# EDGAR Filing Document

**Accession Number:** 0001788999
**File Stem:** 0000950170-25-105049
**Filing Date:** 2025-8
**Character Count:** 756628
**Document Hash:** cbb21be0f7885e4a510e3704d12e86ec
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000950170-25-105049.hdr.sgml**: 20250807

**ACCESSION NUMBER**: 0000950170-25-105049

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 101

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250807

**DATE AS OF CHANGE**: 20250807

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Xperi Inc.
- **CENTRAL INDEX KEY:** 0001788999
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-PREPACKAGED SOFTWARE [7372]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 834470363
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-41486
- **FILM NUMBER:** 251194288

**BUSINESS ADDRESS:**
- **STREET 1:** 2190 GOLD STREET
- **CITY:** SAN JOSE
- **STATE:** CA
- **ZIP:** 95002
- **BUSINESS PHONE:** 4085199100

**MAIL ADDRESS:**
- **STREET 1:** 2190 GOLD STREET
- **CITY:** SAN JOSE
- **STATE:** CA
- **ZIP:** 95002

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Xperi, Inc.
- **DATE OF NAME CHANGE:** 20220608

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** TiVo Product HoldCo LLC
- **DATE OF NAME CHANGE:** 20190920

?xml version='1.0' encoding='ASCII'? 10-Q

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, DC 20549**

------

**FORM** 10-Q

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**(Mark One)**

☒ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the quarterly period ended** **June 30,** 2025

**OR**

☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**Commission File Number:** 001-41486

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**XPERI INC.**

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

------

---

| | |
|:---|:---|
| Delaware | **83-4470363** |
| **(State or Other Jurisdiction of**<br>**Incorporation or Organization)** | **(I.R.S. Employer**<br>**Identification No.)** |
| 2190 Gold Street**,** San Jose**,** California | 95002 |
| **(Address of Principal Executive Offices)** | **(Zip Code)** |

---

**(**408**)** 519-9100

**(Registrant's Telephone Number, Including Area Code)**

------

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

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading**<br>**Symbol(s)** | **Name of each exchange on which registered** |
| Common Stock (par value $0.001 per share) | XPER | New York Stock Exchange |

---

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

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

---

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

---

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

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares outstanding of the registrant's common stock as of July 28, 2025 was 46,260,160.

------

**XPERI INC.**

**FORM 10-Q**

**FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2025**

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
|  |  | **Page** |
|  | [<u>Note About Forward-Looking Statements</u>](#forward_looking) | 3 |
|  | [**<u>PART I</u>**](#part_1) |  |
| Item 1. | [<u>Financial Statements (unaudited)</u>](#part_1) |  |
|  | [<u>Condensed Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2025 and 2024</u>](#condensed_consolidated_statements_operat) | 4 |
|  | [<u>Condensed Consolidated Statements of Comprehensive Loss for the Three and Six Months Ended June 30, 2025 and 2024</u>](#stmt_comp_loss) | 5 |
|  | [<u>Condensed Consolidated Balance Sheets as of June 30, 2025 and December 31, 2024</u>](#condensed_consolidated_balance_sheets) | 6 |
|  | [<u>Condensed Consolidated Statements of Cash Flows for the Three and Six Months Ended June 30, 2025 and 2024</u>](#condensed_condolidated_cash_flows) | 7 |
|  | [<u>Condensed Consolidated Statements of Equity for the Three and Six Months Ended June 30, 2025 and 2024</u>](#stmt_equity) | 9 |
|  | [<u>Notes to Condensed Consolidated Financial Statements</u>](#notes_to_financial_stmt) | 11 |
| Item 2. | [<u>Management's Discussion and Analysis of Financial Condition and Results of Operations</u>](#item_2_managements_discussion_analysis_f) | 32 |
| Item 3. | [<u>Quantitative and Qualitative Disclosures About Market Risk</u>](#item_3_quantitative_qualitative_disclosu) | 41 |
| Item 4. | [<u>Controls and Procedures</u>](#item_4_controls_procedures) | 41 |
|  | [**<u>PART II</u>**](#part_ii) |  |
| Item 1. | [<u>Legal Proceedings</u>](#item_1_legal_proceedings) | 42 |
| Item 1A. | [<u>Risk Factors</u>](#item_1a_risk_factors) | 42 |
| Item 2. | [<u>Unregistered Sales of Equity Securities and Use of Proceeds</u>](#item_2__unregistered_sales_of_equity_sec) | 43 |
| Item 3. | [<u>Defaults Upon Senior Securities</u>](#item_3__defaults_upon_senior_securities) | 43 |
| Item 4. | [<u>Mine Safety Disclosures</u>](#item_4__mine_safety_disclosures) | 43 |
| Item 5. | [<u>Other Information</u>](#item_5__other_information) | 43 |
| Item 6. | [<u>Exhibits</u>](#item_6__exhibits) | 45 |
| [<u>Signatures</u>](#signatures) |  | 46 |

---

------

**Note About Forward-Looking Statements**

*Although forward-looking statements in this Quarterly Report reflect the good faith judgment of our management, such statements can only be based on facts and factors currently known by us. Consequently, forward-looking statements are inherently subject to risks, uncertainties, and changes in condition, significance, value and effect, including those discussed under the heading "Risk Factors" in our Form 10-K (as defined below) and other documents we file from time to time with the U.S. Securities and Exchange Commission ("SEC"), such as our quarterly reports on Form 10-Q and our current reports on Form 8-K. Such risks, uncertainties and changes in condition, significance, value and effect could cause our actual results to differ materially from those expressed herein and in ways not readily foreseeable. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this Quarterly Report and are based on information currently and reasonably known to us. We undertake no obligation to revise or update any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this Quarterly Report, other than as required by law. Readers are urged to carefully review and consider the various disclosures made in this Quarterly Report, which attempt to advise interested parties of the risks and factors that may affect our business, financial condition, results of operations and prospects.*

------

**PART I – FINANCIAL INFORMATION** 

**Item 1. Financial Statements.**

**XPERI INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

**(in thousands, except per share amounts)**

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Revenue | $105933 | $119591 | $219966 | $238435 |
| Operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of revenue, excluding depreciation and amortization of intangible assets | 33549 | 28953 | 63148 | 58709 |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 29783 | 45123 | 69332 | 95562 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative | 41142 | 53102 | 89840 | 109455 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation expense | 3448 | 3278 | 6353 | 6862 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization expense | 9144 | 11042 | 18866 | 22081 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 117066 | 141498 | 247539 | 292669 |
| Operating loss | (11133) | (21907) | (27573) | (54234) |
| Interest and other income, net | 1747 | 1290 | 4042 | 2332 |
| Interest expense - debt | (759) | (748) | (1491) | (1496) |
| Gain on divestiture |  |  |  | 22934 |
| Loss before taxes | (10145) | (21365) | (25022) | (30464) |
| Provision for income taxes | 4636 | 9266 | 8125 | 13538 |
| Net loss | (14781) | (30631) | (33147) | (44002) |
| &nbsp;&nbsp;&nbsp;&nbsp;Less: net loss attributable to noncontrolling interest |  | (332) |  | (583) |
| Net loss attributable to the Company | $(14781) | $(30299) | $(33147) | $(43419) |
| Net loss per share attributable to the Company - basic and diluted | $(0.32) | $(0.67) | $(0.73) | $(0.97) |
| Weighted-average number of shares used in computing net loss per share attributable to the Company - basic and diluted | 45846 | 45331 | 45313 | 44926 |

---

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

------

**XPERI INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS**

**(in thousands)**

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Net loss | $(14781) | $(30631) | $(33147) | $(44002) |
| Other comprehensive income (losses): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries | 11 |  | 45 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustment |  | 59 |  | (325) |
| &nbsp;&nbsp;&nbsp;&nbsp;Unrealized gain (loss) on cash flow hedges | 2295 | (396) | 4453 | (1187) |
| Comprehensive loss | (12475) | (30968) | (28649) | (45514) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Less: comprehensive loss attributable to noncontrolling interest |  | (332) |  | (583) |
| Comprehensive loss attributable to the Company | $(12475) | $(30636) | $(28649) | $(44931) |

---

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

------

**XPERI INC.**

**CONDENSED CONSOLIDATED BALANCE SHEETS**

**(in thousands, except par value)**

**(unaudited)**

---

| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| **ASSETS** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $95148 | $130564 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net | 59787 | 58745 |
| &nbsp;&nbsp;&nbsp;&nbsp;Unbilled contracts receivable, net | 81325 | 83075 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 35756 | 32488 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred consideration from divestiture | 11645 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 283661 | 304872 |
| Note receivable, noncurrent | 30857 | 29702 |
| Deferred consideration from divestiture, noncurrent | 7384 | 18217 |
| Unbilled contracts receivable, noncurrent | 51568 | 45396 |
| Property and equipment, net | 46927 | 44473 |
| Operating lease right-of-use assets | 32190 | 30082 |
| Intangible assets, net | 144855 | 163714 |
| Deferred tax assets | 7734 | 7228 |
| Other noncurrent assets | 24044 | 24076 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $629220 | $667760 |
| **LIABILITIES AND EQUITY** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | $14952 | $16979 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued liabilities | 78158 | 94420 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 20315 | 23950 |
| &nbsp;&nbsp;&nbsp;&nbsp;Short-term debt |  | 50000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 113425 | 185349 |
| Long-term debt | 40000 |  |
| Deferred revenue, noncurrent | 17783 | 20932 |
| Operating lease liabilities, noncurrent | 24256 | 19932 |
| Deferred tax liabilities | 1491 | 1491 |
| Other noncurrent liabilities | 12438 | 10979 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 209393 | 238683 |
| Commitments and contingencies (Note 13) |  |  |
| Equity: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred stock: $0.001 par value; 6,000 shares authorized as of June 30, 2025 and December 31, 2024; no shares issued and outstanding as of June 30, 2025 and December 31, 2024 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Common stock: $0.001 par value; 140,000 shares authorized as of June 30, 2025 and December 31, 2024; 46,221 and 44,328 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively | 46 | 44 |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in capital | 1293958 | 1274561 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss | (1586) | (6084) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit | (872591) | (839444) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total equity | 419827 | 429077 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and equity | $629220 | $667760 |

---

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

------

**XPERI INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS**

**(in thousands)**

**(unaudited)**

---

| | | |
|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** |
| **Cash flows from operating activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss | $(33147) | $(44002) |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation expense | 22429 | 30060 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible assets | 18866 | 22081 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation of property and equipment | 6353 | 6862 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued interest income from note receivable | (1155) | (895) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion of discount from deferred consideration from divestitures | (812) | (414) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain from divestiture |  | (22934) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes | (506) | 163 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | 1955 | (692) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | (1449) | (2903) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unbilled contracts receivable | (4422) | (22027) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other assets | 461 | 4909 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | (1997) | (5360) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued and other liabilities | (11943) | (19404) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | (6784) | 2635 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in operating activities | (12151) | (51921) |
| **Cash flows from investing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchases of property and equipment | (1627) | (2307) |
| &nbsp;&nbsp;&nbsp;&nbsp;Capitalized internal-use software | (7352) | (5825) |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchases of intangible assets | (7) | (84) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net cash used in divestiture |  | (227) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in investing activities | (8986) | (8443) |
| **Cash flows from financing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of short-term debt | (50000) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Withholding taxes related to net share settlement of equity awards | (6345) | (5929) |
| &nbsp;&nbsp;&nbsp;&nbsp;Payment of debt issuance costs | (1249) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from long-term debt | 40000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from issuance of common stock under employee stock purchase plan | 3315 | 4328 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in financing activities | (14279) | (1601) |
| Effect of exchange rate changes on cash and cash equivalents |  | 12 |
| Net decrease in cash and cash equivalents | (35416) | (61953) |
| Cash and cash equivalents at beginning of period <sup>(1)</sup> | 130564 | 154434 |
| Cash and cash equivalents at end of period | $95148 | $92481 |
| **Supplemental disclosure of cash flow information:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Income taxes paid, net of refunds | $4225 | $9204 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest paid | $1131 | $1504 |

---

<sup>(1)</sup> Included $12.3 million of cash and cash equivalents classified as held for sale at December 31, 2023.

------

---

| | | |
|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** |
| **Supplemental disclosure of noncash investing and financing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Costs capitalized for internal-use software included in accrued liabilities | $438 | $743 |
| &nbsp;&nbsp;&nbsp;&nbsp;Property and equipment included in accounts payable | $486 | $171 |
| &nbsp;&nbsp;&nbsp;&nbsp;Note receivable in exchange for consideration from divestiture | $— | $27676 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred consideration from divestiture | $— | $5854 |

---

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

------

**XPERI INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF EQUITY**

**(in thousands)**

**(unaudited)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **<u>Three Months Ended June 30, 2025</u>** | **Common Stock** | **Common Stock** | **Additional<br>Paid-In** | **Accumulated<br>Other<br>Comprehensive** | **Accumulated** | **Total** |
|  | **Shares** | **Amount** | **Capital** | **Loss** | **Deficit** | **Equity** |
| Balances at April 1, 2025 | 45519 | $45 | $1280559 | $(3892) | $(857810) | $418902 |
| Vesting of restricted stock units, net of tax withholding | 201 |  | (242) |  |  | (242) |
| Issuance of common stock under employee stock purchase plan | 501 | 1 | 3314 |  |  | 3315 |
| Stock-based compensation |  |  | 10327 |  |  | 10327 |
| Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries |  |  |  | 11 |  | 11 |
| Unrealized gain on cash flow hedges |  |  |  | 2295 |  | 2295 |
| Net loss |  |  |  |  | (14781) | (14781) |
| Balances at June 30, 2025 | 46221 | $46 | $1293958 | $(1586) | $(872591) | $419827 |
| **<u>Six Months Ended June 30, 2025</u>** | **Common Stock** | **Common Stock** | **Additional<br>Paid-In** | **Accumulated<br>Other<br>Comprehensive** | **Accumulated** | **Total** |
|  | **Shares** | **Amount** | **Capital** | **Loss** | **Deficit** | **Equity** |
| Balances at January 1, 2025 | 44328 | $44 | $1274561 | $(6084) | $(839444) | $429077 |
| Vesting of restricted stock units, net of tax withholding | 1392 | 1 | (6346) |  |  | (6345) |
| Issuance of common stock under employee stock purchase plan | 501 | 1 | 3314 |  |  | 3315 |
| Stock-based compensation |  |  | 22429 |  |  | 22429 |
| Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries |  |  |  | 45 |  | 45 |
| Unrealized gain on cash flow hedges |  |  |  | 4453 |  | 4453 |
| Net loss |  |  |  |  | (33147) | (33147) |
| Balances at June 30, 2025 | 46221 | $46 | $1293958 | $(1586) | $(872591) | $419827 |

---

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

------

**XPERI INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF EQUITY**

**(in thousands)**

**(unaudited)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **<u>Three Months Ended June 30, 2024</u>** | **Common Stock** | **Common Stock** | **Additional<br>Paid-In** | **Accumulated<br>Other<br>Comprehensive** | **Accumulated** | **Noncontrolling** | **Total** |
|  | **Shares** | **Amount** | **Capital** | **Loss** | **Deficit** | **Interest** | **Equity** |
| Balances at April 1, 2024 | 45031 | $45 | $1221709 | $(4040) | $(818568) | $(17389) | $381757 |
| Change in ownership interest of the Company |  |  | 932 |  |  | (932) |  |
| Vesting of restricted stock units, net of tax withholding | 137 |  | (340) |  |  |  | (340) |
| Issuance of common stock under employee stock purchase plan | 578 | 1 | 4327 |  |  |  | 4328 |
| Stock-based compensation |  |  | 15303 |  |  |  | 15303 |
| Foreign currency translation adjustment |  |  |  | 59 |  |  | 59 |
| Unrealized loss on cash flow hedges |  |  |  | (396) |  |  | (396) |
| Net loss |  |  |  |  | (30299) | (332) | (30631) |
| Balances at June 30, 2024 | 45746 | $46 | $1241931 | $(4377) | $(848867) | $(18653) | $370080 |
| **<u>Six Months Ended June 30, 2024</u>** | **Common Stock** | **Common Stock** | **Additional<br>Paid-In** | **Accumulated<br>Other<br>Comprehensive** | **Accumulated** | **Noncontrolling** | **Total** |
|  | **Shares** | **Amount** | **Capital** | **Loss** | **Deficit** | **Interest** | **Equity** |
| Balances at January 1, 2024 | 44211 | $44 | $1212501 | $(2865) | $(805448) | $(17097) | $387135 |
| Change in ownership interest of the Company |  |  | 973 |  |  | (973) |  |
| Vesting of restricted stock units, net of tax withholding | 957 | 1 | (5930) |  |  |  | (5929) |
| Issuance of common stock under employee stock purchase plan | 578 | 1 | 4327 |  |  |  | 4328 |
| Stock-based compensation |  |  | 30060 |  |  |  | 30060 |
| Foreign currency translation adjustment |  |  |  | (325) |  |  | (325) |
| Unrealized loss on cash flow hedges |  |  |  | (1187) |  |  | (1187) |
| Net loss |  |  |  |  | (43419) | (583) | (44002) |
| Balances at June 30, 2024 | 45746 | $46 | $1241931 | $(4377) | $(848867) | $(18653) | $370080 |

---

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

------

**XPERI INC.**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(unaudited)**

**NOTE 1 – DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

Xperi Inc. ("Xperi" or the "Company") is a leading consumer and entertainment technology company. The Company creates extraordinary experiences at home and on the go for millions of consumers around the world, enabling audiences to connect with content in a way that is more intelligent, immersive, and personal. Powering smart devices, connected cars, entertainment experiences and more, the Company brings together ecosystems designed to reach highly-engaged consumers, allowing it and its ecosystem partners to uncover significant new business opportunities, now and in the future. The Company's technologies are integrated into consumer devices and a variety of media platforms worldwide, driving increased value for its partners, customers, and consumers. The Company operates in one reportable business segment and groups its revenue into four categories: Pay-TV, Consumer Electronics, Connected Car and Media Platform.

***Basis of Presentation and Principles of Consolidation***

The accompanying condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP"). The Company's financial statements were prepared on a consolidated basis and include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.

For reporting periods in fiscal year 2024 and prior, the Company owned a controlling financial interest of its former subsidiary, Perceive Corporation ("Perceive", later known as Xperi Pylon Corporation). In December 2024, Perceive was dissolved after all of its remaining assets and liabilities were distributed to the Company.

***Unaudited Interim Financial Statements***

The accompanying unaudited interim condensed consolidated financial statements are presented in accordance with the applicable rules and regulations of the SEC for interim financial information. The amounts as of December 31, 2024 have been derived from the Company's annual audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2024, filed on February 27, 2025 (the "Form 10-K"). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted in accordance with such rules and regulations. In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements reflect all adjustments, which consist of normal recurring adjustments, necessary to state fairly the financial position of the Company and its results of operations and cash flows as of and for the periods presented. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Form 10-K.

The results of operations for the three and six months ended June 30, 2025 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2025 or any future period and the Company makes no representations related thereto.

***Use of Estimates*** 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The accounting estimates and assumptions that require management's most significant, challenging, and subjective judgment include the estimation of licensees' quarterly royalties prior to receiving the royalty reports, the determination of stand-alone selling price and the transaction price in an arrangement with multiple performance obligations, the fair value of note receivable and deferred consideration in connection with the AutoSense Divestiture, the assessment of useful lives and recoverability of other intangible assets and long-lived assets, recognition and measurement of current and deferred income tax assets and liabilities, the assessment of unrecognized tax benefits, and valuation of performance-based awards with a market condition. Actual results experienced by the Company may differ from management's estimates.

***Concentration of Credit and Other Risks*** 

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents, accounts receivable, unbilled contracts receivable, a note receivable and deferred consideration from

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divestiture. The Company maintains cash and cash equivalents with large financial institutions, and at times, the deposits may exceed the federally insured limits. As part of its risk management processes, the Company performs periodic evaluations of the relative credit standing of these financial institutions. The Company has not sustained material credit losses from instruments held at these financial institutions. In addition, the Company has cash and cash equivalents held in international bank accounts that are denominated in various foreign currencies and has established risk management strategies designed to minimize the impact of certain currency exchange rate fluctuations.

The Company believes that any concentration of credit risk in its accounts receivable and unbilled contracts receivable are substantially mitigated by its evaluation processes and the high level of credit worthiness of its customers. The Company performs ongoing credit evaluations of its customers' financial condition and limits the amount of credit extended when deemed necessary, but generally requires no collateral.

For the three and six months ended June 30, 2025 and 2024, no customer accounted for 10% or more of total revenue. As of June 30, 2025, no customer represented 10% or more of the Company's net balance of accounts receivable. Additionally, one customer exceeded 10% of the Company's net balance of current and noncurrent unbilled contracts receivable. As of December 31, 2024, no customer represented 10% or more of the Company's net balance of accounts receivable. Additionally, one customer exceeded 10% of the Company's net balance of current and noncurrent unbilled contracts receivable.

As part of the consideration for divesting its AutoSense in-cabin safety business and related imaging solutions (the "AutoSense Divestiture"), the Company received a note receivable and deferred consideration from Tobii AB ("Tobii"). Both of these instruments are exposed to credit risk arising from default on repayment from Tobii. The credit risk associated with the note receivable is mitigated by establishing a floating lien and security interest in certain of Tobii's assets, rights, and properties, whereas the deferred consideration is not secured by any collateral. The Company utilizes valuation methodologies such as internally generated cash flow projections on the principal and interest of each instrument, along with the review of certain other data points, to determine the likelihood that the note receivable or deferred consideration will be repaid. Further, the Company assesses each instrument for credit losses and provides a reserve when full payment on the instruments may not occur as expected, in which case the reserve reflects the excess of the amortized cost basis over the results of the cash flow projections. The Company currently expects Tobii to make full payment on both instruments in accordance with the underlying agreement. Accordingly, no allowance for credit losses was recorded as of June 30, 2025.

***Recent Accounting Pronouncements***

*Accounting Standards Not Yet Adopted* 

In December 2023, the FASB issued ASU 2023-09, *Income Taxes (Topic 740): Improvements to Income Tax Disclosures*, which requires disclosure of specific categories in the effective tax rate reconciliation and additional information for reconciling items that meet a quantitative threshold and further disaggregation of income taxes paid for individually significant jurisdictions. This guidance is effective on a prospective or retrospective basis for annual periods beginning after December 15, 2024. The Company is currently evaluating the impact of this guidance on the disclosures within its consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. The standard requires that public business entities disclose additional information about specific expense categories in the notes to financial statements for interim and annual reporting periods. The standard will become effective for the Company's 2027 annual financial statements and interim financial statements thereafter and may be applied prospectively to periods after the adoption date or retrospectively for all prior periods presented in the financial statements, with early adoption permitted. The Company is currently evaluating the impact of this guidance on the disclosures within its consolidated financial statements.

**NOTE 2 – REVENUE**

**Revenue Recognition** 

*General*

Revenue is recognized when control of the promised goods or services is transferred to a customer in an amount that reflects the consideration the Company expects to receive in exchange for those goods or services, which may include various combinations of goods and services which are generally capable of being distinct and accounted for as separate performance

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obligations. Revenue is recognized net of sales taxes collected from customers which are subsequently remitted to governmental authorities.

Some of the Company's contracts with customers contain multiple performance obligations. For these contracts, the individual performance obligations are separately accounted for if they are distinct. In an arrangement with multiple performance obligations, the transaction price is allocated among the separate performance obligations on a relative standalone selling price ("SSP") basis. The determination of SSP considers market conditions, the size and scope of the contract, customer and geographic information, and other factors. When observable prices are not available, SSP for separate performance obligations is generally based on the cost-plus-margin approach, considering overall pricing objectives.

When variable consideration is in the form of a sales-based or usage-based royalty in exchange for a license of technology or when a license of technology is the predominant item to which the variable consideration relates, revenue is recognized at the later of when the subsequent sale or usage occurs or the performance obligation to which some or all of the sales-based or usage-based royalty has been allocated has been satisfied or partially satisfied.

*Description of Revenue-Generating Activities*

The Company derives the majority of its revenue from licensing its technologies and solutions to customers within the Pay-TV, Consumer Electronics, Connected Car and Media Platform product categories. Refer to Part I, Item 1 of the Form 10-K for detailed information regarding these product categories.

*Pay-TV* 

Customers within the Pay-TV category are primarily multi-channel video service providers, consumer electronics ("CE") manufacturers, and end consumers. Revenue in this category is primarily derived from licensing the Company's Pay-TV solutions, including Electronic Program Guides, TiVo video-over-broadband ("IPTV") Solutions, Personalized Content Discovery and enriched Metadata.

For these solutions, the Company provides on-going media or data delivery, either via on-premise licensed software, hosting or access to its platform. The Company generally receives fees on a per-subscriber per-month basis or as a monthly fee, and revenue is recognized during the month in which the solutions are provided to the customer. For most of the on-premise licensed software arrangements, substantially all functionality is obtained through the Company's frequent updating of the technology, data and content. In these instances, the Company typically has a single performance obligation related to these ongoing activities in the underlying arrangement, and revenue is generally recognized over the period the solution is provided. In the case of certain fixed fee on-premise licensed software arrangements, revenue is recognized immediately upon the delivery of the licensed technology. Hosted solutions and access to our platform is considered a single performance obligation with revenue being recognized over the period the solution is provided.

*Consumer Electronics* 

The Company licenses its audio technologies to CE manufacturers or their supply chain partners.

The Company generally recognizes royalty revenue from licenses based on units shipped or manufactured. Revenue is recognized in the period in which the customer's sales or production are estimated to have occurred. This may result in an adjustment to revenue when actual sales or production are subsequently reported by the customer, generally in the month or quarter following sales or production. Estimating customers' quarterly royalties prior to receiving the royalty reports requires the Company to make significant assumptions and judgments related to forecasted trends and growth rates used to estimate quantities shipped or manufactured by customers, which could have a material impact on the amount of revenue it reports on a quarterly basis.

Certain customers enter into fixed fee or minimum guarantee agreements, whereby customers pay a fixed fee for the right to incorporate the Company's technology in the customer's products over the license term. In arrangements with a minimum guarantee, the fixed fee component corresponds to a minimum number of units or dollars that the customer must produce or pay, with additional per-unit fees for any units or dollars exceeding the minimum. The Company generally recognizes the full fixed fee as revenue at the beginning of the license term when the customer has the right to use the technology and begins to benefit from the license. If applicable, revenue is recognized net of the effect of any significant financing components calculated using customer-specific, risk-adjusted lending rates, with the related interest income being recognized over time on an effective rate basis. For minimum guarantee agreements where the customer exceeds the minimum, the Company recognizes

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revenue relating to any additional per-unit fees in the periods it estimates the customer will exceed the minimum and adjusts the revenue based on actual usage once that is reported by the customer.

*Connected Car*

The Company licenses its digital radio solutions, automotive infotainment and related offerings to automotive manufacturers or their supply chain partners.

The Company generally recognizes royalty revenue from these licenses based on units shipped or manufactured, similar to the revenue recognition described above in "Consumer Electronics". Certain customers may enter into fixed fee or minimum guarantee agreements, also similar to the revenue recognition described above in "Consumer Electronics." Automotive infotainment and related revenue is generally recognized over time as the customer obtains access to the solutions and underlying data.

*Media Platform*

The Company generates revenue from advertising, TV viewership data, metadata for ad measurement and programming analytics, and licensing of the core middleware solutions.

Advertising revenue is generally recognized when the related advertisement is provided. TV viewership data revenue is generally recognized over time as the customer obtains the underlying data. Metadata for ad measurement and programming analytics is generally recognized over time as the customer obtains the scheduled data. License revenue for the core middleware solutions is generally recognized either on a per-unit royalty or a minimum guarantee or fixed fee basis, similar to "*Consumer Electronics*" described in the section above.

*Hardware Products, Services and Settlements/Recoveries*

The Company sells hardware products, primarily to end consumers, within the Pay-TV and Consumer Electronics product categories. Hardware product revenue is generally recognized when the promised product is delivered.

The Company also generates non-recurring engineering ("NRE") revenue within all of its product categories. The Company recognizes NRE revenue as progress is made toward completion, generally using an input method based on the ratio of costs incurred to date to total estimated costs of the project.

Revenue from each of advertising, NRE services, and hardware products was less than 10% of total revenue for all periods presented.

The Company actively monitors and enforces its technology licenses, including seeking appropriate compensation from customers that have under-reported royalties owed under a license agreement and from third parties that utilize the Company's technologies without a license. As a result of these activities, the Company may, from time to time, recognize revenue from periodic compliance audits of licensees for underreporting royalties incurred in prior periods, or from settlements of license disputes. These settlements and recoveries may cause revenue to be higher than expected during a particular reporting period and such settlements and recoveries may not occur in subsequent periods. The Company recognizes revenue from settlements and recoveries when a binding agreement has been executed or a revised royalty report has been received and the Company concludes collection is probable.

***Disaggregation of Revenue***

The Company's revenue that is recognized over time consists primarily of per unit royalties, per-subscriber per-month or monthly license fees, single performance obligations satisfied over time, and NRE services. Revenue that is recognized at a point in time consists primarily of fixed fee or minimum guarantee licensing contracts, hardware products, advertising and settlements/recoveries.

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The following table summarizes revenue by timing of recognition (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Recognized over time | $80971 | $87173 | $160037 | $183855 |
| Recognized at a point in time | 24962 | 32418 | 59929 | 54580 |
| &nbsp;&nbsp;Total revenue | $105933 | $119591 | $219966 | $238435 |

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The following table summarizes revenue by product category (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Pay-TV | $49937 | $60752 | $99801 | $117558 |
| Consumer Electronics | 18763 | 17164 | 41561 | 43292 |
| Connected Car | 25105 | 31423 | 58391 | 55771 |
| Media Platform | 12128 | 10252 | 20213 | 21814 |
| &nbsp;&nbsp;Total revenue | $105933 | $119591 | $219966 | $238435 |

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The following table summarizes revenue by geographic location (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** |
|  | **2025** | **2025** | **2024** | **2024** |
|  | **Amount** | **Percentage of Revenue** | **Amount** | **Percentage of Revenue** |
| U.S. and Canada <sup>(1)</sup> | $60389 | 57% | $60116 | 50% |
| Asia Pacific | 31660 | 30 | 36663 | 31 |
| Europe, Middle East and Africa | 8119 | 8 | 9467 | 8 |
| Other | 5765 | 5 | 13345 | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $105933 | 100% | $119591 | 100% |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2025** | **2024** | **2024** |
|  | **Amount** | **Percentage of Revenue** | **Amount** | **Percentage of Revenue** |
| U.S. and Canada <sup>(1)</sup> | $110100 | 50% | $125227 | 52% |
| Asia Pacific | 78604 | 36 | 69791 | 29 |
| Europe, Middle East and Africa | 18198 | 8 | 22942 | 10 |
| Other | 13064 | 6 | 20475 | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $219966 | 100% | $238435 | 100% |

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<sup>(1)</sup> For the three months ended June 30, 2025 and 2024, the Company recognized $55.8 million of revenue from the U.S., which represented 53% and 47% of total revenue for the respective periods. For the six months ended June 30, 2025 and 2024, revenue from the U.S. was $101.2 million and $115.6 million, or 46% and 48% of total revenue, for the respective periods.

A significant portion of the Company's revenue is derived from licensees headquartered outside of the U.S., principally in Asia Pacific and Europe, Middle East and Africa. Included within Asia Pacific, Japan, China, and South Korea each contributed a significant amount of revenue, as shown in the following table (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** |
|  | **2025** | **2025** | **2024** | **2024** |
|  | **Amount** | **Percentage of Revenue** | **Amount** | **Percentage of Revenue** |
| Japan | $12773 | 12% | $13873 | 11% |
| China | $11167 | 11% | $3545 | 3% |
| South Korea | $6454 | 6% | $16653 | 14% |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2025** | **2024** | **2024** |
|  | **Amount** | **Percentage of Revenue** | **Amount** | **Percentage of Revenue** |
| Japan | $30562 | 14% | $25910 | 11% |
| China | $26001 | 12% | $16332 | 7% |
| South Korea | $19211 | 9% | $23599 | 10% |

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No individual country in Europe, Middle East and Africa and other regions accounted for 10% or more of total revenue in all periods presented.

The following table presents additional revenue disclosures (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Revenue recognized in the period from: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Amounts included in deferred revenue at the beginning of<br> the period | $6575 | $6336 | $14614 | $13602 |
| &nbsp;&nbsp;&nbsp;&nbsp;Performance obligations satisfied in previous periods (true<br> ups, recoveries, and settlements) <sup>(1)</sup> | $2080 | $353 | $1295 | $3362 |

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<sup>(1)</sup> True ups represent the differences between the Company's quarterly estimates of per-unit royalty revenue and actual production/sales-based royalties reported by licensees in reports that are generally received in the following period and may include other changes in estimates. Recoveries represent corrections or revisions to previously reported per-unit royalties by licensees, generally resulting from the Company's inquiries or compliance audits. Settlements represent resolutions of disputes or litigation during the period for past royalties owed.

***Remaining Performance Obligations*** 

Remaining performance obligations represent contracted revenue that has not yet been recognized. As of June 30, 2025, the Company's remaining performance obligations and the period over which they are expected to be recognized were as follows (in thousands):

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| | |
|:---|:---|
| **Year Ending December 31:** | **Amounts** |
| &nbsp;&nbsp;&nbsp;&nbsp;2025 (remaining 6 months) | $31281 |
| &nbsp;&nbsp;&nbsp;&nbsp;2026 | 36144 |
| &nbsp;&nbsp;&nbsp;&nbsp;2027 | 20002 |
| &nbsp;&nbsp;&nbsp;&nbsp;2028 | 9632 |
| &nbsp;&nbsp;&nbsp;&nbsp;2029 | 4051 |
| &nbsp;&nbsp;&nbsp;&nbsp;Thereafter | 1181 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $102291 |

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***Allowance for Credit Losses***

The following table presents the activity in the allowance for credit losses for the three and six months ended June 30, 2025 and 2024 (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** |
|  | **2025** | **2025** | **2024** | **2024** |
|  | **Accounts Receivable** | **Unbilled Contracts Receivable** | **Accounts Receivable** | **Unbilled Contracts Receivable** |
| Beginning balance | $1072 | $450 | $2868 | $245 |
| Provision for credit losses | 27 | 22 | (856) | 103 |
| Recoveries/charge-off | (145) | (4) | (858) |  |
| Ending balance | $954 | $468 | $1154 | $348 |
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2025** | **2024** | **2024** |
|  | **Accounts Receivable** | **Unbilled Contracts Receivable** | **Accounts Receivable** | **Unbilled Contracts Receivable** |
| Beginning balance | $946 | $499 | $1906 | $190 |
| Provision for credit losses | 229 | (22) | (58) | 161 |
| Recoveries/charge-off | (221) | (9) | (694) | (3) |
| Ending balance | $954 | $468 | $1154 | $348 |

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**NOTE 3 – COMPOSITION OF CERTAIN FINANCIAL STATEMENT CAPTIONS**

Prepaid expenses and other current assets consisted of the following (in thousands):

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| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| Prepaid expenses | $21594 | $21027 |
| Prepaid income taxes | 8270 | 8295 |
| Finished goods inventory | 296 | 1061 |
| Other | 5596 | 2105 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | $35756 | $32488 |

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Property and equipment, net consisted of the following (in thousands):

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| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| Computer equipment and software | $56793 | $54737 |
| Capitalized internal-use software | 30760 | 23384 |
| Office equipment and furniture | 10982 | 10773 |
| Building | 17876 | 17876 |
| Land | 5300 | 5300 |
| Leasehold improvements | 10859 | 10778 |
| Construction in progress | 460 | 1979 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total property and equipment | 133030 | 124827 |
| Less: accumulated depreciation and amortization<sup>(1)</sup> | (86103) | (80354) |
| &nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | $46927 | $44473 |

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<sup>(1)</sup> Includes $7.3 million and $4.1 million as of June 30, 2025 and December 31, 2024, respectively, of accumulated amortization associated with capitalized internal-use software.

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The following table summarizes the capitalization and amortization of internal-use software for the three and six months ended June 30, 2025 and 2024 (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Costs capitalized associated with internal-use software | $4081 | $3303 | $7525 | $6582 |
| Amortization of capitalized internal-use software | $1895 | $522 | $3243 | $1016 |

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Accrued liabilities consisted of the following (in thousands):

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| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| Employee compensation and benefits | $21476 | $33360 |
| Accrued expenses | 17118 | 16108 |
| Accrued income taxes | 10913 | 6259 |
| Current portion of operating lease liabilities | 9956 | 15353 |
| Accrued other taxes | 4672 | 8370 |
| Third-party royalties | 2679 | 5171 |
| Other | 11344 | 9799 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | $78158 | $94420 |

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**NOTE 4 – FINANCIAL INSTRUMENTS**

***Non-marketable Equity Securities***

As of June 30, 2025 and December 31, 2024, other noncurrent assets included equity securities accounted for under the equity method with a carrying amount of $4.7 million. No impairments to the carrying amount of the Company's non-marketable equity securities were recognized in the three and six months ended June 30, 2025 and 2024.

***Derivatives Instruments***

The Company uses a foreign exchange hedging strategy to hedge local currency expenses and reduce variability associated with anticipated cash flows. The Company's derivative financial instruments consist of foreign currency forward contracts. The maturities of these instruments are generally less than twelve months. Fair values for derivative financial instruments are based on prices computed using third-party valuation models. All the significant inputs to the third-party valuation models are observable in active markets. Inputs include current market-based parameters such as forward rates, yield curves and credit default swap pricing.

***Cash Flow Hedges***

The Company designates certain foreign currency forward contracts as hedging instruments pursuant to Accounting Standards Codification ("ASC") No. 815—*Derivatives and Hedging*. The effective portion of the gain or loss on the derivatives are reported as a component of accumulated other comprehensive loss ("AOCL") in stockholders' equity and reclassified into net loss on the condensed consolidated statements of operations (Unaudited) in the period the hedged transactions are settled.

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The notional and fair values of all derivative financial instruments were as follows (in thousands):

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| | | | |
|:---|:---|:---|:---|
|  | **Location in Balance Sheet** | **June 30, 2025** | **December 31, 2024** |
| **Derivative instruments designated as cash flow hedges:** |  |  |  |
| Fair value—foreign exchange contract assets, net amount | Prepaid expenses and other current assets | $2595 | $— |
| Fair value—foreign exchange contract liabilities, net amount | Accrued liabilities | $— | $1858 |
| Notional value held to buy U.S. dollars in exchange for other currencies |  | $5989 | $5074 |
| Notional value held to sell U.S. dollars in exchange for other currencies |  | $67171 | $57329 |

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All of the Company's derivative financial instruments are eligible for netting arrangements that allow the Company and its counterparty to net settle amounts owed to each other. Derivative assets and liabilities that can be net settled under these arrangements have been presented in the Company's condensed consolidated balance sheets on a net basis.

The gross amounts of the Company's foreign currency forward contracts and the net amounts recorded in the Company's condensed consolidated balance sheets were as follows (in thousands):

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| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| Gross amount of recognized assets | $3287 | $173 |
| Gross amount of recognized liabilities | (692) | (2031) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net derivative assets (liabilities) | $2595 | $(1858) |

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The changes in AOCL related to the cash flow hedges consisted of the following (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Beginning balance | $300 | $243 | $(1858) | $1034 |
| Other comprehensive gain (loss) before reclassification | 2677 | (280) | 4254 | (702) |
| Amounts reclassified from accumulated other comprehensive (gain) loss into net loss | (382) | (115) | 199 | (484) |
| Net current period other comprehensive gain (loss) | 2295 | (395) | 4453 | (1186) |
| Ending balance | $2595 | $(152) | $2595 | $(152) |

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The following table summarizes the gains (losses) recognized upon settlement of the hedged transactions in the condensed consolidated statements of operations for three and six months ended June 30, 2025 and 2024 (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Research and development | $379 | $135 | $120 | $484 |
| Selling, general and administrative | 76 | (24) | (30) | 83 |
| Total | $455 | $111 | $90 | $567 |

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**NOTE 5 – FAIR VALUE**

The Company follows the authoritative guidance for fair value measurement and the fair value option for financial assets and financial liabilities. The Company carries its financial instruments at fair value with the exception of its note receivable, deferred consideration from divestitures, short-term debt, and long-term debt. Fair value is defined as the exchange price that

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would be received for an asset or paid to transfer a liability, or an exit price, in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The established fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value:

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| | |
|:---|:---|
| *Level 1* | Quoted prices in active markets for identical assets. |
| *Level 2* | Observable market-based inputs or unobservable inputs that are corroborated by market data. |
| *Level 3* | Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. |

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When applying fair value principles in the valuation of assets and liabilities, the Company is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The Company calculates the fair value of its Level 1 and Level 2 instruments based on the exchange traded price of similar or identical instruments, where available, or based on other observable inputs.

The Company's derivative financial instruments (as described in Note 4—*Financial Instruments*), consisting of foreign currency forward contracts, are reported at fair value on a recurring basis and classified as Level 2.

***Financial Instruments Not Recorded at Fair Value*** 

The following table presents the fair value hierarchy for the Company's assets and liabilities recorded at their carrying amount, but for which the fair value is disclosed (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Carrying<br>Amount** | **Estimated<br>Fair Value** | **Carrying<br>Amount** | **Estimated<br>Fair Value** |
| Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Note receivable, noncurrent | $30857 | $33253 | $29702 | $28223 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred consideration from divestitures<sup>(1)</sup> | 19029 | 21219 | 18217 | 18342 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $49886 | $54472 | $47919 | $46565 |
| Liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Senior unsecured promissory note | $— | $— | $50000 | $50000 |
| &nbsp;&nbsp;&nbsp;&nbsp;AR Facility | $40000 | $40000 | $— | $— |

---

<sup>(1)</sup> Includes $11.6 million as of June 30, 2025 of the net carrying amount of the holdback consideration from the Perceive Transaction (as described in Note 6—*Divestitures*), which approximates its associated fair value and is classified as current in the condensed consolidated balance sheets.

The fair value of the note receivable, including accrued interest, and the deferred consideration resulting from the AutoSense Divestiture and the Perceive Transaction were estimated based on an income and market approach with valuation inputs such as the U.S. Treasury constant maturity yields, comparable bond yields, and credit spreads over the term of the same or similarly issued instruments. They are classified within Level 2 of the fair value hierarchy.

Debt is classified within Level 2 of the fair value hierarchy. As of December 31, 2024, short-term debt included the senior unsecured promissory note. The carrying amount of the senior unsecured promissory note approximated fair value due to its short-term maturity. As of June 30, 2025, long-term debt included the AR Facility with a floating interest rate based on market conditions. The carrying amount of the AR Facility approximates fair value. Refer to Note 8—*Debt and Receivables Securitization* for additional information on these two debt instruments.

------

**NOTE 6 – DIVESTITURES**

***Perceive Corporation***

In August 2024, the Company and one of its former subsidiaries, Perceive ("Seller"), of which the Company owned approximately 76.4% of the equity interests, entered into an Asset Purchase Agreement with Amazon.com Services LLC ("Buyer") pursuant to which Buyer agreed to purchase and assume from Seller substantially all the assets and certain liabilities of Seller for $80.0 million in cash, including a holdback of $12.0 million to be held for 18 months after the closing of the transaction to secure the Company's and Seller's indemnification obligations (the "Perceive Transaction"). The Perceive Transaction was subsequently completed in October 2024.

The Perceive Transaction did not represent a strategic shift that would have a major effect on the Company's consolidated results of operations, and therefore, its results of operations were not reported as discontinued operations.

*Holdback Consideration*

Upon completion of the Perceive Transaction, the holdback consideration of $12.0 million was estimated to have a then present value of $11.3 million, resulting in a discount of $0.7 million. For the three and six months ended June 30, 2025, the amount of discount accreted as interest income was insignificant.

As of June 30, 2025, the net carrying amount of the holdback consideration is as follows (in thousands):

---

| | |
|:---|:---|
|  | **June 30, 2025** |
| Holdback consideration | $12000 |
| Less: unamortized discount on holdback consideration | (355) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net carrying amount | $11645 |

---

***AutoSense In-cabin Safety Business and Related Imaging Solutions***

In December 2023, the Company entered into a definitive agreement with Tobii in connection with the AutoSense Divestiture. The AutoSense Divestiture represented a 100% equity sale transaction of two of the Company's wholly-owned subsidiaries and was expected to streamline the Company's business to further focus its business on entertainment-related products and services.

In January 2024, the AutoSense Divestiture was completed for total consideration of $44.3 million, comprised of $10.8 million of cash, a note receivable from Tobii (the "Tobii Note") of $27.7 million, and deferred consideration (as described under *Deferred Consideration* below) totaling $15.0 million, which was estimated to have a fair value of $5.8 million based on a present value factor as of January 31, 2024. The $10.8 million of cash included in the total consideration represents the cash balance that was transferred to Tobii upon completion of the AutoSense Divestiture to support operations during the transition and was subsequently returned to the Company, and as such, this amount is included in the assets sold as of January 31, 2024 and in the total consideration received. In addition, there may be potential earnout payments (as described under *Contingent Consideration* below) payable in 2031, contingent upon the future success of the divested AutoSense in-cabin safety business.

In connection with the AutoSense Divestiture, the Company also recorded a liability of $7.1 million for potential indemnification of certain pre-closing date matters.

------

As of January 31, 2024, the Company derecognized the carrying amounts of the following assets and liabilities (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **January 31, 2024** | **January 31, 2024** | **January 31, 2024** |
|  | **Current** | **Noncurrent** | **Total** |
| **Assets:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $11025 | $— | $11025 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net | 3392 |  | 3392 |
| &nbsp;&nbsp;&nbsp;&nbsp;Unbilled contracts receivable, net | 1398 | 5320 | 6718 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 812 |  | 812 |
| &nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net |  | 2291 | 2291 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating lease right-of-use assets |  | 3272 | 3272 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other noncurrent assets |  | 2887 | 2887 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets held for sale | $16627 | $13770 | $30397 |
| **Liabilities:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | $248 | $— | $248 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued liabilities | 4933 |  | 4933 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 1114 |  | 1114 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating lease liabilities, noncurrent |  | 2708 | 2708 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other noncurrent liabilities |  | 7064 | 7064 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities held for sale | $6295 | $9772 | $16067 |
| Net assets held for sale | $10332 | $3998 | $14330 |

---

Upon the completion of the AutoSense Divestiture, the Company recognized a pre-tax gain of $22.9 million.

The AutoSense Divestiture did not represent a strategic shift that would have a major effect on the Company's consolidated results of operations, and therefore, its results of operations were not reported as discontinued operations.

*Note Receivable from Tobii AB*

The Tobii Note, with a fixed interest rate of 8% per annum, matures on April 1, 2029 and is payable in three annual installments. Tobii may, at any time and on any one or more occasions, prepay all or any portion of the outstanding principal amount, along with accrued interest, without any penalty. In the event of default, an additional interest of 2% per annum may be applied to the outstanding balance of the Tobii Note, and the Company has the right to demand full or partial payment on the outstanding balance with unpaid interest.

The Tobii Note is secured by a floating lien and security interest in certain of Tobii's assets, rights, and properties, and contains customary affirmative and negative covenants including the restrictions on incurring certain indebtedness, and certain change of control and asset sale events, but does not include any financial covenants.

The Tobii Note has the following scheduled principal repayments (in thousands):

---

| | |
|:---|:---|
| **Date of Principal Payment:** | **Amount** |
| April 1, 2027 | $10000 |
| April 1, 2028 | 10000 |
| April 1, 2029 | 7676 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total principal payments | $27676 |

---

The Company elected to present accrued interest within the carrying amount of note receivable, noncurrent, in the condensed consolidated balance sheets. As of June 30, 2025, the carrying amount of the Tobii Note is as follows (in thousands):

---

| | |
|:---|:---|
|  | **June 30, 2025** |
| Outstanding principal amount | $27676 |
| Add: interest accrued to date | 3181 |
| &nbsp;&nbsp;&nbsp;&nbsp;Carrying amount—note receivable, noncurrent | $30857 |

---

------

Interest income recognized from the note receivable was $0.6 million and $0.5 million for the three months ended June 30, 2025 and 2024, respectively, and $1.2 million and $0.9 million for the six months ended June 30, 2025 and 2024, respectively.

*Deferred Consideration*

The deferred consideration consists of guaranteed future cash payments, which are scheduled to be made by Tobii in four annual payments as follows (in thousands):

---

| | |
|:---|:---|
| **Date of Payment:** | **Amount** |
| February 15, 2028 | $3000 |
| February 15, 2029 | 2250 |
| February 15, 2030 | 4500 |
| February 15, 2031 | 5250 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total future payments | $15000 |

---

At the closing date of the Tobii Note, there was $9.2 million of discount on the deferred consideration to be accreted as interest income up to the date of the final payment. Interest income accreted from the discount was $0.3 million for the three months ended June 30, 2025 and 2024, and $0.6 million and $0.4 million for the six months ended June 30, 2025 and 2024, respectively.

As of June 30, 2025, the net carrying amount of the deferred consideration is as follows (in thousands):

---

| | |
|:---|:---|
|  | **June 30, 2025** |
| Total deferred consideration | $15000 |
| Less: unamortized discount on deferred consideration | (7616) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net carrying amount | $7384 |

---

*Contingent Consideration*

The earnout represents potential incremental cash consideration, and the payment is contingent upon the achievement of certain targeted shipments, between January 1, 2024 and December 31, 2030, of qualified automotive products featuring the AutoSense in-cabin safety technology and the related imaging solutions.

At the closing date of the AutoSense Divestiture, the Company elected to apply the gain contingency guidance under ASC 450—*Contingencies*, as it could not reasonably estimate shipment amounts. As a result, the Company deferred the recognition of the contingent consideration until it becomes realized or realizable.

**NOTE 7 – INTANGIBLE ASSETS, NET**

Identified intangible assets consisted of the following (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
|  | **Weighted-Average Remaining Useful Life<br>(in years)** | **Gross Amount** | **Accumulated<br>Amortization** | **Net Carrying Value** |
| Finite-lived intangible assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquired patents | 4.8 | $17281 | $(6791) | $10490 |
| &nbsp;&nbsp;&nbsp;&nbsp;Existing technology / content database | 3.9 | 219919 | (199615) | 20304 |
| &nbsp;&nbsp;&nbsp;&nbsp;Customer contracts and related relationships | 3.9 | 493685 | (401356) | 92329 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trademarks/trade name | 2.0 | 39313 | (38981) | 332 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-compete agreements |  | 3101 | (3101) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total finite-lived intangible assets |  | 773299 | (649844) | 123455 |
| Indefinite-lived intangible assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;TiVo tradename/trademarks | N/A | 21400 |  | 21400 |
| Total intangible assets |  | $794699 | $(649844) | $144855 |

---

------

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Weighted-Average Remaining Useful Life<br>(in years)** | **Gross Amount** | **Accumulated<br>Amortization** | **Net Carrying Value** |
| Finite-lived intangible assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquired patents | 5.2 | $17281 | $(5687) | $11594 |
| &nbsp;&nbsp;&nbsp;&nbsp;Existing technology / content database | 4.0 | 219912 | (194041) | 25871 |
| &nbsp;&nbsp;&nbsp;&nbsp;Customer contracts and related relationships | 4.4 | 493685 | (389251) | 104434 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trademarks/trade name | 2.5 | 39313 | (38898) | 415 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-compete agreements |  | 3101 | (3101) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total finite-lived intangible assets |  | 773292 | (630978) | 142314 |
| Indefinite-lived intangible assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;TiVo tradename/trademarks | N/A | 21400 |  | 21400 |
| Total intangible assets |  | $794692 | $(630978) | $163714 |

---

As of June 30, 2025, the estimated future amortization expense of total finite-lived intangible assets was as follows (in thousands):

---

| | |
|:---|:---|
| **Year Ending December 31:** | **Amounts** |
| 2025 (remaining 6 months) | $15973 |
| 2026 | 31508 |
| 2027 | 30667 |
| 2028 | 30328 |
| 2029 | 14342 |
| Thereafter | 637 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total future amortization | $123455 |

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**NOTE 8 – DEBT AND RECEIVABLES SECURITIZATION**

***PNC AR Facility***

In February 2025, the Company entered into a Receivables Financing Agreement (the "RFA") to establish an accounts receivable securitization program (the "AR Facility") with PNC Bank, National Association ("PNC"). Under the AR Facility, certain of the Company's wholly-owned subsidiaries (collectively, the "Originators") agreed to periodically transfer and sell their trade receivables, which include accounts receivable and unbilled contracts receivable, and all related rights to Xperi SPV LLC ("Xperi SPV"), the Company's special purpose subsidiary, while the Company manages the associated collection and administrative responsibilities. In turn, Xperi SPV may borrow funds from PNC from time to time, secured by liens on the trade receivables.

The Company controls Xperi SPV and includes it in the Company's condensed consolidated financial statements. The transfer of the trade receivables is accounted for as a sale of financial assets. Once sold to Xperi SPV, the Originators have no continuing involvement in the transferred trade receivables. Further, the transferred trade receivables are no longer available to satisfy any outstanding debt owed to creditors of the Company or the Originators.

The maximum amount potentially available to borrow, based on the eligibility of the trade receivables, is $55.0 million. Interest on the outstanding balance is accrued at the sum of the (i) monthly Term SOFR Rate (as defined in the RFA) and (ii) 1.90%. Additional interest of 0.50% is accrued on the unused borrowing limit. Interest is payable on a monthly basis. The AR Facility matures on February 21, 2028, unless terminated earlier pursuant to its terms. Repayment of the outstanding principal is due at maturity; however, the Company may prepay all of the outstanding principal at any time, plus accrued and unpaid interest, without any premium or penalty. If, at any time, the aggregate outstanding principal exceeds the eligibility limit of the receivables, the Company is required to repay the excess amount borrowed immediately.

------

The AR Facility contains customary covenants included in debt arrangements, and certain liquidity and related covenants involving various types of financial performance measures such as liquidity ratio, default ratio, dilution ratio, delinquency ratio, and days sales outstanding. Subject in some cases to cure periods, amounts outstanding under the RFA may be accelerated for customary events of default including, but not limited to, the failure to make payments or deposits when due, borrowing base deficiencies, and the failure to observe or comply with any covenant. The Company was in compliance with all covenants as of June 30, 2025.

On February 21, 2025, the Company borrowed $40.0 million under the AR Facility and accounted for it as a secured borrowing. As of June 30, 2025, accounts receivable and unbilled contracts receivable totaling $119.2 million were included in the balance sheet of Xperi SPV and pledged as collateral against the borrowing.

The Company capitalized fees incurred to establish the securitization program of $1.2 million, which are amortized on a straight-line basis over the commitment term of three years. Fees amortized were immaterial for the three and six months ended June 30, 2025 and recognized under "interest expense – debt" in the condensed consolidated statements of operations.

***Vewd Promissory Note***

In connection with the acquisition of Vewd Software Holdings Limited ("Vewd") on July 1, 2022, the Company issued a senior unsecured promissory note (the "Promissory Note") to the sellers of Vewd in a principal amount of $50.0 million. Indebtedness outstanding under the Promissory Note bears an interest rate of 6.00% per annum, payable in cash on a quarterly basis. The Promissory Note was scheduled to mature on July 1, 2025, but the Company was permitted to prepay all of the outstanding principal at any time, plus accrued and unpaid interest, without any premium or penalty.

The outstanding principal of $50.0 million on the Promissory Note was classified as current as of December 31, 2024. In February 2025, the Company repaid the full outstanding principal along with accrued interest, with $40.0 million in loan proceeds from the AR Facility with PNC (as described above) and the remainder with cash on hand.

Total interest expense for debt was $0.8 million for the three months ended June 30, 2025 and 2024, and $1.5 million for the six months ended June 30, 2025 and 2024.

**NOTE 9 – NET LOSS PER SHARE**

Basic net loss per share attributable to the Company is computed by dividing the net loss attributable to the Company by the number of weighted-average outstanding common shares in the period. Potentially dilutive common shares, such as common shares issuable upon exercise of stock options, vesting of restricted stock units ("RSUs"), and shares purchased under the Employee Stock Purchase Plan ("ESPP") are typically reflected in the computation of diluted net income per share by application of the treasury stock method. Due to the net losses reported, these potentially dilutive securities were excluded from the computation of diluted net loss per share attributable to the Company, since their effect would be anti-dilutive.

The following table sets forth the computation of basic and diluted net loss per share attributable the Company (in thousands, except per share amounts):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Numerator: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss attributable to the Company - basic and diluted | $(14781) | $(30299) | $(33147) | $(43419) |
| Denominator: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted-average number of shares used in computing net loss per share attributable to the Company - basic and diluted | 45846 | 45331 | 45313 | 44926 |
| Net loss per share attributable to the Company - basic and diluted | $(0.32) | $(0.67) | $(0.73) | $(0.97) |

---

------

The following potentially dilutive shares were excluded from the calculation of diluted net loss per share because their effect would have been anti-dilutive for the periods presented (in thousands):

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| | | |
|:---|:---|:---|
|  | **Three and Six Months Ended June 30,** | **Three and Six Months Ended June 30,** |
|  | **2025** | **2024** |
| Stock options |  | 57 |
| Restricted stock units | 7386 | 7998 |
| ESPP | 71 | 92 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | 7457 | 8147 |

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**NOTE 10 – STOCKHOLDERS' EQUITY AND STOCK-BASED COMPENSATION**

***Equity Incentive Plans***

In connection with the Separation and on October 1, 2022, the Company adopted the Xperi Inc. 2022 Equity Incentive Plan (the "2022 EIP"), which allows the Company to grant stock options, RSUs, and performance-based awards to employees, non-employee directors, and consultants. The 2022 EIP includes an automatic annual increase to its share reserve on January 1 of each year as set forth in the plan document.

As of June 30, 2025, there were approximately 4.7 million shares reserved for future grants under the 2022 EIP.

***Employee Stock Purchase Plans***

In connection with the Separation and on October 1, 2022, the Company adopted the Xperi Inc. 2022 Employee Stock Purchase Plan (as amended in December 2023, the "2022 ESPP"). The 2022 ESPP provides an offering period of 12 months, commencing on each December 1 and June 1 during each period. Additionally, it includes a reset provision which is triggered if the fair market value per share of the Company's common stock on any purchase date during an offering period is less than the fair market value per share on the start date of any 12-month offering period. Upon occurrence of the reset, the existing offering period will automatically terminate and a new 12-month offering period will begin on the next business day.

Each reset is treated as a modification in accordance with ASC 718—*Stock Based Compensation*, with the incremental fair value recognized on a straight-line basis over the new offering period. The incremental fair value was not material for the six months ended June 30, 2025, and $2.0 million for the six months ended June 30, 2024.

As of June 30, 2025, there were 2.1 million shares reserved for future issuance under the 2022 ESPP.

The following table summarizes the valuation assumptions used in estimating the fair value of the 2022 ESPP for the offering periods in effect using the Black-Scholes option pricing model:

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| | | |
|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** |
| Expected life (years) | 0.5—1.0 | 0.5—1.0 |
| Risk-free interest rate | 4.4%—5.1% | 5.1%—5.4% |
| Dividend yield | 0.0% | 0.0% |
| Expected volatility | 43.0%—44.1% | 44.4%—45.0% |

---

***Stock Options***

The Company did not grant additional stock options during the six months ended June 30, 2025. All outstanding stock options were fully vested and exercisable as of June 30, 2025, but were immaterial for financial statement disclosure purposes.

------

***Restricted Stock Units***

Information with respect to outstanding RSUs (including both time-based vesting and performance-based vesting) for the six months ended June 30, 2025 is as follows (in thousands, except per share amounts):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Number of<br>Shares<br>Subject to<br>Time-<br>based Vesting** | **Number of<br>Shares<br>Subject to<br>Performance-<br>based Vesting** | **Total<br>Number of<br>Shares** | **Weighted<br>Average<br>Grant Date<br>Fair Value<br>Per Share** |
| Balance at December 31, 2024 | 5258 | 2147 | 7405 | $13.66 |
| Granted | 2272 | 712 | 2984 | $8.25 |
| Vested / released | (1999) | (143) | (2142) | $13.09 |
| Canceled / forfeited | (257) | (604) | (861) | $22.03 |
| Balance at June 30, 2025 | 5274 | 2112 | 7386 | $10.66 |

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***Performance-Based Awards***

From time to time, the Company may grant performance-based restricted stock units ("PSU") to senior executives, certain employees, and consultants. The value and the vesting of such PSUs are generally linked to one or more performance goals or certain market conditions determined by the Company, in each case on a specified date or dates or over any period or periods determined by the Company, and may range from zero to 200% of the grant. For PSUs subject to market conditions, the fair value per award is fixed at the grant date and the amount of compensation expense is not adjusted during the performance period regardless of changes in the level of achievement of the market condition.

The Company uses the closing trading price of its common stock on the date of grant as the fair value of awards or RSUs and PSUs that are based on Company-designated performance targets. For PSUs that are based on market conditions (the "market-based PSUs"), fair value is estimated by using a Monte Carlo simulation on the date of grant.

The following assumptions were used to value the market-based PSUs granted during the period:

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| | | |
|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** |
| Expected life (years) | 3.0 | 3.0 |
| Risk-free interest rate | 3.9% | 4.2% |
| Dividend yield | 0.0% | 0.0% |
| Expected volatility | 46.2% | 43.9% |

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***Stock-Based Compensation***

Total stock-based compensation expense for the three and six months ended June 30, 2025 and 2024 is as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Cost of revenue, excluding depreciation and amortization of intangible assets | $844 | $858 | $1888 | $1602 |
| Research and development | 3191 | 5831 | 7614 | 10164 |
| Selling, general and administrative | 6292 | 8614 | 12927 | 18294 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total stock-based compensation expense | $10327 | $15303 | $22429 | $30060 |

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Stock-based compensation expense categorized by award type for the three and six months ended June 30, 2025 and 2024 is summarized in the table below (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| RSUs | $8266 | $11160 | $18138 | $20345 |
| PSUs | 1954 | 2775 | 2994 | 7029 |
| ESPP | 107 | 1368 | 1297 | 2686 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total stock-based compensation expense | $10327 | $15303 | $22429 | $30060 |

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As of June 30, 2025, unrecognized stock-based compensation expense related to unvested equity-based awards is as follows (amounts in thousands):

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| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** |
|  | **Unrecognized Stock-Based Compensation** | **Weighted-Average Period to Recognize Expense <br>(in years)** |
| RSUs | $40667 | 1.9 |
| PSUs | 9026 | 2.0 |
| ESPP | 2165 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total unrecognized stock-based compensation expense | $51858 |  |

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**NOTE 11 – INCOME TAXES**

For the three and six months ended June 30, 2025, the Company recorded an income tax expense of $4.6 million and $8.1 million on a pretax loss of $10.1 million and $25.0 million, respectively; which resulted in an effective tax rate of (45.7)% and (32.5)%, respectively. The income tax expense for the three and six months ended June 30, 2025 was primarily related to foreign withholding taxes and foreign income taxes.

For the three and six months ended June 30, 2024, the Company recorded an income tax expense of $9.3 million and $13.6 million on a pretax loss of $21.4 million and $30.5 million, respectively; which resulted in an effective tax rate of (43.4)% and (44.4%), respectively. The income tax expense for the three and six months ended June 30, 2024 was primarily related to foreign withholding taxes, foreign income taxes, U.S. federal income taxes, and state income taxes.

