Document:

Exhibit 10.1

 Exhibit 10.1 
 EXECUTION VERSION 
 PURCHASE AGREEMENT 

between 

NJA HOTEL LLC 
 (“Owner” or “Seller”) 
 and 

CHSP NAVY YARD LLC 
 (“Buyer”) 

Location:           Marriott Courtyard Capitol Hill/ Navy Yard 

            140 L Street, S.E., Washington, DC 

Dated: February 23, 2011 

 EXECUTION VERSION 

 
 TABLE OF CONTENTS 

 

											
	 	 	 	 	 	 	 	  	Page	 
				
	 1.
	 		 	Certain Defined Terms	  	 	1	  
				
	 2.
	 		 	Property	  	 	1	  
				
	 3.
	 		 	Payment of Purchase Price	  	 	2	  
		 	3.1	 		 	Escrow Deposit	  	 	2	  
		 	3.2	 		 	Closing Payment	  	 	3	  
		 	3.3	 		 	Allocation of Purchase Price	  	 	3	  
				
	 4.
	 		 	Conditions Precedent	  	 	3	  
		 	4.1	 		 	Title Matters	  	 	4	  
		 		 	4.1.1	 	 Title Report
	  	 	4	  
		 		 	4.1.2	 	 Additional Title Matters
	  	 	4	  
		 		 	4.1.3	 	 Seller Liens
	  	 	4	  
		 		 	4.1.4	 	 Exceptions to Title
	  	 	5	  
		 		 	4.1.5	 	 Endorsements to Owner’s Policy
	  	 	5	  
		 		 	4.1.6	 	 Due Diligence Reviews
	  	 	5	  
		 	4.2	 		 	Performance by Seller	  	 	6	  
		 	4.3	 		 	Performance by Buyer	  	 	7	  
		 	4.4	 		 	Hotel Franchise Agreement and Hotel Management Agreement	  	 	7	  
		 	4.5	 		 	Liquor Licenses	  	 	8	  
		 	4.6	 		 	Loan Assumption	  	 	8	  
		 	4.7	 		 	Environmental and Property Condition Reports and Survey	  	 	9	  
		 	4.8	 		 	Independent Audit	  	 	9	  
				
	 5.
	 		 	Closing Procedure	  	 	10	  
		 	5.1	 		 	Closing Deliveries	  	 	10	  
		 		 	5.1.1	 	 Seller Deliveries
	  	 	10	  
		 		 	5.1.2	 	 Buyer Deliveries
	  	 	11	  
		 		 	5.1.3	 	 Mutual Deliveries
	  	 	12	  
		 	5.2	 		 	Closing Costs	  	 	12	  
		 	5.3	 		 	Prorations	  	 	12	  
		 		 	5.3.1	 	 Items to be Prorated
	  	 	12	  
		 		 	5.3.2	 	 Calculation
	  	 	15	  
		 		 	5.3.3	 	 Accounts Receivable
	  	 	16	  
		 		 	5.3.4	 	 Bank Accounts, Inventory and Seller’s Deposits
	  	 	16	  
		 		 	5.3.5	 	 Surviving Obligations
	  	 	16	  
				
	 6.
	 		 	Condemnation or Destruction of Property	  	 	16	  
				
	 7.
	 		 	Representations, Warranties and Covenants	  	 	17	  
		 	7.1	 		 	Representations, Warranties and Covenants of Seller	  	 	17	  
		 	7.2	 		 	Representations, Warranties and Covenants of Buyer	  	 	22	  
		 	7.3	 		 	Survival	  	 	24	  

  
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 EXECUTION VERSION 

 
  

											
		 	  7.4  	 		 	Interim Covenants of Seller	  	 	24	  
		 		 	7.4.1	 	 Maintenance/Operation
	  	 	24	  
		 		 	7.4.2	 	 Service Contracts
	  	 	24	  
		 		 	7.4.3	 	 Leases
	  	 	24	  
		 	  7.5  	 		 	Intentionally Deleted	  	 	25	  
		 	  7.6  	 		 	Franchise Agreement and Hotel Management Agreement Indemnity	  	 	25	  
		 	  7.7  	 		 	Warranties and Guaranties	  	 	25	  
		 	  7.8  	 		 	Insurance	  	 	25	  
		 	  7.9  	 		 	Maintenance	  	 	25	  
		 	  7.10	 		 	Removal of Personal Property	  	 	25	  
		 	  7.11	 		 	Independent Audit	  	 	25	  
		 	  7.12	 		 	Assumed Liabilities	  	 	26	  
			
	 8.
	 	     Labor and Employment Matters
	  	 	26	  
			
	 9.
	 	     DISCLAIMER, RELEASE AND ASSUMPTION
	  	 	27	  
		 	  9.1  	 		 	DISCLAIMER	  	 	27	  
		 		 	9.1.1	 	 AS-IS, WHERE-IS
	  	 	27	  
		 		 	9.1.2	 	 SOPHISTICATION OF BUYER
	  	 	28	  
		 		 	9.1.3	 	 PASSIVE OWNER
	  	 	28	  
		 		 	9.1.4	 	 DUE DILIGENCE MATERIALS
	  	 	28	  
		 	  9.2  	 		 	RELEASE	  	 	28	  
		 	  9.3  	 		 	SURVIVAL	  	 	29	  
			
	 10.
	 	     Disposition Of Escrow Deposit
	  	 	29	  
		 	10.1  	 		 	Default by Seller	  	 	29	  
		 	10.2  	 		 	Default By Buyer	  	 	29	  
		 	10.3  	 		 	Closing	  	 	30	  
			
	 11.
	 	     Miscellaneous
	  	 	30	  
		 	11.1  	 		 	Brokers	  	 	30	  
		 	11.2  	 		 	Limitation of Liability	  	 	30	  
		 	11.3  	 		 	Exhibits; Entire Agreement; Modification	  	 	31	  
		 	11.4  	 		 	Time of the Essence	  	 	31	  
		 	11.5  	 		 	Interpretation	  	 	31	  
		 	11.6  	 		 	Governing Law	  	 	32	  
		 	11.7  	 		 	Successors and Assigns	  	 	32	  
		 	11.8  	 		 	Notices	  	 	32	  
		 	11.9  	 		 	Third Parties	  	 	33	  
		 	11.10	 		 	 Intentionally Deleted
	  	 	33	  
		 	11.11	 		 	 Legal Costs
	  	 	33	  
		 	11.12	 		 	 No Recordation
	  	 	34	  
		 	11.13	 		 	 Counterparts
	  	 	34	  
		 	11.14	 		 	 Effectiveness
	  	 	34	  
		 	11.15	 		 	 Soils Disclosure
	  	 	34	  
		 	11.16	 		 	 Underground Storage Tank
	  	 	34	  
		 	11.17	 		 	 PIP
	  	 	34	  
		 	11.18	 		 	 Publicity
	  	 	34	  

  
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 EXECUTION VERSION 

 
 EXHIBIT LIST 

 

					
	“A”	  	-	  	PIP
	“B”	  	-	  	Legal Description of Land
	“C”	  	-	  	Title Actions
	“D”	  	-	  	Form of Escrow Instructions
	“E”	  	-	  	Form of Special Warranty Deed
	“F”	  	-	  	Form of Bill of Sale
	“G”	  	-	  	Form of General Assignment and Assumption
	“G-1”	  	-	  	Form of Assignment of Intangibles
	“H”	  	-	  	Form of Seller’s Closing Certificate
	“I”	  	-	  	Form of Certificate of Non-Foreign Status
	“J”	  	-	  	Form of Buyer’s Closing Certificate
	“K”	  	-	  	Tenant List/Security Deposits
	“L”	  	-	  	Existing Litigation
	“M”	  	-	  	Service Agreements
	“N”	  	-	  	Environmental Reports
	“O”	  	-	  	Mortgage Loan Documents
	“P”	  	-	  	Underground Storage Tank Disclosure

  
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 PURCHASE AGREEMENT 

THIS AGREEMENT (this “Agreement”) is made and entered into as of the 23 day of February, 2011 (“Effective
Date”), by and among NJA HOTEL LLC, a Delaware limited liability company (hereinafter referred to as the “Owner” or “Seller”), and CHSP NAVY YARD LLC, a Delaware limited liability company
(“Buyer”). 
 R E C I T A L S 
 A. Owner is the owner of that certain hotel commonly known as the Marriott Courtyard Capitol Hill/Navy Yard located at 140 L Street, S.E., Washington, D.C. (the “Hotel”). 

B. Buyer desires to purchase the Hotel on the terms and conditions hereinafter documented. 

NOW, THEREFORE, in consideration of the mutual undertakings of the parties hereto, it is hereby agreed as follows: 

1. Certain Defined Terms. As used herein: 
 a. “Purchase Price” shall mean Sixty-Eight Million and No/100 U.S. Dollars ($68,000,000). 
 b. “Escrow Deposit” shall mean an amount equal to Three Million Five Hundred Thousand Dollars ($3,500,000). 
 c. “PIP” shall mean the plan for the property improvement of the Hotel as described in Exhibit “A” attached hereto, including but not limited to design drawings,
construction drawings, construction plans and specifications, furniture, fixture and equipment plans and specifications, and all other plans relating to the PIP in connection with the Hotel. 

d. “Mortgage Loan” shall mean that certain existing debt secured by the Property as evidenced by that certain Amended and
Restated Promissory dated January 16, 2009 in the amount of $38,894,035.75 by Seller for the benefit of Wells Fargo Bank, N.A., as Trustee for the Registered Holders of Morgan Stanley Capital I Inc., Commercial Mortgage Pass-Through
Certificates, Series 2006-IQ12 (“Lender”), as secured by that certain Deed of Trust and Security Agreement dated October 31, 2006. 
 e. “TIF” shall mean that certain Development Agreement dated January 1, 2004 by and between the District of Columbia and NJA Development Partners, L.P. in connection with tax
increment financing for the Property. 
 2. Property. Upon the terms and conditions set forth, Seller shall sell to
Buyer, and Buyer shall purchase from Seller, the “Property” (as hereinafter defined). As used herein, the “Property” means all right, title and interest of Seller in and to (a) the land (the “Land”)

 EXECUTION VERSION 

 
 
described in Exhibit “B”, together with all easements, interests in roadways, strips and other rights appurtenant to the Land, (b) all improvements, structures and fixtures
located upon or affixed to the Land (collectively, the “Improvements”), (c) all furniture, fixtures, equipment, machinery, building systems, vehicles, computer hardware, art work, security systems, key cards (together with all
devices for coding and monogramming such key cards), appliances, china, glassware, silverware, linens, uniforms, engineering, maintenance, cleaning and housekeeping supplies, matches and ashtrays, soap and other toiletries, stationery, menus and
other printed materials, and all other similar materials and supplies food and beverage inventories (alcoholic and non-alcoholic) whether opened or unopened, merchandise located at the Hotel, including, without limitation, any gift shop or newsstand
maintained by Seller or Manager, and held for sale to guests and customers of the Hotel and all other items of tangible personal property located on the Land or at the Hotel and used in connection with the operation of the Hotel (collectively, the
“Tangible Personal Property”), (d) to the extent assignable, all “Leases” (as hereinafter defined) together with all security deposits held by Seller thereunder, to the extent such deposits are transferable,
and “Service Agreements” (as hereinafter defined) together with all deposits made or held by Seller thereunder, to the extent such deposits are transferable, (e) all governmental permits, licenses, consents, authorizations,
registrations and certificates and approvals used in connection with the construction, ownership, occupancy or operation of the Hotel (the “Licenses and Permits”) together with any deposits made by Seller thereunder, to the extent
such Licenses and Permits and deposits are transferable, warranties and guarantees that Seller has received in connection with any work or services performed with respect to, or equipment installed in, the Improvements directly relating to the
Hotel, telephone numbers, TWX numbers, post office boxes, signage rights, utility and development rights and privileges, site plans, surveys, plans and specifications pertaining to the Land, Improvements and the Tangible Personal Property, and all
websites and domains used for the Hotel, including access to the FTP files of the websites to obtain website information and content pertaining to the Hotel, any insurance proceeds and condemnation awards or claims thereto to be assigned to Buyer
hereunder, any computer systems, software, data and programs, operating systems, technology and technical information, copyrights, together with all paper and electronic copies thereof, other than proprietary property of Manager in which Seller does
not have any ownership right or interest pursuant to the terms of the Management Agreement, and all books and records relating to the Property (collectively, the “Intangible Property”) and (f) all bookings and reservations for
guest, conference, meeting and banquet rooms or other facilities at the Hotel that are made before the Closing Date (the “Bookings”), together with all deposits held by Seller with respect thereto and any and all books, records and
contracts related thereto. 
 3. Payment of Purchase Price. The Purchase Price shall be paid to Seller by Buyer as
follows: 
 3.1 Escrow Deposit. Concurrently with the execution and delivery of this Agreement by both Seller and Buyer,
Buyer shall deliver the Escrow Deposit to the Title Company (hereinafter defined) (which company, in its capacity as escrow holder hereunder, is called (“Escrow Holder”). The Escrow Deposit shall be delivered to Escrow Holder by
wire transfer of immediately available federal funds or by bank or cashier’s check drawn on a national bank reasonably satisfactory to Seller. The Escrow Deposit shall be held by Escrow Holder as a deposit against the Purchase Price in
accordance with the terms and provisions of this Agreement. At all times that the Escrow Deposit is being held by the Escrow Holder, the 

  
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 EXECUTION VERSION 

 
 
Escrow Deposit shall be invested by Escrow Holder in the following investments (“Approved Investments”): (i) United States Treasury obligations, (ii) the Bank of
America money market fund that invests in U.S. Treasury securities known as “Nations Treasury Reserves - Daily Shares (symbol NTRDX)” or (iii) such other manner as may be reasonably agreed to by Seller and Buyer. The Escrow Deposit
shall be disposed of by Escrow Holder only as provided in this Agreement. All accrued interest on the Escrow Deposit shall become part of the Escrow Deposit. 
 3.2 Closing Payment. The Purchase Price, as adjusted by the application of the Escrow Deposit, a credit in the amount of the then-outstanding principal balance as of Closing of the Mortgage Loan,
and by the prorations and credits specified herein, shall be paid by wire transfer of immediately available federal funds (through the escrow described in Section 5) on the “Closing Date” (as hereinafter defined). The amount to be
paid under this Section 3.2 being herein called the “Closing Payment”. It is hereby understood and agreed that Buyer shall assume the Mortgage Loan and Seller shall cooperate with Buyer in connection with such assumption. Buyer
shall pay all costs and fees associated with such assumption (other than costs Seller incurs with respect to its legal fees and other costs and expenses it may incur with respect to any release of its guarantees or other obligations under the
Mortgage Loan). Such assumption shall be a condition precedent to Closing. 
 3.3 Allocation of Purchase Price. Seller
and Buyer shall cooperate with each other in good faith to arrive, prior to the Closing, at a mutually acceptable allocation of the Purchase Price (the “Allocation”) among the Land, the Improvements, and the personal property, with
the amount allocable to personal property being further allocated between Tangible Personal Property and Intangible Property. Seller and Buyer agree to (i) be bound by the Allocation, (ii) act in accordance with the Allocation in the
preparation of financial statements and filing of all tax returns and in the course of any tax audit, tax review or tax litigation relating thereto, and (iii) refrain from, and cause their affiliates to refrain from, taking a position
inconsistent with the Allocation for all tax purposes. If Seller and Buyer cannot agree upon Allocations prior to the Closing, each party shall file federal, state and local tax returns based on each party’s own determination of the Allocation,
each bearing its own consequences of any discrepancies. 
 4. Conditions Precedent. The obligation of Buyer to acquire,
and Seller to transfer, the Property as contemplated by this Agreement is subject to satisfaction of each of the following conditions precedent (any of which may be waived in writing by the party in whose favor such condition exists) on or before
the applicable date specified for satisfaction of the applicable condition. If any of such conditions are not fulfilled (or waived) pursuant to the terms of this Agreement, then this Agreement shall terminate and, in connection with any such
termination made in accordance with this Section 4, Seller and Buyer shall be released from further obligation or liability hereunder (except for those obligations and liabilities which, pursuant to the terms of this Agreement, survive such
termination), and the Escrow Deposit shall be disposed of in accordance with Section 10. The “Closing” (as hereinafter defined) shall constitute approval by each party of all matters to which such party has a right of approval and a
waiver of all conditions precedent. 

  
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 EXECUTION VERSION 

 
 4.1 Title Matters 

4.1.1 Title Report. Buyer acknowledges its receipt and approval of the current title insurance commitment or policy (the
“Commitment”) for the Hotel from Chicago Title Insurance Company under Commitment No. 1160-11002, as last continued through December 29, 2010 (“Commitment Date”), or a local affiliate thereof doing
business in the District of Columbia (which company, in its capacity as title insurer hereunder, is herein called the “Title Company”). 
 4.1.2 Additional Title Matters. Approval by Buyer of any additional exceptions to title matters disclosed after the Commitment Date (“Additional Title Matters”) shall be a
condition precedent to Buyer’s obligations to purchase the Property (Buyer hereby agreeing that its approval of Additional Title Matters shall not be unreasonably withheld). Unless Buyer gives written notice (“Title Disapproval
Notice”) that it disapproves any Additional Title Matters, stating the Additional Title Matters so disapproved, within fifteen (15) days after receipt of written notice of such Additional Title Matters, Buyer shall be deemed to have
approved such Additional Title Matters. Seller shall have up to a thirty (30) day period after its receipt of any Title Disapproval Notice within which to remove the disapproved Additional Title Matters set forth therein from title or obtain
from Title Company a commitment to issue an endorsement affirmatively insuring against such items in a form reasonably acceptable to Buyer at no cost or expense to Buyer (Seller having the right but not the obligation to do so), and the Closing Date
shall be extended, at Seller’s option, to allow for such thirty (30) day period. In the event Seller determines at any time that it is unable or unwilling to remove any one or more of such disapproved Additional Title Matters, Seller shall
give written notice to Buyer to such effect; in such event, Buyer may, at its option, terminate this Agreement upon written notice to Seller, but only if (i) such matters reasonably represent a Material Adverse Additional Title Matter (as
defined below); and (ii) such notice is given on or before the date which is six (6) Business Days after Buyer receives Seller’s notice that Seller shall be unable or unwilling to remove such Material Adverse Additional Title Matter.
If Buyer fails to give such termination notice by such date or such matters do not represent a Material Adverse Additional Title Matter, Buyer shall be deemed to have waived its objection to, and approved, the matters set forth in Seller’s
notice. For the purposes of this Section 4.1.2, “Material Adverse Additional Title Matter” shall mean those items or matters that appear of record after the Commitment Date with respect to the Property that are reasonably
likely to materially and adversely affect the (A) ownership and use of the Property as a Hotel; or (B) ability to finance the Property. 
 4.1.3 Seller Liens. Notwithstanding the foregoing provisions of this Section 4.1, Seller shall be obligated to take such actions as may be reasonably required by the Title Company so that the
Title Company is willing to issue title insurance to Buyer without exception for any “Seller Liens” (which, as used herein, means any mortgage or deed of trust liens, construction or mechanics’ liens, tax liens or other liens
or charges in a fixed sum or capable of computation as a fixed sum created by Seller that encumber the Land or Improvements), which Seller Liens shall not include the Mortgage Loan which shall be assumed by Buyer. Such actions shall include
obtaining a pay-off letter and leaving a portion of the Purchase Price in escrow to satisfy the Seller Liens. 

  
 - 4 -

 EXECUTION VERSION 

 
 4.1.4 Exceptions to Title. Buyer shall be obligated
to accept title to the Property at Closing, subject to the following exceptions to title (the “Permitted Exceptions”): 
 (a) Real estate taxes and assessments not yet due and payable as of the Closing Date; 
 (b) The printed exceptions that appear in the Commitment as set forth on Exhibit “C” of this Agreement, and subject to Seller’s obligations set forth in Section 4.1.3 above;

 (c) All matters that constitute Buyer approved Additional Title Matters; 

(d) Any and all liens and encumbrances caused by or through Buyer; 

(e) Laws, statutes and ordinances, including zoning laws; 
 (f) Such other exceptions to title exceptions as may be approved (or deemed approved) by Buyer pursuant to the above provisions of this Section 4.1 or otherwise expressly permitted under this
Agreement; 
 (g) Such other exceptions to survey as may be approved (or deemed approved) by Buyer pursuant to the provisions
of Section 4.7 or otherwise expressly permitted under this Agreement; and 
 (h) The Mortgage Loan. 

Conclusive evidence of the availability of such title shall be the willingness of Title Company to issue to Buyer on the Closing Date an owner’s
title insurance policy in the standard form issued in the District of Columbia (the “Owner’s Policy”), in the face amount of the Purchase Price, or in the event that the parties have been unable to agree upon an Allocation in
the amounts allocated to Land and Improvements pursuant to Section 3.3. hereof, which policy shall show (i) title to the Land and Improvements to be vested of record in Buyer, and (ii) the Permitted Exceptions to be the only
exceptions to title. 
 4.1.5 Endorsements to Owner’s Policy. It is understood that Buyer may request a number of
endorsements to the Owner’s Policy However, the issuance of such endorsements shall not be a condition to Closing. 

4.1.6 Due Diligence Reviews. Buyer represents and warrants that it has completed its due diligence review of the PIP and the
Property and is satisfied with the results thereof. Notwithstanding the foregoing, between the date hereof and the Closing Date, Seller shall provide Buyer with reasonable access to the Property (subject to this Section 4.1) upon reasonable
advance notice and shall also make available to Buyer (to the extent in Seller’s possession) such leases, service contracts and other non-proprietary information relating to the operation of the Property as Buyer shall reasonably request, all
upon reasonable advance notice. In no event, however, shall Seller be obligated to make available any proprietary or confidential 

  
 - 5 -

 EXECUTION VERSION 

 
 
documents. Buyer shall at all times conduct its review, inspections and examinations in a manner so as to not cause liability, damage, lien, loss, cost or expense to Seller or the Property and so
as to not unreasonably interfere with or unreasonably disturb the Manager, any guest or any tenant at the Property, and Buyer will indemnify, defend, and hold Seller and the Property harmless from and against any such liability, damage, lien, loss,
cost or expense, to the extent caused by Buyer’s review, inspections and examinations (the foregoing obligation surviving any termination of this Agreement). Prior to entry upon the Property, Buyer shall provide Seller with copies of
certificates of insurance evidencing comprehensive general liability insurance policies (naming Seller as an additional insured) which shall be maintained by Buyer in connection with its investigations upon the Property prior to the date of entry
upon the Property, with limits, coverages and insurers under such policies reasonably satisfactory to Seller. Without limitation on the foregoing, in no event shall Buyer: (a) make any intrusive physical testing (environmental, structural or
otherwise) at the Property (such as soil borings, water samplings or the like) without Seller’s express written consent which may be given or withheld in Seller’s sole discretion (and Buyer shall in all events promptly return the Property
to its prior condition and repair thereafter) and which may be further conditioned upon, among other things, Seller’s approval of the following: (i) the insurance coverage of the contractor who will be conducting such testing;
(ii) the scope and nature of such testing to be performed by such contractor; and (iii) a written confidentiality agreement by such contractor in form reasonably satisfactory to Seller; (b) contact the Manager or any tenant of the
Property without Seller’s express written consent (which shall not be unreasonably withheld); (c) contact any governmental authority having jurisdiction over the Property without Seller’s express written consent (which shall not be
unreasonably withheld); provided, Buyer may in the course of its due diligence contact governmental authorities with respect to determining Seller’s and the Hotel’s compliance with applicable zoning or building code requirements and
regulations, and to cause the transfer or issuance of all applicable licenses and permits (including liquor licenses) necessary for the continued normal operation of the Hotel following the Closing. Seller shall have the right, at its option, to
cause a representative of Seller to be present at all inspections, reviews and examinations conducted hereunder. At Seller’s written request, Buyer shall promptly deliver to Seller true, accurate and complete copies of any final written reports
relating to the Property prepared for or on behalf of Buyer by any third party; provided that Buyer makes no representation or warranty with respect to the accuracy, completeness or contents of such reports and that Buyer is not otherwise prevented
by such third-party from providing such reports to Seller. In the event of any termination of this Agreement, upon Seller’s written request Buyer shall return all documents and other materials furnished by Seller. Buyer shall keep all
non-public information or data received or discovered in connection with any of Buyer’s inspections, reviews or examinations strictly confidential, except for disclosures to representatives, investors, lenders, potential hotel managers, counsel
and agents, provided such disclosures are on an as needed basis for Buyer’s acquisition of the Property, and such persons are instructed to keep the information strictly confidential. The provisions of this Section 4.1.6 shall survive any
termination of this Agreement. 
 4.2 Performance by Seller. The performance and observance, in all material respects, by
Seller of all covenants and agreements of this Agreement to be performed or observed by Seller prior to or on the Closing Date shall be a condition precedent to Buyer’s obligation to purchase the Property. Without limitation on the foregoing,
in the event that the “Seller Closing Certificate” (as hereinafter defined) shall disclose any material adverse changes 

  
 - 6 -

 EXECUTION VERSION 

 
 
in the representations and warranties of Seller contained in Section 7.1 which are not otherwise permitted or contemplated by the terms of this Agreement or known to Buyer prior to the date
of this Agreement, then (i) Seller shall have a period of time not exceeding fifteen (15) Business Days in which to cure such material adverse change, and (ii) Buyer shall have the right to terminate this Agreement if a reasonably
acceptable cure cannot be effected by Seller during the aforesaid fifteen (15) Business Day period. 
 4.3 Performance
by Buyer. The performance and observance, in all material respects, by Buyer of all covenants and agreements of this Agreement to be performed or observed by it prior to or on the Closing Date shall be a condition precedent to Seller’s
obligation to sell the Property. Without limitation on the foregoing, in the event that the “Buyer Closing Certificate” (as hereinafter defined) shall disclose any material adverse changes in the representations and warranties of
Buyer contained in Section 7.2 which are not permitted or contemplated by the terms of this Agreement, then (i) Buyer shall have a period of time not exceeding fifteen (15) Business Days in which to cure such material adverse change,
and (ii) Seller shall have the right to terminate this Agreement if a reasonably acceptable cure cannot be effected by Buyer during the aforesaid fifteen (15) Business Day period. 

