Document:

awsm-ex41_6.htm

 

Exhibit 4.1

THIS NOTE AND THE SECURITIES INTO WHICH THIS NOTE MAY BE CONVERTED HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR UNDER ANY STATE SECURITIES LAWS AND MAY NOT BE OFFERED FOR SALE OR SOLD, ASSIGNED OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION UNLESS WRITTEN EVIDENCE REASONABLY SATISFACTORY TO THE BORROWER IS SUPPLIED TO THE BORROWER TO THE EFFECT THAT THE PROPOSED OFFER, SALE, ASSIGNMENT OR OTHER TRANSFER MAY BE EFFECTED WITHOUT SUCH REGISTRATION.

unSECURED CONVERTIBLE note

$[        ]July 9, 2019

FOR VALUE RECEIVED, COOL HOLDINGS, INC., a Maryland corporation (the “Borrower”), hereby promises to pay [            ] (the “Holder”), the principal sum of [              ] and No/100 Dollars ($[         ]), together with simple interest thereon.  Interest shall accrue at a rate of twelve percent (12%) per annum commencing on the date hereof, and shall be calculated based on a 360-day year of twelve 30-day months.  Unless earlier converted into shares of Equity Securities (as defined below) pursuant to the terms of this Note or paid in full in accordance with the terms hereof, (a) accrued interest shall be payable to the Holder quarterly in arrears commencing on the date that the Borrower obtains any shareholder or other required regulatory approval (the “Approval Date”) to permit the conversion of this note, in stock of the Borrower, and (b) the outstanding principal amount and any unpaid accrued interest shall be due and payable by Borrower on demand by the Holder at any time after the earlier of: (i) the date 12 months following the original issuance date of this Note (“Maturity Date”) and (ii) an Event of Default (as defined below).  

1.Payment.  Except in connection with the conversion of principal and unpaid accrued interest hereunder into the common stock of the Borrower (the “Equity Securities”)  as provided for herein, (i) all payments shall be made in lawful money of the United States of America at the principal office of the Borrower, or at such other place as the holder hereof may from time to time designate in writing to the Borrower; and (ii) payment shall be credited first to accrued interest due and payable and the remainder applied to principal.    

2.Unsecured Obligation.  This Note is an unsecured obligation of the Borrower. 

3.Use of Proceeds.  The Borrower agrees to use the principal sum hereunder only in connection with the Borrower’s acquisition of Simply Mac, Inc. from GameStop Corp.

4.Conversion of the Note.  This Note shall be convertible according to the following terms:

(a)The principal and unpaid accrued interest of this Note will be automatically converted into Equity Securities at the election of the Holder which may be exercised at any time after the Approval Date.  The number of Equity Securities to be issued upon such conversion shall be equal to the quotient obtained by dividing the outstanding principal and unpaid accrued interest 

 

 

due on this Note on the date of conversion, by the Conversion Price. “Conversion Price” shall mean the amount which is 20% below the 5-day average closing price immediately prior to the Approval Date.

(b)Upon the conversion of this Note into Equity Securities, in lieu of any fractional shares to which the Holder of this Note would otherwise be entitled, the Borrower shall pay the Holder cash equal to such fraction multiplied by the issue price of such Equity Securities.  

(c)Upon the conversion of this Note, the Holder shall surrender this Note, duly endorsed, at the principal office of the Borrower.  As soon as practicable thereafter, the Borrower will issue in the name of and deliver to the Holder, a certificate or certificates for the number of shares of the Equity Securities to which the Holder shall be entitled on such conversion.  Such conversion shall be deemed to have been made immediately prior to the close of business on the date of conversion. 

5.Events of Defaults and Remedies.  The following events shall be considered Events of Default with respect to this Note: (a) the Borrower shall default in the payment of any part of the principal or unpaid accrued interest on this Note when due; (b) the Borrower or any of its subsidiaries shall make an assignment for the benefit of creditors, or shall admit in writing its inability to pay its debts as they become due, or shall file a voluntary petition for bankruptcy, or shall file any petition or answer seeking for itself any reorganization, arrangement, composition, readjustment, dissolution or similar relief under any present or future statute, law or regulation, or shall file any answer admitting the material allegations of a petition filed against the Borrower or any subsidiary in any such proceeding, or shall seek or consent to or acquiesce in the appointment of any trustee, receiver or liquidator of the Borrower or any subsidiary, or of all or any substantial part of the properties of the Borrower or any subsidiary, or the Borrower or any subsidiary or any of their respective directors or majority stockholders shall take any action looking to the dissolution or liquidation of the Borrower or any subsidiary; (c) within thirty (30) days after the commencement of any proceeding against the Borrower or any subsidiary seeking any bankruptcy reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief under any present or future statute, law or regulation, such proceeding shall not have been dismissed, or within thirty (30) days after the appointment without the consent or acquiescence of the Borrower or any subsidiary of any trustee, receiver or liquidator of the Borrower or any subsidiary or of all or any substantial part of the properties of the Borrower or any subsidiary, such appointment shall not have been vacated; (d) any material representation or warranty made by the Borrower or any subsidiary in this Note or any agreement or instrument provided to the Holder  in accordance with the specific terms and conditions of this Note shall prove to have been incorrect when made in any material respect; (e) the Borrower or any subsidiary fails to perform or observe any covenant contained in this Note where the failure to do so could reasonably be expected to have a material adverse effect on the business, assets or financial condition of the Borrower; (f) any material judgment, writ, warrant of attachment or execution or similar process shall be issued or levied against a material part of the property of the Borrower and such judgment, writ, warrant of attachment or execution or similar process shall not be released, vacated or fully bonded within sixty (60) days after its issue or levy; or (g) this Note is deemed to be unenforceable.  Upon the occurrence of an Event of Default under Section 4 hereof, at the option and upon the declaration of the Holder of this Note, the entire unpaid principal and accrued and unpaid interest on this Note shall, without presentment, demand, protest, or notice of any kind, all of which are hereby 

2

 

expressly waived, be forthwith due and payable, and such holder may, immediately and without expiration of any period of grace, enforce payment of all amounts due and owing under this Note and exercise any and all other remedies granted to it at law, in equity or otherwise. The Borrower shall promptly notify the Holder of the occurrence of any Event of Default.

6.Miscellaneous.

(a)Successors and Assigns.  Except as otherwise provided herein, the terms and conditions of this Note shall inure to the benefit of and be binding upon the respective successors and assigns of the parties.  Nothing in this Note, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Note, except as expressly provided in this Note.  This Note shall be transferable and assignable by the Holder at any time subsequent to the date hereof subject to the requirement (i) that any transferee or assignee of this Note must first agree in writing, in a form acceptable to the Borrower, to be bound by the terms of this Note, (ii) that any such assignment or transfer be, in the reasonable opinion of the Borrower’s counsel, in full compliance with applicable state and federal securities laws.

(b)Governing Law.  This Note shall be governed by and construed under the laws of the State of New York, without giving effect to the principles of conflicts of law thereof. Any claims or legal actions arising hereunder shall be commenced and maintained in any state or federal court of competent jurisdiction located in the State of New York, and the Holder consents and submits to the exclusive jurisdiction and venue of any such court.

(c)Severability.  If one or more provisions of this Note are held to be unenforceable under applicable law, such provision shall be excluded from this Note and the balance of this Note shall be interpreted as if such provision were so excluded and shall be enforceable in accordance with its terms.

 (Signature Page Follows)

 

3

 

IN WITNESS WHEREOF, the Borrower has caused this Unsecured Convertible Note to be signed in its name and executed as of the date first above written.

COOL HOLDINGS, INC.

 

 

By:  ______________________________

Name:  Vernon A. LoForti

Title:  Senior VP & CFO

 

ACKNOWLEDGED AND AGREED:

HOLDER:

[                     ]

Signature:  

Name:  

Title:  

 

 

SCHEDULE A

Accredited Investor CERTIFICATE

Capitalized terms not specifically defined in this certification have the meaning ascribed to them in the Unsecured Convertible Note to which this Schedule “A” is attached.  In the event of a conflict between the terms of this certification and such Unsecured Convertible Note, the terms of this certification shall prevail.

	
TO:
	
COOL HOLDINGS, INC.  (the “Corporation”)

In connection with the acquisition by the Borrower of the Unsecured Convertible Note (the “Note”), the Borrower hereby represents, warrants, covenants and certifies to the Corporation and acknowledges that the Corporation and its counsel are relying thereon that:

 

	
(a)
	
It is authorized to consummate the purchase of the Note.

	
(b)
	
It has such knowledge, skill and experience in financial, investment and business matters as to be capable of evaluating the merits and risks of its acquisition of the Note and it is able to bear the economic risk of loss of its entire investment.  To the extent necessary, the Borrower has retained, at his or her own expense, and relied upon, appropriate professional advice regarding the investment, tax and legal merits and consequences of owning the Note and the Common Shares issuable upon exercise thereof.

	
(c)
	
The Corporation has provided to it the opportunity to ask questions and receive answers concerning the terms and conditions of the Note and it has had access to such information concerning the Corporation as it has considered necessary or appropriate in connection with its investment decision to acquire the Note, and that any answers to questions and any request for information have been complied with to the Borrower’s satisfaction.

	
(d)
	
It is acquiring the Note for its own account, or for the account of one or more persons for whom it is exercising sole investment discretion (a "Beneficial Purchaser"), for investment purposes only, and not with a view to any resale, distribution or other disposition of the Note  and/or Common Shares in violation of the United States federal or state securities laws.

	
(e)
	
The Borrower understands and acknowledges that the Note and the Common Shares issuable upon conversion of the Note have not been and will not be registered under the Securities Act of 19ss, as amended (the “U.S. Securities Act”) or the securities laws of any state of the United States, and that the offer and sale of the Note to it is being made in reliance on the exemption from the registration requirements of the U.S. Securities Act provided by Rule 506(b) of Regulation D thereunder, or Rule 903 of Regulation S thereunder, and similar exemptions under applicable state securities laws.

	
(f)
	
It understands and acknowledges that the Note and the Common Shares issuable on conversion thereof, will be “restricted securities” within the meaning of Rule 144(a)(3) under the U.S. Securities Act and may be offered, sold, pledged, or otherwise transferred, directly or indirectly in accordance with an available exemption from the registration requirements of the U.S. Securities Act and in compliance with local laws and regulations.