As of June 30, 2025, gross unrecognized tax benefits of $15.3 million decreased by an immaterial amount compared to December 31, 2024. Of the $15.3 million gross unrecognized tax benefits, $1.2 million would affect the effective tax rate, if recognized. The Company is unable to reasonably estimate the timing of the long-term payments or the amount by which the liability will increase or decrease.

It is the Company's policy to classify accrued interest and penalties related to unrecognized tax benefits in the provision for income taxes. Recognition of interest and penalties related to unrecognized tax benefits was immaterial for the three and six months ended June 30, 2025 and 2024. As of June 30, 2025 and December 31, 2024, accrued interest and penalties were $0.2 million and $0.1 million, respectively.

As of June 30, 2025, the Company's 2020 through 2025 tax years are generally open and subject to potential examination in one or more jurisdictions. In addition, in the United States, any net operating losses or credits that were generated in prior years but not yet fully utilized in a year that is closed under the statute of limitations may also be subject to examination.

**NOTE 12 – LEASES** 

The Company leases office and research facilities, data centers and office equipment under operating leases with various expiration dates through 2032. Certain leases offer the option to renew for up to ten years and to terminate before the expiration date. Leases with an initial term of 12 months or less are not recorded on the balance sheets; expense for these leases is recognized on a straight-line basis over the lease term. Variable lease payments are expensed as incurred and are not included within the lease liability and right-of-use assets calculation.

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The Company subleases certain real estate to third parties. The sublease portfolio consists of operating leases for previously exited office space. Certain subleases include variable payments for operating costs. The subleases are generally co-terminus with the head lease, or shorter. Subleases generally do not include any residual value guarantees or restrictions or covenants imposed by the leases. Income from subleases is recognized as a reduction to selling, general and administrative expenses.

The components of operating lease costs were as follows (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Fixed lease cost <sup>(1)</sup> | $4126 | $4250 | $8296 | $8536 |
| Variable lease cost | 1244 | 896 | 2416 | 1949 |
| Less: sublease income | (2216) | (2147) | (4336) | (4078) |
| &nbsp;&nbsp;Total operating lease cost | $3154 | $2999 | $6376 | $6407 |

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<sup>(1)</sup> Includes short-term leases expensed on a straight-line basis.

The following table presents supplemental cash flow information arising from lease transactions (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Cash payments included in the measurement of operating lease liabilities | $4102 | $4428 | $8521 | $8924 |
| Operating ROU assets obtained in exchange for lease obligations | $2357 | $2024 | $9181 | $2024 |

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The weighted-average remaining term of the Company's operating leases and the weighted-average discount rate used to measure the present value of the operating lease liabilities are as follows:

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| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| Weighted-average remaining lease term (in years) | 4.5 | 2.9 |
| Weighted-average discount rate | 6.7% | 5.5% |

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Future minimum lease payments and related lease liabilities as of June 30, 2025 were as follows (in thousands):

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| | | | |
|:---|:---|:---|:---|
| **Year Ending December 31:** | **Operating Lease Payments** <sup>(1)</sup> | **Sublease Income** | **Net Operating Lease Payments** |
| 2025 (remaining 6 months) | $6570 | $(3183) | $3387 |
| 2026 | 10124 | (1563) | 8561 |
| 2027 | 7810 | (368) | 7442 |
| 2028 | 5501 | (379) | 5122 |
| 2029 | 3906 | (291) | 3615 |
| Thereafter | 6283 |  | 6283 |
| Total lease payments | 40194 | $(5784) | $34410 |
| Less: imputed interest | (5982) |  |  |
| Present value of operating lease liabilities | $34212 |  |  |
| Less: operating lease liabilities, current portion | (9956) |  |  |
| Noncurrent operating lease liabilities | $24256 |  |  |

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<sup>(1)</sup> Future minimum lease payments exclude short-term leases as well as payments to landlords for variable common area maintenance, insurance, and real estate taxes.

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**NOTE 13 – COMMITMENTS AND CONTINGENCIES**

***Purchase and Other Contractual Obligations*** 

In the ordinary course of business, the Company enters into contractual agreements with third parties that include non-cancelable payment obligations, for which it is liable in future periods. These arrangements primarily include unconditional purchase obligations to service providers. As of June 30, 2025, the Company's total future unconditional purchase obligations were approximately $128.3 million.

***Indemnifications*** 

In the normal course of business, the Company provides indemnifications of varying scopes and amounts to certain of its licensees, customers, and business partners against claims made by third parties arising from the use of the Company's products, intellectual property, services or technologies. The Company cannot reasonably estimate the possible range of losses that may be incurred pursuant to its indemnification obligations, if any. Variables affecting any such assessment include, but are not limited to: the scope of the contractual indemnification obligation; the nature of the third party claim asserted; the relative merits of the third party claim; the financial ability of the third party claimant to engage in protracted litigation; the number of parties seeking indemnification; the nature and amount of damages claimed by the party suing the indemnified party; and the willingness of such party to engage in settlement negotiations. The Company has received requests for indemnification, but to date none has been material and no liability has been recorded in the Company's financial statements.

As permitted under Delaware law, the Company has agreements whereby it indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at the Company's request in such capacity. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited; however, the Company believes, given the absence of any such payments in the Company's history, and the estimated low probability of such payments in the future, that the estimated fair value of these indemnification agreements is not material. In addition, the Company has directors' and officers' liability insurance coverage that is intended to reduce its financial exposure and may enable the Company to recover any payments under the indemnification agreements from its insurers, should they occur.

***Contingencies***

The Company and its subsidiaries have been involved in litigation matters and claims in the normal course of business. In the past, the Company or its subsidiaries have litigated to enforce their respective patents and other intellectual property rights, to enforce the terms of license agreements, to determine infringement or validity of intellectual property rights, and to defend themselves or their customers against claims of infringement or breach of contract. The Company expects it or its subsidiaries will be involved in similar legal proceedings in the future, including proceedings to ensure proper and full payment of royalties by licensees under the terms of their license agreements. Accruals for loss contingencies are recognized when a loss is probable, and the amount of such loss can be reasonably estimated.

An adverse decision in any legal actions could result in a loss of the Company's proprietary rights, subject the Company to significant liabilities, require the Company to seek licenses from others, limit the value of the Company's licensed technology or otherwise negatively impact the Company's stock price or its business and consolidated financial results. Although considerable uncertainty exists, the Company does not anticipate that the disposition of any of these matters will have a material effect on its business or consolidated financial statements.

**NOTE 14 - SEGMENT RELATED INFORMATION**

The Company has one operating and reportable segment. The Company's technologies are integrated into consumer devices and media platforms worldwide, powering smart devices, connected cars and entertainment experiences. The Company's Chief Executive Officer has been determined to be the chief operating decision maker ("CODM") in accordance with the authoritative guidance on segment reporting. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. The CODM assesses performance and decides how to allocate resources based on net income (loss) that also is reported on the statements of operations as consolidated net income (loss). The measure of segment assets is reported on the balance sheet as total consolidated assets.

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The following table presents information about reported segment revenue, significant segment expenses, and segment net loss for the three and six months ended June 30, 2025 and 2024 (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Revenue | $105933 | $119591 | $219966 | $238435 |
| Less: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of revenue, excluding depreciation and amortization of intangible assets <sup>(1)</sup> | 33549 | 28953 | 63148 | 58709 |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development <sup>(1)</sup> | 29783 | 45123 | 69332 | 95562 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative <sup>(1)</sup> | 41142 | 53102 | 89840 | 109455 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation expense | 3448 | 3278 | 6353 | 6862 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization expense | 9144 | 11042 | 18866 | 22081 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest and other income, net | (1747) | (1290) | (4042) | (2332) |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense - debt | 759 | 748 | 1491 | 1496 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on divestitures |  |  |  | (22934) |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for income taxes | 4636 | 9266 | 8125 | 13538 |
| Consolidated net loss | $(14781) | $(30631) | $(33147) | $(44002) |

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(1)Includes total salaries, bonuses, and employee benefits of $53.5 million and $67.3 million for the three months ended June 30, 2025 and 2024, respectively; and $122.0 million and $144.9 million for the six months ended June 30, 2025 and 2024, respectively.

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**Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.**

*The following discussion and analysis is intended to promote understanding of our results of operations and financial condition and should be read in conjunction with the attached unaudited condensed consolidated financial statements and notes thereto, and with our audited financial statements and notes thereto for the fiscal year ended December 31, 2024 found in our Form 10-K filed by Xperi Inc. ("Xperi," the "Company" "we," "us," "our," and similar references) on February 27, 2025 (our "Form 10-K").*

**Business Overview**

We are a leading consumer and entertainment technology company. We believe we create extraordinary experiences at home and on the go for millions of consumers around the world, enabling our unique audiences to connect with content in a more intelligent, immersive, and personal way. Powering smart devices, connected cars, entertainment experiences and more, we bring together ecosystems designed to reach highly-engaged consumers, allowing us and our ecosystem partners to uncover significant new business opportunities, now and in the future. Our technologies are integrated into consumer devices and a variety of media platforms worldwide, driving increased value for our partners, customers, and consumers. We operate in one reportable business segment and group our revenue into four categories: Pay-TV, Consumer Electronics, Connected Car and Media Platform. Headquartered in Silicon Valley with operations around the world, we have approximately 1,620 employees and more than 35 years of operating experience.

**Divestitures**

In December 2023, we entered into a definitive agreement with Tobii AB, an eye tracking and attention computing company, pursuant to which we agreed to sell our AutoSense in-cabin safety business and related imaging solutions (the "AutoSense Divestiture"). The AutoSense Divestiture was completed in January 2024 and has streamlined our business and further enhanced our focus on entertainment markets.

In August 2024, we entered into an Asset Purchase Agreement with Amazon.com Services LLC to sell substantially all of the assets and certain liabilities of Perceive Corporation ("Perceive", later known as Xperi Pylon Corporation and subsequently dissolved in December 2024), a subsidiary focused on edge inference hardware and software technologies, for a gross amount of $80.0 million in cash, including a holdback of $12.0 million to be held for 18 months after the closing of the transaction (the "Perceive Transaction") to secure our and Perceive's indemnification obligations. The Perceive Transaction was completed in October 2024, allowing us to be fully focused on entertainment-based solutions to grow our independent media platform and licensing businesses.

**Macroeconomic Conditions**

Macroeconomic conditions, including increased inflation and interest rates, recessionary fears, financial and credit market fluctuations, changes in economic policy, reduced discretionary consumer and corporate spending, tariffs, and global supply chain disruptions have had, and may continue to have, an adverse impact on our business and our customers. For example, in the second quarter of 2025, the changing macroeconomic environment created increased uncertainty for our customers in the markets in which we operate, negatively impacting our revenue and results of operations for the quarter. While we intend to remain vigilant in monitoring the impacts of these circumstances on our business and adapt accordingly, the effects of these macroeconomic conditions on our business, results of operations, and financial condition remain uncertain.

**Results of Operations**

The following table presents our operating results for the periods indicated as a percentage of revenue:

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Revenue | 100% | 100% | 100% | 100% |
| Operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of revenue, excluding depreciation and amortization of intangible assets | 32 | 24 | 29 | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 28 | 38 | 31 | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative | 39 | 44 | 41 | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation expense | 3 | 3 | 3 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization expense | 9 | 9 | 8 | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 111 | 118 | 112 | 123 |
| Operating loss | (11) | (18) | (12) | (23) |
| Interest and other income, net | 2 | 1 | 2 | 1 |
| Interest expense - debt | (1) | (1) | (1) | (1) |
| Gain on divestiture |  |  |  | 10 |
| Loss before taxes | (10) | (18) | (11) | (13) |
| Provision for income taxes | 4 | 8 | 4 | 6 |
| Net loss | (14)% | (26)% | (15)% | (19)% |

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**Comparison of the Three and Six Months Ended June 30, 2025 and 2024**

*Revenue*

We derive the majority of our revenue from licensing our technologies and solutions to customers. For our revenue recognition policy including descriptions of revenue-generating activities, refer to Note 2—*Revenue* of the Notes to the Condensed Consolidated Financial Statements (Unaudited).

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Revenue | $105933 | $119591 | $(13658) | (11)% |

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Revenue decreased by $13.7 million, or 11%, for the three months ended June 30, 2025 compared to the same period in the prior year. The decrease was primarily attributable to decreases of $17.1 million in Pay-TV and Connected Car revenue, partially offset by a combined increase of $3.4 million in Media Platform and Consumer Electronics revenue.

Pay-TV revenue decreased by $10.8 million compared to the second quarter of 2024 primarily due to declines in core guide products and consumer hardware and subscription revenue. This was partially due to higher minimum guarantee ("MG") revenue that occurred during the second quarter of 2024, which was partially offset by growth in TiVo video-over-broadband ("IPTV") solutions revenue. In addition, Connected Car revenue decreased by $6.3 million primarily attributable to certain MG revenue that occurred during the same period in the prior year, partially offset by continued increases in HD Radio and AutoStage revenue.

These decreases were partially offset by an increase of $1.9 million in Media Platform revenue, driven by higher advertising revenue associated with third-party advertising inventory, which was partially offset by a reduction in middleware solutions revenue, and an increase of $1.6 million in Consumer Electronics revenue as a result of higher MG revenue, which was partially offset by the impact from the divestiture of Perceive.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Revenue | $219966 | $238435 | $(18469) | (8)% |

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Revenue decreased by $18.5 million, or 8%, for the six months ended June 30, 2025 compared to the same period in the prior year. The decrease was primarily due to the divestitures of AutoSense and Perceive as well as a decline of $17.8 million in Pay-TV revenue attributable to declines in core guide products and consumer hardware and subscription revenue partially due to higher MG revenue that occurred during the same period in the prior year, which was partially offset by continued growth in

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IPTV solutions revenue. These decreases were partially offset by an increase of $2.6 million in Connected Car revenue primarily as a result of higher MG and licensing revenue from HD Radio.

*Operating Expenses*

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Cost of revenue, excluding depreciation and amortization of intangible assets | $33549 | $28953 | $4596 | 16% |
| Research and development | 29783 | 45123 | (15340) | (34)% |
| Selling, general and administrative | 41142 | 53102 | (11960) | (23)% |
| Depreciation expense | 3448 | 3278 | 170 | 5% |
| Amortization expense | 9144 | 11042 | (1898) | (17)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | $117066 | $141498 | $(24432) | (17)% |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Cost of revenue, excluding depreciation and amortization of intangible assets | $63148 | $58709 | $4439 | 8% |
| Research and development | 69332 | 95562 | (26230) | (27)% |
| Selling, general and administrative | 89840 | 109455 | (19615) | (18)% |
| Depreciation expense | 6353 | 6862 | (509) | (7)% |
| Amortization expense | 18866 | 22081 | (3215) | (15)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | $247539 | $292669 | $(45130) | (15)% |

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*Cost of Revenue, Excluding Depreciation and Amortization of Intangible Assets*

Cost of revenue, excluding depreciation and amortization of intangible assets, consists primarily of employee-related costs, royalties paid to third parties, hardware product-related costs, content and data costs, hosting fees, maintenance costs and an allocation of facilities costs, as well as service center and other expenses related to providing our offerings and non-recurring engineering services.

Cost of revenue, excluding depreciation and amortization of intangible assets, for the three months ended June 30, 2025 was $33.6 million, as compared to $29.0 million in the same period of the prior year, an increase of $4.6 million, or 16%. This increase was primarily attributable to higher costs incurred in connection with advertising revenue, partially offset by lower costs resulting from the Perceive Transaction.

Cost of revenue, excluding depreciation and amortization of intangible assets, for the six months ended June 30, 2025 was $63.1 million, as compared to $58.7 million in the same period of the prior year, an increase of $4.4 million, or 8%. This increase was primarily attributable to higher costs incurred in connection with advertising revenue, partially offset by lower costs resulting from the AutoSense Divestiture and the Perceive Transaction.

*Research and Development*

Research and development ("R&D") costs consist primarily of employee-related costs, stock-based compensation ("SBC") expense, engineering consulting expenses associated with new product and technology development, product commercialization, quality assurance and testing costs, as well as other costs related to patent applications and examinations, materials, supplies, and an allocation of facilities costs. Other than certain software development costs that are capitalized, all research and development costs are expensed as incurred.

Research and development expense for the three months ended June 30, 2025 was $29.8 million, as compared to $45.1 million in the same period of the prior year, a decrease of $15.3 million, or 34%. The decrease was primarily driven by lower R&D spend resulting from the Perceive Transaction, reductions in R&D employee headcount and lower bonus expenses.

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Research and development expense for the six months ended June 30, 2025 was $69.3 million, as compared to $95.6 million in the same period of the prior year, a decrease of $26.3 million, or 27%. The decrease was primarily driven by lower R&D spend in the AutoSense in-cabin safety business and related imaging solutions following the AutoSense Divestiture, lower expenses resulting from the Perceive Transaction, reductions in R&D employee headcount and lower bonus expenses.

*Selling, General and Administrative*

Selling expenses consist primarily of compensation and related costs (including SBC expense) for sales and marketing personnel engaged in sales and licensee support, marketing programs, public relations, promotional materials, travel, and trade shows. General and administrative expenses consist primarily of compensation and related costs (including SBC expense) for management, information technology, finance and legal personnel, legal fees and related expenses, facilities costs, and professional services. Our general and administrative expenses, other than facilities-related expenses and fringe benefits, are not allocated to other expense line items.

Selling, general and administrative expenses for the three months ended June 30, 2025 were $41.1 million, as compared to $53.1 million in the same period of the prior year, a decrease of $12.0 million, or 23%. The decrease was primarily attributable to reduced employee headcount, lower bonus expenses and SBC expense, and certain one-time transaction costs.

Selling, general and administrative expenses for the six months ended June 30, 2025 were $89.8 million, as compared to $109.5 million in the same period of the prior year, a decrease of $19.7 million, or 18%. The decrease was primarily attributable to reduced employee headcount, lower bonus expenses and SBC expense, and certain one-time transaction costs.

*Stock-based Compensation*

The following table sets forth our SBC expense for the three and six months ended June 30, 2025 and 2024 (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Cost of revenue, excluding depreciation and amortization of intangible assets | $844 | $858 | $1888 | $1602 |
| Research and development | 3191 | 5831 | 7614 | 10164 |
| Selling, general and administrative | 6292 | 8614 | 12927 | 18294 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total stock-based compensation expense | $10327 | $15303 | $22429 | $30060 |

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We recognized SBC expense from restricted stock units ("RSUs") and purchases made under our employee stock purchase plan ("ESPP"). The decreases of $5.0 million and $7.6 million in SBC expense for the three and six months ended June 30, 2025, respectively, when compared to the same periods of the prior year, was primarily driven by RSUs granted over time at lower valuations, lower expense for performance-based restricted stock units and reduced employee headcount.

*Depreciation Expense*

We recognized depreciation expense for certain equipment, capitalized internal-use software, leasehold improvements, and buildings and improvements. Depreciation expense for the three months ended June 30, 2025 was $3.4 million, as compared to $3.3 million in the same period of the prior year, an increase of $0.2 million, or 5%. The increase was primarily driven by increased capitalized internal-use software costs over the past 12 months.

Depreciation expense for the six months ended June 30, 2025 was $6.4 million, as compared to $6.9 million in the same period of the prior year, a decrease of $0.5 million, or 7%. The decrease was primarily due to certain fixed assets becoming fully depreciated, partially offset by an increase in depreciation related to internal-use software costs capitalized over the past 12 months.

*Amortization Expense*

We recognized amortization expense for certain intangible assets we acquired in business combinations that are recognized separately from goodwill. For the three and six months ended June 30, 2025, amortization expense decreased by $1.9 million and $3.2 million, or 17% and 15%, respectively, as compared to the same periods of the prior year. The decreases were primarily due to certain intangible assets becoming fully amortized over the past 12 months.

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As a result of intangible assets we acquired in previous mergers and acquisitions, we anticipate that amortization expenses will continue to be a significant expense over the next several years. See Note 7—*Intangible Assets, Net* of the Notes to Condensed Consolidated Financial Statements (Unaudited) for additional detail.

*Interest and Other Income, Net*

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Interest and other income, net | $1747 | $1290 | $457 | 35% |

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Interest and other income, net, was higher in the three months ended June 30, 2025, as compared to the same period in the prior year, principally due to an increase in foreign currency transaction gains.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Interest and other income, net | $4042 | $2332 | $1710 | 73% |

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Interest and other income, net, was higher in the six months ended June 30, 2025, as compared to the same period in the prior year, principally due to an increase in foreign currency transaction gains.

*Interest Expense—Debt*

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30,** | **Three Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Interest expense - debt | $(759) | $(748) | $(11) | 1% |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Interest expense - debt | $(1491) | $(1496) | $5 | (0)% |

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The interest expense on our debt remained constant in the three and six months ended June 30, 2025, when compared to the same periods in the prior year.

*Gain on Divestiture*

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |  |  |
|  | **2025** | **2024** | **$ Change** | **% Change** |
|  | **(dollars in thousands)** | **(dollars in thousands)** | **(dollars in thousands)** |  |
| Gain on divestiture | $— | $22934 | $(22934) | (100)% |

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As disclosed in Note 6—*Divestitures* of the Notes to the Condensed Consolidated Financial Statements (Unaudited), we completed the AutoSense Divestiture on January 31, 2024 and streamlined our business, further enhancing our focus on entertainment markets. Upon the completion of the AutoSense Divestiture, we recognized a pre-tax gain of $22.9 million during the six months ended June 30, 2024.

We did not have any divestitures during the three and six months ended June 30, 2025.

*Provision for Income Taxes*

For the three and six months ended June 30, 2025, we recorded an income tax expense of $4.6 million and $8.1 million on a pretax loss of $10.1 million and $25.0 million, respectively; which resulted in an effective tax rate of (45.7)% and (32.5)%, respectively. The income tax expense for the three and six months ended June 30, 2025 was primarily related to foreign withholding taxes and foreign income taxes.

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For the three and six months ended June 30, 2024, we recorded an income tax expense of $9.3 million and $13.6 million on a pretax loss of $21.4 million and $30.5 million, respectively, which resulted in an effective tax rate of (43.4)% and (44.4)%, respectively. The income tax expense for the three and six months ended June 30, 2024 was primarily related to foreign withholding taxes, foreign income taxes, U.S. federal income taxes, and state income taxes.

The need for a valuation allowance requires an assessment of both positive and negative evidence when determining whether it is more-likely-than-not that deferred tax assets are recoverable. Such assessment is required on a jurisdiction-by-jurisdiction basis. In making such assessment, significant weight is given to evidence that can be objectively verified. After considering both positive and negative evidence to assess the recoverability of our net deferred tax assets, we determined that it was unlikely that our federal, certain state, and certain foreign deferred tax assets with valuation allowances will be realized. For jurisdictions that currently have valuation allowances, we intend to maintain valuation allowances until there is sufficient evidence to support the reversal of all or some portion of these allowances. Release of the valuation allowance would result in the recognition of certain deferred tax assets and a decrease to income tax expense for the period the release is recorded. The exact timing and amount of the valuation allowance release depends on the level of profitability that we are able to achieve.

On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was signed into law in the U.S. The OBBBA contains a broad range of tax reform provisions affecting businesses. We are evaluating the full effects of the legislation on our estimated annual effective tax rate and cash tax position, but we expect that the legislation will likely not have a material impact on our financial statements.

------

**Liquidity and Capital Resources**

The following table presents selected financial information related to our liquidity and significant sources and uses of cash and cash equivalents as of and for the periods presented:

---

| | | |
|:---|:---|:---|
|  | **As of** | **As of** |
|  | **June 30, 2025** | **December 31, 2024** |
|  | **(dollars in thousands)** | **(dollars in thousands)** |
| Cash and cash equivalents | $95148 | $130564 |
| Current ratio<sup>(1)</sup> | 2.5 | 1.6 |

---

<sup>(1)</sup> The current ratio is a liquidity ratio that measures our ability to pay short-term obligations or those due within one year. The ratio is calculated by dividing current assets by current liabilities.

---

| | | |
|:---|:---|:---|
|  | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
|  | **2025** | **2024** |
|  | **(in thousands)** | **(in thousands)** |
| Net cash used in operating activities | $(12151) | $(51921) |
| Net cash used in investing activities | $(8986) | $(8443) |
| Net cash used in financing activities | $(14279) | $(1601) |

---

Our primary liquidity and capital resources are our cash and cash equivalents and borrowings available under an accounts receivable securitization program (the "AR Facility") with PNC Bank, National Association ("PNC"). Cash and cash equivalents were $95.1 million at June 30, 2025, a decrease of $35.5 million from $130.6 million at December 31, 2024. This decrease resulted primarily from cash used in operations of $12.2 million, $50.0 million in repayment of the Vewd Software Holdings Limited ("Vewd") senior unsecured promissory note, $9.0 million of capital expenditures, including capitalized internal-use software costs, and $6.3 million in payments of withholding taxes on net share settlement of equity awards, partially offset by $3.3 million in proceeds from the issuance of common stock under our ESPP, and $40.0 million in loan proceeds borrowed under the AR Facility with PNC. For detailed information regarding the repayment of the Vewd debt and the AR Facility, refer to "*Long-Term Debt Financing*" below.

For information about our material cash requirements, see "Liquidity and Capital Resources" in Part II, Item 7 of our Form 10-K. Our cash requirements have not changed materially since December 31, 2024.

***Stock Repurchase Program***

In April 2024, our Board of Directors (the "Board") authorized the repurchase of up to $100.0 million of our common stock (the "Program"). Under the Program, we may make repurchases, from time to time, through open market purchases, block trades, privately negotiated transactions, accelerated share repurchase transactions, or other means. We may also, from time to time, enter into Rule 10b5-1 plans to facilitate repurchases under the Program. As of June 30, 2025, we have repurchased a total of approximately 2.2 million shares of common stock, since inception of the Program, at an average price of $9.23 per share for a total cost of approximately $20.0 million. We did not repurchase any common stock during the three and six months ended June 30, 2025. As of June 30, 2025, the total remaining amount available for repurchase was $80.0 million. We may continue to execute authorized repurchases from time to time under the Program. There is no guarantee that such repurchases under the Program will enhance the value of our common stock.

**Cash Flows**

***Cash Flows from Operating Activities***

Net cash used in operating activities was $12.2 million for the six months ended June 30, 2025, primarily due to our net loss of $33.1 million being further adjusted by $26.1 million of changes in operating assets and liabilities, including payment of employee annual bonuses for 2024 performance, partially offset by non-cash items such as SBC expense of $22.4 million, amortization of intangible assets of $18.9 million, and depreciation expense of $6.4 million.

Net cash used in operating activities was $51.9 million for the six months ended June 30, 2024, primarily due to our net loss of $44.0 million being further adjusted by $42.2 million of changes in operating assets and liabilities, including payment of employee annual bonuses for 2023 performance, and $22.9 million of a non-cash gain recognized from the AutoSense

------

Divestiture, partially offset by non-cash items such as SBC expense of $30.1 million, amortization of intangible assets of $22.1 million, and depreciation expense of $6.9 million.

***Cash Flows from Investing Activities***

Net cash used in investing activities was $9.0 million and $8.4 million for the six months ended June 30, 2025 and 2024, respectively, which was primarily related to capital expenditures, including capitalized internal-use software.

*Capital Expenditures*

Our capital expenditures for property and equipment consist primarily of purchases of computer hardware and software, capitalized internal-use software, information systems, and production and test equipment. We expect capital expenditures in 2025 to be approximately $20.0 million. These expenditures are expected to be paid with existing cash and cash equivalents. Current expectations may not be realized, and plans may be revised following a reevaluation of our capital expenditure requirements.

***Cash Flows from Financing Activities***

Net cash used in financing activities was $14.3 million for the six months ended June 30, 2025, primarily due to the $50.0 million voluntary repayment of the Vewd senior unsecured promissory note, and $6.3 million in payment of withholding taxes related to net share settlement of equity awards, partially offset by $40.0 million in loan proceeds borrowed under the AR Facility with PNC and $3.3 million in proceeds from the issuance of common stock under our ESPP.

Net cash used in financing activities was $1.6 million for the six months ended June 30, 2024, due to $5.9 million in payment of withholding taxes related to net share settlement of equity awards, partially offset by $4.3 million in proceeds from the issuance of common stock under our ESPP.

***Long-Term Debt Financing***

In connection with the acquisition of Vewd on July 1, 2022, we issued a senior unsecured promissory note (the "Promissory Note") to the sellers of Vewd in the principal amount of $50.0 million, all of which was outstanding at December 31, 2024. Indebtedness outstanding under the Promissory Note bore an interest rate of 6.00% per annum, subject to certain potential adjustments. The Promissory Note was scheduled to mature on July 1, 2025. We were permitted, at any time and on any one or more occasions, to prepay all or any portion of the outstanding principal amount, plus accrued and unpaid interest, if any, under the Promissory Note without premium or penalty. On February 21, 2025, we voluntarily made a full principal payment of $50.0 million plus accrued interest by using a combination of cash on hand and a new long-term financing facility through the securitization of our accounts receivable as described below.

On February 21, 2025, we and Xperi SPV LLC ("Xperi SPV"), a special purpose subsidiary, entered into a Receivables Financing Agreement (the "RFA") with PNC, and PNC Capital Markets LLC, and a Sale and Contribution Agreement (together with the RFA, the "RF Agreements") among us, Xperi SPV and certain of our other wholly-owned subsidiaries to establish the AR Facility. Interest is payable on a monthly basis. The AR Facility is scheduled to terminate on February 21, 2028, unless terminated earlier pursuant to its terms. For a detailed description of the AR Facility, refer to Note 8— *Debt and Receivables Securitization*.

Upon entering into the RF Agreements on February 21, 2025, we borrowed $40.0 million under the AR Facility and selected the monthly Term SOFR Rate (as defined in the RFA). The RF Agreements contain various covenants that we believe are usual and customary. The interest payments on the AR Facility debt, exclusive of the debt issuance costs and related amortization, are expected to be approximately $2.6 million for the next 12 months and may vary with changes in interest rates. As of June 30, 2025, we were in compliance with the covenants under the RF Agreements. For more information on our AR Facility, see Note 8—*Debt and Receivables Securitization*.

***Liquidity***

We believe our current cash and cash equivalents, together with borrowings or availability under our AR Facility, will be sufficient to meet our needs for at least the next 12 months from the issuance date of the Condensed Consolidated Financial Statements included in this Quarterly Report. As we assess growth strategies, we may need to supplement our cash and cash equivalents with additional outside sources. As part of our liquidity strategy, we will continue to monitor our earnings and cash flow as well as our ability to access the capital markets as needed.

------

Poor financial results, unanticipated expenses, unanticipated acquisitions of technologies or businesses or unanticipated strategic investments could give rise to additional financing requirements sooner than we expect. Equity or additional debt financing may not be available when needed or, if available, equity or debt financing may not be on terms satisfactory to us. Additionally, disruption and volatility in the global capital markets and economic uncertainties, including those driven by tariffs, have impacted corporate and consumer confidence and could continue to impact our capital resources and liquidity in the future.

We may supplement our short-term liquidity needs with access to capital markets, if necessary, and strategic cost savings initiatives. Our access to capital markets may be constrained and our cost of borrowing may increase under certain business and market conditions, and our liquidity is subject to various risks including the risks identified in "Risk Factors" included in Part I, Item 1A of our Form 10-K and Part II, Item IA of this Quarterly Report.

**Critical Accounting Estimates**

During the six months ended June 30, 2025, there were no significant changes in our critical accounting estimates. For a discussion of our critical accounting estimates, see Part II, Item 7—Management's Discussion and Analysis of Financial Condition and Results of Operations in our Form 10-K.

**Recent Accounting Pronouncements**

See Note 1—*Description of Business and Summary of Significant Accounting Policies* of the Notes to Condensed Consolidated Financial Statements (Unaudited) included in this Quarterly Report for more information.

------

**Item 3. Quantitative and Qualitative Disclosures About Market Risk.**

Except as set forth below, there were no material changes to our exposure to market risk since December 31, 2024. For a discussion of our market risk, see Part II, Item 7A—Quantitative and Qualitative Disclosures About Market Risk in our Form 10-K.

*Interest Rate Risk*

We are exposed to changes in interest rates related to our RFA. As of June 30, 2025, we had outstanding indebtedness in the amount of $40.0 million under the AR Facility that was subject to variable interest rates, based on the secured overnight financing rate ("SOFR"). Changes in economic conditions outside of our control could result in higher interest rates, thereby increasing our interest expense and reducing the funds available for capital investment, operations or other purposes. Assuming no change in our outstanding indebtedness, we estimate that a 1% increase in the applicable SOFR interest rate would result in an annual increase in our interest expense of approximately $0.4 million. Any significant increase in our interest expense could negatively impact our results of operations and cash flows. If the U.S. Federal Reserve raises its benchmark interest rate, any increases would likely impact the borrowing rate on our outstanding indebtedness, and increase our interest expense, comparably.

**Item 4. Controls and Procedures.**

**Evaluation of Controls and Procedures**

In designing and evaluating our disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management is required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

Our management, including our Chief Executive Officer and Chief Financial Officer, conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act as of the end of the period covered by this Quarterly Report. Based on this evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were effective at the reasonable assurance level as of the end of such period.

**Change in Internal Control over Financial Reporting**

There has been no change in our internal control over financial reporting, as defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act, during the last fiscal quarter covered by this Quarterly Report on Form 10-Q that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

------

**PART II - OTHER INFORMATION**

**Item 1. Legal Proceedings.**

In the normal course of our business, we are involved in legal proceedings. In the past, we have litigated to enforce the terms of license agreements, determine infringement or validity of intellectual property rights, and defend ourselves or our customers against claims of infringement or breach of contract. We expect to continue to be involved in similar legal proceedings in the future. Although considerable uncertainty exists, our management does not anticipate that the disposition of these matters will have a material effect on our results of operations, consolidated financial position or liquidity. However, the disposition, costs, or liabilities could be material to our results of operations in the period recognized.

**Item 1A. Risk Factors**

Except as set forth below, there were no material changes to the risk factors previously disclosed in Part 1, Item 1A. of our Form 10-K.

***Macroeconomic uncertainties have in the past and may continue to adversely impact our business, results of operations, and financial condition.***

Macroeconomic uncertainties, including increased inflation and interest rates, recessionary fears, financial and credit market fluctuations, changes in economic policy, bank failures, labor disputes, tariffs, reduced discretionary consumer and corporate spending, and global supply chain constraints have in the past, and may continue to, adversely impact many aspects of our business. Our success depends, in part, on the level of discretionary consumer and corporate spending. Discretionary consumer and corporate spending is affected by many factors, including economic conditions affecting disposable consumer income and corporate spending, such as the rate of inflation, risk of recession, employment status, labor disputes, and interest and tax rates. In recent years, the economy has experienced unusually high inflation, increased perceived risk of recession, and higher interest rates, which has negatively impacted, and could continue to negatively impact consumer and corporate spending. For example, in the second quarter of 2025, macroeconomic uncertainties impacted our customers in the markets in which we operate and negatively impacted our revenue and results of operations for the quarter. A decrease in discretionary consumer and corporate spending, including as a result of recessionary fears or price increases stemming from the imposition of tariffs on foreign imports, could result, in particular, in a reduction in the production or the purchases of TVs, automobiles and consumer electronic devices, and a reduction in our licensing and monetization revenue. Similar to prior economic slowdowns and recessions, current macroeconomic conditions have resulted in, and may continue to result in, reduced consumer discretionary spending and reduced advertising expenditures by corporations. Any such conditions, including a reduction in entertainment promotional spending by media and content providers, have impacted, and could continue to significantly impact, our ability to generate revenue, and thus impact our business, financial condition and results of operations.

The extent to which macroeconomic uncertainties may continue to impact our operational and financial performance remains uncertain and will depend on many factors outside our control. These direct and indirect impacts have affected and may continue to negatively affect our business and operating results.

In addition, a significant reduction in the supply of original entertainment content, including as a result of macroeconomic factors or labor disputes (such as the 2023 strikes called by the Writers Guild of America and SAG-AFTRA), could in turn reduce the demand for advertising and media and entertainment promotional spending campaigns on our Media Platform solutions, and have a material adverse effect on our growth or negatively impact our results of operations.

***We are exposed to the risks related to international sales and operations.***

We derive a large portion of our total revenue from operations outside of the United States. Therefore, we face exposure to risks of operating in many foreign countries, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•difficulties and costs associated with complying with a wide variety of complex laws, treaties, regulations and compliance requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•fluctuations in foreign currency exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•restrictions on, or difficulties and costs associated with, the repatriation of cash from foreign countries to the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•earnings and cash flows that may be subject to tax withholding requirements or the imposition of tariffs;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•political and economic instability, trade conflict and international hostilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•unexpected changes in political or regulatory environments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•differing employment practices, labor compliance and costs associated with a global workforce;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•exchange controls or other restrictions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•import and export restrictions and other trade barriers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•difficulties in maintaining overseas subsidiaries and international operations; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•difficulties in obtaining approval for significant transactions.

Any one or more of the above factors may adversely affect our international operations and could significantly affect our business, financial condition, results of operations and cash flows. For example, the United States has indicated a shift in its trade policy, including renegotiating or terminating existing trade agreements and leveraging tariffs. Starting in April 2025, the United States imposed additional tariffs on imports from China, announced reciprocal and sectorial tariffs on imports from other countries, and is expected to impose new reciprocal tariff rates on imports effective August 7, 2025. These additional tariffs or any future tariffs, as well as a government's adoption of "buy national" policies or retaliation by another government against such tariffs or policies, have introduced significant uncertainty into the market and may strain global supply chain that we depend on, and may adversely affect the prices of and demand for the products that include our technologies, which could have a negative impact on the Company's results of operations. Furthermore, a decrease in discretionary consumer and corporate spending, including as a result of price increases stemming from the imposition of tariffs on foreign imports, could result in a reduction in the purchases of TVs, automobiles and consumer electronic devices, and could cause an ensuing reduction in our monetization revenue.

Further, the results of our operations will be dependent to a large extent upon the global economy. Geopolitical factors such as terrorist activities, wars, foreign invasion or armed conflict, tariffs, trade disputes, local or global recessions, diplomatic or economic tensions (such as the tension between China and Taiwan), long-term environmental risks, climate change, or global health conditions that adversely affect the global economy may adversely affect our business, financial condition and results of operations.

Additionally, our business could be materially adversely affected if foreign markets do not continue to develop, if we do not receive additional orders to supply our technologies, products or services for use by international Pay-TV service providers, TV OEMs, automobile, CE and set-top-box manufacturers, PPV/VOD providers and others, or if regulations governing our international business change. Changes to the statutes or regulations with respect to export of encryption technologies could require us to redesign our products or technologies or prevent us from selling our products and licensing our technologies internationally.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.**

(a) Not applicable.

(b) Not applicable.

(c) Purchases of Equity Securities by Issuer and Affiliated Purchasers.

We did not repurchase shares of our common stock during the three months ended June 30, 2025.

**Item 3. Defaults Upon Senior Securities.**

Not applicable.

**Item 4. Mine Safety Disclosures.**

Not applicable.

**Item 5. Other Information.**

(a) None.

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(b) None.

(c) Securities Trading Arrangements of Directors and Section 16 Officers.

During the quarter ended June 30, 2025, none of our directors or officers (as defined in Rule 16a-1(f) under the Securities Exchange Act of 1934, as amended) adopted, modified or terminated a "Rule 10b5-1 trading arrangement" or a "non-Rule 10b5-1 trading arrangement," as each term is defined in Item 408(a) of Regulation S-K.

------

**Item 6. Exhibits.**

---

| | |
|:---|:---|
| **Exhibit**<br>**Number** | **Exhibit Title** |
| 2.1\* | [<u>Asset Purchase Agreement by and among Xperi Inc., Perceive Corporation and Amazon.com Services LLC, dated August 14, 2024.</u>](xper-ex2_1.htm) |
| 3.1 | [<u>Amended and Restated Certificate of Incorporation of Xperi Inc. (Incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission on October 6, 2022).</u>](https://www.sec.gov/Archives/edgar/data/1788999/000119312522258604/d346290dex31.htm) |
| 3.2 | [<u>Certificate of Amendment of the Amended and Restated Certificate of Incorporation of Xperi Inc., dated May 29, 2024 (Incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission on May 31, 2024)</u>](https://www.sec.gov/ix?doc=/Archives/edgar/data/1788999/000119312524150932/d655623d8k.htm)<u>.</u> |
| 3.3 | [<u>Amended and Restated Bylaws of Xperi Inc. (as amended and restated on August 6, 2024).</u>](xper-ex3_3.htm) |
| 10.1 | [<u>Amended and Restated Form of 2022 Restricted Stock Unit Award Agreement of Xperi Inc. dated July 24, 2025.</u>](xper-ex10_1.htm) |
| 10.2 | [<u>Amended and Restated Form of 2022 Performance-Based Restricted Stock Unit Award Agreement of Xperi Inc. dated July 24, 2025.</u>](xper-ex10_2.htm) |
| 31.1 | [<u>Certification of the Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934</u>](xper-ex31_1.htm) |
| 31.2 | [<u>Certification of the Chief Financial Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934</u>](xper-ex31_2.htm) |
| 32.1 | [<u>Certification of the Chief Executive Officer and Chief Financial Officer pursuant to Rule 13a-14(b) of the Securities Exchange Act of 1934 and 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002</u>](xper-ex32_1.htm) |
| 101 | Inline XBRL Document Set for the condensed consolidated financial statements and accompanying notes in Part I, Item 1, "Financial Statements" of this Quarterly Report on Form 10-Q. |
| 104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |

---

\*Certain portions of this exhibit (indicated by "[\*\*\*]") have been omitted pursuant to Regulation S-K, Item 601(b)(2) because the omitted information (i) is not material and (ii) is treated as confidential by the Company.

------

**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 thereunto duly authorized.

Dated: August 7, 2025

---

| | |
|:---|:---|
| XPERI INC. | XPERI INC. |
| By: | /s/ Robert Andersen |
|  | Robert Andersen <br>Chief Financial Officer |

---

------

## Exhibit 2.1

**Certain information has been excluded from this exhibit because it (i) is not material and (ii) is the type of information the registrant customarily and actually treats as private or confidential. [\*\*\*] indicates that information has been redacted.**

**Exhibit 2.1**

**ASSET PURCHASE AGREEMENT**

**by and among**

**Amazon.com Services LLC, Perceive Corporation, and**

**Xperi Inc.**

**Dated as of August 14, 2024**

------

**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article I THE ASSET PURCHASE | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article I THE ASSET PURCHASE | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 | The Asset Purchase | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 | The Closing | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 | Consideration | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4 | Closing Deliveries | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.5 | Tax Withholding | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.6 | Non-Assignability of Purchased Assets | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article II REPRESENTATIONS AND WARRANTIES OF SELLER | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article II REPRESENTATIONS AND WARRANTIES OF SELLER | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 | Organization and Good Standing; Books and Records | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 | Authority and Enforceability | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 | Capitalization; Debt; Funds Flow | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 | No Approvals; No Conflicts | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 | Financial Statements; No Undisclosed Liabilities | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 | Absence of Certain Changes or Events | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 | Sufficiency of Purchased Assets; Property | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 | Labor and Employment Matters; Nondisclosure and Non-Competition Agreements | 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;2.9 | Employee Benefit Plans | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10 | Intellectual Property | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11 | Material Contracts | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12 | Claims, Legal Proceedings, and Orders | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.13 | Seller Permits; Compliance with Laws | 31 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.14 | Taxes | 32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.15 | Tax Consequences | 35 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.16 | Related Party Interests | 35 |

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---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.17 | Insurance | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.18 | Brokers or Finders | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.19 | Customers and Suppliers | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.20 | Conduct of the Business | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.21 | Solvency | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article III REPRESENTATIONS AND WARRANTIES OF BUYER | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article III REPRESENTATIONS AND WARRANTIES OF BUYER | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 | Organization and Good Standing | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 | Authority and Enforceability | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 | No Approvals; No Conflicts | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 | Brokers or Finders | 39 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article IV COVENANTS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article IV COVENANTS | 39 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 | Covenants of Seller and Seller Parent Prior to the Closing | 39 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 | Third-Party Consents; Terminations and Amendments; Notices; Actions | 41 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 | Further Action | 41 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 | Confidentiality; Public Announcements | 44 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5 | Non-Competition and Non-Solicitation | 44 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6 | Exclusivity | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7 | Tax Matters | 47 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8 | Employees | 48 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9 | Notification of Certain Matters | 50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.10 | Access to Information; Interim Period Cooperation | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.11 | Release of Claims | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.12 | Additional Purchased Assets | 52 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.13 | Section 280G Matters | 53 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.14 | Transferred Parent Rights | 53 |

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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;4.15 | Post-Closing Matters of Seller | 53 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.16 | Valuation | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article V CONDITIONS PRECEDENT TO OBLIGATIONS OF Buyer TO THE CLOSING | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article V CONDITIONS PRECEDENT TO OBLIGATIONS OF Buyer TO THE CLOSING | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 | Accuracy of Representations and Warranties | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 | Performance of Agreements | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 | Governmental Approvals and Consents | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 | Compliance with Laws | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 | Legal Proceedings | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 | Employment Arrangements | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 | Material Adverse Effect | 57 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 | Section 280G | 57 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 | Receipt of Closing Deliveries | 57 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article VI CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER TO THE CLOSING | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article VI CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER TO THE CLOSING | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 | Accuracy of Representations and Warranties | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 | Performance of Agreements | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 | Compliance with Laws; No Order | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 | Receipt of Closing Deliveries | 59 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article VII SURVIVAL AND INDEMNIFICATION | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article VII SURVIVAL AND INDEMNIFICATION | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 | Survival of Representations, Warranties, and Covenants | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 | Indemnification by Seller and Seller Parent | 61 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 | Limitations and Adjustments | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 | Procedure for Indemnification | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 | Third-Party Claims | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.6 | Adjustment to Purchase Price | 65 |

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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;7.7 | Payment | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.8 | Exclusive Remedies | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.9 | Guaranty | 66 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article VIII TERMINATION | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article VIII TERMINATION | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 | Termination | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 | Effect of Termination | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article IX GENERAL | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article IX GENERAL | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 | Expenses | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2 | Notices | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 | Severability | 68 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.4 | Entire Agreement | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.5 | Assignment; Parties in Interest | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.6 | Governing Law; Jurisdiction; Waiver of Jury Trial | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.7 | Headings; Construction | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.8 | Counterparts | 70 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.9 | Remedies | 70 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.10 | Amendment | 71 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.11 | Waiver | 71 |

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<u>Annexes</u>:

Annex A Definitions

Annex B Named Employees

<u>Exhibits</u>:

Exhibit A Release Agreement

Exhibit B Parachute Payment Waiver

Exhibit C Bill of Sale and Assignment and Assumption Agreement

Exhibit D-1 Patent Assignment Agreement

Exhibit D-2 Trademark Assignment Agreement

Exhibit D-3 Domain Name Assignment Agreement

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Exhibit D-4 Parent Rights Assignment Agreement

Exhibit E Transaction 8-K

Exhibit F Transition Services Agreement

Exhibit G Specified Assumption Agreement

<u>Schedules</u>:

Schedule 1.1(a)(i) Seller-Owned IP

Schedule 1.1(a)(ii) Seller Products

Schedule 1.1(a)(iii) Assumed Contracts

Schedule 1.1(a)(iv) Seller Permits

Schedule 1.1(a)(x) Transferred Prepaid Assets

Schedule 1.1(a)(xi) Transferred Data

Schedule 1.1(a)(xii) Transferred Leases

Schedule 1.1(a)(xiii) Transferred Equipment

Schedule 1.1(a)(xiv) Listed Technology

Schedule 1.1(b)(ii) Excluded Data

Schedule 1.1(c) Assumed Liabilities

Schedule 4.1 Seller and Seller Parent Covenants

Schedule 4.2(a) Required Consents

Schedule 4.2(b) Required Notices

Schedule 4.2(c) Required Actions

Schedule 4.13(a) Parachute Payments

Schedule 7.2(a)(xi) Specific Indemnity

Schedule A-1 Retention Bonus Amounts

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**ASSET PURCHASE AGREEMENT**

This Asset Purchase Agreement (this "***Agreement***") is made and entered into as of August 14, 2024 (the "***Agreement Date***"), by and among Amazon.com Services LLC, a Delaware limited liability company ("***Buyer***"), Perceive Corporation, a Delaware corporation ("***Seller***"), and Xperi Inc., a Delaware corporation ("***Seller Parent***"). Capitalized terms used but not otherwise defined herein shall have the meanings ascribed to such terms in ***Annex A***.

WHEREAS, Seller is engaged in the business of researching, developing, producing, licensing, offering and/or providing edge inference solutions, machine learning model compression technology and chips, chip sets and circuit designs to compress and serve large AI models on edge devices as currently conducted (the "***Business***");

WHEREAS, Seller desires to sell and assign to Buyer or its designated Affiliate or Affiliates, and Buyer desires to (or to cause its designated Affiliate or Affiliates to) purchase and assume from Seller, certain assets and liabilities of the Business, as more particularly set forth herein (the "***Asset Purchase***");

WHEREAS, the board of directors and the stockholders of Seller have determined that it is advisable and in the best interests of Seller and its stockholders that Seller consummates the Asset Purchase and the other transactions contemplated by this Agreement (collectively, the "***Transactions***"); and

WHEREAS, simultaneously with the execution of this Agreement and as a material inducement to the willingness of Buyer to enter into this Agreement, each of the Named Employees and each other Offered Employee (excluding, in each case, Business Employees located in the European Union who will transfer in accordance with Acquired Rights Regulations) is executing and delivering to Buyer (a) an offer letter in such form as the Buyer determines that describes, among other matters, the terms of each such employees employment with a Buyer Entity after the Closing (each, an "***Offer Letter***") and (b) the applicable Buyer Entity's standard form of Confidentiality, Noncompetition, and Invention Assignment Agreement (each, an "***NDA***"), the effectiveness of all such agreements being conditioned upon the Closing.

NOW, THEREFORE, in consideration of the premises, representations, warranties, and the mutual agreements and covenants set forth herein, and intending to be legally bound, Buyer, Seller, and Seller Parent hereby agree as follows:

**Article I<br>THE ASSET PURCHASE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.1 The Asset Purchase**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Upon the terms and subject to the conditions of this Agreement, effective as of the Closing, Buyer (or its designated Affiliate or Affiliates) agrees to purchase from Seller and Seller shall, and shall cause each Subsidiary of Seller to, convey, transfer, assign, and deliver to Buyer at the Closing, free and clear of all Encumbrances (other than Permitted Encumbrances), all of Seller's and such Subsidiaries' respective rights, titles, and interests in, to and under all of the assets and properties of Seller and such Subsidiary, wherever located, real, personal, or mixed,

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tangible or intangible, known or unknown, owned, held, or used by Seller or such Subsidiary in or arising from the conduct of the Business and as Seller currently proposes to conduct the Business as the same shall exist at the Closing, other than the Excluded Assets (the "***Purchased Assets***"), 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;(i) the Seller-Owned IP, including the items of Seller-Owned IP set forth on Schedule 1.1(a)(i);

&nbsp;&nbsp;&nbsp;&nbsp;&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 Seller Products, including the Seller Products set forth on Schedule 1.1(a)(ii);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the rights of Seller, and any obligations first arising after the Closing, under those Contracts of Seller set forth on Schedule 1.1(a)(iii), but excluding the Excluded Contracts (the "***Assumed Contracts***");

&nbsp;&nbsp;&nbsp;&nbsp;&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 extent transferrable, all Seller Permits listed on Schedule 1.1(a)(iv);

&nbsp;&nbsp;&nbsp;&nbsp;&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) true and complete copies of files, documents, databases, data, materials, books and records that are used in the operation of the Business and that are owned by and in the possession or control of Seller or its Affiliates, including customer and supplier lists and contact information, invoices and purchase orders, sales and pricing data, supplier records, customer correspondence, product data, manuals, sales and promotional literature, technical information, drawings, plans, designs, specifications and other engineering data and other business records that, in each case, relate to the operation of the Business, the Seller Products or any of the Purchased Assets (collectively, the "***Business Records***"); provided, however, that the Business Records will not include any (i) corporate records or Tax Returns and other tax records unrelated to the operation of the Business, the Seller Products or any of the Purchased Assets, or (ii) other records the transfer of which by Seller would be prohibited 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;(vi) copies of the emails of the Seller Service Providers related to the Business sent or received during the one-year period prior to the Closing and copies of any other emails that any of the Transferred Employees shall have archived 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;(vii) all rights under or with respect to any claims, causes of action, choses in action, litigation, rights of refund, rights of recovery, rights of recoupment, rights of set-off, credit and other similar rights, in each case, to the extent arising out of or relating to the Purchased Assets, and all rights and claims under transferable warranties, representations, indemnities and guarantees from third parties, including recoveries by settlement, judgment or otherwise in connection therewith, in each case, relating to the Purchased Assets or Assumed Liabilities, including all rights to seek and obtain injunctive relief and to sue for and recover Losses for the past, present, or future infringement, misappropriation, or other violation of any Intellectual Property Rights in the Seller-Owned IP, including Seller IP Registrations, and any and all corresponding rights that, now or hereafter, may be secured throughout the world;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) all rights of Seller or Seller Parent or any of their respective Affiliates under non-disclosure or confidentiality, non-compete or non-solicitation agreements with

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employees, former employees, consultants and independent contractors of Seller or Seller Parent or any of their respective Affiliates or with third parties (including prospective purchasers of the Business or any portion thereof), to the extent relating primarily to 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;(ix) all rights relating to the Assumed Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the prepaid expenses, deposits and advance payments of Seller described in Schedule 1.1(a)(x) (the "***Transferred Prepaid Assets***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) all data (in all cases excluding attorney-client privileged data) (A) primarily relating to the Purchased Assets (excluding, for this purpose and subject to <u>Section 4.12(c)</u>, any administrative data concerning the finance, accounting, tax, human resources, legal, payroll, employee benefits, reporting and compliance functions of the Business ("***Administrative Data***") that is not exclusively related to the Purchased Assets), or (B) otherwise set forth on Schedule 1.1(a)(xi), but excluding the Excluded Data (the "***Transferred Data***");

&nbsp;&nbsp;&nbsp;&nbsp;&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 Leases set forth on Schedule 1.1(a)(xii) (the "***Transferred Leases***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) all equipment, tangible personal property and tangible assets of Seller set forth on Schedule 1.1(a)(xiii) (the "***Transferred Equipment***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) all Technology of Seller set forth on Schedule 1.1(a)(xiv) (the "***Listed Technology***"); 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;(xv) all goodwill associated with the Business or the Purchased Assets, together with the right to represent to third parties that Buyer is the successor to the Business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the provisions of <u>Section 1.1(a)</u> above, the following assets and properties of Seller are not Purchased Assets and shall not be transferred to Buyer, but shall be retained by Seller, and shall be referred to collectively herein as the "***Excluded Assets***":

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Contract that is not an Assumed Contract (the "***Excluded Contracts***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) all data that is not Transferred Data, including as set forth on Schedule 1.1(b)(ii) (the "***Excluded Data***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all equipment, tangible personal property and tangible assets of Seller, except for the Transferred Equipment;

&nbsp;&nbsp;&nbsp;&nbsp;&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) cash or cash equivalents, securities, or short-term investments held by 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;(v) all bank accounts of 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;(vi) the corporate seals, organizational documents, minute books, stock books, Tax Returns, books of account, or other records having to do with organization of 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;(vii) all Leases, except for the Transferred Leases;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) all Employee Benefit Plans and all associated rights, assets, trusts, and accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) all letters of credit, loan facilities and performance bonds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) all insurance policies of Seller and all rights to applicable claims and proceeds thereunder, and all unearned insurance premium refunds 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;(xi) all refunds and prepayments of Taxes paid by Seller or its Affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) all accounts receivable, unbilled receivables and working capital assets of Seller arising out of any Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) all prepaid expenses, deposits and advance payments of the Business that are not Transferred Prepaid Assets (including, for the avoidance of doubt, the prepaid expenses, deposits and advance payments of Seller related to any Excluded Contracts);

&nbsp;&nbsp;&nbsp;&nbsp;&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) any equity securities of Seller, Seller Parent, and each of their Subsidiaries and/or 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;(xv) Shared Licenses and Shared Administrative Licenses;

&nbsp;&nbsp;&nbsp;&nbsp;&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) the rights retained by Seller under the Specified Assumption 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;(xvii) the rights that accrue or will accrue to Seller under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Effective as of the Closing, Buyer will (or will cause its designated Affiliate or Affiliates to) assume solely those Liabilities set forth in Schedule 1.1(c) (the "***Assumed Liabilities***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Other than the Assumed Liabilities, Buyer will not assume, pay, perform, discharge, or in any way be responsible for, and Seller shall retain, and shall be solely responsible for paying, performing, and discharging when due, any and all Liabilities of Seller of any kind or nature whatsoever, whether related to the Purchased Assets or otherwise, whether known or unknown, arising before or after, maturing before or after, or arising as a result of actions taken before or after, the Closing (collectively, the "***Excluded Liabilities***"), 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;(i) all Liabilities arising out of or relating to the operation of the Business by Seller or the development or Exploitation of the Seller IP by Seller, including any intercompany Liabilities arising between Seller, on one hand, and Seller Parent, any other equityholder of Seller or any of their respective 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;(ii) any executory obligations under Contracts of Seller, or any claim related to any breach or alleged breach by Seller of any Contract, whether arising before or after, maturing before or after, or arising as a result of actions taken before or after, the Closing;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any customer or supplier claims arising in connection with the conduct by Seller of the Business, whether arising before or after, maturing before or after, or arising as a result of actions taken before or after, 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;(iv) any Employee Liabilities and any Benefits Liabilities (excluding, for the avoidance of doubt, (A) any Liabilities of Buyer or any Buyer Entity that solely arise out of or result from the terms of Buyer's written agreements with Transferred Employees after Closing or (B) any such Liabilities that transfer to Buyer by operation of the Acquired Rights Regulations (such Liabilities related to the period at or prior to the Closing, the "***Acquired Rights Regulations Liabilities***"), provided that, with respect to (B), any such Acquired Rights Regulations Liabilities shall remain subject to the indemnification obligations set forth in <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;(v) any obligations or liabilities of Seller to its Stockholders or other equityholders, investors or debtholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any Liabilities arising out of or relating to Taxes of Seller or of any of its Affiliates, or any Liabilities of any Person other than Seller under Treasury Regulations Section 1.1502-6 (or any similar provision of federal, state, provincial, local or foreign law), as a transferee or successor, by contract or otherwise, and/or any Liabilities for Taxes incident to or arising out of the negotiation, preparation, approval or authorization of this Agreement or any other Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any Transaction Costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any Transaction Litigation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) any Liabilities arising out of or relating to any wind-down, liquidation, dissolution, or cessation of Seller's business operations, or the sale or license or distribution of Seller's assets; 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;(x) any Liabilities arising out of or relating to any violation of law by Seller or any of its Affiliates. Seller shall, and shall cause each of its Affiliates to, pay, perform, discharge and satisfy all Excluded Liabilities promptly following the time such Excluded Liabilities become due and payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Seller will electronically transfer any Listed Technology or Software that is part of the Purchased Assets that can be transmitted electronically to Buyer or its designated Affiliate or Affiliates at, or promptly following, the Closing. Specifically, Seller will electronically deliver such Listed Technology and Software to Buyer or its designated Affiliate or Affiliates stored on equipment located in the Commonwealth of Virginia or, if there is any change in Applicable Law after the Agreement Date, another location in the United States to be specified by Buyer in writing at least two (2) Business Days prior to the Closing. Seller will not deliver, and Seller will ensure that no Representative of Seller delivers, any such electronically delivered Listed Technology or Software that is a Purchased Asset to Buyer or its designated Affiliate or Affiliates on any tangible medium before, at or after the Closing. Promptly following any electronic transmission of Listed Technology or Software that is a Purchased Asset, Seller will deliver to Buyer a certificate in a form reasonably acceptable to Buyer, duly executed on behalf of Seller by a duly authorized officer

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of Seller and certifying, at a minimum, the following information: (i) the date of such electronic transmission, (ii) the time such electronic transmission was commenced and the time such electronic transmission was concluded, (iii) a reasonably detailed description of the Listed Technology or Software transferred by means of such electronic transmission, (iv) the location of Buyer (or its Affiliate or Affiliates) equipment to which the Listed Technology or Software is delivered based on the license key, IP address or other identifying information, and (v) a statement by the individual who made such transmission to the effect that such information is accurate. For the avoidance of doubt, nothing in this Section 1.1(e) shall be construed as requiring or permitting Seller to deliver any tangible assets in Virginia, even if such tangible assets previously contained such Listed Technology and Software.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.2 The Closing**

Upon the terms and subject to the conditions of this Agreement, the closing of the Asset Purchase (the "***Closing***") shall take place remotely by the electronic exchange of documents and signatures on the third Business Day after the satisfaction or waiver of the conditions set forth in <u>Article V</u> and <u>Article VI</u> (other than such conditions that, by their terms, are intended to be satisfied at the Closing, but subject to the satisfaction or waiver of such conditions) or at such other time and place as Buyer and Seller may mutually agree in writing. The date on which the Closing occurs is referred to herein as the "***Closing Date****.*"

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.3 Consideration**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.3.1 Purchase Price and Payment Terms**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In consideration for the sale, assignment, and transfer of the Purchased Assets, and subject to the terms and conditions in this Agreement, Buyer will pay to Seller an amount equal to $80,000,000 in cash (the "***Purchase Price***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Purchase Price shall be paid as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Indemnification Holdback Amount shall be retained by Buyer, to be paid to Seller as set forth in <u>Section 1.3.2(a)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) On the Closing Date, Buyer shall pay to Seller, by wire transfer of immediately available funds, an amount equal to the Purchase Price less the Indemnification Holdback Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to <u>Section ‎4.7(a)</u>, all sums to be paid by Buyer to Seller under this <u>Section 1.3.1</u> shall be inclusive of any Tax, including, where appropriate, value added, business, sales and any other similar Taxes that may be chargeable to the Transactions. To the extent that any value added, business, sales, or any similar Tax is chargeable, Seller shall, upon receipt of a valid invoice, pay such Tax to Buyer, or where appropriate, pay such Tax directly to the relevant Tax Authority as required. For the avoidance of doubt, any such Taxes shall be included in the calculation of Transfer Taxes pursuant to <u>Section 4.7(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Buyer shall prepare a proposed allocation of the Purchase Price (together with any other amounts treated as purchase price for U.S. federal (and applicable state and local) income

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Tax purposes) (the "***Tax Purchase Price***") among the Purchased Assets in a manner consistent with Section 1060 of the Code and Treasury Regulations thereunder (and any similar provision of federal, state, provincial, local, or non-U.S. law, as appropriate) (the "***Purchase Price Allocation***") and shall deliver to Seller a copy of such Purchase Price Allocation within 90 days following the Closing. Buyer shall consider in good faith all reasonable comments, if any, of Seller provided within 20 days of Seller's receipt of the Purchase Price Allocation, after which time, the Purchase Price Allocation will be deemed final and binding on Buyer and Seller. Buyer and Seller shall report and file all Tax Returns (including, but not limited to a timely filed Form 8594) consistent with the Purchase Price Allocation except to the extent otherwise required by a final "determination" within the meaning of Section 1313(a)(1) of the Code (and similar provisions of state, local and non-U.S. Law). In addition, Buyer, on the one hand, and Seller, on the other hand, agree to provide each other with their respective Federal Tax Identification numbers at Closing for purposes of reporting this transaction to the Internal Revenue Service on Form 8594. Neither Buyer nor Seller shall take any position (whether in audits, Tax Returns or otherwise) that is inconsistent with the Purchase Price Allocation unless required to do so by Applicable Law, and each of Buyer and Seller shall make consistent use of such allocation for all Tax purposes except to the extent otherwise required by a final "determination" within the meaning of Section 1313(a)(1) of the Code (and similar provisions of state, local and non-U.S. Law). In the event of any adjustments to the Tax Purchase Price after the Closing, Buyer and Seller shall amend the Purchase Price Allocation to reflect such adjustments to the Tax Purchase Price in a manner consistent with the requirements of Section 1060 of the Code and the methodology used in preparing the original Purchase Price Allocation and file any additional Tax Returns (including IRS Form 8594) that are required by Applicable Law as a result of such adjustments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.3.2 Indemnification Holdback** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary herein, as a partial mechanism to satisfy the obligations of Seller and Seller Parent set forth in <u>Article VII</u>, an aggregate of $[\*\*\*] of the Purchase Price (the "***Indemnification Holdback Amount***") shall not be paid to Seller at the Closing, but shall instead be withheld by Buyer, and thereafter paid to Seller as set forth in this <u>Section 1.3.2(a)</u> or to Buyer as set forth in <u>Article VII</u> (the aggregate amount of cash so held by Buyer, from time to time, the "***Indemnification Holdback Fund***"). Within five Business Days following the date that is [\*\*\*] months after the Closing Date (the "***Release Date***"), Buyer or its Affiliate shall pay to Seller by wire transfer of immediately available funds in accordance with wire transfer instructions provided by Seller to Buyer no later than three Business Days prior to the Release Date, (i) the Indemnification Holdback Fund, *<u>less</u>* (ii) the sum of (A) any amount previously forfeited to Buyer in satisfaction of any resolved or settled Indemnification Claim by any Indemnified Party, and (B) an amount sufficient to satisfy any then pending Indemnification Claims made by any Indemnified Party. Promptly following the final resolution of, and full payment or credit in connection with, all such pending Indemnification Claims, Buyer or its Affiliate shall pay to Seller by wire transfer of immediately available funds in accordance with wire transfer instructions provided by Seller any remaining portion of the Indemnification Holdback Fund. The Indemnification Holdback Fund shall not accrue interest. To the extent required by Applicable Law, a portion of any amounts released from the Indemnification Holdback Fund may be treated and reported for U.S. federal income Tax purposes as imputed interest.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The rights of Seller to receive payment from the Indemnification Holdback Fund is personal to Seller and is not transferable or assignable, and any purported transfer or assignment shall be void.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.4 Closing Deliveries**

At or prior to the Closing, (a) Buyer shall deliver to Seller all certificates, instruments, documents, and other deliverables set forth in <u>Article VI</u> and (b) Seller shall deliver to Buyer all certificates, instruments, documents, and other deliverables set forth in <u>Article V</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.5 Tax Withholding**

Notwithstanding anything to the contrary herein, Buyer shall be entitled to deduct and withhold from any payments of the Purchase Price and any other payments contemplated by this Agreement (inclusive of the Indemnification Holdback Amount) such amounts as Buyer, in its sole discretion, determines are required to be deducted and withheld with respect to the making of such payment under the Code or other Applicable Law. In the event Buyer determines any amounts are required to be so deducted or withheld (except (x) as a result of Seller's failure to provide an IRS Form W-9 or (y) to the extent amounts are treated as compensation for services), Buyer shall use commercially reasonable efforts to provide Seller with written notice prior to withholding any amounts (which such notice shall include a reasonable explanation of the basis of such withholding) and, in the event such notice is given, Buyer and Seller shall use commercially reasonable efforts to cooperate to seek to reduce or eliminate such withholding. To the extent that amounts are so deducted or withheld in accordance with this <u>Section 1.5</u>, such amounts shall be paid to the applicable Tax Authority or Governmental Body, and shall be treated for all purposes of this Agreement as having been paid to the Person in respect of whom such deduction and withholding were made. At or prior to the Closing, and at such time thereafter as reasonably requested by Buyer, Seller shall provide Buyer a duly executed copy of any IRS Form W-9, W-8, or W-4 and any other certificates or forms, as applicable, with respect to Seller, Seller Parent, or any other Persons, in order to allow Buyer to meet its withholding and information reporting obligations under Applicable Law. Buyer shall not have any obligation after the Closing to pay any amount under this Agreement to Seller or any other Persons receiving payment if Seller or such other Person has not provided any IRS Form W-8, W-9, or W-4, any clearance certificate or any other certificates or forms that Buyer may reasonably request in order to satisfy withholding and information reporting obligations under Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.6 Non-Assignability of Purchased Assets**

Notwithstanding anything to the contrary herein, to the extent that the sale, assignment, transfer, conveyance, or delivery or attempted sale, assignment, transfer, conveyance, or delivery to Buyer of any Purchased Assets or any Claim or right or any benefit arising thereunder or resulting therefrom is prohibited by Applicable Law or would require any governmental or third-party authorizations, approvals, consents, or waivers, and such authorizations, approvals, consents, or waivers have not been obtained prior to the Closing, the Closing may proceed without the sale, assignment, transfer, conveyance, or delivery of such Purchased Asset if agreed in writing between Buyer and Seller. Following the Closing, Seller shall use reasonable best efforts, and cooperate with Buyer, to obtain promptly all such authorizations, approvals, consents, or waivers. Pending

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such authorizations, approvals, consents, or waivers, the parties shall cooperate with each other in any mutually agreeable, reasonable, and lawful arrangements designed to provide Buyer the benefits of use of such Purchased Asset that it would have obtained had such Purchased Asset been sold, assigned, transferred, conveyed, or delivered to Buyer at the Closing. Once authorization, approval, consent, or waiver for the sale, assignment, transfer, conveyance, or delivery of any such Purchased Asset not sold, assigned, transferred, conveyed, or delivered at the Closing is obtained, Seller shall assign, transfer, convey, and deliver such Purchased Asset (and any associated Assumed Liabilities) to Buyer at no additional cost. To the extent that any such Purchased Asset cannot be assigned, transferred, conveyed, or delivered and the full benefits of use of any such Purchased Asset cannot be provided to Buyer following the Closing pursuant to this <u>Section 1.6</u>, then Buyer and Seller shall enter into such reasonable and lawful arrangements (including subleasing, sublicensing, or subcontracting) to provide the parties hereto the economic and operational equivalent, to the extent permitted, of the assignment, transfer, conveyance, and delivery of such Purchased Asset. Seller shall hold in trust for and pay to Buyer promptly upon receipt all income, proceeds, and other monies received by Seller or any of its Affiliates in connection with any Purchased Asset in connection with the arrangements under this <u>Section 1.6</u>.