4.4 Hotel Franchise Agreement and Hotel Management Agreement. As of the Effective Date, the Property is subject to the
(i) the Franchise Agreement dated June 18, 2003 (“Franchise Agreement”) by and between Marriott International, Inc. (“Franchisor”) and the Seller; and (ii) a Hotel Management Agreement dated
[undated], 2005 (“Management Agreement”) by and between Hospitality Partners LLC (“Manager”) and the Seller. Promptly after the Effective Date hereof, Buyer shall make application to Franchisor for the assumption of
the Franchise Agreement or the issuance of a new franchise agreement with respect to the Hotel (the “New Franchise Agreement”), and Buyer shall thereafter provide regular updates by email (not less frequently than every other week)
to Seller to keep Seller reasonably informed as to the status of Buyer’s assumption of the Franchise Agreement or the issuance of the New Franchise Agreement. As a material condition to Seller’s entering into this Agreement and closing
hereunder, Buyer shall seek to prospectively assume all of the obligations of the franchisee under the Franchise Agreement, in which event Buyer shall or shall cause its designee to comply with such terms and conditions, including, without
limitation, the obligations under the PIP and shall execute and deliver at or prior to Closing all documents reasonably required by Franchisor in connection with the assumption of the Franchise Agreement, or, if so required by Franchisor, the
issuance of the New Franchise Agreement to Buyer or its designee. Seller shall cooperate with Buyer’s efforts to obtain either an assumption of the Franchise Agreement or the issuance of the New Franchise Agreement, including the assumption of
the PIP obligations, at no material cost or expense to Seller. It is understood and agreed that Franchisor may require as a condition precedent to the assumption of the Franchise Agreement or the issuance of the New Franchise Agreement certain
indemnitors and guarantors to guarantee all liabilities and obligations under the Franchise Agreement on and after the Closing Date. At Closing or immediately prior to Closing, Seller shall (i) terminate the Franchise Agreement to be effective
as of Closing if Buyer will enter into the New Franchise Agreement, or (ii) assign the Franchise Agreement as of the date of Closing as may be required by the Franchisor in connection with the sale of the Hotel. Additionally, Seller shall
terminate the Management Agreement to be effective as of the Closing Date at Seller’s sole cost and expense. Seller shall be responsible for any termination fees, accrued management or other fees payable to the Franchisor and/or the Manager, as
applicable, 

  
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pursuant to the terms of the Franchise Agreement and the Management Agreement. The parties hereto hereby acknowledge that as of the Effective Date, the Buyer intends to maintain the Hotel branded
as a Courtyard by Marriott hotel and the Seller shall not terminate the Franchise Agreement prior to Closing. 
 4.5 Liquor
Licenses. Buyer acknowledges that there may be various liquor licenses associated with the operation of the Hotel. As soon as is reasonably practicable after the full execution and delivery of this Agreement, Buyer shall file an application with
the required state and local agencies (the “Board”) for the issuance as of the Closing Date of such licenses or the transfer of the various liquor licenses associated with the operation of the Hotel (the “Required Liquor
Licenses”) as are necessary for the continued service of alcoholic beverages at the Hotel. Seller shall reasonably cooperate with Buyer in connection with the application process. Buyer shall diligently pursue the obtaining of the Required
Liquor Licenses at Buyer’s sole cost and expense. The issuance of the Required Liquor Licenses shall not be a condition of Closing. If despite the exercise of such efforts by Buyer, Buyer is unable to obtain the Required Liquor Licenses on or
before the Closing Date, then Seller agrees that to the extent required it shall enter, or cause Manager that holds such liquor licenses, to enter into a customary form interim beverage services agreement with Buyer in form reasonably satisfactory
to Seller or Manager, as the case may be, including without limitation, an indemnification from Buyer of Seller or Manager, as the case may be, with respect to any and all damages, claims, losses, expenses, costs or other liabilities arising during
the term of such interim beverage services agreement. 
 4.6 Loan Assumption. Within fifteen (15) days of the
Effective Date hereof, Buyer shall make application to the Lender for the assumption of the Mortgage Loan, and Buyer shall diligently prosecute its application and provide regular updates by email (not less frequently than every other week) to
Seller to keep Seller reasonably informed as to the status of Buyer’s assumption of the Mortgage Loan. As a material condition to Seller’s entering into this Agreement and Closing hereunder, Buyer shall seek to prospectively assume payment
of principal and interest and all other obligations thereafter accruing under the Mortgage Loan, in which event Buyer shall comply with such terms and conditions, including, without limitation, paying the assumption fee, and any other fees and
expenses of the Mortgage Loan assumption as may required by Lender and shall execute and deliver at or prior to Closing all documents reasonably required by Lender in connection with the assumption of the Mortgage Loan. Further, in the event that
Lender requires or otherwise conditions the consent of the assumption of the Mortgage Loan upon increased reserves or additional deposits to the reserves, such deposits shall be the sole responsibility of Buyer. Seller shall cooperate with
Buyer’s efforts to obtain an assumption of the Mortgage Loan, at no material cost or expense to Seller. Buyer acknowledges that it has received and reviewed the documents with respect to the Mortgage Loan, and understands and agrees that Lender
may require as a condition precedent to the assumption of the Mortgage Loan, certain indemnitors and guarantors to guarantee the usual and customary CMBS non-recourse carve-outs under the Mortgage Loan, together with the usual and customary opinion
letters of counsel. The assumption of such Mortgage Loan shall be a condition precedent to Closing. In the event that Buyer has diligently pursued the application for the Mortgage Loan as provided for in this Section 4.6 and Lender has not
provided consent for such assumption of the Mortgage Loan on or before the date that is one-hundred and eighty (180) days after the Effective Date, either party may terminate this Agreement by providing written

  
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 EXECUTION VERSION 

 
 
notice to the other and the Escrow Holder shall return the Escrow Deposit to Buyer and neither party shall have any further rights or obligations under this Agreement, except for those which
expressly survive termination and Seller shall be responsible for any fees and expenses of Lender, if any. 
 4.7
Environmental and Property Condition Reports and Survey. As of the Effective Date, Buyer has initiated and shall diligently pursue any desired or required (i) environmental inspections and property condition inspections and reporting;
and (ii) updated survey of the Property (collectively, the “Due Diligence Reports”). All such inspections in connection with the Due Diligence Reports shall be in accordance with the terms of Section 4.1.6 of this
Agreement. On or before the earlier of (i) five (5) Business Days after the receipt of the applicable Due Diligence Report; or (ii) March 14, 2011, Buyer shall provide Seller written notice of any items disclosed with respect to
the Due Diligence Reports (“Due Diligence Matters”) to which Buyer objects. Seller shall advise Buyer within five (5) days of receipt the notice in connection with the Due Diligence Matters as to those items which
(i) Seller shall cure prior to and as a condition precedent to Closing (“Approved Due Diligence Matters”); or (ii) Seller shall not cure prior to Closing (“Seller Waived Matters”). Unless Buyer gives
written notice (“Due Diligence Disapproval Notice”) that it disapproves any Seller Waived Matters within fifteen (15) days after receipt of written notice of Seller’s response to such Due Diligence Matters, Buyer shall be
deemed to have approved such Seller Waived Matters and Seller’s response thereto. Seller shall have up to Closing to remove or otherwise remedy the Approved Due Diligence Matters set forth therein, and the Closing Date shall be extended, at
Seller’s option, for up to thirty (30) days to allow Seller to cure the Approved Due Diligence Matters. Further, at Seller’s option, Seller may remedy such condition by the payment or credit of monies to Buyer at Closing in an amount
provided for in a third-party contractor request for proposal to correct such Approved Due Diligence Matters which third-party contractor has been mutually approved by Buyer and Seller and such Approved Due Diligence Matter shall be deemed corrected
for purposes of this Section 4.7. In the event that Buyer rejects Seller’s stated Seller Waived Matters within such fifteen (15) day period as provided for above, Buyer may, at its option, terminate this Agreement upon written notice
to Seller, but only if (i) such Seller Waived Matters reasonably represent a Material Adverse Due Diligence Matter (as defined below); and (ii) such notice is given on or before the date which is fifteen (15) days after Buyer receives
Seller’s notice of Seller Waived Items, in which case the Escrow Holder shall return the Escrow Deposit to Buyer and Seller and Buyer shall have no further rights or obligations under this Agreement, except those which expressly survive
termination. If Buyer fails to give such termination notice by such date, Buyer shall be deemed to have waived its objection to, and approved the matters set forth in Seller’s notice. Notwithstanding anything to the contrary herein, in the
event Buyer does not provide such written notice of Due Diligence Matters by said date as provided for above, Buyer shall have waived the right to terminate this Agreement pursuant to this Section 4.7. For the purposes of this Section 4.7,
“Material Adverse Due Diligence Matter” shall mean those items or matters that appear within the Due Diligence Reports with respect to the Property that are reasonably likely to materially and adversely affect the (A) ownership
and operation of the Property as a Hotel; or (B) ability to finance the Property. 
 4.8 Independent Audit. Buyer
shall have been able to complete its independent audit as described in Section 7.11 of this Agreement. Buyer shall use commercially reasonable efforts to have the independent audit performed as soon as possible after the Effective Date.

  
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 EXECUTION VERSION 

 
 5. Closing Procedure. The closing (the
“Closing”) of the sale and purchase herein provided shall occur on the Closing Date. As used herein, “Closing Date” means and refers to April 30, 2011 or such later date as the parties hereto shall mutually
agree. Buyer shall deliver its funds to the Escrow Holder no later than 12 noon eastern time on the Closing Date. The Closing shall be accomplished pursuant to escrow instructions (the “Escrow Instructions”) among Buyer, Seller and
the Escrow Holder in the form of Exhibit “D”, which Buyer and Seller shall execute concurrently herewith. 

5.1 Closing Deliveries. On or before the Closing Date, the parties shall deliver to the Escrow Holder the following: 

5.1.1 Seller Deliveries. Seller shall deliver to Escrow Holder the following: 

(a) A duly executed and acknowledged original special warranty deed (the “Deed”) in the form of
Exhibit “E”; 
 (b) A duly executed original bill of sale in the form of Exhibit “F”,
duly executed original assignment and assumption agreements (collectively, “Assignment and Assumption Agreements”) in the form of Exhibits “G” and “G-1” and a duly executed assignment and assumption
agreement of the Garage License Agreement (the “Garage License Assignment and Assumption”); 
 (c) A duly
executed assumption of the Mortgage Loan in the form provided by the lender of the Mortgage loan (“Mortgage Loan Assumption Agreement”) together with any other documents reasonably required by the lender of the Mortgage Loan to be
executed by Seller in connection with such assumption; 
 (d) A duly executed original certificate of Seller in the form of
Exhibit “H” updating the representations and warranties contained in Section 7.1 to the Closing Date and noting any material changes thereto (the “Seller Closing Certificate”); 

(e) A duly executed original certificate of “non-foreign” status in the form of Exhibit “I” and any required
state certificate that is sufficient to exempt Seller from any state withholding requirement with respect to the sale contemplated by this Agreement; 
 (f) Evidence reasonably satisfactory to Buyer and Title Company respecting the due organization of Seller and the due authorization and execution of this Agreement and the documents required to be
delivered hereunder; 
 (g) To the extent they are then in Seller’s possession, and have not theretofore been delivered to
Buyer: (i) any plans and specifications for the Improvements; (ii) all unexpired warranties and guarantees which Seller has received in connection with any work or services performed with respect to, or equipment installed in, the
Improvements; (iii) all keys for the Improvements; (iv) originals of all Leases, all correspondence to or from any 

  
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 EXECUTION VERSION 

 
 
tenants, relating to the Leases; (v) originals of all Service Agreements that will remain in effect after the Closing; (vi) a set of guest registration cards; (vii) a list of
advance room reservations and functions; (viii) a list of Seller’s outstanding accounts receivable as of midnight on the date prior to the Closing; (ix) all Licenses and Permits; (x) all books and records relating solely to the
operation of the Property (which materials under this clause (g) may be either delivered at Closing or left at the management office at the Property); and (xi) guest lists, registries, mailing lists and other information, to the extent not
the property of the Manager. 
 (h) A duly executed Seller’s title affidavit; 

(i) A written agreement between Seller and Manager terminating the Management Agreement and all of Manager’s rights and obligations
thereunder to manage or operate the Hotel; and 
 (j) Such additional documents as may be reasonably required by Buyer and
Title Company in order to consummate the transactions hereunder (provided the same do not increase in any material respect the costs to, or liability or obligations of, Seller in a manner not otherwise provided for herein). 

5.1.2 Buyer Deliveries. Buyer shall deliver to the Escrow Holder the following: 

(a) The Closing Payment in immediately available federal funds; 

(b) Original Assignment and Assumption Agreements and an original Garage License Assignment and Assumption; 

(c) An original Mortgage Loan Assumption Agreement; 
 (d) A duly executed original certificate of Buyer in the form of Exhibit “J” updating the representations and warranties contained in Section 7.2 to the Closing Date and noting any
material changes thereto (“Buyer Closing Certificate”); 
 (e) Evidence reasonably satisfactory to Seller and
Title Company respecting the due organization of Buyer and the due authorization and execution of this Agreement and the documents required to be delivered hereunder; and 
 (f) Such additional documents as may be reasonably required by Seller and Title Company in or to consummate the transactions hereunder (provided the same do not increase in any material respect the costs
to, or liability or obligations of, Buyer in a manner not otherwise provided for herein). 

  
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 EXECUTION VERSION 

 
 5.1.3 Mutual Deliveries. Buyer and Seller shall
mutually execute and deliver to the Escrow Holder, the following: 
 (a) A Closing Statement reflecting the Purchase Price, and
the adjustments and prorations required hereunder and the allocation of income and expenses required hereby; and 
 (b) Such
recordation and transfer tax forms, including an FP-7C, as required by state and local authorities. 
 5.2 Closing Costs.
Seller shall pay (A) one-half (1/2) of the District of Columbia Recordation Tax and the District of Columbia Transfer Tax, (B) 50% of all escrow charges, (C) all termination costs associated with the Management Agreement and
(D) 50% of all applicable sales and use taxes, if any, on the transfer of the Tangible Personal Property pursuant to this Agreement. Buyer shall pay (A) one-half (1/2) of the District of Columbia Recordation Tax and the District of
Columbia Transfer Tax, (B) 50% of all applicable sales and use taxes, if any, on the transfer of the Tangible Personal Property pursuant to this Agreement, (C) 50% of all escrow charges, (D) the basic title premium for the
Owner’s Policy in accordance with this Agreement and the cost of any endorsements to the Owner’s Policy, (E) the cost to update the Survey, (F) all fees, costs or expenses in connection with Buyer’s due diligence reviews
hereunder, (G) all fees, costs or expenses in connection with the assumption of the Mortgage Loan or any other financing obtained by Buyer in connection with the transaction contemplated hereby (other than costs Seller incurs with respect to
its legal fees and other costs and expenses it may incur with respect to any release of its guarantees or other obligations under the Mortgage Loan), (H) all costs associated with any modification of the PIP. Each of Seller and Buyer shall pay
its own legal fees and expenses. Any other Closing costs shall be allocated in accordance with local custom. Seller and Buyer shall pay their respective shares of prorations as hereinafter provided. 

5.3 Prorations. 
 5.3.1 Items to be Prorated. The following provisions shall govern the adjustments and prorations that shall be made at Closing and the allocation of income and expenses from the Property between
Seller and Buyer. Except as expressly provided in this Section 5.3.1, all items of operating revenue and operating expense of the Property, with respect to the period prior to 12:00:01 a.m. (the “Cut-Off Time”) local time at
the Hotel on the Closing Date, shall be for the account of Seller and all items of operating revenue and operating expense of the Property with respect to the period after the Cut-Off Time, shall be for the account of Buyer. 

(a) Taxes. All real estate taxes, personal property taxes and other assessments on the Property for the current year shall be
prorated at Closing for the tax year in which the Closing occurs as follows: Seller shall be responsible for all real property taxes and personal property taxes and other assessments for the period prior to the Closing Date, and Buyer shall be
responsible for all real property taxes and personal property taxes and other assessments for the period from and after the Closing Date; however if any assessments on the Property are payable in installments, then the installments shall be prorated
(with Buyer assuming the obligation to pay any installments payable after the Closing). In no event shall Seller be charged with or be responsible for any increase in the taxes on the Property resulting from the sale of the Property or from any
improvements made on or after the Closing Date. If 

  
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 EXECUTION VERSION 

 
 
the real property tax rate, personal property tax rate or any assessment has not been set for the tax year in which the Closing occurs, then the proration of such real property tax, personal
property tax or assessment shall be based on the rate, or the assessment, for the preceding tax year for such tax or assessment which has not been set for the tax year in which the Closing occurs, and such proration shall be adjusted between Seller
and Buyer upon presentation of written evidence that the actual taxes or assessment paid (determined as of the date such taxes or assessment are actually paid) for the tax year in which the Closing occurs differ from the amounts used at Closing and
in accordance with Section 5.3.2. 
 The parties acknowledge that certain taxes accrue and are payable to the various local
governments by any business entity operating a hotel and its related facilities. Included in those taxes may be business and occupation taxes, retail sales and use taxes, gross receipts taxes, and other special lodging or hotel taxes. For purpose of
this Agreement, all of such taxes (hereinafter referred to as “Operational Taxes”) shall be allocated between Seller and Buyer such that those attributable to the period prior to the Cut-Off Time shall be allocable to Seller and
those attributable to the period from and after the Cut-Off Time shall be to Buyer (with the attribution of such taxes hereunder to be done in a manner consistent with the attribution under this Agreement of the applicable revenues on which such
taxes may be based). Buyer shall receive a credit for any Operational Taxes attributable to the period prior to the Cut-Off Time which Seller has not paid. Except for the Operational Taxes for which Buyer has received a credit, Seller shall be
solely responsible for payment of the Operational Taxes with respect to the period prior to the Cut-Off Time, and Buyer shall be solely responsible for payment of such Operational Taxes with respect to the period after the Cut-Off Time (and those
for which it receives a credit). 
 (b) Hotel Reservations and Revenues. At least five (5) days before the Closing
Date, Seller shall provide Buyer with its schedule of confirmed reservations for dates subsequent to the Closing Date, which schedule shall list the party for whose benefit the reservation was made, the amount of deposit thereunder, the amount of
any room rental deposits, and the amount of any other deposits made for advance reservations, banquets or future services to be provided after the Closing Date. Buyer will honor (or cause its manager to honor), for its account, all pre-Closing Date
reservations as so confirmed by Seller for dates subsequent to the Closing Date at the rate or price previously agreed to by Seller (so long as such rates conform to customary rates charged by Seller). Seller shall pay or credit to Buyer the amount
of all prepayments or deposits disclosed in such schedule. 
 (c) Guest Revenues. Revenues from guest rooms in the Hotel
occupied on the night containing the Cut-Off Time, including any sales taxes, room taxes and other taxes charged to guests in such rooms, all parking charges, sales from mini-bars, in-room food and beverage, telephone, facsimile and data
communications, in-room movie, laundry, and other service charges allocated to such rooms with respect to the night containing the Cut-Off Time shall be divided equally between Seller and Buyer; provided, however, that to the extent the times at
which food and beverage sales, telephone, facsimile or data communication, in-room movie, laundry, and other services are ordered by guests can be determined, the same shall be allocated between Seller and Buyer based on when orders for the same
were received, with orders originating prior to Cut-Off Time being allocable to Seller, and orders originating from and after the Cut-Off Time being allocable to Buyer. All other revenues from restaurants, lounges, and other service operations
conducted at the Property shall be allocated based on 

  
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 EXECUTION VERSION 

 
 
whether the same accrued before or from and after the Cut-Off Time as described in the preceding sentence, and Seller shall instruct or cause the Manager, and Buyer shall instruct its manager, to
separately record sales occurring before and from and after the Cut-Off Time. The foregoing amounts are referred to collectively as “Guest Revenues”. 
 (d) Banquet and Meeting Room Revenues. Revenues from conferences, receptions, meetings, and other functions occurring in any conference, banquet or meeting rooms in the Hotel, including usage
charges and related taxes, food and beverage sales, valet parking charges, equipment rentals, and telecommunications charges, shall be allocated between Seller and Buyer, based on when the function therein commenced, with (i) one-day functions
commencing prior to the Cut-Off Time being allocable to Seller; (ii) one-day functions commencing from and after the Cut-Off Time being allocable to Buyer; and (iii) multi-day functions that include periods both before and after the
Cut-Off Time being prorated between Seller and Buyer according to the period of time before and from and after the Cut-Off Time. The foregoing amounts are referred to collectively as “Conference Revenues”. 

(e) Unredeemed Gift Certificates and Vouchers. Buyer shall receive a credit against the Purchase Price at Closing for the face
value of all paid for vouchers, gift certificates and other promotional materials (together, the “Vouchers”), provided that the face value of such Vouchers shall not exceed Five Thousand Dollars ($5,000) as of the Closing Date, which may
be used as full or partial payment for any Hotel service including, room rentals, food and beverage service, or any other item either borne directly by the owner of the Hotel or which is reimbursable by the owner of the Hotel (e.g., if a gift
certificate can be used to pay for items in the Hotel gift shop). The parties also agree that no credit shall be given for any complimentary Vouchers. Seller shall request that Manager deliver to Buyer at least one (1) Business Day prior to the
Closing date a list of all such Vouchers. All Vouchers shall include a disclaimer providing that such Voucher is subject to availability at the Property. 
 (f) Utilities and Insurance. To the extent that utility and insurance accounts are not in the name of the Owner and addressed as a component of Hotel operations, Buyer shall be responsible for all
dealings with utility service providers with respect to any actions to change over accounts to Buyer as of the Closing Date. All charges for utilities shall be prorated as of the Closing Date. In the event the actual amounts for such charges for
utilities or telephone calls are not known as of the Closing Date or cannot be billed separately to the responsible party, such charges shall be prorated between the parties as of the Closing Date once the actual amounts thereof become known. If
necessary, at the request of Buyer, Seller shall complete the customary forms required by any telephone company or telephone company service provider to assign the Property’s existing telephone numbers to Buyer. 

(g) Licenses and Permits. Licenses and Permit fees of assignable permits and licenses, if any, shall be prorated as of the
Closing Date. 
 (h) Service Agreements. Fees and other amounts and payments due under the other Service Agreements in
the name of Seller shall be prorated as of the Closing Date. 

  
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 EXECUTION VERSION 

 
 (i) Accrued and Earned Vacation. Buyer shall receive
a credit in an amount equal to one hundred percent (100%) of the amount of salaries and wages which the Hotel employees hired by Buyer’s manager (the “Continuing Employees”) are entitled to receive (including all
employment taxes with respect thereto) for any vacation days accrued by such Continuing Employees as of the time in question (computed at the rate of the salaries and wages earned by such Continuing Employees as of the time in question)
(“Accrued and Earned Vacation Pay”) as of the Cut-Off Time. Buyer shall be responsible for the payment of such Accrued and Earned Vacation Pay to such Continuing Employees when payable in accordance with applicable laws. Seller
shall be responsible for all severance costs with respect to the Hotel employees not hired by Buyer’s manager as of the Closing Date. 
 (j) Mortgage Loan and Mortgage Escrows. Accrued principal and interest on the Mortgage Loan. To the extent that there are any escrows held pursuant to the Mortgage Loan for which Buyer shall
receive the benefit thereof on or after Closing, Seller shall receive a dollar-for-dollar credit at Closing representing the reimbursement for any such escrow amounts as verified by Lender. Any tax escrow shall be subject to proration pursuant to
Section 5.3.1(a) above. 
 (k) Trade Payables. Except to the extent an adjustment or proration is made under
another subsection of this Section 5.3, (i) Seller shall pay in full prior to the Closing all amounts payable to vendors or other suppliers of goods or services to the Hotel (the “Trade Payables”) which are due and payable
as of the Closing Date for which goods or services have been delivered to the Hotel prior to Closing, (ii) Buyer shall receive a credit for the amount of such Trade Payables which have accrued, but are not yet due and payable as of the Closing
Date, and (iii) Buyer shall pay all such Trade Payables accrued as of the Closing Date when such Trade Payables become due and payable up to the amount of such credit; provided, however, Seller and Buyer shall reprorate the amount of credit for
any Trade Payables and pay any deficiency in the original proration to the other party promptly upon receipt of the actual bill for such goods or services in accordance with the provisions of Section 5.3.2. 