	
(g)
	
The Borrower is either (i) resident outside the United States, or (ii) resident in the United States and is a U.S. Accredited Investor by virtue of meeting one of the following criteria (please write "SUB" for the criteria the Borrower meets and "BEN" for the criteria any persons for whose account or benefit the Borrower is purchasing the Special Warrant meet):

		
	
1.
Initials _______
	
A bank, as defined in Section 3(a)(2) of the U.S. Securities Act, whether acting in its individual or fiduciary capacity; or

	
2.
Initials _______
	
A savings and loan association or other institution as defined in Section 3(a)(5)(A) of the U.S. Securities Act, whether acting in its individual or fiduciary capacity; or

	
3.
Initials _______
	
A broker or dealer registered pursuant to Section 15 of the United States Securities Exchange Act of 1934; or

	
4.
Initials _______
	
An insurance company as defined in Section 2(a)(13) of the U.S. Securities Act; or

 

 

 

		
	
5.
Initials _______
	
An investment company registered under the United States Investment Company Act of 1940; or

	
6.
Initials _______
	
A business development company as defined in Section 2(a)(48) of the United States Investment Company Act of 1940; or

	
7.
Initials _______
	
A small business investment company licensed by the U.S. Small Business Administration under Section 301 (c) or (d) of the United States Small Business Investment Act of 1958; or

	
8.
Initials _______
	
A plan established and maintained by a state, its political subdivisions or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, with total assets in excess of US$5,000,000; or

	
9.
Initials _______
	
An employee benefit plan within the meaning of the United States Employee Retirement Income Security Act of 1974 in which the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such Act, which is either a bank, savings and loan association, insurance company or registered investment adviser, or an employee benefit plan with total assets in excess of US$5,000,000 or, if a self-directed plan, with investment decisions made solely by persons who are U.S. Accredited Investors; or

	
10.
Initials _______
	
A private business development company as defined in Section 202(a)(22) of the United States Investment Advisers Act of 1940; or

	
11.
Initials _______
	
An organization described in Section 501(c)(3) of the United States Internal Revenue Code, a corporation, a Massachusetts or similar business trust, or a partnership, not formed for the specific purpose of acquiring the Note, with total assets in excess of US$5,000,000; or

	
12.
Initials _______
	
Any director or executive officer of the Corporation; or

	
13.
Initials _______
	
A natural person whose individual net worth, or joint net worth, with that person’s spouse, exceeds US$1,000,000 as determined on the following basis: 

(i) the person’s primary residence shall not be included as an asset; 

(ii) indebtedness that is secured by the person’s primary residence, up to the estimated fair market value of the primary residence at the time of the sale and purchase of the Note, shall not be included as a liability (except that if the amount of such indebtedness outstanding at such time exceeds the amount outstanding 60 days before such time, other than as a result of the acquisition of the primary residence, the amount of such excess shall be included as a liability); and 

(iii) indebtedness that is secured by the person’s primary residence in excess of the estimated fair market value of the primary residence shall be included as a liability; or 

	
14.
Initials _______ 
	
A natural person who had an individual income in excess of US$200,000 in each of the two most recent years or joint income with that person’s spouse in excess of US$300,000 in each of those years and has a reasonable expectation of reaching the same income level in the current year; or

	
15.
Initials _______
	
A trust, with total assets in excess of US$5,000,000, not formed for the specific purpose of acquiring the Note, whose purchase is directed by a sophisticated person as described in Rule 506(b)(2)(ii) under the U.S. Securities Act; or

	
16.
Initials _______ 
	
Any entity in which all of the equity owners meet the requirements of at least one of the above categories (if this alternative is checked, you must identify each equity owner and provide statements signed by each demonstrating how each qualifies as a U.S. Accredited Investor).

	
(h)
	
The Borrower has not purchased the Note as a result of any “directed selling efforts” (as defined in Regulation S under the U.S. Securities Act) or any any form of “general solicitation” or “general advertising” (as those terms are used in Regulation D under the U.S. Securities Act), including, without limitation, advertisements, articles, notices or other communications published in any newspaper, magazine or similar media or on the internet, or broadcast over radio or television or the internet, or other form of telecommunications, including electronic display, or any seminar or meeting whose attendees have been invited by general solicitation or general advertising.

 

 

 

	
(i)
	
The Borrower understands and acknowledges that the Note and the Common Shares issuable upon conversion thereof,  will be “restricted securities” within the meaning of Rule 144 under the U.S. Securities Act and that if in the future it decides to offer, sell, pledge or otherwise transfer any of such securities it will not offer, sell or otherwise transfer any of such securities, directly or indirectly, unless:

	
 
	

	
(i)the sale is to Corporation;

	
 
	
(ii)
	
the sale is made outside the United States in a transaction meeting the requirements of Rule 905 of Regulation S under the U.S. Securities Act and in compliance with applicable local laws and regulations;

	
 
	
(iii)
	
the sale is made pursuant to the exemption from the registration requirements of the U.S. Securities Act provided by Rule 144 or Rule 144A thereunder, if available, and in accordance with any applicable state securities or "blue sky" laws; or

	
 
	
(iv)
	
the securities are sold in a transaction that does not require registration under the U.S. Securities Act or any applicable state laws and regulations governing the offer and sale of securities, 

and, in the case of each of it has prior to such sale furnished to the Corporation an opinion of counsel reasonably satisfactory to the Corporation stating that such transaction is exempt from registration under the U.S. Securities Act and applicable state securities.

 

	
(j)
	
The certificates representing the Note and Common Shares issuable upon conversion of the Note, as well as all certificates issued in exchange for or in substitution of the foregoing, until such time as is no longer required under the applicable requirements of the U.S. Securities Act or applicable state securities laws, will bear, on the face of such certificates, the following legend: 

“THE SECURITIES REPRESENTED HEREBY [for Note, add: AND THE SECURITIES ISSUABLE UPON CONVERSION HEREOF] HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “U.S. SECURITIES ACT”) OR UNDER ANY STATE SECURITIES LAWS, AND THE SECURITIES REPRESENTED HEREBY [for Note, add: AND THE SECURITIES ISSUABLE UPON CONVERSION HEREOF]  MAY BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, DIRECTLY OR INDIRECTLY, ONLY IN COMPLIANCE, ONLY (A) TO THE CORPORATION, (B) OUTSIDE THE UNITED STATES IN ACCORDANCE WITH RULE 904 OF REGULATION S UNDER THE U.S. SECURITIES ACT AND IN COMPLIANCE WITH APPLICABLE LOCAL LAWS AND REGULATIONS, (C) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT PROVIDED BY (i) RULE 144 OR (ii) 144A UNDER THE U.S. SECURITIES ACT, IF AVAILABLE, AND IN COMPLIANCE WITH APPLICABLE U.S. STATE SECURITIES LAWS, (D) IN COMPLIANCE WITH ANOTHER EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS, OR (E) UNDER AN EFFECTIVE REGISTRATION STATEMENT UNDER THE U.S. SECURITIES ACT PROVIDED THAT IN EACH CASE, A LEGAL OPINION REASONABLY SATISFACTORY TO THE CORPORATION MUST FIRST BE PROVIDED TO THE CORPORATION AND THE CORPORATION’S TRANSFER AGENT TO THE EFFECT THAT SUCH TRANSFER IS EXEMPT FROM REGISTRATION UNDER THE U.S. SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS.”

	
(k)
	
The Borrower understands and agrees that there may be material tax consequences to it of an acquisition, holding, conversion or disposition of the Note and the and the Common Shares issuable upon conversion thereof. The Corporation gives no opinion and makes no representation with respect to the tax consequences to the Borrower under United States, state, local or foreign tax law of its acquisition, holding, conversion or disposition of the note or the  Common  Shares issuable upon conversion thereof and the Borrower acknowledges that it is solely responsible for determining the tax consequences to it with respect to its investment.

	
(l)
	
It understands that if the Corporation is ever determined to be an issuer that is, or that has been at any time previously, an issuer with no or nominal operations and no or nominal assets other than cash and cash equivalents, Rule 144 under the U.S. Securities Act may not be available for re-sales of the Note or the Common Shares issuable upon conversion thereof.

	
(m)
	
It consents to the Corporation making a notation on its records or giving instructions to any transfer agent of the Corporation in order to implement the restrictions on transfer set forth and described in this certification.

	
(n)
	
If required by applicable securities legislation, regulatory policy or order or by any securities commission, stock exchange or other regulatory authority, the Borrower will execute, deliver, file and otherwise assist the Corporation 

 

 

 

		
in filing reports, questionnaires, undertakings and other documents with respect to the ownership of the Note and/or the Common Shares issuable upon conversion thereof.

	
(o)
	
It understands that the Corporation has no obligation to register, and has no present intention to register, the resale of any of the Note or Common Shares issuable upon conversion thereof under the U.S. Securities Act.  Accordingly, the Borrower understands that absent registration, under the rules of the SEC, the Borrower may be required to hold the Note and/or the Common Shares issuable upon conversion thereof indefinitely or to transfer such securities in transactions which are exempt from registration under the U.S. Securities Act, in which event the transferee may acquire "restricted securities" subject to the same limitations as in the hands of the Borrower.  As a consequence, the Borrower understands that it must bear the economic risks of the investment in the Note for an indefinite period of time.

	
(p)
	
That the funds representing the amount of the Note will not represent proceeds of crime for the purposes of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act (the “PATRIOT Act”) and the Borrower acknowledges that the Corporation may in the future be required by law to disclose the Borrower’s name and other information relating to the Note, on a confidential basis, pursuant to the PATRIOT Act.  No portion of the funds representing the amount of the Note provided by the Borrower (i) has been or will be derived from or related to any activity that is deemed criminal under the laws of the United States, or any other jurisdiction, or (ii) is being tendered on behalf of a person or entity who has not been identified to or by the Borrower, and it shall promptly notify the Corporation if the Borrower discovers that any of such representations ceases to be true and provide them with appropriate information in connection therewith..

 

[signature page follows]

 

 

 

 

The foregoing representations and warranties are true and accurate.  If any such representation or warranty shall not be true as of the date of the Note, the Borrower shall give immediate written notice of such fact to the Corporation.

 

Dated:  July ____, 2019

		
	
 
	
X 
Signature of individual (if Borrower is an individual)

X 
Authorized signatory (if Borrower is not an individual)

Name of Borrower (please print)

Name of authorized signatory (please print)

Official capacity of authorized signatory (please print)EX-4.3

 Exhibit 4.3 

AMENDED AND RESTATED 
 APOLLO
COMMERCIAL REAL ESTATE FINANCE, INC. 
 2019 EQUITY INCENTIVE PLAN 

1.        PURPOSE.    The Plan is intended to provide incentives to directors, officers,
advisors, consultants, key employees, and others expected to provide significant services to the Company and its Subsidiaries, including the personnel, employees, officers and directors of the other Participating Companies, to encourage a
proprietary interest in the Company, to encourage such key personnel to remain in the service of the Company and the other Participating Companies, to attract new personnel with outstanding qualifications, and to afford additional incentive to
others to increase their efforts in providing significant services to the Company and the other Participating Companies. In furtherance thereof, the Plan permits awards of equity-based incentives to key
personnel, employees, officers and directors of, and certain other providers of services to, the Company or any other Participating Company. 