**Article II<br>REPRESENTATIONS AND WARRANTIES OF SELLER**

Except as disclosed in the corresponding schedules of the disclosure memorandum delivered by Seller to Buyer prior to the execution of this Agreement (the "***Disclosure Memorandum***") (each of which disclosures shall be deemed to be disclosed and incorporated in each other schedule of the Disclosure Memorandum solely to the extent its applicability to such other schedule is readily apparent on its face from the actual text of the disclosures without any reference to extrinsic documentation or any independent knowledge of the reader regarding the matter disclosed, and each of which disclosures shall be read together with the corresponding sections and, if applicable, the subsections, of this <u>Article II</u> to constitute the representations and warranties made by Seller under this <u>Article II</u>, except that no such disclosure shall be deemed to be disclosed in Schedule 2.6(b) to the Disclosure Memorandum unless expressly stated therein), in order to induce Buyer to enter into and perform this Agreement, each of Seller and Seller Parent represents and warrants to Buyer as of the Agreement Date and as of the Closing Date as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.1 Organization and Good Standing; Books and Records**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each of Seller and Seller Parent is duly organized, validly existing, and in good standing under the laws of the jurisdiction of its incorporation, and Seller has all requisite corporate power and authority to own, operate, and lease its properties and assets and to carry on the Business as now conducted. Each Subsidiary of Seller is (i) a corporation or limited liability company, as applicable, duly incorporated, validly existing and in good standing (to the extent that the concept of "good standing" or equivalent thereof is applicable in the case of any jurisdiction outside the United States) under the laws of the jurisdiction of its incorporation or formation, as applicable, as set forth on Schedule 2.1(a) to the Disclosure Memorandum, and has full corporate or limited liability company, as applicable, power and authority to own, lease and operate its properties and to carry on its business as now conducted, except where the failure to have such power or authority would not be materially adverse to Seller and its Subsidiaries, taken as a whole, and (ii) duly qualified or licensed as a foreign corporation to do business, and is in good standing (to the extent

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that the concept of "good standing" or equivalent thereof is applicable in the case of any jurisdiction outside the United States), in each jurisdiction where the character of the properties and assets occupied, owned, leased or operated by it or the nature of its business makes such qualification or licensing necessary, except where the failure to be so duly qualified or licensed would not be materially adverse to Seller and its Subsidiaries, taken as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller has furnished to Buyer accurate and complete copies of (i) the governing documents, (ii) minute books and (iii) stock records and other records of Seller related to the outstanding Equity Interests of Seller (the "***Stock Records***"). Such books and records accurately reflect in all material respects all meetings of the board of directors (including any committees thereof) and all meetings of the stockholders of Seller and all actions taken by written consent of the board of directors (including any committees thereof) of Seller and of the stockholders of Seller, as applicable, since the inception of Seller through the Agreement Date, the minutes contained therein accurately reflect in all material respects the events of and actions taken at such meetings, and such Stock Records accurately reflect all issuances, transfers, and cancellations of Equity Interests of Seller. There has been no violation or breach of, or default under, any provision of the governing documents of Seller, and Seller has not taken any action that is inconsistent in any material respect with any resolution adopted by the stockholders or board of directors or any committee of the board of directors of Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Schedule 2.1(c)</u> to the Disclosure Memorandum sets forth an accurate and complete list of (i) the names of the directors of Seller, (ii) the names of the members of each committee of the Board of Directors of Seller, if applicable, and (iii) the names and titles of the officers of Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.2 Authority and Enforceability**

Each of Seller and Seller Parent has full corporate power and authority to execute this Agreement and the other Operative Documents to which it is (or will be) a party and to perform its obligations hereunder and thereunder and, subject to the adoption of this Agreement and approval of the Transactions by the affirmative vote or written consent of the holders of at least a majority of all shares of Common Stock and Preferred Stock (voting together as a single voting class on an as-converted to Common Stock basis) (the "***Stockholder Approval***") to consummate the Transactions. This Agreement has been duly executed and delivered by each of Seller and Seller Parent and, assuming the due authorization, execution, and delivery by each of the other parties hereto, this Agreement is the valid and binding obligation of each of Seller and Seller Parent, enforceable against each of Seller and Seller Parent in accordance with its terms, and each of the other Operative Documents to which it is (or will be) a party, when executed by Seller or Seller Parent, respectively, and assuming the due authorization, execution, and delivery by each of the other parties thereto, is (or will be) the valid and binding obligation of Seller or Seller Parent, as applicable, enforceable against Seller or Seller Parent, as applicable, in accordance with its terms, in each case, except to the extent such enforceability is subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium, or other Applicable Law affecting or relating to creditors' rights generally and general principles of equity. The board of directors of Seller, at a meeting duly called and held, or by written consent in lieu thereof, has unanimously (i) determined that this Agreement and the Transactions are fair to, and in the best interests of, Seller and the Stockholders, (ii) approved and declared advisable the execution, delivery, and performance of this Agreement and the consummation of the Transactions, and (iii) resolved to

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recommend that the Stockholders adopt this Agreement and approve the Transactions. The only affirmative votes or written consents of the holders of any classes or series of capital stock of Seller necessary to adopt this Agreement and approve the Transactions are the votes that constitute the Stockholder Approval. All actions relating to the solicitation and obtainment of the Stockholder Approval with respect to this Agreement have been and will be taken in compliance with Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.3 Capitalization; Debt; Funds Flow**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The authorized capital stock of Seller consists of 55,500,000 shares of common stock, $0.001 par value per share ("***Common Stock***") and 40,000,000 shares of preferred stock, $0.001 par value per share ("***Preferred Stock***"), of which 12,466,786 shares of Common Stock and 40,000,000 shares of Preferred Stock are issued and outstanding as of the Agreement Date. <u>Schedule 2.3(a)</u> to the Disclosure Memorandum sets forth the record and beneficial owners of such outstanding shares of Common Stock and Preferred Stock. All outstanding Equity Interests have been duly authorized, are fully paid and nonassessable, and have been validly issued in compliance with Applicable Law. Except for Perceive Canada, Seller does not own and has never owned, directly or indirectly, any ownership, equity or voting interest in any Person. Except for Seller, no Person owns any capital stock or other equity interests of Perceive Canada. Except as set forth above (including <u>Schedule 2.3(a)</u> to the Disclosure Memorandum), there are no other outstanding shares of capital stock of, or other equity or voting interests in, Seller or any Subsidiary of Seller, and, other than the Convertible Notes, no outstanding securities of Seller or any Subsidiary of Seller convertible into or exchangeable for shares of capital stock of, or other equity or voting interests in, Seller or any such Subsidiary of Seller, and no outstanding options, warrants, rights, or other commitments or agreements to acquire from Seller or any such Subsidiary of Seller, or that obligate Seller or any Subsidiary of Seller to issue, any capital stock of, or other equity or voting interests in, or any securities convertible into or exchangeable for shares of capital stock of, or other equity or voting interests in, Seller or such Subsidiary of Seller, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller has delivered to Buyer accurate and complete copies of all agreements relating to the outstanding Equity Interests as well as any equity interests in Seller Parent whose vesting, conversion, or exercisability will be affected by the Transactions. There are no appreciation rights, phantom rights, or any similar rights with respect to Seller. Seller has never declared or paid any dividends on any shares of Common Stock, and there is no Liability for dividends accrued and unpaid by Seller. There are no shareholders agreements or similar agreements, including any that affect or restrict the voting rights of the capital stock of Seller, and there are no agreements obligating Seller to repurchase or redeem any Equity Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Other than the Convertible Notes, neither Seller nor any Subsidiary of Seller has any outstanding Debt, the holder of which (i) has the right to vote (or that is convertible into securities that have the right to vote) with the Stockholders on any matter or (ii) is or will become entitled to any payment as a result of the Transactions. <u>Schedule 2.3(c)</u> to the Disclosure Memorandum sets forth an accurate and complete list of all Debt, including, for each item of Debt, the Contract governing such Debt and the interest rate, maturity date, any assets securing such Debt, and any prepayment or other penalties payable in connection with the repayment of such Debt at the Closing.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Closing of the Transactions shall constitute a Liquidation Event (as defined in the Certificate of Incorporation) and, as a result thereof, the holders of Common Stock, in respect of such Common Stock, will not receive any proceeds in connection with consummation of the Transactions and payment of the Purchase Price hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.4 No Approvals; No Conflicts** 

The execution, delivery, and performance by each of Seller and Seller Parent of this Agreement and the other Operative Documents to which Seller or Seller Parent, as applicable, is (or will be) a party and the consummation by Seller and Seller Parent of the Transactions do not and will not (a) conflict with or result in a breach of or constitute a default under any provision of the governing documents of Seller or any Subsidiary of Seller, (b) violate (with or without the giving of notice or lapse of time, or both) Applicable Law, (c) require any filing with, consent, approval, or authorization of, notification or other submission to, or confirmation or clearance from, any Person, other than the Stockholder Approval, (d) result in a default (with or without the giving of notice or lapse of time, or both) under, or acceleration or termination of, or the creation in any Person of the right to accelerate, terminate, modify, or cancel, any Encumbrance (other than Permitted Encumbrances of the nature described in subclauses (a) – (c) of the definition thereof), Contract, obligation, or Liability to which Seller or any Subsidiary of Seller is a party or by which it is bound or to which any assets of Seller (including the Purchased Assets) or any Subsidiary of Seller are subject, (e) result in the creation of any Encumbrance (other than Permitted Encumbrances of the nature described in subclauses (a) – (c) of the definition thereof) on any Purchased Assets or any Subsidiary of Seller, (f) invalidate or adversely affect any Seller Permit, or (g) impair the right of a Buyer Entity after the Closing to Exploit any Seller-Owned IP purchased by such Buyer Entity at the Closing or any other Seller IP (i.e., Seller IP that is not Seller-Owned IP) assumed by such Buyer Entity at the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.5 Financial Statements; No Undisclosed Liabilities**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 2.5(a)</u> to the Disclosure Memorandum sets forth (i) the unaudited balance sheets and statements of operations and cash flows of Seller at and for the three fiscal years ended December 31, 2021, 2022, and 2023 (the "***Annual Financial Statements***") and (ii) an unaudited balance sheet and statements of operations and cash flows of Seller at and for the three-month period ended March 31, 2024 (the "***Interim Financial Statements***" and collectively with the Annual Financial Statements, the "***Financial Statements***"). The Financial Statements (i) are accurate and complete except in di minimis respects, and prepared based on the books and records of Seller, (ii) have been prepared in conformity with GAAP on a basis consistent with prior accounting periods (except as may be indicated in the notes thereto), and (iii) fairly present in all material respects the financial position, results of operations, and changes in financial position of Seller as of the dates and for the periods indicated, except as otherwise noted therein and subject, in the case of the Interim Financial Statements, to normal and recurring year-end adjustments and the absence of notes that will not, individually or in the aggregate, be material. The balance sheet of Seller as of March 31, 2024 (the "***Seller Balance Sheet Date***") is herein referred to as the "***Seller Balance Sheet.***" Seller has no material Liabilities that are not fully reflected or reserved against, as prescribed by GAAP, in the Seller Balance Sheet, except Excluded Liabilities incurred since the Seller Balance Sheet Date in the Ordinary Course that would not, individually or in the aggregate, reasonably be expected to be materially adverse to Seller and its Subsidiaries, taken as

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a whole. Seller has no off-balance-sheet Liability to, or any financial interest in, any third party or entities, the purpose or effect of which is to defer, postpone, reduce, or otherwise avoid or adjust the recording of debt expenses incurred by Seller. All reserves that are set forth in or reflected in the Seller Balance Sheet have been established in accordance with GAAP consistently applied and are adequate. Seller is not a guarantor, indemnitor, surety, or other obligor of any indebtedness of any other Person. There has been no incidence of Fraud that involves any current or former Seller Service Providers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller maintains a system of internal accounting controls sufficient to provide reasonable assurances that, except in de minimis respects: (i) transactions are executed in accordance with management's general or specific authorization, (ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with applicable GAAP and to maintain accountability for assets, (iii) access to assets is permitted only in accordance with management's general or specific authorization, and (iv) the obligations of Seller are satisfied in a timely manner and as required under the terms of each Contract to which Seller is a party or by which Seller is bound. To the Knowledge of Seller, Seller has no unremedied significant deficiencies or material weaknesses (as such terms are defined under GAAP) in the design or operation of internal control over financial reporting. In the prior six (6) months, no services have been performed for Seller by [\*\*\*].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Seller has at all times timely reimbursed Seller Service Providers for business expenses incurred by such Seller Service Providers on behalf of Seller in accordance with Seller's policy and prior practice. With respect to any employees terminated on or after the Agreement Date through the Closing Date, inclusive, who elect to continue coverage benefits or similar benefits required to be provided by Applicable Law, the administrative costs to Seller associated with any such election will be *de minimis*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.6 Absence of Certain Changes or Events**

Except for transactions specifically contemplated in this Agreement, since the Seller Balance Sheet Date: (a) the Business has been conducted only in, and Seller has not taken any action except in, the Ordinary Course, (b) there has not occurred any Material Adverse Effect, and (c) Seller has not done, caused, or permitted any action that if taken between the Agreement Date and the earlier of the Closing and the termination of this Agreement in accordance with <u>Article VIII</u> would require the prior written consent of Buyer pursuant to <u>Section 4.1</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.7 Sufficiency of Purchased Assets; Property**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) The Transferred Parent Rights, the licenses granted to Seller under the Assumed Contracts, and the Purchased Assets constitute all of the assets used in, related to and necessary for the conduct of the Business as currently conducted (except as relates to the Excluded Assets (including the Shared Administrative Licenses)) and (ii) the interests of Seller in the Purchased Assets to be transferred pursuant to this Agreement are sufficient in all material respects for the continued conduct of the Business by Buyer after the Closing in substantially the same manner as the Business is now conducted (except as relates to the Excluded Assets); <u>provided</u>, <u>however</u>, that this sentence will not be construed to apply with respect to infringement, violation or misappropriation of the Intellectual Property Rights of any Person (excluding Seller Parent and its

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Affiliates), which is covered in <u>Section 2.10.4(a)</u> below. All of the Purchased Assets are in good condition and repair subject to normal wear and tear, in sufficient working order and have been adequately maintained. Each Purchased Asset is: (A) legally and beneficially owned solely by Seller, free from all Encumbrances other than Permitted Encumbrances, and (B) in the possession or under the control of Seller. Seller has the power to sell the Purchased Assets free and clear of all Encumbrances (other than Permitted Encumbrances). Neither Seller Parent, nor any other Person, including any Related Party, has any ownership interest in, or title to, the Purchased Assets. Upon the Closing, Buyer will take the Purchased Assets free and clear of all Encumbrances (other than Permitted Encumbrances). No Purchased Asset is subject to any Claim or outstanding Order that restricts in any manner the use, transfer, sale or licensing thereof or that may affect the validity, use, transfer, sale or enforceability of any of the Purchased Assets or any rights or remedies relating thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller does not own, nor has Seller ever owned, any real property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Schedule 2.7(c)</u> to the Disclosure Memorandum contains an accurate and complete list of all real property leased or currently being used by Seller (the "***Real Property***"). The lease agreements with respect to the Real Property (the "***Leases***") are valid, binding, and enforceable against Seller in accordance with their terms, except to the extent such enforceability is subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium, or other Applicable Law affecting or relating to creditors' rights generally and general principles of equity, and are in full force and effect. Seller has performed all material obligations imposed on it under the Leases, and Seller is not in default thereunder, nor is there any event that with notice or lapse of time, or both, would constitute a default by Seller thereunder. There is not, and within the past 12 months there has not been, any material disagreement or dispute with any other party to any of the Leases, nor is there any pending request for amendment of any of the Leases. Seller has provided to Buyer accurate and complete copies of all Leases.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Seller is not a party to, and is not liable under, any hire purchase, credit sale, or conditional sale agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Schedule 2.7(e)</u> to the Disclosure Memorandum contains an accurate and complete list of all material tangible personal property owned by Seller (the "***Personal Property***"). Seller's interests in the Personal Property are held free and clear of all Encumbrances, other than Permitted Encumbrances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.8 Labor and Employment Matters; Nondisclosure and Non-Competition Agreements**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 2.8(a)</u> to the Disclosure Memorandum sets forth an accurate and complete list of: (i) the name (redacted if required by Applicable Law), job title, work location, work authorization status in such jurisdictions, classification for purposes of all applicable wage-and-hours laws (if any), part- or full-time status, permanent or temporary status, leave status, accrued paid time off, eligibility and participation in Employee Benefit Plans and 2024 base and variable compensation (including variable compensation for which employee is eligible) amounts or rates (whether salaried, hourly or otherwise) of all Business Employees of Seller or its Affiliates and (ii) the names (redacted if required by Applicable Law), location in which services are provided,

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date of engagement, current compensation packages, and descriptions of services to Seller or its Affiliates of all individual consultants, private entrepreneurs, and independent contractors of Seller or its Affiliates who are exclusively dedicated to the Business immediately prior to the Closing Date. If Seller is a party to any Contract with a third-party entity that employs individuals who provide services to Seller as contractors or consultants ("***Third-Party Contractor Agreement***"), <u>Schedule 2.8(a)</u> to the Disclosure Memorandum also sets forth the name of the third-party entity, the date of such Third-Party Contractor Agreement, the term of such Third-Party Contractor Agreement, the names of each individual (redacted if required by Applicable Law) (including a description of services by such individual) who provides services to Seller under such Third-Party Contractor Agreement and the jurisdictions of service to Seller and are exclusively dedicated to the Business immediately prior to the Closing Date, but excluding in all cases any individual consultants, private entrepreneurs or independent contractors scheduled on <u>Schedule 2.8(a)</u> to the Disclosure Memorandum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as set forth in <u>Schedule 2.8(b)</u> to the Disclosure Memorandum, Seller or its Affiliate is not a party to any labor, collective bargaining, or similar agreement, and there are currently no organizational campaigns, petitions, or other unionization activities seeking recognition of a collective bargaining unit that could affect Seller. No Business Employees or contractors of Seller or its Affiliates are, or in the past three years have been, represented by any labor organization, or other collective representative entity, union, or organization. None of the Transactions could reasonably be expected to require approval or consent by any works council, labor collective group, or other similar third-party entity of Seller or its Affiliates. No labor representatives hold bargaining rights by way of certification, interim certification, voluntary recognition, designation or successor rights and no labor representatives have applied to be certified as the bargaining agent or applied to have Seller declared a related or successor employer. There is no labor dispute pending or, to the Knowledge of Seller, threatened against or affecting Seller, and Seller has not experienced any work stoppage since its inception. To the Knowledge of Seller, no Business Employee intends to terminate his or her employment with Seller. All Business Employees of Seller in the United States are employed on an "at will" basis and all Business Employees of Seller or its Affiliates are eligible to work, and are lawfully employed in the United States and any other jurisdiction in which such employee exclusively or primarily performs services, as applicable. All employees of Seller in Canada (i) can have their employment terminated by the Seller providing common law notice (or compensation in lieu thereof) and no employee in Canada has any contractual provision in their employment agreements with any termination provisions that are greater than common law notice (or compensation in lieu thereof) or any termination provisions that set out a formula that provides for greater than employment standards entitlements and (ii) are lawfully employed in Canada and any other jurisdiction in which such employee exclusively or primarily performs services, as applicable. All individuals who are exclusively dedicated to the Business immediately prior to the Closing Date and have provided or are providing services of any kind to Seller are correctly classified as either being an employee or an independent contractor, and if classified as an employee are correctly classified as being exempt/eligible or non-exempt/non-eligible from overtime under Applicable Law, including, with respect to Employee Benefit Plans, except as would not result in liability to the Buyer or the Business. Except to the extent required by Applicable Law or collective bargaining agreement or other Contract, the service of each Seller Service Provider can be terminated without any liability, including notice, severance or other termination pay (other than payments of accrued compensation).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the last three (3) years, Seller has been in compliance in all material respects with Applicable Law respecting employment, including hiring, termination, discrimination, harassment, retaliation, accommodation, immigration, terms and conditions of employment, wages, vacation, vacation pay, statutory leaves, hours, pay equity, accessibility, human rights and occupational safety and health, and has not engaged in any unfair labor practice. In the last three (3) years, to the Knowledge of Seller, Seller has withheld all amounts required by Applicable Law or by Contract to be withheld from the wages, salaries, and other payments to its Business Employees, and is not liable for any arrears of wages (including commissions, bonuses, or other compensation) or any Taxes or any penalty for failure to comply with any of the foregoing (or, if any arrears, penalty or interest was assessed against Seller regarding the foregoing, it has been fully satisfied). Seller is not liable for any payment to any trust or other fund, or to any Governmental Body with respect to unemployment compensation benefits, workers' compensation benefits, social security, social benefits, or other benefits or obligations for Business Employees (other than routine payments to be made in the Ordinary Course). There are no pending, or to the Knowledge of Seller, threatened or reasonably anticipated Claims against Seller under any workers' compensation plan or policy or for long-term disability in relation to any Business Employees. There are no Claims pending or, to the Knowledge of Seller, threatened between Seller, on the one hand, and any current or former Seller Service Providers arising out of Seller's status as employer or purported employer, or as an entity that engages contractors or consultants, on the other hand, that have resulted, or could reasonably be expected to result, in a material Claim before any Governmental Body, including material Claims for compensation, wage and hour violations, severance benefits, vacation time, vacation pay or pension benefits, discrimination, harassment, retaliation, failure to accommodate, wrongful discharge, or otherwise in relation to any Business Employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To the Knowledge of Seller, no Business Employee is or has been in violation of any provision or covenant of any Contract with any Person by virtue of such Business Employee's being employed by Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) To the Knowledge of Seller, in the last three (3) years, (i) no allegations of sexual harassment, sexual assault, or misconduct in the course of being employed by, or providing services to, Seller have been made against (A) any current or former officer, manager or director of Seller, or (B) any Business Employee who, directly or indirectly, supervises any other Business Employee, and (ii) Seller has not made any payment arising out of, or entered into any settlement agreement or conducted any investigation related to, allegations of sexual harassment, sexual assault, or misconduct by or regarding any Business Employee or other representative of Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Seller has made available to Buyer accurate and complete copies of each of the following: (i) all forms of employment agreements and offer letters pursuant to which any Business Employees currently provide services to Seller, (ii) the most current management organization chart(s) of Seller, and (iii) a schedule of currently outstanding bonus, variable-compensation, severance, retention and change-in-control commitments of Seller in respect of Business Employees.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.9 Employee Benefit Plans**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 2.9(a)</u> to the Disclosure Memorandum contains an accurate and complete list of all Employee Benefit Plans and the sponsor of each Employee Benefit Plan. Neither Seller nor Seller Parent has any agreement, commitment, or obligation to create, enter into or contribute to any other Employee Benefit Plan, or to modify or amend any existing Employee Benefit Plan. The terms of each Employee Benefit Plan sponsored by Seller or Seller Parent permit Seller or Seller Parent to amend and terminate such Employee Benefit Plan at any time and for any reason without Liability (other than administrative costs associated with such amendment or termination) and no Employee Benefit Plan is subject to any retroactive adjustment of premiums, contributions or payments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller has made available to Buyer a current, accurate, and complete copy of each Employee Benefit Plan, and, to the extent applicable: (i) the most recent determination letter, opinion letter, or advisory letter, if any, (ii) the plan document together with all amendments thereto, (iii) copies of the most recent summary plan descriptions, summaries of material modifications to the most recent summary plan descriptions, and employee handbook, and (iv) such other documents and arrangements as the Buyer has reasonably requested that could reasonably be expected to give rise to Liability to the Buyer or adversely affect any of the Transferred Employees. Any Employee Benefit Plan intended to be qualified under Section 401(a) of the Code has either obtained from the IRS a favorable determination letter or, with respect to such an Employee Benefit Plan that is on a pre-approved master, prototype, or volume submitter plan document, may rely on a favorable option letter from the IRS, in either case, as to its qualified status under the Code. Nothing has occurred since the issuance of a determination letter or opinion letter that would reasonably be expected to cause the loss of the tax-qualified status of any Employee Benefit Plan subject to Section 401(a) of the Code. Each of the Employee Benefit Plans, which purports to qualify as a particular type of plan under the Income Tax Act (Canada) or which has or purports to have tax-favored treatment, meets all requirements in effect under the Income Tax Act (Canada) for such qualification or treatment and has complied with provisions of the Income Tax Act (Canada) and the administrative practices of the Canada Revenue Agency applicable to that type of plan or treatment. No event has occurred respecting any Employee Benefit Plan which could reasonably be expected to adversely affect the tax-favored status of the Employee Benefit Plan or its qualification as a particular type of plan under the Income Tax Act (Canada).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With respect to each Employee Benefit Plan: (i) such Employee Benefit Plan is, and was, properly and legally established, and at all times has been, maintained, operated, administered, and funded in all material respects in accordance with its terms and in compliance with Applicable Law, and, without limiting the generality of the foregoing, (ii) except as would not reasonably be expected to result in Liability to the Buyer or the Business, (A) Seller and each other Person (including each fiduciary) have, at all times, performed all their duties and obligations under or with respect to such Employee Benefit Plan, including all reporting, disclosure, and notification obligations, and (B) all returns, reports, notices, statements, summary plan descriptions, and other disclosures relating to such Employee Benefit Plan required to be filed with any Governmental Body or distributed to any participant therein have been properly prepared and duly filed or distributed in a timely manner.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) None of Seller or any ERISA Affiliate sponsors, maintains, or contributes to, or has ever sponsored, maintained, contributed to (or been obligated to sponsor, maintain, or contribute to), or have or could reasonably be expected to have any Liability (whether contingent or otherwise) with respect to, (i) a "multiemployer plan," as defined in Section 3(37) or Section 4001(a)(3) of ERISA, (ii) a multiple employer plan within the meaning of Section 4063 or Section 4064 of ERISA or Section 413 of the Code, (iii) an employee benefit plan that is subject to Section 302 of ERISA, Title IV of ERISA, or Section 412 of the Code, (iv) a "multiple employer welfare arrangement," as defined in Section 3(40) of ERISA, (v) subject to any Canadian pension benefits standards legislation, (vi) a "retirement compensation arrangement" as such term is defined in subsection 248(1) of the Income Tax Act (Canada), (vii) an "employee life and health trust" as such term is defined in subsection 248(1) of the Income Tax Act (Canada), (viii) a "health and welfare trust" within the meaning of Canada Revenue Agency Income Tax Folio S2-F1-C1, or (ix) intended to be or has ever been found or alleged by a Governmental Body to be a "salary deferral arrangement" as such term is defined in subsection 248(1) of the Income Tax Act (Canada). No Employee Benefit Plan is a defined benefit pension plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) None of Seller, Seller Parent or any Employee Benefit Plan provides or has any obligation to provide (or contribute toward the cost of) post-employment or post-termination benefits of any kind, including death and medical benefits, with respect to any current or former Seller Service Provider, other than continuation coverage mandated by Sections 601 through 608 of ERISA and Section 4980B(f) of the Code or other Applicable Law (at the sole expense of the eligible participant or beneficiary thereunder).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Neither the execution and delivery of this Agreement or any of the other Operative Documents nor the consummation of the Transactions (either alone or upon the occurrence of any additional or subsequent event(s)) will (i) entitle any individual to severance pay, unemployment compensation, or any other compensation or benefit, (ii) result in any benefit or right becoming established or increased, or accelerate the time of payment or vesting of any benefit, under any Employee Benefit Plan (other than as required by Applicable Law), (iii) require Seller, Seller Parent, Buyer, or any of their respective Affiliates to transfer or set aside any assets to fund or otherwise provide for any benefits for any individual, (iv) impair any of the rights of Seller or any of its Affiliates with respect to any Employee Benefit Plan, (v) result in any loss of deduction for any reason, including pursuant to Section 280G or 162(m) of the Code, or any excise tax under Section 4999 of the Code (vi) result in the forgiveness in whole or in part of any outstanding loans made by Seller to any Person or (vii) result in any gross-up payment or indemnification liability, including without limitation, with respect to Section 4999 or Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Except as would not reasonably be expected to result in Liability to the Buyer or the Business, Seller has not received services from any individual (i) whom Seller treated as an independent contractor, but who should have been treated as a common law employee or dependent contractor of Seller or (ii) who constituted a leased employee of Seller under Section 414(n) of the Code, temporary employee or through or related to any temporary help agency or similar type of entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) With respect to each Employee Benefit Plan that is subject to Applicable Laws or applicable customs or rules of relevant jurisdictions other than the United States (each, a "**Foreign Plan**"): (i) each Foreign Plan is in compliance in all material respects with the applicable

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provisions of Applicable Law and regulations regarding employee benefits, mandatory contributions and retirement plans of each jurisdiction in which each such Foreign Plan is maintained, to the extent those Applicable Laws are applicable to such Foreign Plan; (ii) each Foreign Plan has been administered at all times and in all material respects in accordance with its terms; (iii) there are no pending investigations by any Governmental Body involving any Foreign Plan, and no pending claims (except for claims for benefits payable in the normal operation of the Foreign Plans), suits or proceedings against any Foreign Plan or asserting any rights or claims to benefits under any Foreign Plan; (iv) the transactions contemplated by this Agreement, by themselves or in conjunction with any other transactions, will not create or otherwise result in any liability, accelerated payment or any enhanced benefits with respect to any Foreign Plan; and (v) except as would not result in Liability to the Buyer or the Business, all liabilities with respect to each Foreign Plan are funded in accordance with the terms of such Foreign Plan and have been properly reflected in the Financial Statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each Employee Benefit Plan or other program or arrangement that constitutes in any part a nonqualified deferred compensation plan, within the meaning of Section 409A or Section 457A of the Code and that is subject to Section 409A or Section 457A of the Code, complies and has complied, both in form and operation, with the requirements of Section 409A and Section 457A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) With respect to each Employee Benefit Plan, there is no pending or, to Seller's Knowledge, threatened actions relating to an Employee Benefit Plan, other than routine claims in the Ordinary Course of business for benefits provided for by the Employee Benefit Plans, and to Seller's Knowledge there are not any facts that would be reasonably expected to give rise to any Liability in the event of such action. No Employee Benefit Plan is the subject of an examination or audit by a Governmental Body, is the subject of an application or filing under, is currently preparing an application or filing under, or is a participant in, a government-sponsored amnesty, voluntary compliance, self-correction or similar program.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) None of Seller or any ERISA Affiliate has engaged in any non-exempt prohibited transaction (as described in Section 406 of ERISA or Code Section 4975).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10 Intellectual Property**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.1 Intellectual Property Generally**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller (i) has full title and ownership of each item of Seller-Owned IP and (ii) is duly licensed under or otherwise authorized to use, all Third-Party IP that is used by Seller in the Business in each case, free and clear of any Encumbrances other than Permitted Encumbrances. The Seller-Owned IP and Seller IP licensed under the Inbound Licenses (including the Transferred Parent Rights) collectively includes all of the Intellectual Property necessary for the conduct of, or that are used in, or held for use for, the conduct of the Business as conducted as of the Agreement Date without: (A) the need for Buyer to acquire or license any other Intellectual Property in order to utilize such Seller IP in connection with the conduct of the Business as conducted prior to the Agreement Date, or (B) the breach or violation of any Contract in connection with the conduct of the Business as conducted prior to the Agreement Date. To Seller's Knowledge it will not be necessary to use any inventions of any of Seller's employees or consultants made prior to their

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employment by or services with Seller, which inventions have not otherwise been licensed to Seller by the applicable employees and consultants. To Seller's Knowledge, no third party has any ownership right, title, ownership interest, or ownership claim in any of the Seller-Owned IP. This Section is not a representation or warranty as to non-infringement, violation, or misappropriation of any rights in Third-Party IP, which representations and warranties are set forth in <u>Section 2.10.4(a)</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No third party that has licensed Third-Party IP to Seller has ownership or license rights to modifications, improvements or derivative works made by Seller to such Third-Party IP. All modifications, improvements and derivative works of any Technology included in the Seller-Owned IP made by any Person are owned by or exclusively licensed to Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Other than the Seller IP Agreements (including the Parent License Back Agreements), Shared Licenses, Shared Administrative Licenses, Non-Scheduled Contracts and the Seller IP Protection Agreements, there are no Contracts governing or relating to any material Seller IP. An accurate and complete list of (i) all Seller IP Agreements (separately identified as Outbound Licenses, Inbound Licenses, and Product Inbound Licenses) and (ii) all Shared Licenses, is set forth on <u>Schedule 2.10.1(c)</u> to the Disclosure Memorandum. Seller has provided to Buyer accurate and complete copies of all Seller IP Agreements (other than the Seller IP Protection Agreements) and Shared Licenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Seller has not, directly or indirectly, (i) transferred ownership of, or granted any exclusive license in relation to, any Seller-Owned IP to, any Person, (ii) permitted any Person to offer Seller-Owned IP or Seller Products as a service or to resell, market, reproduce, distribute, or sublicense Seller-Owned IP or Seller Products, or (iii) permitted the Intellectual Property Rights of Seller in any Seller-Owned IP to lapse or enter the public domain, except in the exercise of Seller's reasonable business judgment in the Ordinary Course.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) None of Seller Parent and its Affiliates (other than Seller) has any ownership right, title, ownership interest, ownership claim in or any lien on any of the Seller-Owned IP or in any Intellectual Property used or necessary for use in the Business, including as currently conducted or as proposed by Seller to be conducted as of the Agreement Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.2 Intellectual Property Registrations**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All current issuances, registrations and applications in any jurisdiction for any Patents, Copyrights, Mask Works, Trademarks, Domain Names, and any other Intellectual Property Rights, in each case included in the Seller-Owned IP (collectively, "***Seller IP Registrations***") and all issuances, registrations and applications for the foregoing that have lapsed, expired or been abandoned prior to the Agreement Date are set forth on <u>Schedule 2.10.2(a)</u> to the Disclosure Memorandum, setting forth the jurisdictions in which such Intellectual Property Right has been issued, registered or applied for and the record owner thereof. All Seller IP Registrations are subsisting. None of the issued or registered Seller IP Registrations have been found by a Governmental Body in an Order to be invalid or unenforceable and no Person has challenged the validity or enforceability of any such Seller IP Registrations. To Seller's Knowledge, there are no information, materials, facts, or circumstances, including any information or fact that would constitute prior art, that would render any of the Seller IP Registrations invalid or unenforceable,

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or would materially affect any pending application for any Seller IP Registrations, other than as set forth in correspondence from the United States Patent and Trademark Office, the United States Copyright Office, or similar Governmental Body in connection with the prosecution of Seller IP Registrations. As of the Agreement Date, there are no actions that must be taken by Seller or Buyer within 60 days after the Agreement Date for the purpose of obtaining, maintaining, perfecting, preserving, or renewing any Seller IP Registration. All necessary registration, maintenance, and renewal fees due in connection with the Seller IP Registrations have been made prior to the due date and all necessary documents, recordations, and certificates in connection with the Seller IP Registrations have been filed with the relevant Governmental Body, or other authorities prior to the due date for the purposes of prosecuting, perfecting, and maintaining the Seller IP Registrations. Seller has not misrepresented, or failed to disclose, any facts or circumstances in any application for any Seller IP Registrations that would constitute Fraud or a misrepresentation with respect to such application. To Seller's Knowledge, Seller has not engaged in any action or any omission, conducted the Business, or used or enforced or failed to use or enforce Intellectual Property Rights included in the Seller-Owned IP, in a manner that would result in the abandonment, cancellation, or unenforceability of any Intellectual Property Right included in the Seller-Owned IP or Seller IP Registration. To Seller's Knowledge, Seller has not taken (or failed to take) any action that is likely to result in the forfeiture or relinquishment of any Intellectual Property Right included in the Seller-Owned IP, including any Seller IP Registration. As of the Agreement Date, there are no interferences, re-examinations, or oppositions brought or, to the Knowledge of Seller, threatened to be brought involving any of the Seller IP Registrations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Schedule 2.10.2(b)</u> to the Disclosure Memorandum sets forth all material unregistered trademarks, service marks, and other identifiers in the Seller-Owned IP currently used by Seller in the conduct of the Business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.3 Payments**

Except as set forth in the Inbound Licenses, the Shared Licenses, the Shared Administrative Licenses and the Non-Scheduled Contracts, no royalties, commissions, fees, or other payments (other than ordinary compensation due to employees and inventor compensation and remuneration consistent with Seller's inventor compensation program provided to Buyer prior to the Agreement Date) are payable by Seller to any Person under a Contract to which Seller is a party by reason of Seller's Exploitation of any Seller IP in the conduct of the Business as currently conducted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.4 No Infringement and Other Matters**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The operation of the Business as currently conducted, including the Exploitation of the Technology included in the Seller-Owned IP by Seller or by Perceive Canada and the Seller Products as such Technology and Seller Products were Exploited at any time prior to the Closing, (i) has not and does not, infringe, violate, or misappropriate any Intellectual Property Right of any Person and (ii) has not and does not constitute unfair competition or unfair trade practices under Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) There is no pending or, to Seller's Knowledge, threatened Claim that any of the Intellectual Property Rights in the Seller-Owned IP is invalid or contesting the ownership or right

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of Seller to Exploit any of the Seller-Owned IP. There is no pending or, to the Knowledge of Seller, threatened Claim contesting the right of Seller to Exploit any of the Third-Party IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Neither Seller nor Seller Parent has received any written notice or Claim regarding any offer to license or any alleged infringement, misappropriation, violation, misuse, abuse, or other interference of or with any Third-Party IP by Seller in connection with the conduct of the Business, or claiming that any other Person has grounds for any such Claim with respect thereto. Neither Seller nor Seller Parent has received any written opinion of counsel relating to infringement, invalidity, or unenforceability of any Seller IP or any Seller Products.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To Seller's Knowledge, there is and has been no unauthorized use, unauthorized disclosure, infringement, violation, or misappropriation of any Seller-Owned IP by any Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) All Technology included in the Seller-Owned IP was developed solely by either (i) employees of Seller, acting within the scope of their employment or (ii) by contractors, consultants, or other third parties who have validly and irrevocably assigned all of their rights, including all Intellectual Property Rights therein, directly or indirectly, to Seller, other than rights that may not be so assigned under Applicable Law, including moral rights. To the extent any such Seller-Owned IP is embodied in a Seller IP Registration, to the maximum extent provided for by, and in accordance with, Applicable Law, Seller has recorded each such assignment with the relevant Governmental Body.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.5 Confidentiality; Source Code**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller (i) has taken steps reasonable under the circumstances to maintain the confidentiality of the confidential and proprietary information and data that constitutes Seller-Owned IP and of any confidential and proprietary information and data of a third party provided by such third party to Seller pursuant to an obligation of confidentiality ("***Confidential Information***"), and (ii) has not disclosed Confidential Information to any Person other than under a written nondisclosure agreement that includes terms and conditions that reasonably protect the interest of Seller in and to such Confidential Information, and (iii) has not deposited, disclosed, or delivered to any Person, or agreed to or permitted the deposit, disclosure, or delivery to any Person of, any Source Code included in the Seller-Owned IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No event has occurred, and to Seller's Knowledge no circumstances or conditions exist, that (with or without notice, lapse of time or both) will, or could reasonably be expected to, result in the disclosure or delivery to any Person of any Source Code included in the Seller-Owned IP. No Person has, or shall have any right to lease, license, purchase, or otherwise obtain any Source Code incorporated into or embodied in any Seller-Owned IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.6 Agreements with Employees, Contractors and Founders**

Each current or former Seller Service Provider who has been involved in, or who contributed to, the creation or development of any Technology included in the Seller-Owned IP, has executed and delivered to Seller a valid and enforceable (a) assignment (by a present tense assignment) of all rights, title, and interests in or to all Intellectual Property Rights in such Technology that such Seller Service Provider may have or acquire, or may have had or acquired and a valid and enforceable (to the extent permitted by Applicable Law) waiver of any and all

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.7 Open Source**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller is in material compliance with the terms and conditions of all open source, public-source, freeware or similar third-party licenses applicable to any Open Source Materials incorporated into, or distributed, combined or linked with, the Software included in the Seller-Owned IP or the Seller Products.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Seller has not used, developed, incorporated or distributed Open Source Materials, in such a way that (i) creates any rights or immunities under any Seller-Owned IP, (ii) requires any Seller-Owned IP that is incorporated into, derived from, linked to, distributed or used with such Open Source Materials to be licensed, disclosed, distributed, decompiled, disassembled or otherwise reverse-engineered under the terms of an Open Source License.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Seller has not made any contributions to any third-party open source projects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.8 Warranty against Defects**

The Technology included in the Seller-Owned IP developed by or for Seller prior to the Closing Date and the Seller Products developed by or for Seller prior to the Closing Date are free from material defects and bugs, and substantially conform to the applicable specifications as of

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the Closing Date. As of the Closing Date, the Software included in the Seller-Owned IP and the Seller Products developed by or for Seller prior to the Closing Date do not contain (a) any clock, timer, counter, or other limiting or disabling code, design, routine, or any viruses, trojan horses, or other disabling or disruptive codes or commands that would cause such Software to be erased, made inoperable, or otherwise rendered incapable of performing in accordance with its performance specifications and descriptions, including after a specific or random number of years or copies or (b) any back doors or other undocumented access mechanism allowing unauthorized access to, and viewing, manipulation, modification, or other changes to, such Software, such other Technology included in the Seller-Owned IP or such Seller Products, in each case of (a) and (b) above, that would materially limit or restrict Seller's or any Person's ability to use such Software, such other Technology included in the Seller-Owned IP, or such Seller Products.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.9 Effect of Transactions on Seller IP Agreements** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The consummation of the Transactions will neither violate nor result in the breach, modification, cancellation, termination, or suspension of, or acceleration of any payments with respect to, any Seller IP Agreement that is an Assumed Contract, any Parent License Back Agreement, or any Seller IP Protection Agreement that is an Assumed Contract. Following the Closing, Buyer or its designated Affiliates will have the right to exercise all rights under all Seller IP Agreements that are Assumed Contracts, the Seller IP Protection Agreements that are Assumed Contracts, and the Transferred Parent Rights, in each case in connection with the conduct of the Business, to the same extent Seller would have been able to, had the Transactions not occurred and without Buyer or any of its Affiliates being required to pay any additional amounts or consideration other than fees, royalties, or payments that Seller would otherwise be required to pay had the Transactions not occurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Neither this Agreement nor the Transactions will result in (i) any third party being granted rights or access to, or the placement in or release from escrow of, Source Code, (ii) the granting by Buyer or any of its Affiliates to any third party any license of, or other right or immunity in, to, or under, any Intellectual Property Right of Buyer or any of its Affiliates pursuant to an Assumed Contract, (iii) Buyer or any of its Affiliates being bound by, or subject to, any non-competition, non-assertion of its rights, most-favored nation provisions, or other restriction (other than the restrictions in the Assumed Contracts) on the operation or scope of the Business, above and beyond the restrictions applicable to the operation or scope of the Business prior to the Closing , or (iv) Buyer or any of its Affiliates being obligated to pay any royalties or other amounts to any third party for the use of any Third-Party IP under an Assumed Contract in connection with the conduct of the Business in excess of those that would have been payable by Seller if the Closing had not occurred. Following the Closing, all Seller-Owned IP will be fully transferable, alienable, or licensable by Buyer without restriction and without payment of any kind to any third party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.10 Privacy and Security**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller complies with, and has at all times complied with, in all material respects, all Seller Privacy Commitments that are applicable to the Purchased Assets. Neither the execution, delivery, and performance of this Agreement nor the consummation of the Transactions will cause, constitute, or result in a material breach or violation of any Seller Privacy Commitments or standard terms of service entered into by users of any Seller Products sold or distributed by Seller

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prior to the Closing Date. Copies of all current Seller Privacy Policies applicable to the Purchased Assets have been made available to Buyer and such copies are accurate and complete.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) When Seller uses Third-Party Processors for the purpose of processing Personal Information that is part of the Purchased Assets, such third party has contractually agreed to maintain reasonable security and compliance with Privacy Laws. To the Knowledge of Seller, none of Seller's Third-Party Processor have breached any Seller Data Agreements that are relevant to the Purchased Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With regard to the Purchased Assets, Seller has implemented and maintains reasonable written security procedures and practices, at least in compliance with the Seller Privacy Commitments, designed to protect the security, confidentiality, integrity and availability of any Processing of Personal Information. Such processes include disaster recovery, business continuity, incident response, and security plans, procedures and facilities; and has assessed and tested its information security program on a no less than annual basis, and remediated all critical and high risks and vulnerabilities. No Claims have been asserted or threatened in writing with respect to Seller's Processing of Personal Information relevant to the Purchased Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) With regard to the Purchased Assets, Seller has implemented and maintains technical, physical, and organizational measures, security systems, and technologies in compliance with all applicable data security requirements under Seller Privacy Commitments, and that are reasonably designed to protect computers, networks, software, and systems used by Seller from loss, theft, unauthorized access, use, disclosure, or modification. With regard to the Purchased Assets, to the Knowledge of Seller, there have not been any incidents of, or third party claims alleging, (a) Security Breaches, (b) unauthorized access or unauthorized use of any of Seller's computer systems, network, communication equipment or other technology necessary for the operations of Seller's business, or (c) any unauthorized access, acquisition, security incident or violation of any data security policy in relation to Seller Data has occurred or is threatened, and there has been no actual or threatened unauthorized or illegal Processing of, or accidental or unlawful destruction, loss or alteration of, any Seller Data. To the extent related to the Purchased Assets, no circumstance has arisen in which Seller Privacy Commitments would require Seller to notify a Governmental Body or Person of a data Security Breach or security incident. To the Knowledge of Seller, there are no material un-remediated security vulnerabilities in any Technology included in any Seller-Owned IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) With regard to the Purchased Assets, Seller has not received, and, to the Knowledge of Seller, there is no circumstance that would reasonably be expected to give rise to, any Claim, notice, communication, warrant, regulatory opinion, audit result, or allegation from a Governmental Body or any other Person: (i) alleging or confirming non-compliance with a relevant requirement of Seller Privacy Commitments, (ii) requiring or requesting Seller to amend, rectify, cease Processing, de-combine, permanently anonymize, block, or delete any Personal Information (except for valid data subject requests received by Seller in the Ordinary Course), (iii) permitting or mandating relevant Governmental Bodies to audit, investigate, requisition information from, or enter the premises of, Seller due to a violation or alleged violation of any Seller Privacy Commitments, or (iv) claiming compensation from Seller with respect to the Processing of Personal Information.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Seller Products sold or distributed by Seller as of the Closing Date do not contain any malicious code or defect, and operate and perform as warranted by Seller to customers. All Transferred Data will continue to be available for Processing by Buyer and its Subsidiaries following the Closing on substantially the same terms and conditions as existed immediately before the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Seller uses commercially reasonable efforts to inform all employees and agents of, and consultants who have access to or Process Personal Information of, Seller's relevant applicable current written public-facing privacy and security policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.11 Government Rights** 

No government funding, facilities of a university, college, or other educational institution or research center was used in the development of any Technology included in the Seller-Owned IP. No current or former Seller Service Provider, who was involved in, or who contributed to, the creation or development of any of the Technology included in the Seller-Owned IP, has, to Seller's Knowledge, performed services for any government, university, college, or other educational institution or research center during a period of time during which such Seller Service Provider was also performing services for Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.12 Participation in Standards Organizations** 

Except as set forth in <u>Schedule 2.10.12</u> to the Disclosure Memorandum, Seller is not and has never been a member of, a contributor to, or affiliated with, any industry standards organization, body, working group, project, or similar organization (a "***Standards Organization***"), and none of Seller or any Seller-Owned IP, is subject to any licensing, assignment, contribution, disclosure, or other requirements or restrictions of any Standards Organization. Seller has provided Buyer with accurate and complete copies of all governing documents and other Contracts (including charter, bylaws, and participation guidelines) relating to Seller's membership in, contribution to, or affiliation with, any Standards Organization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.13 Warranties; Seller Products** 

No Seller Product sold or distributed by Seller prior to the Closing Date is subject to any guaranty, warranty, right of return, right of credit, or other indemnity other than the applicable standard terms and conditions of sale, license, or lease of Seller, which are set forth in <u>Schedule 2.10.13</u> to the Disclosure Memorandum. There have been no product liability Claims asserted against Seller relating to Seller or any Seller Products sold or distributed by Seller prior to the Closing Date, or, to the Knowledge of Seller, threatened against Seller relating to any Seller Products sold or distributed by Seller prior to the Closing Date. Seller has obtained, complied with, and have maintained at all times all certifications required by any Governmental Body in connection with the conduct and operation of the Business, including the operation of the Seller Products and their manufacture, sale, and distribution, and have provided Buyer with accurate and complete copies of all documents relating to such certifications.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.14 Information Technology**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The computer, information technology and data processing systems, facilities and services, including all Software, hardware, networks, communications facilities, platforms and related systems and services that are or have been used in the conduct of the Business (collectively, the "***ICT Infrastructure***"), are reasonably sufficient for the existing needs of the Business as anticipated by Seller or Seller Parent as of the Agreement Date, including as to capacity, scalability and ability to process current and anticipated peak volumes in a timely manner. The ICT Infrastructure is (i) in good working order and functions in all material respects in accordance with all applicable documentation and specifications, (ii) maintained and supported in accordance with industry practice, and (iii) protected by reasonable security and disaster recovery arrangements, including taking and storing back-up copies (both on- and off-site) of the Software and any data in the ICT Infrastructure and following procedures for preventing the introduction of viruses to, and unauthorized access of, the ICT Infrastructure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller has not experienced, and to Seller's Knowledge, no circumstances exist that are likely or expected to give rise to, any disruption in or to the operation of the Business as a result of (i) any substandard performance, malfunction or defect in any part of the ICT Infrastructure whether caused by any viruses, bugs, worms, Software bombs, lack of capacity, or otherwise or (ii) a breach of security in relation to any part of the ICT Infrastructure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.10.15 Artificial Intelligence**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller or Seller Parent, with respect to the Purchased Assets, has established and maintains and enforces policies and procedures governing the incorporation of Artificial Intelligence (including Automated Decision-Making Technology) by Seller's employees, agents and contractors in the Seller's Products, including policies, procedures, and protocols designed to ensure the ongoing ethical, transparent, and responsible design, development, and deployment of Artificial Intelligence as required under Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller and its respective officers, directors, employees and to Seller's Knowledge its agents, processors, and contractors acting on Seller's behalf or at Seller's direction are, and have been, in compliance in all material respects with both Applicable Law and its own or Seller Parent's policies and procedures, relating to or regulating the use by Seller of Artificial Intelligence (including Automated Decision-Making Technology).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To Seller's Knowledge, Seller has not been, and is not currently, subject to any written notification, claim, demand, audit or action investigating or alleging that Seller has violated any Applicable Law in connection with Seller's use of Artificial Intelligence (including Automated Decision-Making Technology).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Seller owns, or has a license to, all Intellectual Property Rights in and to the Artificial Intelligence (including Automated Decision-Making Technology) developed by Seller, including any improvements or customizations to the Artificial Intelligence made by Seller. Except as set forth in the Contracts under which Seller utilizes third party Artificial Intelligence or Automated Decision-Making Technology and except as provided in Applicable Laws, Seller has

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no restrictions on Seller's Exploitation or commercialization of the Artificial Intelligence or Automated Decision-Making Technology.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Seller maintains and has maintained reasonable physical, technical, and administrative security measures designed to ensure the integrity and security of all material relevant training, validation, testing, or scraped data (other than open-source data and data sets) utilized by the Artificial Intelligence (including Automated Decision-Making Technology) developed by or on behalf of Seller from and against unlawful, accidental or unauthorized access, destruction, loss, use, modification, corruption, misuse and/or disclosure. To the Seller's Knowledge, there has been no incident, including any breach of security or occurrence of unlawful, accidental or unauthorized destruction, loss, use, modification or disclosure of or access to such training, validation, testing, or scraped data or the Seller's Artificial Intelligence or Automated Decision-Making Technology itself ("***AI Security Incident***"). To Seller's Knowledge, no circumstance has arisen under Applicable Law that would require or have required the Seller to notify a Governmental Body, affected individuals, or other Persons of an AI Security Incident.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.11 Material Contracts**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 2.11(a)</u> to the Disclosure Memorandum contains an accurate and complete list of the following Contracts (excluding Non-Scheduled Contracts of the nature described in clause (a)-(d), (g) and (h) of the definition thereof) to which Seller is a party or by which Seller or any Purchased Asset is bound as of the Agreement Date (each a "***Material Contract***"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) each Contract with a Material Customer or Material Vendor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) each Contract providing for potential payments by Seller in excess of $50,000 per annum;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Contract providing for potential payments to Seller in excess of $50,000 per annum;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Contract relating to Debt;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Seller IP Agreement and Shared License;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Contract with a term of greater than one year that cannot be canceled by Seller with no more than 60 days' notice without Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) each Contract with a right of first offer or notice, right of first refusal, non-competition, non-solicitation, non-hire, "most favored nations" pricing or exclusivity provision, covenant not to assert/sue, or other provision that would (or would purport to) prevent, restrict, modify, or limit in any way Seller, or, following the Closing, Buyer or any of its Affiliates, from carrying on their respective businesses in any manner or in any geographic location, including the ability to own, operate, sell, transfer, pledge, or otherwise dispose of any Purchased Assets;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) each Contract relating to or establishing a joint venture, partnership, or limited liability company or that involves a sharing of profits or revenue with any other Person, or that provides for the payment of referral fees or bounties;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Contract with any Governmental Body;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Contract pursuant to which Seller (A) agrees to indemnify any Person against any charge of infringement, misappropriation, violation, misuse, abuse, or other interference by Seller-Owned IP, or by the use of Seller-Owned IP, of or with any other Intellectual Property Right, (B) grants any Person the right to bring or control any infringement, invalidation, or other action with respect to, or otherwise to enforce any right in, any of the Intellectual Property Rights included in the Seller-Owned IP, or (C) granted or is required to grant to any Person any license, covenant not to assert/sue, or other interest or immunity from suit under any Seller-Owned IP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) each Contract for the acquisition by Seller of any business or any corporation, partnership, joint venture, limited liability company, association, or other business organization or division thereof (including any such Contracts under which Seller has ongoing payment or indemnification obligations);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) each Contract for the disposition, sale, lease, or license to any Person of any Purchased Assets (other than non-exclusive licenses to Seller-Owned IP granted in the Ordinary Course to customers and Seller Service Providers, in each case consistent with past practice) or a significant portion of 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;(xiii) each Contract pursuant to which Seller has any obligation to sell, license, deliver, or provide any products, services, or the Seller-Owned IP to any Person, other than any Outbound License;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each Related Party Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) each collective bargaining agreement or other similar 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;(xvi) each separation agreement or severance agreement with any current or former Seller Service Provider pursuant to which Seller has any actual or potential Liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) each Employee Benefit Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) each Contract pursuant to which Seller is a lessor or lessee of any machinery, equipment, or motor vehicles involving expenditures in excess of $50,000 per annum;

&nbsp;&nbsp;&nbsp;&nbsp;&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) each settlement agreement to which Seller is a party or which affect the Purchased Assets and pursuant to which Seller or the Business has any ongoing obligations, other than customary non-disclosure or confidentiality covenants;

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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;(xx) each Contract that involves the payment of royalties to any other Person; 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;(xxi) all other Contracts that are material to Seller, the Business or the Purchased Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All Material Contracts to which Seller is a party are valid, binding, and enforceable on Seller, except to the extent such enforceability is subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium, or other Applicable Law affecting or relating to creditors' rights generally and general principles of equity, and to the Knowledge of Seller, on the other counterparties thereto, in accordance with their terms and are in full force and effect. Seller has performed all material obligations imposed on it under such Material Contracts, and neither Seller nor, to the Knowledge of Seller, any other party thereto is in default thereunder, nor is there any event that with notice or lapse of time, or both, would constitute a default by Seller or, to the Knowledge of Seller, any other party thereunder. There is not, and during the past three years, there has not been, any material disagreement or dispute with any other party to any such Material Contract, nor is there any pending request for amendment of any such Material Contract. Seller nor any of its Affiliates has received any notification that any party to a Material Contract intends to cancel, terminate, materially modify, not perform, or not renew such Contract (if such Contract is renewable). Seller has provided to Buyer accurate and complete copies of all Material Contracts at least two (2) Business Days prior to the Agreement Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.12 Claims, Legal Proceedings, and Orders**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) There are no, and during the past five years, there have been no, Claims pending or involving or, to the Knowledge of Seller, threatened against Seller or any Seller Service Provider, any Affiliate of Seller, or representative thereof related, directly or indirectly, to Seller or the Business, and, to the Knowledge of Seller, there is not any reasonable basis for any such Claim. No Legal Proceeding is pending or, to the Knowledge of Seller, threatened by or against Seller or any Person for whose, and referable to whose, acts or defaults Seller or the Business may be vicariously liable. No portion of the Business is currently operating under or subject to any Order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) No current or former Seller Service Provider, in each case during the course of or arising out of such Person's employment or service with Seller, has been the subject of a criminal proceeding or has been found by any Governmental Body to have violated any Applicable Law (excluding minor traffic violations), (ii) to the knowledge of Seller, no petition under the federal bankruptcy or other similar Applicable Law or any federal, state, provincial or foreign insolvency or other similar Applicable Law has been filed by or against, or a receiver or similar officer appointed for, any director, manager, or officer of Seller, and (iii) to the knowledge of Seller, no current Seller Service Provider is the subject of any Order, or has entered into any agreement with any Governmental Body, permanently or temporarily enjoining him or her, or otherwise limiting him or her, from engaging in any business, profession, or business practice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Order has been made or petition presented, or resolution passed for the winding-up or liquidation of Seller or Seller Parent, and there is not outstanding, nor are there circumstances that would entitle any Person to present: (i) any petition or Order for the winding-up or administration of Seller or Seller Parent, (ii) any appointment of a receiver over the whole