(l) Deposits for Bookings. Buyer shall receive a credit for all prepaid deposits for Bookings scheduled for accommodations or
events on or after the Closing Date which Buyer is obligated to honor pursuant to this Agreement, except to the extent such deposits are transferred to Buyer. 
 5.3.2 Calculation. Based upon such examinations, audits and inventories, Seller and Buyer jointly shall prepare prior to Closing a settlement statement (the “Settlement
Statement”), which shall set forth Seller’s and Buyer’s best estimate of the amounts of the items to be adjusted and prorated under this Agreement. The Settlement Statement shall be approved and executed by Seller and Buyer, and
shall be binding and conclusive on Seller and Buyer with respect to the items set forth in the Settlement Statement, provided that, if, at any time within ninety (90) days after the Closing Date, either Seller or Buyer discovers any items which
should have been included in the Settlement Statement but were omitted therefrom or items which were incorrectly adjusted or prorated therein, or has obtained accurate amounts for items that were prorated, allocated or adjusted based upon estimates,
such items shall be adjusted and prorated in the same manner as if their existence or such error or accurate amount had been known at the time of the preparation of the Settlement 

  
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 EXECUTION VERSION 

 
 
Statement, and the party in whose favor such original error or omission was made shall refund such difference to the other party promptly after the original error or omission is discovered.
Notwithstanding the foregoing, as soon as reasonably practicable after the end of the calendar year in which the Closing occurs, Buyer shall deliver an accounting and substantiation reasonably acceptable to Seller covering all prorations under this
Section 5.3, including any year-end or similar reconciliations. 
 5.3.3 Accounts Receivable. Seller shall retain
all accounts receivable and credit card claims outstanding and unpaid (i) for a period of one-hundred and twenty (120) days or less as of the Cut-Off Time (“Current Accounts Receivable”) and (ii) that are greater than
one-hundred and twenty (120) days or more as of the Cut-Off Time (“Past Due Accounts Receivable”). To the extent Buyer receives any payments on account thereof after Closing, Buyer shall immediately remit such amount (net of
travel agent commissions or credit card company charges for payment of such claims) to Seller. Buyer shall make commercially reasonable efforts to collect the current Accounts Receivable on behalf of Seller and remit such collections as provide for
above. Seller may use all reasonable efforts to collect the Past Due Receivable Amounts and Seller has no obligations to pursue the same. The foregoing shall apply to past due or accruing room rents and other customary Hotel charges including the
guest and city ledgers. 
 5.3.4 Bank Accounts, Inventory and Seller’s Deposits. Seller shall receive a credit for
all cash on hand or on deposit in any house bank at the Hotel which cash shall be transferred to Buyer at Closing. At the Closing, Seller shall be credited with an amount equal to the value (at Seller’s cost) of all unopened inventory and
unopened operating supplies at the Hotel as of the Cut-Off Time (as determined pursuant to the inventory to be conducted by representatives of Seller and Buyer as of the Cut-Off Time). All transferable deposits of Seller made for utilities,
maintenance or service contracts, licenses, or otherwise, shall be credited to Seller at Closing. In this regard, the parties shall arrange to have all such accounts and deposits transferred to Buyer at Closing. 

5.3.5 Surviving Obligations. The provisions of this Section 5.3 shall survive the Closing. 

6. Condemnation or Destruction of Property. If the Property or any portion thereof is damaged or destroyed by fire or any other
casualty prior to Closing (a “Casualty”) or in the event of any actual or threatened condemnation or taking pursuant to the power of eminent domain of all or any portion of the Land or Improvements, or any proposed sale in lieu
thereof (a “Condemnation”), Seller shall give written notice of such Casualty or Condemnation to Buyer promptly after the occurrence of such Casualty or as soon as possible after Seller’s receipt of notice of such Condemnation.
If the amount of the repair, restoration or replacement required by a Casualty equals $2,500,000 (a “Material Casualty”) and the Casualty was not caused by Buyer then Buyer shall have the right, in its sole discretion, to
(i) terminate this Agreement, in which case Escrow Holder shall refund the Escrow Deposit to Buyer and Seller and Buyer shall have no further rights or obligations under this Agreement, except those which expressly survive such termination, or
(ii) proceed to Closing, without terminating this Agreement, in which case Seller shall (A) credit the amount of the applicable insurance deductible against the Purchase Price (but not more than the amount by which (x) the cost as of
the Closing Date to repair the 

  
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 EXECUTION VERSION 

 
 
damage is greater than (y) the insurance proceeds and coverage to be assigned to Buyer), and (B) transfer and assign to Buyer all of Seller’s right, title and interest in and to
all proceeds from all casualty and lost profits insurance policies maintained by Seller with respect to the Hotel, except those proceeds allocable to costs incurred by, and lost profits of, Seller for the period prior to the Closing. If the
Condemnation (i) would result in the loss of $2,500,000 or more of the Land or Improvements (computed on a square foot basis) or (ii) would result in any material reduction or restriction in access to the Land or Improvements (a
“Material Condemnation”), then Buyer shall have the right, in its sole discretion, to (A) terminate this Agreement, in which case Escrow Holder shall refund the Escrow Deposit to Buyer and Seller and Buyer shall have no further
rights or obligations under this Agreement, except those which expressly survive such termination, or (B) proceed to Closing, without terminating this Agreement, in which case Seller shall assign to Buyer all of Seller’s right, title and
interest in all proceeds and awards from such Condemnation. Buyer shall make an election under this Section 6 by giving written notice to Seller on or before ten (10) Business Days after Seller’s delivery to Buyer of written notice of
such Casualty or Condemnation. If Buyer fails to make an election within such time period, Buyer shall be conclusively deemed to have elected to proceed to Closing pursuant to clause (ii) of this Section 6. If the Closing is scheduled to
occur within Buyer’s ten (10) Business Day election period, the Closing Date shall be extended until the date which is five (5) Business Days after the expiration of such ten (10) Business Day election period. 

In the event of any (i) Casualty which is not a Material Casualty, or (ii) Material Casualty which is caused by Buyer, then
Buyer shall not have the right to terminate this Agreement, but shall proceed to Closing, in which case Seller shall (A) credit the amount of the applicable insurance deductible against the Purchase Price (except if such Casualty is caused by
Buyer) (but not more than the amount by which (x) the cost as of the Closing Date to repair the damage is greater than (y) the insurance proceeds and coverage to be assigned to Buyer), and (B) transfer and assign to Buyer all of
Seller’s right, title and interest in and to all proceeds from all casualty and lost profits insurance policies maintained by Seller with respect to the Hotel, except those proceeds allocable to costs incurred by, and lost profits of, Seller
for the period prior to the Closing. Except if such Casualty is caused by Buyer, if Seller does not maintain insurance covering such Casualty, Buyer shall receive a credit against the Purchase Price in the amount of the repair, restoration or
replacement required by such Casualty as reasonably determined by Seller. In the event of any Condemnation of any Land or Improvements other than a Material Condemnation, Buyer shall not have the right to terminate this Agreement, but shall proceed
to Closing, in which case Seller shall assign to Buyer all of Seller’s right, title and interest in all proceeds and awards from such Condemnation. 
 7. Representations, Warranties and Covenants. 
 7.1 Representations,
Warranties and Covenants of Seller. 
 7.1.1 General Disclaimer. Except as specifically set forth in Section 7.1.2
below or in the Deed, the sale of the Property hereunder is and will be made on an “as is”, “where is” and “with all faults” basis, without representations and warranties of any kind or nature, express, implied or
otherwise, including any representation or warranty concerning title to the Property, the physical condition of the Property (including the condition of the soil or the Improvements), the environmental condition of the Property (including the
presence or 

  
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absence of hazardous substances on or respecting the Property), the compliance of the Property with applicable laws and regulations (including zoning and building codes or the status of
development or use rights respecting the Property), the financial condition of the Property or any other representation or warranty respecting any income, expenses, charges, liens or encumbrances, rights or claims on, affecting or pertaining to the
Property or any part thereof. Buyer acknowledges that, Buyer has examined, reviewed and inspected all matters which in Buyer’s judgment bear upon the Property and its value and suitability for Buyer’s purposes. Except as to matters
specifically set forth in Section 7.1.2 below or in the Deed, Buyer will acquire the Property solely on the basis of its own physical and financial examinations, reviews and inspections and the title insurance protection afforded by the
Owner’s Policy. 
 7.1.2 Limited Representations and Warranties of Seller. Seller hereby represents and warrants to Buyer
that Seller has no knowledge as of the date hereof, that any of the following statements is untrue (and, for this purpose, “Seller’s knowledge” (or any similar phrase) shall mean the present actual knowledge, without taking
into account any constructive or imputed knowledge, of Charles Dubroff, but such individual shall not have any liability in connection herewith): 
 (a) Leases. There are no leases of space in the Property which will be in force after the Closing and under which Seller is the landlord (whether by entering into the leases or acquiring the
Property subject to the leases) other than the Leases, true and correct copies of which have been provided by Seller to Buyer. As used herein, “Leases” means, collectively, (a) the leases listed on
Exhibit “K” (the “Lease Exhibit”) and (b) the leases entered into in accordance with this Agreement. All of the Leases are in full force and effect and none of them has been amended except as set forth in
the Lease Exhibit. 
 (b) Litigation. Except as set forth in Exhibit “L”, there is no pending (nor
has Seller received any written notice of any threatened) action, litigation, condemnation or other proceeding against the Property or against Seller and with respect to the Property, other than personal injury matters covered by Seller’s
insurance and routine workers compensation claims. 
 (c) Service Agreements. Seller has not entered into any service or
equipment leasing contracts relating to the Property which will be in force after the Closing, except for the Service Agreements and “Excluded Contracts” (as hereinafter defined), true and correct copies of which have been provided
by Seller to Buyer. As used herein, the “Service Agreements” means, collectively, (a) the contracts described in Exhibit “M”, (b) contracts (other than Excluded Contracts) which are entered into
(i) in the normal and ordinary course of business; (ii) are for a term of one (1) year or less; and (iii) may be cancelable on thirty 30 days’ or less notice, without penalty, and (c) contracts otherwise entered into in
accordance with this Agreement. Seller has neither given nor received any written notice of any material breach or default under any such Service Agreements which has not been cured. As used herein, “Excluded Contracts” means
Seller’s contracts for (i) insurance and (ii) the engagement of attorneys, accountants and consultants. The Excluded Contracts are not being assigned to or assumed by Buyer hereunder. 

  
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 EXECUTION VERSION 

 
 (d) Due Authority. This Agreement and all agreements,
instruments and documents herein provided to be executed or to be caused to be executed by Seller are and on the Closing Date will be duly authorized, executed and delivered by and are binding upon Seller. Seller is a limited liability company, duly
organized and validly existing and in good standing under the laws of the State of Delaware, is authorized to conduct the business in which it is now engaged, and is duly authorized and qualified to do all things required of it under this Agreement.
Seller has the capacity and authority to enter into this Agreement and consummate the transactions herein provided without the consent or joinder of any other party (except as otherwise may be set forth in this Agreement). The foregoing statement
shall not be subject to the “knowledge qualification” set forth above. The execution, delivery and performance of this Agreement and the consummation by Seller of the transactions contemplated hereby will not (a) violate any law or
any order of any court or governmental authority with proper jurisdiction binding against Seller or its assets; (b) result in a breach or default under any contract or other binding commitment of Seller or any provisions of any organizational
documents of Seller; or (c) require any consent or approval or vote that has not been taken or given, or as of the Closing Date shall not have been taken or given. 
 (e) Environmental Matters. The reports described in Exhibit “N” (the “Environmental Reports”) represent all of the environmental reports with respect to the
Property in the possession of Seller. 
 (f) Compliance with Existing Laws. Seller has received no written notice of any
material existing or threatened violation of any provision of any applicable laws including, but not limited to, those of environmental agencies or insurance boards of underwriters with respect to the ownership, operation, use, maintenance or
condition of the Property or any part thereof, or requiring any material repairs or alterations to the Property other than those that have been made prior to the date hereof. 
 (g) Tangible Personal Property. All of the Tangible Personal Property being conveyed by Seller hereunder are free and clear of all liens and encumbrances except for those which will be discharged
by Seller at Closing, and Seller has good and merchantable title thereto and the right to convey same in accordance with the terms of this Agreement. 
 (h) Insurance. All of Seller’s insurance policies applicable to the Hotel are valid and in full force and effect. 
 (i) Condemnation Proceedings; Roadways. Seller has received no notice of any condemnation or eminent domain proceeding pending or threatened against the Property or any part thereof. 

(j) Financial Information. Seller has delivered true and complete copies of the Property’s financial information, including,
income, expense and financial statements (“Financial Information”) as generated by the Manager and, to the best of Seller’s knowledge, such Financial Information presents accurately the results of the operations of the Property
for the periods indicated. 

  
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 EXECUTION VERSION 

 
 (k) Taxes. All Operational Taxes due and owing with
respect to the Property have been paid, and all ad valorem personal property taxes due and owing with respect to the Property have been paid. 
 (l) Leases. No party is in default under any of the Leases. Seller has performed all obligations required of it under all of the Leases and there remain no unfulfilled obligations of Seller under
the Leases. No tenant has given notice to Seller of its intention to terminate or institute litigation with respect to any Leases. 
 (m) Arrearages and Deposits. Any amounts deposited with the Hotel shall be subject to proration under Section 5.3 of this Agreement. 

(n) Declaration of Covenants, Conditions and Restrictions and Reciprocal Easement Agreement. The Declaration of Covenants,
Conditions and Restrictions and Reciprocal Easement Agreement dated as of June 29, 2004 among NJA Development Partners Limited Partnership, NJA Housing Development LLC and NJA Hotel LLC recorded as Instrument No. 2004090787 (the
“Declaration”) is in full force and effect and has not been amended and all payments due pursuant to the Declaration have been made and no other amounts are due by Seller thereunder. There are no violations, defaults or events that
with notice or the passage of time or both, would constitute a violation or default by Seller of the Declaration and no notice of default has been received by Seller. Additionally, Seller covenants that within five (5) Business Days after the
Effective Date it shall prepare and request an estoppel from the Capital Hill Tower Housing Cooperative for the benefit of Buyer containing the items set forth in Section 10.1 of the Declaration. In the event such estoppel certificate from the
Capital Hill Tower Housing Cooperative has not been received by Seller prior to Closing, Seller shall indemnify, defend and hold harmless Buyer and its affiliates from and against any claim by the Capital Hill Tower Housing Cooperative (and all
obligations, claims, liabilities, damages, losses, cost or expenses, including reasonable attorneys’ fees and court costs, resulting therefrom) by reason of a default or in connection with a breach or violation of the Declaration by the Seller.
The indemnity obligations set forth in this Section 7.1.2(n) shall survive the Closing and shall not be subject to the Survival Period limitation set forth in Section 7.3 hereof 

(o) Development Agreement. The Development Agreement dated January 1, 2004 between the District of Columbia and NJA
Development Partners, LP (the “Development Agreement”) is in full force and effect and has not been amended. There are no defaults or events that with notice or the passage of time or both, would constitute a default by Seller as
the owner of the Hotel under the Development Agreement. Within ten (10) Business days after the Effective Date, Seller shall comply with the applicable provisions of Section 12.1 of the Development Agreement in connection with the sale of
the Property and shall provide Buyer with proof of compliance with the delivery requirements of Section 12.1 of the Development Agreement. Seller shall provide notice to Buyer upon receiving notice that the Note Payment Date (as defined in the
Development Agreement) has occurred and evidence of the termination of the Development Agreement as may be reasonably requested by Buyer. Seller further covenants that it the Loan (as such term is defined in the Development Agreement) has been paid
or discharged in full. 

  
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 EXECUTION VERSION 

 
 (p) Garage License Agreement. The Garage License
Agreement dated January 1, 2011 between NJA Garage LLC and NJA Hotel LLC (the “Garage License Agreement”) a true and correct copy of which have been provided by Seller to Buyer is in full force and effect and has not been
amended. There are no defaults or events that with notice or the passage of time or both, would constitute a default by Seller under the Garage License Agreement and no notice of default has been received by Seller. 

(q) Labor and Employment Matters. Seller is not a party to any oral or written employment contracts or agreements with respect to
the Property and there are no labor disputes or organizing activities pending or threatened as to the operation or maintenance of the Property or any part thereof. Seller is not a party to any union or other collective bargaining agreement with
employees employed in connection with the ownership, operation or maintenance of the Property. 
 7.1.3 OFAC. Seller is in
compliance with the requirements of Executive Order No. 13224, 66 Fed. Reg. 49079 (Sept. 25, 2001) (the “Order”) and other similar requirements contained in the rules and regulations of the Office of Foreign Asset Control,
Department of the Treasury (“OFAC”) and in any enabling legislation or other Executive Orders in respect thereof (the Order and such other rules, regulations, legislation, or orders are collectively called the
“Orders”). For purposes of this subsection, “Person” shall mean any corporation, partnership, limited liability company, joint venture, individual, trust, real estate investment trust, banking association, federal
or state savings and loan institution and any other legal entity, whether or not a party hereto. 
 7.1.4 Neither Seller nor
any controlling beneficial owner of Seller: 
 (a) is listed on the Specially Designated Nationals and Blocked Persons List
maintained by OFAC pursuant to the Order and/or on any other list of terrorists or terrorist organizations maintained pursuant to any of the rules and regulations of OFAC or pursuant to any other applicable Orders (such lists are collectively
referred to as the “Lists”); 
 (b) has been arrested for money laundering or for predicate crimes to money
laundering, convicted or pled nolo contendere to charges involving money laundering or predicate crimes to money laundering; 

(c) has been determined by competent authority to be subject to the prohibitions contained in the Orders; 

(d) is owned or controlled by, nor acts for or on behalf of, any Person on the Lists or any other Person who has been determined by
competent authority to be subject to the prohibitions contained in the Orders; 
 (e) shall transfer or permit the transfer of
any interest in Seller or such parties to any Person who is, or whose beneficial owners are, listed on the Lists; or 
 (f)
shall assign this Agreement or any interest herein, to any Person who is listed on the Lists or who is engaged in illegal activities. 

  
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 EXECUTION VERSION 

 
 If Seller become listed on the Lists or are indicted,
arraigned, or custodially detained on charges involving money laundering or predicate crimes to money laundering, Seller shall immediately notify Buyer. Seller shall have ten (10) Business Days to remove such party from any interest in Seller
or Buyer may terminate this Agreement upon written notice to Seller, whereupon the Escrow Deposit shall be returned to Buyer and neither party shall have any further obligation hereunder except for those obligations which expressly survive a
termination of this Agreement. 
 7.1.5 Mortgage Loan Documents. Exhibit “O” contains a complete list of the Mortgage
Loan documents (the “Mortgage Loan Documents”). Seller has made available to Buyer a true and complete copy of the Mortgage Loan Documents (including all amendments, modifications and other agreements with respect thereto). The
Mortgage Loan Documents are in full force and effect, and Seller has neither given nor received any notice of any breach or default under the Mortgage Loan Documents which has not been cured. 

7.1.6 Foreign Person. Seller is a “United States person” (as defined in Section 7701(a)(30)(B) or (C) of the
Internal Revenue Code of 1986, as amended from time to time, and any regulations, rulings and guidance issued by the Internal Revenue Service (the “Code”) for the purposes of the provisions of Section 1445(a) of the Code.

 7.1.7 Bankruptcy. Seller has not filed any petition in bankruptcy or other insolvency proceedings or proceedings for
reorganization of Seller or for the appointment of a receiver or trustee for all or any substantial part of Seller’s property, nor has Seller made any assignment for the benefit of its creditors or filed a petition for an arrangement, or
entered into an arrangement with creditors or filed a petition for an arrangement with creditors or otherwise admitted in writing its inability to pay its debts as they become due. 

7.2 Representations, Warranties and Covenants of Buyer. Buyer hereby represents and warrants to Seller that: 

7.2.1 This Agreement and all agreements, instruments and documents herein provided to be executed or to be caused to be executed by
Buyer are and on the Closing Date will be duly authorized, executed and delivered by and are binding upon Buyer; Buyer is a limited liability company, duly organized and validly existing and in good standing under the laws of the State of Delaware,
and is duly authorized and qualified to do all things required of it under this Agreement; and Buyer has the capacity and authority to enter into this Agreement and consummate the transactions herein provided without the consent or joinder of any
other party (except as otherwise may be set forth in this Agreement). 
 7.2.2 Buyer and Buyer’s managing member, are in
compliance with the Order and other similar requirements contained OFAC and in any enabling legislation or other Orders. 

7.2.3 Buyer has sufficient capital and financial resources to close the transactions contemplated hereunder and pursuant to this
Agreement, including sufficient available cash for Closing. 

  
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 7.2.4 Buyer shall hire or otherwise cause the hiring of a
sufficient number of employees of the Hotel at or immediately prior to Closing to prevent Seller from incurring any loss or liability under the Worker Adjustment and restraining Notification Act of 1988, 29 U.S.C. § 2101, et seq., and any
similar state and local applicable law, as amended from time to time, and any regulations, rules and guidance issued pursuant thereto (“WARN Act”) for failure to provide sufficient notice to such employees prior to the termination
of such employees by Seller. 
 7.2.5 Neither Buyer nor any controlling beneficial owner of Buyer: 

(a) is listed on the Lists; 
 (b) has been arrested for money laundering or for predicate crimes to money laundering, convicted or pled nolo contendere to charges involving money laundering or predicate crimes to money laundering;

 (c) has been determined by competent authority to be subject to the prohibitions contained in the Orders; 

(d) is owned or controlled by, nor acts for or on behalf of, any Person on the Lists or any other Person who has been determined by
competent authority to be subject to the prohibitions contained in the Orders; 
 (e) shall transfer or permit the transfer of
any interest in Buyer or such parties to any Person who is, or whose beneficial owners are, listed on the Lists; or 
 (f)
shall assign this Agreement or any interest herein, to any Person who is listed on the Lists or who is engaged in illegal activities. 
 If
Buyer or Buyer’s managing member become listed on the Lists or are indicted, arraigned, or custodially detained on charges involving money laundering or predicate crimes to money laundering, Buyer shall immediately notify Seller. Buyer shall
have ten (10) Business Days to remove such party from any interest in Buyer or Seller may terminate this Agreement upon written notice to Buyer, whereupon the Escrow Deposit shall be returned to Buyer and neither party shall have any further
obligation hereunder except for those obligations which expressly survive a termination of this Agreement. 
 7.2.6 Buyer will
familiarize itself with the requirements of the laws of the District of Columbia that govern the issuance of the liquor licenses necessary and appropriate for its intended use and operations of the Hotel. Buyer will obtain the advice of liquor law
counsel and Buyer understands that, among the requirements with which it will be required to comply, are the following: Buyer will be required to submit personal background information, including social security numbers and driving records, on
Buyer’s owners and managers and Buyer will further be required to submit such information on the owners and managers of any company which directly or indirectly controls Buyer. Buyer shall comply with these requirements. Buyer has no reason to
believe that it will not be able to obtain the issuance of the Required Liquor Licenses in accordance with the timing contemplated by this Agreement 

  
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 EXECUTION VERSION 

 
 7.3 Survival. The foregoing representations and
warranties and all other obligations, provisions and liabilities under this Agreement or any certificate delivered in connection herewith that survive Closing, shall survive until the date that is six (6) months after the Closing Date (the
period beginning on the date hereof and ending on such date being herein called the “Survival Period”), at which time such representations and warranties, covenants, obligations, provisions and liabilities shall terminate, except to
the extent that (i) such representations and warranties, covenants, obligations, provisions and liabilities otherwise survive as expressly provided herein or (ii) a notice of a claim of a breach of such representation, warranty, covenant,
obligation, provision or liability is delivered within the Survival Period and the party asserting such claim commences legal proceedings within ninety (90) days following the delivery of such a notice, in which event the Survival Period shall
be extended pending the resolution of such legal proceeding. Notwithstanding the foregoing, Seller shall have no liability and Buyer shall make no claim against Seller, for (and Buyer shall be deemed to have waived any failure of a condition
hereunder by reason of) a failure of any condition or a breach of any representation or warranty, covenant or other obligation of Seller under this Agreement or any document executed by Seller in connection with this Agreement (including for this
purpose any matter that would have constituted a breach of Seller’s representations and warranties had they been made on the Closing Date) (a) if the failure or breach in question constitutes or results from a condition, state of facts or
other matter that was actually known to Buyer prior to the date of this Agreement, but with no obligation on Buyer to conduct any independent investigation, or (b) if the failure or breach in question constitutes or results from a condition,
state of facts or other matter that was known to Buyer prior to Closing and Buyer proceeds with the Closing. 
 7.4 Interim
Covenants of Seller. Until the Closing Date or the sooner termination of this Agreement: 
 7.4.1
Maintenance/Operation. Seller shall not take any action to prevent or interfere with the maintenance and operation of the Property by Manager in the same manner as prior hereto pursuant to its normal course of business (such maintenance
obligations not including capital expenditures or expenditures not incurred in such normal course of business), subject to reasonable wear and tear and further subject to destruction by casualty or other events beyond the control of Seller.