2.        DEFINITIONS.    As used in this Plan, the following definitions apply: 

“Act” shall mean the Securities Act of 1933, as amended. 

“Award Agreement” shall mean a written agreement evidencing a Grant pursuant to the Plan. 

“Board” shall mean the Board of Directors of the Company. 

“Cause” shall mean, unless otherwise provided in an applicable Award Agreement, a termination of employment or service, based
upon a finding by the Company, acting in good faith, after the occurrence of any of the following: (1) the Grantee is convicted or charged with a criminal offense; (2) the Grantee’s intentional violation of law in connection with any
transaction involving the purchase, sale, loan or other disposition of, or the rendering of investment advice with respect to, any security, futures or forward contract, insurance contract, debt instrument, financial instrument or currency;
(3) the Grantee’s dishonesty, bad faith, gross negligence, willful misconduct, fraud or willful or reckless disregard of duties in connection with the performance of any services on behalf of the Company, the Manager or any of their
respective affiliates or the Grantee’s engagement in conduct which is injurious to the Company, the Manager or any of their respective affiliates, monetarily or otherwise; (4) the Grantee’s intentional failure to comply with any
reasonable directive by a supervisor in connection with the performance of any services on behalf of the Company, the Manager or any of their respective affiliates; (5) the Grantee’s intentional breach of any material provision of an Award
Agreement or any other agreements of the Company, the Manager or any of their respective affiliates; (6) the Grantee’s material violation of any written policies adopted by the Company, the Manager or any of their respective affiliates
governing the conduct of persons performing services on behalf of the Company, the Manager or any of their respective affiliates or the Grantee’s non-adherence to Apollo’s policies and procedures or
other applicable Apollo compliance manuals; (7) the taking of or omission to take any action that has caused or substantially contributed to a material deterioration in the business or reputation of the Company, the Manager or any of their
respective affiliates, or that was otherwise materially disruptive of their business or affairs; provided, however, that the term Cause shall not include for this purpose any mistake of judgment made in good faith with respect to any
transaction respecting an investment made by the Company, the Manager or any of their respective affiliates; (8) the failure by the Grantee to devote a sufficient portion of time to performing services as an agent of a Participating Company
without the prior written consent of such Participating Company, other than by reason of death or Disability; (9) the obtaining by the Grantee of any material improper personal benefit as a result of a breach by the Grantee of any covenant or
agreement (including, without limitation, a breach by the Grantee of the Company’s code of ethics or a material breach by the Grantee of other written policies furnished to the Grantee relating to personal investment transactions or of any
covenant, agreement, representation or warranty contained in any limited partnership agreement); or (10) the Grantee’s suspension or other disciplinary action against the Grantee by an applicable regulatory authority; provided, however,
that if a failure, breach, violation or action or omission described in any of clauses (4) to (7) is capable of being cured, the Grantee has failed to do so after being given notice and a reasonable opportunity to cure. As used in this
definition, “material” means “more than de minimis.” 

  
 - 1 - 

 “Change in Control” means unless otherwise provided in an Award Agreement
the happening of any of the following: 
 (i) any “person,” including a “group” (as such terms are used in Sections
13(d) and 14(d) of the Exchange Act, but excluding the Company, any entity controlling, controlled by or under common control with the Company, any trustee, fiduciary or other person or entity holding securities under any employee benefit plan or
trust of the Company or any such entity, and, with respect to any particular Grantee, the Grantee and any “group” (as such term is used in Section 13(d)(3) of the Exchange Act) of which the Grantee is a member), is or becomes the
“beneficial owner” (as defined in Rule 13(d)(3) under the Exchange Act), directly or indirectly, of securities of the Company representing 50% or more of either (A) the combined voting power of the Company’s then outstanding
securities or (B) the then outstanding Shares (in either such case other than as a result of an acquisition of securities directly from the Company); or 

(ii) any consolidation or merger of the Company where the shareholders of the Company, immediately prior to the consolidation or merger, would
not, immediately after the consolidation or merger, beneficially own (as such term is defined in Rule 13d-3 under the Exchange Act), directly or indirectly, shares representing in the aggregate 50% or more of
the combined voting power of the securities of the corporation issuing cash or securities in the consolidation or merger (or of its ultimate parent corporation, if any); or 

(iii) there shall occur (A) any sale, lease, exchange or other transfer (in one transaction or a series of transactions contemplated or
arranged by any party as a single plan) of all or substantially all of the assets of the Company, other than a sale or disposition by the Company of all or substantially all of the Company’s assets to an entity, at least 50% of the combined
voting power of the voting securities of which are owned by “persons” (as defined above) in substantially the same proportion as their ownership of the Company immediately prior to such sale or (B) the approval by shareholders of the
Company of any plan or proposal for the liquidation or dissolution of the Company; or 
 (iv) the members of the Board at the beginning of
any consecutive 24-calendar-month period (the “Incumbent Directors”) cease for any reason other than due to death to constitute at least a majority of the members of the Board; provided that
any Director whose election, or nomination for election by the Company’s shareholders, was approved or ratified by a vote of at least a majority of the members of the Board then still in office who were members of the Board at the beginning of
such 24-calendar-month period, shall be deemed to be an Incumbent Director. 
 Notwithstanding the foregoing, no
event or condition shall constitute a Change in Control to the extent that, if it were, a 20% tax would be imposed under Section 409A of the Code; provided that, in such a case, the event or condition shall continue to constitute a Change in
Control to the maximum extent possible (e.g., if applicable, in respect of vesting without an acceleration of distribution) without causing the imposition of such 20% tax. 

“Code” shall mean the Internal Revenue Code of 1986, as amended. 

“Committee” shall mean the Compensation Committee of the Company or any subcommittee of the Board as appointed by the Board
in accordance with Section 4 of the Plan; provided, however, that the Committee shall at all times consist of two or more persons who, at the time of their appointment, each qualifies as a
“Non-Employee Director” under Rule 16b-3(b)(3)(i) promulgated under the Exchange Act. However, the fact that a Committee member shall fail to qualify as a
“Non-Employee” Director shall not invalidate any Grant granted by the Committee that is otherwise validly granted under the Plan. 

“Common Stock” shall mean the Company’s common stock, par value $0.01 per share, either currently existing or authorized
hereafter. 
 “Company” shall mean Apollo Commercial Real Estate Finance, Inc., a Maryland corporation. 

“Data” has the meaning set forth in Section 33(a). 

  
 - 2 - 

 “DER” shall mean a right awarded under Section 11 of the Plan to
receive (or have credited) the equivalent value (in cash or Shares) of dividends paid on Common Stock. 
 “Disability”
shall mean, unless otherwise provided by the Committee in the Grantee’s Award Agreement, the occurrence of an event which would entitle the Grantee to the payment of disability income under an approved
long-term disability income plan or a long-term disability as determined by the Committee in its absolute discretion pursuant to any other standard as may be adopted by
the Committee. Notwithstanding the foregoing, no circumstances or condition shall constitute a Disability to the extent that, if it were, a 20% tax would be imposed under Section 409A of the Code; provided that, in such a case, the event or
condition shall continue to constitute a Disability to the maximum extent possible (e.g., if applicable, in respect of vesting without an acceleration of distribution) without causing the imposition of such 20% tax. 

“Eligible Persons” shall mean officers, directors, advisors, personnel and employees of the Participating Companies and other
persons expected to provide significant services (of a type expressly approved by the Committee as covered services for these purposes) to one or more of the Participating Companies. For purposes of the Plan and to the extent consistent with
applicable securities law, a provider of significant services (such as a consultant or advisor) to the Company or any other Participating Company shall be deemed to be an Eligible Person, but will be eligible to receive Grants (but in no event
Incentive Stock Options), only after a finding by the Committee in its discretion that the value of the services rendered or to be rendered to the Participating Company is at least equal to the value of the Grants being awarded. 

“Employee” shall mean an individual, including an officer of a Participating Company, who is employed (within the meaning of
Code Section 3401 and the regulations thereunder) by the Participating Company. 
 “Exchange Act” shall mean the
Securities Exchange Act of 1934, as amended. 
 “Exercise Price” shall mean the price per Share of Common Stock, determined
by the Board or the Committee, at which an Option may be exercised. 
 “Fair Market Value” shall mean the value of one
share of Common Stock, determined as follows: 
  

	 	(i)	 If the Shares are then listed on a national stock exchange, the closing sales price per Share on the exchange
on the date in question (or, if no such price is available for such date, for the last preceding date on which there was a sale of Shares on such exchange), as determined by the Committee. 

 

	 	(ii)	 If the Shares are not then listed on a national stock exchange but are then traded on an over-the-counter market, the average of the closing bid and asked prices on the date in question for the Shares in such over-the-counter market (or, if no such average is available for such date, for the last preceding date on which there was a sale of Shares in such market), as determined by the Committee.

  

	 	(iii)	 If neither (i) nor (ii) applies, such value as the Committee in its discretion may in good faith
determine. Notwithstanding the foregoing, where the Shares are listed or traded, the Committee may make discretionary determinations in good faith where the Shares have not been traded for 10 trading days. 

Notwithstanding the foregoing, with respect to any “stock right” within the meaning of Section 409A of the Code, Fair Market Value shall not be
less than the “fair market value” of the shares of Common Stock determined in accordance with the final regulations promulgated under Section 409A of the Code. 

“Grant” shall mean the issuance of an Incentive Stock Option, Non-qualified Stock
Option, Restricted Stock, Phantom Share, DER, or other equity-based grant as contemplated herein or any combination thereof as applicable to an Eligible Person. The Committee will determine the eligibility of
personnel, employees, officers, directors and others expected to provide significant services to the Participating Companies based on, among other 

  
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factors, the position and responsibilities of such individuals, the nature and value to the Participating Company of such individuals’ accomplishments and potential contribution to the
success of the Participating Company whether directly or through its subsidiaries. 
 “Grantee” shall mean an Eligible
Person to whom Options, Restricted Stock, Phantom Shares, DERs, or other equity-based awards are granted hereunder. 
 “Incentive
Stock Option” shall mean an Option of the type described in Section 422(b) of the Code issued to an Employee of (i) the Company, or (ii) a “subsidiary corporation” or a “parent corporation” as defined in
Section 424(f) of the Code. 
 “Manager” shall mean ACREFI Management, LLC, the Company’s manager. 

“Non-Employee Director” means a member of the Board who qualifies as a “Non-Employee Director” under Rule 16b-3(b)(3)(i) promulgated under the Exchange Act. 