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or part of the undertaking of assets of Seller, (iii) any voluntary arrangement between Seller and any of its creditors, (iv) any distress or execution or other process levied in respect of Seller that remains undischarged, or (v) any unfulfilled or unsatisfied Order against Seller. There has been no assignment of the assets of Seller for the benefit of creditors. Seller has not been deemed unable to pay its debts within the meaning of Applicable Law. There are no current or past creditors of Seller to whom any Applicable Law requires the delivery of notice or from whom any form of consent is required in conjunction with this Agreement or any Operative Document to which Seller is a party or any of the Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.13 Seller Permits; Compliance with Laws**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller has received all approvals, authorizations, consents, licenses, orders, registrations, and permits of all Governmental Bodies required by Applicable Law that are necessary for the ownership, use, and Exploitation of the Purchased Assets and the conduct of the Business as currently conducted (collectively, "***Seller Permits***"). Seller is, and at all times have been, in compliance in all material respects with all Seller Permits and in compliance in all material respects with all Applicable Law. Seller has not been subject to any investigation or review by any Governmental Body.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Schedule 2.13(b)</u> to the Disclosure Memorandum contains details of all written correspondence (other than Ordinary Course administrative filings or administrative communications with the United States Patent and Trademark Office or any Tax Authority) of Seller with any Governmental Body over the three years prior to the Agreement Date in any jurisdiction. To Seller's Knowledge, Seller has not been subject to any investigation or review by any Governmental Body.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In connection with the conduct of the Business and the use, operation and exploitation of the Purchased Assets, Seller is, and at all times have been, in compliance with all Applicable Law of the United States and other jurisdictions in which Seller operates or to which it is subject with respect to import and export control and economic sanctions, including the U.S. Export Administration Regulations, the U.S. International Traffic in Arms Regulations, and economic sanctions regulations and executive orders administered by the U.S. Department of the Treasury Office of Foreign Asset Control ("***OFAC***"). Seller has not at any time been counterparty to any commercial agreement with any Person who is the target of, or listed as a designated person in respect of, any economic sanctions administered by OFAC, the U.S. Department of Commerce, or the U.S. Department of State or has engaged, directly or indirectly, in any business with or related to any country or territory that is the subject of any comprehensive economic or financial sanctions or trade embargoes administered or enforced by OFAC (including Cuba, Iran, Syria, North Korea, the Crimea and the so-called Donetsk People's Republic (DNR) and Luhansk People's Republic (LNR) regions of Ukraine).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In connection with the conduct of the Business and the use, operation and exploitation of the Purchased Assets, none of Seller nor any of its Representatives acting on its behalf has at any time (i) taken any action, directly or indirectly, in violation (or that would reasonably be expected to result in any violation) of Anti-Bribery Laws, including making, offering, authorizing, or promising any payment, contribution, gift, business courtesy, bribe, rebate, kickback, or any other thing of value, regardless of form or amount, to any Person to induce

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the recipient to act improperly, to obtain a competitive advantage for any party, or to receive favorable treatment in obtaining or retaining business or (ii) corruptly or improperly accepted, received, or solicited anything of value in connection with the Business. Seller conducts, and has at all times conducted, the Business in compliance with Anti-Bribery Laws and none of Seller's principals, equityholders, directors, managers, officers, employees, or other agents is an official, agent, employee, or representative of any national, provincial, or local government, wholly or partially government-owned or government-controlled entity, political party, political candidate, or public international organization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.14 Taxes**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller has (i) timely filed on or before the applicable due date (taking into account any valid extensions) with each appropriate Governmental Body all income and other material Tax Returns required to be filed by it or with respect to such entity or the Purchased Assets, and all such Tax Returns filed are accurate and complete in all material respects and (ii) fully and timely paid all material Taxes due by or with respect to Seller or the Purchased Assets (whether or not such Taxes have been reflected on any Tax Return). All material Taxes that Seller has been required by Applicable Law to deduct, withhold, or collect (including with respect to any amounts paid or benefits provided to employees) for payment including with respect to the Business, the Purchased Assets or the Assumed Liabilities have been duly deducted, withheld, and collected, and have been paid over to the appropriate Governmental Body in compliance with Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Seller Balance Sheet reflects all Liabilities for unpaid Taxes relating to the Purchased Assets for periods (or portions of periods) through the Seller Balance Sheet Date. There is no Liability for unpaid Taxes relating to the Purchased Assets accruing after the Seller Balance Sheet Date except for Taxes arising in the Ordinary Course following the Seller Balance Sheet Date. There is no Liability for Taxes relating to the Purchased Assets (whether outstanding, accrued for, contingent, or otherwise) that are not included in the Seller Balance Sheet.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) (i) There have never been and there are not currently pending or threatened any Claims by any Governmental Body with respect to Taxes relating to the Purchased Assets, (ii) no extension or waiver of the limitation period applicable to any Tax Return relating to the Purchased Assets is in effect or has been requested, (iii) all deficiencies claimed, proposed, or asserted or assessments made as a result of any examinations by any Governmental Body of the Tax Returns of, or with respect to, the Purchased Assets have been fully paid or fully settled and there is no procedure, proceeding, or contest of any refund or deficiency in respect of Taxes with respect to the Business, the Purchased Assets or the Assumed Liabilities pending or on appeal with any Governmental Body, and (iv) there is no agreement relating to any extension of time for filing any Tax Return with respect to the Business, the Purchased Assets or the Assumed Liabilities that has not been filed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Seller is not and has never been a party to or bound by any Tax indemnity agreement, Tax sharing agreement, Tax allocation agreement, or similar Contract with respect to the Purchased Assets or otherwise, and Seller does not have any Liability or potential Liability to another Person under any such agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Seller does not have any nexus and has not taken any action that could result in Buyer having Taxable presence after the Closing in any taxing jurisdiction (whether within or without the United States) other than the jurisdiction in which Seller is organized. Seller has not or has ever had a "permanent establishment" within the meaning of an applicable income Tax treaty, and Seller otherwise has not had a Taxable presence in any country other than the country in which Seller is organized. No taxing jurisdiction (whether within or without the United States) in which Seller has not filed a particular type of Tax Return or paid a particular type of Tax has asserted that Seller is required to file such Tax Return or pay such type of Tax in such taxing jurisdiction. The Purchased Assets are not, nor have they ever been (during any taxable period remaining open for the assessment of Tax by any applicable Tax Authority under the applicable statute of limitations), a part of any fixed place of business or a permanent establishment in any jurisdiction outside of the United States.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Seller has not made any payment, is not obligated to make any payment, and is not party to (or a participating employer in) any Contract that could obligate Seller or Buyer to make any payment, in each case that constitutes or would constitute an "excess parachute payment," as defined in Section 280G of the Code (or any corresponding or similar provision of Applicable Law with respect to Taxes). No payment to any person will be characterized as a "parachute payment," within the meaning of Section 280G(b)(2) of the Code due in whole or in part to the Transactions. Seller is eligible to seek approval of its equityholders in a manner that complies with Section 280G(b)(5) of the Code. Seller has not made any payment, is not obligated to make any payment or payments, and is not a party to (or a participating employer in) any Contract that has resulted or could reasonably be expected to result in the imposition on Seller, Seller Parent or Buyer, or any employee of Seller of any additional Tax or interest under Section 409A of the Code (or any corresponding or similar provision of Applicable Law with respect to Taxes), or is subject to Section 457A of the Code. For all applicable Tax purposes and during all relevant times, Seller has properly treated as an employee each person required to be treated as an employee of Seller. Seller has no obligations to gross-up any Taxes for any Seller Service Providers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) None of Seller, Buyer, or any Affiliate of Buyer will be obligated to pay or reimburse any Person for any Taxes imposed under Section 4999 of the Code (or any corresponding or similar provision of Applicable Law with respect to Taxes) as a result of any Contract currently in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) None of the Purchased Assets constitute "United States real property interests" within the meaning of Section 897(c) of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Seller has delivered or made available to Buyer correct and complete copies of all income Tax Returns and other material Tax Returns of Seller with respect to the Business, the Purchased Assets and the Assumed Liabilities for which the statute of limitations has not expired, and all audit reports and statements of deficiencies assessed against or agreed to by Seller. <u>Schedule 2.14(i)</u> to the Disclosure Memorandum is an accurate and complete listing of (i) all types of Taxes paid, and all types of Tax Returns filed by or on behalf of, Seller with respect to the Business, the Purchased Assets and the Assumed Liabilities and (ii) all of the jurisdictions that impose such Taxes or with respect to which Seller has a duty to file such Tax Returns (identifying each of the jurisdictions for which Seller is filing Tax Returns, and the types of Taxes paid in such jurisdiction).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Seller has (i) complied with Applicable Law relating to the payment, reporting, and withholding of Taxes (including withholding of Taxes pursuant to Sections 1441, 1442, 1445, 1446, 1471, 1472, and 3406 of the Code or similar provisions under any non-U.S. law), (ii) deducted or withheld (within the time and in the manner prescribed by Applicable Law) from employee wages or consulting compensation and paid over to the proper Governmental Body (or is properly holding for such timely payment) all amounts required to be so withheld and paid over under all Applicable Law, including federal and state income Taxes, Federal Insurance Contribution Act, Medicare, Federal Unemployment Tax Act, relevant state income and employment Tax withholding laws, and (iii) timely filed all withholding Tax Returns, for all periods through and including the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) No Tax ruling has been issued to Seller with respect to the Purchased Assets that would be binding on Buyer for any Taxable period (or portion thereof) ending after the Closing Date, and Seller has not applied for any Tax ruling.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Seller has collected and remitted all sales, use, value added, ad valorem, personal property and similar Taxes ("***Sales Taxes***") with respect to sales made or services provided with respect to the Business, the Purchased Assets and the Assumed Liabilities and, for all sales or provision of services with respect to the Business, the Purchased Assets and the Assumed Liabilities that are exempt from Sales Taxes and that were made without charging or remitting Sales Taxes, Seller has received and retained any required Tax exemption certificates or other documentation qualifying such sale or provision of services as exempt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) Seller has not deferred Taxes or claimed any Tax credits under the CARES Act, or any other Applicable Law, regulation, order, or directive issued by any Governmental Body or public health agency in connection with the COVID-19 pandemic. Seller is eligible for and has properly claimed any Tax credits or deferral for which it has affirmatively applied, filed, or otherwise claimed pursuant to the CARES Act or any corresponding or similar provision of state, local, or foreign Tax law. <u>Schedule 2.14(m)</u> to the Disclosure Memorandum is an accurate and complete listing of any Tax deferrals or Tax credits for which Seller has affirmatively applied, filed, or otherwise claimed pursuant to the CARES Act or any corresponding or similar provision of state, local, or foreign Tax law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) There are (and immediately following the Closing there will be) no Encumbrances on the Purchased Assets relating or attributable to Taxes other than Encumbrances for Taxes not yet due and payable. There is no basis for the assertion of any claim relating or attributable to Taxes which, if adversely determined, would result in any Encumbrance for Taxes on the Purchased Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) Seller is not, and has never been, party to or the beneficiary of any Tax exemption, Tax holiday, or other Tax reduction Contract or Order, in each case with respect to the Purchased Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) Seller is in compliance with all applicable transfer pricing laws and regulations, including the execution and maintenance of contemporaneous documentation substantiating the transfer pricing practices and methodology of Seller. The prices for any property or services (or for the use of any property) provided by or to Seller are arm's length prices for purposes of all

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applicable transfer pricing laws, including Treasury Regulations promulgated under Section 482 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) None of the Purchased Assets is an instrument treated by the issuer as debt for federal income Tax purposes that should be treated as equity pursuant to Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Seller has offered all full-time employees (as defined in the Patient Protection and Affordable Care Act) the ability to elect minimum essential coverage that provides minimum value for themselves and their dependents, such that there will not be any Liability or excise tax under Section 4980H(a) of the Code. There will not be any penalty or excise tax assessed against Seller under 4980H(b) of the Code. There is nothing that would create a reporting obligation or excise tax under 4980D of the Code. Seller shall satisfy its reporting obligations under Code sections 6055 and 6056, as applicable, for the year of the Closing through the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) All Taxes that are required by Applicable Law to be withheld from benefits derived under the Employee Benefit Plans have been properly withheld and remitted to the proper depository in a timely manner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) Buyer shall not, by reason of the transactions contemplated under this Agreement, have any liability (including post-Closing) for any obligations of Seller or its Affiliates under any Tax indemnification, sharing and similar Contracts that relating to the Business, the Purchased Assets or the Assumed Liabilities (including, without limitation, any provisions under the SDA, the TMA or any related agreements), excluding any Contracts entered into in the ordinary course of business, no significant purposes of which is related to the indemnification or sharing of Taxes (a "***Customary Agreement***"). For the avoidance of doubt, the SDA is not a Customary Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.15 Tax Consequences**

Seller has had an opportunity to review with its own Tax advisors the Tax consequences to it of the Transactions. Buyer does not make, and Seller and Seller Parent are not relying upon, any representations or warranties to Seller regarding the Tax treatment of the Asset Purchase or any of the Tax consequences to Seller or Seller Parent of this Agreement, the Asset Purchase, the other Transactions, or the other agreements contemplated by this Agreement. Each of Seller and Seller Parent understand that it must rely solely upon its advisors and not on any statements or representations by Buyer or any of its agents or Affiliates. Seller and Seller Parent understands that it shall be responsible for its own Tax Liabilities that may arise from the Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.16 Related Party Interests**

No equityholder of Seller (including Seller Parent), Seller Service Provider, or Affiliate of Seller (or, to the Knowledge of Seller, any Affiliate of the foregoing), and no Related Party (excluding Seller) of any of the foregoing, has any interest (other than as an equityholder) (a) in any Contract with Seller or in any Contract relating to (i) Seller, (ii) the present or prospective business or operations of Seller, or (iii) any Purchased Asset (in each case, other than employment agreements made available to Buyer pursuant to <u>Section 2.8(f)</u> and the Seller IP Protection Agreements) (each, a "***Related Party Contract***")or (b) in any Material Customer or Material Vendor.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.17 Insurance** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each insurance policy maintained by Seller as of the Agreement Date (the "***Policies***") is in full force and effect and will continue in full force and effect through the Closing Date. During the past three years, Seller has not been refused any insurance, nor has its coverage been limited, by any insurance carrier. Seller maintains the Policies with a scope and amount sufficient to satisfy Applicable Law and all Contracts to which Seller is a party or by which Seller is bound.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller has not done anything or omitted to do anything that would reasonably be expected to make any of the Policies void or voidable or prejudice the ability to effect insurance on the same or better terms in the future. No insurer under any of the Policies has disputed, or given any indication to Seller or Seller Parent that it intends to dispute, the validity of any of the Policies on any grounds. No Claims have been made, no Claim is outstanding, and, to the Knowledge of Seller, no fact or circumstance exists that would reasonably be expected to give rise to a Claim under any of the Policies. To the Knowledge of Seller, no event, act, or omission has occurred that requires notification under any of the Policies. None of the insurers under any of the Policies has refused, or given any indication to Seller or Seller Parent that it intends to refuse, indemnity in whole or in part in respect of any Claims under the Policies. Nothing has been done or omitted to be done by Seller and, to Seller's Knowledge, there are no facts or circumstances that would reasonably be expected to entitle the insurers under any of the Policies to refuse indemnity in whole or in part in respect of any claims under the Policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.18 Brokers or Finders**

Seller has not and will not have, directly or indirectly, any Liability for brokers' or finders' fees, commissions, or any similar charges in connection with the origin, negotiation, or execution of this Agreement or in connection with any of the Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.19 Customers and Suppliers**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 2.19(a)</u> to the Disclosure Memorandum sets forth an accurate and complete list of each customer of Seller or the Business by revenue during the year that ended on December 31, 2023, and for the three months ended March 31, 2024 (such periods, the "***Reference Period***") (collectively, the "***Material Customers***"), showing the approximate total revenues from each such Reference Period. No Material Customer has, during the 12 months prior to the Agreement Date, decreased or limited in any material respect or, to the Knowledge of Seller, threatened to decrease or limit in any material respect, its purchase of the Seller Products. Seller has not received any notice of, and, to the Knowledge of Seller, no circumstance exists that would cause Seller to expect, any material modification to Seller's relationship with any Material Customer, nor is there or has there been, during the Reference Period, any material dispute with or Claim by any of Seller's customers concerning the purchase of the Seller Products. Seller has not received any notice of, and, to the Knowledge of Seller, no circumstance exists that may cause Seller to expect, any customer allegations of any material defect or Claim in respect of any Seller Products.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Schedule 2.19(b)</u> to the Disclosure Memorandum sets forth an accurate and complete list of Seller's top 15 suppliers, vendors, and other third-party service providers (each, a "***Vendor***" and each Vendor required to be set forth on <u>Schedule 2.19(b)</u> to the Disclosure Memorandum, a "***Material Vendor***"), by the amount of payments made to each such Material Vendor during the Reference Period, showing the approximate total payments to each such Material Vendor during the Reference Period. No Material Vendor has during the Reference Period decreased or limited in any material respect or, to the Knowledge of Seller, threatened to decrease or limit in any material respect, its supply or services to Seller. Seller has not received any notice of, and, to the Knowledge of Seller, no circumstance exists that would cause Seller to expect, any material modification to Seller's relationship with any Material Vendor, nor is there or has there been, during the Reference Period, any material dispute with or Claim by any Vendor concerning such Vendor's supply or services to Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Seller has made available to Buyer a register of all written Claims received by Seller during the 36 months prior to the Agreement Date from any customer or Vendor other than in respect of ordinary course delivery delays or product returns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.20 Conduct of the Business**

Seller has conducted and operated the Business only through Seller and Perceive Canada and not through Seller Parent, any other equityholder of Seller or any direct or indirect Subsidiary or Affiliate of either Seller Parent (other than Seller and Perceive Canada) or any other equityholder of Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.21 Solvency** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller is (and, after giving effect to all of the Transactions, including the payment of all related fees and expenses, will be) Solvent. For purposes of this Agreement, "***Solvent***" means that, as of any time of determination, (i) the amount of the fair saleable value of the assets of Seller exceeds, as of such time, the sum of (A) the value of all liabilities of Seller as of such time, as such term is generally determined in accordance with Applicable Law governing determinations of the solvency of debtors and (B) the amount that will be required to pay the probable liabilities of Seller as they mature, (ii) Seller will have adequate capital to carry on its business, and (iii) Seller will be able to pay its debts as they become due. The Purchase Price constitutes reasonably equivalent value for the Purchased Assets, and the consummation of the Transactions shall not constitute a fraudulent transfer under Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Seller and Seller Parent are not entering into this Agreement with the actual intent to hinder, delay or defraud either present or future creditors of Seller or Seller Parent or their respective Subsidiaries. Assuming (i) satisfaction or waiver of the conditions to Buyer's obligations to consummate the Transactions and after giving effect to the Transactions and the payment of the Purchase Price and (ii) the representations and warranties of Seller and Seller Parent set forth in this <u>Article II</u> are accurate in accordance with <u>Section 5.1</u>, Seller Parent and its Subsidiaries, on a consolidated basis, as of the date hereof and as of the Closing, will be Solvent.

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**Article III<br>REPRESENTATIONS AND WARRANTIES OF BUYER**

In order to induce Seller to enter into and perform this Agreement, Buyer represents and warrants to Seller as of the Agreement Date and as of the Closing Date as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.1 Organization and Good Standing**

Buyer is a limited liability company duly formed, validly existing, and in good standing under the laws of the State of Delaware, has all requisite power and authority to own, lease and operate its properties and to carry on its business as it is now being conducted and is duly qualified or licensed to do business, and is in good standing, in each jurisdiction where the character of the properties owned, leased or operated by it or the nature of its business makes such qualification or licensing necessary, except, in each case, for any such failures that would not, individually or in the aggregate, reasonably be expected to prevent, delay or impair the ability of Buyer to perform its obligations under this Agreement or otherwise consummate the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.2 Authority and Enforceability**

Buyer has full power and authority to execute this Agreement and the other Operative Documents to which it is (or will be) a party and to perform its obligations hereunder and thereunder and to consummate the Transactions. This Agreement has been duly executed and delivered by Buyer and, assuming the due authorization, execution, and delivery by each of the other parties hereto, this Agreement is the valid and binding obligation of Buyer, enforceable against Buyer in accordance with its terms, and each of the other Operative Documents to which Buyer is (or will be) a party, when executed by Buyer, and assuming the due authorization, execution, and delivery by each of the other parties thereto, is (or will be) the valid and binding obligation of Buyer, enforceable against Buyer in accordance with its terms except, in each case, to the extent such enforceability is subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium, or other Applicable Law affecting or relating to creditors' rights generally and general principles of equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.3 No Approvals; No Conflicts**

The execution, delivery, and performance by Buyer of this Agreement and the other Operative Documents to which Buyer is (or will be) a party and the consummation by Buyer of the Transactions do not and will not (a) violate (with or without the giving of notice or lapse of time, or both) Applicable Law, (b) require any filing with, consent, approval, or authorization of, notification or other submission to, or confirmation or clearance from, any Person, other than such information submission as may be required to be made by Buyer in connection with the Transactions under the DMA, or (c) conflict with or result in a breach of or constitute a default under any provision of the governing documents of Buyer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.4 Brokers or Finders**

Buyer has not and will not have, directly or indirectly, any Liability for brokers' or finders' fees, commissions, or any similar charges in connection with the origin, negotiation, or execution of this Agreement or in connection with any of the Transactions.

**Article IV<br>COVENANTS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.1 Covenants of Seller and Seller Parent Prior to the Closing**

Prior to the Closing, unless Buyer except as (1) set forth on <u>Schedule 4.1</u>, and (2) otherwise consents in writing, the Business shall be conducted in the Ordinary Course and in accordance with Applicable Law, and Seller shall, and Seller Parent shall cause Seller to, use commercially reasonable efforts to (i) preserve intact the business organization of Seller and, to the extent applicable, the Purchased Assets in good repair and condition (ordinary wear and tear excepted), (ii) keep available the services of the current Seller Service Providers, (iii) preserve the goodwill and current relationships of Seller with customers, suppliers and other Persons with which Seller has significant business relations, and (iv) maintain capital expenditure levels of the Business, consistent with past practice and necessary for the operation of the Business in the Ordinary Course. Without limiting the generality of the foregoing, except (1) as set forth on <u>Schedule 4.1</u>, and (2) unless Buyer otherwise consents in writing or as expressly contemplated by this Agreement, Seller shall not (and shall not permit any of its Representatives or Affiliates to), and Seller Parent shall cause Seller not to, between the Agreement Date and the earlier of the Closing and the termination of this Agreement in accordance with <u>Article VIII</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) amend or otherwise change the governing documents of Seller;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) issue, sell, contract or promise to issue or sell, pledge, dispose of, grant, encumber, or authorize the issuance, sale, pledge, disposition, grant, or Encumbrance (other than Permitted Encumbrances) of, any Equity Interests, or any other ownership interest (including any phantom interest) of Seller, or any revenue or profit-sharing interest in respect of Seller, or (ii) approve, consent to, or otherwise authorize the transfer of any Equity Interests from any equityholder of Seller to another Person (other than repurchases of its Equity Interests by Seller Parent);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) declare, set aside, make, or pay any distribution with respect to any Equity Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) reclassify, combine, split, subdivide, redeem, purchase, or otherwise acquire, directly or indirectly, any Equity Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) acquire or engage in any other similar transaction or investment in any Person or division thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) incur or repay, or amend any terms of, any indebtedness for borrowed money (other than trade payables or accruals in the Ordinary Course), or issue any debt securities or assume, guarantee, endorse, or otherwise become responsible for the obligations for borrowed money of

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any Person, or make any loans or advances, in each case, other than indebtedness to Seller Parent or any other Affiliate consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) enter into, amend, terminate, or renew any Material Contract (or any Contract that would constitute a Material Contract if it were in effect as of the Agreement Date), other than (i) terminations that occur as a result of the natural expiration of the term of such Material Contract; and (ii) automatic renewals in accordance with terms of such Material Contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) except as required under Applicable Law, (i) increase, defer, or fail to pay the base salary, bonus opportunity, or compensation or other amounts payable or to become payable to its current, former, or prospective Seller Service Providers, grant any severance or termination pay, or loan or advance any money or other property to any Seller Service Providers, other than as required pursuant to any Employee Benefit Plan in effect as of the Agreement Date, to any current, former, or prospective Seller Service Provider, or establish, adopt, enter into, amend, terminate, or fail to renew any Employee Benefit Plan, collective bargaining, or other Contract, trust, fund, or policy for the benefit of any Seller Service Provider, (ii) make or commit to make any equity awards to any Seller Service Provider, (iii) take any action to accelerate the vesting or payment, or fund or in any other way secure the payment, of compensation or benefits under any Employee Benefit Plan to the extent not required by this Agreement or such Employee Benefit Plan as in effect on the Agreement Date (or any Contract entered into and in effect as of the Agreement Date pursuant to any such Employee Benefit Plan), (iv) hire or engage the services of any additional Seller Service Providers, or (v) terminate the employment or services, as applicable, of any Seller Service Provider, other than for cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (i) make, revoke, or alter any Tax election, settle or compromise any Tax Liability or Tax Contest, or take any action that would or is reasonably likely to result in Seller having nexus or otherwise being subject to Tax or any Tax Return filing obligation in any jurisdiction in which Seller has not filed Tax Returns as of the Agreement Date, file any amended Tax Return or file any Tax Return being filed late (taking into account any valid extensions) or surrender any right to claim a Tax refund, offset, or other reduction in Tax Liability, (ii) extend any statute of limitations with respect to any Tax Return, (iii) enter into any Tax sharing or similar agreement or closing agreement, (iv) assume any Liability for the Taxes of any other Person (whether by Contract or otherwise), (v) consent to any extension or waiver of the limitation period applicable to any Claim or assessment in respect of Taxes, or (vi) with the exception of items occurring as a result of the Transactions, accelerate or move any Tax deduction, attribute, or benefit to the Pre-Closing Tax Period or defer any Tax detriment or Taxable income to the Post-Closing Tax Period, other than in the Ordinary Course;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) commence, pay, discharge, or satisfy any Claim, Liability, right, or obligation (absolute, accrued, asserted or unasserted, contingent, or otherwise) in excess of $50,000 individually or $250,000 in the aggregate, other than the commencement, payment, discharge, or satisfaction in the Ordinary Course, Liabilities, and obligations reflected or reserved against in the Seller Balance Sheet or incurred in the Ordinary Course since the Seller Balance Sheet Date and that do not result from any breach of Contract, warranty, infringement tort, or violation of Applicable Law;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) waive any Claims or rights, in each case, of material value related to the Purchased Assets or the Assumed Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) sell, transfer, license, lease, or otherwise dispose of any Purchased Asset (other than non-exclusive licenses to Seller IP granted by Seller in the Ordinary Course to customers and Seller Service Providers, in each case consistent with past practice);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) assign, abandon, forfeit, or permit to lapse, or instruct or consent to a future lapse of, any Intellectual Property Rights included in the Seller-Owned IP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) take any action that would or is reasonably likely to result in (i) the Breach of any of the representations or warranties of Seller set forth in this Agreement or any other Operative Document, (ii) the Breach of any covenant of Seller or Seller Parent set forth in this Agreement or any other Operative Document, or (iii) any of the conditions specified in <u>Article V</u> or <u>Article VI</u> not being satisfied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) take any action to induce or try to induce any Offered Employee to terminate or Breach his or her Offer Letter or NDA entered into with Buyer or any Buyer Entity, or take any action to induce or try to induce any Seller Service Provider to terminate his or her employment or services with Seller prior to the Closing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) incorporate a company, or, except as otherwise required by Applicable Law, register a branch, or apply for any regulatory license in any jurisdiction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) agree or commit to do any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.2 Third-Party Consents; Terminations and Amendments; Notices; Actions**

Seller shall use commercially reasonable efforts to (which efforts shall include, in the case of the Required Consents, payment of all amounts expressly required by the terms of the underlying Contract to obtain such Required Consents, including any amounts required to cure any breach of or default under any applicable Contract) (a) obtain as promptly as practicable following the Agreement Date, and in any event prior to the Closing, the consent or approval (or waiver thereof) of each Person who has a right to consent or approval in connection with the Transactions, including each party to the Contracts set forth on <u>Schedule 4.2(a)</u> (the "***Required Consents***"), which consents shall be in a form reasonably satisfactory to Buyer, (b) deliver notice as promptly as practicable following the Agreement Date, and in any event prior to the earlier of the Closing and the date on which notice is required to be delivered under the applicable Contract, to each Person who has a right to receive notice in connection with the Transactions, including each party to the Contracts set forth on <u>Schedule 4.2(b)</u> (the "***Required Notices***"), which notices shall be in a form reasonably satisfactory to Buyer, and (c) complete prior to the Closing, the actions set forth on <u>Schedule 4.2(c)</u> (the "***Required Actions****"*), which actions shall be completed in a manner reasonably satisfactory to Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.3 Further Action**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller, Seller Parent and Buyer shall take any actions reasonably necessary, advisable or appropriate to consummate the Transactions and fulfill the conditions to the Closing

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set forth herein as promptly as reasonably practicable following the Agreement Date, including, with respect to Seller, (i) (A) taking such actions as to encourage the Offered Employees to accept employment with Buyer or its Affiliates and not rescind or revoke the Offer Letters, and (B) causing each of the Named Employees and Offered Employees to continue employment through, and commence employment with Buyer on, the Closing Date and (ii) delivering to Buyer such certificates, other documents and information as required to satisfy each of the conditions set forth in <u>Article V</u>. For the avoidance of doubt, to the extent any condition to the Closing is that a document be acceptable or to the satisfaction of Buyer, this <u>Section 4.3</u> shall not require Buyer to waive such right or otherwise accept a document that is not reasonably acceptable or satisfactory to Buyer. Seller, Seller Parent and Buyer shall take any further actions reasonably necessary or desirable to carry out the purposes of this Agreement or any other Operative Document as may be requested by the other parties hereto. In furtherance and not in limitation of the foregoing, Seller and Seller Parent shall use commercially reasonable efforts to obtain, prior to the Closing, duly executed release agreements, substantially in the form attached hereto as <u>Exhibit A</u> (each, a "***Release Agreement***"), from each Holder that is an Offered Employee as of the Agreement Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In furtherance and not in limitation of <u>Sections 4.3(a)</u>, Buyer shall as soon as reasonably practicable following the Agreement Date (expected to be no more than two (2) Business Days following the Agreement Date) (i) make an information submission to the European Commission disclosing information concerning the proposed Transactions to the extent required by the DMA and (ii) subject to Seller and Seller Parent's compliance with <u>Section ‎4.3(c)</u>, submit a "Notification to Acquire Control of an Existing Canadian Business (or Businesses)" to the ISED.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In furtherance and not in limitation of <u>Section 4.3(a)</u>, Seller, Seller Parent and Buyer shall, to the extent permitted under Applicable Law, (i) promptly inform the other parties of the receipt of any inquiry, notification, request for information, or investigation, from any Governmental Body in connection with the Transactions, including under any applicable Regulatory Laws, and provide the other parties with a copy of any notices or other written communications related thereto, (ii) cooperate with the other parties in the making of any submissions or filings under any applicable Regulatory Laws or otherwise requested to be made by any Governmental Body in connection with the Transactions, including by (A) providing such other parties or their respective outside counsel with an advance opportunity to review and comment on any such submission or filings prior to their submission, (B) promptly providing the other parties or their respective outside counsel with copies of any communications received from any Governmental Body concerning the Transactions, and (C) promptly supplying the other parties or their outside counsel with any information or documents that may be required or requested by any Governmental Body (whether in connection with such submissions or filings or otherwise) or that Buyer determines, in consultation with the other parties, may be advisable to provide to any relevant Governmental Body, and (iii) use their respective commercially reasonable efforts consistent with Applicable Law to cause the expiration or termination of any applicable waiting periods, to obtain all required or advisable consents, approvals, confirmations, or other clearances under any applicable Regulatory Laws as soon as practicable (save in relation to the submission referred to in Section 4.3(b)), and to cause the consummation of the Transactions to occur as promptly as practicable, in each case and in any event no later than the Outside Date. Subject to Applicable Law relating to the exchange of information, Buyer shall have the right (i) to direct all matters with any Governmental Body relating to the Transactions and (ii) to review in advance, and direct the revision of, any filing, application, notification, submission, or other document to

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be provided or made by Seller, Seller Parent or Buyer to any Governmental Body under any Regulatory Laws; provided that, in each case, Buyer shall consult with Seller and Seller Parent in advance and consider in good faith the timely views of Seller and Seller Parent with respect thereto. Neither Seller nor Seller Parent shall, without the prior written consent of Buyer, permit any of Seller or Seller Parent's respective Representatives to participate in any meeting with any Governmental Body relating to the Transactions unless Seller or Seller Parent, as applicable, consults with Buyer in advance and, to the extent permitted by such Governmental Body, grants Buyer the opportunity to attend and lead the discussions at such meeting. Prior to Buyer participating in any such meeting with any Governmental Body relating to the Transactions, Buyer shall consult with Seller and Seller Parent in advance and consider in good faith the timely views of Seller and Seller Parent with respect thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In furtherance and not in limitation of <u>Section 4.3(a)</u> and subject to the limitations set forth in this <u>Section 4.3(d)</u>, if any objections are asserted with respect to the Transactions under any applicable Regulatory Laws or any other Applicable Law or if any Claim is brought or instituted (or threatened to be brought or instituted) by any Governmental Body challenging the Transactions or that would otherwise prohibit or materially impair or delay the consummation of the Transactions, Seller, Seller Parent and Buyer shall use their respective commercially reasonable efforts to resolve any such objections or lawsuits or other Claim (or threatened Claim) so as to permit consummation of the Transactions as soon as reasonably practicable. Notwithstanding anything to the contrary herein, neither Buyer nor any of its Affiliates shall be required, in order to resolve any such objections or Claims (or threatened Claims) and permit the Closing to occur no later than the Outside Date, to (i) litigate or contest any Claim challenging any of the Transactions as violative of any Regulatory Laws, (ii) (A) sell, lease, license, transfer, dispose of, divest or otherwise encumber, or hold separate pending any such action or (B) propose, negotiate or offer to effect, or consent or commit to, any such sale, lease, license, transfer, disposal, divestiture of, or other Encumbrance (other than Permitted Encumbrances of the nature described in subclauses (a) – (c) of the definition thereof) on, or holding separate of, before or after the Closing, any assets, licenses, operations, rights, product lines, businesses, or interest therein of Buyer, its Subsidiaries or Affiliates, or in respect of the Purchased Assets, (iii) take or agree to take any other action or agree or consent to any limitations or restrictions on freedom of actions with respect to, or its ability to retain, or make changes in, any such assets, licenses, operations, rights, product lines, businesses, or interest therein of Buyer, its Subsidiaries or Affiliates, or in respect of the Purchased Assets, (iv) take or agree to take any other action or agree or consent to the holding separate of the Purchased Assets and/or the Business or any limitation or regulation on the ability of Buyer or any of its Affiliates to exercise full rights of ownership of or control over the Purchased Assets and/or the Business, or (v) take or agree to take any other action that is not conditioned on the consummation of the Transaction (any one or more of the foregoing actions in clauses (i)-(iv), a "***Regulatory Restraint***"). Buyer may compel the Purchased Assets to take or become subject to any Regulatory Restraint (or agree to take or become subject to such Regulatory Restraint) if such Regulatory Restraint is effective only after the Closing, and Seller may not take or agree to become subject to any Regulatory Restraint in connection with the matters contemplated by this <u>Section 4.3(d)</u> without the prior written consent of Buyer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.4 Confidentiality; Public Announcements**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) At all times on and after the Agreement Date, neither Seller nor Seller Parent shall, and each of them shall cause its respective Representatives to not, make any statements to any third party with respect to this Agreement, the existence of this Agreement, or the Transactions, or disclose to any third party any confidential information of the Business, Seller or Buyer. The parties acknowledge that Seller Parent's announcement of the Transactions to customers, suppliers, investors, employees, and otherwise (the "***Transaction Announcement***") and the timing thereof has been agreed by the parties. Seller Parent will file a Form 8-K promptly after the date hereof, with solely the Transaction Announcement attached as an exhibit thereto (in the form attached hereto as Exhibit E, the "***Transaction 8-K***"). Other than the posting of the Transaction Announcement on Seller Parent's website at the time mutually agreed upon by the parties (which shall not be distributed via any press release distribution service) and filing of the Transaction 8-K, no party shall make, or cause to be made, or permit any of its Affiliates to make, any press release or public announcement or other similar communications in respect of this Agreement, the Operative Documents or the Transactions without prior written consent of the other party (which consent may be withheld in such party's sole discretion). This <u>Section ‎4.4</u> shall not restrict disclosures by Seller or Seller Parent (a) to their legal and financial advisors (so long as the same are obligated to maintain the confidentiality of the information provided), or (b) to the Transferred Employees in connection with the Offer Letters and the NDAs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding <u>Section ‎4.4(a)</u>, any of the Seller and Seller Parent may disclose any such information contemplated thereby as and to the extent required by Applicable Law or by the rules and regulations of a national securities exchange (on the advice of legal counsel), so long as such party shall (i) notify Buyer in writing of such information to be disclosed in advance of its disclosure to enable Buyer to seek a protective Order or other remedy, and (ii) cooperates in connection with Buyer's efforts to obtain an Order or other reliable assurance that confidential treatment shall be accorded to such of the disclosed information that Buyer so designates. For the avoidance of doubt, Seller Parent may file a redacted version of this Agreement as an exhibit to any quarterly or annual report Seller Parent files with the SEC; provided, however, Seller Parent shall consult with Buyer in advance of filing any such report and shall provide a reasonable opportunity to Buyer to propose revisions to such exhibit, and which revisions Seller and Seller Parent shall make absent a reasonable basis for objection (and shall provide Buyer with prompt notice of any such objection and the basis therefor and a reasonable opportunity to consider and discuss such objection).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.5 Non-Competition and Non-Solicitation**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) During the Restricted Period, each of Seller and Seller Parent will not directly or indirectly (including through one or more of such Person's Affiliates) consult with, or otherwise perform services for, own, manage, operate, join, control, or participate in the ownership, management, operation, or control of, or otherwise be connected with or related to ([\*\*\*]), in any manner, directly or indirectly (including through one or more of such Person's Affiliates), any Competitor in a manner relating to the Business, or otherwise engage in the Business, unless released from such obligation in writing by Buyer. Without limiting the foregoing, Seller or Seller Parent shall be deemed to be related to or connected with a Competitor if, among other things, such Competitor is (i) a partnership in which Seller or Seller Parent, as applicable, is a general or

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limited partner, (ii) a corporation or association of which Seller or Seller Parent, as applicable, is an equityholder, or manager, (iii) a limited liability company in which Seller or Seller Parent, as applicable, is a manager, member, or (iv) a partnership, corporation, limited liability company, or association of which Seller or Seller Parent, as applicable, is a member, consultant, or agent. Nothing in this <u>Section 4.5(a)</u> shall prevent the purchase or ownership by Seller Parent of equity securities of a Competitor that constitute less than 1% of the outstanding equity securities of such Competitor traded on any national securities exchange if Seller Parent has no other relationship with such Competitor (except with respect to any Third-Party Goods). [\*\*\*]. The restrictions in this <u>Section 4.5(a)</u> are in addition to and cumulative, and do not override, any non-competition or non-solicitation terms to which Seller or Seller Parent may have agreed to in other capacities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) During the Restricted Period, Seller and Seller Parent shall not (and shall cause its Affiliates not to) (i) directly or indirectly solicit, coerce, or initiate enticement of, any director, manager, officer, employee, consultant, or third-party contractor employed or engaged in the Business by Buyer or any of its Affiliates to cease his, her, or its relationship with Buyer or any of its Affiliates or (ii) solicit, influence, entice, or in any way divert any current customer, partner, distributor, supplier, or joint venturer of the Business from continuing to do business with Buyer or any of its Affiliates in the operation of the Business at historic or previously planned or intended levels. Notwithstanding anything to the contrary in this <u>Section 4.5(b)</u>, the terms of this <u>Section 4.5(b)</u> shall not apply to (i) any general solicitation (or, as permitted by Applicable Law, hiring as a result of any general solicitation) that are not specifically targeted toward any director, manager, officer, employee, consultant, or third-party contractor employed or engaged in the Business by Buyer, Seller, or any of their respective Affiliates (but excluding, for the avoidance of doubt, the use of search firms and/or any targeted hiring methods), (ii) any Offered Employees who are never employed by Buyer or any of its Affiliates or (iii) any Seller Service Provider that is not an Offered Employee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) During the Restricted Period, Seller and Seller Parent shall not intentionally disparage the Business or the Purchased Assets in any way that could adversely affect the goodwill, reputation or business relationships of the Business, Buyer or any of its Affiliates with the public generally, or with any of their customers, suppliers or employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each of Seller and Seller Parent acknowledges and agrees that the restrictions set forth in this <u>Section 4.5</u> are reasonable in view of the nature of the Purchased Assets being acquired by Buyer under this Agreement and compliance with the provisions of this <u>Section 4.5</u> is necessary and proper to preserve and protect such Purchased Assets and to ensure that the parties receive the benefits intended to be conveyed pursuant to this Agreement. Accordingly, each of Seller and Seller Parent agrees that any failure by Seller or Seller Parent or any of their respective Affiliates to comply with this <u>Section 4.5</u> shall entitle Buyer and its Affiliates, in addition to such other relief and remedies as may be available, to equitable relief, including the remedy of injunction. Resort to any remedy shall not prevent the concurrent or subsequent employment of any other remedy or preclude the recovery Buyer or any of its Affiliates of monetary damages and compensation. In the event of a Change in Control Transaction with a financial sponsor, the restrictions set forth in <u>Section 4.5(a)</u> and <u>(b)</u> shall not apply to portfolio companies of such financial sponsor that are not Affiliates of Seller Parent but for common ownership and/or control by such financial sponsor.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything to the contrary herein, including <u>Section 9.3</u>, (i) the covenants in this <u>Section 4.5</u> are severable and separate, and the unenforceability of any specific covenant shall not affect the continuing validity and enforceability of any other covenant and (ii) in the event any court of competent jurisdiction shall determine that the scope or time restrictions set forth in this <u>Section 4.5</u> are unreasonable and therefore unenforceable, then it is the intention of the parties that such restrictions be enforced to the fullest extent that such court deems reasonable, and this Agreement shall thereby be reformed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.6 Exclusivity**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Prior to the earlier of the Closing and the termination of this Agreement in accordance with <u>Article VIII</u>, Seller and Seller Parent shall not (and shall not permit their respective directors, managers, officers, employees, equityholders, Affiliates, financial advisors, attorneys, accountants, or other representatives (collectively, "***Representatives***") to), directly or indirectly, (i) accept, or enter into any agreement with respect to, any existing proposal or offer outstanding as of the Agreement Date or received after the Agreement Date from any other Person to consummate a Competing Transaction or (ii) solicit, initiate, facilitate, encourage, engage in discussions or negotiations with, or furnish information to, any Person other than Buyer with respect to a Competing Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) Seller and Seller Parent shall cause any pending discussions or negotiations with any other Person regarding a Competing Transaction to be immediately terminated, (ii) Seller and Seller Parent shall terminate access by any Person other than Buyer to any virtual or electronic data room containing confidential information regarding Seller and/or the Purchased Assets and shall request from each Person that had access to any such data room (other than Buyer and its Representatives) the prompt return or destruction of all non-public information with respect to Seller and/or the Purchased Assets previously provided to such Person, and (iii) Seller and Seller Parent shall not, and shall cause their respective Representatives not to, directly or indirectly, deal with any Person other than Buyer with respect to proposing, encouraging, discussing or negotiating any Competing Transactions. Seller and Seller Parent shall notify Buyer within 24 hours if any inquiry or proposal regarding a Competing Transaction is made, of any proposed response by Seller or Seller Parent thereto, and any further inquiry, proposal or response from such third party. If and to the extent permitted by the terms of any applicable confidentiality agreements to which Seller or Seller Parent may be subject as of the Agreement Date, all notices shall include the identity of the Person making the inquiry or proposal, the terms thereof, and/or, if in written form, complete and accurate copies thereof, provided, that, if Seller or Seller Parent are not permitted to disclose such information, Seller and Seller Parent shall, nevertheless, indicate whether any such proposal proposes an upfront cash purchase price in excess of the Purchase Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.7 Tax Matters**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller shall be liable for, and shall hold Buyer and its Affiliates harmless against, all Transfer Taxes imposed in any Tax jurisdiction, including any state or local Tax jurisdiction, that become payable in connection with the Transactions; [\*\*\*]. Seller will, at its own expense, file, or cause to be filed, in a timely manner all necessary documents (including all Tax Returns) with respect to all such Transfer Taxes if required by Applicable Law, and Seller Parent shall

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provide Buyer with evidence reasonably satisfactory to Buyer that such Transfer Taxes have been paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) From the execution of this Agreement to the earlier of the Closing or the effective time of the termination of this Agreement in accordance with <u>Article VIII</u>, Seller shall, and shall cause the Seller Service Providers to, afford the Representatives of Buyer access at all reasonable times to the Seller Service Providers and properties, offices, and other facilities, and books and records of Seller relating to the Business, the Purchased Assets or the Assumed Liabilities and shall furnish Buyer with all financial, operating, and other data and information relating to the Business, the Purchased Assets or the Assumed Liabilities as Buyer may reasonably request. Following the Closing, Buyer and Seller shall provide each other with such assistance as may reasonably be requested in connection with the preparation of any financial statements, Tax Return, audit, or other Legal Proceeding by any Governmental Body, or any Legal Proceeding relating to Liabilities for Taxes. Such assistance shall include making employees available on a mutually convenient basis to provide additional information or explanation of material provided hereunder and shall include providing copies of relevant Tax Returns and supporting material. Buyer and Seller will retain and provide each other with any records or information that may be relevant to such preparation, Legal Proceeding, or determination. Notwithstanding anything to the contrary herein, neither Buyer nor any of its Affiliates shall be required to provide any Tax information that it regards as privileged or confidential, including any Tax Return of Buyer or its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the case of any Straddle Period, the amount of any Taxes for Pre-Closing Tax Periods shall (i) in the case of any real or personal property Taxes or similar *ad valorem* 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 Taxable period ending on the Closing Date and the denominator of which is the number of days in the Straddle Period and (ii) in the case of any other Tax, be deemed equal to the amount that would be payable if the relevant Taxable period ended on the Closing Date, except that exemptions, allowances, or deductions that are calculated on an annual basis (including depreciation and amortization deductions), other than with respect to property placed in service after the Closing, shall be allocated on a per diem basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything to the contrary herein, Seller shall bear all property and ad valorem Taxes with respect to the Purchased Assets if the lien or assessment date arises prior to the Closing Date irrespective of the reporting and payment dates for such Taxes. With respect to Taxes described in this <u>Section 4.7(d)</u>, Seller shall timely file all Tax Returns due before the Closing Date with respect to such Taxes and Buyer shall prepare and timely file all Tax Returns due after the Closing Date with respect to such Taxes. If one party remits to the appropriate Tax Authority payment for Taxes which are subject to this <u>Section 4.7(d)</u> and such payment includes Taxes allocable to the other party, such other party shall promptly reimburse the remitting party for its share of such Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Upon the Closing, Seller shall transfer to Buyer all prior year and current year data required for reporting under Code Sections 6055 and 6056, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Seller shall (a) file all Tax Returns required to be filed by Seller with respect to the Purchased Assets within the time period for filing (taking into account any valid extensions), and

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such Tax Returns shall be true, correct and complete in all material respects and (b) pay when due any and all Taxes attributable to the Purchased Assets for periods (or portions thereof) through and including the Closing Date whether such payment is required to be made before, on or after the Closing Date, in all instances subject to the provisions of <u>Section 4.7(a)</u>. Seller and Buyer shall cooperate fully, as and to the extent reasonably requested by any of the others, in connection with the filing of Tax Returns and any action with respect to Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The parties hereto hereby waive compliance with any applicable bulk sale or bulk transfer laws of any jurisdiction in connection with the transfer of the Purchased Assets, the Assumed Liabilities and the Business to Buyer (other than any obligations with respect to the application of the proceeds therefrom). Pursuant to <u>Section 4.7(a)</u> and Article VII, Seller has agreed that any and all liabilities that may be asserted against Buyer resulting from, attributable to or arising in connection with Seller's noncompliance with any such law constitute Excluded Liabilities or Losses for which Seller is solely responsible and from and against which Seller will indemnify Buyer and hold Buyer harmless.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Notwithstanding anything to the contrary, Buyer shall not, by reason of the transactions contemplated under this Agreement, have any liability (including post-Closing) for any obligations of Seller or its Affiliates under any Tax indemnification, sharing and similar Contracts that relating to the Business, the Purchased Assets or the Assumed Liabilities (including, without limitation, any provisions under the SDA (or any related agreements)), excluding any Customary Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.8 Employees**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Buyer may offer employment packages to some or all Business Employees who are employed by Seller or its applicable Affiliate immediately prior to the Closing Date (such Business Employees the "***Offered Employees***" (provided that neither [\*\*\*] nor [\*\*\*] shall be considered "Offered Employees")), to be effective as of the Closing Date. The terms of such employment packages will be as set forth by the Buyer in its sole and absolute discretion in the Offer Letters. Any such employee that commences employment with the Buyer (or its Affiliate) pursuant to such Offer Letters, effective as of Closing, shall be terminated by Seller effective as of Closing (such employees, "***Transferred Employees***"). To the extent, in accordance to any applicable Acquired Rights Regulations (as defined below), the employment of any Business Employees transfers automatically from Seller to Buyer upon Closing, Seller shall provide any and all such assistance required by Buyer, and Buyer shall provide any and all such assistance reasonably requested by Seller, in each case, to give full legal effects to any such transfer, including without limitation: complying with any applicable information and consultation obligations; carrying out any registration or de-registration of the employment agreement of the Business Employees, as required by the Applicable Law; signing any transfer acknowledgement addenda/agreements; complying with any other obligations or formalities applicable under any Applicable Law and the Acquired Rights Regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except for Liabilities arising pursuant to the Offer Letters for the period following commencement of employment with Buyer post-Closing, Buyer shall not be responsible for any Liabilities with respect to any Business Employees, including, without limitation, (i) any Excluded Liabilities and (ii) any termination liabilities for any Offered Employee who does not become a

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Transferred Employee. For purposes of this Agreement, a liability under an Employee Benefit Plan is deemed incurred: in the case of medical or dental benefits, when the services that are subject to the benefit claim are performed; in the case of life insurance, when the death occurs; in the case of long-term disability benefits, when the disability occurs; and in the case of workers' compensation benefits, when the event giving rise to the benefits occurs; and in respect of a benefit claim recurring after the Closing Date, Seller is liable for that recurring benefit claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Seller shall cause (i) any restricted stock units of Seller Parent held by each Named Employee or Offered Employee who is a Transferred Employee located in the European Union that are unvested as of immediately prior to the Closing to be fully vested as of Closing and (ii) any amounts under the Seller 401(k) plan held by a Named Employee or Offered Employee that are unvested as of immediately prior to the Closing (the "***401(k) Amounts***") shall be terminated and Seller shall pay each such employee at Closing a cash payment equal to the sum of such terminated 401(k) Amount and a gross-up amount for estimated taxes due in connection with the payment of such terminated 401(k) Amount (the "***401(K) Payments***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Seller shall assume, bear and discharge all Liabilities pursuant to COBRA (or similar federal, state, provincial law continuation coverage requirements) with respect to all employees of Seller, including, without limitation (i) with respect to any qualifying events occurring on or before the Closing Date, including, without limitation, with respect to employees who terminate employment with Seller as a result of the Transaction and who do not become Transferred Employees, and (ii) with respect to any "M&A qualified beneficiary" as defined in Treasury Regulations Section 54-4980B-9.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding any provision of this Agreement to the contrary, nothing contained herein, whether express or implied, shall be construed as, and Seller (i) shall take no action that would have the effect of, (A) establishing, amending or otherwise modifying any Employee Benefit Plan or any employee benefit plan of Buyer or any of its Affiliates at any time, (B) preventing or otherwise limiting the right of Buyer or any of its Affiliates to amend, terminate or otherwise modify any employee benefit plan at any time following the Closing Date, (C) requiring Buyer or any of its Affiliates to continue or afford any specific employee benefit or compensation plan or to adopt or maintain any Employee Benefit Plan at any time, to the greatest extent permissible in accordance with any Acquired Rights Regulations, (D) requiring Buyer or any of its Affiliates to continue the employment of any specific Person or otherwise preventing or restricting in any way the right of Buyer or any of its Affiliates to terminate, reassign, promote or demote any Transferred Employee, employee, independent contractor, manager or other service provider of Buyer or any of its Affiliates (or to cause any of the foregoing actions) at any time, or to change (or cause the change of) the title, powers, duties, responsibilities, authorities, functions, locations, salaries, other compensation or terms or conditions of employment or service of any such service providers, and (ii) shall reasonably cooperate with the Buyer in connection with such Offer Letters, including, without limitation, waiving any restrictive covenants with Seller that would prevent any Business Employee who becomes a Transferred Employee from commencing service with the Buyer and cooperating in connection with the delivery of such Offer Letters at such time(s) as the Buyer reasonably requests. Seller and Buyer acknowledge and agree that all provisions contained in this <u>Section 4.8</u> are included for their sole benefit, and that nothing in such section, whether express or implied, shall create any third party beneficiary or other rights: (i) in any other Person, including any Transferred Employee or former employee, director or other

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service provider to Seller, any participant in any or Employee Benefit Plan or employee benefit plan of Buyer or any of its Affiliates, or any dependent or beneficiary thereof, or (ii) to continued employment with Buyer or any of its Affiliates or to any particular term or condition of employment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Seller and Buyer acknowledge and agree that, pursuant to the Council Directive 2001/23/EC and national implementing legislation and regulations (collectively, the "***Acquired Rights Regulations***"), the contracts of employment of each of the Business Employees located in the European Union (except in so far as such contracts contain rights which are excluded by the Acquired Rights Regulations) will have effect from the Closing Date as if originally made between Buyer and each of those Business Employees located in the European Union. Seller and Buyer shall discharge all their respective obligations, if any, arising under or by virtue of the Acquired Rights Regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) With respect to any Business Employees located in the European Union, all employment costs in respect of the period up to Closing Date will be borne by Seller. All employment costs in respect of the period from and after Closing Date will be borne by Buyer. The costs referred to in this sub-clause (g) will, if necessary, be apportioned on a time basis between the Seller and the Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.9 Notification of Certain Matters**

Seller and Seller Parent shall deliver prompt notice to Buyer of (a) the occurrence or nonoccurrence of any event that would be reasonably likely to result in any of the conditions in <u>Article V</u> not being satisfied, (b) any material failure by Seller or Seller Parent to comply with or satisfy any covenant, condition, or agreement to be complied with or satisfied by it hereunder or (c) any notice or other communication from any Person alleging that the consent of such Person is or may be required in connection with the consummation of the transactions contemplated by this Agreement. The delivery of any notice pursuant to this <u>Section 4.9</u> shall not limit or otherwise affect the remedies available to Buyer hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.10 Access to Information; Interim Period Cooperation**

Until the earlier of the Closing and the termination of this Agreement in accordance with <u>Article VIII</u>, Seller shall, and shall cause the Seller Service Providers to, subject to Applicable Law, (a) afford the Representatives of Buyer access at all reasonable times to the Seller Service Providers, properties, offices, and other facilities, books and records of Seller, (b) furnish Buyer with all financial, operating, and other data and information as Buyer may reasonably request, and (c) use commercially reasonable efforts to facilitate the planning for the integration of the Purchased Assets with the business of Buyer and its Affiliates following the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.11 Release of Claims**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each of Seller and Seller Parent, on its behalf and on behalf of its successors in interest or assigns (each, a "***Releasing Party***" and collectively, the "***Releasing Parties***"), hereby releases, effective as of immediately prior to the Closing, any and all Claims, whether asserted or unasserted, known or unknown, contingent or noncontingent, past, present or future, arising, or resulting from or relating, directly or indirectly, to any act, omission, event or occurrence prior to

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the Closing, that such Releasing Party has or may have against Buyer or any present or former Affiliate, director, officer, manager, employee, or agent of Seller or Buyer, in each case, to the extent related to the Business (A) under statute, code, regulation, or civil or common law (whether held directly, derivatively, or otherwise), (B) subject to the last sentence of <u>Section ‎7.8</u>, that relate to the negotiation, terms or execution of this Agreement, the other Operative Document or any of the Transactions, (C) that relate to or arise out of the offer of employment by Buyer or its Affiliates to the Named Employees or the Offered Employees or the relationship between the Seller Service Providers and Seller prior to the Closing of the Transactions, and (D) that relate to the Business, or that relate to the wind-down, liquidation, dissolution or cessation of any portion of the Business, including the termination of the employment or services of any employee, independent contractor, consultant or advisor of Seller (the "***Released Claims***"); provided, however, the Released Claims shall not include any rights of: (i) any Releasing Party under this Agreement or the performance thereof, any Operative Document or the other agreements executed by such Releasing Party with Buyer in connection with the Transactions; (ii) any Releasing Party's rights under any commercial agreement, service agreement or similar agreement with any Released Parties; or (iii) any claim of any Releasing Party that cannot be released by Applicable Law. It is the intention of the Releasing Parties that this <u>Section 4.11</u> will be deemed a full and final accord and satisfaction of all Released Claims. Notwithstanding the foregoing, nothing in this <u>Section 4.11</u> will be deemed to constitute a release by any Releasing Party of any right of any Releasing Party under this Agreement, or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of Seller and Seller Parent covenant and agree that no Releasing Party will, at any time hereafter commence, initiate or make any charge, complaint, action, suit, proceeding, hearing, claim or demand whatsoever, whether direct or indirect, express or derivative, in respect of any Released Claim. This <u>Section 4.11</u> may be pleaded by Buyer or any of its Affiliates as a full and complete defense and may be used as the basis for an injunction against any action at law or equity instituted or maintained against such Person in violation hereof. If any Released Claim is brought or maintained by a Releasing Party in violation of this <u>Section 4.11</u>, then Seller Parent will be responsible for all costs and expenses, including reasonable attorneys' fees, incurred by Buyer or any of its Affiliates in defending such Released Claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The releases contained in this <u>Section 4.11</u> are intended to be complete, global, and all-encompassing and specifically includes Claims of a nature described in (a) above that are known, unknown, fixed, contingent or conditional with respect to the matters described herein as of the Closing Date. The Releasing Parties hereby expressly waive any and all rights conferred upon them by any statute or rule of law which provides that a release does not extend to Claims which the claimant does not know or suspect to exist in its favor at the time of executing the release, which if known by it must have materially affected its settlement with the released party, including, without limitation, the following provisions of California Civil Code Section 1542:

"A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY."

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.12 Additional Purchased Assets**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If, prior to or at any time following the Closing, Seller or Seller Parent discovers that any rights or assets legally owned by Seller or Seller Parent or any of their respective Affiliates that are reasonably related to, or reasonably belong with, the Purchased Assets and, had Seller and Buyer known of the existence of such rights or assets at the time this Agreement was entered into, would have been included as a Purchased Asset, and arrangements for such rights or assets are not otherwise explicitly provided for in any of the Operative Documents between the relevant parties, Seller and Seller Parent shall, at the sole option of Buyer, transfer or license such rights or assets (together with any benefit or sum, net of Tax and other reasonable out-of-pocket expenses, received by Seller or any Seller Parent or any of their respective Affiliates after the Closing with respect to such rights or assets) to Buyer and Buyer shall take the transfer or license thereof, in each case for no further consideration being payable by any party; <u>it</u> <u>being</u> <u>understood</u> <u>and</u> <u>agreed</u> that all costs and expenses (including Taxes) to be incurred in transferring any such rights or assets shall be borne by Seller or Seller Parent. Prior to any such transfer, Seller, Seller Parent or any of their respective Affiliates receiving or possessing such rights or assets shall hold such rights or assets in trust for Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If, prior to or at any time following the Closing, Buyer discovers that any rights or assets transferred to Buyer or any of its respective Affiliates was not reasonably related to, or reasonably belong with, the Purchased Assets and should have been included as an Excluded Asset, Buyer shall, at the sole option of Seller or Seller Parent, transfer or license such rights or assets (together with any benefit or sum, net of Tax and other reasonable out-of-pocket expenses, received by Buyer or any of its respective Affiliates after the Closing with respect to such rights or assets) to Seller and Seller shall take the transfer or license thereof, in each case for no further consideration being payable by any party; it being understood and agreed that all costs and expenses (including Taxes) to be incurred in transferring any such rights or assets shall be borne by Buyer. Prior to any such transfer, Buyer or any of its respective Affiliates receiving or possessing such rights or assets shall hold such rights or assets in trust for Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If, prior to or at any time during the twelve (12) month period following the Closing, upon Buyer's written request for certain Administrative Data related to the Business after the Closing and for no further consideration, Seller shall (i) subject to Applicable Law, provide a copy of any or all of the Administrative Data requested from Buyer and (ii) negotiate in good faith a data license agreement under which agreement Seller will grant to Buyer a perpetual, non-exclusive, irrevocable, worldwide license to such Administrative Data.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.13 Section 280G Matters** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller shall obtain and deliver to Buyer, prior to soliciting the vote of the stockholders of Seller with respect to the 280G Proposal, an executed parachute payment waiver, in substantially the form attached hereto as <u>Exhibit B</u> (the "***Parachute Payment Waiver***") from each Person who is or reasonably could be, with respect to Seller, a "disqualified individual" (within the meaning of Section 280G of the Code), as determined immediately prior to the initiation of the stockholder solicitation required by this <u>Section 4.13</u>, and who reasonably might otherwise receive, have received, or have the right or entitlement to receive an excess parachute payment under Section 280G of the Code (which Persons are listed in <u>Schedule 4.13(a)</u>).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Prior to the Closing, Seller shall solicit the vote of the Stockholders in accordance with Section 280G(b)(5)(B) of the Code (the "***280G Proposal***") so as to render, if an affirmative vote is obtained, the parachute payment provisions of Section 280G of the Code inapplicable to any and all payments and benefits provided pursuant to Contracts that, in the absence of the executed Parachute Payment Waivers by the affected Persons under <u>Section 4.13(a)</u>‎, might otherwise reasonably result, individually or in the aggregate, in the payment of any amount or the provision of any benefit that would not be deductible by reason of Section 280G of the Code, with such stockholder approval to be solicited in a manner that satisfies all applicable requirements of Section 280G(b)(5)(B) of the Code, including Q-7 of Section 1.280G-1 of the Treasury Regulations. The results of such vote shall be provided promptly to Buyer. The documentation constituting the 280G Proposal shall be subject to Buyer's prior review and approval.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.14 Transferred Parent Rights**

Effective as of the Closing Date, Seller Parent shall convey, transfer and assign to Buyer, and Buyer shall accept and assume, all of the Transferred Parent Rights and all related obligations under the Parent License Back Agreements, subject to the terms of the Parent License Back Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.15 Post-Closing Matters of Seller**

Within three Business Days after the Closing Date, Seller shall change its corporate name to remove any reference to, and discontinue the use of, the name "Perceive," or any other trade name used by Seller in the conduct or operation of the Business. As promptly as practicable, but in any event no more than 10 Business Days following the Closing, Seller will file in all jurisdictions in which it is qualified to do business all documents necessary to reflect such change of name or to terminate its qualifications therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.16 Valuation**

Prior to the Closing, Seller and Seller Parent shall reasonably cooperate as and to the extent reasonably requested by Buyer in the preparation of any valuation of the Purchased Assets prepared by Buyer in connection with the purchase contemplated by this Agreement.

