder; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) incurring any additional Indebtedness (other than refinancing of existing Indebtedness that does not result in a net increase of the principal amount outstanding under such new borrowings) if, following such incurrence, the Company's aggregated consolidated Indebtedness (which shall include the aggregate Series A Liquidation Preference but shall exclude non-recourse equipment Indebtedness up to an aggregate amount of $5,000,000) exceeds an amount equal to 3.5 times the then applicable Consolidated LTM EBITDA.

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**Section 2.04 Observer Rights.** As long as the JPM Preferred Stockholder holds shares of Preferred Stock, the Company shall allow a representative designated by the JPM Preferred Stockholder to attend regular and special meetings of the Board and its committees that are called in accordance with the terms of the Organizational Documents in a nonvoting observer capacity (the "<u>JPM Preferred</u> <u>Observer</u>"). As long as the GEG Common Stockholder holds shares of Common Stock, the Company shall allow a representative designated by the GEG Common Stockholder to attend regular and special meetings of the Board and its committees that are called in accordance with the terms of the Organizational Documents in a nonvoting observer capacity (the "<u>GEG Observer</u>" and together with the JPM Preferred Observer, the "<u>Observers</u>" and each, an "<u>Observer</u>"). The Board shall allow each Observer to have access to copies of all notices, minutes, consents, and other materials that it provides to Directors at the same time and in the same manner as provided to such Directors; provided, however, that such representative shall agree to hold in confidence and trust all information so provided; and provided further, that the Company reserves the right to withhold any information and to exclude such representative from any meeting or portion thereof if access to such information or attendance at such meeting could adversely affect any attorney-work product privilege or attorney-client privilege between the Company and its counsel. For the avoidance of doubt, if a representative has previously been approved by a majority of the Directors to act as an Observer, such Observer shall not be required to obtain the prior approval of a majority of the Directors under this Section 2.04 for any subsequent meetings. As of the Effective Date, the Company acknowledges and agrees that the JPM Preferred Observer shall be Julien Castello and the GEG Observer shall be Peter Reed.

**Article III <br>TRANSFER OF INTERESTS**

**Section 3.01 General Restrictions on 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;(a) Except as permitted pursuant to <u>Section 3.01(b)</u> or in accordance with the procedures described in <u>Section 3.02</u> or <u>Article V</u>, each Stockholder agrees that such Stockholder will not, directly or indirectly, voluntarily or involuntarily Transfer any of its Capital 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) Subject to <u>Section 3.01(g)</u>, the provisions of <u>Section 3.01(a)</u> and <u>Section 3.02</u> shall not apply to Transfers by any Stockholder of any of its Capital Stock to a Permitted Transferee or to the extent such Transfer is unanimously approved by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&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 addition to any legends required by Applicable Law, each certificate, if certificated, or book entry record representing the Capital Stock of the Company shall bear a legend or recordation of restriction substantially in the following form:

"THESE SECURITIES ARE SUBJECT TO AN AMENDED AND RESTATED STOCKHOLDERS AGREEMENT (A COPY OF WHICH IS ON FILE WITH THE SECRETARY OF THE COMPANY). NO TRANSFER, SALE, ASSIGNMENT, PLEDGE, HYPOTHECATION OR OTHER DISPOSITION OF THESE SECURITIES MAY BE MADE EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF SUCH STOCKHOLDERS AGREEMENT AND (A) PURSUANT TO A REGISTRATION STATEMENT EFFECTIVE UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) PURSUANT TO AN EXEMPTION FROM REGISTRATION THEREUNDER. THE HOLDER OF THESE SECURITIES AGREES TO BE BOUND BY ALL OF THE APPLICABLE PROVISIONS OF SUCH STOCKHOLDERS 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) Prior notice shall be given to the Company by the transferor of any Transfer (whether or not to a Permitted Transferee) of any Capital Stock. Prior to consummation of any Transfer by

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any Stockholder of any of its Capital Stock hereunder to a Permitted Transferee, subject to <u>Section 3.01(f)</u>, such party shall cause the transferee thereof to execute and deliver to the Company a Joinder Agreement and agree to be bound by the terms and conditions of this Agreement. Upon any Transfer by any Stockholder of any of its Capital Stock, in accordance with the terms of this Agreement, the transferee thereof shall be substituted for, and shall assume all the rights and obligations under this Agreement of, the transferor 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;(e) Notwithstanding any other provision of this Agreement, each Stockholder agrees that it will not, directly or indirectly, Transfer any of its Capital Stock (i) except as permitted under the Securities Act and other applicable federal or state securities laws, and then, except in connection with any Transfer under <u>Article V</u>, if requested by the Company, only upon delivery to the Company of an opinion of counsel in form and substance satisfactory to the Company to the effect that such Transfer may be effected without registration under the Securities Act, (ii) if it would cause a member of the Company Group to be required to be registered as an "investment company" within the meaning of the Investment Company Act or to rely on the exemptions from registration set forth in Section 3(c)(1) or Section 3(c)(7) of the Investment Company Act or (iii) if it would cause the assets of the Company or any of its Subsidiaries to be deemed plan assets as defined under the Employee Retirement Income Security Act of 1974 or its accompanying regulations or result in any "prohibited transaction" thereunder involving the Company. In any event, the Board may refuse any Transfer of Capital Stock to any Person if such Transfer would have a material adverse effect on the Company as a result of any regulatory or other restrictions imposed by any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Transfer or attempted Transfer of any Capital Stock in violation of this Agreement shall be null and void, no such Transfer shall be recorded on the Company's books and the purported transferee in any such Transfer shall not be treated (and the purported transferor shall continue to be treated) as the owner of such Capital Stock for all purposes of 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;(g) Notwithstanding anything in this Agreement to the contrary, the JPM Common Stockholder and the JPM Preferred Stockholder hereby agree that, for so long as the GEG Common Stockholder holds Common Stock, the JPM Common Stockholder and the JPM Preferred Stockholder shall not pledge any of the Capital Stock of the Company owned or controlled by the JPM Common Stockholder or the JPM Preferred Stockholder.

**Section 3.02 Right of First Refusal.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 the limitations set forth in <u>Section 3.01(g)</u>, if at any time a Stockholder (such Stockholder, an "<u>Offering Stockholder</u>") receives a bona fide offer from any Third Party Purchaser to purchase all or any portion of the Capital Stock (the "<u>Offered Shares</u>") owned by the Offering Stockholder and the Offering Stockholder desires to Transfer the Offered Shares (other than Transfers that are permitted by <u>Section 3.01(b)</u> or Transfers made pursuant to <u>Article V</u>, as applicable), then the Offering Stockholder must first make an offering of the Offered Shares to each other Stockholder in accordance with <u>Section 3.02(d)</u> (each such Stockholder, a "<u>ROFR Rightholder</u>") in accordance with the provisions of this <u>Section 3.02</u>. Any right of first refusal and the terms and conditions set forth in this <u>Section 3.02</u> shall be applied separately on a class-by-class and series-by-series basis for each class or series of Offered Shares, as applicable (which, for the avoidance of doubt, shall mean that, if the Offered Shares are shares of Common Stock, only Common Stockholders shall be considered ROFR Rightholders, and if the Offered Shares are shares of Preferred Stock, only stockholders of the Company holding such series or class of Preferred Stock shall be considered ROFR Rightholders).

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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 Offering Stockholder shall, within five Business Days of receipt of the offer from the Third Party Purchaser, give written notice (the "<u>Offering Stockholder Notice</u>") to the Company and the ROFR Rightholders stating that it has received a bona fide offer from a Third Party Purchaser and specifying:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 number of Offered Shares to be Transferred by the Offering 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the identity of the Third Party Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 per share purchase price and the other material terms and conditions of the Transfer, including a description of any non-cash consideration in sufficient detail to permit the valuation thereof; 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;(iv) the proposed date, time and location of the closing of the Transfer, which shall not be less than 30 Business Days from the date of the Offering Stockholder Notice.

The Offering Stockholder Notice shall constitute the Offering Stockholder's offer to Transfer the Offered Shares to the ROFR Rightholders, which offer shall be irrevocable until the end of the ROFR Notice Period.

&nbsp;&nbsp;&nbsp;&nbsp;&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) By delivering the Offering Stockholder Notice, the Offering Stockholder represents and warrants to the Company and to each ROFR Rightholder that: (i) the Offering Stockholder has full right, title and interest in and to the Offered Shares; (ii) the Offering Stockholder has all the necessary power and authority and has taken all necessary action to Transfer such Offered Shares as contemplated by this <u>Section 3.02</u>; and (iii) the Offered Shares are free and clear of any and all Liens other than those arising as a result of or under the terms of 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;(d) Upon receipt of the Offering Stockholder Notice, each ROFR Rightholder shall have ten Business Days (the "<u>ROFR Notice Period</u>") to elect to purchase all (and not less than all) of such ROFR Rightholder's pro rata portion of the Offered Shares, as determined in accordance with <u>Section 3.02(d)</u>, by delivering a written notice (a "<u>ROFR Notice</u>") to the Offering Stockholder and the Company stating that it offers to purchase such Offered Shares on the terms specified in the Offering Stockholder Notice. Any ROFR Notice shall be binding upon delivery and irrevocable by the applicable ROFR Rightholder. If more than one ROFR Rightholder delivers a ROFR Notice, each such ROFR Rightholder (the "<u>Purchasing Stockholder</u>") shall be allocated the number of shares equal to the product of (x) the total number of Offered Shares and (y) a fraction determined by dividing (A) the number of shares of Capital Stock of the same class or series as the Offered Shares owned by such Purchasing Stockholder as of the date of the Offering Stockholder Notice by (B) the total number of shares of the same class or series as the Offered Shares owned by all of the Purchasing Stockholders as of 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;(e) Each ROFR Rightholder that does not deliver a ROFR Notice during the ROFR Notice Period shall be deemed to have waived all of such ROFR Rightholder's rights to purchase the Offered Shares under this <u>Section 3.02</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) If no ROFR Rightholder delivers a ROFR Notice in accordance with <u>Section 3.02(d)</u>, the Offering Stockholder may, during the 30 Business Day period immediately following the expiration of the ROFR Notice Period, which period may be extended for a reasonable time not to exceed 60 Business Days to the extent reasonably necessary to obtain any Government Approvals (the "<u>Waived ROFR Transfer Period</u>"), Transfer all of the Offered Shares to the Third Party Purchaser on terms and conditions no more favorable to the Third Party Purchaser than those set

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forth in the Offering Stockholder Notice. If the Offering Stockholder does not Transfer the Offered Shares within such period or, if such Transfer is not consummated within the Waived ROFR Transfer Period, the rights provided hereunder shall be deemed to be revived and the Offered Shares shall not be Transferred to the Third Party Purchaser unless the Offering Stockholder sends a new Offering Stockholder Notice in accordance with, and otherwise complies with, this <u>Section 3.02</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 Offering Stockholder and each Purchasing Stockholder shall take all actions as may be reasonably necessary to consummate the Transfer contemplated by this <u>Section 3.02</u>, including entering into agreements and delivering certificates and instruments and consents as may be deemed necessary or appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&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) At the closing of any Transfer pursuant to this <u>Section 3.02</u>, the Offering Stockholder shall deliver to the Purchasing Stockholders the certificate or certificates representing the Offered Shares to be sold (if any), accompanied by stock powers and all necessary stock transfer taxes paid and stamps affixed, if necessary, against receipt of the purchase price therefor from such Purchasing Stockholders by certified or official bank check or by wire transfer of immediately available 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) Notwithstanding anything to the contrary set forth in this <u>Section 3.02</u>, the consideration to be received by the Offering Stockholder with respect to shares of Series A Preferred Stock shall not exceed the applicable Redemption Price per share of Series A Preferred Stock as of the date of the Transfer.