“Non-qualified Stock Option” shall mean an Option not described in
Section 422(b) of the Code. 
 “Option” shall mean any option, whether an Incentive Stock Option or a Non-qualified Stock Option, to purchase, at a price and for the term fixed by the Committee in accordance with the Plan, and subject to such other limitations and restrictions in the Plan and the applicable Award
Agreement, a number of Shares determined by the Committee. 
 “Optionee” shall mean any Eligible Person to whom an Option
is granted, or the Successors of the Optionee, as the context so requires. 
 “Participating Companies” shall mean the
Company, the Subsidiaries, the Manager and, with the consent of the Committee, any of their respective affiliates and any joint venture affiliate of the Company. 

“Performance Goals” has the meaning set forth in Section 13. 

“Phantom Share” shall mean a right, pursuant to the Plan, of the Grantee to payment of the Phantom Share Value. 

“Phantom Share Value” per Phantom Share, shall mean the Fair Market Value of a Share or, if so provided by the Committee,
such Fair Market Value to the extent in excess of a base value established by the Committee at the time of grant. 
 “Plan”
shall mean the Company’s Amended and Restated 2019 Equity Incentive Plan, as set forth herein, and as the same may from time to time be amended. 

“Purchase Price” shall mean the Exercise Price times the number of Shares with respect to which an Option is exercised. 

“Restricted Stock” shall mean an award of Shares that are subject to restrictions hereunder. 

“Shares” shall mean shares of Common Stock of the Company, adjusted in accordance with Section 15 of the Plan (if
applicable). 
 “Subsidiary” shall mean any corporation, partnership, limited liability company or other entity at least
50% of the economic interest in the equity of which is owned, directly or indirectly, by the Company or by another subsidiary. 

  
 - 4 - 

 “Successors of the Optionee” shall mean the legal representative of the
estate of a deceased Optionee or the person or persons who shall acquire the right to exercise an Option by bequest or inheritance or by reason of the death of the Optionee. 

“Termination of Service” shall mean the time when the employee-employer relationship
or directorship, or other service relationship (sufficient to constitute service as an Eligible Person), between the Grantee and the Participating Companies is terminated for any reason, with or without Cause, including, but not limited to, any
termination by resignation, discharge, death or retirement; provided, however, Termination of Service shall not include a termination where there is a simultaneous continuation of service of the Grantee (sufficient to constitute
service as an Eligible Person) for a Participating Company. The Committee, in its absolute discretion, shall determine the effects of all matters and questions relating to Termination of Service, including, but not limited to, the question of
whether any Termination of Service was for Cause and all questions of whether particular leaves of absence constitute Terminations of Service. For this purpose, the service relationship shall be treated as continuing intact while the Grantee is on
military leave, sick leave or other bona fide leave of absence (to be determined in the discretion of the Committee). 

3.        EFFECTIVE DATE.    The original effective date of the Plan was September 23,
2009. The Plan has been amended and restated effective June 12, 2019. The Plan shall terminate on, and no award shall be granted hereunder on or after, the 10-year anniversary of the earlier of the most
recent approval of the Plan by (i) the Board or (ii) the shareholders of the Company; provided, however, that the Board may at any time prior to that date terminate the Plan. 

4.        ADMINISTRATION. 

(a)        Membership of Committee.    The Plan shall be administered by
the Committee appointed by the Board. If no Committee is designated by the Board to act for those purposes or the Board otherwise so elects, the full Board shall have the rights and responsibilities of the Committee hereunder and under the Award
Agreements. 
 (b)        Committee Meetings.    The acts of a majority
of the members present at any meeting of the Committee at which a quorum is present, or acts approved in writing by a majority of the entire Committee, shall be the acts of the Committee for purposes of the Plan. If and to the extent applicable, no
member of the Committee may act as to matters under the Plan specifically relating to such member. 

(c)        Grant of Awards. 

 

	 	(i)	 The Committee shall from time to time at its discretion select the Eligible Persons who are to be issued Grants
and determine the number and type of Grants to be issued under any Award Agreement to an Eligible Person. In particular, the Committee shall (A) determine the terms and conditions, not inconsistent with the terms of the Plan, of any Grants
awarded hereunder (including, but not limited to the performance goals and periods applicable to the award of Grants); (B) determine the time or times when and the manner and condition in which each Option shall be exercisable and the duration of
the exercise period; (C) determine or impose other conditions to the Grant or exercise of Options under the Plan as it may deem appropriate; (D) designate Grantees; (E) determine the type or types of Grants to be granted to a Grantee;
(F) determine the number of shares of Common Stock to be covered by, or with respect to which payments, rights, or other matters are to be calculated in connection with, Grants; (G) determine the terms and conditions of any Grant;
(H) determine whether, to what extent, and under what circumstances Grants may be settled in, or exercised for, cash, shares of Common Stock, other securities, other Grants or other property, or canceled, forfeited, or suspended and the method
or methods by which Grants may be settled, exercised, canceled, forfeited, or suspended; (I) determine whether, to what extent, and under what circumstances the delivery of cash, shares of Common Stock, other securities, other Grants or other
property and other amounts payable with respect to a Grant shall be deferred either automatically or at the election of the Grantee or of the Committee; (J) 

  
 - 5 - 

	 	
interpret, administer, reconcile any inconsistency in, correct any defect in and/or supply any omission in the Plan and any instrument or agreement relating to, or Grant granted under, the Plan;
(K) establish, amend, suspend, or waive any rules and regulations and appoint such agents as the Committee shall deem appropriate for the proper administration of the Plan; (L) adopt sub-plans; and
(M) make any other determination and take any other action that the Committee deems necessary or desirable for the administration of the Plan. The Committee may establish such rules, regulations and procedures for the administration of the Plan
as it deems appropriate, determine the extent, if any, to which Options, Phantom Shares, Shares (whether or not Shares of Restricted Stock), DERs or other equity-based awards shall be forfeited (whether or not such forfeiture is expressly
contemplated hereunder), and take any other actions and make any other determinations or decisions that it deems necessary or appropriate in connection with the Plan or the administration or interpretation thereof. The Committee shall also cause
each Incentive Stock Option to be designated as such, except that no Incentive Stock Options may be granted to an Eligible Person who is not an Employee of the Company or a “subsidiary corporation” or a “parent corporation” as
defined in Section 424(f) of the Code. The Grantee shall take whatever additional actions and execute whatever additional documents the Committee may in its reasonable judgment deem necessary or advisable in order to carry or effect one or more
of the obligations or restrictions imposed on the Grantee pursuant to the express provisions of the Plan and the Award Agreement. DERs will be exercisable separately or together with Options, and paid in cash or other consideration at such times and
in accordance with such rules, as the Committee shall determine in its discretion. Unless expressly provided hereunder, the Committee, with respect to any Grant, may exercise its discretion hereunder at the time of the award or thereafter. The
Committee shall have the right and responsibility to interpret the Plan and the interpretation and construction by the Committee of any provision of the Plan or of any Grant thereunder, including, without limitation, in the event of a dispute, shall
be final and binding on all Grantees and other persons to the maximum extent permitted by law. Without limiting the generality of Section 24, no member of the Committee shall be liable for any action or determination made in good faith with
respect to the Plan or any Grant hereunder. 

  

	 	(ii)	 Finality of Decisions.    Unless otherwise expressly provided in the Plan, all
designations, determinations, interpretations, and other decisions under or with respect to the Plan, any Grant or any Award Agreement shall be within the sole discretion of the Committee, may be made at any time and shall be final, conclusive and
binding upon all Persons, including, without limitation, any officer, employee or director of the Company or its Subsidiaries, any Grantee, any holder or beneficiary of any Grant, and any stockholder of the Company. 

 

	 	(iii)	 Notwithstanding clause (i) of this Section 4(c), unless otherwise required by law or exchange listing
rules, any award under the Plan to an Eligible Person who is a member of the Committee shall be made by the full Board, but for these purposes the directors of the Corporation who are on the Committee shall be required to be recused in respect of
such awards and shall not be permitted to vote. 

 (d)        Awards. 

 

	 	(i)	 Agreements.    Grants to Eligible Persons shall be evidenced by written Award
Agreements in such form as the Committee shall from time to time determine (which Award Agreements need not be in the same form as any other Award Agreement evidencing Grants under the Plan and need not contain terms and conditions identical to
those applicable to any other Grant under the Plan or to those applicable to any other Eligible Persons). Such Award Agreements shall comply with and be subject to the terms and conditions set forth below. 

  
 - 6 - 

	 	(ii)	 Number of Shares. Each Grant issued to an Eligible Person shall state the number of Shares to which it
pertains or which otherwise underlie the Grant and shall provide for the adjustment thereof in accordance with the provisions of Section 15 hereof. 

  

	 	(iii)	 Other than (A) as a result of a Termination of Service or (B) in connection with a Change in Control
or an event set forth in Section 16 hereof, each Grant issued to an Eligible Person shall include a minimum vesting period of no less than one year from the date of Grant prior to which time no portion of the Grant shall be or become
exercisable or free of restriction. 

  

	 	(iv)	 Grants. Subject to the terms and conditions of the Plan and consistent with the Company’s intention
for the Committee to exercise the greatest permissible flexibility under Rule 16b-3 under the Exchange Act in awarding Grants, the Committee shall have the power: 

 

	 	(1)	 to determine from time to time the Grants to be issued to Eligible Persons under the Plan and to prescribe the
terms and provisions (which need not be identical) of Grants issued under the Plan to such persons; 

  

	 	(2)	 to construe and interpret the Plan and the Grants thereunder and to establish, amend and revoke the rules,
regulations and procedures established for the administration of the Plan. In this connection, the Committee may correct any defect or supply any omission, or reconcile any inconsistency in the Plan, in any Award Agreement, or in any related
agreements, in the manner and to the extent it shall deem necessary or expedient to make the Plan fully effective. All decisions and determinations by the Committee in the exercise of this power shall be final and binding upon the Participating
Companies and the Grantees; 

  

	 	(3)	 to amend any outstanding Grant, subject to Section 17, and to accelerate or extend the vesting or
exercisability of any Grant (in compliance with Section 409A of the Code, if applicable) and to waive conditions or restrictions on any Grants, to the extent it shall deem appropriate; 

 

	 	(4)	 to determine the circumstances, if any, upon which an award made under the Plan shall be subject to forfeiture
in whole or in part as a result of a breach by the Grantee of a provision or covenant to which the Grantee is subject; and 

  

	 	(5)	 generally to exercise such powers and to perform such acts as are deemed necessary or expedient to promote the
best interests of the Company with respect to the Plan. 