 7.4.2 Service Contracts. Except to the extent required under the Management Agreement, Seller shall not enter into
any additional service contracts or other similar agreements without the prior consent of Buyer, which consent shall not be unreasonably withheld, except for (1) those deemed reasonably necessary in the ordinary course of business by Seller
which are for a term of one (1) year or less and/or cancelable on thirty (30) days’ notice without penalty or premium; and (2) those entered into by Manager in accordance with the Management Agreement which do not require
Seller’s consent. 
 7.4.3 Leases. Except to the extent required under the Management Agreement, Seller shall not
enter into any new leases or material modifications of existing leases without Buyer’s express written consent which shall not be unreasonably withheld or delayed and shall be deemed given if Buyer, within five (5) Business Days after
Seller requests Buyer’s approval to a proposed new lease or material modification of an existing lease, fails to give Seller written notice of its disapproval thereof and the reasons therefor. Notwithstanding

  
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 EXECUTION VERSION 

 
 
anything herein to the contrary, if the Closing occurs, Buyer shall bear all costs and expenses related to any new leases or modifications, extensions, expansions, options or renewals of existing
Leases entered into after the date hereof pursuant to this subsection (including tenant improvement costs and leasing commissions, but excluding free rent allocable to any period prior to the Closing Date) and, without limitation on the foregoing,
the prorations at Closing shall include an appropriate credit to Seller consistent with the foregoing. 
 7.5 Intentionally
Deleted. 
 7.6 Franchise Agreement and Hotel Management Agreement Indemnity. Seller shall indemnify, defend and hold
harmless Buyer from and against any claim by Franchisor and/or Manager (and all obligations, claims, liabilities, damages, losses, cost or expenses, including reasonable attorneys’ fees and court costs, resulting therefrom) by reason of a
default or in connection with the termination of the Franchise Agreement and the Management Agreement by the Seller. The indemnity obligations set forth in this Section 7.6 shall survive the Closing and shall not be subject to the Survival
Period limitation set forth in Section 7.3 hereof. 
 7.7 Warranties and Guaranties. Except in the ordinary course
of business, Seller shall not before or after Closing release or modify any warranties and guaranties, if any, except with the prior written consent of Buyer. 
 7.8 Insurance. Seller shall pay all premiums on, and shall not cancel or voluntarily allow to expire, any of Seller’s insurance policies applicable to the Hotel unless such policy is replaced,
without any lapse of coverage, by another policy or policies providing coverage at least as extensive as the policy or policies being replaced. 
 7.9 Maintenance. Seller shall maintain the Improvements and the Tangible Personal Property (including, but not limited to, the mechanical systems, plumbing, electrical, wiring, appliances,
fixtures, heating, air conditioning and ventilating equipment, elevators, boilers, equipment, roofs, structural members and furnaces) in accordance with Seller’s past practices, and in the same condition as they are as of the date hereof,
reasonable wear and tear and casualty excepted. 
 7.10 Removal of Personal Property. Seller shall not remove or cause or
permit to be removed any part or portion of the Improvements or the Tangible Personal Property without the express written consent of Buyer unless the same is replaced, prior to Closing, with similar items of at least equal suitability, quality and
value, free and clear of any liens or security interests. 
 7.11 Independent Audit. Immediately following the execution
of this Agreement, Seller shall provide and shall cause its Manager to provide to Buyer’s representatives and independent accounting firm access to financial and other information relating to the Property in the possession of or otherwise
available to Seller, its affiliates or Manager. Seller shall also provide and/or shall cause Manager to provide to Buyer’s independent accounting firm a signed representation letter which would be sufficient to enable an independent public
accountant to render an opinion on the financial statements related to the Property. The financial statements of the Property shall include all disclosures required by 

  
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 EXECUTION VERSION 

 
 
generally accepted accounting principles and the Securities and Exchange Commission regulations, specifically in accordance with Rule 3-05 of Regulation S-X and all related rules and regulations
thereof. Seller shall authorize and shall cause Manager to authorize any attorneys who have represented Seller or Manager in material litigation pertaining to or affecting the Property to respond, at Buyer’s expense, to inquiries from
Buyer’s representatives and independent accounting firm. Seller shall cooperate with Buyer’s representatives and independent public accountants to enable them to undertake their audit, recognizing the short duration of Seller’s
ownership of the Hotel. In the event that Seller fails or is unable to provide Buyer’s independent accounting firm with financial information which is necessary to complete the audit as reasonably determined by Buyer’s independent
accounting firm which results in the Buyer’s independent accounting firm being unable to complete its audit herein, then Buyer shall provide written notice to Seller incorporating a description of the required information or any defect in the
exiting financial information which has been provided to Buyer’s independent accounting firm, and Seller shall have ten (10) days to provide such information to reasonably satisfy the requirements of such audit process. If Seller fails to
respond or to otherwise provide the requested information within such ten (10) day period, then Buyer may elect to terminate this Agreement and if Buyer so elects the Escrow Holder shall return the Escrow Deposit to Buyer and Seller and Buyer
shall have no further rights or obligations under this Agreement, except those which expressly survive termination. The costs of such audit and any required restatements of the financial statements, including the restatement from a fiscal year basis
to a calendar year basis, shall be that of the Buyer. In the event the Seller or Manager, as the case may be, has provided to Buyer or its independent accounting firm all of the necessary financial information to complete the audit and such audit is
not completed by the Closing Date, Buyer shall not have the right to terminate this Agreement because such audit has not been completed, but shall diligently pursue completion of the audit, and Seller shall extend Closing for fifteen
(15) days. At the end of such fifteen (15) day period, Seller may continue to extend Closing to permit Buyer to complete the audit and proceed to Closing. Buyer shall have the right to terminate this Agreement due to
the inability to complete the audit upon the earlier to occur of (i) Seller declining to further extend the date for Closing, or (ii) that date which is sixty (60) days after the original Closing Date under this Agreement and
Escrow Holder shall return the Escrow Deposit to Buyer and Seller and Buyer shall have no further rights or obligations under this Agreement, except those which expressly survive termination. 

7.12 Assumed Liabilities. Except as otherwise provided herein, at Closing, Buyer shall assume all liabilities, obligations, costs
and expenses (collectively, “Liabilities”) arising from, relating to, or in connection with the Property or the Hotel to the extent and only to the extent arising or accruing for the period from and after the Closing Date
(collectively, the “Assumed Obligations”) (but subject to Seller’s express representations and warranties contained in this Agreement). Seller and Buyer agree that Buyer is not assuming and Seller shall remain responsible for
all Liabilities other than the Assumed Obligations. The provisions of this Section 7.12 shall survive the Closing and shall not be subject to the Survival Period set forth in Section 7.3 hereof. 

8. Labor and Employment Matters. 
 (a) Continuing Employees. Subject to Section 7.2.4, Buyer shall cause its Hotel manager to offer employment at the Property to Hotel employees at no less than the same

  
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 EXECUTION VERSION 

 
 
wage rate or salary as such Hotel employee held and enjoyed immediately prior to Closing, and with reasonably equivalent benefits to all Hotel employees; provided, however, that all such
employees shall be subject to the Buyer’s or Buyer’s designee’s normal hiring and screening processes, which may include, but not limited to, drug tests, immigration and naturalization documentation verification or any other
requirements in accordance with applicable laws. Buyer shall assume (i) all employee liabilities with respect to the Continuing Employees accruing or first arising on and after the Closing Date, or triggered by a termination of employment after
Closing (except to the extent that such employee liabilities arise under or relate to any employee plan sponsored or maintained by Seller or Manager and those which are directly related to a termination of employment before Closing or which
otherwise first arise before Closing), and (ii) all employee liabilities accrued as of Closing for which Buyer has received a proration credit under Section 5.3. 
 (b) Employment Indemnification. Seller shall terminate the employment of all Property employees effective as of Closing. Seller shall indemnify Buyer from and against any and all claims arising out
of any and all (i) employee liabilities with respect to the Continuing Employees accruing prior to Closing (except those which are triggered by a termination of employment after Closing or for which Buyer has received a credit under
Section 5.3), (ii) claims made or suits brought with respect to employee liabilities prior to Closing, and (iii) employee liabilities with respect to Hotel employees who are not Continuing Employees. Buyer shall indemnify Seller from
and against any and all claims arising out of any and all (i) employee liabilities with respect to the Continuing Employees accruing on and after Closing, (ii) claims made or suits brought with respect to employee liabilities for
Continuing Employees on and after Closing, and (iii) employee liabilities with respect to Hotel employees who are Continuing Employees first accruing on and after Closing. 

(c) Warn Act. Buyer acknowledges that, in light of Buyer’s intention to continue operation of the Property with substantially
the same staff after Closing and the parties’ desire for a prompt Closing, it is Buyer’s interest that Seller not take the precautionary step of giving Property employees notice of possible termination of employment at the Property under
WARN Act. Accordingly, Seller shall not give such notice with respect to the sale of the Property to Buyer, and Buyer shall indemnify Seller from and against any and all claims arising out of real or alleged violation of the WARN Act for failure to
give such notice to the extent based on Buyer’s failure, on and after the Closing Date, to offer employment at the Property to the Hotel employees in accordance with Section 7.2.4. 

9. DISCLAIMER, RELEASE AND ASSUMPTION. AS AN ESSENTIAL INDUCEMENT TO SELLER TO ENTER INTO THIS AGREEMENT, AND AS PART OF THE
DETERMINATION OF THE PURCHASE PRICE, BUYER ACKNOWLEDGES, UNDERSTANDS AND AGREES AS OF THE DATE HEREOF AND AS OF THE CLOSING DATE AS FOLLOWS: 
 9.1 DISCLAIMER. 
 9.1.1 AS-IS, WHERE-IS. EXCEPT AS OTHERWISE
EXPRESSLY PROVIDED IN SECTION 7.1, THIS AGREEMENT OR IN THE DEED OR ANY OF THE OTHER TRANSFER DOCUMENTS, THE SALE OF THE PROPERTY HEREUNDER IS 

  
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 EXECUTION VERSION 

 
 
AND WILL BE MADE ON AN “AS IS, WHERE IS”, AND “WITH ALL FAULTS” BASIS AND SELLER HAS NOT MADE, DOES NOT MAKE AND SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS,
WARRANTIES OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE OF, AS TO, CONCERNING OR WITH RESPECT TO THE PROPERTY OR ANY OTHER MATTER WHATSOEVER. 

9.1.2 SOPHISTICATION OF BUYER. BUYER IS A SOPHISTICATED BUYER WHO IS FAMILIAR WITH THE OWNERSHIP AND OPERATION OF REAL ESTATE
PROJECTS SIMILAR TO THE PROPERTY AND THAT BUYER HAS OR WILL HAVE ADEQUATE OPPORTUNITY TO COMPLETE ALL PHYSICAL AND FINANCIAL EXAMINATIONS (INCLUDING ALL OF THE EXAMINATIONS, REVIEWS AND INVESTIGATIONS REFERRED TO IN SECTION 4) RELATING TO THE
ACQUISITION OF THE PROPERTY HEREUNDER IT DEEMS NECESSARY, AND WILL ACQUIRE THE SAME SOLELY ON THE BASIS OF AND IN RELIANCE UPON SUCH EXAMINATIONS AND THE TITLE INSURANCE PROTECTION AFFORDED BY THE OWNER’S POLICY AND NOT ON ANY INFORMATION
PROVIDED OR TO BE PROVIDED BY SELLER (OTHER THAN AS EXPRESSLY PROVIDED IN SECTION 7.1 OR IN THE DEED). 
 9.1.3 PASSIVE
OWNER. SELLER HAS DELEGATED THE DAY-TO-DAY MANAGEMENT OF THE PROPERTY TO A THIRD PARTY MANAGER. 
 9.1.4 DUE DILIGENCE
MATERIALS. ANY INFORMATION PROVIDED OR TO BE PROVIDED WITH RESPECT TO THE PROPERTY IS SOLELY FOR BUYER’S CONVENIENCE AND WAS OR WILL BE OBTAINED FROM A VARIETY OF SOURCES AND THAT SELLER HAS NOT MADE ANY INDEPENDENT INVESTIGATION OR
VERIFICATION OF SUCH INFORMATION AND MAKES NO (AND EXPRESSLY DISCLAIMS ALL) REPRESENTATIONS AS TO THE ACCURACY OR COMPLETENESS OF SUCH INFORMATION (EXCEPT TO THE EXTENT PROVIDED IN SECTION 7.1, EXPRESSLY IN THIS AGREEMENT AND IN THE DEED).
EXCEPT FOR A CLAIM UNDER SECTION 7.1 OR AS OTHERWISE EXPRESSLY PROVIDED IN THIS AGREEMENT, SELLER SHALL NOT BE LIABLE FOR ANY MISTAKES, OMISSIONS, MISREPRESENTATION OR ANY FAILURE TO INVESTIGATE THE PROPERTY NOR SHALL SELLER BE BOUND IN ANY MANNER
BY ANY VERBAL OR WRITTEN STATEMENTS, REPRESENTATIONS, APPRAISALS, ENVIRONMENTAL ASSESSMENT REPORTS, OR OTHER INFORMATION PERTAINING TO THE PROPERTY OR THE OPERATION THEREOF, FURNISHED BY SELLER, ITS MANAGER, OR BY ANY REAL ESTATE BROKER, AGENT,
REPRESENTATIVE, AFFILIATE, DIRECTOR, OFFICER, SHAREHOLDER, EMPLOYEE, SERVANT OR OTHER PERSON OR ENTITY ACTING ON SELLER’S BEHALF (COLLECTIVELY, “SELLER RELATED PARTIES”). 

9.2 RELEASE. EXCEPT FOR THE EXPRESS REPRESENTATIONS AND WARRANTIES CONTAINED HEREIN AND AS OTHERWISE EXPRESSLY PROVIDED HEREIN,
BUYER RELEASES SELLER AND ALL SELLER RELATED PARTIES FROM ALL CLAIMS WHICH BUYER OR ANY PARTY RELATED TO OR AFFILIATED WITH BUYER (A “BUYER RELATED PARTY”) HAS OR MAY HAVE ARISING FROM OR 

  
 - 28 -

 EXECUTION VERSION 

 
 
RELATED TO ANY MATTER OR THING RELATED TO OR IN CONNECTION WITH THE PROPERTY INCLUDING THE DOCUMENTS AND INFORMATION REFERRED TO HEREIN, ANY CONSTRUCTION DEFECTS, ERRORS OR OMISSIONS IN THE
DESIGN OR CONSTRUCTION AND ANY ENVIRONMENTAL CONDITIONS, AND BUYER SHALL NOT LOOK TO ANY SELLER RELATED PARTIES IN CONNECTION WITH THE FOREGOING FOR ANY REDRESS OR RELIEF. THIS RELEASE SHALL BE GIVEN FULL FORCE AND EFFECT ACCORDING TO EACH OF ITS
EXPRESSED TERMS AND PROVISIONS, INCLUDING THOSE RELATING TO UNKNOWN AND UNSUSPECTED CLAIMS, DAMAGES AND CAUSES OF ACTION; PROVIDED HOWEVER THAT THIS RELEASE SHALL EXCLUDE ANY LIABILITY ARISING FROM SELLER’S GROSS NEGLIGENCE, FRAUD OR
INTENTIONAL MISCONDUCT. THE FOREGOING PROVISIONS OF THIS SECTION 8.2 SHALL NOT LIMIT, HOWEVER, SELLER’S EXPRESS OBLIGATIONS UNDER THIS AGREEMENT AND THE DOCUMENTS EXECUTED IN CONNECTION HEREWITH. 

9.3 SURVIVAL. THIS SECTION SHALL SURVIVE ANY TERMINATION OF THIS AGREEMENT AND THE CLOSING. 

10. Disposition Of Escrow Deposit. 
 10.1 Default by Seller. If the transaction herein provided shall not be closed by (a) reason of Seller’s default under this Agreement, or (b) the failure of satisfaction of the
conditions benefiting Buyer under Section 4 (each a “Seller Default”), then Buyer, as its sole and exclusive remedies for such Seller Default may elect to (i) terminate this Agreement and the Escrow Deposit shall be
returned to Buyer, and neither party shall have any further obligation or liability to the other (other than those obligations that expressly survive a termination of this Agreement) and, in the case of a Seller Default under Section 9.1(a)
Seller shall pay Buyer its Termination Costs (as hereinafter defined), or (ii) bring an action to specifically enforce this Agreement provided (A) Buyer shall have fully performed its obligations hereunder and shall be ready, willing and
able to close and (B) Buyer has filed an action for specific performance within sixty (60) days after the Closing Date. “Termination Costs” shall mean those reasonable costs actually incurred by Buyer in connection with
its investigation and efforts to purchase the Property, including, without limitation, actual reasonable fees and costs of counsel and consultants, all of which Termination Costs shall be evidenced by written documentation reasonably acceptable to
Seller, but in no event shall the Termination Costs payable by Seller to Buyer in connection with clause (i) of this Section exceed One Hundred Fifty Thousand Dollars ($150,000). 

10.2 Default By Buyer. In the event the transaction herein provided shall not close by reason of Buyer’s default under this
Agreement, then the Escrow Deposit shall be delivered to Seller as full compensation and liquidated damages under this Agreement for such failure to close. In connection with the foregoing, the parties recognize that Seller will incur expense in
connection with the transaction contemplated by this Agreement and that the Property will be removed from the market; further, that it is extremely difficult and impracticable to ascertain the extent of detriment to Seller caused by the breach by
Buyer under this Agreement and the failure of the consummation of the transaction contemplated by this Agreement or the amount of compensation Seller should receive as a result of Buyer’s breach or default. In the 

  
 - 29 -

 EXECUTION VERSION 

 
 
event the sale of the Property shall not be consummated on account of Buyer’s default, then the retention of the Escrow Deposit shall be Seller’s sole and exclusive remedy under this
Agreement by reason of such default, subject to the provisions of this Agreement that expressly survive a termination of this Agreement. 
 10.3 Closing. In the event the transaction herein provided shall close, the Escrow Deposit shall be applied as a partial payment of the Purchase Price. 

11. Miscellaneous. 
 11.1 Brokers. 
 11.1.1 Seller represents and warrants to Buyer, and Buyer
represents and warrants to Seller, that no broker or finder has been engaged by it, respectively, in connection with the sale contemplated by this Agreement. In the event of a claim for broker’s or finder’s fee or commissions in connection
with the sale contemplated by this Agreement, then Seller shall indemnify, defend and hold harmless Buyer from the same if it shall be based upon any statement or agreement alleged to have been made by Seller, and Buyer shall indemnify, defend and
hold harmless Seller from the same if it shall be based upon any statement or agreement alleged to have been made by Buyer. The indemnities set forth in this Section 10.1.1 shall not be limited by the Survival Period set forth in
Section 7.3 hereof. 
 11.2 Limitation of Liability. 

11.2.1 Except for the obligations contained in Section 5.3.2, Section 7.1.2(n), Section 7.6, Section 7.12,
Section 8, and Section 11.1 if the Closing of the transactions hereunder shall have occurred: (1) Seller shall have no liability (and Buyer shall make no claim against Seller) for a breach of any representation or warranty or any
other obligation of Seller or for indemnification under this Agreement or any document executed by Seller in connection with this Agreement, unless (a) the valid claims for all such breaches and indemnifications collectively aggregate to more
than $100,000, and (b) the liability of Seller under this Agreement and such documents does not exceed, in the aggregate, an amount (the “Maximum Liability Amount”) equal to two and one-half percent (2.50%) of the Purchase
Price (it being understood that, except for the obligations contained in Section 5.3.2, Section 7.1.2(n), Section 7.6, Section 7.12, Section 8 and Section 11.1, Seller’s liability under this Agreement and the
documents executed by Seller in connection herewith shall in no event exceed, in the aggregate, the Maximum Liability Amount; and (2) in no event shall Seller be liable for any consequential or punitive damages, except as otherwise provided in
Section 11.2.4. 
 11.2.2 No constituent member or partner in or agent of Seller, nor any advisor, trustee, director,
officer, employee, beneficiary, shareholder, member, partner, participant, representative or agent of any partnership, limited liability company, corporation, trust or other entity that has or acquires a direct or indirect interest in Seller, shall
have any personal liability, directly or indirectly, under or in connection with this Agreement or any agreement made or entered into under or pursuant to the provisions of this Agreement, or any amendment or amendments to any of the foregoing made
at any time or times, heretofore or hereafter, and Buyer and its successors and assigns and, without limitation, all other persons and 

  
 - 30 -

 EXECUTION VERSION 

 
 
entities, shall look solely to Seller’s assets for the payment of any claim or for any performance, and Buyer, on behalf of itself and its successors and assigns, hereby waives any and all
such personal liability. Notwithstanding anything to the contrary contained in this Agreement, neither the negative capital account of any constituent member or partner in Seller (or in any other constituent member or partner of Seller), nor any
obligation of any constituent member or partner in Seller (or in any other constituent member or partner of Seller) to restore a negative capital account or to contribute capital to Seller (or to any other constituent member or partner of Seller),
shall at any time be deemed to be the property or an asset of Seller or any such other constituent member or partner (and neither Buyer nor any of its successors or assigns shall have any right to collect, enforce or proceed against or with respect
to any such negative capital account or a member’s or partner’s obligation to restore or contribute). 
 11.2.3 The
foregoing shall be in addition to, and not in limitation of, any further limitation of liability that might otherwise apply (whether by reason of Buyer’s waiver, relinquishment or release of any applicable rights or otherwise). 

11.2.4 Notwithstanding anything herein to the contrary, except in the case of fraud by either party, the liability of each party hereto
resulting from the breach or default by either party shall be limited to actual damages incurred by the injured party and except in the case of fraud by either party, the parties hereto hereby waive their rights to recover from the other party
consequential, punitive, exemplary, and speculative damages, except to the extent that such liability is the result of fraud or intentional misconduct. 
 11.2.5 The provisions of this Section 10.2 shall survive the Closing. 
 11.3
Exhibits; Entire Agreement; Modification. All exhibits attached and referred to in this Agreement are hereby incorporated herein as if fully set forth in (and shall be deemed to be a part of) this Agreement. This Agreement contains the
entire agreement between the parties respecting the matters herein set forth and supersedes all prior agreements between the parties hereto respecting such matters. This Agreement may not be modified or amended except by written agreement signed by
both parties. 
 11.4 Time of the Essence. Time is of the essence of this Agreement. However, whenever
action must be taken (including the giving of notice or the delivery of documents) under this Agreement during a certain period of time (or by a particular date) that ends (or occurs) on a non-business day, then such period (or date) shall be
extended until the immediately following business day. As used herein, “Business Day” means any day other than a Saturday, Sunday or federal or District of Columbia holiday. 

11.5 Interpretation. Section headings shall not be used in construing this Agreement. Each party acknowledges that such party and
its counsel, after negotiation and consultation, have reviewed and revised this Agreement. As such, the terms of this Agreement shall be fairly construed and the usual rule of construction, to the effect that any ambiguities herein should be
resolved against the drafting party, shall not be employed in the interpretation of this Agreement or any amendments, modifications or exhibits hereto or thereto. The words “herein”, “hereof”, “hereunder”,
“hereby”, “this Agreement” and other similar references shall be construed to mean and include this Agreement and all amendments and supplements hereto 

  
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 EXECUTION VERSION 

 
 
unless the context shall clearly indicate or require otherwise. Whenever the words “including”, “include” or “includes” are used in this Agreement, they shall be
interpreted in a non-exclusive manner. Except as otherwise indicated, all Exhibit and Section references in this Agreement shall be deemed to refer to the Exhibits and Sections in this Agreement. 

11.6 Governing Law. This Agreement shall be construed and enforced in accordance with the laws of the District of Columbia,
without giving effect to any principles regarding conflict of laws. 
 11.7 Successors and Assigns. Buyer may
not assign or transfer its rights or obligations under this Agreement without the prior written consent of Seller either directly or indirectly (whether by outright transfer, transfer of ownership interests or otherwise); provided, however, Buyer
may assign its interest in this Agreement at least thirty (30) days prior to Closing to a special purpose entity (i) which is formed specifically and only for the purpose of purchasing and holding the Property; and (ii) in which Buyer
has voting and operational control so long as Buyer gives Seller at least three (3) business days advance written notice thereof and Buyer and the assignee executes and delivers an assignment and assumption agreement in form reasonably
satisfactory to Seller. In the event of a transfer, the transferee shall assume in writing all of the transferor’s obligations hereunder, but such transferor shall not be released from its obligations hereunder. Notwithstanding the above, such
assignment shall only be permitted and considered effective in circumstances and upon receipt of express written approval by the Lender in connection with the assumption with the Mortgage Loan and the Franchisor in connection with the Franchise
Agreement. No consent given by Seller to any transfer or assignment of Buyer’s rights or obligations hereunder shall be construed as a consent to any other transfer or assignment of Buyer’s rights or obligations hereunder. No transfer or
assignment in violation of the provisions hereof shall be valid or enforceable. Subject to the foregoing, this Agreement and the terms and provisions hereof shall inure to the benefit of and be binding upon the successors and assigns of the parties.