**Article IV <br>PRE-EMPTIVE RIGHTS; FINANCING RIGHT OF FIRST REFUSAL**

**Section 4.01 Pre-emptive Right.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company hereby grants to each Common Stockholder the right to purchase any or all of its pro rata share of any New Common Securities (other than any Excluded Securities) that the Company may from time to time propose to issue or sell to any Person. An Electing Common Stockholder's pro rata share, for purposes of this <u>Section 4.01</u>, is equal to the ratio of (i) the number of shares of Common Stock owned by such Common Stockholder immediately prior to the issuance of New Common Securities to (ii) the total number of shares of Common Stock outstanding immediately prior to the issuance of the New Common Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&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 so long as the JPM Preferred Stockholder holds shares of Preferred Stock, the Company hereby grants to the JPM Preferred Stockholder the right to purchase any portion of any New Preferred Securities (other than any Excluded Securities) that the Company may from time to time propose to issue or sell to any Person.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company shall give written notice (an "<u>Issuance Notice</u>") of any proposed issuance or sale described in subsections (a) or (b) to the Common Stockholders or the JPM Preferred Stockholder, as applicable, within five Business Days following any meeting of the Board at which any such issuance or sale is approved. The Issuance Notice shall set forth the material terms and conditions of the proposed issuance, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 number of New Securities proposed to be issued or sold and the percentage of the Company's outstanding Capital Stock that such issuance or sale would represent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 proposed issuance or sale date, which shall be at least 20 Business Days from the date of the Issuance Notice; 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;(iii) the proposed purchase price per share.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Common Stockholder or the JPM Preferred Stockholder, as applicable, shall for a period of 15 Business Days following the receipt of an Issuance Notice (the "<u>Exercise Period</u>") have the right to elect irrevocably to purchase, at the purchase price set forth in the Issuance Notice, any or all of its pro rata share of the New Securities by delivering a written notice to the Company (an electing Common Stockholder, an "<u>Electing Common Stockholder</u>"). A Common Stockholder's or the JPM Preferred Stockholder's election, as applicable, to purchase New Securities shall be binding and irrevocable. If a Common Stockholder or the JPM Preferred Stockholder, as applicable, fails to deliver such written notice of its election within the Exercise Period in accordance with this <u>Section 4.01(d)</u>, such Common Stockholder or the JPM Preferred Stockholder, as applicable, shall be deemed to have waived all of its preemptive rights with respect to any such issuance.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company shall be free to complete the proposed issuance or sale of New Securities described in the Issuance Notice with respect to any New Securities not elected to be purchased pursuant to <u>Section 4.01(d)</u> above in accordance with the terms and conditions set forth in the Issuance Notice (except that the amount of New Securities to be issued or sold by the Company may be reduced) so long as such issuance or sale is closed within 30 Business Days after the expiration of the Exercise Period (subject to the extension of such 30 Business Day period for a reasonable time not to exceed 60 Business Days to the extent reasonably necessary to obtain any Government Approvals). In the event the Company has not issued or sold such New Securities within such time period, the Company shall not thereafter issue or sell any New Securities without first again offering such securities to the Common Stockholders or the JPM Preferred Stockholder, as applicable, in accordance with the procedures set forth in this <u>Section 4.01</u>. Notwithstanding anything contained in this Agreement to the contrary, the time requirements provided for in this <u>Section 4.01(e)</u> shall not apply in the event a Common Stockholder or the JPM Preferred Stockholder, as applicable, is deemed to have waived all of its preemptive rights with respect to such issuance or sale as a result of failing to deliver timely notice pursuant to <u>Section 4.01(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;(f) Upon the consummation of the issuance or sale of any New Securities in accordance with this <u>Section 4.01</u>, the Company shall deliver to the Electing Common Stockholders or the JPM Preferred Stockholder, as applicable, certificates (if any) evidencing the New Securities, which New Securities shall be issued or sold free and clear of any Liens (other than those arising hereunder and those attributable to the actions of the purchasers thereof), and the Company shall so represent and warrant to the purchasers thereof, and further represent and warrant to such purchasers that such New Securities shall be, upon issuance or sale thereof to the Electing Common Stockholders or the JPM Preferred Stockholder, as applicable, and after payment therefor, duly authorized, validly issued, fully paid and non-assessable. The Electing Common Stockholders or the JPM Preferred Stockholder, as applicable, shall deliver to the Company the purchase price for the New Securities purchased by it, at the Company's option, by certified or official bank check or wire transfer of immediately available funds. Each party to the purchase and issuance or sale of New Securities shall take all such other actions as may be reasonably necessary to consummate the purchase and issuance or sale including entering into such additional agreements as may be necessary or appropriate.

**Section 4.02 Financing Right of First Refusal.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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) So long as the JPM Preferred Stockholder continues to hold Preferred Stock, then if the Company desires to incur any additional indebtedness for borrowed money, including any loans, notes, bonds or similar instruments (the "<u>Additional Indebtedness</u>"), the Company shall

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negotiate in good faith for a period of 45 days the terms of any such Additional Indebtedness with the JPM Preferred Stockholder or its Affiliates (such period, the "<u>JPM Financing Negotiation Period</u>"). If the Company and the JPM Preferred Stockholder and/or its Affiliates are unable to reach an agreement with respect to such loan terms prior to the expiration of the JPM Financing Negotiation Period, then during the 90-day period following the expiration of the JPM Financing Negotiation Period the Company shall have the right to enter into and consummate a financing arrangement with the third party lender, with such financing to be approved by the Board, negotiated on "arm's length" terms by the Company and to include terms that are as favorable, in all material respects, to the Company as those that the Company was prepared to accept in negotiating with the JPM Preferred 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;(b) The Company will not knowingly agree to any restriction with any Person which materially limits its ability to enter into the Additional Indebtedness with the JPM Preferred Stockholder and its Affiliates as outlined in <u>Section 4.02(a)</u>.

**Article V <br>PUT AND CALL RIGHTS**

**Section 5.01 Put Right.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 the terms of this <u>Section 5.01</u>, at any time from January 17, 2023 until ending on February 17, 2023, the GEG Common Stockholder shall have the right (the "<u>Put Right</u>"), but not the obligation, to cause the Company to purchase all, but not less than all, of the shares of Common Stock owned by the GEG Common Stockholder (the "<u>Put Shares</u>") at the Put Purchase Price (as defined 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;(b) If the GEG Common Stockholder desires to exercise the Put Right, the GEG Common Stockholder shall deliver to the Company a written, unconditional and irrevocable notice (the "<u>Put Exercise Notice</u>") exercising the Put Right. By delivering the Put Exercise Notice, the GEG Common Stockholder represents and warrants to the Company that (i) the GEG Common Stockholder has full right, title, and interest in and to the Put Shares, (ii) the GEG Common Stockholder has all the necessary power and authority and has taken all necessary action to sell such Put Shares as contemplated by this <u>Section 5.01</u>, and (iii) the Put Shares are free and clear of any and all Liens other than those arising as a result of or under the terms of 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) The closing of the sale of the Put Shares pursuant to this <u>Section 5.01</u> shall take place no later than five Business Days following the final determination of the Put Purchase Price (or such other date as agreed upon between the Company and the GEG Common Stockholder). The Company shall give the GEG Common Stockholder at least two Business Days written notice of the date of the closing (the "<u>Put Right Closing Date</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) The aggregate purchase price for the Put Shares pursuant to which the GEG Common Stockholder shall sell, and at which price the Company shall be required to purchase, the Put Shares (the "<u>Put Purchase Price</u>") shall be equal to (i) the Fair Market Value of a share of Common Stock as determined in accordance with <u>Section 5.03</u> and (ii) the number of Put Shares. The Company will pay the Put Purchase Price by wire transfer of immediately available funds on the Put Right Closing Date. Until the Promissory Note has been paid in full, the Put Purchase Price shall be applied by the Company to the outstanding balance under the Promissory Note, and any amount of the Put Purchase Price in excess thereof shall be paid to the GEG Common Stockholder. If necessary to fund the Put Purchase Price, the JPM Preferred Stockholder or its Affiliate shall

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provide the Company with short term arms-length financing on terms and conditions to be negotiated in good faith between the Company and the JPM Preferred Stockholder or its Affiliate.

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company and the GEG Common Stockholder shall each take all actions as may be reasonably necessary to consummate the sale contemplated by this <u>Section 5.01</u>, including, without limitation, entering into agreements and delivering certificates and instruments and consents as may be deemed necessary or appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&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) At the closing of any sale and purchase pursuant to this <u>Section 5.01</u>, the GEG Common Stockholder shall deliver to the Company a certificate or certificates representing the Put Shares to be sold (if any), accompanied by stock powers and all necessary stock transfer taxes paid and stamps affixed, if necessary.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Notwithstanding anything herein to the contrary, in the event that the Board approves any filing by the Company under any Bankruptcy, insolvency or similar law, the Put Right shall immediately and automatically accelerate and be deemed to have been exercised by the GEG Common Stockholder for all purposes of this <u>Section 5.01</u>, without regard to (i) any time limitations on the exercise of such Put Right and (ii) any requirement to deliver a Put Exercise Notice.

**Section 5.02 Call Right.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 the terms of this <u>Section 5.02</u>, at any time after March 1, 2023, the Company shall have the right (the "<u>Call Right</u>"), but not the obligation, to cause the GEG Common Stockholder to sell all, but not less than all, of the shares of Common Stock owned by the GEG Common Stockholder (the "<u>Call Shares</u>") at the Call Purchase Price (as defined 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;(b) If the Company desires to exercise the Call Right, the Company shall deliver to the GEG Common Stockholder a written, unconditional and irrevocable notice (the "<u>Call Exercise Notice</u>") exercising the Call Right.