(e)        Delegation.    Except to the extent prohibited by applicable law
or the applicable rules and regulations of any securities exchange or inter-dealer quotation system on which the securities of the Company are listed or traded, the Committee may allocate all or any portion of its responsibilities and powers to any
one or more of its members and may delegate all or any part of its responsibilities and powers to any person or persons selected by it. Any such allocation or delegation may be revoked by the Committee at any time. Without limiting the generality of
the foregoing, the Committee may delegate to one or more officers of the Company and its Subsidiaries, the authority to act on behalf of the Committee with respect to any matter, right, obligation, or election which is the responsibility of, or
which is allocated to, the Committee herein, and which may be so delegated as a matter of law, except with respect to grants of Grants to persons (i) who are Non-Employee Directors or (ii) who are
subject to Section 16 of the Exchange Act. 
 5.        PARTICIPATION. 

(a)        Eligibility.    Only Eligible Persons shall be eligible to
receive Grants under the Plan. 

  
 - 7 - 

 (b)    Limitation of Ownership.    No Grants
shall be issued under the Plan to any person who after such Grant would beneficially own more than 9.8% of the outstanding shares of Common Stock of the Company, unless the foregoing restriction is expressly and specifically waived by action of the
independent directors of the Board. 
 (c)    Stock Ownership.    For purposes of
Section 5(b) above, in determining stock ownership a Grantee shall be considered as owning the stock owned, directly or indirectly, by or for his brothers, sisters, spouses, ancestors and lineal descendants. Stock owned, directly or indirectly,
by or for a corporation, partnership, estate or trust shall be considered as being owned proportionately by or for its stockholders, partners or beneficiaries. Stock with respect to which any person holds an Option shall be considered to be owned by
such person. 
 (d)    Outstanding Stock.    For purposes of Section 5(b) above,
“outstanding shares” shall include all stock actually issued and outstanding immediately after the issue of the Grant to the Grantee. With respect to the stock ownership of any Grantee, “outstanding shares” shall include shares
authorized for issue under outstanding Options held by such Grantee, but not options held by any other person. 

6.        STOCK.    Subject to adjustments pursuant to Section 15, no more than
7,000,000 shares of Common Stock (the “Absolute Share Limit”) shall be available for Grants under the Plan. Subject to adjustments pursuant to Section 15, (i) the maximum number of Shares with respect to which any Options
may be granted in any one year to any Grantee shall not exceed 262,500, (ii) the maximum number of Shares that may underlie Grants, other than Grants of Options, in any one year to any Grantee shall not exceed 500,000, (iii) the maximum number
of Shares with respect to which Incentive Stock Options may be granted over the life of the Plan shall not exceed 525,000 and (iv) the maximum value of shares of Common Stock subject to Grants granted during a single fiscal year to any Non-Employee Director, taken together with any cash fees paid to such Non-Employee Director during the fiscal year, shall not exceed seven hundred and fifty thousand dollars
($750,000) in total value (calculating the value of any such Grants based on the grant date fair value of such Grants for financial reporting purposes). Notwithstanding the first sentence of this Section 6, (i) Shares that have been
granted as Restricted Stock or that have been reserved for distribution in payment for Options or Phantom Shares but are later forfeited or for any other reason are not payable under the Plan; and (ii) Shares as to which an Option is granted
under the Plan that remains unexercised at the expiration, forfeiture or other termination of such Option, may be the subject of the issue of further Grants. No shares shall be deemed to have been issued in settlement of a Phantom Share that
provides for settlement only in cash and settles only in cash. In no event shall shares (i) tendered or withheld on exercise of Options or other Grants for the payment of the exercise or purchase price or withholding taxes, (ii) not issued
upon the settlement of a Grant that by the terms of the Award Agreement would settle in shares of Common Stock (or could settle in shares of Common Stock), or (iii) purchased on the open market with cash proceeds from the exercise of Options,
again become available for other Grants under the Plan. Shares of Common Stock issued hereunder may consist, in whole or in part, of authorized and unissued shares, treasury shares or previously issued Shares under the Plan. The certificates for
Shares issued hereunder may include any legend which the Committee deems appropriate to reflect any restrictions on transfer hereunder or under the Award Agreement, or as the Committee may otherwise deem appropriate. Shares subject to DERs, other
than DERs based directly on the dividends payable with respect to Shares subject to Options or the dividends payable on a number of Shares corresponding to the number of Phantom Shares awarded, shall be subject to the limitation of this
Section 6. Notwithstanding the limitations above in this Section 6, there shall be no limit on the number of Phantom Shares or DERs to the extent they are paid out in cash that may be granted under the Plan. If any Phantom Shares or DERs
are paid out in cash, the underlying Shares may again be made the subject of Grants under the Plan, notwithstanding the first sentence of this Section 6. 

(a)        Substitute Awards.    Grants may, in the sole discretion of the
Committee, be granted under the Plan in assumption of, or in substitution for, outstanding awards previously granted by an entity directly or indirectly acquired by the Company or with which the Company combines (“Substitute
Awards”). Substitute Awards shall not be counted against the Absolute Share Limit; provided, that Substitute Awards issued in connection with the assumption of, or in substitution for, outstanding options intended to qualify as
“incentive stock options” within the meaning of Section 422 of the Code shall be counted against the aggregate number of shares of Common Stock available for Grants of Incentive Stock Options under the Plan. Subject to applicable
stock exchange requirements, available shares under a stockholder-approved plan of an entity directly or indirectly acquired by the Company or with which the Company combines (as appropriately adjusted to reflect the acquisition or combination
transaction) may be used for Grants under the Plan and shall not reduce the number of shares of Common Stock available for issuance under the Plan. 

  
 - 8 - 

 7.        TERMS AND CONDITIONS OF OPTIONS. 

(a)        Each Award Agreement with an Eligible Person shall state the Exercise Price. The Exercise
Price for any Option shall not be less than the Fair Market Value on the date of Grant. 

(b)        Medium and Time of Payment.    Except as may otherwise be
provided below, the Purchase Price for each Option granted to an Eligible Person shall be payable in full in United States dollars upon the exercise of the Option. In the event the Company determines that it is required to withhold taxes as a result
of the exercise of an Option, as a condition to the exercise thereof, an Employee may be required to make arrangements satisfactory to the Company to enable it to satisfy such withholding requirements in accordance with Section 21. If the
applicable Award Agreement so provides, or the Committee otherwise so permits, the Purchase Price may be paid in one or a combination of the following, taking into account the desired accounting treatment and compliance with applicable law: 

 

	 	(i)	 by a certified or bank cashier’s check; 

 

	 	(ii)	 by the surrender of shares of Common Stock in good form for transfer, owned by the person exercising the Option
and having a Fair Market Value on the date of exercise equal to the Purchase Price, or in any combination of cash and shares of Common Stock, as long as the sum of the cash so paid and the Fair Market Value of the shares of Common Stock so
surrendered equals the Purchase Price; 

  

	 	(iii)	 by reduction of the Shares issuable upon exercise of the Option; 

 

	 	(iv)	 by cancellation of indebtedness owed by the Company to the Grantee; 

 

	 	(v)	 subject to Section 17(e), by broker-assisted cashless exercise using a broker reasonably acceptable to the
Company, pursuant to which the Grantee delivers to the Company, on or prior to the exercise date, the Grantee’s instruction directing and obligating the broker to (a) sell Shares (or a sufficient portion of the Shares) acquired upon
exercise of the Option and (b) remit to the Company a sufficient portion of the sale proceeds to pay the aggregate purchase price, no later than the third trading day after the exercise date; 

 

	 	(vi)	 subject to Section 17(e), by a loan or extension of credit from the Company evidenced by a full recourse
promissory note executed by the Grantee. The interest rate and other terms and conditions of such note shall be determined by the Committee (in which case the Committee may require that the Grantee pledge his or her Shares to the Company for the
purpose of securing the payment of such note, and in no event shall the stock certificate(s) representing such Shares be released to the Grantee until such note shall have been paid in full); or 

 

	 	(vii)	 by any combination of such methods of payment or any other method acceptable to the Committee in its
discretion. 

 Except in the case of Options exercised by certified or bank cashier’s check, the Committee may impose such
limitations and prohibitions on the exercise of Options as it deems appropriate, including, without limitation, any limitation or prohibition designed to avoid accounting consequences which may result from the use of Common Stock as payment upon
exercise of an Option. Any fractional shares of Common Stock resulting from a Grantee’s election that are accepted by the Company shall in the discretion of the Committee be paid in cash. 

  
 - 9 - 

 (c)        Term and Nontransferability of Grants
and Options. 
  

	 	(i)	 Each Option under this Section 7 shall state the time or times which all or part thereof becomes
exercisable, subject to the restrictions set forth in clauses (ii) through (v) below. 

  

	 	(ii)	 No Option shall be exercisable except by the Grantee or a transferee permitted hereunder.

  

	 	(iii)	 No Option shall be assignable or transferable, except by will or the laws of descent and distribution of the
state wherein the Grantee is domiciled at the time of his death; provided, however, that the Committee may (but need not) permit other transfers, where the Committee concludes that such transferability (i) does not result in
accelerated taxation, (ii) does not cause any Option intended to be an Incentive Stock Option to fail to be described in Section 422(b) of the Code and (iii) is otherwise appropriate and desirable. 

 

	 	(iv)	 No Option shall be exercisable until such time as set forth in the applicable Award Agreement (but in no event
after the expiration of such Grant). 

  

	 	(v)	 No modification of an Option shall, without the consent of the Optionee or as required by applicable law or
regulation or to meet the requirements of any accounting standard or to correct an administrative error, materially impair the rights of an Optionee under any Option previously granted. 

(d)        Termination of Service, other than by Death, Disability, or for
Cause.    Unless otherwise provided in the applicable Award Agreement, upon any Termination of Service for any reason other than his or her death or Disability, an Optionee shall have the right, subject to the restrictions of
Section 4(c) above, to exercise his or her Option at any time within 90 days after Termination of Service, but only to the extent that, at the date of Termination of Service, the Optionee’s right to exercise such Option had accrued
pursuant to the terms of the applicable Award Agreement and had not previously been exercised or forfeited; provided, however, that, unless otherwise provided in the applicable Award Agreement, if there occurs a Termination of Service
by a Participating Company for Cause, any Option not exercised in full prior to such termination shall be canceled. 

(e)        Death of Optionee.    Unless otherwise provided in the
applicable Award Agreement, if the Optionee of an Option dies while an Eligible Person or within 90 days after any Termination of Service other than for Cause, and has not fully exercised the Option, subject to the restrictions of Section 4(c)
above, the Option may be exercised at any time within 12 months after the Optionee’s death (or 12 months after the Optionee’s Termination of Service, if sooner) by the Successor of the Optionee, but only to the extent that, at the date of
death, the Optionee’s right to exercise such Option had accrued pursuant to the terms of the applicable Award Agreement and had not previously been exercised or forfeited. 