**Article V<br>CONDITIONS PRECEDENT TO OBLIGATIONS OF Buyer TO THE CLOSING**

The obligations of Buyer to perform and observe the covenants, agreements, and conditions hereof to be performed and observed by Buyer at, or in connection with, the Closing shall be subject to the satisfaction (or waiver by Buyer) of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1 Accuracy of Representations and Warranties**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The representations and warranties of Seller contained herein (including the applicable Schedules to the Disclosure Memorandum) (other than the Fundamental Representations and the representations and warranties contained in <u>Section 2.6</u>(b), which are addressed in <u>Section 5.1(b)</u>) (i) shall have, if qualified as to materiality, been true and correct in all respects, and, if not so qualified, been true and correct in all material respects, when made and

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(ii) shall be, if qualified as to materiality, true and correct in all respects, and, if not so qualified, true and correct in all material respects, as of the Closing Date as though made on the Closing Date, except to the extent that such representations and warranties speak as of an earlier date (in which case such representation and warranty shall be, if qualified as to materiality, true and correct in all respects, and, if not so qualified, true and correct in all material respects, in each case, as of such earlier date).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Fundamental Representations and the representations and warranties of Seller contained in <u>Section 2.6</u>(b) shall have been true and correct except in de minimis respects when made and shall be true and correct except in de minimis respects as of the Closing Date as though made on the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2 Performance of Agreements**

Seller and Seller Parent shall have performed in all material respects all obligations and agreements and complied in all material respects with all covenants contained in this Agreement or any other Operative Document to be performed and complied with by them at or prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.3 Governmental Approvals and Consents**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All filings with, consents, approvals, or authorizations of, notifications or other submissions to, or confirmations or clearances from, any Governmental Body the filing, granting, delivery, notification, submission, review, or receipt of which is necessary or advisable, as determined by Buyer in its sole discretion, for the consummation of the Transactions, or for the continued operation of the Business (including, without limiting <u>Section ‎5.5</u> hereof, (x) the information submission to the European Commission under the DMA in connection with the Transactions and (y) the passage of forty-six days following the submission of a Completed ISED Notification) shall have been made, obtained, or completed, as applicable on terms satisfactory to Buyer in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) One of the following events shall have occurred: (i) Buyer shall be satisfied in its sole discretion that (A) neither the European Commission nor any EEA Member State has material questions on the Transactions or requires or desires further information in connection with the Transactions, (B) the European Commission has not sent and does not consider sending a letter to EU Member States pursuant to Article 22(5) of the EU Merger Regulation and (C) no EU Member State has sent or considers sending a referral request to the European Commission under Article 22(1) of the EU Merger Regulation concerning the Transactions; (ii) in the event that Buyer is informed by the European Commission of a request by an EU Member State that the Transactions be examined by the European Commission under Article 22(1) of the EU Merger Regulation or of an invitation that has been sent to EU Member States pursuant to Article 22(5) of the EU Merger Regulation, (A) Buyer shall have been informed definitively by the European Commission that no EU Member State submitted a request pursuant to (and in accordance with the requirements of) Article 22(1) of the EU Merger Regulation or (B) Buyer shall have been notified in writing by the European Commission that the European Commission has decided not to accept any request(s) by one or more EU Member States regarding the Transactions under Article 22(1) of the EU Merger Regulation; or (iii) to the extent that the Transaction is to be examined by the European

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Commission as a result of a decision under Article 22(3) of the EU Merger Regulation, the European Commission shall have issued a decision under Article 6(1)(b), 6(2), 8(1) or 8(2) of the EU Merger Regulation, or shall have been deemed to have done so under Article 10(6) of the EU Merger Regulation, declaring the Transactions compatible with the internal market without attaching to its decision any conditions or obligations that are not satisfactory to Buyer in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) One of the following events shall have occurred: (i) Buyer shall be satisfied that the CMA does not intend to initiate a Phase 1 Investigation, whether upon receipt of written communication from the CMA or otherwise; (ii) following a Phase 1 Investigation, the CMA shall have issued a decision, on terms satisfactory to Buyer in its sole discretion, not to make a Phase 2 Reference; or (iii) following a Phase 1 Investigation and a Phase 2 Reference, the CMA shall have published a report stating that: (A) the Transactions will not result in the creation of a relevant merger situation that may be expected to result in a substantial lessening of competition within any United Kingdom market (an "***SLC***"); or (B) the Transactions will result in the creation of a relevant merger situation that may be expected to result in an SLC, and either no action should be taken to remedy, mitigate or prevent such outcome, or the Transactions are allowed to proceed subject to undertakings or orders under sections 82 and 84 of the UK Enterprise Act 2002 that Buyer in its sole discretion considers satisfactory, which undertakings or orders have not been revoked or varied in a manner unsatisfactory to Buyer in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If at any time between the Agreement Date and the Closing: (i) a Governmental Body has initiated, or indicated (as determined by Buyer acting in its sole discretion) that it is reasonably likely to initiate, an investigation or enquiry of any nature in connection with the Transactions (other than an investigation or enquiry in relation to any of the matters set forth in <u>Sections 5.3(b)</u> or <u>5.3(c)</u>); or (ii) there has been: (A) an enactment or amendment of any Applicable Law; or (B) a change in any practice or policy of any Governmental Body, in each case which Buyer reasonably believes may result in the Transactions requiring notification or approval, Buyer shall have received written confirmation that the investigation of or enquiry into the Transactions is completed without further action, or written confirmation of approval (or no objection) to the Transactions from the relevant Governmental Body, in each case in terms satisfactory to Buyer in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.4 Compliance with Laws**

The consummation of the Transactions shall be legally permitted by all Applicable Laws and regulations to which Buyer, Seller, Seller Parent, the Purchased Assets or the Business are subject.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.5 Legal Proceedings**

No Order of any court or administrative agency or other Governmental Body shall be in effect, pending or overtly threatened that (in whole or in part) enjoins, restrains, conditions, prohibits, limits or restricts consummation of the transactions contemplated by this Agreement or any other Operative Document or Buyer's ownership, conduct or operation of the Business following the Closing (or would do so if imposed), and no litigation, investigation or administrative proceeding by a Governmental Body shall be in effect, pending or overtly

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threatened that would enjoin, restrain, condition or prevent consummation of the transactions contemplated by this Agreement or any other Operative Document or Buyer's ownership, conduct or operation of the Business following the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.6 Employment Arrangements**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) Each Named Employee, except for no more than [\*\*\*] Named Employee (which shall not be either of [\*\*\*] or [\*\*\*]), and all other Offered Employees, except for no more than [\*\*\*] Offered Employee, shall have received and executed (and not revoked) such employee's Offer Letter and NDA, (ii) such Offer Letter and NDA executed and delivered to Buyer by the Named Employee and such Offered Employees shall remain in full force and effect, and (iii) none of the Named Employees or such Offered Employees shall be unable to commence employment under his or her Offer Letter upon the Closing, other than due to a delay caused by any Named Employee's or Offered Employee's failure to become employed by Buyer or its Affiliates upon the Closing as a result of Applicable Law. None of the Named Employees or Offered Employees shall have notified Buyer, Seller, or Seller Parent that he or she is terminating (or expressed to Buyer, Seller, or Seller Parent an intention to terminate) his or her employment with Seller, or shall have stated to Buyer, Seller, or Seller Parent an intent to revoke, rescind, or repudiate his or her Offer Letter or NDA. Notwithstanding anything in the foregoing, the terms set forth in this Section 5.6(a) shall not apply to (and for the avoidance of doubt, the limits on Named Employees and Offered Employees who shall have received and executed (and not revoked) such employee's Offer Letter and NDA shall not apply to) (x) Named Employees and Offered Employees who start employment for Buyer or one of its Affiliates prior to the Closing Date, or (y) Named Employees and/or Offered Employees for whom Buyer has revoked its Offer Letter or otherwise revoked an offer of employment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Transferred Employee (excluding Business Employees located in the European Union who will transfer in accordance with Acquired Rights Regulations) shall have executed and delivered to Seller (i) a resignation of the Transferred Employee's employment or service with Seller and a Release Agreement, subject to Applicable Law and (ii) an acknowledgement that all payments owed by Seller to such Transferred Employee has been paid in full.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.7 Material Adverse Effect**

Since the Agreement Date and through the Closing, Seller shall not have experienced a Material Adverse Effect or an event or circumstance that may result in or cause a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.8 Section 280G**

Prior to the Closing, Seller shall have obtained valid Parachute Payment Waivers and solicited the required stockholder votes (including at such time or times as requested by Buyer (provided Buyer believes in good faith that the Closing will occur within fifteen days of such request) and in such final forms of Parachute Payment Waiver, disclosure and approval in respect of such stockholder vote provided at least three (3) Business Days in advance of execution of such Parachute Payment Waivers and each as reasonably acceptable to Buyer) in respect of the 280G

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Proposal, in each case, in accordance with Section 280G of the Code and applicable rulings and regulations thereunder and <u>Section ‎‎‎4.13</u>. As of the Closing, there shall be no payments or benefits payable to any "disqualified individual" of Seller (determined in accordance with Section 280G of the Code and the regulations and authorities promulgated thereunder) that Seller, subject to Buyer's reasonable approval, determines may constitute, individually or in the aggregate, "parachute payments" under Section 280G of the Code (including because such payments or benefits either (a) are exempt from the definition of "parachute payment" pursuant to valid stockholder solicitation and approval of the 280G Proposal carried out in accordance in all applicable respects with <u>Section ‎‎4.13</u> and Section 280G of the Code and applicable rulings and regulations thereunder or (b) are no longer payable pursuant to (i) valid and irrevocable Parachute Payment Waivers of such payments by such disqualified individuals (which waivers remain in effect as of immediately prior to the Closing) made in accordance in all applicable respects with <u>Section ‎‎4.13</u> and Section 280G of the Code and applicable rulings and regulations thereunder and (ii) a failure to obtain a valid stockholder approval of the 280G Proposal).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.9 Receipt of Closing Deliveries**

Seller shall deliver to Buyer, at or prior to the Closing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a certificate executed by the Chief Executive Officer of Seller, dated as of the Closing Date, in a form reasonably satisfactory to Buyer, certifying that the conditions set forth in <u>Sections 5.1</u>, <u>5.2</u>, <u>5.5</u>, and <u>5.7</u> have been satisfied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a certificate executed by the Chief Executive Officer of Seller, dated as of the Closing Date, certifying (i) the Certificate of Incorporation of Seller in effect as of immediately prior to the Closing, (ii) the bylaws in effect as of immediately prior to the Closing, (iii) the resolutions of the board of directors of Seller unanimously (A) determining that this Agreement and the Transactions are fair to, and in the best interests of Seller and the Stockholders, (B) approving and declaring advisable the execution, delivery and performance of this Agreement and the consummation of the Transactions, and (C) directing that the adoption of this Agreement be submitted to the Stockholders for consideration and recommending that the Stockholders adopt this Agreement and approve the Transactions, and (iv) the Stockholder Approval, duly executed by sufficient Stockholders to approve the Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a properly completed and duly executed IRS Form W-9 from Seller certifying, among other matters, that Seller is exempt from U.S. federal backup withholding Tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) (i) the Required Consents, which Required Consents shall be reasonably satisfactory to Buyer, (ii) evidence reasonably satisfactory to Buyer that each of the Required Notices was delivered, which Required Notices shall be in a form reasonably satisfactory to Buyer, and (iii) evidence reasonably satisfactory to Buyer that the Required Actions have been completed in a manner reasonably satisfactory to Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Bill of Sale and Assignment and Assumption Agreement between Seller and Buyer with respect to the Purchased Assets, duly executed by Seller substantially in the form attached hereto as <u>Exhibit C</u> (the "***Bill of Sale and Assignment and Assumption Agreement***");

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Patent Assignment Agreement between Seller and Buyer assigning to Buyer all patents and patent applications included in Seller-Owned IP, duly executed by Seller substantially in the form attached hereto as <u>Exhibit D-1</u> (the "***Patent Assignment Agreement***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the Trademark Assignment Agreement between Seller and Buyer assigning to Buyer all trademarks and trademark applications included in Seller-Owned IP, duly executed by Seller substantially in the form attached hereto as <u>Exhibit D-2</u> (the "***Trademark Assignment Agreement***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Domain Name Assignment Agreement between Seller Parent and Buyer assigning to Buyer all Domain Names included in Seller-Owned IP, duly executed by Seller Parent substantially in the form attached hereto as <u>Exhibit D-3</u> (the "***Domain Name Assignment Agreement***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Parent Rights Assignment Agreement between Seller Parent and Buyer assigning to Buyer the Transferred Parent Rights, duly executed by Seller Parent substantially in the form attached hereto as <u>Exhibit D-4</u> (the "***Parent Rights Assignment Agreement***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) the Transition Services Agreement between Seller, Seller Parent and Buyer, pursuant to which Seller and Seller Parent shall provide to Buyer certain temporary transitional services, duly executed by Seller and Seller Parent substantially in the form attached hereto as <u>Exhibit F</u> (the "***Transition Services Agreement***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the Specified Assumption Agreement between Seller and Buyer whereby Buyer acknowledges and agrees to assume certain rights and obligations of Seller relating to the sale of the Patents included in the Seller-Owned IP substantially in the form attached hereto as <u>Exhibit G</u> (the "***Specified Assumption Agreement***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) a workers' compensation authority-issued purchase certificate, or other similar documentary evidence in a form reasonably acceptable to Buyer from the applicable workers' compensation authority, in each Canadian jurisdiction in which the Business is carried on;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) a certificate from the Secretary of State of the State of Delaware and each other state or other jurisdiction in which Seller is qualified to do business as a foreign corporation, dated within three Business Days prior to the Closing Date, certifying that Seller is in good standing and that all applicable franchise Taxes and fees of Seller through and including the Closing Date have been paid; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) the Purchased Assets using such delivery method as Buyer may request prior to the Closing, including by way of electronic delivery pursuant to <u>Section 1.1(e)</u> in accordance therewith, including any limitations imposed on the delivery methods under <u>Section 1.1(e)</u>.

**Article VI<br>CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER TO THE CLOSING**

The obligations of Seller and Seller Parent to perform and observe the covenants, agreements, and conditions hereof to be performed and observed by Seller and Seller Parent at, or

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in connection with, the Closing shall be subject to the satisfaction (or waiver by Seller) of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.1 Accuracy of Representations and Warranties**

The representations and warranties of Buyer contained herein (i) shall have, if qualified as to materiality, been true and correct in all respects, and, if not so qualified, been true and correct in all material respects, when made and (ii) shall be, if qualified as to materiality, true and correct in all respects, and, if not so qualified, true and correct in all material respects, as of the Closing Date as though made on the Closing Date, except to the extent that such representations and warranties speak as of an earlier date (in which case such representation and warranty shall be, if qualified as to materiality, true and correct in all respects, and, if not so qualified, true and correct in all material respects, in each case, as of such earlier date).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2 Performance of Agreements**

Buyer shall have performed in all material respects all obligations and agreements and complied in all material respects with all covenants contained in this Agreement or any other Operative Document to be performed and complied with by it at or prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3 Compliance with Laws; No Order**

The consummation of the Transactions shall be legally permitted by all Applicable Laws and regulations to which Buyer, Seller, Seller Parent, the Purchased Assets or the Business are subject. No Order issued by any court or Governmental Body of competent jurisdiction limiting or restricting the consummation of the Transactions shall be in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.4 Receipt of Closing Deliveries**

Buyer shall deliver to Seller, at or prior to the Closing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a certificate, dated as of the Closing Date, executed on behalf of Buyer by a duly authorized officer of Buyer certifying that the conditions set forth in <u>Sections</u> 6.1 and <u>6.2</u> have been satisfied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Bill of Sale and Assignment and Assumption Agreement, duly executed by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Patent Assignment Agreement, duly executed by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Trademark Assignment Agreement, duly executed by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Domain Name Assignment Agreement, duly executed by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Parent Rights Assignment Agreement, duly executed by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the Specified Assumption Agreement, duly executed by Buyer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Transition Services Agreement, duly executed by Buyer.

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**Article VII <br>SURVIVAL AND INDEMNIFICATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.1 Survival of Representations, Warranties, and Covenants**

The representations and warranties of Seller contained in this Agreement or any other Operative Document or in any certificate delivered pursuant hereto shall survive for a period of [\*\*\*] after the Closing Date, <u>except</u> that any Indemnification Claim based on (a) Fraud shall survive the Closing indefinitely, (b) any Breach of the Fundamental Representations shall survive the Closing for a period of [\*\*\*], (c) any Breach of the representations and warranties in <u>Section 2.14</u> (the "***Tax Representations***") shall survive the Closing for the statute of limitations applicable to such matters plus 90 days, and (d) any Breach of the representations and warranties in 2.10 (the "***IP Representations***") shall survive the Closing for a period of [\*\*\*] after the Closing Date. The Tax Representations and the IP Representations are collectively referred to as the "***Special Representations***." The covenants and agreements contained in this Agreement or in any other Operative Documents will survive the Closing until performed in accordance with their terms, but no right to indemnification pursuant to this <u>Article VII</u> in respect of any Indemnification Claim based upon any Breach of a covenant or agreement shall be affected by the expiration of such covenant or agreement or by the occurrence of the Closing. If the Asset Purchase is consummated, the representations and warranties of Buyer contained in this Agreement or any other Operative Document or in any certificate delivered pursuant to <u>Section 6.4</u> shall expire and be of no further force or effect as of the Closing. The applicable survival period pursuant to this <u>Section 7.1</u> is referred to as the "***Survival Period***."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.2 Indemnification by Seller and Seller Parent**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to the limitations set forth in this <u>Article VII</u>, Seller and Seller Parent, jointly and severally (each, an "***Indemnifying Party***"), shall indemnify, and hold Buyer and its officers, directors, employees, agents, and Affiliates (each, an "***Indemnified Party***") harmless from and against, and shall reimburse the Indemnified Parties for, any and all losses, damages (including enhanced damages to the extent actually awarded to a third party), Liabilities, Orders, settlement payments, fines, penalties, Taxes, costs, and expenses (including reasonable legal and accounting fees and other out-of-pocket expenses incurred in investigating, preparing or defending the foregoing), whether absolute, accrued, conditional, or otherwise, and whether or not involving a Third-Party Claim (collectively, "***Losses***"), directly or indirectly, arising out of, or resulting from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Breach of any representation, warranty, or certification made by or on behalf of Seller in this Agreement together with the Disclosure Memorandum (A) as of the Agreement Date (except to the extent that such representations, warranties, and certifications speak as of an earlier date, in which case such representations, warranties, and certifications shall be true and correct as of such earlier date) or (B) as of the Closing Date as though such representation, warranty, or certification were made as of the Closing Date (except to the extent that such representations, warranties, and certifications speak as of an earlier date, in which case such representations, warranties, and certifications shall be true and correct as of such earlier date);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any Breach prior to the Closing by Seller or Seller Parent of any covenant or other obligation in this Agreement or in any other Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&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 Excluded Assets, the Excluded Liabilities or the Acquired Rights Regulations Liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any and all Taxes with respect to any 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;(v) any Claims by any current or former holder (or purported holder) of any Equity Interests of Seller (including any predecessors), arising out of, resulting from, or in connection with the Transactions or any 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;(vi) any matter set forth in <u>Schedule 2.12(a)</u> to the Disclosure Memorandum or that is or would be a Breach of any of the representations and warranties made in <u>Section 2.12(a)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any non-compliance with applicable bulk sales, bulk transfer, or other similar 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;(viii) any Fraud by or on behalf of Seller or Seller 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;(ix) any Released 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;(x) any Transaction Litigation; 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;(xi) any matter set forth on <u>Schedule 7.2(a)(xi)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.3 Limitations and Adjustments**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except for Losses arising out of, resulting from, or in connection with Fraud or any Breach of the Fundamental Representations or the Special Representations, the aggregate liability of Seller and Seller Parent for any Indemnification Claim pursuant to <u>Section 7.2(a)(i)</u> shall be limited to the Indemnification Holdback Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to <u>Section 7.3(a)</u>, the aggregate liability for any Indemnification Claim pursuant to <u>Section 7.2(a)</u> (except in the case of Fraud, or any Indemnification Claim related to Excluded Assets or Excluded Liabilities) shall be limited for Seller and Seller Parent to the Purchase Price (inclusive of the Indemnification Holdback Amount).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything to the contrary herein, no Indemnified Party shall be entitled to make an Indemnification Claim for Losses arising out of, resulting from or in connection with the matters listed in <u>Section 7.2(a)(i)</u> (other than Losses arising out of, resulting from, or in connection with Fraud or any Breach of the Fundamental Representations or Special Representations) unless and until a Claim Notice (together with any other delivered Claim Notice) describing Losses in an aggregate amount greater than $[\*\*\*] (the "***Basket***") is delivered, in which case the Indemnified Party may make an Indemnification Claim and receive cash from the Indemnification Holdback Fund for all Losses (including the amount of the Basket); provided, however, that no Losses may be claimed by any Indemnified Party or shall be reimbursable by

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Seller or Seller Parent or shall be included in calculating the aggregate Losses, in each case, for purposes of this clause (c) other than Losses in excess of $[\*\*\*] (the "***Minimum Loss Amount***") resulting from any single claim or aggregated claims arising out of the same facts, events or circumstances; provided further, that Losses resulting from any breaches by Seller or Seller Parent of Fundamental Representations or Special Representations shall not be subject to the Basket or the Minimum Loss Amount and shall instead be recoverable from the first dollar thereof. The Basket shall not apply to any other Losses or Indemnification Claims therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The obligations of Seller and Seller Parent under <u>Section 7.2</u> shall be satisfied, first, from the Indemnification Holdback Fund. If the full amount of the Indemnification Holdback Fund is retained by Buyer in satisfaction of Indemnification Claims, subject to the caps set forth in this <u>Section 7.3</u>, any additional liability of Seller and Seller Parent under <u>Section 7.2</u> shall be satisfied from Seller and Seller Parent, with such payment to be made to Buyer promptly following (and in any event within 5 Business Days) the date such amount becomes payable pursuant to this <u>Article VII</u>. No Claim for contribution or other Claim shall be made by Seller or Seller Parent against any Buyer Entity for Losses for which an Indemnified Party makes an Indemnification Claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything to the contrary herein, the amounts that an Indemnified Party recovers from the Indemnification Holdback Fund pursuant to (i) Indemnification Claims for Breaches of Fundamental Representations or Special Representations, or (ii) any other Indemnification Claim that is not made pursuant to <u>Section 7.2(a)(i)</u> (collectively, Indemnification Claims contemplated by clauses (i) and (ii), "***Specified Claims***") shall not reduce the amount that an Indemnified Party may recover with respect to Indemnification Claims that are not Specified Claims. By way of illustration and not limitation, assuming there are no other Indemnification Claims for indemnification, compensation, or reimbursement, in the event that Losses resulting from a Specified Claim are first satisfied from the Indemnification Holdback Fund and such recovery fully depletes the Indemnification Holdback Fund, the maximum amount recoverable by an Indemnified Party pursuant to a subsequent Indemnification Claim that is not a Specified Claim shall continue to be the full Indemnification Holdback Amount irrespective of the fact that the Indemnification Holdback Fund was used to satisfy such Specified Claim, such that the amount recoverable for such two Indemnification Claims would be the same regardless of the chronological order in which they were made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) For purposes of determining whether a Breach has occurred and the amount of Losses under <u>Section 7.2</u>, all qualifications and limitations as to materiality, Material Adverse Effect, and words of similar import shall be disregarded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The representations and warranties of Seller and Seller Parent contained in this Agreement, any other Operative Document, or in any certificate delivered pursuant hereto shall not be deemed waived, modified, or otherwise affected, nor shall the survival of any such representations and warranties be deemed reduced, truncated, or otherwise limited, by any investigation made or any knowledge possessed or acquired by Buyer or by any of its directors, officers, employees, consultants, or agents (or that could have been discovered by any of the foregoing, whether by any investigation made by or on behalf of Buyer into the affairs of Seller or otherwise) prior to the Closing with respect to (i) the truth and accuracy of any such representations

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and warranties or (ii) any facts, matters, or circumstances that may give rise to an Indemnification Claim, and no Indemnification Claim made hereunder shall be limited on the basis thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) No party hereto shall have any liability under any provision of this Agreement for any punitive, incidental, special or indirect damages, including business interruption, loss of future revenue, profits or income, or loss of business reputation or opportunity relating to the breach or alleged breach of this Agreement, except to the extent any such damages are awarded to a third party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The amount of Losses related to any Indemnification Claim shall be paid to the applicable Indemnified Party in full, without any set off, counterclaim, restriction, or condition and without any deduction or withholding (except as may be required by Applicable Law or as otherwise agreed); provided that, for all purposes of this <u>Article VII</u>, "Losses" shall be net of any insurance or other recoveries actually received by the Indemnified Party or its Affiliates in connection with the facts giving rise to the right of indemnification; provided further, however, that the Indemnified Parties shall not be required to seek recovery for any such Losses from any of their, Seller or Seller Parent's then-existing insurance policies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) For purposes of determining whether there has been a Breach of a representation or warranty in <u>Section ‎2.9</u>, <u>Section ‎2.14</u>, or any other representation or warranty with respect to Taxes and the amount of any Losses arising therefrom, disclosures made in the Disclosure Memorandum shall be disregarded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) If an Indemnification Claim may be properly characterized in multiple ways in accordance with this <u>Article VII</u> such that such Indemnification Claim may or may not be subject to different limitations depending on such characterization, then the Indemnified Party shall have the right to characterize such Indemnification Claim in a manner that maximizes the recovery and time to assert such Indemnification Claim permitted in accordance with this <u>Article VII</u>; provided that, for the avoidance of doubt and notwithstanding anything to the contrary in this Agreement, in no event shall any Indemnified Party be entitled to any double recovery with respect to any particular Loss or claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Nothing in this Agreement will limit the aggregate liability of Seller, Seller Parent or Buyer, respectively, in the event of Fraud by Seller, Seller Parent or Buyer, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.4 Procedure for Indemnification**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as otherwise set forth in this <u>Section 7.4</u>, the period during which Indemnification Claims may be made pursuant to <u>Section 7.2(a)(i)–(ii)</u> shall be the Survival Period applicable to such Indemnification Claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) An Indemnified Party shall give written notice (a "***Claim Notice***") of any Indemnification Claim by or on behalf of any Indemnified Party to Seller, reasonably promptly, but in any event if such Indemnification Claim relates to the assertion against an Indemnified Party of any Third-Party Claim (other than with respect to a Tax Contest), within 30 Business Days after receipt by such Indemnified Party of written notice of a Legal Proceeding relating to such Third-Party Claim, except <u>t</u>hat the failure to so notify Seller or Seller Parent within such time period shall not relieve Seller and Seller Parent of any obligation or liability to the Indemnified Party, except

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to the extent that Seller demonstrates that its ability to resolve such Indemnification Claim is materially and adversely prejudiced by such failure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Unless Seller contests the Indemnification Claim in writing delivered to the Indemnified Party within 15 Business Days after receipt of a Claim Notice and describing in reasonable detail the basis for contesting the Indemnification Claim, the Indemnified Party shall, subject to the other terms of this <u>Article VII</u>, be paid the amount of Losses related to such Indemnification Claim or the uncontested portion thereof. Any disputed Indemnification Claims shall be resolved either (i) in a written agreement signed by Buyer and Seller or (ii) by the final, non-appealable decision of a court resolving such disputed Indemnification Claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.5 Third-Party Claims**

In the event that Buyer becomes aware of a Third-Party Claim that Buyer in good faith believes may result in a claim for Losses by or on behalf of an Indemnified Party, Buyer shall have the right in its sole discretion to determine and conduct the defense of such Third-Party Claim. Buyer shall be entitled to settle such Third-Party Claim without the consent of the Indemnifying Party; provided that any settlement of a Third-Party Claim without the consent of the relevant Indemnifying Party shall not impose criminal liability or damages. The costs and expenses incurred by the Indemnified Parties in connection with defense, enforcement, settlement, or resolution (including reasonable attorneys' fees, other professionals' and experts' fees, and court or arbitration costs) shall be included in the Losses for which Buyer shall be entitled to receive indemnification pursuant to an Indemnification Claim made hereunder, and such costs and expenses shall constitute Losses subject to indemnification under <u>Section 7.2</u> regardless of whether it is ultimately determined that such Third-Party Claim arose out of, resulted from, or was in connection with a matter listed in <u>Section 7.2</u>. Seller shall have the right to receive copies of all pleadings, notices, and communications with respect to such Third-Party Claim to the extent that receipt of such documents does not affect any privilege relating to any Indemnified Party, subject to execution by Seller of Buyer's (and, if required, such third party's) standard non-disclosure agreement to the extent that such materials contain confidential or proprietary information, except that, in the case of a Tax Contest, Seller shall only have the right to receive copies of any written correspondence from a Tax Authority and the failure to provide any such copies shall not relieve Seller or Seller Parent of any obligation or liability to the Indemnified Party, except to the extent that Seller demonstrates that it is materially and adversely affected thereby. Unless otherwise consented to in writing in advance by Buyer in its sole discretion, Seller and its respective Affiliates may not participate in any Third-Party Claim or any action related to such Third-Party Claim (including any discussions or negotiations in connection with the settlement, adjustment or compromise thereof); provided that Seller shall have the right to have their reasonable comments and feedback with respect to the conduct of the defense of any Third-Party Claim considered by Buyer or its counsel in good faith, including the reasonable opportunity to review and comment in advance on any written submissions made in connection with such Third-Party Claim. In the event that Seller has consented to the amount of any settlement or resolution by Buyer of any such claim (which consent shall not be unreasonably withheld, conditioned, or delayed and which consent shall be deemed to have been given unless Seller shall have objected within 20 days after a written request therefor by Buyer), or if Seller shall have been determined to have unreasonably withheld, conditioned, or delayed its consent to the amount of any such settlement or resolution, Seller shall not have any power or authority to object under this <u>Article VII</u> to the amount of any

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Indemnification Claim by or on behalf of any Indemnified Party against the Indemnification Holdback Fund for indemnity with respect to such settlement or resolution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.6 Adjustment to Purchase Price**

All payments made by Seller or Seller Parent to an Indemnified Party in respect of any Indemnification Claim shall be treated as adjustments to the Purchase Price for Tax purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.7 Payment**

If uncontested, or once resolved either by agreement or receipt of an Order of a court of competent jurisdiction in accordance with <u>Section 9.6</u>, the amount of Losses (subject to the limitations set forth in <u>Section 7.3</u>) related to any Indemnification Claim shall be paid to the respective Indemnified Party by Seller, as the case may be, by wire transfer of immediately available funds within five Business Days.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.8 Exclusive Remedies**

Subject to and except for <u>Section 4.5</u>, <u>Section 4.11</u>, <u>Section 9.9</u>, Buyer acknowledges and agrees that from and after Closing its sole and exclusive remedy with respect to any and all claims for any monetary damages (other than claims arising from Fraud or intentional Breach of this Agreement on the part of a party hereto) for any breach of any representation, warranty, covenant, agreement or obligation of Seller or Seller Parent set forth herein or otherwise relating to the subject matter of this Agreement, shall be pursuant to the indemnification provisions set forth in this <u>Article VII</u>. In furtherance of the foregoing, except with respect to <u>Section 4.5</u> and <u>Section 4.11</u>, Buyer hereby waives, from and after Closing, to the fullest extent permitted under Applicable Law, any and all rights, claims and causes of action for any breach of any representation, warranty, covenant, agreement or obligation set forth herein or otherwise relating to the subject matter of this Agreement it may have against Seller, Seller Parent and their Affiliates and each of their respective Representatives arising under or based upon any Applicable Law, except pursuant to the indemnification provisions set forth in this <u>Article VII</u> and equitable remedies pursuant to <u>Section 9.9</u>. Nothing in this <u>Section 7.8</u> shall limit any Person's right to seek and obtain any equitable relief to which any Person shall be entitled or to seek any remedy on account of any party's Fraud or intentional Breach of this Agreement. For the avoidance of doubt, nothing in this <u>Section 7.8</u> shall limit any remedies available to (i) Buyer for any Breach following the Closing by Seller or Seller Parent of any covenant or other obligation in this Agreement or in any other Operative Document (including under the Specified Assumption Agreement), or (ii) Seller or Seller Parent for any breach of any representation, warranty, covenant, agreement or obligation of Buyer set forth herein or otherwise relating to the subject matter of this Agreement, or for any Breach of any covenant or other obligation in any Operative Document; provided that the aggregate liability of Buyer for any claim for Losses by Seller or Seller Parent (except in the case of Fraud) with respect to this Agreement, any Operative Document or the transactions contemplated thereby shall be limited to the Purchase Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.9 Guaranty**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Seller Parent will, subject to the terms and conditions of this Agreement, cause Seller to perform its pre-Closing, and post-Closing obligations under this Agreement, including,

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without limitation, pursuant to <u>Section 4.5</u> (Non-Competition and Non-Solicitation), <u>Section 4.12</u> (Additional Purchased Assets) and <u>Article VII</u> (Indemnification) (the "***Guaranteed Obligations***"). This is a guaranty of payment and performance, and a separate action may be brought against Seller Parent irrespective of whether such action is brought against Seller or Seller is joined in any such actions. Subject to the terms and conditions hereof, Seller Parent waives any and all defenses specifically available to a guarantor (other than non-performance of any of Buyer's obligations hereunder or any breach of any agreements or covenants of Buyer hereunder or any failure of the conditions of Seller's obligations hereunder).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event of receivership, bankruptcy, reorganization, arrangement, debtor's relief, or other insolvency proceedings involving Seller Parent as debtor, Buyer shall have the right to prove its claim in any such proceeding so as to establish its rights hereunder and receive directly from the receiver, trustee or other court custodian dividends and payments which would otherwise be payable in connection with the Guaranteed Obligations. Each reference in this <u>Section 7.9</u> to Seller Parent shall be deemed to include the heirs, executors, administrators, legal representatives, successors and assigns of Seller Parent, all of whom shall be bound by the provisions of this guaranty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Seller Parent shall cause any successor in interest or purchaser of substantially all of its assets or business to expressly assume the obligations set forth in this <u>Section 7.9</u>.

**Article VIII<br>TERMINATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.1 Termination**

This Agreement may be terminated at any time prior to the Closing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) by the written consent of Buyer and Seller;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) by Buyer or Seller if the Closing has not occurred on or before (i) the date that is sixty days after the Agreement Date (which date shall be extended to ninety days after the Agreement Date if (A) the CMA and/or European Commission has requested information in connection with the proposed Transactions and/or (B) forty-six days have not passed since the submission of a Completed ISED Notification) (in either case, the "***Initial Date***") or (ii) in the event that (A)(1) the CMA initiates a Phase 1 Investigation or the Transaction is to be examined by the European Commission as a result of a decision under Article 22(3) of the EU Merger Regulation or (2) the review by ISED (or a representative thereof) of the Transaction or the Completed ISED Notification is or is proposed to be extended or subjected to a full review or investigation, and (B) Buyer has elected in its sole discretion and by delivery of written notice to the Seller on or before 11:59 PM Pacific Time on the Initial Date to extend the Initial Date, the date that is [\*\*\*] months after the Agreement Date (the "***Outside Date***"), except that if either Buyer, on the one hand, or Seller or Seller Parent, on the other hand, is then in Breach of this Agreement or any Operative Document, and such Breach shall have been the cause of the failure of the Closing to occur by such date, then Buyer, in the case of such a Breach by Buyer, or Seller, in the case of such a Breach by Seller or Seller Parent, may not terminate this Agreement pursuant to this <u>Section 8.1(b)</u>;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) by Buyer, if Buyer concludes (acting reasonably and in good faith) that any of the conditions in Article ‎V is or becomes impossible to satisfy (other than solely as a result of any Breach of this Agreement by Buyer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) by Buyer, in the event of a Breach by Seller or Seller Parent of any representation, warranty, covenant, or agreement contained herein or in any Operative Document that has not been cured or is not curable by Seller or Seller Parent within 15 days after Buyer delivers notice to Seller regarding such Breach; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) by Seller, in the event of a Breach by Buyer of any representation, warranty, covenant, or agreement contained herein or in any Operative Document that has not been cured or is not curable by Buyer within 15 days after Seller delivers notice to Buyer regarding such Breach.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.2 Effect of Termination**

In the event of termination of this Agreement pursuant to <u>Section 8.1</u>, written notice thereof shall forthwith be given by the terminating party to the other parties, and this Agreement shall thereupon terminate and become void and have no further force or effect, and the Transactions shall be abandoned without further action by the parties hereto. Notwithstanding anything to the contrary herein, <u>Section 4.3(c)</u>, <u>Section 4.3(d)</u>, <u>Section ‎4.4</u>, this <u>Section 8.2</u> and <u>Article IX</u> shall survive indefinitely, and nothing herein shall relieve any party hereto of any Liability for Fraud or any intentional Breach of this Agreement occurring prior to such termination.

**Article IX<br>GENERAL**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.1 Expenses**

Except as otherwise set forth herein, whether or not the Asset Purchase is consummated, each party shall pay its own Transaction Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.2 Notices**

Any notice, request, or demand desired or required to be given hereunder shall be in writing and shall be given by personal delivery or overnight courier service, in each case addressed as respectively set forth below or to such other address as any party shall have previously designated by such a notice. The effective date of any notice, request, or demand shall be the date of personal delivery or one day after it is delivered to a reputable overnight courier service, as the case may be, in each case properly addressed as provided herein and with all charges prepaid. Notice given to Seller shall constitute notice given to Seller Parent.

TO BUYER:Amazon.com Services LLCc/o Amazon.com, Inc.410 Terry Avenue NorthSeattle, Washington 98109Attention: General Counsel TO SELLER OR SELLER PARENT:Perceive Corporation / Xperi Inc.5220 Las Virgenes RdCalabasas, CA 91302Email: [\*\*\*]Attention: Legal Department

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| | |
|:---|:---|
| &nbsp;&nbsp;with a copy to (which shall not constitute notice):<br>Gibson, Dunn & Crutcher LLP<br>10 University Ave<br>Palo Alto, CA 94301<br>Attention: Ed Batts; Charles Walker<br>E-mail: ebatts@gibsondunn.com; cvwalker@gibondunn.com <br>| &nbsp;&nbsp;with a copy to (which shall not constitute notice):<br>DLA Piper LLP (US)<br>4365 Executive Drive, Suite 1100<br>San Diego, CA 92121-2133<br>Attention: Michael Kagnoff, David Clark <br>Email: michael.kagnoff@dlapiper.com<br>david.clark@dlapiper.com |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.3 Severability**

If any term or other provision of this Agreement is invalid, illegal, or incapable of being enforced by any rule of law, or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the Transactions is not affected in any manner adverse to any party hereto. Upon such determination that any term or other provision is invalid, illegal, 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 to the fullest extent possible.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.4 Entire Agreement**

This Agreement (including the Disclosure Memorandum and all other Exhibits and Schedules hereto), the other Operative Documents, and the Confidentiality Agreements constitute the entire agreement among the parties with respect to the subject matter hereof and thereof and supersede all prior (but not concurrent) agreements and undertakings, both written and oral, among the parties, or any of them, with respect to the subject matter hereof and thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.5 Assignment; Parties in Interest**

This Agreement shall not be assigned by operation of law or otherwise, and any such assignment shall be null and void, except that any or all rights and obligations of Buyer may be assigned to one or more Buyer Entities, so long as such assignment does not relieve Buyer of any of its obligations hereunder. Subject to the foregoing, this Agreement shall be binding on and inure solely to the benefit of the parties hereto and their respective successors, heirs, legal representatives and permitted assigns, and nothing in this Agreement, express or implied, is intended to or shall confer upon any other Person any right, benefit or remedy of any nature whatsoever under or by reason of this Agreement (except that <u>Article VII</u> is intended to benefit the Indemnified Parties).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.6 Governing Law; Jurisdiction; Waiver of Jury Trial**

This Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, without giving effect to any choice or conflict of law, provision, or rule that would cause the application of laws of any other jurisdiction. In any action among or between any

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of the parties arising out of or relating to this Agreement, including any action seeking equitable relief, each of the parties irrevocably and unconditionally consents and submits to the exclusive jurisdiction and venue of the state and federal courts located in Wilmington, Delaware. Each party hereby irrevocably waives all right to trial by jury in any Legal Proceeding (whether based on Contract, tort, or otherwise) arising out of or relating to this Agreement and the other Operative Documents, the Transactions, or the actions of such parties in the negotiation, administration, performance, and enforcement hereof and thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.7 Headings; Construction**

The table of contents and headings contained in this Agreement are included for convenience of reference only and shall not affect in any way the meaning or interpretation of this Agreement. The parties have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the parties, and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement. Any reference to any federal, state, local, or foreign statute or Applicable Law shall be deemed also to refer to all rules and regulations promulgated thereunder, unless the context requires otherwise. For purposes of <u>Article II</u>, any reference to the "Seller" shall include any predecessor entity. The word "including" shall mean including without limitation. The word "or" is disjunctive, but not necessarily exclusive. The words "hereof," "herein," "hereunder," and similar terms in this Agreement refer to this Agreement as a whole, including exhibits and schedules hereto, and not to any particular provision of this Agreement. When a reference is made in this Agreement to Annexes, Articles, Exhibits, Sections, or Schedules, such reference shall be to an Annex, Article, Exhibit, Section, or Schedule to this Agreement unless otherwise indicated. For purposes of <u>Article II</u>, the words "provide," "deliver," "made available," "furnish," and similar terms in this Agreement shall mean provide in that certain virtual data room titled [\*\*\*] at least two Business Days prior to the Agreement Date and not removed from such virtual data room prior to the Closing Date. Pronouns in the masculine, feminine, and neuter genders shall be construed to include any other gender, and words in the singular form shall be construed to include the plural and vice versa, unless the context otherwise requires. If any party has Breached any representation, warranty, or covenant contained herein in any respect, the fact that there exists another representation, warranty, or covenant relating to the same subject matter (regardless of the relative levels of specificity) that the party has not Breached shall not detract from or mitigate the fact that the party is in Breach of the first representation, warranty, or covenant. All accounting terms used herein and not expressly defined herein shall, except as otherwise noted, have the meanings assigned to such terms in accordance with GAAP. References to clauses without a cross-reference to a Section or subsection are references to clauses with the same Section or, if more specific, subsection. The symbol "$" refers to United States Dollars. All references to "days" shall be to calendar days unless otherwise indicated as a "Business Day." Any action otherwise required to be taken on a day that is not a Business Day shall instead be taken on the next succeeding Business Day, and if the last day of such period is a non-Business Day, the period in question shall end on the next succeeding Business Day. Unless indicated otherwise, all mathematical calculations contemplated by this Agreement shall be rounded to the tenth decimal place, except in respect of payments, which shall be rounded to the nearest whole United States cent.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.8 Counterparts**

This Agreement may be executed and delivered in one or more counterparts, either manually or electronically (including by PDF and electronic mail), each of which shall be deemed to be an original but all of which together shall constitute one and the same agreement. No counterpart shall be effective unless and until each party has executed at least one counterpart.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.9 Remedies**

Each of party hereto acknowledges and agrees that the other parties hereto would be damaged irreparably if any provision of this Agreement is not performed in accordance with its specific terms or otherwise is Breached. Accordingly, each such party agrees that the non-Breaching party shall be entitled to an injunction to prevent Breaches of any provision of this Agreement and to enforce specifically this Agreement and the terms and provisions hereof, in addition to any other remedy available at law or in equity. Each of party hereto hereby waives any requirement for the security or posting of any bond in connection with such enforcement. The rights and remedies of the parties hereunder are cumulative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.10 Amendment**

This Agreement may be amended, modified, or supplemented at any time, but only pursuant to an instrument in writing signed by Buyer, Seller and Seller Parent, and any such amendment shall be binding on all parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.11 Waiver**

Buyer may (a) extend the time for the performance of any obligation of Seller or Seller Parent under this Agreement or any other Operative Document, (b) waive any inaccuracy in the representations and warranties of Seller or Seller Parent contained in this Agreement or any other Operative Document (which waiver will not in any manner affect the rights of the Indemnified Parties under <u>Article VII</u>), or (c) waive compliance by Seller or Seller Parent with any agreement or condition contained in this Agreement or any other Operative Document (which waiver will not in any manner affect the rights of the Indemnified Parties under <u>Article VII</u>). Seller and Seller Parent may (i) extend the time for the performance of any obligation of Buyer under this Agreement or any other Operative Document, (ii) waive any inaccuracy in the representations and warranties of Buyer contained in this Agreement or any other Operative Document, or (iii) waive compliance by Buyer with any agreement or condition contained in this Agreement or any other Operative Document. Any extension or waiver contemplated in this <u>Section ‎9.11</u> shall be valid only if set forth in an instrument in writing signed by Buyer or Seller and Seller Parent, as applicable, and shall apply only as set forth in such instrument and shall not operate as a waiver of, or estoppel with respect to, any failure to comply with any other obligation, covenant, agreement or condition contained herein. Any extension or waiver by Seller or Seller Parent shall be binding on Seller and Seller Parent.

[*Signature Pages Follow*]

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IN WITNESS WHEREOF, the parties hereto have entered into and signed this Agreement as of the date and year first above written.

**<u>BUYER</u>:**

**Amazon.com Services LLC**

By:

Name:

Its:

[*Signature Page to Asset Purchase Agreement*]

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IN WITNESS WHEREOF, the parties hereto have entered into and signed this Agreement as of the date and year first above written.

**<u>SELLER</u>:**

**Perceive Corporation**

By:

Name:

Its:

**<u>SELLER PARENT</u>:**

**Xperi Inc.**

By:

Name:

Its:

[*Signature Page to Asset Purchase Agreement*]

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**Annex A<br>DEFINITIONS**

"***280G Proposal***" has the meaning set forth in <u>Section 4.13(b)</u>.

"***401(k) Amounts***" has the meaning set forth in <u>Section ‎4.8(c)</u>.

"***401(K) Payments***" has the meaning set forth in <u>Section ‎4.8(c)</u>.

"***Affiliate***" means, with respect to a Person, any other Person that, directly or indirectly, controls or is controlled by or is under common control with the first Person.

"***Agreement***" has the meaning set forth in the first paragraph of this Agreement.

"***Agreement Date***" has the meaning set forth in the first paragraph of this Agreement.

"***Annual Financial Statements***" has the meaning set forth in <u>Section 2.5(a)</u>.

"***Anti-Bribery Laws***" means the U.S. Foreign Corrupt Practices Act 1977, as amended, any rules and regulations thereunder, the OECD Convention on Bribery of Foreign Public Officials in International Business Transactions and any legislation implementing that convention and any similar anti-corruption laws to the extent that they are applicable to Seller or any of their respective Representatives.

"***Applicable Law***" means, with respect to any Person, any federal, state, provincial, foreign, local, municipal, or other law, statute, constitution, legislation, principle of common law, resolution, ordinance, code, edict, decree, guidance, regulation, rule, directive, license, permit, or requirement issued, enacted, adopted, promulgated, implemented, or otherwise put into effect by or under the authority of any Governmental Body, and any Orders applicable to such Person or such Person's Affiliates, or to any of their respective employees, assets, properties, or businesses.

"***Artificial Intelligence***" means any machine-based system, software, or process, including those systems, software and processes derived from machine learning, statistics, or other data, in each case that are designed to operate with varying levels of autonomy, and are capable of processing information and/or using computations, as whole or as part of a larger system, to generate outputs (such as predictions or recommendations), execute a decision that influences a physical or virtual environment, or facilitate human decision making, in each case, which would normally require human intelligence to produce, including: (a) large language models and foundation models that are intended to perform generally applicable functions such as image and speech recognition, audio and video generation, pattern detection, question answering, translation and other forms of content production with or without human involvement or oversight; and (b) neural networks, statistical machine learning algorithms, or reinforcement machine learning that operate with or without human involvement or oversight.

"***Asset Purchase***" has the meaning set forth in the recitals.

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

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"***Assumed Liabilities***" has the meaning set forth in <u>Section 1.1(c)</u>.

"***Automated Decision-Making Technology***" means any Artificial Intelligence that processes Personal Information and uses computation, as whole or part of a system, to make or execute a decision or facilitate human decision-making.

"***Basket***" has the meaning set forth in <u>Section 7.3(c)</u>.

"***Benefits Liabilities***" means any and all Liabilities, claims, rights, entitlements, and payments under or with respect to each Employee Benefit Plan of Seller, Seller Parent, or any ERISA Affiliate, whether fixed, contingent or absolute, matured or unmatured, accrued or unaccrued, known or unknown, including all costs and expenses relating thereto, and including those debts, liabilities and obligations arising under law, rule, regulation, permits, action or proceeding before any court or regulatory agency or administrative agency, order or consent decree or any award of any arbitrator of any kind, and those arising under contract, commitment or undertaking.

"***Bill of Sale and Assignment and Assumption Agreement***" has the meaning set forth in <u>Section ‎5.9(e)</u>.

"***Breach***" or "***Breached***" means a "***Breach***" of a representation, warranty, certification, covenant, obligation, or other provision of this Agreement or any Operative Document will be deemed to have occurred, or a representation, warranty, certification, covenant, obligation, or other provision of this Agreement or any Operative Document will have been "***Breached***," if there is or has been any inaccuracy in or breach of, or any failure to perform or comply (in whole or in part) with, such representation, warranty, certification, covenant, obligation, or other provision, and the term "***Breach***" means any such inaccuracy, breach, failure, Claim, occurrence or circumstance.

"***Business***" has the meaning set forth in the recitals.

"***Business Day***" means any day, other than a Saturday, a Sunday, or any other day on which commercial banks in San Francisco, California, or Seattle, Washington are authorized or required by Applicable Law to be closed.

"***Business Employee***" means all employees primarily dedicated to the Business immediately prior to the Closing Date.

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

"***Buyer***" has the meaning set forth in the first paragraph of this Agreement.

"***Buyer Entity***" means any of Buyer, an Affiliate of Buyer that is not an individual, a successor of Buyer, or another Person designated by one of the foregoing.

"***CBLA***" means that certain Cross Business License Agreement effective as of October 1, 2022, by and between Seller Parent and [\*\*\*].

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"***Certificate of Incorporation***" means the certificate of incorporation of Seller, as amended and restated from time to time.

"***Change in Control Transaction***" means the occurrence of (i) the acquisition by any Person or "group" (as defined in section 13(d) of the Securities Exchange Act of 1934, as amended from time to time), whether as a single transaction or a series of related transactions, including by way of a merger, consolidation or other business combination, of 50% or more of the combined voting power of the then outstanding voting securities of Seller Parent, (b) a stock-for-stock exchange in a merger, consolidation or other business combination that is publicly announced by Seller Parent and the counter-party thereto as a "merger of equals" transaction or (c) the sale, transfer or other disposition (whether directly or indirectly through a subsidiary, and whether by merger, consolidation, other business combination, exclusive license or otherwise) of all or substantially all of the assets of Seller Parent.

"***Claim***" means any claim, demand, complaint, cause of action, suit, proceeding, arbitration, audit, hearing, investigation, or inquiry (whether formal or informal, civil, criminal, or administrative).

"***Claim Notice***" has the meaning set forth in <u>Section 7.4(b)</u>.

"***Closing***" has the meaning set forth in <u>Section 1.2</u>.

"***Closing Date***" has the meaning set forth in <u>Section 1.2</u>.

"***CMA***" means the UK Competition and Markets Authority.

"***COBRA***" means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended.

"***Code***" means the Internal Revenue Code of 1986, as amended, and all rules and regulations promulgated thereunder, as in effect from time to time.

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

"***Competing Transaction***" means, other than the Transactions, any of the following: (i) any merger, consolidation, share exchange, recapitalization, or establishment of or investment in Seller or another legal entity or other similar transaction involving Seller or any subsidiary of Seller, (ii) any sale, lease, license, exchange, mortgage, pledge, transfer, or other disposition of any of the assets of Seller or any subsidiary of Seller, (iii) any sale or transfer of shares or other securities (or instruments that provide the right or ability to acquire shares or other securities) of Seller or any subsidiary of Seller, or (iv) any change of control transaction involving Seller or any subsidiary of Seller (however structured).

"***Competitor***" means any Person engaged in any activity or business that is of a similar nature as, or substantively similar to the primary activities or business of the Business, anywhere in the world.

"***Completed ISED Notification***" means a "Notification to Acquire Control of an Existing Canadian Business (or Businesses)" submitted to the Ministry of Innovation, Science and

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Economic Development of Canada ("***ISED***") and certified in writing to the Buyer as being complete by a representative of ISED.

"***Confidential Information***" has the meaning set forth in <u>Section 2.10.5(a)</u>.

"***Confidentiality Agreements***" means collectively, (i) the Mutual Nondisclosure Agreement, dated as of February 15, 2024, as amended, (ii) the Clean Team Confidentiality Agreement, dated May 30, 2024 and (iii) Supplement to Clean Team Confidentiality Agreement, dated June 10, 2024, in each case, between Buyer (or an Affiliate of Buyer) and Seller.

"***Contract***" means any contract, agreement, permission, consent, lease, license, release, covenant not to sue, commitment, plan, arrangement, undertaking, or understanding, oral or written.

"***Convertible Notes***" means collectively, (i) Convertible Promissory Note, dated August 29, 2023, issued by Seller to Spinco, in the original principal amount of $5,000,000, (ii) Convertible Promissory Note, dated December 1, 2022, issued by Seller to Spinco, in the original principal amount of $5,000,000, (iii) Convertible Promissory Note, dated April 1, 2023, issued by Seller to Spinco, in the original principal amount of $5,000,000, (iv) Convertible Promissory Note, dated July 1, 2023, issued by Seller to Spinco, in the original principal amount of $5,000,000, (v) Convertible Promissory Note, dated October 15, 2023, issued by Seller to Spinco, in the original principal amount of $5,000,000, (vi) Convertible Promissory Note, dated May 13, 2024, issued by Seller to Spinco, in the original principal amount of $5,000,000 and (vii) any such Convertible Promissory Note issued by Seller to Spinco after the Agreement Date but prior to the Closing Date in the Ordinary Course.

"***Debt***" means, without duplication, (a) all obligations (including the principal amount thereof or, if applicable, the accreted amount thereof and the amount of accrued and unpaid interest thereon) of Seller, whether or not represented by bonds, debentures, notes or other securities (whether or not convertible into any other security), for the repayment of money borrowed, whether owing to banks, financial institutions, on equipment leases or otherwise, (b) all deferred indebtedness of Seller for the payment of the purchase price of property or assets purchased, (c) all obligations of Seller to pay rent or other payment amounts under a lease which is required to be classified as a capital lease or a liability on the face of a balance sheet prepared in accordance with GAAP, (d) all outstanding reimbursement obligations of Seller with respect to letters of credit, bankers' acceptances or similar facilities issued for the account of Seller, (e) all obligations of Seller under any interest rate swap agreement, forward rate agreement, interest rate cap or collar agreement or other financial agreement or arrangement entered into for the purpose of limiting or managing interest rate risks, (f) all obligations secured by any Encumbrance (except to the extent a Permitted Encumbrance) existing on property owned by Seller, whether or not indebtedness secured thereby will have been assumed, (g) all premiums, penalties, fees, expenses, breakage costs and change of control payments required to be paid or offered in respect of any of the foregoing on prepayment (regardless if any of such are actually paid), as a result of the consummation of the Transactions, or in connection with any lender consent and (h) all guaranties, endorsements, assumptions and other contingent obligations of Seller in respect of, or to purchase or to otherwise acquire, any of the obligations and other matters of the kind described in any of the clauses (a) through (g) appertaining to third parties.

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"***Disclosure Memorandum***" has the meaning set forth in the first paragraph of <u>Article II</u>.

"***DMA***" means Article 14 of EU Regulation 2022/1925 (the Digital Markets Act).

"***Domain Name Assignment Agreement***" has the meaning set forth in <u>Section ‎5.9(h)</u>.

"***Employee Benefit Plan***" means any retirement, group health, severance, other welfare, change of control, retention, equity purchase, equity option, restricted equity, phantom equity, equity appreciation rights, bonus, incentive, fringe benefit or other employee benefit, or compensatory plan, program, policy, practice, arrangement, Contract, or fund (including any "employee benefit plan," as defined in Section 3(3) of ERISA), any voluntary welfare benefit plan, or any employment, consulting or personal services contract, or letter, whether written or oral, funded or unfunded or domestic or foreign, (a) sponsored, maintained or contributed to by Seller, Seller Parent or any ERISA Affiliate or to which Seller, Seller Parent or any ERISA Affiliate is a party, for the benefit of any current or former employee, agent, director, or independent contractor of Seller (or any dependent or beneficiary of any such individual), or (b) with respect to which Seller has had, has or could have any actual or contingent present or future obligation or Liability (including (x) as an ERISA Affiliate, and/or (y) with respect to former service providers of Seller or dependent or beneficiary of any such individual).

"***Employee Liabilities***" means any and all Liabilities of any nature whatsoever, directly or indirectly, accruing or arising or otherwise relating to the period prior to the Closing, with respect to: (i) any Liability to any Seller Service Providers for accrued compensation, wages, bonuses, commissions and accrued vacation, paid time off, sick leave or similar benefits; (ii) any Liability for any termination pay or benefits (including any cash severance or pay in lieu of notice) to any Seller Service Providers, including Transferred Employees, which accrue or become payable during the period of such employee's employment or service with Seller or arise out of the termination of such person's employment with Seller, (iii) any and all Liabilities for any change in control or similar payments owed to Seller's employees, officers, directors, service providers, or stockholders (past or present) in connection with the Asset Purchase or otherwise necessary to wind up the operations of Seller or any Affiliate, including the Retention Bonus Amounts and the 401(K) Payments; (iv) the employment or engagement or termination of employment or engagement by Seller or any Affiliate of any former, current or future employee or contractor of Seller or any Affiliate, including without limitation Transferred Employees and all other Seller Service Providers, whether in connection with the transactions contemplated hereby or otherwise, or any Liability of Seller, Seller Parent or any Affiliate (including any ERISA Affiliate) under any applicable benefit plans which provide for payment of consideration upon the completion of the transactions contemplated herein to any employee or contract of Seller, Seller Parent or any Affiliate (including any ERISA Affiliate); (v) any claims of discrimination or wrongful or constructive termination under Applicable Law or otherwise provided such claims arise from such employee's or contractor's employment or service with, or termination by, Seller or any Affiliate; (vi) any Liabilities arising out of the terms and conditions of employment (including under any employment agreement with Seller or any Affiliate) of any Seller Service Provider by Seller or any Affiliate, whether for salary, wages, bonuses, profit sharing, commissions, severance, termination benefits, vacation pay, sick pay, wrongful termination, medical claims not insured through a third party insurer or otherwise; (vii) any duties or Liabilities of Seller or any Affiliate or administrators to employees or contractors under any existing or future employee benefit plans

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of Seller or any Affiliate or under ERISA, COBRA, Cal-COBRA, WARN, Employment Standards Act, 2000 (as amended from time to time) or any similar Applicable Laws (including but not limited to COBRA health care and common law benefits continuation coverage for such employees to the extent required by Applicable Law); (viii) any payroll Taxes owing upon any Liability or payment that is an Employee Liability, (ix) termination liabilities for any Offered Employee who does not become a Transferred Employee or (x) any claim by a Seller Service Provider arising from a failure or omission by Seller or any Affiliate to calculate and pay any of the Liabilities referred to in this definition. For the avoidance of doubt, any Liabilities of Buyer that arise solely out of or result from the terms of Buyer's written agreements with employees shall not be included in the foregoing.

"***Encumbrance***" means liens, mortgages, pledges, deeds of trust, security interests, charges, easements, covenants, restrictions, licenses, encumbrances, and other adverse claims or interests of any kind.

"***Equity Interests***" means shares of capital stock, options, warrants, SAFE instruments, convertible securities, profit interests, equity securities and any and all other equity or voting interests in and of Seller.

"***ERISA***" means the Employee Retirement Income Security Act of 1974, and all rules and regulations promulgated thereunder, all as in effect from time to time.

"***ERISA Affiliate***" means any Person that, together with Seller, is treated as a single employer under ERISA or Section 414(b), (c), (m), or (o) of the Code.

"***EU Merger Regulation***" means Council Regulation (EC) No 139/2004 of 20 January 2004 on the control of concentrations between undertakings.

"***Excluded Assets***" has the meaning set forth in <u>Section 1.1(b)</u>.

"***Excluded Data***" has the meaning set forth in <u>Section 1.1(b)(ii)</u>.

"***Excluded Liabilities***" has the meaning set forth in <u>Section 1.1(d)</u>.

"***Exploit***" or "***Exploitation***" means to use, possess, copy, reproduce, modify, create derivative works of, display, market, offer as a service, perform, publish, transmit, broadcast, sell, offer to sell, license or sublicense, distribute, design, develop, make, have made, import, provide, or otherwise exploit.

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

"***[\*\*\*] License Back Agreement***" means that certain License Back Agreement effective as of January 31, 2024, by and among Seller Parent, [\*\*\*] and [\*\*\*].

"***Fraud***" means common law fraud under Delaware law (but excluding fraud premised on recklessness or negligence).

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"***Fundamental Representations***" means the representations and warranties contained in <u>Sections [\*\*\*]</u>.

"***GAAP***" means generally accepted accounting principles in the United States.

"***Governmental Body***" means any government or any agency, arbitral body, bureau, commission, court, department, official, political subdivision, tribunal, or other instrumentality of any government, or any regulatory or quasi-governmental body, in each case whether supranational, federal, state, provincial or local, domestic or foreign.

"***Guaranteed Obligations***" has the meaning set forth in <u>Section 7.9(a)</u>.

"***Holder***" means each (i) holder of outstanding Equity Interests or (ii) Person set forth on <u>Schedule A-1</u> receiving any Retention Bonus Amount, in each case, as of immediately prior to the Closing.

"***ICT Infrastructure***" has the meaning set forth in <u>Section 2.10.14(a)</u>.

"***Inbound License***" means any Contract, excluding Non-Scheduled Contracts, pursuant to which Seller has Exploited any Third-Party IP in connection with the conduct of the Business prior to the Closing Date, including Product Inbound Licenses, excluding Shared Administrative Licenses.

"***Indemnification Claim***" means any Claim for indemnification under <u>Article VII</u>.

"***Indemnification Holdback Amount***" has the meaning set forth in <u>Section 1.3.2(a)</u>.

"***Indemnification Holdback Fund***" has the meaning set forth in <u>Section 1.3.2(a)</u>.

"***Indemnified Party***" and "***Indemnified Parties***" has the meaning set forth in <u>Section 7.2(a)</u>.

"***Indemnifying Party***" and "***Indemnifying Parties***" has the meaning set forth in <u>Section 7.2(a)</u>.

"***Intellectual Property***" means (a) the Technology, and (b) the Intellectual Property Rights.