&nbsp;&nbsp;&nbsp;&nbsp;&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 GEG Common Stockholders shall at the closing of any purchase consummated pursuant to this <u>Section 5.02</u>, represent and warrant to the Company that (i) the GEG Common Stockholder has full right, title, and interest in and to the Call Shares, (ii) the GEG Common Stockholder has all the necessary power and authority and has taken all necessary action to sell such Call Shares as contemplated by this <u>Section 5.02</u>, and (iii) the Call Shares are free and clear of any and all Liens other than those arising as a result of or under the terms of 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;(d) The closing of the sale of Call Shares pursuant to this <u>Section 5.02</u> shall take place no later than five Business Days following the final determination of the Call Purchase Price (or such other date as agreed upon between the Company and the GEG Common Stockholder). The Company shall give the GEG Common Stockholder at least two Business Days written notice of the date of the closing (the "<u>Call Right Closing Date</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) The aggregate purchase price for the Call Shares pursuant to which the Company shall purchase, and at which price the GEG Common Stockholder shall be required to sell, the Call Shares (the "<u>Call Purchase Price</u>") shall be equal to the product of (i) the Fair Market Value of a share of Common Stock as determined in accordance with <u>Section 5.03</u> and (ii) the number of Call Shares. The Company will pay the Call Purchase Price by wire transfer of immediately available funds on the Call Right Closing Date. Until the Promissory Note has been paid in full, the Call Purchase Price shall be applied by the Company to the outstanding balance under the Promissory

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Note, and any amount of the Call Purchase Price in excess thereof shall be paid to the GEG Common 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;(f) The Company and the GEG Common Stockholder shall each take all actions as may be reasonably necessary to consummate the sale contemplated by this <u>Section 5.02</u>, including, without limitation, entering into agreements and delivering certificates and instruments and consents as may be deemed necessary or appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&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) At the closing of any sale and purchase pursuant to this <u>Section 5.02</u>, the GEG Common Stockholder shall deliver to the Company a certificate or certificates representing the Call Shares to be sold (if any), accompanied by stock powers and all necessary stock transfer taxes paid and stamps affixed, if necessary.

**Section 5.03 Fair Market 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;(a) For purposes of this Agreement, the term "<u>Fair Market Value</u>" shall be the fair market value per share of Common Stock as determined jointly by the Board and the GEG Common Stockholder in accordance with the terms of this <u>Section 5.03</u>; provided, that if the Board and the GEG Common Stockholder are unable to agree on the fair market value per share of the Common Stock within a reasonable period of time (not to exceed 10 days from the Company's receipt of the Put Exercise Notice or the GEG Common Stockholder's receipt of the Call Exercise Notice, as applicable), each of the GEG Common Stockholder and the Board shall within three days appoint an independent nationally or regionally recognized investment banking, accounting, or valuation firm (a "<u>Valuation Agent</u>"), which such appointed Valuation Agents shall jointly select a third Valuation Agent within three days of their appointment. The three Valuation Agents shall determine the Fair Market Value, which determination shall be made by written report and which shall take into account the principles set forth in this <u>Section 5.03</u>. The Company shall provide the Valuation Agents with all financial information and other records as the Valuation Agents may reasonably request, which such submission of materials shall occur within 20 days of the appointment of the third Valuation Agent. The Valuation Agents shall deliver their written determination of the Fair Market Value within 15 days of the receipt of the materials described above and such determination of Fair Market Value shall be final, conclusive and binding on the GEG Common Stockholder and the Company. The fees and expenses of the Valuation Agents shall be split equally between the JPM Common Stockholder and the GEG Common 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;(b) In determining the Fair Market Value, only the tangible assets of the Company shall be taken into account and an orderly sale transaction between a willing buyer and a willing seller shall be assumed, using valuation techniques then prevailing in the securities industry without regard to the lack of liquidity of the Common Stock due to any restrictions (contractual or otherwise) applicable thereto or any discount for minority interests and assuming full disclosure of all relevant information and a reasonable period of time for effectuating such sale and assuming the sale of all of the issued and outstanding shares of Common Stock (including fractional interests) calculated on a fully diluted basis to include the conversion or exchange of all securities then outstanding that are convertible into or exchangeable for Common Stock and the exercise of all rights and warrants then outstanding and exercisable to purchase shares of Common Stock or securities convertible into or exchangeable for shares of Common Stock; provided, that such assumption shall not include those securities, rights, and warrants (i) owned or held by or for the account of the Company or any of its Subsidiaries, or (ii) convertible or exchangeable into Common Stock where the conversion, exchange, or exercise price per share is greater than the Fair Market 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;(c) In determining the Fair Market Value, the tangible assets of the Company shall include the proportionate share of any accrued but unpaid amount due to the Company under the Tax Sharing Agreement attributable to such Common Stock, as determined under this <u>Section 5.03(c)</u>, discounted at a 4.64% rate from April 18, 2023 (which the parties agree is the date that the payment is required to be made under the Tax Sharing Agreement) to the Call Right Closing Date or the Put Right Closing Date, 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;(i) For this purpose, accrued but unpaid amounts due to the Company under the Tax Sharing Agreement shall be determined by treating the Company's right to receive any payments with respect to pre-Affiliation Date Tax Attributes (as such term is defined in the Tax Sharing Agreement) under Section 1.3(m) of the Tax Sharing Agreement as accrued on the day immediately following the Affiliation Date (as such term is defined in the Tax Sharing 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Solely for purposes of determining the Put Purchase Price, the value of the amount accrued but unpaid under Section 1.3(m) of the Tax Sharing Agreement shall be calculated in accordance with <u>Schedule 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Company hereby agrees that if the Company is entitled to any payment under Section 1.3(n) of the Tax Sharing Agreement, the Company shall pay an additional amount to the GEG Common Stockholder in an amount equal to 19% of the increase in the aggregate amount being reimbursed to the Company under Section 1.3(n) of the Tax Sharing Agreement, which payment shall be due to the GEG Common Stockholder no later than ten (10) business days following the date that such additional reimbursement payment is due to the Company under Section 1.3(n) of the Tax Sharing Agreement. For all U.S. federal income tax purposes, any amount paid under this Section 5.03(c)(iii) shall be treated as an adjustment to the Call Purchase Price or Put Purchase Price, as applicable, unless otherwise required by applicable law. The Company shall promptly respond to any requests from the GEG Common Stockholder inquiring as to whether the Company has received, or has the right to receive, any payments under Section 1.3(n) of the Tax Sharing Agreement, provided, that GEG Common Stockholder shall not be entitled to make such requests more than four times each taxable year. Notwithstanding anything to the contrary set forth herein, the provisions of this <u>Section 5.03(c)(iii)</u> shall survive the termination, voluntary or involuntary, of the status of GEG Common Stockholder as a Stockholder and the termination of this Agreement or dissolution 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;(d) Notwithstanding anything to the contrary herein, in no event shall any financing provided to the Company by the JPM Preferred Stockholder pursuant to <u>Section 5.01(d)</u> (or any other Person), or any costs associated therewith, reduce the Fair Market Value.

**Section 5.04 Transfer Taxes**. Each of the GEG Common Stockholder, on the one hand, and the Company, on the other hand, shall be responsible for 50% of any transfer, documentary, sales, use, stamp, registration, duty, gross receipts, filing, recordation, excise, value added and other such taxes and fees (including any penalties and interest thereon) incurred in connection with any exercise of the Call Right or the Put Right hereunder ("<u>Transfer Taxes</u>"). The party required by applicable law to file any necessary tax returns with respect to any Transfer Taxes shall file such tax returns and pay all Transfer Taxes shown as due and owing on such tax returns; provided, that the non-paying party shall promptly reimburse the party paying for such non-paying party's share of the Transfer Taxes that are paid by the paying party. The GEG Common Stockholder and the Company shall (a) exercise commercially reasonable efforts to reduce or eliminate any Transfer Taxes and (b) reasonably cooperate with respect to the filing of any tax returns

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relating to Transfer Taxes. Notwithstanding anything to the contrary set forth herein, the provisions of this Section 5.04 shall survive the termination, voluntary or involuntary, of the status of GEG Common Stockholder as a Stockholder and the termination of this Agreement or dissolution of the Company.

**Article VI <br>OTHER AGREEMENTS**

**Section 6.01 Corporate Opportunities**. Except as otherwise provided in the second sentence of this <u>Section 6.01</u>, (a) no Stockholder or any of its Permitted Transferees or any of their respective Representatives shall have any duty to communicate or present an investment or business opportunity or prospective economic advantage to the Company in which the Company may, but for the provisions of this <u>Section 6.01</u>, have an interest or expectancy (a "<u>Corporate Opportunity</u>"), and (b) no Stockholder or any of its Permitted Transferees or any of their respective Representatives (even if such Person is also an officer or Director of the Company) shall be deemed to have breached any fiduciary or other duty or obligation to the Company by reason of the fact that any such Person pursues or acquires a Corporate Opportunity for itself or its Permitted Transferees or directs, sells, assigns or transfers such Corporate Opportunity to another Person or does not communicate information regarding such Corporate Opportunity to the Company. The Company renounces any interest in a Corporate Opportunity and any expectancy that a Corporate Opportunity will be offered to the Company.

**Section 6.02 Confidentiality.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 Stockholder shall and shall cause its Representatives to, keep confidential and not divulge any information (including all budgets, business plans and analyses) concerning the Company, including its assets, business, operations, financial condition or prospects ("<u>Information</u>"), and to use, and cause its Representatives to use, such Information only in connection with the operation of the Company; provided, that nothing herein shall prevent any Stockholder from disclosing such Information (i) upon the order of any court or administrative agency, (ii) upon the request or demand of any regulatory agency or authority having jurisdiction over such Stockholder, (iii) to the extent compelled by legal process or required pursuant to subpoena, interrogatories or other discovery requests, (iv) to the extent necessary in connection with the exercise of any remedy hereunder, (v) to other Stockholders, (vi) to such Stockholder's Representatives that need to know such Information or (vii) to any potential Permitted Transferee in connection with a proposed Transfer of Capital Stock from such Stockholder as long as such Permitted Transferee agrees in writing in favor of the Company to be bound by the provisions of this <u>Section 6.02</u> as if a Stockholder, provided, further, that in the case of clause (i), (ii) or (iii), such Stockholder shall notify the Company of the proposed disclosure as far in advance of such disclosure as practicable and use reasonable efforts to cooperate with the Company to ensure that any Information so disclosed is accorded confidential treatment, when and if available.

&nbsp;&nbsp;&nbsp;&nbsp;&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 restrictions of <u>Section 6.02(a)</u> shall not apply to information that (i) is or becomes generally available to the public other than as a result of a disclosure by a Stockholder or any of its Representatives in violation of this Agreement; (ii) is or becomes available to a Stockholder or any of its Representatives on a non-confidential basis prior to its disclosure to the receiving Stockholder and any of its Representatives, (iii) is or has been independently developed or conceived by such Stockholder or any of its Representatives without use of the Information or (iv) becomes available to the receiving Stockholder or any of its Representatives on a non-confidential basis from a source other than the Company, any other Stockholder or any of their respective Representatives, provided, that such source is not known by the recipient of the information, after reasonable inquiry, to be bound by a contractual, legal or fiduciary obligation of confidentiality to the Company.

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**Section 6.03 Insurance; Indemnification.** The Company hereby covenants and agrees that it shall obtain Directors and Officers liability insurance in an amount and on terms and conditions satisfactory to the Board, and shall use commercially reasonable efforts to cause such insurance policies to be maintained until such time as the Board determines that such insurance should be discontinued. The Company shall enter into an indemnification agreement with each member of the Board, in form substantially similar to the form entered into by the JPM Common Stockholder or its parent with its directors.

**Section 6.04 Investment Company Act.** Until such time as the JPM Common Stockholder and the JPM Preferred Stockholder are not Stockholders or collectively, with their Affiliates, own 100% of the outstanding Capital Stock of the Company, the Company covenants and agrees that the operations of the Company Group (including through its investment of Equity Securities of other Persons) shall not cause the Company Group to be required to be registered as an "investment company" within the meaning of the Investment Company Act or rely on the exemptions from registration set forth in Section 3(c)(1) or Section 3(c)(7) of the Investment Company Act and, as applicable, the Company shall invoke Rule 3a-2 under the Investment Company Act in support thereof.