(f)        Disability of Optionee.    Unless otherwise provided in the
Award Agreement, upon any Termination of Service for reason of his or her Disability, an Optionee shall have the right, subject to the restrictions of Section 4(c) above, to exercise the Option at any time within 12 months after Termination of
Service, but only to the extent that, at the date of Termination of Service, the Optionee’s right to exercise such Option had accrued pursuant to the terms of the applicable Award Agreement and had not previously been exercised or forfeited.

 (g)        Rights as a Stockholder.    An Optionee, a Successor of the
Optionee, or the holder of a DER shall have no rights as a stockholder with respect to any Shares covered by his or her Grant until, in the case of an Optionee, the date of the issuance of a stock certificate for such Shares. No adjustment shall be
made for dividends (ordinary or extraordinary, whether in cash, securities or other property), distributions or other rights for which the record date is prior to the date such stock certificate is issued, except as provided in Section 15. 

(h)        Modification and Extension of Option.    Within the limitations
of the Plan, and only with respect to Options granted to Eligible Persons, the Committee may modify or extend outstanding Options or accept the cancellation of outstanding Options (to the extent not previously exercised) for the granting of new
Options in 

  
 - 10 - 

 
substitution therefor (but not including repricings, in the absence of stockholder approval). The Committee may modify or extend any Option granted to any Eligible Person, taking into
consideration Rule 16b-3 under the Exchange Act and Section 409A of the Code. The foregoing notwithstanding, no modification of an Option shall, without the consent of the Optionee, alter or impair
any rights or obligations under any Option previously granted. 
 (i)        Stock Appreciation
Rights.    The Committee, in its discretion, may (taking into account, without limitation, the application of Section 409A of the Code, as the Committee may deem appropriate), also permit the Optionee to elect to
exercise an Option by receiving Shares, cash or a combination thereof, in the discretion of the Committee and as may be set forth in the applicable Award Agreement, with an aggregate Fair Market Value (or, to the extent of payment in cash, in an
amount) equal to the excess of the Fair Market Value of the Shares with respect to which the Option is being exercised over the aggregate Purchase Price, as determined as of the day the Option is exercised (an “SAR”). 

(j)        Deferral.    The Committee may establish a program (taking into
account, without limitation, the application of Section 409A of the Code, as the Committee may deem appropriate) under which Optionees will have Phantom Shares subject to Section 10 credited upon their exercise of Options, rather than
receiving Shares at that time. 
 (k)        Other Provisions.    The
Award Agreement authorized under the Plan may contain such other provisions not inconsistent with the terms of the Plan (including, without limitation, restrictions upon the exercise of the Option) as the Committee shall deem advisable. 

8.        SPECIAL RULES FOR INCENTIVE STOCK OPTIONS. 

(a)        In the case of Incentive Stock Options granted hereunder, the aggregate Fair Market Value
(determined as of the date of the Grant thereof) of the Shares with respect to which Incentive Stock Options become exercisable by any Optionee for the first time during any calendar year (under the Plan and all other plans) required to be taken
into account under Section 422(d) of the Code shall not exceed $100,000. 
 (b)        In the
case of an individual described in Section 422(b)(6) of the Code (relating to certain 10% owners), the Exercise Price with respect to an Incentive Stock Option shall not be less than 110% of the Fair Market Value of a Share on the day the
Option is granted and the term of an Incentive Stock Option shall be no more than five years from the date of grant. 

(c)        If Shares acquired upon exercise of an Incentive Stock Option are disposed of in a
disqualifying disposition within the meaning of Section 422 of the Code by an Optionee prior to the expiration of either two years from the date of grant of such Option or one year from the transfer of Shares to the Optionee pursuant to the
exercise of such Option, or in any other disqualifying disposition within the meaning of Section 422 of the Code, such Optionee shall notify the Company in writing as soon as practicable thereafter of the date and terms of such disposition and,
if the Company thereupon has a tax-withholding obligation, shall pay to the Company an amount equal to any withholding tax the Company is required to pay as a result of the disqualifying disposition. 

9.        PROVISIONS APPLICABLE TO RESTRICTED STOCK. 

(a)        Vesting Periods.    In connection with the grant of Restricted
Stock, whether or not Performance Goals apply thereto, the Committee shall establish one or more vesting periods with respect to the shares of Restricted Stock granted, the length of which shall be determined in the discretion of the Committee and
set forth in the applicable Award Agreement. Subject to the provisions of this Section 9, the applicable Award Agreement and the other provisions of the Plan, restrictions on Restricted Stock shall lapse if the Grantee satisfies all applicable
employment or other service requirements through the end of the applicable vesting period. 

(b)        Grant of Restricted Stock.    Subject to the other terms of the
Plan, the Committee may, in its discretion as reflected by the terms of the applicable Award Agreement: (i) authorize the granting of Restricted Stock to Eligible Persons; (ii) provide a specified purchase price for the Restricted Stock
(whether or not the payment of a purchase price is required by any state law applicable to the Company); (iii) determine the restrictions applicable to Restricted Stock and (iv) determine or impose other conditions to the grant of
Restricted Stock under the Plan as it may deem appropriate. 

  
 - 11 - 

 (c)        Certificates. 

 

	 	(i)	 Each Grantee of Restricted Stock may be issued a stock certificate in respect of Shares of Restricted Stock
awarded under the Plan. Any such certificate shall be registered in the name of the Grantee. Without limiting the generality of Section 6, in addition to any legend that might otherwise be required by the Board or the Company’s charter,
bylaws or other applicable documents, the certificates for Shares of Restricted Stock issued hereunder may include any legend which the Committee deems appropriate to reflect any restrictions on transfer hereunder or under the applicable Award
Agreement, or as the Committee may otherwise deem appropriate, and, without limiting the generality of the foregoing, shall bear a legend referring to the terms, conditions, and restrictions applicable to such Grant, substantially in the following
form: 

  

	 	    	 THE TRANSFERABILITY OF THIS CERTIFICATE AND THE SHARES OF STOCK REPRESENTED HEREBY ARE SUBJECT TO THE TERMS AND
CONDITIONS (INCLUDING FORFEITURE) OF THE APOLLO COMMERCIAL REAL ESTATE FINANCE, INC. AMENDED AND RESTATED 2019 EQUITY INCENTIVE PLAN, AND AN AWARD AGREEMENT ENTERED INTO BETWEEN THE REGISTERED OWNER AND APOLLO COMMERCIAL REAL ESTATE FINANCE, INC.
COPIES OF SUCH PLAN AND AWARD AGREEMENT ARE ON FILE IN THE OFFICES OF APOLLO COMMERCIAL REAL ESTATE FINANCE, INC. AT c/o APOLLO GLOBAL MANAGEMENT, LLC, 9 WEST 57TH ST., NEW YORK, NY 10019. 

 

	 	(ii)	 The Committee may require that any stock certificates evidencing such Shares be held in custody by the Company
until the restrictions hereunder shall have lapsed and that, as a condition of any grant of Restricted Stock, the Grantee shall have delivered a stock power, endorsed in blank, relating to the stock covered by such Grant. If and when such
restrictions so lapse, the stock certificates shall be delivered by the Company to the Grantee or his or her designee as provided in Section 9(d). 

  

	 	(iii)	 For purposes of clarity, nothing contained in the Plan shall preclude the use of
non-certficated evidence of ownership that the Committee determines to be appropriate, including book entry. 

(d)        Restrictions and Conditions.    Unless otherwise provided by the
Committee in an Award Agreement, the Shares of Restricted Stock awarded pursuant to the Plan shall be subject to the following restrictions and conditions: 
  

	 	(i)	 Subject to the provisions of the Plan and the applicable Award Agreement, during a period commencing with the
date of such Grant and ending on the date the period of forfeiture with respect to such Shares lapses, the Grantee shall not be permitted voluntarily or involuntarily to sell, transfer, pledge, anticipate, alienate, encumber or assign Shares of
Restricted Stock awarded under the Plan (or have such Shares attached or garnished). Subject to the provisions of the applicable Award Agreement, the period of forfeiture with respect to Shares granted hereunder shall lapse as provided in the
applicable Award Agreement. Notwithstanding the foregoing, unless otherwise expressly provided by the Committee, the period of forfeiture with respect to such Shares shall only lapse as to whole Shares. 

 

	 	(ii)	 Except as provided in the foregoing clause (i), or in Section 15, the Grantee shall have, in respect of
the Shares of Restricted Stock, all of the rights of a stockholder of the Company, including the right to vote the Shares and receive dividends. Certificates for 

  
 - 12 - 

	 	
Shares (not subject to restrictions hereunder) shall be delivered to the Grantee or his or her designee (or where permitted, transferee) promptly after, and only after, the period of forfeiture
shall lapse without forfeiture in respect of such Shares of Restricted Stock. 

  

	 	(iii)	 Termination of Service. Unless otherwise provided in the applicable Award Agreement, if the Grantee has
a Termination of Service for any reason, then (A) all Restricted Stock still subject to restriction shall thereupon, and with no further action, be forfeited by the Grantee, and (B) the Company shall pay to the Grantee as soon as
practicable (and in no event more than 30 days) after such termination an amount equal to the lesser of (x) the amount paid by the Grantee, if any, for such forfeited Restricted Stock as contemplated by Section 9(b), and (y) the Fair
Market Value on the date of termination of the forfeited Restricted Stock. 

10.        PROVISIONS APPLICABLE TO PHANTOM SHARES. 

(a)        Grant of Phantom Shares.    Subject to the other terms of the
Plan, the Committee shall, in its discretion as reflected by the terms of the applicable Award Agreement: (i) authorize the Granting of Phantom Shares to Eligible Persons and (ii) determine or impose other conditions to the grant of
Phantom Shares under the Plan as it may deem appropriate. 

(b)        Term.    The Committee may provide in an Award Agreement that
any particular Phantom Share shall expire at the end of a specified term. 

(c)        Vesting. 
  

	 	(i)	 Subject to the provisions of the applicable Award Agreement and Section 10(c)(ii), Phantom Shares shall
vest as provided in the applicable Award Agreement. 

  

	 	(ii)	 Unless otherwise determined by the Committee in an applicable Award Agreement, in the event that a Grantee has
a Termination of Service, any and all of the Grantee’s Phantom Shares which have not vested prior to or as of such termination shall thereupon, and with no further action, be forfeited and cease to be outstanding, and the Grantee’s vested
Phantom Shares shall be settled as set forth in Section 10(d). 

(d)        Settlement of Phantom Shares. 

 

	 	(i)	 Except as otherwise provided by the Committee, each vested and outstanding Phantom Share shall be settled by
the transfer to the Grantee of one Share; provided, however, that, the Committee at the time of grant (or, in the appropriate case, as determined by the Committee, thereafter) may provide that a Phantom Share may be settled (A) in
cash at the applicable Phantom Share Value, (B) in cash or by transfer of Shares as elected by the Grantee in accordance with procedures established by the Committee (if any) or (C) in cash or by transfer of Shares as elected by the
Company. 