 11.8 Notice. Any notice which a party is required or may desire to give the other shall be in writing and may be sent
by personal delivery, by mail (either [i] by United States registered or certified mail, return receipt requested, postage prepaid, or [ii] by Federal Express or similar generally recognized overnight carrier regularly providing proof of delivery or
by telecopy (with a copy by mail), addressed as follows (subject to the right of a party to designate a different address for itself by notice similarly given): 
 To Seller: 
 c/o Sagamore Capital, LLC 

9616 East A.W. Tillinghast Road 
 Scottsdale, AZ 85262 
 Attention: Mr. Charles Dubroff 

Facsimile: (480) 595-9319 
 With a copy to: 
 Greenberg Traurig LLP 

  
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 EXECUTION VERSION 

 
 2101 L Street, N.W. 

Suite 1000 

Washington, D.C. 20006 
 Attention: Nelson F. Migdal, Esq. 
 Facsimile: (202) 261-4757 

To Buyer: 
 c/o Chesapeake Lodging Trust 
 1997 Annapolis Exchange Parkway, Suite 410

 Annapolis, Maryland 21401 
 Attention: D. Rick Adams 
 Facsimile: (410) 261-4757 

With a copy to: 

c/o Chesapeake Lodging Trust 
 1997 Annapolis Exchange Parkway, Suite 410 
 Annapolis, Maryland 21401 

Attention: Graham J. Wootten 
 Facsimile: (410) 261-4757 
 Any notice so given by mail shall be deemed to have been given as
of the date of delivery (whether accepted or refused) established by U.S. Post Office return receipt or the overnight carrier’s proof of delivery, as the case may be. Any such notice not so given shall be deemed given upon receipt of the same
by the party to whom the same is to be given. 
 11.9 Third Parties. Nothing in this Agreement, whether expressed or
implied, is intended to confer any rights or remedies under or by reason of this Agreement on any person other than the parties hereto and their respective successors and assigns, nor is anything in this Agreement intended to relieve or discharge
the obligation or liability of any third persons to any party to this Agreement, nor shall any provision give any third parties any right of subrogation or action over or against any party to this Agreement. This Agreement is not intended to and
does not create any third party beneficiary rights whatsoever. 
 11.10 Intentionally Deleted. 

11.11 Legal Costs. The parties hereto agree that they shall pay directly any and all legal costs which they have incurred on their
own behalf in the preparation of this Agreement, all deeds and other agreements pertaining to this transaction and that such legal costs shall not be part of the Closing costs. In addition, if either Buyer or Seller brings any suit or other
proceeding, including an arbitration proceeding, with respect to the subject matter or the enforcement of this Agreement, the prevailing party (as determined by the court, agency, arbitrator or other authority before which such suit or proceeding is
commenced), in addition to such other relief as may be awarded, shall be entitled to recover reasonable attorneys’ fees, expenses and costs of investigation actually incurred. The foregoing includes attorneys’ fees, expenses and costs of
investigation (including those incurred in appellate proceedings), costs 

  
 - 33 -

 EXECUTION VERSION 

 
 
incurred in establishing the right to indemnification, or in any action or participation in, or in connection with, any case or proceeding under Chapter 7, 11 or 13 of the Bankruptcy Code (11
United States Code Sections 101 et seq.), or any successor statutes. The provisions of this Section 10.11 shall survive any termination of this Agreement. 
 11.12 No Recordation. In no event shall this Agreement or any document or other memorandum related to the subject matter of this Agreement be recorded without the consent of Seller. 

11.13 Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all
of which shall constitute one and the same document. 
 11.14 Effectiveness. In no event shall any draft of this
Agreement create any obligation or liability, it being understood that this Agreement shall be effective and binding only when a counterpart hereof has been executed and delivered by each party hereto. 

11.15 Soils Disclosure. Buyer confirms that Seller has advised it, pursuant to §42-608 (formerly cited as § 45-508) of
the District of Columbia Code, that the soil on the subject lands is noted in the Soil Survey of the District of Columbia (issued July, 1976), as Urban Land. Buyer has been advised that it may obtain further information concerning the
characteristics of the soil on the Land from a soil testing laboratory, the D.C. Department of Environmental Services, or the Soil Conservation Service of the U.S. Department of Agriculture. Nothing herein shall constitute a representation or
warranty by Seller as to the Soil Characteristics of the Property. 
 11.16 Underground Storage Tank. Buyer hereby
acknowledges receipt, prior to entering into this Agreement, of a disclosure by the Seller as to any underground storage tanks located on the Property of which Seller has knowledge and Buyer acknowledges that Seller has disclosed to Buyer that there
has been no removal any underground storage tanks during the time Seller has owned the Property pursuant to that certain Phase II Environmental Site assessment dated September 11, 2003 performed by Engineering Consulting Services, Ltd. Buyer
acknowledges that such disclosure has been provided in compliance with the D.C. Underground Storage Tank Management Act of 1990, as amended. The form of disclosure is set forth in Exhibit “P” attached hereto. 

11.17 PIP. Buyer acknowledges that Buyer has received, reviewed and approved the PIP as of the Effective Date. Buyer may, at
Buyer’s sole cost, negotiate or otherwise seek to negotiate or modify the PIP with the Franchisor. Any such modifications or changes to the PIP shall be at Buyer’s sole cost and shall not delay Closing in any manner and shall not bind the
Seller unless Seller expressly agrees to the same. 
 11.18 Publicity. All press releases and all other publicity
concerning the transactions contemplated by this Agreement shall be jointly planned and coordinated by and between Buyer and Seller. Neither party shall act unilaterally in this regard without the prior written approval of the other; provided,
however, this approval shall not be unreasonably withheld or delayed. Notwithstanding the foregoing, if Buyer determines, after consultation with 

  
 - 34 -

 EXECUTION VERSION 

 
 
counsel, that it is required by federal or state securities laws or regulations to publicly disclose the existence or terms of this Agreement, before or after Closing occurs, Buyer shall allow
Seller a reasonable period of time, not to exceed two (2) Business Days, to review Buyer’s proposed disclosure in advance of Buyer making such disclosure but, for the avoidance of doubt, Buyer shall be permitted to make such disclosure and
shall not be required to obtain the consent of Seller prior to making such disclosure. 
 [Signatures on the following page]

  
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 EXECUTION VERSION 
 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written. 
  

					
	SELLER:
	
	NJA HOTEL LLC
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	Green Earth Homes (New York), Inc.,
		 		 	    general partner
			
		 	By:	 	 /s/ Charles Dubroff

	
	BUYER:
	
	CHSP NAVY YARD LLC, a Delaware limited liability company
		
	By:	 	 /s/ D. Rick Adams

		
	Name:	 	D, Rick Adams
		
	Title:	 	Vice President

  
 Exhibit P-1

 EXHIBIT “A” 

PIP 

  
 ExhibitA-1

 EXHIBIT “B” 

LEGAL DESCRIPTION OF LAND 

  
 Exhibit B-1

 EXHIBIT “C” 

EXCEPTIONS 
 Those
Special Exceptions listed on Schedule B - Section II as Numbers 1 through 7 of the Commitment for Title Insurance issued by Chicago Title Insurance Company dated December 29, 2010. 

  
 Exhibit C-1

 EXHIBIT “D” 

FORM OF ESCROW INSTRUCTIONS 
 ESCROW AGREEMENT 
 THIS ESCROW AGREEMENT (this
“Agreement”) is made and entered into as of February [    ], 2011 (the “Effective Date”), by and among (i) NJA HOTEL LLC, a Delaware limited liability company (hereinafter referred to as the
“Owner” or “Seller”), and CHSP NAVY YARD, LLC, a Delaware limited liability Company (“Buyer”), and (iii) FIDELITY NATIONAL TITLE GROUP (“Escrow Agent”), with reference
to the following recitals: 
 Recitals 
 A. Buyer and Seller have entered into that certain Purchase and Sale Agreement dated February [    ], 2011 (the “Sale Agreement”). Any terms not herein defined shall
have the definitions given in the Sale Agreement. 
 B. In connection with the Sale Agreement, Buyer and Seller have agreed to
select Escrow Agent to serve as escrow agent with respect to the Escrow Deposit (as defined in the Sale Agreement). The purpose of this Agreement is to prescribe instructions governing the services of Escrow Agent with respect to the Escrow Deposit.

 Agreements 

NOW, THEREFORE, in consideration of the foregoing, and for other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties, intending to be legally bound hereby agree as follows: 
 1. Engagement; Deposit. Seller and
Buyer hereby engage Escrow Agent to hold the Escrow Deposit in escrow pursuant to this Agreement and the Sale Agreement, and Escrow Agent hereby accepts such engagement. Capitalized terms not defined in this Agreement will have the meaning set forth
in the Sale Agreement. 
 2. Investment. Upon receipt of the Escrow Deposit from Buyer, Escrow Agent agrees to hold the
Escrow Deposit in escrow pursuant to this Agreement. Any cash portion of the Escrow Deposit shall be deposited in a federally insured institution (Buyer and Seller hereby approving Bank of America), such that all Deposit amounts are insured by the
FDIC (up to applicable limits), reasonably acceptable to Buyer and Seller. All interest earned on the Escrow Deposit shall become a part of the Escrow Deposit and shall be distributed in accordance with the terms of this Agreement and the Sale
Agreement. Upon request, Escrow Agent shall provide the name and address of the institution holding the Escrow Deposit, as well as the account number and all other relevant information regarding the Escrow Deposit 

3. Demand Notices. 
 (a) If either Buyer or Seller believes it is entitled to receive the Escrow Deposit, it may make a demand therefor in a written notice to Escrow Agent and to the other

  
 Exhibit D-1

 
party. Each such demand to the Escrow Agent shall contain a written certification that the party making the demand simultaneously sent a copy of such demand to the other party in accordance with
the terms of the Sale Agreement. If the other party objects to such demand, such other party shall deliver written notice of such objection to Escrow Agent and the other party within five (5) Business Days (defined below) of receipt by the
objecting party of such demand. If Escrow Agent does not receive such objection notice within such five (5) Business Day period, Escrow Agent shall automatically and immediately deliver the Escrow Deposit to the party who so demanded it. If the
Escrow Deposit is to be delivered to Buyer, it shall be returned in the form in which it was delivered. If the Escrow Deposit is to be delivered to Seller, Escrow Agent, upon demand of Seller, shall deliver the Escrow Deposit to Seller by wire
transfer of immediately available federal funds. 
 (b) Upon receipt of any notice of objection described above, Escrow Agent
shall have the right to hold the Escrow Deposit (including all interest earned thereon) in escrow until such time as the dispute is resolved by mutual agreement of Buyer and Seller or until otherwise directed by a court of general jurisdiction in
the District of Columbia. Alternatively, the Escrow Agent shall be entitled to deposit the Escrow Deposit (and any interest earned thereon) into a court of general jurisdiction in the District of Columbia and to interplead Seller and Buyer in
connection therewith. Buyer and Seller hereby consent to the jurisdiction of such court in connection with any such dispute. 

4. Liability of Escrow Agent. Escrow Agent shall not be liable for any damage, liability, or loss arising out of or in connection
with the services rendered by Escrow Agent pursuant to this Agreement, except for any damage, liability or loss resulting from the willful misconduct or negligence of Escrow Agent or any of its officers or employees or Escrow Agent’s breach of
its obligations hereunder. Escrow Agent shall not be liable for any levies by taxing authorities based upon the taxpayer identification number used to establish any interest bearing account with respect to hereof. Further, Escrow Agent shall not be
liable in the event of failure, insolvency, or inability of the depositary to pay said funds, or accrued interest thereon, upon demand for withdrawal. 
 5. Notices. Except as may be otherwise provided in this Agreement, all notices, demands, requests or other communications required or permitted to be given under this Agreement must be delivered to
the following addresses (a) personally, by hand delivery; (b) by Federal Express or a similar internationally recognized overnight courier service; or (c) by facsimile, provided that a confirmation copy is delivered the same day by
one of the methods set forth in clause (a) or (b) of this Article 5. All such notices, demands, requests or other communications shall be deemed to have been received for all purposes of this Agreement under the method in subpart
(a) and (b) upon the date of receipt or refusal; and under the method in subpart (c) upon receipt of a machine-printed confirmation of receipt time stamped before 5:00 P.M. Eastern Time, that same day, or, if after 5:00 P.M. Eastern
Time, the next business day, except that whenever under this Agreement a notice is received on a day which is not a business day, the day of receipt shall automatically be extended to the next business day. 

  
 Exhibit D-2

 If to Seller: 

c/o Sagamore Capital, LLC 
 9616 East A.W. Tillinghast Road 
 Scottsdale, AZ 85262 

Attention: Mr. Charles Dubroff 
 Facsimile: (480) 595-9319 
 With a copy to: 

Greenberg Traurig LLP 
 2101 L Street, N.W. 
 Suite 1000 

Washington, D.C. 20006 
 Attention: Nelson F. Migdal, Esq. 
 Facsimile: (202) 261-4757 

If to Buyer: 
 c/o Chesapeake Lodging Trust 
 1997 Annapolis Exchange Parkway, Suite 410

 Annapolis, Maryland 21401 
 Attention: D. Rick Adams 
 Facsimile: (410) 261-4757 

With a copy to: 

c/o Chesapeake Lodging Trust 
 1997 Annapolis Exchange Parkway, Suite 410 
 Annapolis, Maryland 21401 

Attention: Graham J. Wootten 
 Facsimile: (410) 261-4757 
 If to Escrow Agent: 

Fidelity National Title Group 
 7130 Glen Forest Drive, Suite 403 
 Richmond, VA 23226 

Attn: Melodie Rochelle 
 Phone: (804) 287-0938 
 Facsimile: (804) 673-3308 

6. Waiver of Jury Trial. Seller, Buyer and Escrow Agent hereby voluntarily, knowingly and intentionally waive any and all rights
to trial by jury in any legal action or proceeding arising under this Agreement regardless of whether such action or proceeding concerns any contractual or tortuous or other claim. Seller, Buyer and Escrow Agent acknowledge that this waiver of jury
trial is a material inducement to each party hereto to enter into this Agreement, that none of the parties would have entered into this Agreement without this 

  
 Exhibit D-3

 
jury trial waiver, and that each of Seller, Buyer and Escrow Agent, respectively, has been represented by an attorney or has had an opportunity to consult with an attorney in connection with this
jury trial waiver and understands the legal effect of this jury trial waiver. 
 7. Attorneys’ Fees. In any
litigation, arbitration, or other proceeding by which one party either seeks to enforce its rights under this Agreement (whether in contract, tort, or both) or seeks a declaration of any rights or obligations under this Agreement, the prevailing
party shall be awarded its actual, reasonable attorneys’ fees, expert witness fees and expenses and court costs incurred in such litigation, arbitration or other proceeding. 

8. Business Day. For purposes of this Agreement, “Business Day” means any day other than a Saturday, Sunday, or
bank holiday in the District of Columbia or any holiday when the federal government in the District of Columbia is closed. If a date or the expiration date of any period that is set out in any paragraph of this Agreement falls upon a day that is not
a business day, then, in such event, the date or expiration date of such period shall be extended to the next business day. 

9. Counterparts. This Agreement may be executed in counterpart copies, each of which shall constitute an original and all of which
together shall constitute one agreement. 
 10. Substitution of Escrow Agent. Buyer and Seller reserve the right, at any
time and from time to time, to substitute a new escrow agent in place of Escrow Agent, subject to mutual agreement between Buyer and Seller. 
 11. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective permitted successors and permitted assigns. 

12. Entire Agreement; Amendment. This Agreement is the entire agreement between the parties with respect to the subject matter
hereof, and no alteration, modification or interpretation hereof shall be binding unless in writing and signed by Seller and Buyer and acknowledged by Escrow Agent. 
 13. Exclusive Jurisdiction. Any claim, counterclaim or other action arising under this Agreement shall be brought only in the state or federal courts in the District of Columbia. 

14. Governing Law; Parties in Interest. This Agreement shall be governed by the law of the District of Columbia without giving
effect to its conflicts of law principles and shall bind and inure to the benefit of the parties to this Agreement and their respective heirs, executors, administrators, successors, and permitted assigns. 

[Signature Page Follows] 

  
 Exhibit D-4

 IN WITNESS WHEREOF, Seller, Buyer and Escrow Agent have executed this Agreement as of
the Effective Date. 
  

					
	SELLER:
	
	NJA HOTEL LLC
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	Green Earth Homes (New York), Inc.,
		 		 	general partner
			
		 	By:	 	  

	
	BUYER:
	
	 CHSP NAVY YARD, LLC, a Delaware limited liability Company

		
	By:	 	
 

					
	Name:	 	
 

					
	Title:	 	
 

					
	
	ESCROW AGENT:
	
	FIDELITY NATIONAL TITLE GROUP
		
	By:	 	  

							
	Name:	 	  
	 	

							
	Title:	 	  
	 	

  
 Exhibit D-5

 EXHIBIT “E” 

FORM OF SPECIAL WARRANTY DEED 
 AFTER RECORDING, RETURN TO: 
 CHSP Navy Yard, LLC 

c/o Chesapeake Lodging Trust 
 1997 Annapolis
Exchange Parkway, Suite 410 
 Annapolis, Maryland 21401 
 Attn: Graham J. Wooten 
 SPECIAL WARRANTY DEED 

THIS SPECIAL WARRANTY DEED is made this          day of
                        , 2011, by and between NJA HOTEL LLC, a Delaware limited liability company, having an
address c/o Sagamore Capital, LLC, 9616 East A.W. Tillinghast Road, Scottsdale, AZ 85262, as Grantor, and CHSP NAVY YARD, LLC, a Delaware limited liability Company, c/o Chesapeake Lodging Trust, 1997 Annapolis Exchange Parkway, Suite 410,
Annapolis, Maryland 21401, as Grantee. 
 W I T N E S S E T H: 

For and in consideration of the sum of Ten Dollars ($10.00), the receipt and sufficiency of which are hereby acknowledged, Grantor does
grant, bargain, sell, and convey, with Special Warranty of Title, to Grantee, and Grantee’s successors and assigns forever, in fee simple all that property situate in the District of Columbia, described on Exhibit A attached hereto and
made a part hereof, together with: (a) all of the buildings, improvements, structures, fixtures, additions, enlargements, extensions, and modifications thereon or to be constructed thereon; (b) all tenements, hereditaments, rights,
privileges, interests, minerals, easements, ways, and appurtenances now or hereafter belonging or in any way pertaining thereto; (c) all of Grantor’s interest in and to adjacent strips, streets, roads, avenues, alleys, and rights-of-way,
public or private, open or proposed; and (d) all rights and entitlements to development of the property granted by governmental or quasi-governmental bodies or entities (collectively, the “Property”). 

SUBJECT to covenants, easements, restrictions, and encumbrances of record insofar as they may lawfully affect the Property. 

TO HAVE AND TO HOLD the described Property to Grantee and Grantee’s successors and assigns, forever. 

AND Grantor does covenant that it will execute such further assurances of the said land as may be required. 

[Signature Page Follows] 

  
 Exhibit E-1

 IN TESTIMONY WHEREOF, Grantor, as of the day and year first hereinabove written, has
executed this Special Warranty Deed. 
  

											
		 		  		  	GRANTOR:
				
	ATTEST:	 		  		  	NJA HOTEL LLC
				
	  
	  		  	By:	  	NJA DEVELOPMENT PARTNERS,
	Name:	 	  
	  		  	a Delaware limited partnership
	Title:	 	  
	  		  		  		  	
						
		 		  		  		  	By:	  	Green Earth Homes (New York), Inc.,
		 		  		  		  	general partner
						
		 		  		  		  	By:	  	  

 

							
	STATE/DISTRICT/COMMONWEALTH OF	  	  
	  	)	  	
		  		  	)	  	ss:

							
	CITY/COUNTY OF	  	  
	 	  )	  	

 On this              day of
                                        ,
2011, before me, a notary public in and for said state, personally appeared ___________________________, personally known to me to be the person whose name is subscribed to the within instrument and acknowledged to me that he/she executed the same
in his/her authorized capacity as
                                        
of [                    ] of the Grantor named above, and that by his/her signature on the instrument such person, or the entity upon behalf
of which such person acted, executed the instrument. 
 Witness my hand and official seal. 

 

											
		 		  	  

	[NOTARIAL SEAL]	 		  	Notary Public	 	
		 		  	State of	 	  

		 		  	My commission expires:	 	  

  
 Exhibit E-2

 Exhibit A to Special Warranty Deed 

Legal Description 

  
 Exhibit E-3

 EXHIBIT “F” 

FORM OF BILL OF SALE 
 BILL OF SALE 
 For valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, NJA Hotel LLC, a Delaware limited liability company (“Seller”), having an office at c/o Sagamore Capital, LLC, 9616 East A.W. Tillinghast Road, Scottsdale, AZ 85262, hereby conveys to CHSP Navy Yard,
LLC, a Delaware limited liability Company, having an address of c/o Chesapeake Lodging Trust, 1997 Annapolis Exchange Parkway, Suite 410, Annapolis, MD 21401 (“Buyer”), all of Seller’s right, title and interest in and to all
furniture, fixtures, equipment, machinery, building systems, vehicles, computer hardware, art work, security systems, key cards (together with all devices for coding and monogramming such key cards), appliances, china, glassware, silverware, linens,
uniforms, engineering, maintenance, cleaning and housekeeping supplies, matches and ashtrays, soap and other toiletries, stationery, menus and other printed materials, and all other similar materials and supplies food and beverage inventories
(alcoholic and non-alcoholic) whether opened or unopened, merchandise located at the Real Property (as defined below), including, without limitation, any gift shop or newsstand maintained by Seller or manager of the Real Property, and held for sale
to guests and customers of the hotel located at the Real Property and all other items of tangible personal property located on the Real Property and used in connection with the operation of the hotel located on the Real Property (collectively, the
“Tangible Personal Property”) owned by Seller and currently used in the operation, repair and maintenance of the Real Property relating to certain real property known as 140 L Street, SE, Washington, DC 20003 (the “Real
Property”). 
 Seller represents and warrants that, other than as may be identified herein, the Tangible Personal Property
is conveyed to Buyer free and clear of all liens and encumbrances granted by or through Seller. Except for the preceding representation and warranty, makes no representation or warranty of any kind whatsoever with respect to the Tangible Personal
Property and the Tangible Personal Property is hereby conveyed to Buyer “AS IS”, “WHERE IS” and with all faults. 
 [Signature on following page.] 

 EXECUTED as of the      day of
                    , 2011. 
  

					
	SELLER:
	
	NJA HOTEL LLC
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	 Green Earth Homes (New York), Inc.,
 general partner

		 		 
			
		 	By:	 	  

  
 Exhibit F-1

 EXHIBIT “G” 

FORM OF GENERAL ASSIGNMENT AND ASSUMPTION 
 For valuable consideration, the receipt and sufficiency of which is hereby acknowledged NJA Hotel LLC, a Delaware limited liability company, having an address of c/o Sagamore Capital, LLC, 9616 East
A.W. Tillinghast Road, Scottsdale, AZ 85262 (“Assignor”), hereby assigns, transfers and delegates to CHSP Navy Yard, LLC, a Delaware limited liability Company, having an address of c/o Chesapeake Lodging Trust, 1997 Annapolis Exchange
Parkway, Suite 410, Annapolis, MD 21401 (“Assignee”), and Assignee hereby accepts the assignment, transfer and delegation of, all of Assignor’s right, title and interest in and to (i) the Tangible Personal Property, (ii) the
Leases, (iii) the Service Agreements, and (iv) the Bookings relating to certain real property known as 140 L Street SE, Washington, DC 20003. The capitalized terms in (i) to (v) above shall have the meaning set forth in the
Purchase Agreement dated February     , 2011, by and between Assignor and Assignee, and shall be collectively referred to herein as the “Assigned Items”. 

This Assignment and Assumption (this “Assignment”) is made without warranty or representation of any kind by Assignor.

 Assignee hereby assumes and agrees to perform, on and after the date hereof, all of the terms, covenants, obligations and
conditions required to be performed by Assignor with respect to the Assigned Items (the “Assignee Obligations”), provided, however that Assignor shall remain responsible for all of the terms, covenants, obligations and conditions required
to be performed by Assignor with respect to the Assigned Items prior to the date hereof (the “Assignor Obligations”). 