**Section 6.05 Tax Sharing Agreement Indemnification.** 

&nbsp;&nbsp;&nbsp;&nbsp;&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 all times following the Put Right Closing Date or the Call Right Closing Date, as the case may be, the GEG Common Stockholder hereby agrees that in the event that (i) the Company's entitlement under Sections 1.3(m) or 1.3(n) of the Tax Sharing Agreement is reduced to less than the product of (A) the net operating losses available for deduction in the amount set forth in <u>Section 8.01(g)</u> and (B) the U.S. federal income tax rate under Section 11 of the Code (which, for the avoidance of doubt, is currently 21%) or (ii) the Company is required to repay any amount to J.P. Morgan Chase & Co., or any successor thereto, under Sections 1.3(m) or 1.3(n) of the Tax Sharing Agreement, in each case, only to the extent that such reduction in entitlement or such repaid amount arises from, or is attributable to, any: (1) omission, mistake of fact or law (including but not limited to any computational error) or any misrepresentation, in each case, on any U.S. federal income tax return (including any attachment, schedule or statement included with any such tax return), with respect to the amount of NOL Carryovers for any taxable period ending on or prior to the Affiliation Date (as defined in the Tax Sharing Agreement); (2) reduction to the NOL Carryovers pursuant to Treasury Regulations Section 1.1502-28 or 1.1502-36 in respect of any taxable period ending on or prior to the Affiliation Date or any taxable period of the U.S. federal consolidated tax group of which the GEG Common Stockholder is the common parent (the "<u>GEG Group</u>") that includes the Affiliation Date; or (3) limitation on the utilization of the NOL Carryovers under Treasury Regulations Section 1.1502-28(a)(4) by reason of such NOL Carryovers being limited under the separate return limitation year ("<u>SRLY</u>") rules set forth in Treasury Regulations Section 1.1502-21 in any taxable period ending on or prior to the Affiliation Date (as defined in the Tax Sharing Agreement), then, in each case, the GEG Common Stockholder shall pay to Company an amount equal to 19% of such reduction in entitlement or such repaid amount. For the avoidance of doubt, the GEG Common Stockholder shall not be responsible under this <u>Section 6.05(a)</u> for any reduction in entitlement or repaid amount to the extent that such reduction in entitlement or repaid amount: (I) arises as a result of an action or transaction taken by the Company, Buyer, J.P. Morgan Chase & Co. or any of their respective Affiliates on the Affiliation Date (as defined in the Tax Sharing Agreement) (including (x) the acquisition of the shares of Common Stock by the JPM Common Stockholder on or after the Affiliation Date (as defined in the Tax Sharing Agreement) or (y) the exercise of the Put Right or Call Right pursuant to <u>Article V</u>)), in each case, other than a reduction to the NOL Carryovers that is required under Treasury Regulations Section 1.1502-36 in respect of any taxable period ending on or prior to the Affiliation Date (as defined in the Tax Sharing Agreement) or any taxable period of the U.S. federal

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consolidated tax group of which the GEG Common Stockholder is the common parent that includes the Affiliation Date (as defined in the Tax Sharing Agreement) or (II) arises from a breach by the Company of any covenant or agreement contained in <u>Section 6.05(e)</u> or <u>Section 6.05(f)</u>. The GEG Common Stockholder shall not be responsible under this <u>Section 6.05(a)</u> for any amounts in excess of the amount that is equal to the sum of (i) the portion of the Call Purchase Price or the Put Purchase Price paid to the GEG Common Stockholder that was attributable to the amount due to the Company under the Tax Sharing Agreement and (ii) the aggregate amount of payments that were received by the GEG Common Stockholder under <u>Section 5.03(c)(iii)</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) To the extent that (i) the GEG Common Stockholder has made any payment under <u>Section 6.05(a)</u> by reason of any NOL Carryovers being subject to a limitation under the SRLY rules and (ii) the Company is entitled to an additional payment from J.P. Morgan Chase & Co. under Section 1.3(m) of the Tax Sharing Agreement by reason of any NOL Carryovers that were subject to a limitation under the SRLY rules being used on a tax return of the J.P. Morgan Chase & Co. consolidated group, then Company shall pay 19% of such additional payment to the GEG Common Stockholder no later than ten (10) business days following the date that such additional payment is due to the Company under Section 1.3(m) of the Tax Sharing Agreement. The Company shall promptly respond to any requests from the GEG Common Stockholder inquiring as to whether the Company has received, or has the right to receive, any payments under Section 1.3(m) of the Tax Sharing Agreement, provided, that GEG Common Stockholder shall not be entitled to make such requests more than four times each taxable 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;(c) Any indemnification payment due under <u>Section 6.05(a)</u>, shall be payable to the Company no later than ten (10) business days following the date that such additional reimbursement payment is due by the Company under Section 1.3(m) or Section 1.3(n) of the Tax Sharing Agreement, as applicable. For all U.S. federal income tax purposes, any amount paid under <u>Section 6.05(a)</u> shall be treated as an adjustment to the Call Purchase Price or Put Purchase Price, as applicable, unless 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Company agrees to give written notice to the GEG Common Stockholder of the receipt of any written notice by the Company or any of its Affiliates which involves the assertion of any claim, or the commencement of any action or proceeding, in respect of which an indemnity may be sought by the Company pursuant to <u>Section 6.05(a)</u> (a "<u>Tax Claim</u>"); <u>provided</u>, that the failure to comply with this provision shall not affect the Company's right to indemnification hereunder, except to the extent that the GEG Common Stockholder is materially prejudiced as a result of such failure. The Company (or any of its Affiliates) shall control the contest or resolution of any Tax Claim; <u>provided</u>, <u>however</u>, that the Company shall, and shall cause its Affiliates to, (i) keep the GEG Common Stockholder reasonably informed of all material developments with respect to such Tax Claim on a timely basis, (ii) allow the GEG Common Stockholder to participate in the defense of such Tax Claim and to employ counsel of its choice for such purpose, the fees and expenses of which separate counsel shall be borne solely by the GEG Common Stockholder, (iii) consult with the GEG Common Stockholder and offer the GEG Common Stockholder a reasonable opportunity to comment before submitting any written materials prepared or furnished in connection with such Tax Claim to the extent such materials relate solely to such Tax Claim and (iv) not settle or compromise any such Tax Claim without first obtaining the prior written consent of the GEG Common Stockholder (not to be unreasonably withheld, conditioned or delayed). Notwithstanding anything contained in this <u>Section 6.05(d)</u> to the contrary, nothing in this <u>Section 6.05(d)</u> (including for the avoidance of doubt clause (iv) of the preceding sentence) shall require the Company or any of its affiliates to (A) contest a Tax Claim beyond the exhaustion of its administrative remedies before the U.S. Internal Revenue Service, (B) litigate before any court, including, without limitation, the United States Tax Court, any Tax Claim or (C) pursue a Tax

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Claim if the Company or any of its Affiliates obtains a tax opinion from a nationally recognized law firm or accounting firm concluding that the position of the U.S. Internal Revenue Service is at least "more-likely-than-not" to be sustained by a 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;(e) Except as required by applicable law, the Company shall not, and shall not permit any of its Affiliates to: (i) amend, refile or otherwise modify any tax return (other than as a result of the settlement or compromise of a Tax Claim); or (ii) enter into any voluntary disclosure Tax program (or similar voluntary agreement or arrangement) with any governmental authority that relates to the Taxes, in each case, only if and solely to the extent that such action creates or increases an indemnification obligation of the GEG Common Stockholder under <u>Section 6.05(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;(f) For so long as the GEG Common Stockholder has any indemnification obligations under this <u>Section 6.05</u>, the approval of the GEG Common Stockholder shall be required prior to the Company: (i) entering into any settlement or agreement with J.P. Morgan Chase & Co. with respect to any provision of the Tax Sharing Agreement, (ii) entering into any arrangement or agreement with J.P. Morgan Chase & Co. that would create or increase an indemnification obligation of the GEG Common Stockholder under this <u>Section 6.05</u> or (iii) amending, terminating, or waiving any provision of, the Tax Sharing Agreement, in each case, to the extent that such action would adversely impact the GEG Common 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;(g) Notwithstanding anything to the contrary set forth herein, the provisions of this <u>Section 6.05</u> shall remain in full force and effect (including following the termination, voluntary or involuntary, of the status of GEG Common Stockholder as a Stockholder and the termination of this Agreement or dissolution of the Company) until the date that is ninety (90) days following the expiration of the applicable statute of limitations period (giving effect to any waiver, mitigation or extension thereof).

**Article VII <br>INFORMATION RIGHTS**

**Section 7.01 Inspection Rights of the JPM Preferred Stockholder and the GEG Common 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;(a) The Company shall, and shall direct its officers, Directors and employees to, (i) afford each of the GEG Common Stockholder and the JPM Preferred Stockholder and each of their respective Representatives, during normal business hours and upon reasonable notice, reasonable access for any reasonable amount of time to its officers, employees, auditors, properties, offices, plants and other facilities and to all books and records, and (ii) afford each of the GEG Common Stockholder and the JPM Preferred Stockholder the reasonable opportunity to consult with its officers from time to time regarding the Company's affairs, finances and accounts as the GEG Common Stockholder or the JPM Preferred Stockholder may reasonably request upon reasonable notice.

&nbsp;&nbsp;&nbsp;&nbsp;&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 right set forth in <u>Section 7.01(a)</u> above shall not and is not intended to limit any rights which each of the GEG Common Stockholder and the JPM Preferred Stockholder may have with respect to the books and records of the Company, or to inspect its properties or discuss its affairs, finances and accounts under Applicable Law; provided, however, that any inspection rights provided to the GEG Common Stockholder or the JPM Preferred Stockholder pursuant to this Agreement or under Applicable Law shall not interfere with the business and operations of the Company Group.

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**Article VIII <br>REPRESENTATIONS AND WARRANTIES**

**Section 8.01 Representations and Warranties.** Each Stockholder, severally and not jointly, represents and warrants to the Company and each other Stockholder 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;(a) If such Stockholder is an entity, such Stockholder is duly organized, validly existing and in good standing under the laws of the state of its formation.