  

	 	(ii)	 Each Phantom Share shall be settled with a single-sum payment by the
Company; provided, however, that, with respect to Phantom Shares of a Grantee which have a common Settlement Date (as defined below), the Committee may permit the Grantee to elect in accordance with procedures established by the
Committee (taking into account, without limitation, Section 409A of the Code, as the Committee may deem appropriate) to receive installment payments over a period not to exceed 10 years. 

 

	 	(iii)         (1)	 Except as otherwise provided by the Committee, the settlement date with respect to a Grantee is the first day
of the month to follow the Grantee’s Termination of Service (“Settlement Date”). 

  
 - 13 - 

	 	(2)	 Notwithstanding Section 10(d)(iii)(1), the Committee may provide that distributions of Phantom Shares can
be elected at any time in those cases in which the Phantom Share Value is determined by reference to Fair Market Value to the extent in excess of a base value, rather than by reference to unreduced Fair Market Value. 

 

	 	(3)	 Notwithstanding the foregoing, the Settlement Date, if not earlier pursuant to this Section 10(d)(iii), is
the date of the Grantee’s death. 

  

	 	(iv)	 Notwithstanding any other provision of the Plan (taking into account, without limitation, Section 409A of
the Code, as the Committee may deem appropriate), a Grantee may receive any amounts to be paid in installments as provided in Section 10(d)(ii) or deferred by the Grantee as provided in Section 10(d)(iii) in the event of an
“Unforeseeable Emergency.” For these purposes, an “Unforeseeable Emergency” shall have the meaning provided in Section 409A of the Code and the regulations thereunder, as determined by the Committee in its sole discretion,
provided that such Unforeseeable Emergency must cause a severe financial hardship to the Grantee resulting from (x) a sudden and unexpected illness or accident of the Grantee or “dependent,” as defined in Section 152(a) of the
Code, of the Grantee, (y) loss of the Grantee’s property due to casualty, or (z) other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the Grantee. The circumstances that will
constitute an Unforeseeable Emergency will depend upon the facts of each case, but, in any case, payment may not be made to the extent that such hardship is or may be relieved: 

 

	 	(1)	 through reimbursement or compensation by insurance or otherwise; 

 

	 	(2)	 by liquidation of the Grantee’s assets, to the extent the liquidation of such assets would not itself
cause severe financial hardship; or 

  

	 	(3)	 by future cessation of the making of additional deferrals with respect to Phantom Shares.

 Without limitation, the need to send a Grantee’s child to college or the desire to purchase a home shall not
constitute an Unforeseeable Emergency. Distributions of amounts because of an Unforeseeable Emergency shall be permitted to the extent reasonably needed to satisfy the emergency need. 

(e)        Other Phantom Share Provisions. 

 

	 	(i)	 Except as permitted by the Committee, rights to payments with respect to Phantom Shares granted under the Plan
shall not be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, attachment, garnishment, levy, execution, or other legal or equitable process, either voluntary or involuntary; and any attempt to
anticipate, alienate, sell, transfer, assign, pledge, encumber, attach or garnish, or levy or execute on any right to payments or other benefits payable hereunder, shall be void. 

 

	 	(ii)	 A Grantee may designate in writing, on forms to be prescribed by the Committee, a beneficiary or beneficiaries
to receive any payments payable after his or her death and may amend or revoke such designation at any time. If no beneficiary designation is in effect at the time of a Grantee’s death, payments hereunder shall be made to the Grantee’s
estate. If a Grantee with a vested Phantom Share dies, such Phantom Share shall be settled and the Phantom Share Value in respect of such Phantom Shares paid, and any payments deferred pursuant to an election under Section 10(d)(iii) shall be
accelerated and paid, as soon as practicable (but no later than 60 days) after the date of death to such Grantee’s beneficiary or estate, as applicable. 

  
 - 14 - 

	 	(iii)	 The Committee may (taking into account, without limitation, Section 409A of the Code, as the Committee may
deem appropriate) establish a program under which distributions with respect to Phantom Shares may be deferred for periods in addition to those otherwise contemplated by the foregoing provisions of this Section 10. Such program may include,
without limitation, provisions for the crediting of earnings and losses on unpaid amounts and, if permitted by the Committee, provisions under which Grantees may select from among hypothetical investment alternatives for such deferred amounts in
accordance with procedures established by the Committee. 

  

	 	(iv)	 Notwithstanding any other provision of this Section 10, any fractional Phantom Share will be paid out in
cash at the Phantom Share Value as of the Settlement Date. 

  

	 	(v)	 No Phantom Share shall give any Grantee any rights with respect to Shares or any ownership interest in the
Company. Except as may be provided in accordance with Section 11, no provision of the Plan shall be interpreted to confer upon any Grantee of a Phantom Share any voting, dividend or derivative or other similar rights with respect to any Phantom
Share. 

 (f)    Claims Procedures. 

 

	 	(i)	 The Grantee, or his beneficiary hereunder or authorized representative, may file a claim for payments with
respect to Phantom Shares under the Plan by written communication to the Committee or its designee. A claim is not considered filed until such communication is actually received. Within 90 days (or, if special circumstances require an extension of
time for processing, 180 days, in which case notice of such special circumstances should be provided within the initial 90-day period) after the filing of the claim, the Committee will either:

  

	 	(1)	 approve the claim and take appropriate steps for satisfaction of the claim; or 

 

	 	(2)	 if the claim is wholly or partially denied, advise the claimant of such denial by furnishing to him or her a
written notice of such denial setting forth (A) the specific reason or reasons for the denial; (B) specific reference to pertinent provisions of the Plan on which the denial is based and, if the denial is based in whole or in part on any
rule of construction or interpretation adopted by the Committee, a reference to such rule, a copy of which shall be provided to the claimant; (C) a description of any additional material or information necessary for the claimant to perfect the
claim and an explanation of the reasons why such material or information is necessary; and (D) a reference to this Section 10(f) as the provision setting forth the claims procedure under the Plan. 

 

	 	(ii)	 The claimant may request a review of any denial of his or her claim by written application to the Committee
within 60 days after receipt of the notice of denial of such claim. Within 60 days (or, if special circumstances require an extension of time for processing, 120 days, in which case notice of such special circumstances should be provided within the
initial 60-day period) after receipt of written application for review, the Committee will provide the claimant with its decision in writing, including, if the claimant’s claim is not approved, specific
reasons for the decision and specific references to the Plan provisions on which the decision is based. 

  
 - 15 - 

 11.        PROVISIONS APPLICABLE TO DIVIDEND EQUIVALENT
RIGHTS. 
 (a)        Grant of DERs.    Subject to the other terms of
the Plan, the Committee shall, in its discretion as reflected by the terms of the Award Agreements, authorize the granting of DERs to Eligible Persons based on the dividends declared on Common Stock, to be credited as of the dividend payment dates,
during a specified period determined by the Committee, which may be, for example, between the date a Grant is issued or vests, and the date such Grant is exercised, vests or expires. Such DERs shall be converted to cash or additional Shares by such
formula and at such time and subject to such limitation as may be determined by the Committee. With respect to DERs granted with respect to Options, such DERs shall be payable regardless of whether such Option is exercised. If a DER is granted in
respect of another Grant hereunder, then, unless otherwise stated in the Award Agreement, or, in the appropriate case, as determined by the Committee, in no event shall the DER be in effect for a period beyond the time during which the applicable
related portion of the underlying Grant has been exercised or otherwise settled, or has expired, been forfeited or otherwise lapsed, as applicable. 

(b)        Certain Terms. 

 

	 	(i)	 The term of a DER shall be set by the Committee in its discretion. 

 

	 	(ii)	 Payment of the amount determined in accordance with Section 11(a) shall be in cash, in Common Stock or a
combination of the both, as determined by the Committee at the time of grant. 

(c)        Other Types of DERs. The Committee may establish a program under which DERs of a
type whether or not described in the foregoing provisions of this Section 11 may be granted to Eligible Persons. For example, without limitation, the Committee may grant a DER in respect of each Share subject to an Option or with respect to a
Phantom Share, which right would consist of the right (subject to Section 11(d)) to receive a cash payment in an amount equal to the dividend distributions paid on a Share from time to time. 

(d)        Deferral. 
  

	 	(i)	 The Committee may (taking into account, without limitation, Section 409A of the Code, as the Committee may
deem appropriate) establish a program under which Grantees (i) will have Phantom Shares credited, subject to the terms of Sections 10(d) and 10(e) as though directly applicable with respect thereto, upon the granting of DERs, or (ii) will
have payments with respect to DERs deferred. 

  

	 	(ii)	 The Committee may establish a program under which distributions with respect to DERs may be deferred. Such
program may include, without limitation, provisions for the crediting of earnings and losses on unpaid amounts, and, if permitted by the Committee, provisions under which Grantees may select from among hypothetical investment alternatives for such
deferred amounts in accordance with procedures established by the Committee. 

12.        OTHER EQUITY-BASED AWARDS.    The
Board shall have the right to grant other awards based upon the Common Stock having such terms and conditions as the Board may determine, including, without limitation, the grant of Shares based upon certain conditions, the grant of securities
convertible into Common Stock, and the grant of restricted stock units. 
 13.        PERFORMANCE
GOALS.    The Committee, in its discretion, shall in the case of Grants (including, in particular, Grants other than Options) intended to vest or become earned based on performance (“Performance-Based Grants”) (i) establish one or more performance goals (“Performance Goals”) as a precondition to the issuance or vesting of Grants, and (ii) provide, in connection with the
establishment of the Performance Goals, for predetermined Grants to those Grantees (who continue to meet all applicable eligibility requirements) with respect to whom the applicable Performance Goals are satisfied. The Performance Goals shall be
based upon the criteria set forth in Exhibit A hereto which is hereby incorporated herein by reference as though set forth in full. 

  
 - 16 - 

 14.        TERM OF PLAN.    Grants may be
granted pursuant to the Plan until the expiration of 10 years from the effective date of the Plan. 