"***Intellectual Property Rights***" means any and all intellectual property rights of every kind and description throughout the world, including rights in the following: (a) patents, patent applications, and invention disclosures, and all reissues, divisionals, re-examinations, renewals, extensions, amendments, provisionals, continuations and continuations-in-part thereof (collectively, "***Patents***"), (b) trade secrets, confidential and proprietary information, know-how, and equivalent or similar rights in inventions and discoveries anywhere in the world, (c) utility models and industrial designs, including any registrations and applications therefor, (d) trade names, logos, trade dress, trademarks, service marks, and other indicia of origin or source, including any registrations and applications therefor, and any and all goodwill associated with and symbolized by the foregoing items (collectively, "***Trademarks***"), (e) Internet domain names , Internet and World Wide Web URLs or addresses, accounts with social media companies and the

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content, handles and identifiers and designations found thereon (collectively, "***Domain Names***"), (f) published and unpublished works of authorship, copyrights therein and thereto, including any registrations and applications therefor and any renewals, extensions, and reversions thereof (collectively, "***Copyrights***"), (g) data and database rights, (h) mask works, mask sets, layouts, topographies and other design features with respect to integrated circuits, including any applications and registrations therefor (collectively, "***Mask Works***"), (i) any moral and economic rights of authors and inventors, however denominated, (j) rights of privacy and publicity, and any similar or equivalent rights to any of the foregoing, (k) all tangible embodiments of the foregoing items, and (l) all benefits, privileges, causes of action and remedies relating to any of the foregoing items, including rights to recover for past, present and future violations thereof.

"***Interim Financial Statements***" has the meaning set forth in <u>Section 2.5(a)</u>.

"***IP Representations***" has the meaning set forth in <u>Section 7.1</u>.

"***IRS***" means the United States Internal Revenue Service.

"***Knowledge***" means with respect to Seller, the knowledge of any of [\*\*\*], each other Named Employee and each member of the Seller Board, in each case after reasonable investigation or inquiry by such Person of such other Seller Service Providers who are his or her direct reports.

"***Leases***" has the meaning set forth in <u>Section 2.7(c)</u>.

"***Legal Proceeding***" means any private, governmental, or administrative action, inquiry, claim, counterclaim, proceeding, suit, hearing, litigation, audit, examination or investigation, in each case whether civil, criminal, administrative, judicial or investigative, or any appeal therefrom.

"***Liability***" means any and all debts, liabilities, Taxes, penalties, expenses, and obligations of any nature whatsoever, whether accrued or fixed, absolute or contingent, mature or unmatured or determined or indeterminable, including those arising under Applicable Law and those arising under any Contract.

"***Losses***" has the meaning set forth in <u>Section 7.2(a)</u>.

"***Material Adverse Effect***" means (a) any change, event, violation, inaccuracy, circumstance or effect (each, an "***Effect***") that, individually or taken together with all other Effects, and regardless of whether such Effect constitutes a Breach of any representations or warranties made by, or a Breach of the covenants, agreements, or obligations of, Seller, is, or would reasonably be likely to be or become a material adverse effect on the business, operations, assets, liabilities (absolute, accrued, contingent, or otherwise), condition (financial or other), or prospects of Seller; <u>provided</u> that none of the following shall be deemed to constitute, and none of the following shall be taken into account in determining whether there has been, a Material Adverse Effect in accordance with this subclause (a): (i) changes in general economic conditions in the United States, (ii) changes affecting the industry generally in which Seller operate, (iii) the outbreak or escalation of war, hostilities, or terrorist activities, either in the United States or any other jurisdiction in which Seller operate, (iv) acts of God, epidemics, pandemics (including COVID-19) or other calamities, national or international political or social conditions (or the escalation or worsening thereof), including the engagement by any country in hostilities, whether

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commenced before or after the date hereof, and whether or not pursuant to the declaration of a national emergency or war, or the occurrence or threatened occurrence of any military or terrorist attack or (v) the announcement or pendency of, or the taking of any action contemplated by or the compliance with the terms of, this Agreement and the other agreements contemplated hereby, including by reason of the identity of Buyer or any communication by Buyer regarding the plans or intentions of Buyer with respect to the conduct of Business and including the resignation or termination of any employee following the announcement of the transactions contemplated hereby (provided that the exception set forth in this clause (v) shall not apply in connection with any representation or warranty set forth in this Agreement or any other Operative Document expressly addressing the consequences of entering into this Agreement or the pendency or the consummation of the Transactions or the performance of this Agreement, or any condition as it relates to any such representation or warranty or any actions taken pursuant to the obligations to operate in the ordinary course under Section 5.1), and (vi) changes in Applicable Law or GAAP, unless, in the case of each of the foregoing clauses (i) through (vi), such changes disproportionately affect Seller as compared to other Persons or businesses that operate in the industry in which Seller operate, or (b) any effect or circumstance that could reasonably be expected to materially impair or materially delay Seller's or Seller Parent's ability to perform under this Agreement or the other Operative Documents.

"***Material Contract***" has the meaning set forth in <u>Section 2.11(a)</u>.

"***Material Customers***" has the meaning set forth in <u>Section 2.19(a)</u>.

"***Material Vendor***" has the meaning set forth in <u>Section 2.19(b)</u>.

"***Minimum Loss Amount***" has the meaning set forth in <u>Section 7.3(c)</u>.

"***Named Employees***" mean each of the Persons set forth on <u>Annex B</u> hereto.

"***NDA***" has the meaning set forth in the recitals.

"***Non-Scheduled Contracts***" means the following Contracts: (a) Contracts for Open Source Materials, (b) Seller IP Protection Agreements executed on Seller's current standard forms or agreements that are substantially similar to Seller's then-current standard forms, (c) Contracts where Seller granted non-exclusive rights to consultants and contractors to use Seller IP solely for purposes of performing services for the benefit of Seller, (d) confidentiality and non-disclosure agreements where Seller or the counter-party has the right to use and disclose third party confidential information for some limited purpose, (e) Contracts that (1) are not Material Contracts and (2) where the only licenses to Intellectual Property are non-exclusive and with respect to feedback, suggestions, or a party's trademark(s) for inclusion on customer lists (or similar promotional purposes) or solely used in the provision of services and licensed on a non-exclusive basis, (f) purchase orders, invoices, and similar confirmatory or administrative documents that are ancillary to the main contractual relationship between the parties to a particular Contract or group of Contracts and which (1) do not contain any binding terms except as may relate to that specific order or invoice and (2) do not modify the scope of any license of Intellectual Property, (g) Contracts with a non-exclusive license that is merely incidental to the transaction contemplated by such agreement and not material to the Business, the commercial purpose of which is primarily for

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something other than such license, such as a Contract to purchase or lease equipment, such as a phone system, photocopier, printer, scanner, computer, server, workstation, tablet, mobile device, or smartphone that also contains a license of Intellectual Property included in any such device, or (h) online terms of service and privacy policies, and inbound licenses granted to Seller to commercially available software in object code form and licensed on a non-exclusive basis for an annual fee of less than $[\*\*\*].

"***OFAC***" has the meaning set forth in <u>Section 2.13(d)</u>.

"***Offer Letter***" has the meaning set forth in the Recitals.

"***Offered Employees***" has the meaning set forth in <u>Section 4.8(a)</u>.

"***Open Source Materials***" means Software that is distributed under any license or distribution model that meets the Open Source Definition described by the Open Source Initiative at www.opensource.org or under similar licensing or distribution terms (including the GNU General Public License (GPL), GNU Lesser General Public License (LGPL), the GNU Affero General Public license (AGPL), Mozilla Public License (MPL), BSD licenses, the MIT license, the Artistic License, the Netscape Public License, the Sun Community Source License (SCSL), the Sun Industry Standards License (SISL) and the Apache License) (each an "***Open Source License***").

"***Operative Document***" and collectively "***Operative Documents***" means each of this Agreement and the other agreements, documents, and certificates referenced in this Agreement to be executed and delivered on the Agreement Date or prior to or at the Closing.

"***Order***" means any judgment, writ, decree, stipulation, determination, decision, award, rule, preliminary or permanent injunction, temporary restraining order, or other order.

***"Ordinary Course***" means, with respect to any Person, the ordinary course of business consistent with the applicable Person's past custom and practice.

"***Outbound License***" means any Contract, excluding Non-Scheduled Contracts, to which Seller is a party and pursuant to which any Person is authorized to Exploit any Seller-Owned IP.

"***Outside Date***" has the meaning set forth in <u>Section 8.1(b)</u>.

"***Parachute Payment Waiver***" has the meaning set forth in <u>Section 4.13(a)</u>.

"***Parent License Back Agreements***" means the CBLA and the [\*\*\*] License Back Agreement.

"***Patent Assignment Agreement***" has the meaning set forth in <u>Section ‎5.9(e)</u>.

"***Perceive Canada***" means Perceive Canada Corporation, a corporation organized under the laws of British Columbia.

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"***Permitted Encumbrances***" means (a) conditional sales or similar security interests granted in connection with the purchase of equipment or supplies in the Ordinary Course, (b) assessments for current Taxes not yet due and payable, (c) statutory liens securing indebtedness owed by Seller that is in the aggregate less than $10,000, which was incurred in the Ordinary Course and which is not yet due and payable, (d) non-exclusive licenses granted to the Seller-Owned IP in the Ordinary Course or (e) standard restrictions on licenses of Third-Party IP granted to Seller in the Ordinary Course or in the Parent License Back Agreements, provided that such restrictions do not materially limit the operation of Business as conducted by Seller or its Affiliates as of the Agreement Date.

"***Person***" means any individual, proprietorship, firm, company, syndicate, corporation, partnership, trust, joint venture, limited liability company, association, committee, organization, other entity, Governmental Body, any organization or group of persons acting in concert, or regulatory authority.

"***Personal Information***" means data that relates to, identifies, describes, or is reasonably capable of being associated with, or could reasonably be linked, directly or indirectly, with an identified or identifiable individual, household or device, including name, address, telephone number, electronic mail address, unique government-issued identifier, unique or online identifier, deterministic or probabilistic identifiers, account number, credit or debit card number, IP address or other electronic network activity information, biometric or health information, protected class information, professional, employment-related or educational information, geolocation data, commercial information (including products or services or other purchasing or consuming histories or tendencies), inferences drawn from personal information to create a profile, or any other data that may be used to identify an individual or household or is otherwise considered personally identifiable information, sensitive data, protected health information, or special categories of personal data or personal information under Applicable Law.

"***Personal Property***" has the meaning set forth in <u>Section 2.7(e)</u>.

"***Phase 1 Investigation***" means an investigation by the CMA for the purposes of deciding whether to make a reference of the Transactions under sections 22 or 33 of the UK Enterprise Act 2002, including the pre-notification process. Such an investigation shall be deemed to have been initiated at the earlier of (a) the CMA inviting Buyer to submit a merger notice within the meaning of Section 96 of the UK Enterprise Act 2002, (b) the CMA informing Buyer that a case team has been allocated for the Phase 1 Investigation, or (c) the CMA, directly or indirectly, indicating to Buyer, as understood by Buyer in its sole discretion, that it intends to initiate a Phase 1 Investigation.

"***Phase 2 Reference***" means a reference of the Transaction (or any part thereof) by the CMA for in-depth investigation under section 33(1) of the UK Enterprise Act 2002 (or such similar legislative provisions as may apply from time to time).

"***Policies***" has the meaning set forth in <u>Section 2.17(a)</u>.

"***Post-Closing Tax Periods***" means collectively, all Taxable periods beginning after the Closing Date and the portion beginning after the Closing Date for all Straddle Periods.

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

"***Pre-Closing Tax Periods***" means collectively, all Taxable periods ending on or prior to the Closing Date and the portion through the end of the Closing Date for all Straddle Periods.

"***Privacy Law***" means, including but not limited to: (A) each Applicable Law relating to the protection or Processing or both of personal data, and includes, as applicable: (I) the EU General Data Protection Regulation (Regulation 2016/679/EU (GDPR)), the UK Data Protection Act 2018, the Federal Trade Commission Act, the California Consumer Privacy Act of 2018 (as amended by the California Privacy Rights Act of 2020) together with any implementing regulations, the Virginia Consumer Data Protection Act, the Colorado Privacy Act, the Connecticut Data Privacy Act and any similar comprehensive federal, state or provincial privacy laws, the Telephone Consumer Protection Act, the Privacy and Electronic Communications Regulations 2003 and the ePrivacy Directive 2002/58/EC, the Health Insurance Portability and Accountability Act of 1996 as amended by the Health Information Technology for Economic and Clinical Health Act of 2009 and the Children's Online Privacy Protection Act of 1998, federal, state and provincial data breach notification laws and (II) to the extent applicable, law, regulations and/or rules relating to the collection and Processing of biometric data, internet of things, direct marketing, advertising, profiling, targeting, e-mails, text messages, robocalls, telemarketing or other electronic commercial messages and (B) binding guidance issued by a Governmental Body that pertains to one of the laws, rules or regulations outlined in clause (A).

"***Process***" or "***Processing***" means the receipt, collection, sharing, selling, disclosing, transferring, renting, retrieval, consultation, analysis, combination, accessing, storage, use, security, transfer, restriction, disposal, erasure or destruction, or other processing or operations or set of operations, dissemination or otherwise making available, alignment or combination, whether or not by automated means.

"***Product Inbound License***" means any Contract pursuant to which Seller is a party and pursuant to which Seller has any right to Exploit any Third-Party IP that is incorporated into the Seller Products, excluding rights to any Third-Party IP under any Non-Scheduled Contracts.

"***Purchase Price***" has the meaning set forth in <u>Section 1.3.1(a)</u>.

"***Purchase Price Allocation***" has the meaning set forth in <u>Section 1.3.1(d)</u>.

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

"***Real Property***" has the meaning set forth in <u>Section 2.7(c)</u>.

"***Regulatory Laws***" means the Sherman Antitrust Act, the Clayton Antitrust Act of 1914, the Hart-Scott-Rodino Antitrust Improvements Act of 1976, the Federal Trade Commission Act of 1914, the DMA, UK Enterprise Act 2002, the EU Merger Regulation, and all other Applicable Laws that are designed or intended to (a) prohibit, restrict, or regulate actions having the purpose or effect of monopolization or restraint of trade or significant impediments to or lessening of competition or the creation or strengthening of a dominant position through merger or acquisition, (b) ensure contestable or fair markets in the digital sector, (c) screen transactions on the grounds

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of national security or public order, or (d) regulate foreign investment, in any case that are applicable to the Transactions.

"***Regulatory Restraint***" has the meaning set forth in <u>Section 4.3(d)</u>.

"***Related Party***" with respect to any specified Person, means: (i) any Affiliate of such specified Person, or any director, executive officer, general partner or managing member of such Affiliate; (ii) any Person who serves as a director, executive officer, general partner, managing member or in a similar capacity of such specified Person; (iii) any immediate family member of a Person described in clause (ii); or (iv) any other Person who holds, individually or together with any Affiliate of such other Person and any member(s) of such Person's immediate family, more than 5% of the outstanding equity or ownership interests of such specified Person.

"***Related Party Contract***" has the meaning set forth in <u>Section 2.16</u>.

"***Release Date***" has the meaning set forth in <u>Section 1.3.2(a)</u>.

"***Released Claims***" has the meaning set forth in <u>Section 4.11(a)</u>.

"***Releasing Party***" has the meaning set forth in <u>Section 4.11(a)</u>

"***Representatives***" has the meaning set forth in <u>Section 4.6(a)</u>.

"***Required Actions***" has the meaning set forth in <u>Section 4.2</u>.

"***Required Consents***" has the meaning set forth <u>in Section 4.2</u>.

"***Required Notices***" has the meaning set forth in <u>Section 4.2</u>.

"***Restricted Period***" means a period commencing on the Closing Date and ending on the earlier to occur of (i) the date that is three (3) years following the Closing Date or [\*\*\*].

"***Retention Bonus Amounts***" means any retention bonus amounts for which Seller or any Affiliate has an obligation to pay under existing bonus agreements as set forth on <u>Schedule A-1</u>.

"***SDA***" means that certain Separation and Distribution Agreement dated October 1, 2022 (as amended) between Seller Parent and [\*\*\*].

"***Security Breach***" means any (i) unauthorized acquisition of, access to, loss of, or misuse of Personal Information; (ii) unauthorized or unlawful Processing, sale or rental of Personal Information; (iii) intrusion, theft, successful phishing, ransomware or other cyberattack or breach of security of computers, networks, Software, and systems used by Seller; or (iv) any personal data breach within the meaning of the GDPR.

"***Seller***" has the meaning set forth in the first paragraph of this Agreement.

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

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

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"***Seller Board***" means the Board of Directors of Seller.

"***Seller Data***" means all Personal Information, confidential information and other proprietary information Processed by or on behalf of Seller.

"***Seller Data Agreement***" means any Contract relating to or otherwise addressing the Processing of Seller Data by or on behalf of Seller to which Seller is a party or by which it is bound, including the standard terms of service entered into by users of the Seller Products (copies of which have been made available to Buyer).

"***Seller IP***" means any and all Seller-Owned IP and any and all Third-Party IP that is licensed to, provided to or otherwise used by Seller in the conduct of the Business (including the Transferred Parent Rights).

"***Seller IP Agreements***" means all Inbound Licenses and Outbound Licenses.

"***Seller IP Protection Agreements***" has the meaning set forth in <u>Section 2.10.6</u>.

"***Seller IP Registrations***" has the meaning set forth in <u>Section 2.10.2(a)</u>.

"***Seller-Owned IP***" means any and all Intellectual Property that is owned or purported to be owned by Seller.

"***Seller Parent***" has the meaning set forth in the Recitals.

"***Seller Permits***" has the meaning set forth in <u>Section 2.13(a)</u>.

"***Seller Privacy Commitments***" means, collectively, Seller's obligations under applicable (A) the Seller Privacy Policies, (B) the Seller Data Agreements, (C) Privacy Laws, (D) any privacy choices, including opt-in or opt-out preferences and rights' requests, of natural Persons relating to the Processing of Personal Information along with any obligations contained in Seller's data privacy and security policies with respect to the Processing of Personal Information and (E) industry self-regulatory principles and codes of conduct applicable to the protection or Processing of Personal Information, direct marketing, e-mails, text messages, robocalls, telemarketing or other electronic communications (including the Payment Card Industry Data Security Standards) to which Seller is bound or otherwise represents compliance.

"***Seller Privacy Policies***" means, collectively, any and all of Seller's data privacy and security policies, procedures and notices and public representations made by or on behalf of Seller with regard to the protection or Processing of Personal Data.

"***Seller Products***" means all completed products or services (a) that are currently developed, manufactured, marketed, sold, offered for sale, imported, exported, supplied, promoted, licensed, distributed, supported, hosted, serviced, made available, maintained, or otherwise commercialized by or for Seller, (b) that were historically developed, manufactured, marketed, sold, offered for sale, imported, exported, supplied, promoted, licensed, distributed, supported, hosted, serviced, made available, maintained, or otherwise commercialized by Seller, (c) from which Seller recognizes any revenue (including revenue associated with maintenance or

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service agreements), (d) that are currently used to provide services to Seller's customers, or (e) that have been developed by or for Seller, in each case together with any and all supplements, modifications, updates, corrections, and enhancements to such products or services, shipping versions of such products or services, any English and non-English language versions of such products or services, and any and all documentation relating to the foregoing.

"***Seller Service Providers***" means directors, officers, employees, agents, consultants, independent contractors or other service providers of Seller or Perceive Canada.

"***Shared Administrative Licenses***" means any Contract for any Third-Party IP or Technology where such Third-Party IP or Technology (a) is used by both Seller and other Affiliates of Seller (other than Seller's Subsidiary), (b) is generally commercially available and licensed to Affiliates of Seller at an enterprise-level and on a non-exclusive basis, and (c) such Third-Party IP or Technology is not related to researching or developing edge inference solutions, machine learning model compression technology and chips, chip sets and circuit designs to compress and serve large AI models on edge devices as currently conducted. The Shared Administrative Licenses include Third-Party IP or Technology and services used for finance, accounting, tax, legal, human resources, payroll, employee benefits, information technology, [\*\*\*].

"***Shared Licenses***" means any Contract for any Third-Party IP or Technology that is used by Seller in the Business, where such Third-Party IP or Technology is also used by Affiliates of Seller (other than Seller's Subsidiary), excluding the Seller IP Agreements that do not meet the foregoing definition, Assumed Contracts, Non-Scheduled Contracts, the Shared Administrative Licenses, and Parent License Back Agreements.

"***Software***" means any and all computer programs, Source Code, object code, software development tools, user interfaces, and "look and feel" of computer programs.

"***Source Code***" means the human readable source code for any Software that is part of Seller-Owned IP.

"***Special Representations***" has the meaning set forth in <u>Section 7.1</u>.

"***Specified Assumption Agreement***" has the meaning set forth in <u>Section ‎5.9(k)</u>.

"***Specified Claims***" has the meaning set forth in <u>Section 7.3(e)</u>.

"***Spinco***" means Xperi Product Spinco Corporation, a Delaware corporation.

"***Standards Organization***" has the meaning set forth in <u>Section 2.10.12</u>.

"***Stock Records***" has the meaning set forth in <u>Section 2.1(b)</u>.

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

"***Stockholders***" means the holders of outstanding shares of capital stock of Seller.

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"***Straddle Period***" means each Taxable period beginning before and ending after the Closing Date.

"***Subsidiary***" means any corporation, association, business entity, partnership, limited liability company or other Person of which an entity, either alone or together with one or more Subsidiaries or by one or more other Subsidiaries (i) directly or indirectly owns or controls securities or other interests representing more than 50% of the voting power of such Person or (ii) is entitled, by Contract or otherwise, to elect, appoint or designate directors constituting a majority of the members of such Person's board of directors or other governing body.

"***Survival Period***" has the meaning set forth in <u>Section 7.1</u>.

"***Tax***" (and, correlative meaning, "***Taxes***" or "***Taxable***") means any and all (a) domestic or foreign, federal, state, provincial or local taxes, charges, fees, levies, imposts, escheat for unclaimed property, duties, and governmental fees, or other like assessments or charges of any kind whatsoever, including income taxes (whether imposed on or measured by net income, gross income, income as specially defined, earnings, profits, or selected items of income, earnings, or profits), capital taxes, gross receipts taxes, environmental taxes, sales taxes, use taxes, value added taxes, goods and services taxes, transfer taxes, franchise taxes, license taxes, withholding taxes or other withholding obligations, payroll taxes, employment taxes, excise taxes, severance taxes, social security premiums, workers' compensation premiums, employment insurance or compensation premiums, stamp taxes, occupation taxes, premium taxes, ad valorem taxes, property taxes, windfall profits taxes, alternative or add-on minimum taxes, and customs duties, (b) interest, penalties, fines, additions to tax, or additional amounts imposed by any Tax Authority in connection with (i) any item described in clause (a) or (ii) the failure to comply with any requirement imposed with respect to any Tax Returns, (c) any liability in respect of any items described in clause (a) or clause (b) that is incurred by reason of being (or ceasing to be) a member of an affiliated, consolidated, combined, unitary, or aggregate group for any Taxable period, and (d) liabilities in respect of any items described in clause (a) or clause (b) payable by reason of Contract, assumption, transferee liability, operation of law, or otherwise.

"***Tax Authority***" means any Governmental Body having jurisdiction with respect to any Tax.

"***Tax Contest***" means any inquiry, audit, examination, hearing, trial, appeal, or other administrative or judicial proceeding with respect to any Taxes or Tax Return of Seller relating to the Purchased Assets.

"***Tax Representations***" has the meaning set forth in <u>Section 7.1</u>.

"***Tax Return***" means any report, return, statement, or other written information (including estimated and withholding Tax returns and reports), and, including any schedules or attachments thereto and any amendment thereof, supplied or required to be supplied to a Tax Authority in connection with Taxes.

"***Technology***" means all products, tools, devices, Mask Works, computer programs, Software, Source Code, object code, development tools, techniques, ideas, concepts, know-how, algorithms, methods, processes, procedures, formulae, designs, drawings, customer lists, supplier

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lists, data, databases, data collections, information, documentation, specifications, brands, logos, marketing materials, user interfaces, websites, specifications, programmer notes, specifications, packaging, trade dress, content, graphics, artwork, audiovisual works, images, photographs, literary works, performances, music, sounds, content, user interfaces, "look and feel," inventions (whether or not patentable), invention disclosures, discoveries, improvements, works of authorship (whether or not copyrightable), technology, and any and all instantiations or embodiments of the foregoing or any Intellectual Property Rights in any form and embodies in any media.

"***Third-Party Claim***" means any Claim by a third party, including a Governmental Body, or a Tax Contest.

"***Third-Party Contractor Agreement***" has the meaning set forth in <u>Section 2.8(a)</u>.

"***Third-Party Goods***" has the meaning set forth in <u>Section 4.5(a)</u>.

"***Third-Party IP***" means any Intellectual Property owned by a third party.

"***Third-Party Processor***" means any Person that Processes Personal Information for or on behalf of Seller.

"***TMA***" means that certain Tax Matters Agreement, dated October 1, 2022, between Seller Parent and [\*\*\*].

"***Trademark Assignment Agreement***" has the meaning set forth in <u>Section ‎5.9(g).</u>

"***Transaction 8-K***" has the meaning set forth in <u>Section 4.4(a)</u>.

"***Transaction Announcement***" has the meaning set forth in <u>Section 4.4(a)</u>.

"***Transaction Costs***" means all fees, costs, and expenses incident to the negotiation, preparation, and execution of this Agreement and the other Operative Documents, and the consummation of the Transactions, including, in the case of Seller, (a) any change-in-control costs, any success fees, any bonuses, compensation, severance, or other payments to the Seller Service Providers or Affiliates triggered or accelerated by the Transactions, regardless of whether such payments are made prior to, at, or following the Closing (including, without limitation, employer payroll Taxes thereon), (b) any fees and expenses of Seller's or any Affiliate's attorneys, accountants, financial advisors, and other advisors, and (c) any costs related to the procurement of the Required Consents, the delivery of the Required Notices or the completion of the Required Actions. For the avoidance of doubt, "Transaction Costs" shall include the Retention Bonus Amounts and the 401(K) Payments.

"***Transaction Litigation***" means any Claim commenced or threatened in writing based upon any alleged breach of fiduciary duty, usurping corporate opportunity or similar breach of care, loyalty, or comparable claims by or against any of Seller, Seller Parent, or any of their respective directors, officers, managers, employees, representatives, or Affiliates in connection with this Agreement, any of the other Operative Documents, or any of the Transactions.

"***Transactions***" has the meaning set forth in the recitals.

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"***Transfer Taxes***" means any and all transfer, documentary, sales, use, stamp, registration, value added, recording, and other similar Taxes and fees arising in connection with the Transactions (including any penalties and interest), together with any costs or expenses incurred by Buyer or its Affiliates in the preparing and filing of any related Tax Returns or documents.

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

"***Transferred Employees***" has the meaning set forth in <u>Section 4.8(a)</u>.

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

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

"***Transferred Parent Rights***" means the licenses and rights of Seller under the Parent License Back Agreements.

"***Transferred Prepaid Assets***" has the meaning set forth in <u>Section 1.1(a)(x)</u>.

"***Transition Services Agreement***" has the meaning set forth in <u>Section ‎5.9(j)</u>.

"***Vendor***" has the meaning set forth in <u>Section 2.19(b)</u>.

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## Exhibit 3.3

**Exhibit 3.3**

**AMENDED AND RESTATED**

**BYLAWS**

**OF**

**XPERI INC.**

**(as amended and restated on August 6, 2024)**

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**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE I. CORPORATE OFFICES | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE I. CORPORATE OFFICES | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 | REGISTERED OFFICE | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 | OTHER OFFICES | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE II. MEETINGS OF STOCKHOLDERS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE II. MEETINGS OF STOCKHOLDERS | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 | PLACE OF MEETINGS | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 | ANNUAL MEETING | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 | SPECIAL MEETING | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 | NOTICE OF STOCKHOLDERS' MEETINGS | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 | ADVANCE NOTICE OF STOCKHOLDER NOMINEES | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 | ADVANCE NOTICE OF STOCKHOLDER BUSINESS | 6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 | MANNER OF GIVING NOTICE; AFFIDAVIT OF NOTICE | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 | QUORUM | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9 | ADJOURNED MEETING; NOTICE | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10 | CONDUCT OF BUSINESS | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11 | VOTING | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12 | WAIVER OF NOTICE | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.13 | NO STOCKHOLDER ACTION BY WRITTEN CONSENT WITHOUT A MEETING | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.14 | RECORD DATE FOR STOCKHOLDER NOTICE; VOTING | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.15 | PROXIES | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE III. DIRECTORS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE III. DIRECTORS | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 | POWERS | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 | NUMBER OF DIRECTORS | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 | ELECTION, QUALIFICATION AND TERM OF OFFICE OF DIRECTORS | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 | PLACE OF MEETINGS; MEETINGS BY TELEPHONE | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 | REGULAR MEETINGS | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 | SPECIAL MEETINGS; NOTICE | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7 | QUORUM | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8 | WAIVER OF NOTICE | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9 | ORGANIZATION | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10 | BOARD ACTION BY WRITTEN CONSENT WITHOUT A MEETING | 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11 | FEES AND COMPENSATION OF DIRECTORS | 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;3.12 | REMOVAL AND RESIGNATION OF DIRECTORS | 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;3.13 | CHAIR OF THE BOARD | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE IV. COMMITTEES | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE IV. COMMITTEES | 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;4.1 | COMMITTEES OF DIRECTORS | 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;4.2 | COMMITTEE MINUTES | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 | MEETINGS AND ACTION OF COMMITTEES | 15 |

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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;4.4 | QUORUM | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE V. OFFICERS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE V. OFFICERS | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 | OFFICERS | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 | APPOINTMENT OF OFFICERS | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 | SUBORDINATE OFFICERS | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 | REMOVAL AND RESIGNATION OF OFFICERS | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 | VACANCIES IN OFFICES | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 | CHIEF EXECUTIVE OFFICER | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 | PRESIDENT | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 | VICE PRESIDENTS | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 | SECRETARY | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 | CHIEF FINANCIAL OFFICER | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11 | TREASURER | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12 | AUTHORITY AND DUTIES OF OFFICERS | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE VI. INDEMNITY | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE VI. INDEMNITY | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 | INDEMNIFICATION OF DIRECTORS AND OFFICERS | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 | INDEMNIFICATION OF OTHERS | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 | PAYMENT OF EXPENSES IN ADVANCE | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 | INDEMNITY NOT EXCLUSIVE | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5 | INSURANCE | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6 | CONFLICTS | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE VII. RECORDS AND REPORTS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE VII. RECORDS AND REPORTS | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 | MAINTENANCE AND INSPECTION OF RECORDS | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE VIII. GENERAL MATTERS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE VIII. GENERAL MATTERS | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 | CHECKS | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 | EXECUTION OF CORPORATE CONTRACTS AND INSTRUMENTS | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 | STOCK CERTIFICATES | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 | SPECIAL DESIGNATION ON CERTIFICATES | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 | LOST CERTIFICATES | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 | CONSTRUCTION; DEFINITIONS | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7 | DIVIDENDS | 21 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8 | FISCAL YEAR | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9 | SEAL | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10 | TRANSFER OF STOCK | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.11 | STOCK TRANSFER AGREEMENTS | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.12 | REGISTERED STOCKHOLDERS | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE IX. AMENDMENTS | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ARTICLE IX. AMENDMENTS | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 | AMENDMENTS | 22 |

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# **ARTICLE I. <br>CORPORATE OFFICES** 
<u>1.1 REGISTERED OFFICE</u>

The registered office of Xperi Inc. (the "***corporation***") shall be 1209 Orange Street, in the City of Wilmington, County of New Castle, State of Delaware, 19801. The name of the registered agent of the corporation at such location is The Corporation Trust Company.

<u>1.2 OTHER OFFICES</u>

The board of directors of the corporation (the "***board of directors***") may at any time establish other offices at any place or places where the corporation is qualified to do business.

# **ARTICLE II. <br>MEETINGS OF STOCKHOLDERS** 
<u>2.1 PLACE OF MEETINGS</u>

Meetings of stockholders shall be held at any place, within or outside the State of Delaware, or by means of remote communication, as designated by the board of directors. In the absence of any such designation, stockholders' meetings shall be held at the principal executive office of the corporation.

<u>2.2 ANNUAL MEETING</u>

The annual meeting of stockholders shall be held each year on a date and at a time designated by the board of directors. Any previously scheduled annual meeting of the stockholders may be postponed, rescheduled or canceled by the board of directors. At the meeting, directors shall be elected and any other proper business may be transacted.

<u>2.3 SPECIAL MEETING</u>

A special meeting of the stockholders may be called at any time by the board of directors, or by a majority of the members of the board of directors, or by a committee of the board of directors which has been duly designated by the board of directors and whose powers and authority, as provided in a resolution of the board of directors or in these bylaws, include the power to call such meetings, but such special meetings may not be called by any other person or persons. Any previously scheduled special meeting of the stockholders may be postponed, rescheduled or canceled by the board of directors. Business transacted at special meetings shall be confined to the purpose or purposes stated in the notice of the meeting.

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<u>2.4 NOTICE OF STOCKHOLDERS' MEETINGS</u>

All notices of meetings with stockholders shall be sent or otherwise given in accordance with <u>Section 2.5</u> of these bylaws not less than ten (10) nor more than sixty (60) days before the date of the meeting (unless a different time is specified by law) to each stockholder entitled to vote at such meeting. The notice shall specify the place, if any, date and hour of the meeting, the means of remote communications, if any, by which stockholders and proxy holders may be deemed to be present in person and vote at such meeting, the record date for determining the stockholders entitled to vote at such meeting, if such date is different from the record date for determining stockholders entitled to notice of such meeting and, in the case of a special meeting, the purpose or purposes for which the meeting is called.

Notices of meetings to stockholders may be given by mailing the same, addressed to the stockholder entitled thereto, at such stockholder's mailing address as it appears on the records of the corporation and such notice shall be deemed to be given when deposited in the U.S. mail, postage prepaid. Without limiting the manner by which notices of meetings otherwise may be given effectively to stockholders, any such notice may be given by electronic transmission in the manner provided in Section 232 of the General Corporation Law of the State of Delaware.

<u>2.5 ADVANCE NOTICE OF STOCKHOLDER NOMINEES</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Proper Nominations</u>; <u>Who May Make Nominations</u>. Only persons who are nominated in accordance with the procedures set forth in this <u>Section 2.5</u> shall be eligible for election as directors. Nominations of persons for election to the board of directors of the corporation may be made at an annual meeting of stockholders or at a special meeting (but only if the election of directors is a matter specified in the notice of meeting given by or at the direction of the board of directors or other person calling such special meeting in accordance with <u>Section 2.3</u> hereof) (i) by or at the direction of the board of directors, including by any committee or persons appointed by the board of directors, or (ii) by any stockholder of the corporation who (A) was a stockholder of record (and, with respect to any beneficial owner, if different, on whose behalf such nomination is proposed to be made, only if such beneficial owner was the beneficial owner of shares of the corporation) both at the time of giving the notice provided for in this <u>Section 2.5</u> and at the time of the meeting, (B) is entitled to vote at the meeting and (C) has complied with this <u>Section 2.5</u> as to such nomination. The foregoing clause (ii) shall be the exclusive means for a stockholder to make any nomination of a person or persons for election to the board of directors at an annual meeting or a special meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Requirement of Timely Notice of Nominations</u>. Such nominations, other than those made by or at the direction of the board of directors, shall be made pursuant to timely notice in writing and in proper form to the secretary of the corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Timely Notice of Nominations for Annual Meetin</u>g. To be timely, a stockholder's notice of nominations to be made at an annual meeting must be delivered to, or mailed and received at, the principal executive offices of the corporation not less than ninety (90) days nor more than one hundred twenty (120) days prior to the one-year anniversary of the preceding year's annual meeting; provided, however, that if the date of the annual meeting is more than thirty (30) days before or more than sixty (60) days after

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such anniversary date, notice by the stockholder to be timely must be so delivered, or mailed and received, not later than the 90th day prior to such annual meeting or, if later, the tenth day following the day on which public disclosure of the date of such annual meeting was first made. Any such notice that is delivered to, or mailed and received at, the principal executive offices of the corporation within any of the time periods set forth in the immediately preceding sentence shall be deemed an "***Annual Meeting Timely Notice.***" In no event shall any adjournment of an annual meeting or the announcement thereof commence a new time period for the giving of Annual Meeting Timely Notice as described above.

&nbsp;&nbsp;&nbsp;&nbsp;&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>Timely Notice of Nominations for Special Meetin</u>g. To be timely, a stockholder's notice of nominations to be made at a special meeting at which the election of directors is a matter specified in the notice of meeting must be delivered to, or mailed and received at, the principal executive offices of the corporation not earlier than the 120th day prior to such special meeting and not later than the 90th day prior to such special meeting or, if later, the 10th day following the day on which public disclosure (as defined in this <u>Section 2.5</u>) of the date of such special meeting was first made (such notice within such time periods, "***Special Meeting Timely Notice***"). In no event shall any adjournment of a special meeting or the announcement thereof commence a new time period for the giving of Special Meeting Timely Notice as described above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Definition of Public Disclosure</u>. For purposes of these bylaws, *"****public disclosure***" shall mean disclosure in a press release reported by a national news service or in a document publicly filed by the corporation with the Securities and Exchange Commission pursuant to Sections 13, 14 or 15(d) of the Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder (as so amended and inclusive of such rules and regulations, the "***Exchange Act***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Requirements for Proper Form of Stockholder Notice of Nominations</u>. To be in proper form for purposes of this <u>Section 2.5</u>, a stockholder's notice to the secretary shall set forth:

&nbsp;&nbsp;&nbsp;&nbsp;&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>Stockholder Information</u>. As to each Nominating Person (as defined below), (A) the name and address of such Nominating Person (including, if applicable, the name and address that appear on the corporation's books and records); and (B) the class or series and number of shares of the corporation that are, directly or indirectly, owned of record or beneficially owned (within the meaning of Rule 13d-3 under the Exchange Act) by each Nominating Person as of the date of the stockholder's notice, except that a Nominating Person shall in all events be deemed to beneficially own any shares of any class or series of the corporation as to which such Nominating Person has a right to acquire beneficial ownership at any time in the future (the disclosures to be made pursuant to the foregoing clauses (A) and (B) are referred to as "***Stockholder Information***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Information About Disclosable Interests</u>. As to each Nominating Person, (A) any derivative, swap or other transaction or series of transactions engaged in, directly or indirectly, by such Nominating Person, the purpose or effect of which is to give such Nominating Person economic risk similar to ownership of shares of any class or series of the corporation, including due to the fact that the value of such derivative, swap or other

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transactions are determined by reference to the price, value or volatility of any shares of any class or series of the corporation, or which derivative, swap or other transactions provide, directly or indirectly, the opportunity to profit from any increase in the price or value of shares of any class or series of the corporation ("***Synthetic Equity Interests***"), which Synthetic Equity Interests shall be disclosed without regard to whether (x) the derivative, swap or other transactions convey any voting rights in such shares to such Nominating Person, (y) the derivative, swap or other transactions are required to be, or are capable of being, settled through delivery of such shares or (z) such Nominating Person may have entered into other transactions that hedge or mitigate the economic effect of such derivative, swap or other transactions, (B) any proxy (other than a revocable proxy or consent given in response to a solicitation made pursuant to, and in accordance with, Section 14(a) of the Exchange Act by way of a solicitation statement filed on Schedule 14A), agreement, arrangement, understanding or relationship pursuant to which such Nominating Person has or shares a right to vote any shares of any class or series of the corporation, (C) any agreement, arrangement, understanding or relationship, including any repurchase or similar so-called "stock borrowing" agreement or arrangement, engaged in, directly or indirectly, by such Nominating Person, the purpose or effect of which is to mitigate loss to, reduce the economic risk (of ownership or otherwise) of shares of any class or series of the corporation by, manage the risk of share price changes for, or increase or decrease the voting power of, such Nominating Person with respect to the shares of any class or series of the corporation, or which provides, directly or indirectly, the opportunity to profit from any decrease in the price or value of the shares of any class or series of the corporation ("***Short Interests***"), (D) any rights to dividends on the shares of any class or series of the corporation owned beneficially by such Nominating Person that are separated or separable from the underlying shares of the corporation, (E) any other information relating to such Nominating Person that would be required to be disclosed in a proxy statement or other filing required to be made in connection with solicitations of proxies or consents by such Nominating Person in support of the election of directors at the meeting pursuant to Section 14(a) of the Exchange Act (the disclosures to be made pursuant to the foregoing clauses (A) through (E) are referred to as "***Disclosable Interests***"); provided, however, that Disclosable Interests shall not include any such disclosures with respect to the ordinary course business activities of any broker, dealer, commercial bank, trust company or other nominee who is a Nominating Person solely as a result of being the stockholder directed to prepare and submit the notice required by these bylaws on behalf of a beneficial owner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) <u>Information About Nominees</u>. As to each person whom a Nominating Person proposes to nominate for election as a director, (A) all information with respect to such proposed nominee that would be required to be set forth in a stockholder's notice pursuant to this <u>Section 2.5(</u>d) if such proposed nominee were a Nominating Person, (B) all information relating to such proposed nominee that is required to be disclosed in a proxy statement or other filings required to be made in connection with solicitations of proxies for election of directors in a contested election pursuant to Section 14(a) under the Exchange Act (including such proposed nominee's written consent to being named in the proxy statement as a nominee and to serving as a director if elected), (C) a description of all direct and indirect compensation and other material monetary agreements, arrangements and understandings during the past three years, and any other material relationships,

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between or among any Nominating Person, on the one hand, and each proposed nominee and his or her respective affiliates and associates, on the other hand, including, without limitation, all information that would be required to be disclosed pursuant to Item 404 under Regulation S-K if such Nominating Person were the "***registrant***" for purposes of such rule and the proposed nominee were a director or executive officer of such registrant; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) <u>Intention on Proxy Deliver</u>y. A representation whether the Nominating Person intends or is part of a group that intends to deliver a proxy statement and solicit the holders of shares representing at least 67% of the voting power of shares entitled to vote on the election of directors in support of director nominees other than the corporation's nominees in accordance with Rule 14a-19 promulgated under the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Definition of Nominatin</u>g <u>Person</u>. For purposes of this <u>Section 2.5</u>, the term "***Nominating Person***" shall mean (i) the stockholder providing the notice of the nomination proposed to be made at the meeting, (ii) the beneficial owner or beneficial owners, if different, on whose behalf the notice of the nomination proposed to be made at the meeting is made and (iii) any participant (as defined in paragraphs (a)(ii)-(vi) of Instruction 3 to Item 4 of Schedule 14A) with such stockholder in such solicitation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Other Information to be Furnished by Proposed Nominees</u>. The corporation may require any proposed nominee to furnish such other information (A) as may reasonably be required by the corporation to determine the eligibility of such proposed nominee to serve as an independent director of the corporation in accordance with the corporation's Corporate Governance Guidelines or (B) that could be material to a reasonable stockholder's understanding of the independence or lack of independence of such proposed nominee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) U<u>pdates and Su</u>p<u>plements</u>. A stockholder providing notice of any nomination proposed to be made at a meeting shall further update and supplement such notice, if necessary, so that the information provided or required to be provided in such notice pursuant to this <u>Section 2.5</u> shall be true and correct as of the record date for the meeting and as of the date that is ten (10) business days prior to the meeting or any adjournment or postponement thereof, and such update and supplement shall be delivered to or mailed and received by the secretary at the principal executive offices of the corporation not later than five (5) business days after the record date for the meeting (in the case of the update and supplement required to be made as of the record date), and not later than eight (8) business days prior to the date for the meeting or (if practicable or, if not practicable, on the first practicable date prior to) any adjournment or postponement thereof (in the case of the update and supplement required to be made as of ten business days prior to the meeting or any adjournment or postponement thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Defective Nominations</u>. No person shall be eligible for election as a director of the corporation at an annual meeting or a special meeting unless nominated in accordance with this <u>Section 2.5</u>. The chair of the meeting shall, if the facts warrant, determine and declare to the meeting that a nomination was not made in accordance with the procedures prescribed by the bylaws, and if he or she should so determine, he or she shall so declare to the meeting and the defective nomination shall be disregarded.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Compliance with Exchan</u>g<u>e Act</u>. In addition to the requirements of this <u>Section 2.5</u> with respect to any nomination proposed to be made at a meeting, each Nominating Person shall comply with all applicable requirements of the Exchange Act with respect to any such nominations. Without limiting the foregoing, no Nominating Person shall solicit proxies in support of director nominees other than the corporation's nominees unless such Nominating Person has, or is part of a group that has, complied with Rule 14a-19 promulgated under the Exchange Act. A Nominating Person's notice in accordance with Rule 14a-19(b) must be provided within the time period for Annual Meeting Timely Notice or Special Meeting Timely Notice, as applicable.

<u>2.6 ADVANCE NOTICE OF STOCKHOLDER BUSINESS</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) (i) <u>Business Properly Brou</u>g<u>ht Before a Meetin</u>g. At the annual meeting of stockholders, only such business shall be conducted as shall have been properly brought before the meeting. To be properly brought before an annual meeting, business must be: (i) as specified in the notice of meeting (or any supplement thereto) given by or at the direction of the board of directors, (ii) otherwise properly brought before the meeting by or at the direction of the board of directors, or (iii) otherwise properly brought before the meeting by a stockholder who (A) was a stockholder of record (and, with respect to any beneficial owner, if different, on whose behalf such business is proposed, only if such beneficial owner was the beneficial owner of shares of the corporation) both at the time of giving the notice provided for in this <u>Section 2.6</u> and at the time of the meeting, (B) is entitled to vote at the meeting, and (C) has complied with this <u>Section 2.6</u> as to such business. Except for proposals properly made in accordance with Rule 14a-8 under the Exchange Act and included in the notice of meeting given by or at the direction of the board of directors, the foregoing clause (iii) shall be the exclusive means for a stockholder to propose business to be brought before an annual meeting of the stockholders. Stockholders seeking to nominate persons for election to the board of directors at an annual meeting or a special meeting must comply with <u>Section 2.5</u>, and this <u>Section 2.6</u> shall not be applicable to nominations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Requirement of Timely Notice of Stockholder Business</u>. Without qualification, for business to be properly brought before an annual meeting by a stockholder, the stockholder must (i) provide Annual Meeting Timely Notice (as defined in <u>Section 2.5</u> above) thereof in writing and in proper form to the secretary of the corporation. In no event shall any adjournment of an annual meeting or the announcement thereof commence a new time period for the giving of Annual Meeting Timely Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Requirements for Proper Form of Stockholder Notice of Proposed Business</u>. To be in proper form for purposes of this <u>Section 2.6</u>, a stockholder's notice to the secretary shall set forth:

&nbsp;&nbsp;&nbsp;&nbsp;&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>Stockholder Information</u>. As to each Proposing Person (as defined below), the Stockholder Information (as defined in <u>Section 2.5(</u>d)(i), except that for the purposes of this <u>Section 2.6</u> the term "***Proposing Person***" shall be substituted for the term "***Nominating Person***" in all places it appears in <u>Section 2.5(</u>d)(i));

&nbsp;&nbsp;&nbsp;&nbsp;&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>Information About Disclosable Interests</u>. As to each Proposing Person, any Disclosable Interests (as defined in <u>Section 2.5(</u>d)(ii), except that for purposes of this <u>Section 2.6</u> the term "***Proposing Person***" shall be substituted for the term "***Nominating*** 

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***Person***" in all places as it appears in <u>Section 2.5(</u>d)(ii) and the disclosures shall be made with respect to the proposal of business to be brought before the meeting rather than to the nomination of directors to be elected at the meeting); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) <u>Description of Proposed Business</u>. As to each item of business that the stockholder proposes to bring before the annual meeting, (A) a reasonably brief description of the business desired to be brought before the annual meeting, the reasons for conducting such business at the annual meeting and any material interest in such business of each Proposing Person, (B) the text of the proposal or business (including the text of any resolutions proposed for consideration and in the event that such business includes a proposal to amend these bylaws, the language of the proposed amendment), and (C) a reasonably detailed description of all agreements, arrangements and understandings (x) between or among any of the Proposing Persons or (y) between or among any Proposing Person and any other record or beneficial holder of the shares of any class or series of the corporation (including their names) in connection with the proposal of such business by such stockholder, including any anticipated benefit therefrom to such Proposing Person or their affiliates or associates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Definition of Proposin</u>g <u>Person</u>. For purposes of this <u>Section 2.6</u>, the term "***Proposing Person***" shall mean (i) the stockholder providing the notice of business proposed to be brought before an annual meeting, (ii) the beneficial owner or beneficial owners, if different, on whose behalf the notice of the business proposed to be brought before the annual meeting is made and (iii) any participant (as defined in paragraphs (a)(ii)-(vi) of Instruction 3 to Item 4 of Schedule 14A) with such stockholder in such solicitation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) U<u>pdates and Su</u>p<u>plements</u>. A stockholder providing notice of business proposed to be brought before an annual meeting shall further update and supplement such notice, if necessary, so that the information provided or required to be provided in such notice pursuant to this <u>Section 2.6</u> shall be true and correct as of the record date for the meeting and as of the date that is ten (10) business days prior to the meeting or any adjournment or postponement thereof, and such update and supplement shall be delivered to, or mailed and received by, the secretary at the principal executive offices of the corporation not later than five (5) business days after the record date for the meeting (in the case of the update and supplement required to be made as of the record date), and not later than eight (8) business days prior to the date for the meeting or (if practicable or, if not practicable, on the first practicable date prior to) any adjournment or postponement thereof (in the case of the update and supplement required to be made as of ten (10) business days prior to the meeting or any adjournment or postponement thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Business Not Properly Brou</u>g<u>ht Before a Meetin</u>g. Notwithstanding anything in these bylaws to the contrary, no business shall be conducted at any annual meeting except in accordance with this <u>Section 2.6</u>. The chair of the annual meeting shall, if the facts warrant, determine and declare at the meeting that business was not properly brought before the meeting and in accordance with the provisions of this <u>Section 2.6</u>, and if he or she should so determine, he or she so shall so declare at the meeting that any business not properly brought before the meeting shall not be transacted.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Rule 14a-8</u>; <u>Exchan</u>g<u>e Act Compliance</u>. This <u>Section 2.6</u> is expressly intended to apply to any business proposed to be brought before an annual meeting of stockholders other than any proposal made pursuant to Rule 14a-8 under the Exchange Act. In addition to the requirements of this <u>Section 2.6</u> with respect to any business proposed to be brought before an annual meeting, each Proposing Person shall comply with all applicable requirements of the Exchange Act with respect to any such business. Nothing in this <u>Section 2.6</u> shall be deemed to affect the rights of stockholders to request inclusion of proposals in the corporation's proxy statement pursuant to Rule 14a-8 under the Exchange Act.

<u>2.7 MANNER OF GIVING NOTICE; AFFIDAVIT OF NOTICE</u>

Written notice of any meeting of stockholders, if mailed, is given when deposited in the United States mail, postage prepaid, directed to the stockholder at his address as it appears on the records of the corporation. An affidavit of the secretary or an assistant secretary or of the transfer agent of the corporation that the notice has been given shall, in the absence of fraud, be prima facie evidence of the facts stated therein. Without limiting the manner by which notices of meetings otherwise may be given effectively to stockholders, any such notice may be given by electronic transmission in the manner provided in Section 232 of the General Corporation Law of the State of Delaware.

<u>2.8 QUORUM</u>

The holders of a majority in voting power of the stock issued and outstanding and entitled to vote thereat, present in person, or by remote communication, if applicable, or represented by proxy, shall constitute a quorum at all meetings of the stockholders for the transaction of business except as otherwise provided by statute or by the certificate of incorporation. A quorum, once established at a meeting, shall not be broken by the withdrawal of enough votes to leave less than a quorum. If, however, such quorum is not present or represented at any meeting of the stockholders, then either (i) the person presiding at the meeting or (ii) a majority in voting power of the stockholders entitled to vote thereat, present in person, or by remote communication, if applicable, or represented by proxy, shall have power to adjourn the meeting from time to time in the manner provided in <u>Section 2.9</u> of these bylaws until a quorum is present or represented. At such adjourned meeting at which a quorum is present or represented, any business may be transacted that might have been transacted at the meeting as originally noticed.

<u>2.9 ADJOURNED MEETING; NOTICE</u>

When a meeting is adjourned to another time or place, unless these bylaws otherwise require, notice need not be given of the adjourned meeting if the time and place, if any, thereof, and the means of remote communications, if any, by which stockholders and proxy holders may be deemed to be present in person and vote at such adjourned meeting are announced at the meeting at which the adjournment is taken or are provided in any other manner permitted by the General Corporation Law of the State of Delaware. At the adjourned meeting the corporation may transact any business that might have been transacted at the original meeting. If the adjournment is for more than thirty (30) days, or if after the adjournment a new record date is fixed for the adjourned meeting, a notice of the adjourned meeting shall be given to each stockholder of record entitled to vote at the meeting. If after the adjournment a new record date for determination of stockholders entitled to vote is fixed for the adjourned meeting, the board of directors shall fix as the record date for

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determining stockholders entitled to notice of such adjourned meeting the same or an earlier date as that fixed for determination of stockholders entitled to vote at the adjourned meeting, and shall give notice of the adjourned meeting to each stockholder of record entitled to vote at such meeting as of the record date so fixed for notice of such adjourned meeting.

<u>2.10 CONDUCT OF BUSINESS</u>

Unless the board of directors shall otherwise determine, meetings of stockholders shall be presided over by the chief executive officer, to the extent he or she is a member of the board of directors, or in his or her absence or at his or her direction by the chair of the board, if any, or in the absence or at the direction of either of the foregoing persons by a chairperson, who shall be a director or officer of the corporation, designated by the board of directors. The secretary shall act as secretary of the meeting, but in his or her absence the chairperson of the meeting may appoint any person to act as secretary of the meeting. The board of directors of the corporation may adopt by resolution such rules and regulations for the conduct of any meeting of the stockholders as it shall deem appropriate. Except to the extent inconsistent with any rules and regulations adopted by the board of directors, the chair of any meeting of stockholders shall determine the order of business and the procedure at the meeting, including such regulation of the manner of voting and the conduct of business.

<u>2.11 VOTING</u>

The stockholders entitled to vote at any meeting of stockholders shall be determined in accordance with the provisions of <u>Section 2.14</u> of these bylaws, subject to the provisions of Sections 217 and 218 of the General Corporation Law of the State of Delaware (relating to voting rights of fiduciaries, pledgers and joint owners of stock and to voting trusts and other voting agreements).

Unless otherwise required by law or provided in the certificate of incorporation, each stockholder shall be entitled to one vote, in person or by proxy, for each share of capital stock held by such stockholder.

<u>2.12 WAIVER OF NOTICE</u>

Notice of any meeting need not be given to any stockholder who shall, either before or after the meeting, submit a waiver of notice or who shall attend such meeting, except when the stockholder attends for the express purpose of objecting, at the beginning of the meeting, to the transaction of any business because the meeting is not lawfully called or convened. Any stockholder waiving notice of a meeting shall be bound by the proceedings of the meeting in all respects as if due notice thereof had been given.

<u>2.13 NO STOCKHOLDER ACTION BY WRITTEN CONSENT WITHOUT A MEETING</u>

Any action required to be taken at any annual or special meeting of stockholders of the corporation, or any action that may be taken at any annual or special meeting of such stockholders, must be taken at an annual or special meeting of stockholders of the corporation, with prior notice and with a vote, and may not be taken by a consent in writing.

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<u>2.14 RECORD DATE FOR STOCKHOLDER NOTICE; VOTING</u>

In order that the corporation may determine the stockholders entitled to notice of or to vote at any meeting of stockholders or any adjournment thereof or entitled to exercise any rights in respect of any change, conversion or exchange of stock or for the purpose of any other lawful action, the board of directors may fix, in advance, a record date, which shall not be more than sixty (60) nor less than ten (10) days before the date of such meeting, nor more than sixty (60) days prior to any other action. If the board of directors so fixes a record date to determine the stockholders entitled to notice of any meeting of stockholders, such date shall also be the record date for determining the stockholders entitled to vote at such meeting unless the board of directors determines, at the time it fixes such record date, that a later date on or before the date of the meeting shall be the date for making such determination.

If the board of directors does not so fix a record date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The record date for determining stockholders entitled to notice of or to vote at a meeting of stockholders shall be at the close of business on the day next preceding the day on which notice is given, or, if notice is waived, at the close of business on the day next preceding the day on which the meeting is held.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The record date for determining stockholders for any other purpose shall be at the close of business on the day on which the board of directors adopts the resolution relating thereto.

A determination of stockholders of record entitled to notice of or to vote at a meeting of stockholders shall apply to any adjournment of the meeting; provided, however, that the board of directors may fix a new record date for the adjourned meeting as provided in Section 2.9 hereof.

<u>2.15 PROXIES</u>

Each stockholder entitled to vote at a meeting of stockholders may authorize another person or persons to act for him by proxy as permitted by law, as amended, filed in accordance with the procedure established for the meeting, but no such proxy shall be voted or acted upon after three years from its date, unless the proxy provides for a longer period. A copy, facsimile transmission, or other reliable reproduction of the proxy authorized by this <u>Section 2.15</u> may be substituted for or used in lieu of the original writing or electronic transmission for any and all purposes for which the original writing or electronic transmission could be used, provided that such copy, facsimile transmission, or other reproduction shall be a complete reproduction of the entire original writing or electronic transmission. A proxy shall be irrevocable if it states that it is irrevocable and if, and only as long as, it is coupled with an interest sufficient in law to support an irrevocable power. Any stockholder directly or indirectly soliciting proxies from other stockholders must use a proxy card color other than white, which shall be reserved for the exclusive use by the board of directors.

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# **ARTICLE III.** <br>**DIRECTORS** 
<u>3.1 POWERS</u>

Subject to the provisions of the General Corporation Law of the State of Delaware and any limitations in the certificate of incorporation or these bylaws relating to action required to be approved by the stockholders or by the outstanding shares, the business and affairs of the corporation shall be managed and all corporate powers shall be exercised by or under the direction of the board of directors.

<u>3.2 NUMBER OF DIRECTORS</u>

The board of directors shall consist of not less than five (5) and not more than nine (9) directors as fixed from time to time by resolution of the board of directors. Each director shall hold office until a successor is duly elected and qualified or until the director's earlier death, resignation, disqualification, or removal.

No reduction of the authorized number of directors shall have the effect of removing any director before that director's term of office expires.

<u>3.3 ELECTION, QUALIFICATION AND TERM OF OFFICE OF DIRECTORS</u>

Directors shall be elected at each annual meeting of the stockholders or special meeting in lieu thereof, and each director, including a director elected to fill a vacancy or newly created directorship, shall serve until his or her successor is duly elected and qualified or until his or her death, resignation or removal.

Each director to be elected by the stockholders shall be elected by the affirmative vote of a majority of the votes cast with respect to such director by the shares represented and entitled to vote therefor at a meeting of the stockholders for the election of directors at which a quorum is present (an "***Election Meeting***"); provided, however, that if the board of directors determines that the number of nominees exceeds the number of directors to be elected at such meeting (a "***Contested Election***"), whether or not the election becomes an uncontested election after such determination, each of the directors to be elected at the Election Meeting shall be elected by the affirmative vote of a plurality of the votes cast by the shares represented and entitled to vote at such meeting with respect to the election of such director.

For purposes of this <u>Section 3.3</u>, a "majority of the votes cast" means that the number of votes cast "for" a candidate for director exceeds the number of votes cast "against" that director (with "abstentions" and "broker non-votes" not counted as votes cast as either "for" or "against" such director's election). In an election other than a Contested Election, stockholders will be given the choice to cast votes "for" or "against" the election of directors or to "abstain" from such vote and shall not have the ability to cast any other vote with respect to such election of directors. In a Contested Election, stockholders will be given the choice to cast "for" or "withhold" votes for the election of directors and shall not have the ability to cast any other vote with respect to such election of directors. In the event an Election Meeting involves the election of directors by separate

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votes by class or classes or series, the determination as to whether an election constitutes a Contested Election shall be made on a class by class or series by series basis, as applicable. The board of directors has established procedures under which any director who is not elected shall offer to tender his or her resignation to the board of directors.

Newly created directorships resulting from any increase in the authorized number of directors or any vacancies in the board of directors resulting from death, resignation, retirement, disqualification, or removal from office may be filled only by a majority vote of the directors then in office even though less than a quorum, or by a sole remaining director, and not by the stockholders. In the event of a vacancy in the board of directors, the remaining directors, except as otherwise provided by law, may exercise the powers of the full board of directors until the vacancy is filled.

Elections of directors need not be by written ballot. There shall be no right with respect to shares of stock of the corporation to cumulate votes in the election of directors.

<u>3.4 PLACE OF MEETINGS; MEETINGS BY TELEPHONE</u>

The board of directors of the corporation may hold meetings, both regular and special, either within or outside the State of Delaware.

Unless otherwise restricted by the certificate of incorporation or these bylaws, members of the board of directors, or any committee designated by the board of directors, may participate in a meeting of the board of directors, or any committee, by means of conference telephone or other communications equipment by means of which all persons participating in the meeting can hear each other, and such participation in a meeting shall constitute presence in person at the meeting.

<u>3.5 REGULAR MEETINGS</u>

Regular meetings of the board of directors may be held without notice at such time and at such place as shall from time to time be determined by the board.

<u>3.6 SPECIAL MEETINGS; NOTICE</u>

Special meetings of the board for any purpose or purposes may be called at any time by the chair of the board, the president, the secretary or a majority of the total number of directors constituting the board of directors.

Notice of the time and place of special meetings shall be given in person or by telephone, mail addressed to such director at such director's address as it appears on the records of the corporation, facsimile, email, or by other means of electronic transmission. Notice is to be provided at least twenty-four (24) hours before the time of the holding of the meeting, unless the notice is mailed. If the notice is mailed, it shall be deposited in the United States mail at least four (4) days before the time of the holding of the meeting. Any oral notice given personally or by telephone may be communicated either to the director or to a person at the office of the director who the person giving the notice has reason to believe will promptly communicate it to the director. The notice need not specify the purpose or the place of the meeting, if the meeting is to be held at the principal executive office of the corporation.

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<u>3.7 QUORUM</u>

At all meetings of the board of directors, a majority of the authorized number of directors shall constitute a quorum for the transaction of business and the act of a majority of the directors present at any meeting at which there is a quorum shall be the act of the board of directors, except as may be otherwise specifically provided by statute or by the certificate of incorporation. If a quorum is not present at any meeting of the board of directors, then the directors present thereat may adjourn the meeting from time to time, without notice other than announcement at the meeting, until a quorum is present. At least twenty-four (24) hours' notice of any adjourned meeting of the board of directors shall be given to each director whether or not present at the time of the adjournment, unless the notice is mailed, in which case it shall be deposited in the United States mail at least four days before the time of the holding of the meeting.

## A meeting at which a quorum is initially present may continue to transact business notwithstanding the withdrawal of directors, if any action taken is approved by at least a majority of the required quorum for that meeting.
<u>3.8 WAIVER OF NOTICE</u>

Whenever notice is required to be given under any provision of the General Corporation Law of the State of Delaware or of the certificate of incorporation or these bylaws, a waiver thereof, in writing signed by, or by electronic transmission by, the person entitled to notice, whether before or after such notice is required, shall be deemed equivalent to notice. Attendance of a person at a meeting shall constitute a waiver of notice of such meeting, except when the person attends a meeting for the express purpose of objecting, at the beginning of the meeting, to the transaction of any business because the meeting is not lawfully called or convened. Neither the business to be transacted at, nor the purpose of, any regular or special meeting of the directors, or members of a committee of directors, need be specified in any waiver of notice unless so required by the certificate of incorporation or these bylaws.