&nbsp;&nbsp;&nbsp;&nbsp;&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) Such Stockholder has all requisite power and authority to execute and deliver this Agreement, to perform its obligations hereunder and to consummate the transactions contemplated hereby. The execution and delivery of this Agreement, the performance of its obligations hereunder and the consummation of the transactions contemplated hereby have been duly authorized by all requisite action of such Stockholder. Such Stockholder has duly executed and delivered 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) Such Stockholder has good and valid title to the number of shares of Common Stock and Preferred Stock set forth opposite such Stockholder's name on <u>Schedule A</u> attached hereto. Except as set forth on <u>Schedule A</u>, such Stockholder owns no other shares of Capital Stock 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;(d) This Agreement constitutes the legal, valid and binding obligation of such Stockholder, enforceable against such Stockholder in accordance with its terms except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors' rights generally and by general equitable principles (whether enforcement is sought by proceedings in equity or at law). The execution, delivery and performance of this Agreement and the consummation of the transactions contemplated hereby, require no action by or in respect of, or filing with, any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&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 execution, delivery and performance by such Stockholder of this Agreement and the consummation of the transactions contemplated hereby do not (i) conflict with or result in any violation or breach of any provision of any of the organizational documents of such Stockholder, (ii) conflict with or result in any violation or breach of any provision of any Applicable Law or (iii) require any consent or other action by any Person under any provision of any material agreement or other instrument to which the Stockholder 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;(f) Except for this Agreement and the Organizational Documents, such Stockholder has not entered into or agreed to be bound by any other agreements or arrangements of any kind with any other party with respect to the Common Stock, including agreements or arrangements with respect to the acquisition or disposition of the Common Stock or any interest therein or the voting of the Common Stock (whether or not such agreements and arrangements are with the Company or any other 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;(g) The GEG Common Stockholder hereby represents and warrants to the Company and each other Stockholder that the Company's U.S. federal net operating loss carryovers that may be carried forward to the Company's first taxable year in the consolidated group of which J.P. Morgan Chase & Co. is the common parent under Treasury Regulations Section 1.1502-21(b)(2)(ii)(A) ("<u>NOL Carryovers</u>") shall not be less than $617,790,385 as of the date immediately following the Effective Date (based on an interim closing of the books as of the close of business on the Effective Date), without regard to any limitations with respect to the Company's ability to utilize such NOL

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carryovers following the Effective Date under the applicable limitations set forth in the Code or Treasury Regulations.

**Article IX <br>TERM AND TERMINATION**

**Section 9.01 Termination.** This Agreement shall terminate upon the earliest 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 consummation of an Initial Public Offering;

&nbsp;&nbsp;&nbsp;&nbsp;&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 consummation of a merger or other business combination involving the Company whereby the Common Stock becomes a security that is listed or admitted to trading on the NASDAQ Stock Market, the New York Stock Exchange or another national securities exchange;

&nbsp;&nbsp;&nbsp;&nbsp;&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 none of the Stockholders holds any Capital 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;(d) the dissolution, liquidation, or winding up of the Company; 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) upon the unanimous agreement of the Stockholders.

**Section 9.02 Effect of 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;(a) The termination of this Agreement shall terminate all further rights and obligations of the Stockholders under this Agreement except that such termination shall not effect:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 existence 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the obligation of any party to pay any amounts arising on or prior to the date of termination, or as a result of or in connection with such 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the rights which any Stockholder may have by operation of law as a stockholder of the Company; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the rights contained herein which, by their terms are intended to survive termination of 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) The following provisions shall survive the termination of this Agreement: this <u>Section 9.02</u>, <u>Section 5.03(c)(iii)</u>, <u>Section 5.04</u>, <u>Section 6.02</u>, <u>Section 6.05</u> and <u>Article X</u> .

**Article X <br>MISCELLANEOUS**

**Section 10.01 Expenses.** Except as otherwise expressly provided herein, all costs and expenses, including fees and disbursements of counsel, financial advisors and accountants, incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the party incurring such costs and expenses.

**Section 10.02 Additional Stockholders.** Notwithstanding anything to the contrary contained herein, if the Company issues additional shares of Capital Stock after the Effective Date or if any holder of shares of Capital Stock is not already a party to this Agreement, the Company shall require that any acquirer or any such holder of shares of Capital Stock that is not already a party to this Agreement to become a party to this Agreement, as a condition to such holder acquiring such Capital Stock, by executing and delivering

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(a) the Joinder Agreement or (b) a counterpart signature page hereto agreeing to be bound by and subject to the terms of this Agreement as a Stockholder. In either event, each such person shall thereafter be deemed a Stockholder for all purposes under this Agreement.

**Section 10.03 Release of Liability.** In the event any Stockholder shall Transfer all of the Capital Stock held by such Stockholder in compliance with the provisions of this Agreement without retaining any interest therein, then such Stockholder shall cease to be a party to this Agreement and shall be relieved and have no further liability arising hereunder for events occurring from and after the date of such Transfer.

**Section 10.04 Notices.** All notices, requests, consents, claims, demands, waivers and other communications hereunder shall be in writing and shall be deemed to have been given (a) when delivered by hand (with written confirmation of receipt), (b) one day after deposit with a nationally recognized overnight courier, specifying next day delivery, with written verification of receipt, (c) on the date sent by email if sent during normal business hours of the recipient, and on the next Business Day if sent after normal business hours of the recipient or (d) on the third day after the date mailed, by certified or registered mail, return receipt requested, postage prepaid. Such communications must be sent to the respective parties at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this <u>Section 10.04</u>):

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| | |
|:---|:---|
| &nbsp;&nbsp;If to Company: | &nbsp;&nbsp;Forest Investments, Inc.<br>c/o J.P. Morgan Broker-Dealer Holdings Inc.<br>277 Park Ave., 49th Floor<br>New York, New York 10017<br>Attention: Gillian L. Warmflash<br>Email: gillian.l.warmflash@jpmchase.com<br>|
| &nbsp;&nbsp;with a copy to (which shall not constitute notice): | &nbsp;&nbsp;Thompson Coburn LLP<br>One U.S. Bank Plaza<br>St. Louis, MO 63101<br>Attention: Michele C. Kloeppel<br>Email: mkloeppel@thompsoncoburn.com <br>|
| &nbsp;&nbsp;If to a Stockholder:<br>| &nbsp;&nbsp;To the address set forth next to such Stockholder's name on <u>Schedule A</u>.<br>|

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**Section 10.05 Interpretation.** For purposes of this Agreement, (a) the words "include," "includes" and "including" shall be deemed to be followed by the words "without limitation"; (b) the word "or" is not exclusive; and (c) the words "herein," "hereof," "hereby," "hereto" and "hereunder" refer to this Agreement as a whole. The definitions given for any defined terms in this Agreement shall apply equally to both the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. Unless the context otherwise requires, references herein: (x) to Articles, Sections, and Exhibits mean the Articles and Sections of, and Exhibits attached to, this Agreement; (y) to an agreement, instrument or other document means such agreement, instrument or other document as amended, supplemented and modified from time to time to the extent permitted by the provisions thereof and (z) to a statute means such statute as amended from time to time and includes any successor legislation thereto and any regulations promulgated thereunder. This Agreement shall be construed without regard to any presumption or rule requiring construction or interpretation against the party drafting an instrument or causing any instrument to be drafted. The Exhibits referred to herein shall be construed with, and as an integral part of, this Agreement to the same extent as if they were set forth verbatim herein.

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**Section 10.06 Headings and Captions.** The headings and captions contained in this Agreement are inserted only as a matter of convenience and in no way define, limit or extend the scope or intent of this Agreement or any provisions hereof.

**Section 10.07 Severability.** If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable such term or provision in any other jurisdiction. Upon such determination that any term or other provision is invalid, illegal or unenforceable, the parties hereto shall negotiate in good faith to modify 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 greatest extent possible.

**Section 10.08 Entire Agreement.** This Agreement amends and restates the Original Agreement in its entirety. This Agreement and the Organizational Documents constitute the sole and entire agreement of the parties with respect to the subject matter contained herein and therein, and supersede all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject matter. In the event of any inconsistency or conflict between this Agreement and any Organizational Document, the Stockholders and the Company shall, to the extent permitted by Applicable Law, amend such Organizational Document to comply with the terms of this Agreement.

**Section 10.09 Parties Bound; No Third Party Beneficiaries.** This Agreement shall inure to the benefit of and shall be binding upon all of the parties and their respective successors, assigns, heirs and beneficiaries. No provision of this Agreement is intended to or shall be construed to grant or confer any right to enforce this Agreement or any remedy for breach of this Agreement to or upon any Person other than the parties hereto.

**Section 10.10 Amendment and Modification; Waiver.** This Agreement may only be amended, modified or supplemented by an agreement in writing signed by each party hereto. No waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the party so waiving. No waiver by any party shall operate or be construed as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof; 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.

**Section 10.11 Governing Law; Submission to Jurisdiction; Waivers.** This Agreement and the rights of the parties hereunder shall be interpreted in accordance with the laws of the State of Delaware, without giving effect to any conflicts of law principles. Each of the parties agrees that if any dispute is not resolved by the parties, it shall be resolved only in the Courts of the State of Delaware sitting in New Castle County or the United States District Court for the District of Delaware and the appellate courts having jurisdiction of appeals in such courts (collectively, the "<u>Proper Courts</u>"). In that context, and without limiting the generality of the foregoing, each of the parties irrevocably and unconditionally: (a) submits for itself and its property in any action relating to any document delivered pursuant to this Agreement or for recognition and enforcement of any judgment in respect thereof, to the exclusive jurisdiction of the Proper Courts and agrees that all claims in respect of any such action shall be heard and determined in such court in the State of Delaware, to the extent permitted by law, in such federal court; (b) consents that any such action may and shall be brought in such courts and waives any objection that it may now or thereafter have to the venue or jurisdiction of any such action in any such court or that such action was brought in an inconvenient court and agrees not to plead or claim the same; (c) agrees that service of process in any such

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action may be effected by mailing a copy of such process by registered or certified mail (or any substantially similar form of mail), postage prepaid, to such party at its address that is on record at the principal office of the Company; and (d) agrees that nothing in this Agreement or any document delivered pursuant to this Agreement shall affect the right to effect service of process in any other manner permitted by the laws of the State of Delaware.

**Section 10.12 Waiver of Jury Trial and Consequential Damages.** EACH PARTY HERETO HEREBY: (A) IRREVOCABLY WAIVES, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY AT ANY TIME ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY OR ASSOCIATED HEREWITH; (B) IRREVOCABLY WAIVES, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW, ANY RIGHT IT MAY HAVE TO CLAIM OR RECOVER IN ANY SUCH LITIGATION BY SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES (INCLUDING ANY LOST PROFITS), OR DAMAGES OTHER THAN, OR IN ADDITION TO, ACTUAL DAMAGES; (C) CERTIFIES THAT NO PARTY NOR ANY REPRESENTATIVE OR AGENT OR COUNSEL FOR ANY PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, OR IMPLIED THAT SUCH PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVERS; AND (D) ACKNOWLEDGES THAT IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE TRANSACTIONS CONTEMPLATED HEREBY, AMONG OTHER THINGS, BY THE MUTUAL WAIVERS AND CERTIFICATIONS CONTAINED IN THIS <u>Section 10.12</u>.

**Section 10.13 Equitable Remedies.** Each party hereto acknowledges that the other parties hereto may be irreparably damaged in the event of a breach or threatened breach by such party of any of its obligations under this Agreement and hereby agrees that in the event of a breach or a threatened breach by such party of any such obligations, each of the other parties hereto shall, in addition to any and all other rights and remedies that may be available to them in respect of such breach, be entitled to seek an injunction from a court of competent jurisdiction (without any requirement to post bond) granting such parties specific performance by such party of its obligations under this Agreement.

**Section 10.14** **Counterparts; Electric Transmission.** This Agreement may be executed in two or more counterparts with the same effect as if all of the parties had signed the same document. All counterparts shall be construed together and shall constitute one and the same instrument. The exchange of copies of this Agreement and of signature pages by PDF or other electronic means shall constitute effective execution and delivery of this Agreement as to the parties and may be used in lieu of the original Agreement for all purposes. Signatures of the parties transmitted by PDF or other electronic means shall be deemed to be their original signatures for all purposes.