Assignee agrees to indemnify, protect, defend and hold Assignor harmless from and against any and all liabilities, losses, costs, damages
and expenses (including reasonable attorneys’ fees) incurred by Assignor as a result of Assignee’s failure to perform the Assignee Obligations. Assignor agrees to indemnify, protect, defend and hold Assignee harmless from and against any
and all liabilities, losses, costs, damages and expenses (including reasonable attorneys’ fees) incurred by Assignee as a result of Assignor’s failure to perform the Assignor Obligations. 

If any litigation between Assignor and Assignee arises out of the obligations of the parties under this Assignment or concerning the
meaning or interpretation of any provision contained herein, the losing party shall pay the prevailing party’s costs and expenses of such litigation including without limitation reasonable attorneys’ fees. 

This Assignment may be executed and delivered in any number of counterparts, each of which so executed and delivered shall be deemed to
be an original and all of which shall constitute one and the same instrument. 

 Nothing in this Assignment is intended to, or shall be construed to, confer upon or give to
any person, firm or corporation other than the parties hereto any right, remedy or claim under of by reason by this instrument. All terms and conditions in this instrument shall be for the sole and exclusive benefit of the parties hereto.

 EXECUTED as of the      day of
                    , 2011. 
  

					
	ASSIGNOR:
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	 Green Earth Homes (New York), Inc.,
 general partner

		 		 
			
		 	By:	 	  

		 	Name:	 	  

		 	Title:	 	  

	
	ASSIGNEE:
	
	CHSP NAVY YARD, LLC, a Delaware limited liability Company

					
		
	By:	 	
 

					
	Name:	 		 	
 

					
	Title:	 		 	  

  
 Exhibit G-1

 EXHIBIT “G-1” 

ASSIGNMENT OF INTANGIBLES 
 For good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, NJA Hotel LLC, a Delaware limited liability company, having an address of c/o Sagamore Capital, LLC,
9616 East A.W. Tillinghast Road, Scottsdale, AZ 85262 (“Assignor”), hereby assigns, transfers and delegates to CHSP Navy Yard, LLC, a Delaware limited liability Company, having an address of c/o Chesapeake Lodging Trust, 1997 Annapolis
Exchange Parkway, Suite 410, Annapolis, MD 21401 (“Assignee”) all of its right, title and interest in and to the following (collectively, the “Intangibles”): 

To the extent assignable, all governmental permits, licenses, consents, authorizations, registrations and certificates and approvals (the
“Licenses and Permits”) used in connection with the construction, ownership, occupancy or operation of the Hotel and the land identified on the attached Exhibit A and all improvements and fixtures located thereon (the
“Property”) together with any deposits made by Assignor thereunder, to the extent such Licenses and Permits and deposits are transferable, warranties and guarantees that Assignor has received in connection with any work or services
performed with respect to, or equipment installed in, the Improvements directly relating to the Hotel, telephone numbers, TWX numbers, post office boxes, signage rights, utility and development rights and privileges, site plans, surveys, plans and
specifications pertaining to the Land, Improvements and the Tangible Personal Property, and all websites and domains used for the Hotel, including access to the FTP files of the websites to obtain website information and content pertaining to the
Hotel, any insurance proceeds and condemnation awards or claims thereto to be assigned to Assignee hereunder, any computer systems, software, data and programs, operating systems, technology and technical information, copyrights, together with all
paper and electronic copies thereof, other than proprietary property of the Hotel’s management company in which Assignor does not have any ownership right or interest, and all books and records relating to the Property; and 

Assignor has not made and does not make any express or implied warranty or representation of any kind whatsoever with respect to the
Intangibles, other than as expressly set forth in the Purchase Agreement dated February     , 2011, by and between Assignor and Assignee (“Purchase Agreement”). Any capitalized terms herein which are not
otherwise defined shall have the meaning set forth in the Purchase Agreement. 
 This Assignment of Intangibles shall be
construed in accordance with the laws of the District of Columbia. The provisions hereof shall be binding upon Assignor and Assignor’s personal representatives, and successors in interest, and shall inure to the benefit of Assignor and Assignee
and their respective personal representatives and successors in interest. 
 SIGNATURE PAGE FOLLOWS 

 SIGNATURE PAGE TO 
 ASSIGNMENT OF INTANGIBLES 
 IN WITNESS WHEREOF, the Parties hereto have executed
this Assignment of Intangibles. 
  

					
	ASSIGNOR:
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	 Green Earth Homes (New York), Inc.,
 general partner

		 		 
			
		 	By:	 	  

		 	Name:	 	  

		 	Title:	 	  

	
	ASSIGNEE:
	
	CHSP NAVY YARD, LLC, a Delaware limited liability Company

					
		
	By:	 	
 

					
	Name:	 		 	
 

					
	Title:	 		 	  

 EXHIBIT “H” 

FORM OF SELLER’S CLOSING CERTIFICATE 
 THIS SELLER’S CLOSING CERTIFICATE (this “Certificate”) is made as of the      day of
                    , 2011, by NJA Hotel LLC, a Delaware limited liability company (“Seller”), for the benefit of CHSP
NAVY YARD, LLC, a Delaware limited liability Company (“Buyer”). 
 RECITALS: 

1. Seller and Buyer entered into that certain Purchase and Sale Agreement dated
[                             , 2011] (the “PSA”), for the purchase and sale of the
Property (as defined in the PSA). Capitalized terms used herein and not otherwise defined herein shall have the meanings set forth in the PSA. 
 2. The PSA contains certain representations and warranties (the “Representations and Warranties”) made by the Seller to and for the benefit of Buyer. 

NOW, THEREFORE, in consideration of the foregoing, the mutual agreements and covenants made by Buyer and Seller to one another in
the PSA and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller hereby (a) agrees that the recitals set forth above are incorporated herein as an integral part hereof, and
(b) certifies, represents and warrants to and for the benefit of Buyer that all of the Representations and Warranties made by Seller in the PSA are true and correct in all material respects as of the date hereof as if made on the date hereof.

 [Signature on following page.] 

  
 Exhibit H-1

 IN WITNESS WHEREOF, Seller has executed and delivered this Certificate as of the day
and year first hereinabove written. 
  

					
	SELLER:
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	Green Earth Homes (New York), Inc.,
		 		 	general partner

					
			
	By:	 		 	  

	Name:	 		 	  

	Title:	 		 	  

  
 Exhibit H-2

 EXHIBIT “I” 

FORM OF CERTIFICATE OF NON-FOREIGN STATUS 
 CERTIFICATE OF NON-FOREIGN STATUS 
 Section 1445 of the Internal
Revenue Code provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a foreign person. For U.S. tax purposes (including section 1445), the owner of a disregarded entity (which has legal title to a U.S. real
property interest under local law) will be the transferor of the property and not the disregarded entity. To inform the transferee that withholding of tax is not required upon the disposition of a U.S. real property interest by NJA HOTEL LLC,
a Delaware limited liability company (“Seller”), the undersigned hereby certifies the following on behalf of Seller: 
 1. Seller is not a foreign corporation, foreign partnership, foreign trust or foreign estate (as those terms are defined in the Internal Revenue Code and Income Tax Regulations). 

2. Seller’s U.S. employer identification number is
                                        .

 3. Seller’s office address c/o Sagamore Capital, LLC, 9616 East A.W. Tillinghast Road, Scottsdale, AZ 85262. 

Seller understands that this certification may be disclosed to the Internal Revenue Service by the transferee and that any false
statement contained herein could be punished by fine, imprisonment, or both. 
 Under penalties of perjury, Seller declares that
it has examined this certification and to the best of its knowledge and belief it is true, correct and complete, and that the individual executing this Agreement is duly authorized to execute this Agreement on behalf of Seller. 

Dated:
                                        ,
2011. 
  

					
	 SELLER:

	
	NJA HOTEL LLC
		
	By:	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	 Green Earth Homes (New York), Inc.,
 general partner

			
		 	By:	 	  

		 	Name:	 	  

		 	Title:	 	  

  
 Exhibit I-1

 EXHIBIT “J” 

FORM OF BUYER’S CLOSING CERTIFICATE 
 BUYER’S CLOSING CERTIFICATE 
 THIS PURCHASER’S CLOSING
CERTIFICATE (this “Certificate”) is made as of the      day of                     , 2011, by CHSP
NAVY YARD, LLC, a Delaware limited liability Company (“Buyer”), for the benefit of NJA Hotel LLC, a Delaware limited liability company (“Seller”). 

RECITALS: 

1. Seller and Buyer entered into that certain Purchase and Sale Agreement dated
[                     , 2011] (the “PSA”), for the purchase and sale of the Property (as defined in the PSA). Capitalized
terms used herein and not otherwise defined herein shall have the meanings set forth in the PSA. 
 3. The PSA contains certain
representations and warranties (the “Representations and Warranties”) made by the Buyer to and for the benefit of Seller. 
 NOW, THEREFORE, in consideration of the foregoing, the mutual agreements and covenants made by Buyer and Seller to one another in the PSA and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Buyer hereby (a) agrees that the recitals set forth above are incorporated herein as an integral part hereof, and (b) certifies, represents and warrants to and for the benefit of Seller all of
the Representations and Warranties made by Buyer in the PSA are true and correct in all material respects as of the date hereof as if made on the date hereof. 
 [Signature on following page.] 

  
 Exhibit J-1

 IN WITNESS WHEREOF, Purchaser has executed and delivered this Certificate as of the
day and year first hereinabove written. 
  

			
	BUYER:
	
	CHSP NAVY YARD, LLC, a Delaware limited liability Company

			
		
	By:	 	
 

			
	Name:	 	
 

			
	Title:	 	  

  
 2 

 EXHIBIT “K” 

TENANT LIST/SECURITY DEPOSITS 
 None 

  
 Exhibit K-1

 EXHIBIT “L” 

EXISTING LITIGATION 
  

	1.	Beverly Portier Employee litigation. Dismissal expected. 

  
 Exhibit L-1

 EXHIBIT “M” 

SERVICE AGREEMENTS 
  

	•	 	 Magnolia Plumbing, Inc. - Proposal 

  

	•	 	 Consolidated Green Services, LLC 

  

	•	 	 Dunbar Armored, Inc. - Service Contract 

  

	•	 	 Washington Gas Energy Services, Inc. - Natural Gas Purchase and Sales Base Agreement 

 

	•	 	 Washington Gas Energy Services, Inc. - Base Electric Power Supply Service Purchase and Sales Agreement 

 

	•	 	 IKON Financial Services - Lease Agreement (Fax) 

  

	•	 	 IKON Financial Services - Lease Agreement (Ricoh MP33505P Copier) 

 

	•	 	 Addendum to the LODGENET SigNETure TV Agreement 

  

	•	 	 PitneyBowes 

  

	•	 	 ThyssenKrupp Elevator - Platinum Maintenance Agreement 

 

	•	 	 MTech - PMWorks and TACT Service Agreement 

  

	•	 	 IBAHN - High Speed Internet Access Property Service Agreement 

 

	•	 	 Muzak DC - Multi Territory Account Service Agreement 

  

	•	 	 antronnix - Fire Alarm System Testing & Service Agreement Renewal 

 

	•	 	 Fidelity Power Systems - Renewal of Preventive Maintenance Agreement for Generator 

 

	•	 	 ECOLAB - Pest Elimination Services Agreement 

  

	•	 	 Washington Gas Energy Services - Firm Electric Power Supply. 

 

	•	 	 Iron Mountain Customer Agreement 

  

	•	 	 LodgeNet (Free-to-Guest Agreement) 

  

	•	 	 Eric Entertainment LLC 

  

	•	 	 Mitel Telephone System Service Agreement 

  

	•	 	 Uniguest Business Center Communication Agreement 

  

	•	 	 Marriott Shared Services Revenue Management 

  
 Exhibit M-1

 EXHIBIT “N” 

ENVIRONMENTAL REPORTS 

1. Phase I Environmental Site Assessment dated October 4, 2002 by Environmental Consulting Services, Ltd. 

2. Phase II Environmental Assessment dated September 11, 2003 by Environmental Consulting Services, Ltd. 

  
 Exhibit N-1

 EXHIBIT “O” 

MORTGAGE DOCUMENTS 

$42,500,000 Promissory Note 
 Loan Agreement

 Deed of Trust and Security Agreement 

Assignment of Leases and Rent 
 Guaranty of
Recourse Obligations of Borrower 
 UCC-1 Financing Statements 
 Environmental Indemnity Agreement 
 Borrower’s Closing Certificate 

Borrower’s Certification 
 Estoppel and
Agreement 
 Authorization to Wire Funds 

Conditional Assignment of Management Agreement 

Post Closing Letter 
 Officer’s Certificate

 Accountant’s Letter 
 Cross
Indemnification Agreement 
 Estoppel and Agreement 
 Assignment of Deed of Trust and Security Agreement and Assignment of Assignment of Leases and Rents 

  
 Exhibit O-1

 EXHIBIT “P” 

FORM OF 

DISTRICT OF COLUMBIA 
 UNDERGROUND STORAGE TANK 
 REAL ESTATE TRANSFER DISCLOSURE FORM

  

			
	Proposed Seller:	  	NJA HOTEL LLC, a Delaware limited liability company 
		
	Proposed Buyer:	  	CHSP NAVY YARD, LLC, a Delaware limited liability Company

			
		
	Regarding the Sale of:	  	140 L Street, S.E., Washington, D.C.

 Date: February
[    ], 2011 
 In accordance with the requirements of Section 8-113.02(g) (formerly cited as
Section 6-995(g)) of the District of Columbia Code [Section 3(g) of the District of Columbia Underground Storage Tank Management Act of 1990, as amended by the District of Columbia Underground Storage Tank Management Act of 1990 Amendment Act
of 1992]) (the “Act”) and the D.C. Underground Storage Tank Regulations, 20 DCMR Chapters 55-68, the undersigned, being the Seller of the real property in the District of Columbia located at the above referenced address (the
“Property”), hereby informs the above-referenced prospective Buyer in writing that undersigned Seller has no knowledge of the existence of the underground storage tank during the Seller’s ownership located on or under the Property, as
that term is defined in the Act (“USTs”). As of the date of this Disclosure, Seller has forwarded to the Buyer all reports in Seller’s possession that relate to any environmental studies conducted on the Property. 

This Disclosure Notice has been provided to the above-referenced prospective buyer prior to entering into a Contract for Sale of the Property.

 Information pertaining to the UST removals of which the D.C. Government has received notification is on file with the D.C. Department of
Consumer and Regulatory Affairs, Environmental Regulation Administration, Underground Storage Tank Branch, 2100 MLK, Jr. Avenue, S.E., Washington, D.C., Phone (202) 404-1167. 

 

					
	SELLER:
	
	NJA Hotel LLC
		
	 By:
	 	NJA DEVELOPMENT PARTNERS LIMITED PARTNERSHIP, a Delaware limited partnership
			
		 	By:	 	Green Earth Homes (New York), Inc., general partner

  
 Exhibit P-1

			
	By:	 	  

PURCHASER ACKNOWLEDGES THAT PURCHASER HAS RECEIVED THE ABOVE DISCLOSURES PRIOR TO ITS PURCHASE OF THE PROPERTY. 

			
	
	PURCHASER:
	
	CHSP NAVY YARD, LLC, a Delaware limited liability Company
		
	By:	 	  

			
	Name:	 	  

			
	Title:	 	  

  
 Exhibit P-2Comerica Incorporated 2006 Amended and Restated Long-Term Incentive Plan

 Exhibit 10.1 
 COMERICA INCORPORATED 
 2006 AMENDED AND RESTATED LONG-TERM INCENTIVE PLAN

 SECTION 1 
 PURPOSE 
 The purpose of Comerica’s 2006 Amended and Restated
Long-Term Incentive Plan is to align the interests of employees of the Corporation selected to receive awards with those of stockholders by rewarding long term decision-making and actions for the betterment of the Corporation. Accordingly, Eligible
Individuals may receive Awards of Options, Stock Appreciation Rights, Restricted Stock or Restricted Stock Units, Performance Awards and Other Stock-Based Awards. Equity-based compensation assists in the attraction and retention of qualified
employees, and provides them with additional incentive to devote their best efforts to pursue and sustain the Corporation’s superior long-term performance. This enhances the value of the Corporation for the benefit of its stockholders.

 SECTION 2 
 DEFINITIONS 
 A. “Affiliate” means (i) any
corporation, partnership, joint venture or other entity that is controlled by the Corporation, whether directly or indirectly, and (ii) any corporation, partnership, joint venture or other entity in which the Corporation has a significant
equity interest, as determined by the Committee; provided, however, that with respect to an Award of an Incentive Stock Option and an Award that is subject to Code Section 409A, the term “Affiliate” shall refer solely to a Subsidiary.

 B. “Aggregated Plan” means all agreements, methods, programs, and other arrangements sponsored by the
Corporation that would be aggregated with this Plan under Section 1.409A-1(c) of the Regulations. 
 C.
“Award” means an Option, a Stock Appreciation Right, a Share of Restricted Stock, a Restricted Stock Unit, a Performance Award, including a Qualified Performance-Based Award, or an Other Stock-Based Award pursuant to the Plan. Each
Award shall be evidenced by an Award Agreement. 
 D. “Award Agreement” means a written agreement, in a form
approved by the Committee, which sets forth the terms and conditions of an Award, including, but not limited to, the Performance Period and/or Restriction Period, as appropriate. Agreements shall be subject to the express terms and conditions set
forth herein, and to such other terms and conditions not inconsistent with the Plan as the Committee shall deem appropriate. 

E. “Award Recipient” means an Eligible Individual who has been granted an Award under the Plan and has entered into an
Award Agreement evidencing the grant of such Award or otherwise accepted the terms of an Award Agreement, including by electronic acceptance or acknowledgement. 

  
 1 

 F. “Beneficiary” means any person(s) designated by an Award Recipient on a
beneficiary designation form submitted to the Plan Administrator, or, if no form has been submitted, any person(s) entitled to receive any amounts owing to such Award Recipient under this Plan upon his or her death by reason of having been named in
the Award Recipient’s will or trust agreement or having qualified as a taker of the Award Recipient’s property under the laws of intestacy. If an Award Recipient authorizes any person, in writing, to exercise such individual’s Options
or Stock Appreciation Rights following the Award Recipient’s death, the term “Beneficiary” shall include any person in whose favor such Options or Stock Appreciation Rights are exercised by the person authorized to exercise the
Options or Stock Appreciation Rights. 
 G. “Board” means the Board of Directors of the Corporation.

 H. “Cause” means (1) conviction of the Award Recipient for committing a felony under Federal law or the
law of the state in which such action occurred, (2) dishonesty in the course of fulfilling the Award Recipient’s employment duties, (3) willful and deliberate failure on the part of the Award Recipient to perform his or her employment
duties in any material respect, or (4) before a Change of Control, such other events as shall be determined by the Committee. Before a Change of Control, the Committee shall, unless otherwise provided in an Individual Agreement with the Award
Recipient, have the sole discretion to determine whether “Cause” exists, and its determination shall be final. 
 I.
“Change of Control” shall have the meaning set forth in Exhibit A to this Plan. 
 J. “Code”
means the Internal Revenue Code of 1986, as amended. 
 K. “Committee” means the Governance, Compensation and
Nominating Committee of the Board or such other committee of the Board as the Board may from time to time designate, which, with respect to the establishment of Performance Measures, shall be composed solely of not less than two outside directors
(as described under Regulations Section 1.162-27(e)(3)), and shall be appointed by and serve at the pleasure of the Board. 

L. “Corporation” means Comerica Incorporated, a Delaware corporation, and its successors and assigns. 

M. “Date of Grant” means the effective date of an Award granted by the Committee to an Award Recipient. 

N. “Disabled” or “Disability” means “Totally Disabled” (or any derivation of such
term) within the meaning of the Long-Term Disability Plan of Comerica Incorporated, or if there is no such plan, “Disability” as determined by the Committee. However, with respect to the rules relating to Incentive Stock Options, the term
“Disabled” shall mean disabled as that term is utilized in Sections 422 and 22(e)(3) of the Code, or any successor Code provisions relating to ISOs. Furthermore, with respect to Awards subject to Section 409A of the Code,
“Disabled” shall not have either 

  
 2 

 
of the prior meanings, but shall mean an Award Recipient’s inability to engage in any substantial gainful activity due to a medically determinable physical or mental impairment which can be
expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months. 
 O.
“Disaffiliation” means a Subsidiary’s or Affiliate’s ceasing to be a Subsidiary or Affiliate for any reason (including, without limitation, as a result of a public offering, or a spinoff or sale by the Corporation, of the
stock of the Subsidiary or Affiliate) or a sale of a division of the Corporation and its Affiliates. 
 P. “Eligible
Individual” means any officers and employees of the Corporation or any of its Subsidiaries or Affiliates, and prospective officers and employees who have accepted offers of employment from the Corporation or its Subsidiaries or Affiliates.
Notwithstanding the foregoing, an Eligible Individual for purposes of receipt of the grant of an ISO shall be limited to those individuals who are eligible to receive ISOs under rules set forth in the Code and applicable Regulations. 

Q. “Exchange Act” means the Securities Exchange Act of 1934, as amended. 

R. “Fair Market Value” means the closing price of a Share on the New York Stock Exchange as reported on the Composite
Tape as published in the Wall Street Journal; if, however, there is no trading of Shares on the date in question, then the closing price of the Shares as so reported, on the last preceding trading day shall instead be used to determine Fair
Market Value. If Fair Market Value for any date in question cannot be determined as provided above, Fair Market Value shall be determined by the Committee in its good faith discretion based on a reasonable valuation method in accordance with the
Regulations and applicable guidance promulgated under Code Section 409A. 
 S. “Incentive Stock Option” or
“ISO Award” means an Option granted pursuant to the Plan that is designated in the applicable Award Agreement as an “incentive stock option” within the meaning of Section 422 of the Code, and that in fact so
qualifies. 
 T. “Nonqualified Stock Option” or “NQSO Award” means an Option granted pursuant
to the Plan that is not intended to be, or does not qualify as, an Incentive Stock Option. 
 U. “Option” means
a Nonqualified Stock Option or an Incentive Stock Option granted pursuant to Section 6(A) of the Plan. 
 V. “Other
Stock-Based Award” means any right granted under Section 6(F) of the Plan. 
 W. “Performance
Award” means any Award, including a Qualified Performance-Based Award, granted pursuant to Section 6(E) of the Plan. 

  
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 X. “Performance Measures” means the performance goals established by the
Committee and relating to a Performance Period in connection with the grant of an Award. In the case of any Qualified Performance-Based Award, such goals shall be (i) based on the attainment of specified levels of one or more of the following
measures (a) earnings per share, (b) return measures (including, but not limited to, return on assets, equity or sales), (c) net income (before or after taxes), (d) cash flow (including, but not limited to, operating cash flow
and free cash flow), (e) cash flow return on investments, which equals net cash flows divided by owner’s equity, (f) earnings before or after taxes, interest, depreciation and/or amortization, (g) internal rate of return or
increase in net present value, (h) gross revenues, (i) gross margins or (j) stock price (including, but not limited to, growth measures and total stockholder return) and (ii) set by the Committee within the time period prescribed
by Section 162(m) of the Code. Performance Measures may be absolute in their terms or measured against or in relationship to other companies comparably, similarly or otherwise situated and may be based on or adjusted for any other objective
goals, events, or occurrences established by the Committee for a Performance Period. Such Performance Measures may be particular to a line of business, Subsidiary or other unit or may be based on the performance of the Corporation generally. Such
Performance Measures may cover the Performance Period(s) as specified by the Committee. Performance Measures may be adjusted by the Committee in its sole discretion to eliminate the unbudgeted effects of charges for restructurings, charges for
discontinued operations, charges for extraordinary items and other unusual or non-recurring items of loss or expense, merger related charges, cumulative effect of accounting changes, the unbudgeted financial impact of any acquisition or divestiture
made during the applicable Performance Period, and any direct or indirect change in the Federal corporate tax rate affecting the Performance Period, each as defined by generally accepted accounting principles and identified in the audited financial
statements, notes to the audited financial statements, management’s discussion and analysis or other Corporation filings with the Securities and Exchange Commission 
 Y. “Performance Period” means the period designated by the Committee during which the Performance Measures applicable to an Award shall be measured. The Performance Period shall be
established at or before the time of the grant of the Award, and the length of any Performance Period shall be within the discretion of the Committee. 
 Z. “Plan” means the Comerica Incorporated 2006 Amended and Restated Long-Term Incentive Plan, as may be amended from time to time. 

AA. “Qualified Performance-Based Award” means an Award intended to qualify for the Section 162(m) Exemption, as
provided in Section 7. 
 BB. “Regulations” means the Treasury Regulations promulgated under the Code.

  
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 CC. “Restriction Period” means the period designated by the Committee
during which Shares of a Restricted Stock Award remain forfeitable or a Restricted Stock Unit Award is subject to vesting requirements. 
 DD. “Restricted Stock” or “Restricted Stock Award” means an award of Shares pursuant to Section 6(C) of the Plan subject to the terms, conditions and such
restrictions as may be determined by the Committee and set forth in the applicable Award Agreement. Shares of Restricted Stock shall constitute issued and outstanding Shares for all corporate purposes. 