<u>3.9 ORGANIZATION</u>

At each regular or special meeting of the board of directors, the chair of the board or, in his or her absence, the lead independent director or, in his or her absence, another director or officer selected by the board of directors shall preside. The secretary shall act as secretary at each meeting of the board of directors. If the secretary is absent from any meeting of the board of directors, an assistant secretary of the corporation shall perform the duties of secretary at such meeting; and in the absence from any such meeting of the secretary and all assistant secretaries of the corporation, the person presiding at the meeting may appoint any person to act as secretary of the meeting.

<u>3.10 BOARD ACTION BY WRITTEN CONSENT WITHOUT A MEETING</u>

Unless otherwise restricted by the certificate of incorporation or these bylaws, any action required or permitted to be taken at any meeting of the board of directors, or of any committee thereof, may be taken without a meeting if all members of the board or committee, as the case may be, consent thereto in writing or by electronic transmission.

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<u>3.11 FEES AND COMPENSATION OF DIRECTORS</u>

Unless otherwise restricted by the certificate of incorporation or these bylaws, the board of directors shall have the authority to fix the compensation of directors. No such compensation shall preclude any director from serving the corporation in any other capacity and receiving compensation therefor.

<u>3.12 REMOVAL AND RESIGNATION OF DIRECTORS</u>

Any director may resign at any time by notice given in writing or by electronic transmission to the corporation. Any resignation shall take effect at the time specified in that notice or upon the happening of an event specified therein, and if no time or event is specified, at the time of its receipt; and, unless otherwise specified in that notice, the acceptance of the resignation shall not be necessary to make it effective. When one or more directors so resigns and the resignation is effective at a future date or upon the happening of an event to occur on a future date, a majority of the directors then in office, including those who have so resigned, shall have power to fill such vacancy or vacancies, the vote thereon to take effect when such resignation or resignations shall become effective, and each director so chosen shall hold office as provided in <u>Section 3.3</u>.

<u>3.13 CHAIR OF THE BOARD</u>

The chair of the board, if appointed, shall, if present, preside at meetings of the board of directors and exercise and perform such other powers and duties as may from time to time be assigned to him or her by the board of directors or as may be prescribed by these bylaws. The chair of the board shall be a member of the board of directors.

# **ARTICLE IV.** <br>**COMMITTEES** 
<u>4.1 COMMITTEES OF DIRECTORS</u>

The board of directors may, by resolution passed by a majority of the whole board or as specified in these bylaws, designate one or more committees, with each committee to consist of one or more of the directors of the corporation. The board may designate one or more directors as alternate members of any committee, who may replace any absent or disqualified member at any meeting of the committee. If a member of a committee shall be absent from any meeting, or disqualified from voting thereat, the remaining member or members present at the meeting and not disqualified from voting, whether or not such member or members constitute a quorum, may unanimously appoint another member of the board of directors to act at the meeting in the place of any such absent or disqualified member. Any such committee, to the extent provided in the resolution of the board of directors or in these bylaws, shall have and may exercise all the powers and authority of the board of directors in the management of the business and affairs of the corporation, and may authorize the seal of the corporation to be affixed to all papers that may require it; but no such committee shall have the power or authority to (i) approve or adopt, or recommend to the stockholders, any action or matter expressly required by the General Corporation Law of the State of Delaware to be submitted to stockholders for approval, or (ii) adopt, amend or repeal any bylaw of the corporation.

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<u>4.2 COMMITTEE MINUTES</u>

Each committee shall keep regular minutes of its meetings and report the same to the board of directors when required.

<u>4.3 MEETINGS AND ACTION OF COMMITTEES</u>

Meetings and actions of committees shall be governed by, and held and taken in accordance with, the provisions of <u>Article III</u> of these bylaws, <u>Section 3.4</u> (Place of Meetings; Meetings by Telephone), <u>Section 3.5</u> (Regular Meetings), <u>Section 3.6</u> (Special Meetings; Notice), <u>Section 3.8</u> (Waiver of Notice) and <u>Section 3.10</u> (Board Action by Written Consent Without a Meeting), with such changes in the context of those bylaws as are necessary to substitute the committee and its members for the board of directors and its members; provided, however, that the time of regular meetings of committees may also be called by resolution of the board of directors and that notice of special meetings of committees shall also be given to all alternate members, who shall have the right to attend all meetings of the committee. The board of directors may make, alter and repeal rules and procedures for the conduct of the business of any committee not inconsistent with the provisions of these bylaws.

<u>4.4 QUORUM</u>

At all committee meetings, unless otherwise provided by the certificate of incorporation, a majority of the directors then serving on such committee shall constitute a quorum for the transaction of business. The vote of a majority of the directors present at any meeting at which a quorum is present shall be the act of the committee, except as may be otherwise specifically provided by statute, the certificate of incorporation or these bylaws.

# **ARTICLE V.** <br>**OFFICERS** 
<u>5.1 OFFICERS</u>

The officers of the corporation shall be a chief executive officer, a president, one or more vice presidents, a secretary and a chief financial officer. The corporation may also have, at the discretion of the board of directors, a treasurer, one or more assistant vice presidents, assistant secretaries and any such other officers as may be appointed in accordance with the provisions of <u>Section 5.3</u> of these bylaws. Any number of offices may be held by the same person.

<u>5.2 APPOINTMENT OF OFFICERS</u>

The officers of the corporation, except such officers as may be appointed in accordance with the provisions of <u>Sections 5.3</u> or <u>5.5</u> of these bylaws, shall be chosen by the board of directors, subject to the rights, if any, of an officer under any contract of employment.

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<u>5.3 SUBORDINATE OFFICERS</u>

The board of directors may appoint, or empower the chief executive officer or president to appoint, such other officers and agents as the business of the corporation may require, each of whom shall hold office for such period, have such authority, and perform such duties as are provided in these bylaws or as the board of directors may from time to time determine.

<u>5.4 REMOVAL AND RESIGNATION OF OFFICERS</u>

Subject to the rights, if any, of an officer under any contract of employment, any officer may be removed, either with or without cause, by an affirmative vote of the majority of the board of directors at any regular or special meeting of the board or, except in the case of an officer chosen by the board of directors, by any officer upon whom such power of removal may be conferred by the board of directors.

Any officer may resign at any time by giving written notice to the corporation. Any resignation shall take effect on the date of the receipt of that notice or at any later time specified in that notice; and, unless otherwise specified in that notice, the acceptance of the resignation shall not be necessary to make it effective. Any resignation is without prejudice to the rights, if any, of the corporation under any contract to which the officer is a party.

<u>5.5 VACANCIES IN OFFICES</u>

Any vacancy occurring in any office of the corporation shall be filled by the board of directors.

<u>5.6 CHIEF EXECUTIVE OFFICER</u>

The chief executive officer shall, subject to the provisions of these bylaws and the control of the board of directors, have general supervision, direction, and control over the business of the corporation and over its officers. The chief executive officer shall perform all duties incident to the office of the chief executive officer, and any other duties as may be from time to time assigned to the chief executive officer by the board of directors, in each case subject to the control of the board of directors.

<u>5.7 PRESIDENT</u>

The president shall report and be responsible to the chief executive officer. The president shall have such powers and perform such duties as from time to time may be assigned or delegated to the president by the board of directors or the chief executive officer or that are incident to the office of president.

<u>5.8 VICE PRESIDENTS</u>

Each vice president of the corporation shall have such powers and perform such duties as may be assigned to him or her from time to time by the board of directors, the chief executive officer, or the president, or that are incident to the office of vice president.

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<u>5.9 SECRETARY</u>

The secretary shall keep or cause to be kept, at the principal executive office of the corporation or such other place as the board of directors may direct, a book of minutes of all meetings and actions of directors, committees of directors and stockholders. The minutes shall show the time and place of each meeting, whether regular or special (and, if special, how authorized and the notice given), the names of those present at directors' meetings or committee meetings, the number of shares present or represented at stockholders' meetings, and the proceedings thereof.

The secretary shall keep, or cause to be kept, at the principal executive office of the corporation or at the office of the corporation's transfer agent or registrar, as determined by resolution of the board of directors, a share register, or a duplicate share register, showing the names of all stockholders and their addresses, the number and classes of shares held by each, the number and date of certificates evidencing such shares, and the number and date of cancellation of every certificate surrendered for cancellation.

The secretary shall give, or cause to be given, notice of all meetings of the stockholders and of the board of directors required to be given by law or by these bylaws. He or she shall keep the seal of the corporation, if one be adopted, in safe custody and shall have such other powers and perform such other duties as may be prescribed by the board of directors or by these bylaws.

<u>5.10 CHIEF FINANCIAL OFFICER</u>

The chief financial officer shall be the principal financial officer of the corporation and shall have such powers and perform such duties as may be assigned by the board of directors, the chair of the board, or the chief executive officer.

<u>5.11 TREASURER</u>

The treasurer of the corporation shall have the custody of the corporation's funds and securities, except as otherwise provided by the board of directors, and shall keep full and accurate accounts of receipts and disbursements in records belonging to the corporation and shall deposit all moneys and other valuable effects in the name and to the credit of the corporation in such depositories as may be designated by the board of directors. The treasurer shall disburse the funds of the corporation as may be ordered by the board of directors, taking proper vouchers for such disbursements, and shall render to the chief executive officer and the president and the directors, at the regular meetings of the board of directors, or whenever they may require it, an account of all his or her transactions as treasurer and of the financial condition of the corporation.

<u>5.12 AUTHORITY AND DUTIES OF OFFICERS</u>

In addition to the foregoing authority and duties, all officers of the corporation shall respectively have such authority and perform such duties in the management of the business of the corporation as may be designated from time to time by the board of directors or the stockholders.

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# **ARTICLE VI.** <br>**INDEMNITY** 
<u>6.1 INDEMNIFICATION OF DIRECTORS AND OFFICERS</u>

The corporation shall, to the maximum extent and in the manner permitted by applicable law as it presently exists or may hereafter be amended, indemnify and hold harmless each of its directors and officers against expenses (including attorneys' fees), judgments, fines, settlements, and other amounts actually and reasonably incurred in connection with any proceeding, whether civil, criminal, administrative, or investigative, arising by reason of the fact that such person is or was an agent of the corporation. For purposes of this <u>Section 6.1</u>, a "director" or "officer" of the corporation includes any person (i) who is or was a director or officer of the corporation, (ii) who is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise or (iii) who was a director or officer of a corporation which was a predecessor corporation of the corporation or of another enterprise at the request of such predecessor corporation. Notwithstanding this <u>Section 6.1</u>, the corporation shall be required to indemnify a director or officer in connection with a proceeding (or part thereof) commenced by such person only if the commencement of such proceeding (or part thereof) by the person was authorized in the specific case by the board of directors.

<u>6.2 INDEMNIFICATION OF OTHERS</u>

The corporation shall have the power, to the extent and in the manner permitted by applicable law as it presently exists or may hereafter be amended, to indemnify and hold harmless each of its employees and agents (other than directors and officers) against expenses (including attorneys' fees), judgments, fines, settlements and other amounts actually and reasonably incurred in connection with any proceeding, arising by reason of the fact that such person is or was an agent of the corporation. For purposes of this <u>Section 6.2</u>, an "employee" or "agent" of the corporation (other than a director or officer) includes any person (i) who is or was an employee or agent of the corporation, (ii) who is or was serving at the request of the corporation as an employee or agent of another corporation, partnership, joint venture, trust or other enterprise or (iii) who was an employee or agent of a corporation which was a predecessor corporation of the corporation or of another enterprise at the request of such predecessor corporation.

<u>6.3 PAYMENT OF EXPENSES IN ADVANCE</u>

Expenses incurred in defending any action or proceeding for which indemnification is required pursuant to <u>Section 6.1</u> or for which indemnification is permitted pursuant to <u>Section 6.2</u> following authorization thereof by the board of directors shall be paid by the corporation in advance of the final disposition of such action or proceeding upon receipt of an undertaking by or on behalf of the indemnified party to repay such amount if it shall ultimately be determined that the indemnified party is not entitled to be indemnified as authorized in this <u>Article VI</u>.

<u>6.4 INDEMNITY NOT EXCLUSIVE</u>

The indemnification provided by this <u>Article VI</u> shall not be deemed exclusive of any other rights which those seeking indemnification may be entitled under any bylaw, agreement, vote of

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stockholders or disinterested directors or otherwise, both as to action in an official capacity and as to action in another capacity while holding such office, to the extent that additional rights to indemnification are authorized in the certificate of incorporation. The corporation is specifically authorized to enter into individual contracts with any or all of its directors, officers, employees, or agents respecting indemnification and advances, to the fullest extent not prohibited by applicable law as it presently exists or may hereafter be amended.

<u>6.5 INSURANCE</u>

The corporation may purchase and maintain insurance on behalf of any person who is or was a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise against any liability asserted against him or her and incurred by him or her in any such capacity, or arising out of his or her status as such, whether or not the corporation would have the power to indemnify him or her against such liability under the provisions of the General Corporation Law of the State of Delaware.

<u>6.6 CONFLICTS</u>

No indemnification or advance shall be made under this <u>Article VI</u>, except where such indemnification or advance is mandated by law or the order, judgment or decree of any court of competent jurisdiction, in any circumstance where it appears:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) that it would be inconsistent with a provision of the certificate of incorporation, these bylaws, a resolution of the stockholders or an agreement in effect at the time of the accrual of the alleged cause of the action asserted in the proceeding in which the expenses were incurred or other amounts were paid, which prohibits or otherwise limits indemnification; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) that it would be inconsistent with any condition expressly imposed by a court in approving a settlement.

# **ARTICLE VII.** <br>**RECORDS AND REPORTS** 
<u>7.1 MAINTENANCE AND INSPECTION OF RECORDS</u>

Any records administered by or on behalf of the corporation in the regular course of its business, including its stock ledger, books of account, and minute books, may be maintained on any information storage device, method, or one or more electronic networks or databases (including one or more distributed electronic networks or databases); provided that the records so kept can be converted into clearly legible paper form within a reasonable time, and, with respect to the stock ledger, the records so kept comply with Section 224 of the General Corporation Law of the State of Delaware. The Corporation shall so convert any records so kept upon the request of any person entitled to inspect such records pursuant to applicable law.

The officer who has charge of the stock ledger of a corporation shall prepare and make, no later than the tenth (10th) day before each meeting of stockholders, a complete list of the stockholders

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entitled to vote at the meeting, arranged in alphabetical order, and showing the address of each stockholder and the number of shares registered in the name of each stockholder; provided, that the corporation shall not be required to include electronic mail addresses or other electronic contact information on such list. Such list shall be open to the examination of any stockholder, for any purpose germane to the meeting, during ordinary business hours, for a period of ten (10) days ending on the day before the meeting date: (a) on a reasonably accessible electronic network; provided that the information required to gain access to such list was provided with the notice of the meeting; or (b) during ordinary business hours, at the principal place of business of the corporation. In the event that the corporation determines to make the list available on an electronic network, the corporation may take reasonable steps to ensure that such information is available only to stockholders of the corporation. Except as provided by applicable law, the stock ledger of the corporation shall be the only evidence as to who are the stockholders entitled to examine the stock ledger and the list of stockholders or to vote in person or by proxy at any meeting of stockholders.

# **ARTICLE VIII.** <br>**GENERAL MATTERS** 
<u>8.1 CHECKS</u>

From time to time, the board of directors shall determine by resolution which person or persons may sign or endorse all checks, drafts, other orders for payment of money, notes or other evidences of indebtedness that are issued in the name of or payable to the corporation, and only the persons so authorized shall sign or endorse those instruments.

<u>8.2 EXECUTION OF CORPORATE CONTRACTS AND INSTRUMENTS</u>

The board of directors, except as otherwise provided in these bylaws, may authorize any officer or officers, or agent or agents, to enter into any contract or execute any instrument in the name of and on behalf of the corporation; such authority may be general or confined to specific instances. Unless so authorized or ratified by the board of directors or within the agency power of an officer, no officer, agent or employee shall have any power or authority to bind the corporation by any contract or engagement or to pledge its credit or to render it liable for any purpose or for any amount.

<u>8.3 STOCK CERTIFICATES</u>

The shares of a corporation shall be represented by certificates; provided that the board of directors of the corporation may provide by resolution or resolutions that some or all of any or all classes or series of its stock shall be uncertificated shares that may be evidenced by a book-entry system maintained by the registrar of such stock. Any such resolution shall not apply to shares represented by a certificate until such certificate is surrendered to the corporation. Every holder of stock represented by certificates shall be entitled to have a certificate signed by, or in the name of the corporation by the chair or vice chair of the board of directors, or the president or vice president, and by the secretary or an assistant secretary, or the treasurer, if there be one, of such corporation representing the number of shares registered in certificate form. Any or all of the signatures on the

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certificate may be a facsimile. In case any officer, transfer agent or registrar who has signed or whose facsimile signature has been placed upon a certificate has ceased to be such officer, transfer agent or registrar before such certificate is issued, it may be issued by the corporation with the same effect as if he were such officer, transfer agent or registrar at the date of issue.

<u>8.4 SPECIAL DESIGNATION ON CERTIFICATES</u>

If the corporation is authorized to issue more than one class of stock or more than one series of any class, then the powers, the designations, the preferences and the relative, participating, optional or other special rights of each class of stock or series thereof and the qualifications, limitations or restrictions of such preferences and/or rights shall be set forth in full or summarized on the face or back of the certificate that the corporation shall issue to represent such class or series of stock; provided, however, that, except as otherwise provided in Section 202 of the General Corporation Law of the State of Delaware, in lieu of the foregoing requirements there may be set forth on the face or back of the certificate that the corporation shall issue to represent such class or series of stock a statement that the corporation will furnish without charge to each stockholder who so requests the powers, the designations, the preferences and the relative, participating, optional or other special rights of each class of stock or series thereof and the qualifications, limitations or restrictions of such preferences and/or rights.

<u>8.5 LOST CERTIFICATES</u>

Except as provided in this <u>Section 8.5</u>, no new certificates for shares shall be issued to replace a previously issued certificate unless the latter is surrendered to the corporation and canceled at the same time. The corporation may issue a new certificate of stock or uncertificated shares in the place of any certificate theretofore issued by it, alleged to have been lost, stolen or destroyed, and the corporation may require the owner of the lost, stolen or destroyed certificate, or his legal representative, to give the corporation a bond sufficient to indemnify it against any claim that may be made against it on account of the alleged loss, theft or destruction of any such certificate or the issuance of such new certificate or uncertificated shares.

<u>8.6 CONSTRUCTION; DEFINITIONS</u>

Unless the context requires otherwise, the general provisions, rules of construction, and definitions in the General Corporation Law of the State of Delaware shall govern the construction of these bylaws. Without limiting the generality of this provision, the singular number includes the plural, the plural number includes the singular, and the term "person" includes both a corporation and a natural person.

<u>8.7 DIVIDENDS</u>

The directors of the corporation, subject to any restrictions contained in the certificate of incorporation, may declare and pay dividends upon the shares of its capital stock pursuant to the General Corporation Law of the State of Delaware. Dividends may be paid in cash, in property or in shares of the corporation's capital stock. The directors of the corporation may set apart out of any of the funds of the corporation available for dividends a reserve or reserves for any proper purpose and may abolish any such reserve. Such purposes shall include but not be limited to

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equalizing dividends, repairing or maintaining any property of the corporation, and meeting contingencies.

<u>8.8 FISCAL YEAR</u>

The fiscal year of the corporation shall be fixed by resolution of the board of directors and may be changed by the board of directors.

<u>8.9 SEAL</u>

The seal of the corporation, if any, shall be such as from time to time may be approved by the board of directors. The seal may be used by causing it or a facsimile thereof to be impressed or affixed or reproduced or otherwise, as may be prescribed by law or custom or by the board of directors.

<u>8.10 TRANSFER OF STOCK</u>

Upon surrender to the corporation or the transfer agent of the corporation of a certificate for shares duly endorsed or accompanied by proper evidence of succession, assignation or authority to transfer, it shall be the duty of the corporation to issue a new certificate to the person entitled thereto, cancel the old certificate, and record the transaction in its books.

<u>8.11 STOCK TRANSFER AGREEMENTS</u>

The corporation shall have power to enter into and perform any agreement with any number of stockholders of any one or more classes of stock of the corporation to restrict the transfer of shares of stock of the corporation of any one or more classes owned by such stockholders in any manner not prohibited by the General Corporation Law of the State of Delaware.

<u>8.12 REGISTERED STOCKHOLDERS</u>

The corporation shall be entitled to recognize the exclusive right of a person registered on its books as the owner of shares to receive dividends and to vote as such owner, shall be entitled to hold liable for calls and assessments the person registered on its books as the owner of shares, and shall not be bound to recognize any equitable or other claim to or interest in such share or shares on the part of another person, whether or not it shall have express or other notice thereof, except as otherwise provided by the laws of the State of Delaware.

# **ARTICLE IX.** <br>**AMENDMENTS** 
<u>9.1 AMENDMENTS</u>

The original or other bylaws of the corporation may be adopted, amended or repealed by the holders of not less than a majority of the shares then entitled to vote at an election of directors; provided, however, that the corporation may, in its certificate of incorporation, confer the power to adopt, amend or repeal bylaws upon the directors; and provided further, that any proposal by a

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stockholder to amend these bylaws will be subject to the provisions of <u>ARTICLE II</u> of these bylaws except as otherwise required by law. The fact that such power has been so conferred upon the directors shall not divest the stockholders of the power, nor limit their power, to adopt, amend or repeal bylaws.

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## Exhibit 10.1

**Exhibit 10.1**

***GLOBAL***

**XPERI INC.** 

**2022 EQUITY INCENTIVE PLAN**

**RESTRICTED STOCK UNIT AWARD GRANT NOTICE AND <br>RESTRICTED STOCK UNIT AWARD AGREEMENT**

Xperi Inc., a Delaware corporation (the "***Company***"), pursuant to its 2022 Equity Incentive Plan (the "***Plan***"), hereby grants to the holder listed below ("***Participant***"), an award of restricted stock units ("***RSUs***" or "***Restricted Stock Units***") representing a right to receive a number of shares of the Company's common stock, par value $0.001 (the "***Shares***"). This award for RSUs (this "***Award***") is subject to all of the terms and conditions as set forth herein and in the Restricted Stock Unit Award Agreement attached hereto as <u>Exhibit A</u> (the "***RSU Agreement***") and the Plan, each of which are incorporated herein by reference. Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings in this Grant Notice and the RSU Agreement.

**Participant:**

**Employee ID:**

**Grant Date:**

**Vesting Commencement Date:**

**Total Number of RSUs:**

**Vesting Schedule:** The Award shall vest as set forth on <u>Exhibit B</u> attached hereto.

**Distribution Schedule:** The RSUs shall be distributable as they vest pursuant to the Vesting Schedule in accordance with Section 2.1(c) of the RSU Agreement.

**ELECTRONIC ACCEPTANCE OF AWARD:**

Please read this Grant Notice, the Plan and the RSU Agreement carefully, each of which are posted on www.etrade.com. If Participant does not wish to receive this Award and/or does not consent and agree to the terms and conditions on which this Award is offered, as set forth in this Grant Notice, the Plan and the RSU Agreement, then Participant <u>must</u> reject the Award by notifying the Company at StockAdministration@xperi.com no later than 4 months after the Grant Date, in which case the Award will be cancelled. Participant's failure to notify the Company of the rejection of the Award within this specified period will constitute Participant's acceptance of the Award and Participant's agreement with all terms and conditions of the Award, as set forth in this Grant Notice, the Plan and the RSU Agreement.

By accepting the Award, Participant agrees to be bound by the terms and conditions of the Plan, the RSU Agreement and this Grant Notice. Participant acknowledges that Participant has reviewed the RSU Agreement, the Plan and this Grant Notice in their entirety and has had an opportunity to obtain the advice of counsel and fully understands all provisions of this Grant Notice, the RSU Agreement and the Plan, including the special provisions for Participant's country of residence, if any, attached hereto as

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<u>Exhibit C</u>. Participant further acknowledges that Participant has been provided with a copy of the prospectus for the Plan. Participant hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator of the Plan upon any questions arising under the Plan, this Grant Notice or the RSU Agreement. Below are instructions on how to access the Plan and the prospectus:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.** **Log into your E\*TRADE account.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.** **Click on Employee Stock Plans.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Click on Company Info.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.** **Click on Documents.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Click on 2022 Plan.**

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**EXHIBIT A**

**XPERI INC.**

**RESTRICTED STOCK UNIT AWARD AGREEMENT**

Pursuant to the Restricted Stock Unit Award Grant Notice (the "***Grant Notice***") to which this Restricted Stock Unit Award Agreement (this "***RSU Agreement***") is attached, Xperi Inc., a Delaware corporation (the "***Company***"), has granted to Participant the number of RSUs under the Company's 2022 Equity Incentive Plan (the "***Plan***") as set forth in the Grant Notice.

**Article I** **<u><br>GENERAL</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1<u>Definitions</u>. All capitalized terms used in this RSU Agreement without definition shall have the meanings ascribed in the Plan and the Grant Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2<u>Incorporation of Terms of Plan</u>. The Award and this RSU Agreement are subject to the Plan, the terms and conditions of which are incorporated herein by reference. In the event of any inconsistency between the Plan and this RSU Agreement, the terms of the Plan shall control.

**Article II** **<u><br>RSU AWARD</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1<u>RSU Award</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>Award</u>. The Company hereby grants to Participant the number of RSUs set forth in the Grant Notice, subject to all of the terms and conditions set forth in this RSU Agreement, the Grant Notice and the Plan. Each RSU represents the right to receive one Share. Participant is a Service Provider. Prior to actual issuance of any Shares, the Award represents an unsecured obligation of the Company, payable only from the general 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;(b)<u>Vesting</u>. The RSUs shall vest in accordance with the Vesting Schedule set forth in the Grant Notice. Unless and until the RSUs have vested in accordance with the Vesting Schedule set forth in the Grant Notice, Participant will have no right to any distribution with respect to such RSUs. In the event Participant ceases to be a Service Provider for any reason prior to the vesting of all of the RSUs, any unvested RSUs will terminate automatically without any further action by the Company and be forfeited without further notice and at no cost to the Company. For purposes of this RSU Agreement, Participant shall be deemed to cease to be a Service Provider on the date on which Participant ceases to actively provide services, which shall not be extended by any notice period, whether mandated or implied under local law during which Participant is not actually employed (e.g., garden leave or similar leave) or during or for which Participant receives pay in lieu of notice or severance pay, unless otherwise agreed to in writing by the Company. The Company shall have the sole discretion to determine when Participant is no longer a Service Provider for purposes of the Award without reference to any other agreement, written or oral, including Participant's contract of employment, if applicable.

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Notwithstanding the foregoing, and subject to applicable law, during any authorized leave of absence, the vesting of RSUs provided in the Vesting Schedule set forth in the Grant Notice shall be suspended (to the extent permitted under Section 409A) after the leave of absence exceeds a period of twelve (12) months and shall be extended by the length of the suspension. Vesting of the RSUs shall resume upon Participant's termination of the leave of absence and return to service to the Company or any Parent or Subsidiary of the Company. An authorized leave of absence shall include sick leave, military leave or other bona fide leave of absence approved by the Company (or, if Participant is an executive officer, by the Administrator).

&nbsp;&nbsp;&nbsp;&nbsp;&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>Distribution of 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Shares shall be distributed to Participant (or in the event of Participant's death, to Participant's estate) with respect to such Participant's vested RSUs granted to Participant pursuant to this RSU Agreement, subject to the terms and provisions of the Plan and this RSU Agreement, within thirty (30) days following each vesting date as the RSUs vest pursuant to the Vesting Schedule set forth in the Grant 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;&nbsp;&nbsp;&nbsp;&nbsp;(ii)All distributions shall be made by the Company in the form of whole 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;(d)<u>Generally</u>. Shares issued under the Award shall be issued to Participant or Participant's beneficiaries, as the case may be, at the sole discretion of the Administrator, in either (i) uncertificated form, with the Shares recorded in the name of Participant in the books and records of the Company's transfer agent with appropriate notations regarding the restrictions on transfer imposed pursuant to this RSU Agreement; or (ii) certificate form.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2<u>Tax Indemnity; Tax Withholding</u>. Notwithstanding any other provision of this RSU 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;(a)Participant acknowledges and agrees that, regardless of any action taken by the Company or, if different, Participant's employer or any Parent or Subsidiary to which Participant provides service (the "***Service Recipient***"), the ultimate liability for any federal, state, local, and foreign income taxes, employment taxes, social insurance, social security, national insurance contributions, other contributions, fringe benefits tax, payroll taxes, levies, payment on account obligations or other tax related items related to Participant's participation in the Plan and legally applicable to Participant ("***Tax Related Items***") is and remains the Participant's responsibility and may exceed the amount actually withheld (if any) by the Company or the Service Recipient. No Shares shall be issued or delivered to Participant or Participant's legal representative unless and until Participant or Participant's legal representative shall have paid to the Company the full amount of any Tax Withholding Liability (as defined below). Participant acknowledges that the Company and/or the Service Recipient (i) make no representations or undertakings regarding the treatment of any Tax Related Items in connection with any aspect of the RSUs, including the grant, vesting or settlement of the RSUs, and the subsequent sale of any Shares acquired at settlement; and (ii) do not commit to structure the terms of the grant or any aspect of the RSUs to reduce or eliminate Participant's liability for any Tax Related Items. Further, if Participant is subject to taxation in more than one jurisdiction, Participant acknowledges that the Company or the Service Recipient (or former service recipient, as applicable) may be required to withhold, collect or account for Tax Withholding Liability (if any) in more than one 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;(b)Prior to any relevant taxable or tax withholding event, as applicable, Participant agrees to make adequate arrangements satisfactory to the Company or the Service Recipient to satisfy all Tax Related Items. The Company and the Service Recipient, and their respective agents, shall be entitled

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to satisfy any applicable Tax Withholding Liability according to the requirements under applicable laws, rules and regulations, including withholding taxes at source. Until such time as the Company determines otherwise, Participant authorizes the Company or its agent to satisfy any applicable Tax Withholding Liability by withholding a number of vested Shares otherwise issuable pursuant to the RSUs. In the event of over-withholding, Participant may receive a refund of any over-withheld amount in cash (with no entitlement to the equivalent in Shares), or if not refunded, Participant may seek a refund from the local tax authorities to the extent Participant wishes to recover any over-withheld amounts in the form of a refund. If Shares are withheld to cover any applicable Tax Withholding Liability, then for tax purposes Participant will be deemed to have been issued the full number of Shares with respect to the related RSUs notwithstanding that a number of Shares are held back for purposes of paying any Tax Withholding Liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Company may withhold or account for Tax Related Items and any applicable Tax Withholding Obligation by considering statutory or other withholding rates, including minimum or maximum rates applicable in Participant's jurisdiction(s). In the event that the Company determines, in its discretion, that withholding in Shares is problematic, then Participant authorizes and directs the Company and/or the Service Recipient, or their respective agents, at their discretion, to satisfy any applicable Tax Withholding Liability by (i) withholding from proceeds of the sale of Shares acquired upon settlement of the RSUs either through a voluntary sale or through a mandatory sale arranged by the Company (on Participant's behalf pursuant to this authorization without further consent); (ii) requiring Participant to make a cash payment in a form acceptance to the Company; (iii) withholding from Participant's wages or other cash compensation paid to Participant; and/or (iv) any other method of withholding determined by the Company and, to the extent required by applicable law, approved by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)For purposes of this RSU Agreement, "***Tax Withholding Liability***" shall mean any Tax Related Item that the Company or the Service Recipient is required to withhold, collect or account for that may arise as a result of (w) the grant, vesting or settlement of the RSU, (x) the issuance to Participant of Shares on the vesting or settlement of the RSU, (y) the disposition of any Shares that were the subject of the RSU, or (z) any other transactions contemplated by this RSU Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3<u>Conditions to Issuance of Certificates</u>. The Company shall not be required to issue or deliver any certificate or certificates for any Shares prior to the fulfillment of all of the following conditions: (a) the admission of the Shares to listing on all stock exchanges on which such Shares are then listed, (b) the completion of any registration or other qualification of the Shares under any state, federal or foreign law or under rulings or regulations of the U.S. Securities and Exchange Commission or other governmental regulatory body, which the Administrator shall, in its sole and absolute discretion, deem necessary and advisable, (c) the obtaining of any approval or other clearance from any state, federal or foreign governmental agency that the Administrator shall, in its absolute discretion, determine to be necessary or advisable, (d) the lapse of any such reasonable period of time following the date the RSUs vest as the Administrator may from time to time establish for reasons of administrative convenience, and (e) Participant's satisfaction of Participant's obligations under Section 2.2.

**Article III** **<u><br></u>**<br> **<u>OTHER PROVISIONS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1<u>Tax Representations</u>. Participant has reviewed with Participant's own tax advisors the federal, state, local and foreign tax consequences of this investment and the transactions contemplated by the Grant Notice and this RSU Agreement. Participant is relying solely on such advisors and not on any statements or representations of the Company or any Parent Subsidiary or any of their agents. Participant understands that Participant (and not the Company or any Parent or Subsidiary) shall be responsible for

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Participant's own Tax Related Items that may arise as a result of this investment or the transactions contemplated by this RSU Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2<u>RSUs Not Transferable</u>. None of the Award and the rights conveyed hereunder, including the right to receive Shares upon the vesting of the RSUs, or any interest or right therein or part thereof shall be subject to disposition by transfer, alienation, anticipation, pledge, encumbrance, assignment or any other means whether such disposition be voluntary or involuntary or by operation of law by judgment, levy, attachment, garnishment or any other legal or equitable proceedings (including bankruptcy), and any attempted disposition thereof shall be null and void and of no effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3<u>Rights as Shareholder</u>. Neither Participant nor any person claiming under or through Participant shall have any of the rights or privileges of a shareholder of the Company in respect of any Shares issuable hereunder unless and until certificates representing such Shares (which may be in uncertificated form) will have been issued and recorded on the books and records of the Company or its transfer agents or registrars, and delivered to Participant (including through electronic delivery to a brokerage account). After such issuance, recordation and delivery, Participant shall have all the rights of a shareholder of the Company, including with respect to the right to vote the Shares and the right to receive any cash or share dividends or other distributions paid to or made with respect to the Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4<u>Not a Contract of Employment</u>. Notwithstanding any other provision of this RSU Agreement or the Plan, Participant acknowledges, understands, and agrees to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Plan is established voluntarily by the Company, the grant of awards under the Plan is made at the discretion of the Committee and the Plan may be modified, amended, suspended or terminated by the Company at any time. All decisions with respect to future awards, if any, will be at the sole discretion of the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&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)Participant is voluntarily participating in the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Plan shall not be interpreted to form or amend part of any contract of employment or service between the Company or the Service Recipient and Participant, and neither the grant of RSUs nor any provision of this RSU Agreement, the Plan or the policies adopted pursuant to the Plan confer upon Participant any right with respect to employment or service or continuation of current employment or service or the ability of the Company or the Service Recipient to terminate Participant's employment or service;

&nbsp;&nbsp;&nbsp;&nbsp;&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)Participant has no right or entitlement to be granted an Award or any expectation that an Award might be made to Participant, whether subject to any conditions or at all;

&nbsp;&nbsp;&nbsp;&nbsp;&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 grant of the Award is exceptional, voluntary and occasional and does not create any contractual or other right to receive future grants of RSUs, or benefits in lieu of RSUs, even if RSUs have been granted in the past;

&nbsp;&nbsp;&nbsp;&nbsp;&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 rights or opportunity granted to Participant on the making of an Award, and the income from and value of same, shall not give Participant any rights or additional rights in respect of any pension scheme operated by the Company or the Service Recipient;

&nbsp;&nbsp;&nbsp;&nbsp;&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 RSUs and the Shares acquired under the Plan, and the income from and value of same, are not intended to replace any pension rights or compensation;

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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)The Award, and the income from and value of same, is outside the scope of Participant's employment or service contract, if any;

&nbsp;&nbsp;&nbsp;&nbsp;&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 Award, and the income from and value of same, is not part of normal or expected compensation for purposes of calculating any severance, resignation, redundancy, end of service payments, termination indemnities, payment in lieu of notice, holiday pay, bonuses, long-service awards, pension or retirement benefits, welfare benefits or similar 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;(j)The future value of the Shares subject to the RSUs is unknown, indeterminable and cannot be predicted with certainty, and no claim or entitlement to compensation or damages shall arise if the Shares do not increase in value, and Participant irrevocably releases the Service Recipient, their affiliates and third party vendors from any such claim that does arise;

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company and the Service Recipient shall not be liable for any foreign exchange rate fluctuation between Participant's local currency and the United States Dollar that may affect the value of the RSUs or the Shares or of any amounts due to Participant upon the sale of 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;(l)Unless otherwise agreed with the Company in writing, the RSUs and the Shares subject to the RSUs, and the income and value of same, are not granted as consideration for, or in connection with, the service Participant may provide as a director of a 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;(m)Participant shall have no rights, claim or entitlement to compensation or damages as a result of Participant's cessation of employment or service for any reason whatsoever, whether or not later found to be invalid or in breach of contract or local labor law, insofar as these rights, claim or entitlement arise or may arise from Participant's ceasing to have rights under the RSUs as a result of such cessation or loss or diminution in value of the RSUs or any of the Shares issuable under the RSUs as a result of such cessation, and Participant irrevocably releases the Company and the Service Recipient from any such rights, entitlement or claim that may arise. If, notwithstanding the foregoing, any such right or claim is found by a court of competent jurisdiction to have arisen, then, by accepting the Award, Participant shall be deemed to have irrevocably waived Participant's entitlement to pursue such rights or claim; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5<u>Governing Law and Jurisdiction</u>. The laws of the State of Delaware shall govern the interpretation, validity, administration, enforcement and performance of the terms of this RSU Agreement regardless of the law that might be applied under principles of conflicts of laws. The courts of the State of California shall have jurisdiction to settle any dispute which may arise out of, or in connection with, the Plan. The jurisdiction agreement contained in this Section 3.5 is made for the benefit of the Company and its Parents and Subsidiaries only, which accordingly retains the right to bring proceedings in any other court of competent jurisdiction. By accepting the grant of an Award and not renouncing it, Participant is deemed to have agreed to submit to such jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6<u>Conformity to Securities Laws</u>. Participant acknowledges that the Plan and this RSU Agreement are intended to conform to the extent necessary with all provisions of the Securities Act and the Exchange Act, and any and all regulations and rules promulgated thereunder by the U.S. Securities and Exchange Commission, including, without limitation, Rule 16b-3 under the Exchange Act. Notwithstanding anything herein to the contrary, the Plan shall be administered, and the Award is granted, only in such a manner as to conform to such laws, rules and regulations. To the extent permitted by applicable law, the Plan and this RSU Agreement shall be deemed amended to the extent necessary to conform to such laws, rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7<u>Notices</u>. Notices required or permitted hereunder shall be given in writing and shall be deemed effectively given when sent via email or upon personal delivery or upon deposit in the United States

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mail by certified mail, with postage and fees prepaid, addressed to Participant to Participant's address shown in the Company records, and to the Company at its principal executive office. By a notice given pursuant to this Section 3.7, either party may hereafter designate a different address for notices to be given to that party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8<u>Successors and Assigns</u>. The Company may assign any of its rights under this RSU Agreement to single or multiple assignees, and this RSU Agreement shall inure to the benefit of the successors and assigns of the Company. Subject to the restrictions on transfer herein set forth, this RSU Agreement shall be binding upon Participant and Participant's heirs, executors, administrators, successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9<u>Section 409A</u>. This RSU Agreement is not intended to provide for any deferral of compensation subject to Section 409A of the Code, and, accordingly, the amounts payable hereunder shall be paid no later than the later of: (i) the fifteenth (15th) day of the third month following Participant's first taxable year in which such severance benefit is no longer subject to a substantial risk of forfeiture, and (ii) the fifteenth (15th) day of the third month following first taxable year of the Company in which such severance benefit is no longer subject to substantial risk of forfeiture, as determined in accordance with Code Section 409A and any Treasury Regulations and other guidance issued thereunder. To the extent applicable, this RSU Agreement shall be interpreted in accordance with Code Section 409A and Department of Treasury regulations and other interpretive guidance issued thereunder. Notwithstanding any other provision of the Plan, this RSU Agreement and the Grant Notice, if at any time the Administrator determines that this Award (or any portion thereof) may be subject to Section 409A, the Administrator shall have the right in its sole discretion (without any obligation to do so or to indemnify Participant or any other person for failure to do so) to adopt such amendments to the Plan, this RSU Agreement or the Grant Notice, or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, as the Administrator determines are necessary or appropriate for this Award either to be exempt from the application of Section 409A or to comply with the requirements of Section 409A. If the RSUs are determined to be subject to Section 409A, (i) settlement of the RSUs will only be in a manner and upon an event permitted by Section 409A (including the six month delay for payments made to "specified employees" (as defined in accordance with Section 409A) upon termination of employment, if applicable), (ii) any amount that is payable upon Participant's termination of employment, if any, may only be made upon a "separation from service" under Section 409A, and (iii) for purposes of Section 409A (including, without limitation, for purposes of Treasury Regulation Section 1.409A-2(b)(2)(iii)), each right to a series of installment payments under this RSU Agreement shall be treated as a right to a series of separate payments and each payment that Participant may be eligible to receive under this RSU Agreement shall be treated as a separate and distinct payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10<u>Data Protection</u>.

<u>Data Protection (European Union/European Economic Area/United Kingdom)</u>

It shall be a term and condition of this Award that Participant acknowledges the collection, processing, use and transfer, in electronic or other form, of Participant's personal "Data" (as defined below) by and among, as applicable, the Company and the Service Recipient for the purpose of implementing, administering and managing Participant's participation in the Plan as part of Participant's employment relationship and complying with the Company's obligations relating to the Award. The Company and the Service Recipient hold and process certain necessary personal information about Participant, including, but not limited to, Participant's name, home address and telephone number, e-mail address, date of birth, employee identification number, NRIC or passport number or equivalent, salary, nationality, job title, any Shares or directorships held in the Company, details of all options or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in Participant's favor, for the purpose of

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implementing, administering and managing the Plan ("Data"). Where applicable, Participant's Data will be processed in accordance with an internal Privacy Notice provided by Participant's employer. Data will be transferred to such stock plan service providers as may be selected by the Company which are assisting the Company with the implementation, administration and management of the Plan. The recipients of the Data may be located in the United States of America or elsewhere and that the recipient's country (e.g., the United States of America) may have different data privacy laws and standard of protection than in Participant's country. The Company ensures that legal mechanisms of data transfer are in place for the processing and transferring of the Data. Participant may request a list with the names and addresses of all current recipients of the Data by contacting Participant's local human resources representative. The Company and the Service Recipient and any other possible recipients may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing Participant's participation in the Plan. Data will be held only as long as is necessary to implement, administer and manage Participant's participation in the Plan. The Company may also make the Data available to public authorities where required under locally applicable law. As permitted under applicable laws, Participant may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data, request deletion of Data or exercise other privacy rights under applicable laws, in any case without cost, by contacting in writing Participant's human resources representative. Participant's refusal to provide any Data or, if applicable only, provide consent or withdrawal of consent or request for deletion of Data may affect Participant's ability to participate in the Plan. For more information on the consequences of refusal to consent or withdrawal of consent or deletion of Participant's Data, Participant may contact Participant's human resources representative. This Section applies to Data held, used or disclosed in any medium.

<u>Data Protection (Jurisdictions other than European Union/European Economic Area/United Kingdom)</u>

It shall be a term and condition of this Award that Participant explicitly and unambiguously consent to the collection, use, processing and transfer, in electronic or other form, of Participant's personal "Data" (as defined below) by and among, as applicable, the Company and the Service Recipient for the exclusive purpose of implementing, administering and managing Participant's participation in the Plan. The Company and the Service Recipient hold certain personal information about Participant, including, but not limited to, Participant's name, home address and telephone number, e-mail address, date of birth, employee identification number, NRIC or passport number or equivalent, salary, nationality, job title, any Shares or directorships held in the Company, details of all options or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in Participant's favor, for the purpose of implementing, administering and managing the Plan ("***Data***"). Data will be transferred to such stock plan service providers as may be selected by the Company which are assisting the Company with the implementation, administration and management of the Plan. The recipients of the Data may be located in the United States of America or elsewhere and that the recipient's country (e.g., the United States of America) may have different data privacy laws and protections than Participant's country. To the extent legally applicable, the Company ensures that legal mechanisms of data transfer are in place for the processing and transferring of the Data. Participant may request a list with the names and addresses of all recipients of the Data by contacting Participant's local human resources representative. The Company and the Service Recipient and any other possible recipients may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing Participant's participation in the Plan. Data will be held only as long as is necessary to implement, administer and manage Participant's participation in the Plan. The Company may also make the Data available to public authorities where required under locally applicable law. As permitted under applicable laws, Participant may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary

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amendments to Data or refuse or withdraw the consents herein or request deletion of Data, in any case without cost, by contacting in writing Participant's human resources representative. Participant's refusal to provide consent or withdrawal of consent or request for deletion of Data may affect Participant's ability to participate in the Plan. For more information on the consequences of refusal to consent or withdrawal of consent or deletion of Participant's Data, Participant may contact Participant's human resources representative. This Section applies to Data held, used or disclosed in any medium.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11<u>Forfeiture and Claw-Back Provisions</u>. Participant hereby acknowledges and agrees that the Administrator shall have the right, subject to the requirements of applicable law, to require 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)any proceeds, gains or other economic benefit actually or constructively received by Participant upon any receipt of the Award, or upon the receipt or resale of any Shares underlying the Award, shall be paid to the Company, and the Award shall terminate and any portion of the Award (whether or not vested) shall be forfeited, if Participant incurs a termination of service for cause; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the Award (including any proceeds, gains or other economic benefit actually or constructively received by Participant upon any receipt of the Award or upon the receipt or resale of any Shares underlying the Award) shall be subject to the provisions of any claw-back policy implemented by the Company, including, without limitation, any claw-back policy adopted to comply with the requirements of Applicable Law, including without limitation, the Dodd-Frank Wall Street Reform and Consumer Protection Act and any rules or regulations promulgated thereunder, to the extent set forth in such claw-back policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.12<u>Language</u>. Participant acknowledges that Participant is proficient in the English language, or has consulted with an advisor who is sufficiently proficient in English, so as to allow Participant to understand the terms and conditions of this RSU Agreement. If this RSU Agreement or any other document related to the Plan has been translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.13<u>Electronic Delivery and Acceptance</u>. The Company may, in its sole discretion, decide to deliver any documents related to current or future participation in the Plan by electronic means. Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.14<u>Insider Trading Restrictions/Market Abuse Laws</u>. Participant acknowledges that, depending on Participant's country of residence, Participant may be subject to insider trading restrictions and/or market abuse laws, which may affect Participant's ability to acquire or sell Shares or rights to Shares under the Plan during such times when Participant is considered to have "inside information" regarding the Company (as defined by the laws in Participant's country). Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under any applicable Company insider trading policy. Participant further acknowledges that it is Participant's responsibility to comply with any applicable restrictions, and Participant is advised to speak to Participant's personal advisor on this matter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.15<u>Additional Terms for Participants Providing Services Outside the United States</u>. To the extent Participant provides services to the Company in a country other than the United States, the RSUs shall be subject to such additional or substitute terms as shall be set forth for such country in Exhibit C to the Grant Notice. If Participant relocates to one of the countries included in Exhibit C during the life of the RSUs, the special provisions for such country shall apply to Participant, to the extent the Company determines that the application of such provisions is necessary or advisable in order to comply with local

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law or facilitate the administration of the Plan. In addition, the Company reserves the right to impose other requirements on the RSUs and the Shares issued upon vesting of the RSUs, to the extent the Company determines it is necessary or advisable in order to comply with local laws or facilitate the administration of the Plan, and to require Participant to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

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**EXHIBIT B**

**TO RESTRICTED STOCK UNIT AWARD GRANT NOTICE**

**VESTING SCHEDULE**

☐ Twenty-five percent (25%) of the RSUs shall vest on each of the first, second, third and fourth anniversaries of the Vesting Commencement Date, subject to Participant's continued service as a Service Provider on each such date, so that all of the RSUs shall be vested four (4) years after the original Vesting Commencement Date.

☐ Other:

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**EXHIBIT C**

**TO RESTRICTED STOCK UNIT AWARD GRANT NOTICE**

This <u>Exhibit C</u> includes special terms and conditions applicable to Participants providing services to the Company in the countries below. These terms and conditions are in addition to those set forth in the RSU Agreement and the Plan and to the extent there are any inconsistencies between these terms and conditions and those set forth in the RSU Agreement and the Plan, as applicable, these terms and conditions shall prevail. Any capitalized term used in this <u>Exhibit C</u> without definition shall have the meaning ascribed to such term in the Plan or the RSU Agreement, as applicable.

***Participant is advised to seek appropriate professional advice as to how the relevant securities, exchange control and tax laws in Participant's country may apply to Participant's individual situation.***

**ALL COUNTRIES**

<u>Foreign Asset/Account and Tax Reporting Requirements; Exchange Controls</u>. Participant may be subject to foreign asset/account, exchange control and/or tax reporting requirements as a result of the vesting of the RSUs, the acquisition, holding and/or transfer of Shares or cash (including dividends and the proceeds arising from the sale of Shares) from participant's participation in the Plan and/or the opening and maintaining of a brokerage or bank account in connection with the Plan. Participant may be required to report such assets, accounts, account balances and values, any cross-border transactions, and/or related transactions to the applicable authorities in Participant's country and Participant may be required to report any acquisition or sale of Shares and any taxable income attributable to the RSUs to the applicable tax authority or other authority in Participant's country (including on Participant's annual tax return, if applicable). Participant may also be required to repatriate sales proceeds or other funds received as a result of Participant's participation in the Plan to Participant's country through a designated bank or broker and/or within a certain period of time after receipt. Participant acknowledges that Participant is responsible for ensuring compliance with any applicable foreign asset/account, exchange control and tax reporting and other requirements and should consult Participant's own personal tax and legal advisors, as applicable, on these matters.

**AUSTRALIA**

<u>Securities Law Notice</u>. The offer to Australian participants is made under Division 1A of Part 7.12 of the Corporations Act, 2001 (Cth).

<u>Special Tax Provisions</u>. Tax deferred treatment under Subdivision 83A-C of the Income Tax Assessment Act 1997 (Commonwealth of Australia) is intended to apply to those RSUs granted under the Plan, subject to the requirements of that Act.

**CANADA**

<u>Tax Withholding</u>

Notwithstanding Section 2.2(b) of the RSU Agreement, Participant may satisfy any Tax Withholding Liability through alternate arrangements satisfactory to the Company prior to the arising of the Tax Withholding Liability, otherwise such Tax Withholding Liability shall be satisfied as set forth in Section 2.2(b).

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<u>Cessation as a Service Provider</u>

The following provision replaces Section 2.1(b) of the RSU Agreement:

The RSUs shall vest in accordance with the Vesting Schedule set forth in the Grant Notice. Unless and until the RSUs have vested in accordance with the Vesting Schedule set forth in the Grant Notice, Participant will have no right to any distribution with respect to such RSUs. In the event Participant ceases to be a Service Provider for any reason prior to the vesting of all of the RSUs, any unvested RSUs will terminate automatically without any further action by the Company and be forfeited without further notice and at no cost to the Company. For purposes of the Award, the termination of Participant's status as a Service Provider will be considered to occur as of the earliest of: (i) the date that Participant's ceases to be a Service Provider or (ii) the date Participant receives notice of the termination of Participant's status as a Service Provider, regardless of any notice period or period of pay in lieu of such notice required under applicable employment law in the jurisdiction where Participant is providing services or the terms of Participant's employment or service contract, if any. Participant will not earn or be entitled to any pro-rated vesting for that portion of time before the date on which Participant's right to vest (if any) terminates, nor will Participant be entitled to any compensation for lost vesting. Notwithstanding the foregoing, if applicable employment standards legislation explicitly requires continued entitlement to vesting during a statutory notice period, Participant's cessation as a Service Provider shall be deemed to be effective as of the last day of Participant's minimum statutory notice period, but Participant will not earn or be entitled to pro-rated vesting if the vesting date falls after the end of Participant's statutory notice period, nor will Participant be entitled to any compensation for lost vesting.

<u>Securities Law Information</u>.

For the purposes of compliance with National Instrument 45-106 Prospectus Exemptions, the prospectus requirement does not apply to a distribution by an issuer in a security of its own issue with an employee, executive officer, director or consultant of the issuer or a related entity of the issuer, provided the distribution is voluntary.

Shares acquired under the Plan are subject to certain restrictions on resale imposed by Canadian provincial and territorial securities laws, as applicable. Notwithstanding any other provision of the Plan to the contrary, any transfer or resale of any Shares acquired by Participant pursuant to the Plan must be in accordance with the resale rules under applicable Canadian provincial and territorial securities laws, including (a) National Instrument 45-102 *Resale of Securities* ("45-102"), if Participant is a resident in the Province of British Columbia; and (b) Alberta Securities Commission Rule 72-501 *Distributions to Purchasers Outside Alberta* ("72-501"), if Participant is a resident in the Province of Alberta. In British Columbia, the prospectus requirement does not apply to the first trade of Shares issued in connection with the RSUs, provided the conditions set forth in section 2.14 of 45-102 are satisfied. In Alberta, the prospectus requirement does not apply to the first trade of Shares issued in connection with the RSUs, provided the conditions set forth in Section 2.10 of 72-501 are satisfied. The Shares acquired under the Plan may not be transferred or sold in Canada or to a Canadian resident other than in accordance with applicable provincial or territorial securities laws. Participant is advised to consult Participant's legal advisor prior to any resale of shares.

<u>Data Protection</u>. Section 3.10 of the Agreement is amended to add the following to the end of Section 3.10: In connection therewith, it is possible that personal data may be disclosed to governments, courts or law enforcement or regulatory agencies in that other country in accordance with the laws of that country.

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**CHINA**

<u>Settlement of RSUs and Sale of Shares</u>. The following provisions supplement Sections 2.1(c) and 2.2 of the RSU Agreement and supersede such provisions to the extent inconsistent with the following:

Notwithstanding Section 2.1(c) of the RSU Agreement, the Company may settle vested RSUs in cash in an amount equal to the Fair Market Value of one Share for each vested RSU, as determined by the Administrator, in which case Participant shall have no right to any Shares under the RSUs. Any such cash payment shall be made by Participant's local employer, less any or all income tax, social insurance, payroll tax, payment on account or other Tax Related Items related to Participant's participation in the Plan.

If the Administrator settles vested RSUs in the form of Shares, such settlement will be conditioned upon the Company securing all necessary approvals from the China State Administration of Foreign Exchange ("SAFE") and the requirements of such approval, as determined by the Company in its sole discretion. In the event the Company determines, in its discretion, that any SAFE approvals have not been obtained prior to any date(s) on which the RSUs are scheduled to vest in accordance with the Vesting Schedule set forth in the Grant Notice, the RSUs will not vest until the seventh day of the month following the month in which all applicable SAFE approval shave been obtained (the "<u>Actual Vesting Date</u>"). If Participant ceases to be a Service Provider prior to the Actual Vesting Date, Participant shall not be entitled to vest in any portion of the RSUs and the RSUs shall be forfeited without any liability to the Company or any Subsidiary.

Participant understands that Participant may be required to sell Shares acquired upon vesting of the RSUs immediately upon vesting or within a specified period following termination of employment, as determined by the Company in its discretion, and will be required to hold such Shares with the Company's designated brokerage firm until the Shares are sold. Further, Participant understands that Participant may be required to immediately repatriate to China proceeds from the sale of any Shares acquired under the Plan (and any dividends) and there may be delays in distributing the funds to Participant due to exchange control requirements in China. Participant understands that the Company is authorized to instruct its designated broker to assist with any mandatory sale of such Shares (on Participant's behalf pursuant to this authorization) and Participant expressly authorizes the Company's designated broker to complete the sale of such Shares. Participant acknowledges that the Company's designated broker will be under no obligation to arrange for the sale of the Shares at any particular price. The remittance, conversion and payment of the proceeds shall be made in accordance with the procedures adopted by the Company in order to comply with SAFE regulations and accordingly, may be subject to change from time to time. If the proceeds are paid in local currency, Participant acknowledges that the Company will be under no obligation to secure any particular exchange conversion rate. Participant agrees to bear any currency fluctuation risk between the time the Shares are sold and the net proceeds are distributed to Participant. Participant further agrees to comply with all requirements that may be imposed by the Company in the future with respect to the RSUs and issuance of Shares to facilitate compliance with applicable law and regulations in China.

**FRANCE**

<u>Consent to Receive Information in English</u>*.* By accepting the RSU Agreement providing for the terms and conditions of Participant's Award, Participant confirms having read and understood the documents relating to this Award (the Plan and this RSU Agreement) which were provided in English language. Participant accepts the terms of those documents accordingly.

*En acceptant le Contrat d'Attribution décrivant les termes et conditions de l'attribution, le Participant confirme ainsi avoir lu et compris les documents relatifs à cette attribution (le Plan U.S. et ce* 

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*Contrat d'Attribution) qui ont été communiqués en langue anglaise. Le Participant accepte les termes en connaissance de cause.*

<u>Securities Laws</u>. The Plan and this RSU Agreement do not require a prospectus to be submitted for approval to the French Financial Market Authority (the "***Autorité des marchés financiers***"). Participants may take part in the Plan solely for Participant's own account, as provided in the French Monetary and Financial Code. The financial instruments purchased under the Plan cannot be distributed directly or indirectly to the public otherwise than in accordance with the French Monetary and Financial Code.

<u>Tax Consequences</u>. RSUs subject to this RSU Agreement are not intended to qualify for favorable tax and social security regime under French law.

**GERMANY**

No disclosure required.

**HONG KONG**

<u>Sale of Shares</u>. In the event the RSUs vest within six (6) months of the Grant Date, Participant agrees not to sell any Shares acquired upon vesting of the RSUs prior to the six-month anniversary of the Grant Date.

<u>Securities Warning</u>. The grant of the RSUs and the issuance of Shares upon vesting do not constitute a public offer of securities under Hong Kong law and are available only to eligible Service Providers. The Plan, this RSU Agreement, and other incidental communication materials that Participant may receive have not been prepared in accordance with and are not intended to constitute a "prospectus" for a public offering of securities under applicable securities laws in Hong Kong. Participant understands that such documents are intended only for the personal use of each Participant and may not be distributed to any other person. Furthermore, none of the documents relating to the Plan have been reviewed by any regulatory authority in Hong Kong. Participant is advised to exercise caution in relation to the offer. If a Participant is in any doubt about any of the contents of the Plan, this RSU Agreement, any enrollment forms and other communication materials, Participant should obtain independent professional advice.

<u>Nature of Scheme</u>. The Company specifically intends that the Plan will not be an occupational retirement scheme for purposes of the Occupational Retirement Schemes Ordinance.

**INDIA**

<u>Exchange Control Information</u>. Participant must repatriate any funds received pursuant to the Plan (e.g., proceeds from the sale of Shares, dividends) to India within the stipulated period. Participant should consult Participant's own advisor with respect to such requirements. Participant also may be required to retain evidence of such repatriation.

<u>Notification Regarding Valuation of Shares for Tax Purposes</u>. Current tax laws in India require that the value of the Shares be determined by a category 1 merchant banker registered with the Securities and Exchange Board of India. This value, which the employer will use for purposes of determining the appropriate amount of tax to withhold upon vesting of the RSU (or upon any other applicable taxable event), may differ from the market value of the Shares indicated on reports provided to Participant by the Company's designated brokerage firm and/or the fair market value of the Shares determined under the Plan

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definition. Participant should consult with Participant's personal tax advisor regarding the valuation of the Shares and the taxation of the RSU.

**IRELAND**

<u>Director Notification Information</u>. Directors, shadow directors and secretaries of an Irish affiliate must notify such affiliate in writing within a specified period of time following (i) receiving or disposing of an interest in the Company (e.g., the RSUs, Shares, etc.), (ii) becoming aware of the event giving rise to the notification requirement, or (iii) becoming a director or secretary if such an interest exists at the time, in each case if the interest represents more than 1% of the Company. This notification requirement also applies with respect to the interests of any spouse or children under the age of 18 of the director, shadow director or secretary (whose interests will be attributed to the director, shadow director or secretary). Participant should consult with Participant's personal legal advisor as to whether or not this notification requirement applies.

<u>Termination of Service</u>. Participant has no right to compensation or damages on account of any loss in respect of an Award under the Plan where the loss arises or is claimed to arise in whole or part from: (a) the termination of Participant's office or employment; or (b) notice to terminate Participant's office or employment. This exclusion of liability shall apply however termination of office or employment, or the giving of notice, is caused, and however compensation or damages are claimed. For the purpose of the Plan, the implied duty of trust and confidence is expressly excluded.

**ITALY**

<u>Plan Document Acknowledgment</u>. In accepting the grant of RSUs, Participant acknowledges that Participant has received a copy of the Plan and the RSU Agreement and has reviewed the Plan and the RSU Agreement in their entirety and fully understands and accepts all provisions of the Plan and the RSU Agreement. Participant further acknowledges that Participant has read and specifically and expressly approves the following sections of the RSU Agreement: Section 2.1(b) (Vesting), Section 2.2 (Tax Indemnity), Section 2.3 (Conditions to Issuance of Certificates), Article III (Other Provisions), and Exhibit B (Vesting Schedule).

<u>Securities Laws</u>. The offer and settlement of the RSUs do not require a prospectus to be submitted for approval to the Italian Securities and Exchange Commission (the "***Commissione Nazionale per le Società e la Borsa***" or "**CONSOB**").

**JAPAN**

<u>No Registration</u>. An award of RSUs representing a right to receive a number of Shares under the Plan will be offered in Japan by a private placement to small number of subscribers, as provided under Article 23-13, Paragraph 4 of the Financial Instruments and Exchange Law of Japan ("***FIEL***"), and accordingly, the filing of a securities registration statement pursuant to Article 4, Paragraph 1 of the FIEL has not been made, and such Award may not be assigned or transferred by Participant.

**MEXICO**

<u>Acknowledgment of the Agreement</u>. By participating in the Plan, Participant acknowledges that Participant has received a copy of the Plan, has reviewed the Plan in its entirety and fully understands and accepts all provisions of the Plan. Participant further acknowledges that Participant has read and expressly approves the terms and conditions set forth in the RSU Agreement, in which the following is clearly

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described and established: (a) Participant's participation in the Plan does not constitute an acquired right; (b) the Plan and Participant's participation in the Plan are offered by the Company on a wholly discretionary basis; (c) Participant's participation in the Plan is voluntary; (d) the Company and its Subsidiaries are not responsible for any decrease in the value of the underlying shares; and (e) the Plan is not to be deemed as an employment benefit granted by the employer, but rather a commercial one granted by the Company for which Participant does not render personal subordinated services.