[signature page follows]

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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

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| |
|:---|
| &nbsp;&nbsp;**<u>COMPANY</u>:** |
| &nbsp;&nbsp;**FOREST INVESTMENTS, INC.**<br>By_<u>/s/ Joseph Saad</u>______________________<br>Name: Joseph Saad<br>Title: Authorized Signatory |

---

[Signature Page to Amended and Restated Stockholders Agreement]

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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

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| |
|:---|
| &nbsp;&nbsp;**<u>STOCKHOLDERS:</u>** |
| &nbsp;&nbsp; <br>**GREAT ELM GROUP, INC.**<br>By <u>/s/ Adam Kleinman</u>_____________________<br>Name: Adam Kleinman<br>Title: President<br>|

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[Signature Page to Amended and Restated Stockholders Agreement]

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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

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| |
|:---|
| &nbsp;&nbsp;**<u>STOCKHOLDERS</u>:** |
| &nbsp;&nbsp;**J.P. MORGAN BROKER-DEALER HOLDINGS INC.**<br>By_<u>/s/ Brian M. Ercolani</u>____________________<br>Name: Brian M. Ercolani<br>Title: Attorney-in-Fact |

---

[Signature Page to Amended and Restated Stockholders Agreement]

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## Exhibit 99.1

![Slide 1](geg-ex99_1s1.jpg)

Great Elm Group, Inc. January 3, 2023 NASDAQ: GEG Exhibit 99.1

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![Slide 2](geg-ex99_1s2.jpg)

GEG Announced Two Transformative Deals TodayClosing Out an Eventful 2022 in a Position of Strength Approximately $45 million of cash from: $18 million from sale of 61% of the common equity of Forest $27 million expected from the right to put the remaining 19% ownership interest in Forest $26 million of cash and 346k shares of Quipt stock net to GEG after repayment of obligations Eliminates the "Operating Companies" segment Allows GEG to focus on scaling its Investment Management Business Sale of GEG's DME Business for $80 million Sale of GEG's Majority Ownership Interest in Forest

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![Slide 3](geg-ex99_1s3.jpg)

Combined the Transactions Add $70 million+ of cash to GEG's balance sheet Provide significant capital to accelerate growth of the Investment Management Business Simplify the organization and reporting structure Simplify the organization and reporting structure

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![Slide 4](geg-ex99_1s4.jpg)

$000s Cash 93,132 Investments(2) 33,188 Cash + Investments $126,320 Long term debt 26,945 Short term notes payable 5,661 Convertible notes 36,085 Total Debt $68,691 Net Cash and Investments $57,629 Note: As a result of the transactions, GEG is expected to retain approximately $154 million of the NOLs it held as of 6/30/2022, of which approximately $131 million are able to be used for taxable income in Fiscal 2023 (other than gains resulting from the Forest transaction) but expire on 6/30/2023. Great Elm Group 9/30/2022 capital structure pro forma for the DME and Forest transactions. Debt balances reflect principal outstanding as of 9/30/2022. Includes GECC shares, the investment in Monomoy, and approximately 346k shares of Quipt common stock associated with the sale of the DME business. Pro Forma Capital Structure(1)

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![Slide 5](geg-ex99_1s5.jpg)

Simplified Organization November 2022 Summary Structure Pro Forma Summary Structure Complex Structure With Two Segments Streamlined Organization Focused on Building a Diversified Asset Management Business GEG GECM GECC Publicly traded BDC with $221 million of Fee Paying AUM as of 9/30/2022 Private REIT with approximately $374 million of real estate assets and $207 million of Fee Paying AUM as of 9/30/2022 SEC-registered investment advisor GEG Forest JPM Investor GECM Great Elm DME Holdings, Inc. GECC Health Care LLC DME Business Great Elm DME Manager Outside Investors Monomoy Monomoy

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![Slide 6](geg-ex99_1s6.jpg)

Strategic Initiatives Recap GECC Leadership and Board Enhancements Monomoy Management Agreement Acquired • $27 million Unsecured Bond Issued GECC Management Agreement Amended • GECC Rights Offering Closed Forest Transaction • Sale of DME Business Continued Focus on Strategic Initiatives to Grow the Investment Management Business 1Q22 2Q22 3Q22 4Q22 2023+

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![Slide 7](geg-ex99_1s7.jpg)

Disclaimer Statements in this press release that are "forward-looking" statements, including statements regarding expected growth, profitability, acquisition opportunities and outlook involve risks and uncertainties that may individually or collectively impact the matters described herein. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made and represent Great Elm's assumptions and expectations in light of currently available information. These statements involve risks, variables and uncertainties, and Great Elm's actual performance results may differ from those projected, and any such differences may be material. For information on certain factors that could cause actual events or results to differ materially from Great Elm's expectations, please see Great Elm's filings with the SEC, including its most recent annual report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Additional information relating to Great Elm's financial position and results of operations is also contained in Great Elm's annual and quarterly reports filed with the SEC and available for download at its website www.greatelmgroup.com or at the SEC website www.sec.gov. Non-GAAP Financial Measures The SEC has adopted rules to regulate the use in filings with the SEC, and in public disclosures, of financial measures that are not in accordance with US GAAP, such as adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA") and free cash flow. See the Appendix for important information regarding the use of non-GAAP financial measures and reconciliations of non-GAAP measures to their most directly comparable GAAP measures. This presentation does not constitute an offer of any securities for sale.

## Exhibit 99.2

**Exhibit 99.2**

![img218232317_0.jpg](img218232317_0.jpg)

**Great Elm Group Sells a Majority Interest in Forest Investments, Inc. to an Affiliate of JPMorgan Chase & Co.** 

The sale of a majority of its ownership interest in Forest Investments, Inc. is expected to ultimately raise approximately $45 million of cash on Great Elm Group's Balance Sheet, enhancing its ability to focus exclusively on Investment Management.

WALTHAM, Mass., Jan. 03, 2023 (GLOBE NEWSWIRE) -- Great Elm Group, Inc. ("we," "us," "our," "GEG" or "Great Elm,") (NASDAQ: GEG), an investment management company, today announced its sale of a majority of its ownership interest in Forest Investments, Inc. ("Forest") to J.P. Morgan Broker-Dealer Holdings Inc. ("JPM").

**Transaction Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•GEG has sold 61% of its direct and indirect common equity of Forest to JPM for approximately $18 million in cash.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Together with its purchase of 20% of the common equity of Forest in December 2020, JPM owns 81% of Forest as of December 30, 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•GEG has the right to put its remaining 19% ownership interest in Forest for cash proceeds of approximately $27 million.

**Management Commentary**

Jason Reese, Executive Chairman of GEG, said, "The Forest transaction represents a successful outcome for Great Elm's shareholders. This marks the latest in a series of strategic actions taken to enhance our focus and capabilities across our core investment management strategy. We are pleased to have worked with JPM as a financial partner in Forest. This transaction underscores the ability for Great Elm to raise capital as it looks to grow its investment management business."

**Transaction Terms**

GEG has sold 61% of its direct and indirect interests in Forest to JPM for approximately $18 million. The transaction has been structured such that GEG has the right to put 19% of its remaining interest in Forest for approximately $27 million based on the increase in the book value of GEG's remaining 19% interest in Forest.

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**About Great Elm Group, Inc.** <br>Great Elm Group, Inc. (NASDAQ: GEG) is a publicly-traded, investment management company focused on growing a scalable and diversified portfolio of long-duration, permanent capital vehicles across corporate credit, specialty finance, real estate and other asset classes. GEG and its subsidiaries currently manage Great Elm Capital Corp., a publicly-traded business development company, and Monomoy Properties REIT, LLC, an industrial-focused real estate investment trust, in addition to other investments. GEG's website can be found at www.greatelmgroup.com.

**Media & Investor Contact:** <br><u>geginvestorrelations@greatelmcap.com</u>

![img218232317_0.jpg](img218232317_0.jpg)

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## Exhibit 99.3

![img219155838_0.jpg](img219155838_0.jpg)

**Exhibit 99.3**

**Great Elm Group Sells Durable Medical Equipment Business For $80 million**

The Sale of its DME Business Allows Great Elm to Focus Primarily on Investment Management with Additional Cash on its Balance Sheet Available to Fund Strategic Growth Initiatives

WALTHAM, Mass., January 3, 2023 – Great Elm Group, Inc. ("we," "us," "our," the "Company," "GEG," or "Great Elm"), (NASDAQ: GEG) today announced the closing of the sale of its majority interest in the Company's Durable Medical Equipment (DME) business, Great Elm Healthcare, LLC, to QHM Holdings, Inc., a wholly-owned subsidiary of Quipt Home Medical Corp. ("Quipt"), (NASDAQ: QIPT; TSXV: QIPT), a U.S. based leader in the home medical equipment industry, focused on end-to-end respiratory care.

**Transaction Terms and Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Total consideration of $80 million includes approximately $73 million of cash, $5 million of assumed indebtedness and 431,996 shares of Quipt common stock valued at $2 million using a 20-day volume-weighted average price ("VWAP") calculation on Quipt stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Quipt purchased 100% of the equity interests in the DME business parent company, Great Elm Healthcare, LLC on a cash-free and debt-free basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Great Elm received approximately $26 million in net cash proceeds and 346,028 shares of Quipt common stock in connection with the transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Simplifies GEG's reporting and organizational structure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Provides capital to grow the Investment Management business.

<br>**Commentary**<br>"The successful sale of our DME business and the recently announced Forest transaction are transformative for Great Elm. When combined, the two transactions are expected to increase holding company cash by over $70 million. This allows Great Elm to dedicate more resources to scaling its Investment Management business, utilizing the expertise and relationships of our board and management team." said Jason Reese, Executive Chairman of GEG. "We continue to evaluate various strategies which could include investments in our existing funds or the acquisition of the management rights of new, long-duration capital vehicles. Additionally, the sale simplifies our reporting and organizational structure."<br>Peter Reed, Chief Executive Officer of GEG, stated further, "We want to thank John Ehlinger, CEO of DME, the executive team and all of the employees of DME for their contributions to the success of the business since 2018. We believe the company's employees and future operations are in good hands with Quipt."

------

![img219155838_0.jpg](img219155838_0.jpg)

Gregory Crawford, Chief Executive Officer and Chairman of Quipt, said, "With this acquisition, we have taken a significant step toward our goal of becoming a leading national provider of home medical equipment with a focus on end-to-end respiratory care in the United States. Combining two respiratory care providers with demonstrated track records of enterprise growth, technology innovation, and patient service allows us to build and improve on our patient-centric ecosystem. With a coast-to-coast presence in 26 US states, the merged business will have wide geographic reach permitting us to efficiently expand upon and enhance relationships with patients, key market partners, and payors. The acquisition also provides further opportunities to increase enterprise scale in this highly fragmented marketplace. In addition to all of that, we are especially excited to welcome the DME team to Quipt. We could not be more excited for the future."<br>

Imperial Capital, LLC served as exclusive financial advisor to Great Elm Group, Inc.