EE. “Restricted Stock Units” or “Restricted Stock Unit Award” means an Award granted pursuant to
Section 6(D) of the Plan denominated in Shares subject to the terms, conditions and restrictions determined by the Committee and set forth in the applicable Award Agreement. 

FF. “Retirement” means, unless otherwise provided in an Award Agreement or determined by the Committee, an Award
Recipient’s Termination of Employment (or with respect to Awards subject to Code Section 409A, an Award Recipient’s Separation from Service) at or after age 65 or after attainment of both age 55 and ten (10) years of service with
the Corporation and Affiliates. 
 GG. “Section 162(m) Exemption” means the exemption from the limitation on
deductibility imposed by Section 162(m) of the Code that is set forth in Section 162(m)(4)(C) of the Code. 
 HH.
“Separation from Service” means, with respect to any Award that is subject to Code Section 409A, the date on which the Corporation and the Award Recipient reasonably anticipate a permanent reduction in the level of bona fide
services performed by the Award Recipient for the Corporation or any Affiliate to 20% or less of the average level of bona fide services performed by the Award Recipient for the Corporation or any Affiliate (whether as an employee or an independent
contractor) in the immediately preceding thirty-six (36) months (or the full period of service to the Corporation and any Affiliate if the Award Recipient has been providing services to the Corporation and its Affiliates for less than
thirty-six (36) months). The determination of whether a Separation from Service has occurred shall be made by the Plan Administrator in accordance with the provisions of Code Section 409A and the Regulations promulgated thereunder.

 II. “Share” means a share of common stock, $5.00 par value, of the Corporation or such other securities or
property as may become subject to Awards pursuant to an adjustment made under Section 3(D) of the Plan. 
 JJ.
“Specified Employee” means a key employee of the Corporation as defined in Code Section 416(i) without regard to paragraph (5) thereof. The determination of whether an Award Recipient is a Specified Employee shall be made
by the Committee as of the specified employee identification date adopted by the 

  
 5 

 
Corporation in accordance with the provisions of Code Section 409A and the Regulations promulgated thereunder. 
 KK. “Stock Appreciation Right” or “SAR Award” means a right granted under Section 6(B) of the Plan. 

LL. “Subsidiary” means any entity (other than the Corporation) in an unbroken chain of entities beginning with the
Corporation, provided each entity (other than the last entity) in the unbroken chain owns, at the time of the determination, ownership interests possessing fifty percent (50%) or more of the total combined voting power of all classes of
ownership interests in one of the other entities in such chain; provided, however, with respect to any Award that is an Incentive Stock Option, the term “Subsidiary” shall refer solely to an entity that is taxed under Federal tax law as a
corporation. 
 MM. “Tax Withholding Date” shall mean the earliest date the obligation to withhold tax with
respect to an Award arises. 
 NN. “Term” means the maximum period during which an Option or Stock Appreciation
Right may remain outstanding (subject to earlier termination upon Termination of Employment or otherwise) as specified in the applicable Award Agreement or, to the extent not specified in the Award Agreement, as provided in the Plan. 

OO. “Termination of Employment” means the termination of the applicable Award Recipient’s employment with the
Corporation and any of its Affiliates. An Award Recipient employed by an Affiliate or a division of the Corporation or any of its Affiliates shall be deemed to incur a Termination of Employment if, as a result of a Disaffiliation, such Affiliate or
division ceases to be an Affiliate or division, as the case may be, and the Award Recipient does not immediately thereafter become an employee of the Corporation or an Affiliate. Neither a temporary absence from employment because of illness,
vacation or leave of absence nor a transfer among the Corporation and its Affiliates shall be considered a Termination of Employment. 
 SECTION 3 
 STOCK SUBJECT TO THE PLAN 

A. Plan Maximums. The maximum number of Shares that may be delivered pursuant to Awards under the Plan shall be the sum of
(i) thirteen-and-one-half million (13,500,000), (ii) any Shares available for future awards under the Amended and Restated Comerica Incorporated 1997 Long-Term Incentive Plan (the “Prior Plan”) as of the Effective Date,
and (iii) any Shares that are represented by awards granted under the Prior Plan which are forfeited, expire or are cancelled without delivery of Shares or which result in the forfeiture of Shares back to the Corporation. No additional Shares
will be granted pursuant to the terms of the Prior Plan as of the Effective Date of the Plan. The maximum number of Shares that may be delivered pursuant to Options intended to be Incentive Stock Options shall be one million
(1,000,000) Shares. No more than 4.7 million (4,700,000) Shares may be issued during the term of the Plan 

  
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pursuant to Awards other than Options and Stock Appreciation Rights. Shares subject to an Award under the Plan may be authorized and unissued Shares or treasury Shares. 

B. Individual Limits. No Award Recipient may be granted Awards with respect to more than 350,000 Shares in any calendar year, and
the maximum number of Shares underlying Awards of Options and Stock Appreciation Rights that may be granted to an Award Recipient in any calendar year is 350,000. 
 C. Rules for Calculating Shares Delivered. Any Shares covered by an Award that has been granted shall be counted as used under the Plan as of the Date of Grant. To the extent that any Award is
forfeited, or any Option or Stock Appreciation Right terminates, expires or lapses without being exercised, the Shares subject to such Awards not delivered as a result thereof shall again be available for Awards under the Plan. The following Shares,
however, may not again be made available for issuance in respect of Awards under this Plan: (i) Shares not issued or delivered as a result of the net settlement of an outstanding Stock Appreciation Right; (ii) Shares used to pay the
exercise price or withholding taxes related to an outstanding Award; or (iii) Shares repurchased by the Corporation on the open market with the proceeds of an Option exercise price to settle an Option. 

D. Adjustment Provision. In the event of (i) a stock dividend, stock split, reverse stock split, share combination, or
recapitalization or similar event affecting the capital structure of the Corporation (each, a “Share Change”), or (ii) a merger, consolidation, acquisition of property or shares, separation, spinoff, reorganization, stock
rights offering, liquidation, Disaffiliation, or similar event affecting the Corporation or any of its Subsidiaries (each, a “Corporate Transaction”), the Committee or the Board shall make such substitutions or adjustments as it
deems appropriate and equitable, if any, to (A) the aggregate number and kind of Shares or other securities reserved for issuance and delivery under the Plan, (B) the various maximum limitations set forth in Sections 3(A) and 3(B) upon
certain types of Awards and upon the grants to individuals of certain types of Awards, (C) the number and kind of Shares or other securities subject to outstanding Awards, and (D) the exercise price of outstanding Options and Stock
Appreciation Rights, provided that the aggregate exercise price or aggregate grant price of the Options or Stock Appreciation Rights is not less than the aggregate exercise price or aggregate grant price before the Corporate Transaction. In the case
of Corporate Transactions, such adjustments may include, without limitation, (1) the cancellation of outstanding Awards in exchange for payments of cash, property or a combination thereof having an aggregate value equal to the value of such
Awards, as determined by the Committee or the Board in its sole discretion (it being understood that in the case of a Corporate Transaction with respect to which stockholders of Common Stock receive consideration other than publicly traded equity
securities of the ultimate surviving entity, any such determination by the Committee that the value of an Option or Stock Appreciation Right shall for this purpose be deemed to equal the excess, if any, of the value of the consideration being paid
for each Share pursuant to such Corporate Transaction over the exercise price of such Option or Stock Appreciation Right shall conclusively be deemed valid); (2) the substitution of other property (including, without

  
 7 

 
limitation, cash or other securities of the Corporation and securities of entities other than the Corporation) for the Shares subject to outstanding Awards; and (3) in connection with any
Disaffiliation, arranging for the assumption of Awards, or replacement of Awards with new awards based on other property or other securities (including, without limitation, other securities of the Corporation and securities of entities other than
the Corporation), by the affected Subsidiary, Affiliate, or division or by the entity that controls such Subsidiary, Affiliate, or division following such Disaffiliation (as well as any corresponding adjustments to Awards that remain based upon
Corporation securities). Any such adjustments shall be made in a manner that (i) with respect to Awards that are not considered to be deferred compensation within the meaning of Section 409A of the Code immediately prior to such
adjustment, would not cause such Awards to become deferred compensation subject to Section 409A of the Code and (ii) with respect to Awards that are considered deferred compensation within the meaning of Section 409A of the Code,
would not cause such Awards to be non-compliant with the requirements of Section 409A of the Code. 
 SECTION 4

 ADMINISTRATION 
 A. Committee. The Plan shall be administered by the Committee. In addition to any implied powers and duties that may be needed to carry out the provisions of the Plan, the Committee shall have all
the powers vested in it by the terms of the Plan, including exclusive authority to: select Eligible Individuals; to make Awards; to determine the type, size, terms and timing of Awards (which need not be uniform); to accelerate the vesting of
Awards, including upon the occurrence of a Change of Control of the Corporation or an Award Recipient’s Termination of Employment; to prescribe the form of the Award Agreement; to modify, amend or adjust the terms and conditions of any Award,
subject to Sections 7 and 10; to adopt, alter and repeal such administrative rules, guidelines and practices governing the Plan as it shall from time to time deem advisable; to interpret the terms and provisions of the Plan and any Award issued
under the Plan (and any Award Agreement relating thereto); make any other determinations it believes necessary or advisable in connection with the administration of the Plan; correct any defect, supply any omission or reconcile any inconsistency in
the Plan or in any Award Agreement; establish any “blackout” period that the Committee in its sole discretion deems necessary or advisable; and to otherwise administer the Plan. 

B. Procedures. Determinations of the Committee shall be made by a majority vote of its members at a meeting at which a quorum is
present or pursuant to a unanimous written consent of its members. A majority of the members of the Committee shall constitute a quorum. Subject to Section 7(D), any authority granted to the Committee may also be exercised by the full Board. To
the extent that any permitted action taken by the Board conflicts with action taken by the Committee, the Board action shall control. The Committee may authorize any one or more of its members, or any officer of the Corporation, to execute and
deliver documents on behalf of the Committee. 

  
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 Except to the extent prohibited by applicable law or the applicable rules of a stock
exchange, the Committee may (i) allocate all or any portion of its responsibilities and powers to any one or more of its members and/or (ii) delegate all or any part of its responsibilities and powers to any person or persons selected by
it, provided that, the Committee may not delegate its responsibilities and powers if such delegation would cause an Award made to an individual subject to Section 16 of the Exchange Act not to qualify for an exemption from
Section 16(b) of the Exchange Act or cause an Award intended to be a Qualified Performance-Based Award not to qualify for, or to cease to qualify for, the Section 162(m) Exemption. Any such allocation or delegation may be revoked by the
Committee at any time. 
 All decisions made by the Committee (or any person or persons to whom the Committee has allocated or
delegated all or any portion of its responsibilities and powers in accordance with this Plan) shall be final and binding on all persons, including the Corporation, its Affiliates, Subsidiaries, stockholders, Eligible Individuals, Award Recipients,
Beneficiaries and other interested parties. 
 C. Discretion of the Committee. Subject to Section 1(G), any
determination made by the Committee or by an appropriately delegated officer pursuant to delegated authority under the provisions of the Plan with respect to any Award shall be made in the sole discretion of the Committee or such delegate at the
time of the grant of the Award or, unless in contravention of any express term of the Plan, at any time thereafter. All decisions made by the Committee or any appropriately delegated officer pursuant to the provisions of the Plan shall be final and
binding on all persons, including the Corporation, Award Recipients and Eligible Individuals. 
 D. Cancellation or
Suspension of Awards. The Committee may cancel all or any portion of any Award, whether or not vested or deferred, as set forth below. Upon cancellation, the Award Recipient shall forfeit the Award and any benefits attributable to such canceled
Award or portion thereof. The Committee may cancel an Award if, in its sole discretion, the Committee determines in good faith that the Award Recipient has done any of the following: (i) committed a felony; (ii) committed fraud;
(iii) embezzled; (iv) disclosed confidential information or trade secrets; (v) was terminated for Cause; (vi) engaged in any activity in competition with the business of the Corporation or any Subsidiary or Affiliate of the
Corporation; or (vii) engaged in conduct that adversely affected the Corporation. The Executive Vice President — Director of Human Resources, or such other person designated from time to time by the Chief Executive Officer of the
Corporation (the “Delegate”), shall have the power and authority to suspend all or any portion of any Award if the Delegate makes in good faith the determination described in the preceding sentence. Any such suspension of an Award
shall remain in effect until the suspension shall be presented to and acted on by the Committee at its next meeting. This Section 4(D) shall have no application for a two year period following a Change of Control of the Corporation. 

  
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 SECTION 5 
 ELIGIBILITY 
 Awards may only be made to Eligible Individuals. 

SECTION 6 

AWARDS 

A. Options. The Committee may grant Options to Eligible Individuals in accordance with the provisions of this subsection subject
to such additional terms and conditions, not inconsistent with the provisions of the Plan, as the Committee shall determine to be appropriate. 
 1. Exercise Price. The exercise price per Share of an Option shall be determined by the Committee; provided, however, that such exercise price shall not be less than 100% of the Fair Market
Value of a Share on the Date of Grant of such Option, and such exercise price may not be decreased during the Term of the Option except pursuant to an adjustment in accordance with Section 3(D). 

2. Option Term. The Term of each Option shall be fixed by the Committee and the maximum Term of each Option shall
be ten (10) years. 
 3. Time and Manner of Exercise. The Committee shall determine the time or times
at which an Option may be exercised, and the manner in which (including, without limitation, cash, Shares, other securities, other Awards or other property, or any combination thereof, having a Fair Market Value on the exercise date equal to the
relevant exercise price) payment of the exercise price with respect thereto may be made, or deemed to have been made. The Committee may authorize the use of any form of “cashless” exercise of an Option that is legally permissible.

 4. Employment Status. Except as provided in paragraphs (a) through (d) below or as may
otherwise be provided by the Committee (either at the time of grant of an Option or thereafter), an Award Recipient’s Options and Stock Appreciation Rights shall be immediately forfeited upon his or her Termination of Employment. 

a. Retirement. An Award Recipient’s Retirement shall not affect any Option outstanding as of the Termination
of Employment due to Retirement other than those granted in the calendar year of Retirement. All Options outstanding as of the Termination of Employment due to Retirement other than those granted in the calendar year of such Termination of
Employment shall continue to vest pursuant to the vesting schedule applicable to such Options, and any vested Options outstanding as of the Termination of Employment due to Retirement (including any ISO held by an Award Recipient who is not
Disabled) shall continue in full force and effect for the remainder of the Term of the Option. All Options granted in the calendar year of Termination of Employment due to 

  
 10 

 
Retirement that have not otherwise vested as of such termination shall terminate upon the date of Retirement. 

b. Disability. Upon the cessation of the Award Recipient’s employment due to Disability, any Option held by
such individual that was exercisable immediately before the Termination of Employment due to Disability shall continue to be exercisable until the earlier of (i) the third anniversary of the Award Recipient’s Termination of Employment (or,
in the case of any ISO held by an Award Recipient who is Disabled, the first anniversary of the Award Recipient’s Termination of Employment) and (ii) the expiration of the Term of the Option. 

c. Death. Upon the Award Recipient’s death (whether during his or her employment with the Corporation or an
Affiliate or during any otherwise applicable post-termination exercise period, which in the case of an ISO, shall not exceed three (3) months), any Option held by such individual that was exercisable immediately before the Termination of
Employment shall continue to be exercisable by the Beneficiary(ies) of the decedent, until the earlier of (i) the first anniversary of the date of the Award Recipient’s death and (ii) the expiration of the Term of the Option.

 d. Other Terminations of Employment. Upon the Award Recipient’s Termination of Employment for any
reason other than Retirement, Disability, death or for Cause, any Option held by such individual that was exercisable immediately before the Termination of Employment shall continue to be exercisable until the earlier of (i) the expiration of
the three-month period following the Award Recipient’s Termination of Employment and (ii) the expiration of the Term of the Option. 
 e. Extension or Reduction of Exercise Period. In any of the foregoing circumstances, subject to Section 8, the Committee may extend or shorten the exercise period, but may not extend any such
period beyond the Term of the Option as originally established (or, insofar as this paragraph relates to Stock Appreciation Rights, the Term of the SAR Award as originally established). Further, with respect to ISOs, as a condition of any such
extension, the holder shall be required to deliver to the Corporation a release which provides that such individual will hold the Corporation and/or Affiliates harmless with respect to any adverse tax consequences the individual may suffer by reason
of any such extension. 
 B. Stock Appreciation Right Awards. The Committee may grant Stock Appreciation Rights to
Eligible Individuals in accordance with the provisions of this subsection subject to such additional terms and conditions, not inconsistent with the provisions of the Plan, as the Committee shall determine to be appropriate. The Term of each SAR
Award shall be fixed by the Committee and the maximum Term of each SAR Award shall be ten (10) years. A Stock Appreciation Right granted under the Plan 

  
 11 

 
shall confer on the Award Recipient a right to receive upon exercise thereof the excess (if any) of (i) the Fair Market Value of one Share on the date of exercise over (ii) the grant
price of the Stock Appreciation Right Award as specified by the Committee, which price shall not be less than 100% of the Fair Market Value of one Share on the Date of Grant of the Stock Appreciation Right. Subject to the terms of the Plan, the
Committee shall determine the grant price, Term, manner of exercise, dates of exercise, methods of settlement (cash, Shares or a combination thereof) and any other terms and conditions of any SAR Award. The Committee may impose such conditions or
restrictions on the exercise of any SAR Award as it may deem appropriate. Except as otherwise provided by the Committee or in an Award Agreement, any SAR Award must be exercised during the period of the Award Recipient’s employment with the
Corporation or Affiliate, provided that the provisions of Section 6(A)(4)(a)-(e) hereof shall apply for purposes of determining the exercise period in the event of the Award Recipient’s Retirement, Disability, death or other
Termination of Employment. 
 C. Restricted Stock Awards. The Committee may make Restricted Stock Awards to Eligible
Individuals in accordance with the provisions of this subsection subject to such additional terms and conditions not inconsistent with the provisions of the Plan as the Committee shall determine to be appropriate. 

1. Nature of Restrictions. Restricted Stock Awards shall be subject to such restrictions, including Performance
Measures, as the Committee may impose (including, without limitation, any limitation on the right to vote a Share of Restricted Stock or the right to receive any dividend or other right or property with respect thereto), which restrictions may lapse
separately or in combination at such time or times, in such installments or otherwise as the Committee may deem appropriate. Subject to the Committee’s authority under Section 6(C)(3) below, the minimum Restriction Period with respect to a
Restricted Stock Award that is subject to restrictions that are Performance Measures shall be one (1) year, and the minimum Restriction Period with respect to a Restricted Stock Award that is subject to restrictions that are not Performance
Measures shall be three (3) years. The Committee may, as of the Date of Grant, designate an Award of Restricted Stock that is subject to Performance Measures as a Qualified Performance-Based Award. 

2. Stock Certificates. Restricted Stock Awards granted under the Plan shall be evidenced by the issuance of a stock
certificate(s), which shall be held by the Corporation. Such certificate(s) shall be registered in the name of the Award Recipient and shall bear an appropriate legend which refers to the restrictions applicable to such Restricted Stock Award.
Alternatively, shares of Restricted Stock under the Plan may be recorded in book entry form. 
 3. Forfeiture;
Delivery of Shares. Except as may be otherwise provided in an Award Agreement, upon an Award Recipient’s Termination of Employment (as determined under criteria established by the Committee) during the applicable Restriction Period, all
Shares of Restricted Stock shall be immediately forfeited and revert to the Corporation; provided, however, that the 

  
 12 

 
Committee may waive, in whole or in part, any or all remaining restrictions applicable to the Restricted Stock Award. Shares comprising any Restricted Stock Award held by the Corporation that are
no longer subject to restrictions shall be delivered to the Award Recipient (or his or her Beneficiary) promptly after the applicable restrictions lapse or are waived. 
 D. Restricted Stock Unit Awards. The Committee may grant Awards of Restricted Stock Units to Eligible Individuals, subject to Section 8 hereof and such other terms and conditions, not
inconsistent with the provisions of the Plan, as the Committee shall determine to be appropriate. A Restricted Stock Unit shall represent an unfunded, unsecured right to receive one Share or cash equal to the Fair Market Value of a Share.

 1. Nature of Restrictions. Restricted Stock Unit Awards shall be subject to such restrictions,
including Performance Measures, as the Committee may impose, which restrictions may lapse separately or in combination at such time or times, in such installments or otherwise as the Committee may deem appropriate. Subject to the Committee’s
authority under Section 6(D)(3) below, the minimum Restriction Period with respect to a Restricted Stock Unit Award that is subject to restrictions that are Performance Measures shall be one (1) year, and the minimum Restriction Period
with respect to a Restricted Stock Unit Award that is subject to restrictions that are not Performance Measures shall be three (3) years. The Committee may, as of the Date of Grant, designate an Award of Restricted Stock as a Qualified
Performance-Based Award. 
 2. Rights as a Stockholder. An Eligible Individual to whom Restricted Stock
Units are granted shall not have any rights of a stockholder of the Corporation with respect to the Share represented by the Restricted Stock Unit Award. If so determined by the Committee, in its sole and absolute discretion, Restricted Stock Units
may include a dividend equivalent right, pursuant to which the Award Recipient will either receive cash amounts (either paid currently or on a contingent basis) equivalent to the dividends and other distributions payable with respect to the number
of Shares represented by the Restricted Stock Units, or additional Restricted Stock Units with a Fair Market Value equal to such dividends and other distributions, as specified in the Award Agreement. Dividend equivalent rights that the Committee
determines are subject to Section 409A of the Code shall be paid or settled in accordance with Section 8 hereof. 
 3. Forfeiture/Settlement. Except as may be otherwise provided in an Award Agreement, upon an Award Recipient’s Termination of Employment (as determined under criteria established by the
Committee) during the applicable Restriction Period, all Restricted Stock Units shall be immediately forfeited; provided, however, that the Committee may waive, in whole or in part, any or all remaining vesting requirements or restrictions
applicable to the Restricted Stock Unit Award. Subject to Section 11(D) hereof, an Award of Restricted Stock Units shall be settled in Shares as and when the Restricted Stock Units vest or at a later time permitted under Section 8 hereof
and specified by the Committee in the Award Agreement. 

  
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 E. Performance Awards. The Committee may grant Performance Awards (designated as
Qualified Performance-Based Awards or not) to Eligible Individuals in accordance with the provisions of this Section 6(E), subject to Section 8 hereof and such additional terms and conditions, not inconsistent with the provisions of the
Plan, as the Committee shall determine to be appropriate. A Performance Award granted under the Plan (i) may be denominated or payable in cash, Shares (including, without limitation, Restricted Shares), other securities, other Awards, or other
property, and (ii) shall confer on the Award Recipient the right to receive a dollar amount or number of Shares upon the attainment of Performance Measures during any Performance Period, as established by the Committee. Subject to the terms of
the Plan and any applicable Award Agreement, the Performance Measures to be achieved during any Performance Period, the length of any Performance Period and the amount of any payment or number of Shares in respect of a Performance Award shall be
determined by the Committee. 
 F. Other Stock-Based Awards. The Committee may grant Other Stock-Based Awards to Eligible
Individuals in accordance with the provisions of this Section 6(F), subject to Section 8 hereof and such other additional terms and conditions, including Performance Measures, not inconsistent with the provisions of the Plan, as the
Committee shall determine. Other Stock-Based Awards may be denominated or payable in, valued in whole or in part by reference to, or otherwise based on or related to, Shares (including, without limitation, securities convertible into Shares), as are
deemed by the Committee to be consistent with the purpose of the Plan. 
 G. General. Except as otherwise specified in
the Plan or an applicable Award Agreement, the following provisions shall apply to Awards granted under the Plan: 
 1. Consideration for Awards. Other than the payment of the exercise price or grant price in connection with the exercise of an Option or Stock Appreciation Right, Awards shall be made without
monetary consideration or for such minimal monetary consideration as may be required by applicable law. In no event may any Option or Stock Appreciation Right granted under this Plan be amended, other than pursuant to Section 3(D), to decrease
the exercise or grant price thereof, be cancelled in conjunction with the grant of any new Option or Stock Appreciation Right with a lower exercise or grant price, or otherwise be subject to any action that would be treated, for accounting purposes,
as a “repricing” of such Option or Stock Appreciation Right, unless such amendment, cancellation, or action is approved by the Corporation’s stockholders. 

2. Forms of Payment under Awards. Subject to the terms of the Plan and of any applicable Award Agreement, payments
or transfers of Shares to be made by the Corporation or an Affiliate upon the grant, exercise or satisfaction of an Award may be made in such form or forms as the Committee shall determine (including, without limitation, cash, Shares, other
securities, other Awards or other property or any combination thereof), and may be made in a single payment or transfer, or in installments, and may be made upon vesting or such 

  
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later date permitted under Section 8 hereof and specified in the applicable Award Agreement, and, in each case, in accordance with rules and procedures established by the Committee. Such
rules and procedures may include, without limitation, provisions for the payment or crediting of reasonable interest on installment or deferred payments. 
 3. Limits on Transfer of Awards. No Award and no right under any such Award shall be transferable by an Award Recipient otherwise than by will or by the laws of intestacy; provided, however,
that, an Award Recipient may, in the manner established by the Committee, designate a Beneficiary to exercise the rights of the Award Recipient and to receive any property distributable with respect to any Award upon the death of the Award
Recipient. Each Award or right under any Award shall be exercisable during the Award Recipient’s lifetime only by the Award Recipient or, if permissible under applicable law, by the Award Recipient’s guardian or legal representative. No
Award or right under any such Award may be pledged, alienated, attached or otherwise encumbered, and any purported pledge, alienation, attachment or encumbrance thereof shall be void and unenforceable against the Corporation or any Affiliate.