*<u>Reconocimiento del Contrato</u>. Al participar en el Plan, usted reconoce que ha recibido una copia del Plan, que ha revisado el Plan en su totalidad, y que entiende y acepta en su totalidad, todas y cada una de las disposiciones del Plan. Asimismo reconoce que ha leído y aprueba expresamente los términos y condiciones señalados en el párrafo titulado* "***RSU Agreement***," *en lo que claramente se describe y establece lo siguiente: (a) su participación en el Plan no constituye un derecho adquirido; (b) el Plan y su participación en el Plan son ofrecidos por la Compañía sobre una base completamente discrecional; (c) su participación en el Plan es voluntaria; (d) la Compañía y sus Afiliadas no son responsables de ninguna por la disminución en el valor de las Acciones subyacentes; y (e) este Plan no debe considerarse como una prestación laboral otorgada por el patrón, sino como un beneficio commercial otorgado por la Compañía, para la cual usted no desempeña servicio personal subordinado alguno.*

<u>Labor Law Policy and Acknowledgment</u>. By participating in the Plan, Participant expressly recognizes that Xperi Inc., with registered offices at 2190 Gold St., San Jose, California 95002, USA, is solely responsible for the administration of the Plan and that Participant's participation in the Plan and acquisition of shares does not constitute an employment relationship between Participant and the Company since Participant is participating in the Plan on a wholly commercial basis and Participant's sole employer is iBiquity Digital, S. de R.L. de C.V., located at Col. Florida, C.P., Insurgentes Sur 1898, Mexico City Mexico 1020, Mexico ("***Xperi Mexico***"). Based on the foregoing, Participant expressly recognizes that the Plan and the benefits that Participant may derive from participation in the Plan do not establish any rights between Participant and Participant's employer, Xperi Mexico, and do not form part of the employment conditions and/or benefits provided by Xperi Mexico, and any modification of the Plan or its termination shall not constitute a change or impairment of the terms and conditions of Participant's employment.

Participant further understands that Participant's participation in the Plan is as a result of a unilateral and discretionary decision of the Company; therefore, the Company reserves the absolute right to amend and/or discontinue Participant's participation at any time without any liability to Participant.

Finally, Participant hereby declares that Participant does not reserve any action or right to bring any claim against the Company for any compensation or damages regarding any provision of the Plan or the benefits derived under the Plan, and Participant therefore grants a full and broad release to the Company, its Subsidiaries, branches, representation offices, its shareholders, officers, agents or legal representatives with respect to any claim that may arise.

*Política de Legislación Laboral y Reconocimiento. Al participar en el Plan, usted reconoce expresamente que Xperi Inc., con oficinas registradas en 2190 Gold St., San Jose, California 95002, Estados Unidos de América, es la única responsable por la administración del Plan, y que su participación en el Plan, así como la adquisición de las Acciones, no constituye una relación laboral entre usted y la Compañía, debido a que usted participa en el plan sobre una base completamente mercantil y su único patrón es* iBiquity Digital, S. de R.L. de C.V.*, ubicado en* Col. Florida, C.P., Insurgentes Sur 1898, Mexico City Mexico 1020, Mexico *("****Xperi Mexico****"). Con base en lo anterior, usted reconoce expresamente que el Plan y los beneficios que pudiera obtener por su participación en el Plan, no establecen derecho alguno entre usted y su patrón, Xperi Mexico, y no forman parte de las condiciones y/o prestaciones laborales por Xperi Mexico ofrece, y que las modificaciones al Plan o su terminación, no constituirán un cambio ni afectarán los términos y condiciones de su relación laboral.*

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*Asimismo usted entiende que su participación en el Plan es el resultado de una decisión unilateral y discrecional de la Compañía; por lo tanto, la Compañía se reserva el derecho absoluto de modificar y/o suspender su participación en cualquier momento, sin que usted incurra en responsabilidad alguna.*

*Finalmente, usted declara que no se reserva acción o derecho alguno para interponer reclamación alguna en contra de la Compañía, por concepto de compensación o daños relacionados con cualquier disposición del Plan o de los beneficios derivados del Plan, y por lo tanto, usted libera total y ampliamente de toda responsabilidad a la Compañía, a sus Afiliadas, sucursales, oficinas de representación, sus accionistas, funcionarios, agentes o representantes legales, con respecto a cualquier reclamación que pudiera surgir.*

**NORWAY**

No disclosure required.

**POLAND**

No disclosure required.

**REPUBLIC OF KOREA**

No disclosure required.

**ROMANIA**

No disclosure required.

**SINGAPORE**

<u>Securities Law Information</u>. The award of RSUs representing a right to receive a number of Shares pursuant to the Plan is being made in reliance of Section 273(1)(f) of the Securities and Futures Act (Cap. 289 of Singapore) ("***SFA***") for which it is exempt from the prospectus requirements under the SFA. The Plan has not been lodged or registered as a prospectus with the Monetary Authority of Singapore. Participant should note that the RSUs are subject to section 257 of the SFA and Participant will not be able to make any subsequent sale in Singapore of the Shares acquired through the vesting of the RSUs or any offer of such sale in Singapore unless such sale or offer is made (i) more than six (6) months from the Grant Date, (ii) pursuant to the exemptions under Part XIII Division 1 Subdivision (4) (other than section 280) of the SFA, or (iii) pursuant to, and in accordance with the conditions of, any other applicable provisions of the SFA.

In addition, Participant is permitted to sell Shares acquired under the Plan through the designated broker appointed under the Plan, if any, provided the resale of Shares acquired under the Plan takes place outside Singapore through the facilities of a stock exchange on which the Shares are listed.

<u>Director / CEO Notification Obligation</u>. If Participant is a director or chief executive officer (as applicable) of a company incorporated in Singapore which is related to the Company ("***Singapore Company***"), Participant is subject to certain disclosure/notification requirements under the Companies Act of Singapore. Among these requirements is an obligation to notify the Singapore Company in writing when Participant acquires an interest (such as shares, debentures, participatory interests, rights, options and contracts) in the Company (e.g., the RSUs, the Shares or any other award). In addition, Participant must notify the Singapore Company when Participant disposes of such interest in the Company (including when

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Participant sells Shares issued upon vesting and settlement of the Award). These notifications must be made within two days of acquiring or disposing of any such interest in the Company. In addition, a notification of Participant's interests in the Company must be made within two (2) business days of becoming a director or chief executive officer (as applicable). Participant should consult with Participant's own adviser to determine Participant's disclosure/notification obligations, if any.

**SWEDEN**

<u>Tax Withholding</u>

The following provision supplements Section 2.2 of the RSU Agreement:

Without limiting the Company's and the Service Recipient's authority to satisfy their withholding obligations for Tax Related Items as set forth in Section 2.2 of the RSU Agreement, in accepting the grant of RSUs, Participant authorizes the Company to withhold Shares or to sell Shares otherwise deliverable to Participant upon vesting/settlement to satisfy Tax Related Items, regardless of whether the Company and/or the Service Recipient have an obligation to withhold such Tax Related Items.

**TAIWAN**

<u>Securities Laws</u>. Participant fully understands that the offer of the RSUs has not been and will not be registered with or approved by the Financial Supervisory Commission of the Republic of China pursuant to relevant securities laws and regulations and the RSUs may not be offered or sold within the Republic of China through a public offering or in circumstances which constitute an offer within the meaning of the Securities and Exchange Law of the Republic of China that requires a registration or approval of the Financial Supervisory Commission of the Republic of China.

**UNITED KINGDOM**

<u>Settlement</u>. Notwithstanding the terms set forth in Sections 9(c) of the Plan, the RSUs shall be settled in Share only and not in cash or a combination of cash and Shares.

<u>Tax Withholding</u>

The following provision supplements Section 2.2 of the RSU Agreement:

Without limitation to any provision of the RSU Agreement, Participant agrees that Participant is liable for all Tax Related Items (other than any employer national insurance or social security contribution) and hereby covenant to pay all such Tax Related Items as and when requested by the Company or the Service Recipient or by HM Revenue and Customs ("***HMRC***") (or any other relevant authority). Participant also agrees to indemnify and keep indemnified the Company and the Service Recipient against any Tax Related Items that they are required to pay or withhold or have paid or will pay on Participant's behalf to HMRC (or any other relevant authority).

Notwithstanding the foregoing, if Participant is a director or executive officer of the Company (within the meaning of Section 13(k) of the Exchange Act), Participant understands that Participant may not be able to indemnify the Company for the amount of any income tax not collected from or paid by Participant, in case the indemnification could be considered a loan. In this case, the income tax not collected or paid may constitute a benefit to Participant on which additional income tax and national insurance contributions ("***NICs***") may be payable. Participant will be responsible for reporting and paying any income tax due on this additional benefit directly to HMRC under the self-assessment regime and for paying the

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Company or the Service Recipient (as applicable) for the value of any employee NICs due on this additional benefit, which the Company and/or the Service Recipient may recover from Participant by any of the means referred to in Section 2.2 of the RSU Agreement.

<u>Eligible Participants</u>. Notwithstanding anything to the contrary in the Plan or this RSU Agreement, in the United Kingdom only Employees of the Company or any Parent or Subsidiaries are eligible to be granted RSUs. Other persons who are not Employees are not eligible to receive RSUs in the United Kingdom. This RSU Agreement forms the rules of the employee share scheme applicable to, amongst others, the United Kingdom-based Employees of the Company and any Parent or Subsidiaries. All Awards granted to Employees of the Company or any Parent or Subsidiaries who are based in the United Kingdom will be granted on similar terms.

<u>Termination of Service</u>. Participant has no right to compensation or damages on account of any loss in respect of an Award under the Plan where the loss arises or is claimed to arise in whole or part from: (a) the termination of Participant's office or employment; or (b) notice to terminate Participant's office or employment. This exclusion of liability shall apply however termination of office or employment, or the giving of notice, is caused, and however compensation or damages are claimed. For the purpose of the Plan, the implied duty of trust and confidence is expressly excluded.

<u>Special Tax Provisions</u>. At the discretion of the Company, the RSUs will not vest until Participant has entered into an election with the Company (or the Service Recipient, as applicable) in a form approved by the Company and Her Majesty's Revenue & Customs (a "***Joint Election***") under which any liability of the Service Recipient for the employer's National Insurance contributions arising in respect of the vesting or settlement of the RSUs, the disposal of any Shares issued pursuant to the settlement of the RSUs or otherwise pursuant to this RSU Agreement is transferred to and met by Participant.

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## Exhibit 10.2

**EXHIBIT 10.2**

***GLOBAL***

**XPERI INC.** 

**2022 EQUITY INCENTIVE PLAN**

**PERFORMANCE-BASED RESTRICTED STOCK UNIT AWARD GRANT NOTICE AND<br>PERFORMANCE-BASED RESTRICTED STOCK UNIT AWARD AGREEMENT**

Xperi Inc., a Delaware corporation (the "***Company***"), pursuant to its 2022 Equity Incentive Plan (the "***Plan***"), hereby grants to the holder listed below ("***Participant***"), an award of performance-based restricted stock units ("***RSUs***") representing a right to receive a number of shares of the Company's common stock, par value $0.001 (the "***Shares***"). This award for RSUs (this "***Award***") is subject to all of the terms and conditions as set forth herein and in the Performance-Based Restricted Stock Unit Award Agreement attached hereto as <u>Exhibit A</u> (the "***RSU Agreement***") and the Plan, each of which are incorporated herein by reference. Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings in this Grant Notice and the RSU Agreement.

**Participant:**

**Employee ID:**

**Grant Date:**

**Vesting Commencement Date:**

**Total Number of RSUs:**

**Vesting Schedule:** The Award shall vest as set forth on <u>Exhibit B</u> attached hereto.

**Distribution Schedule:** The RSUs shall be distributable as they vest pursuant to the Vesting Schedule in accordance with Section 2.1(c) of the RSU Agreement.

**ELECTRONIC ACCEPTANCE OF AWARD:**

Please read this Grant Notice, the Plan and the RSU Agreement carefully, each of which are posted on www.etrade.com. If Participant does not wish to receive this Award and/or does not consent and agree to the terms and conditions on which this Award is offered, as set forth in this Grant Notice, the Plan and the RSU Agreement, then Participant <u>must</u> reject the Award by notifying the Company at StockAdministration@xperi.com no later than 4 months after the Grant Date, in which case the Award will be cancelled. Participant's failure to notify the Company of the rejection of the Award within this specified period will constitute Participant's acceptance of the Award and Participant's agreement with all terms and conditions of the Award, as set forth in this Grant Notice, the Plan and the RSU Agreement.

By accepting the Award, Participant agrees to be bound by the terms and conditions of the Plan, the RSU Agreement and this Grant Notice. Participant acknowledges that Participant has reviewed the RSU Agreement, the Plan and this Grant Notice in their entirety, and has had an opportunity to obtain the advice of counsel and fully understands all provisions of this Grant Notice, the RSU Agreement and the Plan, including the special provisions for Participant's country of residence, if any, attached hereto as

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<u>Exhibit C</u>. Participant further acknowledges that Participant has been provided with a copy of the prospectus for the Plan. Participant hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator of the Plan upon any questions arising under the Plan, this Grant Notice or the RSU Agreement. Below are instructions on how to access the Plan and the prospectus:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.**Log into your E\*TRADE account.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.**Click on Employee Stock Plans.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.**Click on Company Info.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.**Click on Documents.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.**Click on 2022 Plan.**

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**EXHIBIT A**

**XPERI INC.**

**PERFORMANCE-BASED RESTRICTED STOCK UNIT AWARD AGREEMENT**

Pursuant to the Performance-Based Restricted Stock Unit Award Grant Notice (the "***Grant Notice***") to which this Performance-Based Restricted Stock Unit Award Agreement (this "***RSU Agreement***") is attached, Xperi Inc., a Delaware corporation (the "***Company***"), has granted to Participant the number of RSUs under the Company's 2022 Equity Incentive Plan (the "***Plan***") as set forth in the Grant Notice.

**ARTICLE I.** **<u><br>GENERAL</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1<u>Definitions</u>. All capitalized terms used in this RSU Agreement without definition shall have the meanings ascribed in the Plan and the Grant Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2<u>Incorporation of Terms of Plan</u>. The Award and this RSU Agreement are subject to the Plan, the terms and conditions of which are incorporated herein by reference. In the event of any inconsistency between the Plan and this RSU Agreement, the terms of the Plan shall control.

**ARTICLE II.** **<u><br>RSU AWARD</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1<u>RSU Award</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>Award</u>. The Company hereby grants to Participant the number of RSUs set forth in the Grant Notice, subject to all of the terms and conditions set forth in this RSU Agreement, the Grant Notice and the Plan. Each RSU represents the right to receive one Share. Participant is a Service Provider. Prior to actual issuance of any Shares, the Award represents an unsecured obligation of the Company, payable only from the general 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;(b)<u>Vesting</u>. The RSUs shall vest in accordance with the Vesting Schedule set forth in the Grant Notice. Unless and until the RSUs have vested in accordance with the Vesting Schedule set forth in the Grant Notice, Participant will have no right to any distribution with respect to such RSUs. In the event Participant ceases to be a Service Provider for any reason prior to the vesting of all of the RSUs, any unvested RSUs will terminate automatically without any further action by the Company and be forfeited without further notice and at no cost to the Company. For purposes of this RSU Agreement, Participant shall be deemed to cease to be a Service Provider on the date on which Participant ceases to actively provide services, which shall not be extended by any notice period, whether mandated or implied under local law during which Participant is not actually employed (e.g., garden leave or similar leave) or during or for which Participant receives pay in lieu of notice or severance pay, unless otherwise agreed to in writing by the Company. The Company shall have the sole discretion to determine when Participant is no longer a Service Provider for purposes of the Award without reference to any other agreement, written or oral, including Participant's contract of employment, if applicable.

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Notwithstanding the foregoing, and subject to applicable law, during any authorized leave of absence, the vesting of RSUs provided in the Vesting Schedule set forth in the Grant Notice shall be suspended (to the extent permitted under Section 409A) after the leave of absence exceeds a period of twelve (12) months and shall be extended by the length of the suspension. Vesting of the RSUs shall resume upon Participant's termination of the leave of absence and return to service to the Company or any Parent or Subsidiary of the Company. An authorized leave of absence shall include sick leave, military leave or other bona fide leave of absence approved by the Company (or, if Participant is an executive officer, by the Administrator).

&nbsp;&nbsp;&nbsp;&nbsp;&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>Distribution of 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Shares shall be distributed to Participant (or in the event of Participant's death, to Participant's estate) with respect to such Participant's vested RSUs granted to Participant pursuant to this RSU Agreement, subject to the terms and provisions of the Plan and this RSU Agreement, within thirty (30) days following each vesting date as the RSUs vest pursuant to the Vesting Schedule set forth in the Grant 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;(ii)All distributions shall be made by the Company in the form of whole 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;(d)<u>Generally</u>. Shares issued under the Award shall be issued to Participant or Participant's beneficiaries, as the case may be, at the sole discretion of the Administrator, in either (i) uncertificated form, with the Shares recorded in the name of Participant in the books and records of the Company's transfer agent with appropriate notations regarding the restrictions on transfer imposed pursuant to this RSU Agreement; or (ii) certificate form.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2<u>Tax Indemnity; Tax Withholding</u>. Notwithstanding any other provision of this RSU 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;(a)Participant acknowledges and agrees that, regardless of any action taken by the Company or, if different, Participant's employer or any Parent or Subsidiary to which Participant provides service (the "***Service Recipient***"), the ultimate liability for any federal, state, local, and foreign income taxes, employment taxes, social insurance, social security, national insurance contributions, other contributions, fringe benefits tax, payroll taxes, levies, payment on account obligations or other tax related items related to Participant's participation in the Plan and legally applicable to Participant ("***Tax Related Items***") is and remains the Participant's responsibility and may exceed the amount actually withheld (if any) by the Company or the Service Recipient. No Shares shall be issued or delivered to Participant or Participant's legal representative unless and until Participant or Participant's legal representative shall have paid to the Company the full amount of any Tax Withholding Liability (as defined below). Participant acknowledges that the Company and/or the Service Recipient (i) make no representations or undertakings regarding the treatment of any Tax Related Items in connection with any aspect of the RSUs, including the grant, vesting or settlement of the RSUs, and the subsequent sale of any Shares acquired at settlement; and (ii) do not commit to structure the terms of the grant or any aspect of the RSUs to reduce or eliminate Participant's liability for any Tax Related Items. Further, if Participant is subject to taxation in more than one jurisdiction, Participant acknowledges that the Company or the Service Recipient (or former service recipient, as applicable) may be required to withhold, collect or account for Tax Withholding Liability (if any) in more than one 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;(b)Prior to any relevant taxable or tax withholding event, as applicable, Participant agrees to make adequate arrangements satisfactory to the Company or the Service Recipient to satisfy all Tax Related Items. The Company and the Service Recipient, and their respective agents, shall be entitled

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to satisfy any applicable Tax Withholding Liability according to the requirements under applicable laws, rules and regulations, including withholding taxes at source. Until such time as the Company determines otherwise, Participant authorizes the Company or its agent to satisfy any applicable Tax Withholding Liability by withholding a number of vested Shares otherwise issuable pursuant to the RSUs. In the event of over-withholding, Participant may receive a refund of any over-withheld amount in cash (with no entitlement to the equivalent in Shares), or if not refunded, Participant may seek a refund from the local tax authorities to the extent Participant wishes to recover any over-withheld amounts in the form of a refund. If Shares are withheld to cover any applicable Tax Withholding Liability, then for tax purposes Participant will be deemed to have been issued the full number of Shares with respect to the related RSUs notwithstanding that a number of Shares are held back for purposes of paying any Tax Withholding Liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Company may withhold or account for Tax Related Items and any applicable Tax Withholding Obligation by considering statutory or other withholding rates, including minimum or maximum rates applicable in Participant's jurisdiction(s). In the event that the Company determines, in its discretion, that withholding in Shares is problematic, then Participant authorizes and directs the Company and/or the Service Recipient, or their respective agents , at their discretion, to satisfy any applicable Tax Withholding Liability by (i) withholding from proceeds of the sale of Shares acquired upon settlement of the RSUs either through a voluntary sale or through a mandatory sale arranged by the Company (on Participant's behalf pursuant to this authorization without further consent); (ii) requiring Participant to make a cash payment in a form acceptance to the Company; (iii) withholding from Participant's wages or other cash compensation paid to Participant; and/or (iv) any other method of withholding determined by the Company and, to the extent required by applicable law, approved by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)For purposes of this RSU Agreement, "***Tax Withholding Liability***" shall mean any Tax Related Item that the Company or the Service Recipient is required to withhold, collect or account for that may arise as a result of (w) the grant, vesting or settlement of the RSU, (x) the issuance to Participant of Shares on the vesting or settlement of the RSU, (y) the disposition of any Shares that were the subject of the RSU, or (z) any other transactions contemplated by this RSU Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3<u>Conditions to Issuance of Certificates</u>. The Company shall not be required to issue or deliver any certificate or certificates for any Shares prior to the fulfillment of all of the following conditions: (a) the admission of the Shares to listing on all stock exchanges on which such Shares are then listed, (b) the completion of any registration or other qualification of the Shares under any state, federal or foreign law or under rulings or regulations of the U.S. Securities and Exchange Commission or other governmental regulatory body, which the Administrator shall, in its sole and absolute discretion, deem necessary and advisable, (c) the obtaining of any approval or other clearance from any state, federal or foreign governmental agency that the Administrator shall, in its absolute discretion, determine to be necessary or advisable, (d) the lapse of any such reasonable period of time following the date the RSUs vest as the Administrator may from time to time establish for reasons of administrative convenience, and (e) Participant's satisfaction of Participant's obligations under Section 2.2.

**ARTICLE III.** **<u><br></u>**<br> **<u>OTHER PROVISIONS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1<u>Tax Representations</u>. Participant has reviewed with Participant's own tax advisors the federal, state, local and foreign tax consequences of this investment and the transactions contemplated by the Grant Notice and this RSU Agreement. Participant is relying solely on such advisors and not on any statements or representations of the Company or any Parent or Subsidiary or any of their agents. Participant understands that Participant (and not the Company or any Parent or Subsidiary) shall be responsible for

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Participant's own Tax Related Items that may arise as a result of this investment or the transactions contemplated by this RSU Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2<u>RSUs Not Transferable</u>. None of the Award and the rights conveyed hereunder, including the right to receive Shares upon the vesting of the RSUs, or any interest or right therein or part thereof shall be subject to disposition by transfer, alienation, anticipation, pledge, encumbrance, assignment or any other means whether such disposition be voluntary or involuntary or by operation of law by judgment, levy, attachment, garnishment or any other legal or equitable proceedings (including bankruptcy), and any attempted disposition thereof shall be null and void and of no effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3<u>Rights as Shareholder</u>. Neither Participant nor any person claiming under or through Participant shall have any of the rights or privileges of a shareholder of the Company in respect of any Shares issuable hereunder unless and until certificates representing such Shares (which may be in uncertificated form) will have been issued and recorded on the books and records of the Company or its transfer agents or registrars, and delivered to Participant (including through electronic delivery to a brokerage account). After such issuance, recordation and delivery, Participant shall have all the rights of a shareholder of the Company, including with respect to the right to vote the Shares and the right to receive any cash or share dividends or other distributions paid to or made with respect to the Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4<u>Not a Contract of Employment</u>. Notwithstanding any other provision of this RSU Agreement or the Plan, Participant acknowledges, understands, and agrees to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Plan is established voluntarily by the Company, the grant of awards under the Plan is made at the discretion of the Committee and the Plan may be modified, amended, suspended or terminated by the Company at any time. All decisions with respect to future awards, if any, will be at the sole discretion of the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&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)Participant is voluntarily participating in the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Plan shall not be interpreted to form part of or amend any contract of employment or service between the Company or the Service Recipient and Participant, and neither the grant of RSUs nor any provision of this RSU Agreement, the Plan or the policies adopted pursuant to the Plan confer upon Participant any right with respect to employment or service or continuation of current employment or service or the ability of the Company or the Service Recipient to terminate Participant's employment or service;

&nbsp;&nbsp;&nbsp;&nbsp;&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)Participant has no right or entitlement to be granted an Award or any expectation that an Award might be made to Participant, whether subject to any conditions or at all;

&nbsp;&nbsp;&nbsp;&nbsp;&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 grant of the Award is exceptional, voluntary and occasional and does not create any contractual or other right to receive future grants of RSUs, or benefits in lieu of RSUs, even if RSUs have been granted in the past;

&nbsp;&nbsp;&nbsp;&nbsp;&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 rights or opportunity granted to Participant on the making of an Award, and the income from and value of same, shall not give Participant any rights or additional rights in respect of any pension scheme operated by the Company or the Service Recipient;

&nbsp;&nbsp;&nbsp;&nbsp;&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 RSUs and the Shares acquired under the Plan, and the income from and value of same, are not intended to replace any pension rights or compensation;

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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)The Award, and the income from and value of same, is outside the scope of Participant's employment or service contract, if any;

&nbsp;&nbsp;&nbsp;&nbsp;&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 Award, and the income from and value of same, is not part of normal or expected compensation for purposes of calculating any severance, resignation, redundancy, end of service payments, termination indemnities, payment in lieu of notice, holiday pay, bonuses, long-service awards, pension or retirement benefits, welfare benefits or similar 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;(j)The future value of the Shares subject to the RSUs is unknown, indeterminable and cannot be predicted with certainty, and no claim or entitlement to compensation or damages shall arise if the Shares do not increase in value, and Participant irrevocably releases the Service Recipient, their affiliates and third party vendors from any such claim that does arise;

&nbsp;&nbsp;&nbsp;&nbsp;&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 Company and the Service Recipient shall not be liable for any foreign exchange rate fluctuation between Participant's local currency and the United States Dollar that may affect the value of the RSUs or the Shares or of any amounts due to Participant upon the sale of 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;(l)Unless otherwise agreed with the Company in writing, the RSUs and the Shares subject to the RSUs, and the income and value of same, are not granted as consideration for, or in connection with, the service Participant may provide as a director of a 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;(m)Participant shall have no rights, claim or entitlement to compensation or damages as a result of Participant's cessation of employment or service for any reason whatsoever, whether or not later found to be invalid or in breach of contract or local labor law, insofar as these rights, claim or entitlement arise or may arise from Participant's ceasing to have rights under the RSUs as a result of such cessation or loss or diminution in value of the RSUs or any of the Shares issuable under the RSUs as a result of such cessation, and Participant irrevocably releases the Company and the Service Recipient from any such rights, entitlement or claim that may arise. If, notwithstanding the foregoing, any such right or claim is found by a court of competent jurisdiction to have arisen, then, by accepting the Award, Participant shall be deemed to have irrevocably waived Participant's entitlement to pursue such rights or claim; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5<u>Governing Law and Jurisdiction</u>. The laws of the State of Delaware shall govern the interpretation, validity, administration, enforcement and performance of the terms of this RSU Agreement regardless of the law that might be applied under principles of conflicts of laws. The courts of the State of California shall have jurisdiction to settle any dispute which may arise out of, or in connection with, the Plan. The jurisdiction agreement contained in this Section 3.5 is made for the benefit of the Company and its Parents and Subsidiaries only, which accordingly retains the right to bring proceedings in any other court of competent jurisdiction. By accepting the grant of an Award and not renouncing it, Participant is deemed to have agreed to submit to such jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6<u>Conformity to Securities Laws</u>. Participant acknowledges that the Plan and this RSU Agreement are intended to conform to the extent necessary with all provisions of the Securities Act and the Exchange Act, and any and all regulations and rules promulgated thereunder by the U.S. Securities and Exchange Commission, including, without limitation, Rule 16b-3 under the Exchange Act. Notwithstanding anything herein to the contrary, the Plan shall be administered, and the Award is granted, only in such a manner as to conform to such laws, rules and regulations. To the extent permitted by applicable law, the Plan and this RSU Agreement shall be deemed amended to the extent necessary to conform to such laws, rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7<u>Notices</u>. Notices required or permitted hereunder shall be given in writing and shall be deemed effectively given when sent via email or upon personal delivery or upon deposit in the United States

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mail by certified mail, with postage and fees prepaid, addressed to Participant to Participant's address shown in the Company records, and to the Company at its principal executive office. By a notice given pursuant to this Section 3.7, either party may hereafter designate a different address for notices to be given to that party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8<u>Successors and Assigns</u>. The Company may assign any of its rights under this RSU Agreement to single or multiple assignees, and this RSU Agreement shall inure to the benefit of the successors and assigns of the Company. Subject to the restrictions on transfer herein set forth, this RSU Agreement shall be binding upon Participant and Participant's heirs, executors, administrators, successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9<u>Section 409A</u>. This RSU Agreement is not intended to provide for any deferral of compensation subject to Section 409A of the Code, and, accordingly, the amounts payable hereunder shall be paid no later than the later of: (i) the fifteenth (15<sup>th</sup>) day of the third month following Participant's first taxable year in which such severance benefit is no longer subject to a substantial risk of forfeiture, and (ii) the fifteenth (15<sup>th</sup>) day of the third month following first taxable year of the Company in which such severance benefit is no longer subject to substantial risk of forfeiture, as determined in accordance with Code Section 409A and any Treasury Regulations and other guidance issued thereunder. To the extent applicable, this RSU Agreement shall be interpreted in accordance with Code Section 409A and Department of Treasury regulations and other interpretive guidance issued thereunder. Notwithstanding any other provision of the Plan, this RSU Agreement and the Grant Notice, if at any time the Administrator determines that this Award (or any portion thereof) may be subject to Section 409A, the Administrator shall have the right in its sole discretion (without any obligation to do so or to indemnify Participant or any other person for failure to do so) to adopt such amendments to the Plan, this RSU Agreement or the Grant Notice, or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, as the Administrator determines are necessary or appropriate for this Award either to be exempt from the application of Section 409A or to comply with the requirements of Section 409A. If the RSUs are determined to be subject to Section 409A, (i) settlement of the RSUs will only be in a manner and upon an event permitted by Section 409A (including the six month delay for payments made to "specified employees" (as defined in accordance with Section 409A) upon termination of employment, if applicable), (ii) any amount that is payable upon Participant's termination of employment, if any, may only be made upon a "separation from service" under Section 409A, and (iii) for purposes of Section 409A (including, without limitation, for purposes of Treasury Regulation Section 1.409A-2(b)(2)(iii)), each right to a series of installment payments under this RSU Agreement shall be treated as a right to a series of separate payments and each payment that Participant may be eligible to receive under this RSU Agreement shall be treated as a separate and distinct payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10<u>Data Protection</u>.

<u>Data Protection (European Union/European Economic Area/United Kingdom)</u>

It shall be a term and condition of this Award that Participant acknowledges the collection, processing, use and transfer, in electronic or other form, of Participant's personal "Data" (as defined below) by and among, as applicable, the Company and the Service Recipient for the purpose of implementing, administering and managing Participant's participation in the Plan as part of Participant's employment relationship and complying with the Company's obligations relating to the Award. The Company and the Service Recipient hold and process certain necessary personal information about Participant, including, but not limited to, Participant's name, home address and telephone number, e-mail address, date of birth, employee identification number, NRIC or passport number or equivalent, salary, nationality, job title, any Shares or directorships held in the Company, details of all options or any other entitlement to Shares

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awarded, canceled, exercised, vested, unvested or outstanding in Participant's favor, for the purpose of implementing, administering and managing the Plan ("Data"). Where applicable, Participant's Data will be processed in accordance with an internal Privacy Notice provided by Participant's employer. Data will be transferred to such stock plan service providers as may be selected by the Company which are assisting the Company with the implementation, administration and management of the Plan. The recipients of the Data may be located in the United States of America or elsewhere and that the recipient's country (e.g., the United States of America) may have different data privacy laws and standard of protection than in Participant's country. The Company ensures that legal mechanisms of data transfer are in place for the processing and transferring of the Data. Participant may request a list with the names and addresses of all current recipients of the Data by contacting Participant's local human resources representative. The Company and the Service Recipient and any other possible recipients may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing Participant's participation in the Plan. Data will be held only as long as is necessary to implement, administer and manage Participant's participation in the Plan. The Company may also make the Data available to public authorities where required under locally applicable law. As permitted under applicable laws, Participant may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data, request deletion of Data or exercise other privacy rights under applicable laws, in any case without cost, by contacting in writing Participant's human resources representative. Participant's refusal to provide any Data or, if applicable only, provide consent or withdrawal of consent or request for deletion of Data may affect Participant's ability to participate in the Plan. For more information on the consequences of refusal to consent or withdrawal of consent or deletion of Participant's Data, Participant may contact Participant's human resources representative. This Section applies to Data held, used or disclosed in any medium.

<u>Data Protection (Jurisdictions other than European Union/European Economic Area/United Kingdom)</u>

It shall be a term and condition of this Award that Participant explicitly and unambiguously consent to the collection, use, processing and transfer, in electronic or other form, of Participant's personal "Data" (as defined below) by and among, as applicable, the Company and the Service Recipient for the exclusive purpose of implementing, administering and managing Participant's participation in the Plan. The Company and the Service Recipient hold certain personal information about Participant, including, but not limited to, Participant's name, home address and telephone number, e-mail address, date of birth, employee identification number, NRIC or passport number or equivalent, salary, nationality, job title, any Shares or directorships held in the Company, details of all options or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in Participant's favor, for the purpose of implementing, administering and managing the Plan ("***Data***"). Data will be transferred to such stock plan service providers as may be selected by the Company which are assisting the Company with the implementation, administration and management of the Plan. The recipients of the Data may be located in the United States of America or elsewhere and that the recipient's country (e.g., the United States of America) may have different data privacy laws and protections than Participant's country. To the extent legally applicable, the Company ensures that legal mechanisms of data transfer are in place for the processing and transferring of the Data. Participant may request a list with the names and addresses of all recipients of the Data by contacting Participant's local human resources representative. The Company and the Service Recipient and any other possible recipients may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing Participant's participation in the Plan. Data will be held only as long as is necessary to implement, administer and manage Participant's participation in the Plan. The Company may also make the Data available to public authorities where required under locally applicable law. As permitted under

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applicable laws, Participant may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein or request deletion of Data, in any case without cost, by contacting in writing Participant's human resources representative. Participant's refusal to provide consent or withdrawal of consent or request for deletion of Data may affect Participant's ability to participate in the Plan. For more information on the consequences of refusal to consent or withdrawal of consent or deletion of Participant's Data, Participant may contact Participant's human resources representative. This Section applies to Data held, used or disclosed in any medium.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11<u>Forfeiture and Claw-Back Provisions</u>. Participant hereby acknowledges and agrees that the Administrator shall have the right, subject to the requirements of applicable law, to require 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)any proceeds, gains or other economic benefit actually or constructively received by Participant upon any receipt of the Award, or upon the receipt or resale of any Shares underlying the Award, shall be paid to the Company, and the Award shall terminate and any portion of the Award (whether or not vested) shall be forfeited, if Participant incurs a termination of service for cause; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the Award (including any proceeds, gains or other economic benefit actually or constructively received by Participant upon any receipt of the Award or upon the receipt or resale of any Shares underlying the Award) shall be subject to the provisions of any claw-back policy implemented by the Company, including, without limitation, any claw-back policy adopted to comply with the requirements of Applicable Law, including without limitation, the Dodd-Frank Wall Street Reform and Consumer Protection Act and any rules or regulations promulgated thereunder, to the extent set forth in such claw-back policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.12<u>Language</u>. Participant acknowledges that Participant is proficient in the English language, or has consulted with an advisor who is sufficiently proficient in English, so as to allow Participant to understand the terms and conditions of this RSU Agreement. If this RSU Agreement or any other document related to the Plan has been translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.13<u>Electronic Delivery and Acceptance</u>. The Company may, in its sole discretion, decide to deliver any documents related to current or future participation in the Plan by electronic means. Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.14<u>Insider Trading Restrictions/Market Abuse Laws</u>. Participant acknowledges that, depending on Participant's country of residence, Participant may be subject to insider trading restrictions and/or market abuse laws, which may affect Participant's ability to acquire or sell Shares or rights to Shares under the Plan during such times when Participant is considered to have "inside information" regarding the Company (as defined by the laws in Participant's country). Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under any applicable Company insider trading policy. Participant further acknowledges that it is Participant's responsibility to comply with any applicable restrictions, and Participant is advised to speak to Participant's personal advisor on this matter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.15<u>Additional Terms for Participants Providing Services Outside the United States</u>. To the extent Participant provides services to the Company in a country other than the United States, the RSUs shall be subject to such additional or substitute terms as shall be set forth for such country in <u>Exhibit C</u> to the Grant Notice. If Participant relocates to one of the countries included in <u>Exhibit C</u> during the life of the

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RSUs, the special provisions for such country shall apply to Participant, to the extent the Company determines that the application of such provisions is necessary or advisable in order to comply with local law or facilitate the administration of the Plan. In addition, the Company reserves the right to impose other requirements on the RSUs and the Shares issued upon vesting of the RSUs, to the extent the Company determines it is necessary or advisable in order to comply with local laws or facilitate the administration of the Plan, and to require Participant to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

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**EXHIBIT B**

**TO PERFORMANCE-BASED RESTRICTED STOCK UNIT AWARD GRANT NOTICE**

**VESTING SCHEDULE**

 Performance-Based Vesting:

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**EXHIBIT C**

**TO PERFORMANCE-BASED RESTRICTED STOCK UNIT AWARD GRANT NOTICE**

This <u>Exhibit C</u> includes special terms and conditions applicable to Participants providing services to the Company in the countries below. These terms and conditions are in addition to those set forth in the RSU Agreement and the Plan and to the extent there are any inconsistencies between these terms and conditions and those set forth in the RSU Agreement and the Plan, as applicable, these terms and conditions shall prevail. Any capitalized term used in this <u>Exhibit C</u> without definition shall have the meaning ascribed to such term in the Plan or the RSU Agreement, as applicable.

***Participant is advised to seek appropriate professional advice as to how the relevant securities, exchange control and tax laws in Participant's country may apply to Participant's individual situation.***

**ALL COUNTRIES**

<u>Foreign Asset/Account and Tax Reporting Requirements; Exchange Controls</u>. Participant may be subject to foreign asset/account, exchange control and/or tax reporting requirements as a result of the vesting of the RSUs, the acquisition, holding and/or transfer of Shares or cash (including dividends and the proceeds arising from the sale of Shares) from participant's participation in the Plan and/or the opening and maintaining of a brokerage or bank account in connection with the Plan. Participant may be required to report such assets, accounts, account balances and values, any cross-border transactions, and/or related transactions to the applicable authorities in Participant's country and Participant may be required to report any acquisition or sale of Shares and any taxable income attributable to the RSUs to the applicable tax authority or other authority in Participant's country (including on Participant's annual tax return, if applicable). Participant may also be required to repatriate sales proceeds or other funds received as a result of Participant's participation in the Plan to Participant's country through a designated bank or broker and/or within a certain period of time after receipt. Participant acknowledges that Participant is responsible for ensuring compliance with any applicable foreign asset/account, exchange control and tax reporting and other requirements and should consult Participant's own personal tax and legal advisors, as applicable, on these matters.

**AUSTRALIA**

<u>Securities Law Notice</u>. The offer to Australian participants is made under Division 1A of Part 7.12 of the Corporations Act, 2001 (Cth).

<u>Special Tax Provisions</u>. Tax deferred treatment under Subdivision 83A-C of the Income Tax Assessment Act 1997 (Commonwealth of Australia) is intended to apply to those RSUs granted under the Plan, subject to the requirements of that Act.

**CANADA**

<u>Tax Withholding</u>

Notwithstanding Section 2.2(b) of the RSU Agreement, Participant may satisfy any Tax Withholding Liability through alternate arrangements satisfactory to the Company prior to the arising of the Tax Withholding Liability, otherwise such Tax Withholding Liability shall be satisfied as set forth in Section 2.2(b).

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<u>Cessation as a Service Provider</u>

The following provision replaces Section 2.1(b) of the RSU Agreement:

The RSUs shall vest in accordance with the Vesting Schedule set forth in the Grant Notice. Unless and until the RSUs have vested in accordance with the Vesting Schedule set forth in the Grant Notice, Participant will have no right to any distribution with respect to such RSUs. In the event Participant ceases to be a Service Provider for any reason prior to the vesting of all of the RSUs, any unvested RSUs will terminate automatically without any further action by the Company and be forfeited without further notice and at no cost to the Company. For purposes of the Award, the termination of Participant's status as a Service Provider will be considered to occur as of the earliest of: (i) the date that Participant's ceases to be a Service Provider or (ii) the date Participant receives notice of the termination of Participant's status as a Service Provider, regardless of any notice period or period of pay in lieu of such notice required under applicable employment law in the jurisdiction where Participant is providing services or the terms of Participant's employment or service contract, if any. Participant will not earn or be entitled to any pro-rated vesting for that portion of time before the date on which Participant's right to vest (if any) terminates, nor will Participant be entitled to any compensation for lost vesting. Notwithstanding the foregoing, if applicable employment standards legislation explicitly requires continued entitlement to vesting during a statutory notice period, Participant's cessation as a Service Provider shall be deemed to be effective as of the last day of Participant's minimum statutory notice period, but Participant will not earn or be entitled to pro-rated vesting if the vesting date falls after the end of Participant's statutory notice period, nor will Participant be entitled to any compensation for lost vesting.

<u>Securities Law Information</u>.

For the purposes of compliance with National Instrument 45-106 Prospectus Exemptions, the prospectus requirement does not apply to a distribution by an issuer in a security of its own issue with an employee, executive officer, director or consultant of the issuer or a related entity of the issuer, provided the distribution is voluntary.

Shares acquired under the Plan are subject to certain restrictions on resale imposed by Canadian provincial and territorial securities laws, as applicable. Notwithstanding any other provision of the Plan to the contrary, any transfer or resale of any Shares acquired by Participant pursuant to the Plan must be in accordance with the resale rules under applicable Canadian provincial and territorial securities laws, including (a) National Instrument 45-102 *Resale of Securities* ("45-102"), if Participant is a resident in the Province of British Columbia; and (b) Alberta Securities Commission Rule 72-501 *Distributions to Purchasers Outside Alberta* ("72-501"), if Participant is a resident in the Province of Alberta. In British Columbia, the prospectus requirement does not apply to the first trade of Shares issued in connection with the RSUs, provided the conditions set forth in section 2.14 of 45-102 are satisfied. In Alberta, the prospectus requirement does not apply to the first trade of Shares issued in connection with the RSUs, provided the conditions set forth in Section 2.10 of 72-501 are satisfied. The Shares acquired under the Plan may not be transferred or sold in Canada or to a Canadian resident other than in accordance with applicable provincial or territorial securities laws. Participant is advised to consult Participant's legal advisor prior to any resale of shares.

<u>Data Protection</u>. Section 3.10 of the Agreement is amended to add the following to the end of Section 3.10: In connection therewith, it is possible that personal data may be disclosed to governments, courts or law enforcement or regulatory agencies in that other country in accordance with the laws of that country.

**CHINA**

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<u>Settlement of RSUs and Sale of Shares</u>. The following provisions supplement Sections 2.1(c) and 2.2 of the RSU Agreement and supersede such provisions to the extent inconsistent with the following:

Notwithstanding Section 2.1(c) of the RSU Agreement, the Company may settle vested RSUs in cash in an amount equal to the Fair Market Value of one Share for each vested RSU, as determined by the Administrator, in which case Participant shall have no right to any Shares under the RSUs. Any such cash payment shall be made by Participant's local employer, less any or all income tax, social insurance, payroll tax, payment on account or other Tax Related Items related to Participant's participation in the Plan.

If the Administrator settles vested RSUs in the form of Shares, such settlement will be conditioned upon the Company securing all necessary approvals from the China State Administration of Foreign Exchange ("SAFE") and the requirements of such approval, as determined by the Company in its sole discretion. In the event the Company determines, in its discretion, that any SAFE approvals have not been obtained prior to any date(s) on which the RSUs are scheduled to vest in accordance with the Vesting Schedule set forth in the Grant Notice, the RSUs will not vest until the seventh day of the month following the month in which all applicable SAFE approval shave been obtained (the "<u>Actual Vesting Date</u>"). If Participant ceases to be a Service Provider prior to the Actual Vesting Date, Participant shall not be entitled to vest in any portion of the RSUs and the RSUs shall be forfeited without any liability to the Company or any Subsidiary.

Participant understands that Participant may be required to sell Shares acquired upon vesting of the RSUs immediately upon vesting or within a specified period following termination of employment, as determined by the Company in its discretion, and will be required to hold such Shares with the Company's designated brokerage firm until the Shares are sold. Further, Participant understands that Participant may be required to immediately repatriate to China proceeds from the sale of any Shares acquired under the Plan (and any dividends) and there may be delays in distributing the funds to Participant due to exchange control requirements in China. Participant understands that the Company is authorized to instruct its designated broker to assist with any mandatory sale of such Shares (on Participant's behalf pursuant to this authorization) and Participant expressly authorizes the Company's designated broker to complete the sale of such Shares. Participant acknowledges that the Company's designated broker will be under no obligation to arrange for the sale of the Shares at any particular price. The remittance, conversion and payment of the proceeds shall be made in accordance with the procedures adopted by the Company in order to comply with SAFE regulations and accordingly, may be subject to change from time to time. If the proceeds are paid in local currency, Participant acknowledges that the Company will be under no obligation to secure any particular exchange conversion rate. Participant agrees to bear any currency fluctuation risk between the time the Shares are sold and the net proceeds are distributed to Participant. Participant further agrees to comply with all requirements that may be imposed by the Company in the future with respect to the RSUs and issuance of Shares to facilitate compliance with applicable law and regulations in China.

**FRANCE**

<u>Consent to Receive Information in English</u>*.* By accepting the RSU Agreement providing for the terms and conditions of Participant's Award, Participant confirms having read and understood the documents relating to this Award (the Plan and this RSU Agreement) which were provided in English language. Participant accepts the terms of those documents accordingly.

*En acceptant le Contrat d'Attribution décrivant les termes et conditions de l'attribution, le Participant confirme ainsi avoir lu et compris les documents relatifs à cette attribution (le Plan U.S. et ce Contrat d'Attribution) qui ont été communiqués en langue anglaise. Le Participant accepte les termes en connaissance de cause.*

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<u>Securities Laws</u>. The Plan and this RSU Agreement do not require a prospectus to be submitted for approval to the French Financial Market Authority (the "***Autorité des marchés financiers***"). Participants may take part in the Plan solely for Participant's own account, as provided in the French Monetary and Financial Code. The financial instruments purchased under the Plan cannot be distributed directly or indirectly to the public otherwise than in accordance with the French Monetary and Financial Code.

<u>Tax Consequences</u>. RSUs subject to this RSU Agreement are not intended to qualify for favorable tax and social security regime under French law.

**GERMANY**

No disclosure required.

**HONG KONG**

<u>Sale of Shares</u>. In the event the RSUs vest within six (6) months of the Grant Date, Participant agrees not to sell any Shares acquired upon vesting of the RSUs prior to the six-month anniversary of the Grant Date.

<u>Securities Warning</u>. The grant of the RSUs and the issuance of Shares upon vesting do not constitute a public offer of securities under Hong Kong law and are available only to eligible Service Providers. The Plan, this RSU Agreement, and other incidental communication materials that Participant may receive have not been prepared in accordance with and are not intended to constitute a "prospectus" for a public offering of securities under applicable securities laws in Hong Kong. Participant understands that such documents are intended only for the personal use of each Participant and may not be distributed to any other person. Furthermore, none of the documents relating to the Plan have been reviewed by any regulatory authority in Hong Kong. Participant is advised to exercise caution in relation to the offer. If a Participant is in any doubt about any of the contents of the Plan, this RSU Agreement, any enrollment forms and other communication materials, Participant should obtain independent professional advice.

<u>Nature of Scheme</u>. The Company specifically intends that the Plan will not be an occupational retirement scheme for purposes of the Occupational Retirement Schemes Ordinance.

**INDIA**

<u>Exchange Control Information</u>. Participant must repatriate any funds received pursuant to the Plan (e.g., proceeds from the sale of Shares, dividends) to India within the stipulated period. Participant should consult Participant's own advisor with respect to such requirements. Participant also may be required to retain evidence of such repatriation.

<u>Notification Regarding Valuation of Shares for Tax Purposes</u>. Current tax laws in India require that the value of the Shares be determined by a category 1 merchant banker registered with the Securities and Exchange Board of India. This value, which the employer will use for purposes of determining the appropriate amount of tax to withhold upon vesting of the RSU (or upon any other applicable taxable event), may differ from the market value of the Shares indicated on reports provided to Participant by the Company's designated brokerage firm and/or the fair market value of the Shares determined under the Plan definition. Participant should consult with Participant's personal tax advisor regarding the valuation of the Shares and the taxation of the RSU.

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**IRELAND**

<u>Director Notification Information</u>. Directors, shadow directors and secretaries of an Irish affiliate must notify such affiliate in writing within a specified period of time following (i) receiving or disposing of an interest in the Company (e.g., the RSUs, Shares, etc.), (ii) becoming aware of the event giving rise to the notification requirement, or (iii) becoming a director or secretary if such an interest exists at the time, in each case if the interest represents more than 1% of the Company. This notification requirement also applies with respect to the interests of any spouse or children under the age of 18 of the director, shadow director or secretary (whose interests will be attributed to the director, shadow director or secretary). Participant should consult with Participant's personal legal advisor as to whether or not this notification requirement applies.

<u>Termination of Service</u>. Participant has no right to compensation or damages on account of any loss in respect of an Award under the Plan where the loss arises or is claimed to arise in whole or part from: (a) the termination of Participant's office or employment; or (b) notice to terminate Participant's office or employment. This exclusion of liability shall apply however termination of office or employment, or the giving of notice, is caused, and however compensation or damages are claimed. For the purpose of the Plan, the implied duty of trust and confidence is expressly excluded.

**ITALY**

<u>Plan Document Acknowledgment</u>. In accepting the grant of RSUs, Participant acknowledges that Participant has received a copy of the Plan and the RSU Agreement and has reviewed the Plan and the RSU Agreement in their entirety and fully understands and accepts all provisions of the Plan and the RSU Agreement. Participant further acknowledges that Participant has read and specifically and expressly approves the following sections of the RSU Agreement: Section 2.1(b) (Vesting), Section 2.2 (Tax Indemnity), Section 2.3 (Conditions to Issuance of Certificates), Article III (Other Provisions), and Exhibit B (Vesting Schedule).

<u>Securities Laws</u>. The offer and settlement of the RSUs do not require a prospectus to be submitted for approval to the Italian Securities and Exchange Commission (the "***Commissione Nazionale per le Società e la Borsa***" or "**CONSOB**").

**JAPAN**

<u>No Registration</u>. An award of RSUs representing a right to receive a number of Shares under the Plan will be offered in Japan by a private placement to small number of subscribers, as provided under Article 23-13, Paragraph 4 of the Financial Instruments and Exchange Law of Japan ("***FIEL***"), and accordingly, the filing of a securities registration statement pursuant to Article 4, Paragraph 1 of the FIEL has not been made, and such Award may not be assigned or transferred by Participant.

**MEXICO**

<u>Acknowledgment of the Agreement</u>. By participating in the Plan, Participant acknowledges that Participant has received a copy of the Plan, has reviewed the Plan in its entirety and fully understands and accepts all provisions of the Plan. Participant further acknowledges that Participant has read and expressly approves the terms and conditions set forth in the RSU Agreement, in which the following is clearly described and established: (a) Participant's participation in the Plan does not constitute an acquired right; (b) the Plan and Participant's participation in the Plan are offered by the Company on a wholly discretionary basis; (c) Participant's participation in the Plan is voluntary; (d) the Company and its Subsidiaries are not responsible for any decrease in the value of the underlying shares; and (e) the Plan is not to be deemed as

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an employment benefit granted by the employer, but rather a commercial one granted by the Company for which Participant does not render personal subordinated services.

*<u>Reconocimiento del Contrato</u>. Al participar en el Plan, usted reconoce que ha recibido una copia del Plan, que ha revisado el Plan en su totalidad, y que entiende y acepta en su totalidad, todas y cada una de las disposiciones del Plan. Asimismo reconoce que ha leído y aprueba expresamente los términos y condiciones señalados en el párrafo titulado* "***RSU Agreement***," *en lo que claramente se describe y establece lo siguiente: (a) su participación en el Plan no constituye un derecho adquirido; (b) el Plan y su participación en el Plan son ofrecidos por la Compañía sobre una base completamente discrecional; (c) su participación en el Plan es voluntaria; (d) la Compañía y sus Afiliadas no son responsables de ninguna por la disminución en el valor de las Acciones subyacentes; y (e) este Plan no debe considerarse como una prestación laboral otorgada por el patrón, sino como un beneficio commercial otorgado por la Compañía, para la cual usted no desempeña servicio personal subordinado alguno.*

<u>Labor Law Policy and Acknowledgment</u>. By participating in the Plan, Participant expressly recognizes that Xperi Inc., with registered offices at 2190 Gold St., San Jose, California 95002, USA, is solely responsible for the administration of the Plan and that Participant's participation in the Plan and acquisition of shares does not constitute an employment relationship between Participant and the Company since Participant is participating in the Plan on a wholly commercial basis and Participant's sole employer is iBiquity Digital, S. de R.L. de C.V., located at Col. Florida, C.P., Insurgentes Sur 1898, Mexico City Mexico 1020, Mexico ("Xperi Mexico"). Based on the foregoing, Participant expressly recognizes that the Plan and the benefits that Participant may derive from participation in the Plan do not establish any rights between Participant and Participant's employer, Xperi Mexico, and do not form part of the employment conditions and/or benefits provided by Xperi Mexico, and any modification of the Plan or its termination shall not constitute a change or impairment of the terms and conditions of Participant's employment.

Participant further understands that Participant's participation in the Plan is as a result of a unilateral and discretionary decision of the Company; therefore, the Company reserves the absolute right to amend and/or discontinue Participant's participation at any time without any liability to Participant.

Finally, Participant hereby declares that Participant does not reserve any action or right to bring any claim against the Company for any compensation or damages regarding any provision of the Plan or the benefits derived under the Plan, and Participant therefore grants a full and broad release to the Company, its Subsidiaries, branches, representation offices, its shareholders, officers, agents or legal representatives with respect to any claim that may arise.

*Política de Legislación Laboral y Reconocimiento. Al participar en el Plan, usted reconoce expresamente que Xperi Inc., con oficinas registradas en 2190 Gold St., San Jose, California 95002, Estados Unidos de América, es la única responsable por la administración del Plan, y que su participación en el Plan, así como la adquisición de las Acciones, no constituye una relación laboral entre usted y la Compañía, debido a que usted participa en el plan sobre una base completamente mercantil y su único patrón es* iBiquity Digital, S. de R.L. de C.V.*, ubicado en* Col. Florida, C.P., Insurgentes Sur 1898, Mexico City Mexico 1020, Mexico *("Xperi Mexico"). Con base en lo anterior, usted reconoce expresamente que el Plan y los beneficios que pudiera obtener por su participación en el Plan, no establecen derecho alguno entre usted y su patrón, Xperi Mexico, y no forman parte de las condiciones y/o prestaciones laborales por Xperi Mexico ofrece, y que las modificaciones al Plan o su terminación, no constituirán un cambio ni afectarán los términos y condiciones de su relación laboral.*

*Asimismo usted entiende que su participación en el Plan es el resultado de una decisión unilateral y discrecional de la Compañía; por lo tanto, la Compañía se reserva el derecho absoluto de modificar y/o suspender su participación en cualquier momento, sin que usted incurra en responsabilidad alguna.*

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*Finalmente, usted declara que no se reserva acción o derecho alguno para interponer reclamación alguna en contra de la Compañía, por concepto de compensación o daños relacionados con cualquier disposición del Plan o de los beneficios derivados del Plan, y por lo tanto, usted libera total y ampliamente de toda responsabilidad a la Compañía, a sus Afiliadas, sucursales, oficinas de representación, sus accionistas, funcionarios, agentes o representantes legales, con respecto a cualquier reclamación que pudiera surgir.*

**NORWAY**

No disclosure required.

**POLAND**

No disclosure required.

**REPUBLIC OF KOREA**

No disclosure required.

**ROMANIA**

No disclosure required.

**SINGAPORE**

<u>Securities Law Information</u>. The award of RSUs representing a right to receive a number of Shares pursuant to the Plan is being made in reliance of Section 273(1)(f) of the Securities and Futures Act (Cap. 289 of Singapore) ("***SFA***") for which it is exempt from the prospectus requirements under the SFA. The Plan has not been lodged or registered as a prospectus with the Monetary Authority of Singapore. Participant should note that the RSUs are subject to section 257 of the SFA and Participant will not be able to make any subsequent sale in Singapore of the Shares acquired through the vesting of the RSUs or any offer of such sale in Singapore unless such sale or offer is made (i) more than six (6) months from the Grant Date, (ii) pursuant to the exemptions under Part XIII Division 1 Subdivision (4) (other than section 280) of the SFA, or (iii) pursuant to, and in accordance with the conditions of, any other applicable provisions of the SFA.

In addition, Participant is permitted to sell Shares acquired under the Plan through the designated broker appointed under the Plan, if any, provided the resale of Shares acquired under the Plan takes place outside Singapore through the facilities of a stock exchange on which the Shares are listed.

<u>Director / CEO Notification Obligation</u>. If Participant is a director or chief executive officer (as applicable) of a company incorporated in Singapore which is related to the Company ("***Singapore Company***"), Participant is subject to certain disclosure/notification requirements under the Companies Act of Singapore. Among these requirements is an obligation to notify the Singapore Company in writing when Participant acquires an interest (such as shares, debentures, participatory interests, rights, options and contracts) in the Company (e.g., the RSUs, the Shares or any other award). In addition, Participant must notify the Singapore Company when Participant disposes of such interest in the Company (including when Participant sells Shares issued upon vesting and settlement of the Award). These notifications must be made within two days of acquiring or disposing of any such interest in the Company. In addition, a notification of Participant's interests in the Company must be made within two (2) business days of

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becoming a director or chief executive officer (as applicable). Participant should consult with Participant's own adviser to determine Participant's disclosure/notification obligations, if any.

**SWEDEN**

<u>Tax Withholding</u>

The following provision supplements Section 2.2 of the RSU Agreement:

Without limiting the Company's and the Service Recipient's authority to satisfy their withholding obligations for Tax Related Items as set forth in Section 2.2 of the RSU Agreement, in accepting the grant of RSUs, Participant authorizes the Company to withhold Shares or to sell Shares otherwise deliverable to Participant upon vesting/settlement to satisfy Tax Related Items, regardless of whether the Company and/or the Service Recipient have an obligation to withhold such Tax Related Items.

**TAIWAN**

<u>Securities Laws</u>. Participant fully understands that the offer of the RSUs has not been and will not be registered with or approved by the Financial Supervisory Commission of the Republic of China pursuant to relevant securities laws and regulations and the RSUs may not be offered or sold within the Republic of China through a public offering or in circumstances which constitute an offer within the meaning of the Securities and Exchange Law of the Republic of China that requires a registration or approval of the Financial Supervisory Commission of the Republic of China.

**UNITED KINGDOM**

<u>Settlement</u>. Notwithstanding the terms set forth in Sections 9(c) of the Plan, the RSUs shall be settled in Share only and not in cash or a combination of cash and Shares.

<u>Tax Withholding</u>

The following provision supplements Section 2.2 of the RSU Agreement:

Without limitation to any provision of the RSU Agreement, Participant agrees that Participant is liable for all Tax Related Items (other than any employer national insurance or social security contribution) and hereby covenant to pay all such Tax Related Items as and when requested by the Company or the Service Recipient or by HM Revenue and Customs ("***HMRC***") (or any other relevant authority). Participant also agrees to indemnify and keep indemnified the Company and the Service Recipient against any Tax Related Items that they are required to pay or withhold or have paid or will pay on Participant's behalf to HMRC (or any other relevant authority).

Notwithstanding the foregoing, if Participant is a director or executive officer of the Company (within the meaning of Section 13(k) of the Exchange Act), Participant understands that Participant may not be able to indemnify the Company for the amount of any income tax not collected from or paid by Participant, in case the indemnification could be considered a loan. In this case, the income tax not collected or paid may constitute a benefit to Participant on which additional income tax and national insurance contributions ("***NICs***") may be payable. Participant will be responsible for reporting and paying any income tax due on this additional benefit directly to HMRC under the self-assessment regime and for paying the Company or the Service Recipient (as applicable) for the value of any employee NICs due on this additional benefit, which the Company and/or the Service Recipient may recover from Participant by any of the means referred to in Section 2.2 of the RSU Agreement.

------

<u>Eligible Participants</u>. Notwithstanding anything to the contrary in the Plan or this RSU Agreement, in the United Kingdom only Employees of the Company or any Parent or Subsidiaries are eligible to be granted RSUs. Other persons who are not Employees are not eligible to receive RSUs in the United Kingdom. This RSU Agreement forms the rules of the employee share scheme applicable to, amongst others, the United Kingdom-based Employees of the Company and any Parent or Subsidiaries. All Awards granted to Employees of the Company or any Parent or Subsidiaries who are based in the United Kingdom will be granted on similar terms.

<u>Termination of Service</u>. Participant has no right to compensation or damages on account of any loss in respect of an Award under the Plan where the loss arises or is claimed to arise in whole or part from: (a) the termination of Participant's office or employment; or (b) notice to terminate Participant's office or employment. This exclusion of liability shall apply however termination of office or employment, or the giving of notice, is caused, and however compensation or damages are claimed. For the purpose of the Plan, the implied duty of trust and confidence is expressly excluded.

<u>Special Tax Provisions</u>. At the discretion of the Company, the RSUs will not vest until Participant has entered into an election with the Company (or the Service Recipient, as applicable) in a form approved by the Company and Her Majesty's Revenue & Customs (a "***Joint Election***") under which any liability of the Service Recipient for the employer's National Insurance contributions arising in respect of the vesting or settlement of the RSUs, the disposal of any Shares issued pursuant to the settlement of the RSUs or otherwise pursuant to this RSU Agreement is transferred to and met by Participant**.**

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## Exhibit 31.1

**Exhibit 31.1**

**CERTIFICATION**

I, Jon Kirchner, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Xperi Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ Jon Kirchner |
|  | Jon Kirchner |
|  | Chief Executive Officer and President |

---

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## Exhibit 31.2

**Exhibit 31.2**

**CERTIFICATION**

I, Robert Andersen, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Xperi Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ Robert Andersen |
|  | Robert Andersen |
|  | Chief Financial Officer |

---

------

## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION PURSUANT TO**

**RULE 13a-14(b) OF THE SECURITIES EXCHANGE ACT OF 1934**

**AND 18 U.S.C. SECTION 1350**

In connection with the Quarterly Report of Xperi Inc., a Delaware corporation (the "Company"), on Form 10-Q for the quarter ended June 30, 2025 as filed with the Securities and Exchange Commission (the "Report"), I, Jon Kirchner, Chief Executive Officer and President, certify, pursuant to Rule 13a-14(b) of the Securities Exchange Act of 1934 and 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that to my knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| |
|:---|
| /s/ Jon Kirchner |
| Jon Kirchner |
| Chief Executive Officer and President |
| August 7, 2025 |

---

**CERTIFICATION PURSUANT TO**

**RULE 13a-14(b) OF THE SECURITIES EXCHANGE ACT OF 1934**

**AND 18 U.S.C. SECTION 1350**

In connection with the Quarterly Report of Xperi Inc., a Delaware corporation (the "Company"), on Form 10-Q for the quarter ended June 30, 2025 as filed with the Securities and Exchange Commission (the "Report"), I, Robert Andersen, Chief Financial Officer of the Company, certify, pursuant to Rule 13a-14(b) of the Securities Exchange Act of 1934 and 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that to my knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| |
|:---|
| /s/ Robert Andersen |
| Robert Andersen |
| Chief Financial Officer |
| August 7, 2025 |

---

*A signed original of this written statement required by Rule 13a-14(b) of the Securities Exchange Act of 1934 and 18 U.S.C. Section 1350 has been provided to the Registrant and will be retained by the Registrant and furnished to the Securities and Exchange Commission or its staff upon request.*

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