**About Great Elm Group, Inc.** <br>Great Elm Group, Inc. (NASDAQ: GEG) is a publicly-traded, investment management company focused on growing a scalable and diversified portfolio of long-duration, permanent capital vehicles across corporate credit, specialty finance, real estate and other asset classes. Great Elm Group, Inc. and its subsidiaries currently manage Great Elm Capital Corp., a publicly-traded business development company, and Monomoy Properties REIT, LLC, an industrial-focused real estate investment trust, in addition to other investments. Great Elm Group, Inc.'s website can be found at www.greatelmgroup.com.

**About Quipt Home Medical Corp.**<br>Quipt provides in-home monitoring and disease management services focused on end-to-end respiratory solutions for patients in the United States healthcare market. It seeks to continue to expand its offerings to include the management of several chronic disease states focusing on patients with heart or pulmonary disease, sleep disorders, reduced mobility, and other chronic health conditions. The primary business objective of Quipt is to create shareholder value by offering a broader range of services to patients in need of in-home monitoring and chronic disease management. Quipt's organic growth strategy is to increase annual revenue per patient by offering multiple services to the same patient, consolidating the patient's services, and making life easier for the patient.

**Media & Investor Contact:** <br>Investor Relations

geginvestorrelations@greatelmcap.com

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## Exhibit 99.4

**Exhibit 99.4**

**Great Elm Group, Inc.**

**Pro Forma Financial Statements**

**(Unaudited)**

**INTRODUCTION**

Transactions with JPM

On December 30, 2022, Great Elm Group, Inc. ("GEG") and its wholly-owned subsidiary, Great Elm FM Acquisition, Inc. ("FM Acquisition"), entered into a stock purchase agreement (the "Stock Purchase Agreement") with J.P. Morgan Broker-Dealer Holdings Inc. ("JPM") to sell 61 shares of the common stock, $0.001 par value per share, of Forest Investments, Inc. ("Forest") owned by FM Acquisition and GEG, which shares constitute 61% of the issued and outstanding shares of Forest's common stock, to JPM for approximately $18.4 million in cash.

In connection with the Stock Purchase Agreement, GEG, JPM and Forest entered into an amended and restated stockholders' agreement (the "Stockholders Agreement"). Pursuant to the Stockholders Agreement, from January 17, 2023 until February 17, 2023, GEG may sell the remaining shares of Forest's common stock owned by GEG, which shares constitute 19% of the issued and outstanding shares of Forest's common stock, to Forest for fair market value (approximately $26.5 million in cash). Upon execution of the Stock Purchase Agreement, Forest is deconsolidated from GEG and GEG's remaining 19% interest in Forest is presented as an investment recorded at fair value. If GEG exercises its put option (the "Put Option") to sell its remaining shares of Forest's common stock, the total consideration received by GEG in connection with the transactions contemplated by the Stock Purchase Agreement and the Stockholders Agreement is expected to be approximately $44.9 million in cash. We have determined that the exercise of the Put Option is probable of occurring, and have therefore separately included the impacts of the Put Option exercise in the Unaudited Pro Forma Financial Information below. The transactions with JPM do not meet the criteria for presentation as discontinued operations.

Forest Note

In connection with the transactions with JPM, on December 29, 2022, GEG and FM Acquisition issued a promissory note (the "Note") in favor of Forest in an aggregate principal amount equal to approximately $38.1 million, in exchange for the transfer to FM Acquisition of $3.3 million of Series A-1 preferred interests held by Forest in Great Elm Healthcare, LLC ("HC LLC") and $34.0 million of Series A-2 preferred interest held by Forest in HC LLC plus, in each case, accrued dividends thereon to the date of transfer.

Sale of HC LLC

On January 3, 2023, GEG's wholly-owned subsidiary, Great Elm DME Holdings, Inc., along with the minority owners of HC LLC, entered into an agreement (the "Purchase Agreement") with QHM Holdings, Inc., a subsidiary of Quipt Home Medical Corp. ("Quipt"), to sell 100% of the outstanding membership interests in HC LLC to Quipt for $80.0 million, consisting of approximately $72.8 million in cash, $5.2 million of indebtedness assumed by Quipt and $2.0 million in shares of Quipt common stock based on the 20 day volume weighted average price of Quipt's common stock for the period ending on and including the second business day prior to the closing of the transaction.

HC LLC specializes in the distribution of respiratory care equipment, including primarily positive air pressure equipment and supplies, ventilators and oxygen equipment and operates in Arizona, Nebraska, Kansas, Missouri, Oregon, Washington and Alaska. Wholly-owned subsidiaries include Advanced Medical DME, LLC; Alliance Home Care & Mobile Diagnostics, LLC; Focus Respiratory, LLC; Heartland Health Therapy, LLC; Northwest Medical, LLC; PM Sleep Lab, LLC; Rejuvenight, LLC; RTA Homecare, LLC and United Respiratory Services, LLC.

The transaction contemplated by the Purchase Agreement closed contemporaneously with its signing. The sale of HC LLC satisfies the criteria for presentation as discontinued operations.<br>

------

The following unaudited pro forma condensed consolidated financial statements ("Unaudited Pro Forma Financial Information") are presented to illustrate the effects of the transaction on GEG's historical results of operations. The Unaudited Pro Forma Financial Information is based upon the historical consolidated financial statements and notes thereto of GEG, including segment disclosures relating to the GEG's durable medical equipment business (primarily consisting of HC LLC), and should be read in conjunction with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the audited consolidated financial statements and the accompanying notes of GEG included in GEG's Annual Report on Form 10-K for the fiscal year ended June 30, 2022; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the unaudited condensed consolidated financial statements and the accompanying notes of GEG included in GEG's Quarterly Report on Form 10-Q for the three months ended September 30, 2022.

The historical consolidated financial information of GEG have been adjusted in the Unaudited Pro Forma Financial Information to give effect to pro forma events that are (1) directly attributable to the transactions with JPM and sale of HC LLC, (2) factually supportable and (3) with respect to the consolidated statements of operations, expected to have a continuing impact on the results of GEG. The following unaudited pro forma condensed consolidated balance sheet as of September 30, 2022 has been prepared to give effect to the sale of HC LLC and transactions with JPM as if they had been completed on September 30, 2022. The unaudited pro forma condensed consolidated statements of operations for the three months ended September 30, 2022 and the fiscal years ended June 30, 2022 and 2021 have been prepared to reflect the sale of HC LLC as if it had been completed on July 1, 2020, the first day of GEG's earliest fiscal year presented, and the transactions with JPM as if they had been completed on July 1, 2021, the first day of the most recent fiscal year.

The Unaudited Pro Forma Financial Information was prepared in accordance with the regulations of the United States Securities and Exchange Commission and is not necessarily indicative of the financial position or results of operations that would have occurred if the disposition of HC LLC and transactions with JPM had been completed on the dates indicated, nor is it indicative of the consolidated future operating results or financial position of GEG. Assumptions and estimates underlying the pro forma adjustments are described in the accompanying notes, which should be read in connection with the Unaudited Pro Forma Financial Information.

------

**Great Elm Group, Inc.**

**Unaudited Pro Forma Condensed Consolidated Balance Sheet**

**As of September 30, 2022 (in thousands, except share amounts)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **<u>ASSETS</u>** | **GEG Historical** | **Sale of HC LLC** | **Sale of 61% Interest in Forest** | **Sale of 19% Interest in Forest** | **GEG Pro Forma** |
| Current assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $23265 | $63310<br> (b) | $(19934) (i) | $26491<br> (l) | $93132 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | 5854 | (5854) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Related party receivables | 2578 | - | (286) (h) | - | 2292 |
| &nbsp;&nbsp;&nbsp;&nbsp;Investments, at fair value (cost $62,531) | 40624 | 2000<br> (c) | (6311) (j) | (2725) (m) | 33588 |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventories | 1017 | (1017) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid and other current assets | 1391 | (395) (a) | - | - | 996 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 74729 | 58044 | (26531) | 23766 | 130008 |
| &nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | 503 | (474) (a) | - | - | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;Equipment held for rental, net | 7923 | (7923) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Identifiable intangible assets, net | 18592 | (5633) (a) | - | - | 12959 |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill | 52463 | (52463) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Right of use assets | 3815 | (3062) (a) | - | - | 753 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other assets | 253 | (165) (a) | - | - | 88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $158278 | $(11676) | $(26531) | $23766 | $143837 |
| **<u>LIABILITIES, NON-CONTROLLING INTEREST AND STOCKHOLDERS' EQUITY</u>** |  |  |  |  |  |
| Current liabilities: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | $6340 | $(6126) (a) | $- | $- | $214 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities | 5814 | (1886) (d) | (794) (h) | - | 3134 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 1250 | (1250) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Current portion of related party payables | 73 | - | - | - | 73 |
| &nbsp;&nbsp;&nbsp;&nbsp;Current portion of lease liabilities | 1684 | (1316) (a) | - | - | 368 |
| &nbsp;&nbsp;&nbsp;&nbsp;Current portion of related party notes payable | 5661 | - | - | - | 5661 |
| &nbsp;&nbsp;&nbsp;&nbsp;Current portion of equipment financing debt | 3909 | (3909) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 24731 | (14487) | (794) | - | 9450 |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease liabilities, net of current portion | 2342 | (1882) (a) | - | - | 460 |
| &nbsp;&nbsp;&nbsp;&nbsp;Long term debt (face value $26,945) | 25597 | - | - | - | 25597 |
| &nbsp;&nbsp;&nbsp;&nbsp;Related party payables | 1050 | - | - | - | 1050 |
| &nbsp;&nbsp;&nbsp;&nbsp;Convertible notes (face value $36,085, including $15,133 held by related parties) | 35216 | - | - | - | 35216 |
| &nbsp;&nbsp;&nbsp;&nbsp;Redeemable preferred stock of subsidiaries (held by related parties, face value $35,417) | 34450 | (310) (a) | (34140) (h) | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Other liabilities | 977 | (448) (e) | - | - | 529 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 124363 | (17127) | (34934) | - | 72302 |
| Contingently redeemable non-controlling interest | 2887 | (2887) (a) | - | - | - |
| Stockholders' equity |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred stock, $0.001 par value; 5,000,000 authorized and zero outstanding | - | - | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Common stock, $0.001 par value; 350,000,000 shares authorized and 30,046,829 shares issued and 28,774,320 outstanding | 29 | - | - | - | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in-capital | 3313597 | - | - | - | 3313597 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit | (3287587) | 10315<br> (a) | 11415 | 23766 | (3242091) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Great Elm Group, Inc. stockholders' equity | 26039 | 10315 | 11415 | 23766 | 71535 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-controlling interests | 4989 | (1977) (a) | (3012) (h) | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 31028 | 8338 | 8403 | 23766 | 71535 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities, non-controlling interest and stockholders' equity | $158278 | $(11676) | $(26531) | $23766 | $143837 |