 4. Term of Awards. Subject to any specific provisions of the Plan, the term of each Award shall be for
such period as may be determined by the Committee. 
 5. Securities Law Restrictions. All certificates for
Shares or other securities delivered under the Plan pursuant to any Award or the exercise thereof shall be subject to such restrictions as the Committee may deem advisable under the Plan, or the rules, regulations and other requirements of the
Securities and Exchange Commission, the New York Stock Exchange, any other exchange on which Shares may be eligible to be traded or any applicable federal or state securities laws, and the Committee may cause a legend or legends to be placed on any
such certificates to make appropriate reference to such restrictions. 
 6. Deferring Awards. Under no
circumstances may an Award Recipient elect to defer, until a time or times later than the exercise of an Option or a Stock Appreciation Right or the settlement or distribution of Shares or cash in respect of other Awards, receipt of all or a portion
of the Shares or cash subject to such Award, or dividends and dividend equivalents payable thereon. 
 SECTION 7

 QUALIFIED PERFORMANCE-BASED AWARDS 
 A. Section 162(m) Exemption. The provisions of this Plan are intended to ensure that all Options and Stock Appreciation Rights granted hereunder to any Award Recipient who is or may be a
“covered employee” (within the meaning of Section 162(m)(3) of the Code) or otherwise subject to Section 162(m) in the tax year in which such Option or Stock Appreciation Right is expected to be deductible to the Corporation
qualify for the Section 162(m) Exemption, and all such Awards shall therefore be 

  
 15 

 
considered Qualified Performance-Based Awards and this Plan shall be interpreted and operated consistent with that intention (including, without limitation, to require that all such Awards be
granted by a committee composed solely of members who satisfy the requirements for being “outside directors” for purposes of the Section 162(m) Exemption (“Outside Directors”)). When granting any Award other than an
Option or Stock Appreciation Right, the Committee may designate such Award as a Qualified Performance-Based Award, based upon a determination that (i) the recipient is or may be a “covered employee” (within the meaning of
Section 162(m)(3) of the Code) or otherwise subject to Section 162(m) with respect to such Award, and (ii) the Committee wishes such Award to qualify for the Section 162(m) Exemption, and the terms of any such Award (and of the
grant thereof) shall be consistent with such designation (including, without limitation, that all such Awards be granted by a committee composed solely of Outside Directors). 
 B. Limitation on Amendment. Each Qualified Performance-Based Award (other than an Option or Stock Appreciation Right) shall be earned, vested and payable (as applicable) only upon the achievement
of one or more Performance Measures, together with the satisfaction of any other conditions, such as continued employment, as the Committee may determine to be appropriate, and no Qualified Performance-Based Award may be amended, nor may the
Committee exercise any discretionary authority it may otherwise have under this Plan with respect to a Qualified Performance-Based Award, in any manner that would cause the Qualified Performance-Based Award to cease to qualify for the
Section 162(m) Exemption; provided, however, that (i) the Committee may provide, either in connection with the grant of the applicable Award or by amendment thereafter, that achievement of such Performance Measure will be waived
upon the death or Disability of the Award Recipient (or under any other circumstance with respect to which the existence of such possible waiver will not cause the Award to fail to qualify for the Section 162(m) Exemption), and (ii) any
rights to vesting or accelerated payment on a Change of Control shall apply notwithstanding this Section 7(B). 
 C.
Maximum Cash Award. For purposes of the Section 162(m) Exemption, the maximum amount of compensation payable with respect to an Award granted under the Plan to any Award Recipient who is a “covered employee” (as defined in
Section 162(m) of the Code) that is denominated as a dollar amount will not exceed $5,000,000 for any calendar year. 
 D.
Limitation on Action by the Full Board. The full Board shall not be permitted to exercise authority granted to the Committee to the extent that the grant or exercise of such authority would cause an Award designated as a Qualified
Performance-Based Award not to qualify for, or to cease to qualify for, the Section 162(m) Exemption. 

  
 16 

 SECTION 8 
 SECTION 409A OF THE CODE 
 It is the intention of the Corporation that
no Award shall be “deferred compensation” subject to Section 409A of the Code, unless and to the extent that the Committee specifically determines otherwise, and the Plan and the terms and conditions of all Awards shall be interpreted
accordingly. If the Committee determines that an Award is subject to Section 409A of the Code, then the Award shall be paid or settled only upon the Award Recipient’s death, Disability, or Separation from Service, or upon a Change of
Control, or upon such date(s) or pursuant to a schedule designated by the Committee, as specified in the applicable Award Agreement, subject to the following provisions: 

1. Delay for Specified Employees. Notwithstanding any provision of this Plan or the terms of an Award Agreement to
the contrary, an Award that is granted to a Specified Employee and that is to be paid or settled upon such Specified Employee’s Separation from Service shall not be paid or settled prior to the earlier of (i) the first business date
following six months after the date of such Specified Employee’s Separation from Service or (ii) the Specified Employee’s death. 
 2. Distribution in the Event of Income Inclusion Under Code Section 409A. If an Award fails to meet the requirements of Section 409A of the Code, the Award Recipient may receive payment
in connection with the Award before the Award would otherwise be paid, provided, however, that the amount paid to the Award Recipient shall not exceed the lesser of: (i) the amount payable under such Award, or (ii) the amount to be
reported pursuant to Section 409A of the Code on the applicable Form W-2 (or Form 1099) as taxable income to the Award Recipient. 
 3. Distribution Necessary to Satisfy Applicable Tax Withholding. If the Corporation is required to withhold amounts to pay the Award Recipient’s portion of the Federal Insurance Contributions
Act (FICA) tax imposed under Code Sections 3101, 3121(a) or 3121(v)(2) with respect to an amount that is or will be paid to the Award Recipient under the Award before the amount otherwise would be paid, the Committee may withhold an amount equal to
the lesser of: (i) the amount payable under such Award, or (ii) the aggregate of the FICA taxes imposed and the income tax withholding related to such amount. 

4. Delay in Payments Subject to Code Section 162(m). In the event the Corporation reasonably anticipates that
the payment of benefits under an Award would result in the loss of the Corporation’s Federal income tax deduction with respect to such payment due to the application of Code Section 162(m), the Committee may delay the payment of all such
benefits under the Award until (i) the first taxable year in which the Corporation reasonably anticipates, or should reasonably anticipate, that if the payment were made during such year, the deduction of such payment would not be barred by
application of Code Section 

  
 17 

 
162(m) or (ii) during the period beginning with the date of the Award Recipient’s Separation from Service (or, for Specified Employees, the date which is six (6) months after the
date of the Award Recipient’s Separation from Service) and ending on the later of (A) the last day of the taxable year of the Corporation which includes such date or (B) the 15th day of the third month following the date of the Award
Recipient’s Separation from Service (or, for Specified Employees, the date which is six (6) months after the date of the Award Recipient’s Separation from Service). 

5. Delay for Payments in Violation of Federal Securities Laws or Other Applicable Law. In the event the Corporation
reasonably anticipates that the payment of benefits under an Award would violate Federal securities laws or other applicable law, the Committee may delay the payment until the earliest date at which the Corporation reasonably anticipates that making
of such payment would not cause such violation. 
 6. Delay for Insolvency or Compelling Business Reasons.
In the event the Corporation determines that the making of any payment of benefits on the date specified under an Award would jeopardize the ability of the Corporation to continue as a going concern, the Committee may delay the payment of benefits
until the first calendar year in which the Corporation notifies the Committee that the payment of benefits would not have such effect. 
 7. Administrative Delay in Payment. In the case of administrative necessity, the payment of benefits under an Award may be delayed up to the later of the last day of the calendar year in which
payment would otherwise be made or the 15th day of the third calendar month following the date on which payment would otherwise be made. Further, if, as a result of events beyond the control of the Award Recipient (or following the Award
Recipient’s death, the Award Recipient’s Beneficiary), it is not administratively practicable to calculate the amount of benefits due to the Award Recipient as of the date on which payment would otherwise be made, the payment may be
delayed until the first calendar year in which calculation of the amount is administratively practicable. 
 8.
No Award Recipient Election. Notwithstanding the foregoing provisions, if the period during which payment of benefits under an Award will be made occurs, or will occur, in two calendar years, the Award Recipient shall not be permitted to
elect the calendar year in which the payment shall be made. 
 SECTION 9 

WITHHOLDING OF TAXES 
 The Corporation will, if required by applicable law, withhold the minimum statutory amount of Federal, state and/or local withholding taxes no later than the date as of which an amount first becomes
includible in the gross income of an Award Recipient for Federal, state, local or foreign income or employment or other tax. Unless otherwise provided in the applicable Award Agreement, each Award Recipient may

  
 18 

 
satisfy any such tax withholding obligation by any of the following means, or by a combination of such means: (i) a cash payment; (ii) by delivery to the Corporation of already-owned
Shares which have been held by the individual for at least six (6) months having a Fair Market Value, as of the Tax Withholding Date, sufficient to satisfy the amount of the withholding tax obligation arising from an exercise or vesting of an
Award; (iii) by authorizing the Corporation to withhold from the Shares otherwise issuable to the individual pursuant to the exercise or vesting of an Award, a number of shares having a Fair Market Value, as of the Tax Withholding Date, which
will satisfy the amount of the withholding tax obligation; or (iv) by a combination of such methods of payment. If the amount requested is not paid, the Corporation may refuse to satisfy the Award. The obligations of the Corporation under the
Plan shall be conditional on such payment or arrangements, and the Corporation and its Affiliates shall, to the extent permitted by law, have the right to deduct any such taxes from any payment otherwise due to such Award Recipient. The Committee
may establish such procedures as it deems appropriate, including making irrevocable elections, for the settlement of withholding obligations with Shares. 
 SECTION 10 
 AMENDMENT AND TERMINATION 

A. Amendments to and Termination of the Plan. The Committee or the Board may amend, alter, or discontinue the Plan at any time by
written resolution, but no amendment, alteration or discontinuation shall be made which would materially impair the rights of the Award Recipients with respect to a previously granted Award without such Award Recipient’s consent, except such an
amendment made to comply with applicable law, including without limitation Section 409A of the Code, stock exchange rules or accounting rules. In addition, no such amendment shall be made without the approval of the Corporation’s
stockholders to the extent such approval is required by applicable law (including Section 422 of the Code) or the listing standards of the applicable stock exchange. 
 B. Amendments to Awards. Subject to Section 6(G)(1), the Committee may unilaterally amend the terms of any Award theretofore granted, but no such amendment shall cause a Qualified
Performance-Based Award to cease to qualify for the Section 162(m) Exemption or, without the Award Recipient’s consent, materially impair the rights of any Award Recipient with respect to an Award, except such an amendment made to cause
the Plan or Award to comply with applicable law, stock exchange rules or accounting rules. Furthermore, no amendment may be made to a NQSO Award or a SAR Award which would cause the exercise price or the grant price (as applicable) to be less than
100% of the Fair Market Value of one Share as of the Date of Grant except as provided in Section 3(D). 
 C. Payment of
Benefits Upon Termination of Plan. Upon termination of the Plan, the Corporation may settle any outstanding Award that is not subject to Code Section 409A as soon as is practicable following such termination and may settle any outstanding
Award that is subject to Code Section 409A in accordance with one of the following: 

  
 19 

 1. the termination and liquidation of the Plan within twelve
(12) months of a complete dissolution of the Corporation taxed under Section 331 of the Code or with the approval of a bankruptcy court pursuant to 11 U.S.C. § 503(b)(1)(A); provided that the amounts deferred under this Plan are
included in the Participants’ gross incomes in the latest of the following years (or, if earlier, the taxable year in which the amount is actually or constructively received): (i) the calendar year in which the Plan is terminated;
(ii) the first calendar year in which the amount is no longer subject to a substantial risk of forfeiture; or (iii) the first calendar year in which the payment is administratively practicable. 

2. the termination and liquidation of the Plan pursuant to irrevocable action taken by the Committee or the Corporation
within the thirty (30) days preceding or the twelve (12) months following a Change of Control; provided that all Aggregated Plans are terminated and liquidated with respect to each Participant that experienced the Change of Control, so
that under the terms of the termination and liquidation, all such Participants are required to receive all amounts of deferred compensation under this Plan and any other Aggregated Plans within twelve (12) months of the date the Committee or
the Corporation irrevocably takes all necessary action to terminate and liquidate this Plan and the Committee or the Corporation, as the case may be, takes all necessary action to terminate and liquidate such other Aggregated Plans; 

3. the termination and liquidation of the Plan, provided that: (i) the termination and liquidation does not occur
proximate to a downturn in the Corporation’s financial health; (2) the Committee or the Corporation, as the case may be, terminates and liquidates all Aggregated Plans; (3) no payments in liquidation of this Plan are made within
twelve (12) months of the date the Committee or the Corporation irrevocably takes all necessary action to terminate and liquidate this Plan, other than payments that would be payable under the terms of this Plan if the action to terminate and
liquidate this Plan had not occurred; (4) all payments are made within twenty four (24) months of the date on which the Committee or the Corporation irrevocably takes all action necessary to terminate and liquidate this Plan; and
(5) the Corporation does not adopt a new Aggregated Plan at any time within three (3) years following the date on which the Committee or the Corporation irrevocably takes all action necessary to terminate and liquidate the Plan.

 SECTION 11 
 MISCELLANEOUS PROVISIONS 
 A. Conditions for Issuance. The Committee
may require each person purchasing or receiving Shares pursuant to an Award to represent to and agree with the Corporation in writing that such person is acquiring the Shares without a view to the distribution thereof. The certificates for such
Shares may include any legend which the Committee deems appropriate to reflect any restrictions on transfer. Notwithstanding any other provision of the Plan or Award Agreements made pursuant thereto, with

  
 20 

 
respect to any Award other than an Award that is subject to Code Section 409A, the Corporation shall not be required to issue or deliver any certificate or certificates for Shares under the
Plan prior to fulfillment of all of the following conditions: (i) listing or approval for listing upon notice of issuance, of such Shares on the applicable stock exchange; (ii) any registration or other qualification of such Shares of the
Corporation under any state or Federal law or regulation, or the maintaining in effect of any such registration or other qualification which the Committee shall, in its absolute discretion upon the advice of counsel, deem necessary or advisable; and
(iii) obtaining any other consent, approval, or permit from any state or Federal governmental agency which the Committee shall, in its absolute discretion after receiving the advice of counsel, determine to be necessary or advisable, and, with
respect to any Award that is subject to Code Section 409A, the Corporation shall not be required to issue or deliver any certificate or certificates for Shares under the Plan if the Corporation reasonably anticipates that such issuance or
delivery would violate applicable Federal securities laws or other applicable law, provided the Corporation issues or delivers the Shares at the earliest date on which the Corporation reasonably anticipates that such issuance or delivery would not
cause such violation. 
 B. Additional Compensation Arrangements. Nothing contained in the Plan shall prevent the
Corporation or any Subsidiary or Affiliate from adopting other or additional compensation arrangements for its employees. Participation in the Plan shall not affect an individual’s eligibility to participate in any other benefit or incentive
plan of the Corporation. 
 C. No Contract of Employment or Rights to Awards. The Plan shall not constitute a contract of
employment, and adoption of the Plan shall not confer upon any employee any right to continued employment, nor shall it interfere in any way with the right of the Corporation or any Subsidiary or Affiliate to terminate the employment of any employee
at any time. No employee or other person shall have any claim or right to receive an Award under the Plan. Receipt of an Award shall not confer upon the Award Recipient any rights of a stockholder with respect to any Shares subject to such Award
except as specifically provided in the Agreement relating to the Award. 
 D. Limitation on Dividend Reinvestment and
Dividend Equivalents. Reinvestment of dividends in additional Restricted Stock at the time of any dividend payment, and the reinvestment of dividend equivalent rights in additional Restricted Stock Units payable in Shares shall only be
permissible if sufficient Shares are available under Section 3 for such reinvestment or payment (taking into account then outstanding Awards). In the event that sufficient Shares are not available, such reinvestment of dividends and dividend
equivalent rights shall be made in the form of a grant of Restricted Stock Units equal in number to the Shares that would have been obtained by such reinvestment and the terms of which Restricted Stock Units shall provide for settlement in cash.

 E. Subsidiary Employees. In the case of a grant of an Award to any employee of a Subsidiary of the Corporation, the
Corporation may, if the Committee so directs, issue or transfer the Shares, if any, covered by the Award to the Subsidiary, for 

  
 21 

 
such lawful consideration as the Committee may specify, upon the condition or understanding that the Subsidiary will transfer the Shares to the employee in accordance with the terms of the Award
specified by the Committee pursuant to the provisions of the Plan. All Shares underlying Awards that are forfeited or canceled shall revert to the Corporation. 
 F. Governing Law and Interpretation. The Plan and all Awards made and actions taken thereunder shall be governed by and construed in accordance with the laws of the State of Delaware,
without reference to principles of conflict of laws, except to the extent preempted by Federal law. To the extent that any Award is subject to Code Section 409A, the terms of the Award Agreement and this Plan shall be construed and interpreted
in accordance with Code Section 409A and the Regulations and interpretative guidance promulgated thereunder. The captions of this Plan are not part of the provisions hereof and shall have no force or effect. 

G. Foreign Employees and Foreign Law Considerations. The Committee may grant Awards to Eligible Individuals who are foreign
nationals, who are located outside the United States or who are not compensated from a payroll maintained in the United States, or who are otherwise subject to (or could cause the Corporation to be subject to) legal or regulatory provisions of
countries or jurisdictions outside the United States, on such terms and conditions different from those specified in the Plan as may, in the judgment of the Committee, be necessary or desirable to foster and promote achievement of the purposes of
the Plan, and, in furtherance of such purposes, the Committee may make such modifications, amendments, procedures, or subplans as may be necessary or advisable to comply with such legal or regulatory provisions. 

H. Expenses. The expenses of the Plan shall be borne by the Corporation. 

I. Acceptance of Terms. By accepting an Award under the Plan or payment pursuant to any Award, each Award Recipient, legal
representative and Beneficiary shall be conclusively deemed to have indicated his or her acceptance and ratification of, and consent to, any action taken under the Plan by the Committee or the Corporation. A breach by any Award Recipient, his or her
Beneficiary(ies), or legal representative, of any restrictions, terms or conditions contained in the Plan, any Award Agreement, or otherwise established by the Committee with respect to any Award will, unless waived in whole or in part by the
Committee, cause a forfeiture of such Award. 
 J. Vesting. Subject to Section 4(A) of this Plan, and except as
otherwise required by applicable law or the applicable rules of a stock exchange, full value equity awards under this Plan that are based on time vesting shall have a minimum vesting period of three years, and full value equity awards under this
Plan that are based on performance vesting shall have a minimum vesting period of one year; provided, however, that this Section 11(J) shall have no applicability to equity awards granted prior to February 22, 2011. 

  
 22 

 SECTION 12 
 EFFECTIVE AND TERMINATION 
 The Comerica Incorporated
2006 Amended and Restated Long-Term Incentive Plan was originally adopted by the Board on March 28, 2006, was effective on May 16, 2006, the date of stockholder approval, and was subsequently amended and restated effective
November 14, 2006 and again amended and restated effective December 31, 2008. This Comerica Incorporated 2006 Amended and Restated Long-Term Incentive Plan was adopted by the Board and approved by the Governance, Compensation and
Nominating Committee on February 16, 2010, as an amendment and restatement of the prior version of the Plan, and will be effective on the date that it is approved by at least a majority of the shares of the Corporation present and entitled to
vote, at a meeting of the Corporation’s stockholders at which there is a quorum (the “Effective Date”). The Plan will terminate on the tenth (10th) anniversary of the Effective Date, unless earlier terminated in accordance with Section 10. Awards
outstanding as of the date of termination of the Plan shall not be affected or impaired by the termination of the Plan. 
 Prior Plan
Versions: 
 Compensation Committee/Governance, Compensation and Nominating Committee Approved:
February 22, 2006 (Original Plan); Prior Amendments and Restatements were Approved November 14, 2006; and November 18, 2008 (effective December 31, 2008). 
 Board Approved: March 28, 2006 (Original Plan); Prior Amendments and Restatements were Approved November 14, 2006; and November 18, 2008 (effective December 31,
2008). 
 Stockholders Approved: May 16, 2006 (Original Plan). 

2010 Amendment and Restatement: 
 Governance, Compensation and Nominating Committee Approved: February 16, 2010 (Original 2010 Restatement); a Further Amendment and Restatement was Approved February 22,
2011. 
 Board Approved: February 16, 2010 (Original 2010 Restatement); a Further Amendment and Restatement was
Approved February 22, 2011. 
 Stockholders Approved: April 27, 2010 (Original 2010 Restatement).

  
 23 

 EXHIBIT A 
 CHANGE OF CONTROL 
  

	A.	For the purpose of this Plan, a “Change of Control” shall mean: 

  

	 	1.	The acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the
“Exchange Act”)) (a “Person”) of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 20% or more of either (i) the then outstanding shares of common stock of the
Corporation (the “Outstanding Corporation Common Stock”) or (ii) the combined voting power of the then outstanding voting securities of the Corporation entitled to vote generally in the election of directors (the
“Outstanding Corporation Voting Securities”); provided, however, that for purposes of this subsection 1, the following acquisitions shall not constitute a Change of Control: (i) any acquisition directly from the
Corporation, (ii) any acquisition by the Corporation, (iii) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Corporation or any corporation controlled by the Corporation or (iv) any
acquisition by any corporation pursuant to a transaction which complies with clauses (i), (ii) and (iii) of subsection A.3. of this Exhibit A; or 

 

	 	2.	Individuals who, as of the date hereof, constitute the Corporation’s Board of Directors (the “Incumbent Board”) cease for any reason to constitute
at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the date hereof whose election, or nomination for election by the Corporation’s stockholders, was approved by a vote of at least a
majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a
result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or 

 

	 	3.	 Consummation of a reorganization, merger or consolidation or sale or other disposition of all or substantially all of the Corporation’s assets (a
“Business Combination”), in each case, unless, following such Business Combination, (i) all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding Corporation
Common Stock and Outstanding Corporation Voting Securities immediately prior to such Business Combination beneficially own, directly or indirectly, more than 50% of, respectively, the then outstanding shares of common stock and the combined voting
power of the then outstanding voting securities entitled to vote generally in the election of directors, as the case may be, of the company resulting from such Business 

  
 24 

	 	 
Combination (including, without limitation, a corporation which as a result of such transaction owns the Corporation or all or substantially all of the Corporation’s assets either directly
or through one or more subsidiaries) in substantially the same proportions as their ownership, immediately prior to such Business Combination of the Outstanding Corporation Common Stock and Outstanding Corporation Voting Securities, as the case may
be, (ii) no Person (excluding any corporation resulting from such Business Combination or any employee benefit plan (or related trust) of the Corporation or such corporation resulting from such Business Combination) beneficially owns, directly
or indirectly, 20% or more of, respectively, the then outstanding shares of common stock of the company resulting from such Business Combination or the combined voting power of the then outstanding voting securities of such corporation except to the
extent that such ownership existed prior to the Business Combination and (iii) at least a majority of the members of the board of directors of the company resulting from such Business Combination were members of the Incumbent Board at the time
of the execution of the initial agreement, or of the action of the Board, providing for such Business Combination; or 

  

	 	4.	Approval by the Corporation’s stockholders of a complete liquidation or dissolution of the Corporation. 

 

	B.	With respect to any Award subject to Section 409A of the Code, the above definition of “Change of Control” shall mean: 

 

	 	1.	any one person, or more than one person acting as a group, acquires ownership of stock of the Corporation that, together with stock held by such person or group,
constitutes more than 50% of the total fair market value or total voting power of the stock of the Corporation; 

  

	 	2.	any one person, or more than one person acting as a group, acquires (or has acquired during any twelve (12) month period) ownership of stock of the Corporation
possessing 30% or more of the total voting power of the stock of the Corporation; 

  

	 	3.	a majority of the members of the Board is replaced during any twelve (12) month period by directors whose appointment is not endorsed by a majority of the members
of the Board before the date of the appointment or election; or 

  

	 	4.	any one person, or more than one person acting as a group, acquires (or has acquired during any twelve (12) month period) assets from the Corporation that have a
total gross fair market value equal to or more than 40% of the total gross fair market value of all of the assets of the Corporation immediately before such acquisition or acquisitions. 

  
 25 

 The determination of whether a Change of Control has occurred under this Section B of
Exhibit A shall be made by the Committee in accordance with the provisions of Code Section 409A and the Regulations promulgated thereunder. 

  
 26

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