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**Great Elm Group, Inc.**

**Unaudited Pro Forma Condensed Consolidated Statement of Operations**

**For the Three Months Ended September 30, 2022 (in thousands, except per share amounts)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **GEG Historical** | **Sale of HC LLC** | **Sale of 61% Interest in Forest** | **Sale of 19% Interest in Forest** | **Pro forma GEG** |
| Revenues: |  |  |  |  |  |
| Durable medical equipment sales and services revenue | $11028 | $(11028) (a) | $- | $- | $- |
| Durable medical equipment rental income | 5691 | (5691) (a) | - | - | - |
| Investment management revenue | 1860 | - | - | - | 1860 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues | 18579 | (16719) | - | - | 1860 |
| Operating costs and expenses: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of durable medical equipment sold and services | 4340 | (4340) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of durable medical equipment rentals | 2050 | (2050) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Durable medical equipment other operating expenses | 8971 | (8971) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment management expenses | 1989 | - | - | - | 1989 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 681 | (387) (a) | - | - | 294 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative | 1487 | - | (1) (h) | - | 1486 |
| &nbsp;&nbsp;&nbsp;&nbsp;Expenses of consolidated funds | 46 | - | - | - | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 19564 | (15748) | (1) | - | 3815 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating loss | (985) | (971) | 1 | - | (1955) |
| Dividends and interest income | 1473 | - | (287) (h) | - | 1186 |
| Net realized and unrealized loss on investments | (6797) | - | 1058<br> (k) | 181<br> (n) | (5558) |
| Net realized loss on investments of consolidated funds | (16) | - | - | - | (16) |
| Interest expense | (1996) | 21<br> (a) | 835<br> (h) | - | (1140) |
| Loss on extinguishment of debt | (23) | 23<br> (a) | - | - | - |
| Other income, net | 1 | (1) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss, before income taxes | (8343) | (928) | 1607 | 181 | (7483) |
| Income tax expense | (196) | 196<br> (f) | - | - | - |
| Net loss | $(8539) | $(732) | $1607 | $181 | $(7483) |
| &nbsp;&nbsp;&nbsp;&nbsp;Less: net loss attributable to non-controlling interest | (248) | (1324) (a) | 1564<br> (h) | - | (8) |
| Net loss attributable to Great Elm Group, Inc. | $(8291) | $592 | $43 | $181 | $(7475) |
| Net loss per share |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted | $(0.29) |  |  |  | $(0.26) |
| Weighted average shares outstanding |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted | 28543 |  |  |  | 28543 |

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**Great Elm Group, Inc.**

**Unaudited Pro Forma Condensed Consolidated Statement of Operations**

**For the Year Ended June 30, 2022 (in thousands, except per share amounts)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **GEG Historical** | **Sale of HC LLC** | **Sale of 61% Interest in Forest** | **Sale of 19% Interest in Forest** | **Pro forma GEG** |
| Revenues: |  |  |  |  |  |
| Durable medical equipment sales and services revenue | $41720 | $(41720) (a) | $- | $- | $- |
| Durable medical equipment rental income | 21738 | (21738) (a) | - | - | - |
| Investment management revenue | 4516 | - | - | - | 4516 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues | 67974 | (63458) | - | - | 4516 |
| Operating costs and expenses: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of durable medical equipment sold and services | 16795 | (16795) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of durable medical equipment rentals | 7149 | (7149) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Durable medical equipment other operating expenses | 33143 | (33143) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment management expenses | 6616 | - | - | - | 6616 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 2261 | (1737) (a) | - | - | 524 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative | 5982 | - | (39) (h) | - | 5943 |
| &nbsp;&nbsp;&nbsp;&nbsp;Expenses of consolidated funds | 135 | - | - | - | 135 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 72081 | (58824) | (39) | - | 13218 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating loss | (4107) | (4634) | 39 | - | (8702) |
| Dividends and interest income | 3161 | - | (565) (h) | - | 2596 |
| Net realized and unrealized loss on investments | (7571) | - | (163) (k) | (171) (n) | (7905) |
| Net unrealized loss on investments of consolidated funds | (525) | - | - | - | (525) |
| Interest expense | (5786) | 241<br> (a) | 3314<br> (h) | - | (2231) |
| Loss on extinguishment of debt | (190) | 190<br> (a) | - | - | - |
| Other income, net | 2 | (2) (a) | - | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss, before income taxes | (15016) | (4205) | 2625 | (171) | (16767) |
| Income tax expense | (21) | (62) (f) | - | - | (83) |
| Net loss | $(15037) | $(4267) | $2625 | $(171) | $(16850) |
| &nbsp;&nbsp;&nbsp;&nbsp;Less: net loss attributable to non-controlling interest | (144) | 828<br> (a) | (905) (h) | - | (221) |
| Net loss attributable to Great Elm Group, Inc. | $(14893) | $(5095) | $3530 | $(171) | $(16629) |
| Net loss per share |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted | $(0.56) |  |  |  | $(0.62) |
| Weighted average shares outstanding |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted | 26784 |  |  |  | 26784 |

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**Great Elm Group, Inc.**

**Unaudited Pro Forma Condensed Consolidated Statement of Operations**

**For the Year Ended June 30, 2021 (in thousands, except per share amounts)**

---

| | | | |
|:---|:---|:---|:---|
|  | **GEG Historical** | **Sale of HC LLC** | **Pro forma GEG** |
| Revenues: |  |  |  |
| Durable medical equipment sales and services revenue | $37460 | $(37460) (a) | $- |
| Durable medical equipment rental income | 20183 | (20183) (a) | - |
| Investment management revenue | 3210 | - | 3210 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues | 60853 | (57643) | 3210 |
| Operating costs and expenses: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of durable medical equipment sold and services | 16881 | (16881) (a) | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of durable medical equipment rentals | 6950 | (6950) (a) | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Durable medical equipment other operating expenses | 28917 | (28917) (a) | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment management expenses | 3492 | - | 3492 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 2383 | (1909) (a) | 474 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative | 5892 | - | 5892 |
| &nbsp;&nbsp;&nbsp;&nbsp;Expenses of consolidated funds | 75 | - | 75 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 64590 | (54657) | 9933 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating loss | (3737) | (2986) | (6723) |
| Dividends and interest income | 2963 | - | 2963 |
| Net realized and unrealized gain on investments | 155 | - | 155 |
| Net unrealized gain on investments of consolidated funds | 545 | - | 545 |
| Interest expense | (4949) | 1617<br> (a) | (3332) |
| Loss on extinguishment of debt | (1866) | 1866<br> (a) | - |
| Other income, net | 45 | (45) (a) | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss, before income taxes | (6844) | 452 | (6392) |
| Income tax expense | (1675) | 1702<br> (f) | 27 |
| Net loss from continuing operations | (8519) | 2154 | (6365) |
| &nbsp;&nbsp;&nbsp;&nbsp;Less: net loss attributable to non-controlling interest, continuing operations | (648) | (88) (g) | (736) |
| Net loss from continuing operations attributable to Great Elm Group, Inc. | $(7871) | $2242 | $(5629) |
| Net loss from continuing operations per share |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted | $(0.31) |  | $(0.22) |
| Weighted average shares outstanding |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted | 25722 |  | 25722 |

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**Great Elm Group, Inc.**

**Notes to Pro Forma Financial Statements**

**(Unaudited)**

**1. BASIS OF PRESENTATION**

The Unaudited Pro Forma Financial Information present the impact of the sale of HC LLC and transactions with JPM on our financial position and results of operations. The unaudited pro forma condensed consolidated financial statements were prepared in accordance with Article 11 of Regulation S-X. The unaudited pro forma condensed consolidated balance sheet as of September 30, 2022 is presented as if the sale of HC LLC and the transactions with JPM had been completed on September 30, 2022. The unaudited pro forma condensed consolidated statements of operations for the years ended June 30, 2022 and 2021 and three months ended September 30, 2022 assume the sale of HC LLC was completed on July 1, 2020 and the transactions with JPM were completed on July 1, 2021.

The Unaudited Pro Forma Financial Information is presented for illustrative purposes only and is not necessarily indicative of the operating results that would have been achieved had the sale of HC LLC and transactions with JPM been completed as of the dates indicated above or the results that may be attained in the future.<br>

**2. UNAUDITED PRO FORMA ADJUSTMENTS**

The Unaudited Pro Forma Financial Information include the following pro forma adjustments to give effect to the sale of HC LLC and transactions with JPM:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)To eliminate assets, liabilities and non-controlling interests of HC LLC as of September 30, 2022, as well as revenue, costs of revenue, operating and other expenses of HC LLC for the three months ended September 30, 2022 and for the years ended June 30, 2022 and 2021.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)To record net cash proceeds of $63.3 million to Great Elm Group, Inc. and subsidiaries from the sale of HC LLC based on their common and preferred stock interests in HC LLC. These proceeds are net of seller transaction costs of $3.3 million, which consist primarily of professional services fees and employee incentive bonuses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)To record the shares of Quipt common stock received for the sale of HC LLC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)To eliminate accrued expenses and other liabilities of HC LLC of $3.1 million and record obligations in respect to an estimated $1.2 million in pending distributions to the 19.9% non-controlling interest holders of HC LLC upon the final resolution of transaction contingencies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)GEG has significant federal and state net operating loss carryforwards and maintains a full valuation allowance against its outstanding net deferred tax assets. However, due primarily to indefinite-lived deferred tax liabilities associated with goodwill recognized at HC LLC, GEG had recorded $0.4 million in deferred tax liabilities as of September 30, 2022. Accordingly, the pro forma adjustments remove these tax effects upon the derecognition of goodwill in conjunction with the transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)To record the estimated income tax effect of the pro forma adjustments. The income tax provision adjustment upon the sale of HC LLC was determined by calculating the tax provision with and without the inclusion of HC LLC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)To allocate the effect of pro forma adjustments to the 19.9% non-controlling interest holders of HC LLC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)To deconsolidate assets, liabilities and non-controlling interests of Forest as of September 30, 2022, as well as operating expenses, interest expense, and dividends and interest income of Forest for the three months ended September 30, 2022 and for the year ended June 30, 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)To deconsolidate $0.2 million in cash and cash equivalents held by Forest as of September 30, 2022 and recognize the use of $38.1 million of cash for the settlement of the Forest Note, partially offset by $18.4 million of cash proceeds received by GEG upon sale of the 61% interest in Forest to JPM. Transaction costs of $0.4 million were reimbursed by JPM.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)To deconsolidate investments at fair value held directly by Forest as of September 30, 2022 and to recognize the remaining 19% investment in Forest at fair value upon sale of the 61% interest in Forest to JPM.<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)To deconsolidate net realized and unrealized losses on investments held by Forest of $1.3 million and record unrealized loss on the remaining 19% investment in Forest of $0.2 million for the three months ended September 30, 2022, and to deconsolidate net realized and unrealized gains on investments held by Forest of $0.4 million and record unrealized gain on the remaining 19% investment in Forest of $0.2 million for the year ended June 30, 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)To record the $26.5 million in cash proceeds currently estimated to be received upon the GEG's probable exercise of the Put Option (sale of the remaining 19% interest in Forest).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)To eliminate the remaining 19% investment in Forest at fair value upon the probable exercise of the Put Option (sale of the remaining 19% interest in Forest).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)To eliminate unrealized gain or loss, as applicable, on the investment in Forest upon the probable exercise of the Put Option (sale of the remaining 19% interest in Forest).<br>

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