15.        RECAPITALIZATION AND CHANGES OF CONTROL. 

(a)        Subject to any required action by stockholders and to the specific provisions of
Section 16, if (i) the Company shall at any time be involved in a merger, consolidation, dissolution, liquidation, reorganization, exchange of shares, sale of all or substantially all of the assets or stock of the Company or a transaction
similar thereto, (ii) any stock dividend, extraordinary cash dividend, stock split, reverse stock split, stock combination, reclassification, recapitalization or other similar change in the capital structure of the Company, or any distribution
to holders of Common Stock other than cash dividends, shall occur or (iii) any other event shall occur which in the judgment of the Committee necessitates action by way of adjusting the terms of the outstanding Grants, then: 

 

	 	(i)	 the Absolute Share Limit, the Exercise Price of Options, the maximum aggregate number of Shares which may be
made subject to Options and DERs under the Plan, the maximum aggregate number and kind of Shares of Restricted Stock that may be granted under the Plan, and the maximum aggregate number of Phantom Shares and other Grants which may be granted under
the Plan shall be appropriately adjusted by the Committee in its discretion; 

  

	 	(ii)	 the Committee may provide for the cancellation of any one or more outstanding Grants and payment to the holders
of such Grants that are vested as of such cancellation (including, without limitation, any Grants that would vest as a result of the occurrence of such event but for such cancellation or for which vesting is accelerated by the Committee in
connection with such event pursuant to paragraph (i) below), the value of such Grants, if any, as determined by the Committee (which value, if applicable, may be based upon the price per share of Common Stock received or to be received by other
stockholders of the Company in such event), including, without limitation, in the case of an outstanding Option, a cash payment in an amount equal to the excess, if any, of the Fair Market Value (as of a date specified by the Committee) of the
shares of Common Stock subject to such Option over the aggregate Exercise Price of such Option (it being understood that, in such event, any Option having a per share Exercise Price equal to, or in excess of, the Fair Market Value of a share of
Common Stock subject thereto may be canceled and terminated without any payment or consideration therefor); and 

  

	 	(iii)	 the Committee shall take any such action as in its discretion shall be necessary to maintain each
Grantees’ rights hereunder (including under their applicable Award Agreements) so that they are, in their respective Options, Phantom Shares and DERs (and, as appropriate, other Grants under Section 12), substantially proportionate to the
rights existing in such Options, Phantom Shares and DERs (and other Grants under Section 12) prior to such event, including, without limitation, adjustments in (A) the number of Options, Phantom Shares and DERs (and other Grants under
Section 12) granted, (B) the number and kind of shares or other property to be distributed in respect of Options, Phantom Shares and DERs (and other Grants under Section 12, as applicable, (C) the Exercise Price, Purchase Price
and Phantom Share Value, and (D) performance-based criteria established in connection with Grants; provided that, in the discretion of the Committee, the foregoing clause (D) may also be
applied in the case of any event relating to a Subsidiary if the event would have been covered under this Section 15(a) had the event related to the Company. 

Notwithstanding the foregoing, in the case of any “equity restructuring” (within the meaning of the Financial Accounting Standards Board Accounting
Standards Codification Topic 718 (or any successor pronouncement thereto)), the Committee shall make an equitable or proportionate adjustment to outstanding Grants to reflect such equity restructuring. 

  
 - 17 - 

 To the extent that such action shall include an increase or decrease in the number of Shares (or units of
other property then available) subject to all outstanding Grants, the number of Shares (or units) available under Section 6 above shall be increased or decreased, as the case may be, proportionately. 

(b)        Any Shares or other securities distributed to a Grantee with respect to Restricted Stock or
otherwise issued in substitution of Restricted Stock pursuant to this Section 15 shall be subject to the applicable restrictions and requirements imposed by Section 9, including depositing the certificates therefor with the Company
together with a stock power and bearing a legend as provided in Section 9(c)(i). 

(c)        If the Company shall be consolidated or merged with another corporation or other entity,
each Grantee who has received Restricted Stock that is then subject to restrictions imposed by Section 9(d) may be required to deposit with the successor corporation the certificates for the stock or securities or the other property that the
Grantee is entitled to receive by reason of ownership of Restricted Stock in a manner consistent with Section 9(c)(ii), and such stock, securities or other property shall become subject to the restrictions and requirements imposed by
Section 9(d), and the certificates therefor or other evidence thereof shall bear a legend similar in form and substance to the legend set forth in Section 9(c)(i). 

(d)        The judgment of the Committee with respect to any matter referred to in this
Section 15 shall be conclusive and binding upon each Grantee without the need for any amendment to the Plan. 

(e)        Subject to any required action by stockholders, if the Company is the surviving corporation
in any merger or consolidation, the rights under any outstanding Grant shall pertain and apply to the securities to which a holder of the number of Shares subject to the Grant would have been entitled. Subject to the terms of any applicable Award
Agreement, in the event of a merger or consolidation in which the Company is not the surviving corporation, the date of exercisability of each outstanding Option and settling of each Phantom Share or, as applicable, other Grant under
Section 12, shall be accelerated to a date prior to such merger or consolidation, unless the agreement of merger or consolidation provides for the assumption of the Grant by the successor to the Company. 

(f)        To the extent that the foregoing adjustment related to securities of the Company, such
adjustments shall be made by the Committee, whose determination shall be conclusive and binding on all persons. 

(g)        Except as expressly provided in this Section 15, a Grantee shall have no rights by
reason of subdivision or consolidation of shares of stock of any class, the payment of any stock dividend or any other increase or decrease in the number of shares of stock of any class or by reason of any dissolution, liquidation, merger or
consolidation or spin-off of assets or stock of another corporation, and any issue by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall not affect,
and no adjustment by reason thereof shall be made with respect to, the number of Shares subject to a Grant or the Exercise Price of Shares subject to an Option. 

(h)        Grants made pursuant to the Plan shall not affect in any way the right or power of the
Company to make adjustments, reclassifications, reorganizations or changes of its capital or business structure, to merge or consolidate or to dissolve, liquidate, sell or transfer all or any part of its business assets. 

(i)        Upon the occurrence of a Change in Control: 

 

	 	(i)	 The Committee as constituted immediately before the Change in Control may make such adjustments as it, in its
discretion, determines are necessary or appropriate in light of the Change in Control (including, without limitation, the substitution of stock other than stock of the Company as the stock optioned hereunder, and the acceleration of the
exercisability or vesting of awards granted under the Plan, cancellation of any Options or stock appreciation rights in return for payment equal to the Fair Market Value of Shares subject to an Option or stock appreciation right as of the date of
the Change in Control 

  
 - 18 - 

	 	
less the exercise price applicable thereto (which amount may be zero) and settling of each vested Phantom Share or, as applicable, other Grant under Section 12), if any, provided that
the Committee determines that such adjustments do not have a substantial adverse economic impact on the Grantee as determined at the time of the adjustments. 

  

	 	(ii)	 Notwithstanding the provisions of Section 10, the Settlement Date for Phantom Shares shall be the date of
such Change in Control and all amounts due with respect to Phantom Shares to a Grantee hereunder shall be paid as soon as practicable (but in no event more than 30 days) after such Change in Control, unless such Grantee elects otherwise in
accordance with procedures established by the Committee. 

 16.        EFFECT OF CERTAIN
TRANSACTIONS.    In the case of (i) the dissolution or liquidation of the Company, (ii) a merger, consolidation, reorganization or other business combination in which the Company is acquired by another entity or in
which the Company is not the surviving entity, or (iii) any sale, lease, exchange or other transfer (in one transaction or a series of transactions contemplated or arranged by any party as a single plan) of all or substantially all of the
assets of the Company, the Plan and the Grants issued hereunder shall terminate upon the effectiveness of any such transaction or event, unless provision is made in connection with such transaction for the assumption of Grants theretofore granted,
or the substitution for such Grants of new Grants, by the successor entity or parent thereof, with appropriate adjustment as to the number and kind of shares and the per share exercise prices, as provided in Section 15. In the event of such
termination, all outstanding Options and Grants shall be exercisable to the extent then vested (taking into account any accelerated vesting provided by the Committee) for at least ten days prior to the date of such termination. 

17.        SECURITIES LAW REQUIREMENTS. 

(a)        Legality of Issuance.    The issuance of any Shares pursuant to
Grants under the Plan and the issuance of any Grant shall be contingent upon the following: 
  

	 	(i)	 the obligation of the Company to sell Shares with respect to Grants issued under the Plan shall be subject to
all applicable laws, rules and regulations, including all applicable federal and state securities laws, and the obtaining of all such approvals by governmental agencies as may be deemed necessary or appropriate by the Committee;

  

	 	(ii)	 the Committee may make such changes to the Plan as may be necessary or appropriate to comply with the rules and
regulations of any government authority or to obtain tax benefits applicable to stock options; and 

  

	 	(iii)	 each grant of Options, Restricted Stock, Phantom Shares (or issuance of Shares in respect thereof), DERs (or
issuance of Shares in respect thereof), or other Grant under Section 12 (or issuance of Shares in respect thereof), is subject to the requirement that, if at any time the Committee determines, in its discretion, that the listing, registration
or qualification of Shares issuable pursuant to the Plan is required by any securities exchange or under any state or federal law, or the consent or approval of any governmental regulatory body is necessary or desirable as a condition of, or in
connection with, the issuance of Options, Shares of Restricted Stock, Phantom Shares, DERs, other Grants or other Shares, no payment shall be made, or Phantom Shares or Shares issued or grant of Restricted Stock or other Grant made, in whole or in
part, unless listing, registration, qualification, consent or approval has been effected or obtained free of any conditions in a manner acceptable to the Committee. 

(b)        Restrictions on Transfer.    Regardless of whether the offering
and sale of Shares under the Plan has been registered under the Act or has been registered or qualified under the securities laws of any state, the Company may impose restrictions on the sale, pledge or other transfer of such Shares (including the
placement of appropriate legends on stock certificates) if, in the judgment of the Company and its counsel, such restrictions are necessary or desirable in order to achieve compliance with the provisions of the Act, the securities laws of any state
or any other 

  
 - 19 - 

 
law. In the event that the sale of Shares under the Plan is not registered under the Act but an exemption is available which requires an investment representation or other representation, each
Grantee shall be required to represent that such Shares are being acquired for investment, and not with a view to the sale or distribution thereof, and to make such other representations as are deemed necessary or appropriate by the Company and its
counsel. Any determination by the Company and its counsel in connection with any of the matters set forth in this Section 17 shall be conclusive and binding on all persons. Without limiting the generality of Section 6, stock certificates
evidencing Shares acquired under the Plan pursuant to an unregistered transaction shall bear a restrictive legend, substantially in the following form, and such other restrictive legends as are required or deemed advisable under the provisions of
any applicable law: 
 “THE SALE OF THE SECURITIES REPRESENTED HEREBY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933 (THE “ACT”). ANY TRANSFER OF SUCH SECURITIES WILL BE INVALID UNLESS A REGISTRATION STATEMENT UNDER THE ACT IS IN EFFECT AS TO SUCH TRANSFER OR IN THE OPINION OF COUNSEL FOR THE ISSUER SUCH REGISTRATION IS UNNECESSARY IN
ORDER FOR SUCH TRANSFER TO COMPLY WITH THE ACT.” 
 (c)        Registration or Qualification of
Securities. The Company may, but shall not be obligated to, register or qualify the issuance of Grants and/or the sale of Shares under the Act or any other applicable law. The Company shall not be obligated to take any affirmative action in order to
cause the issuance of Grants or the sale of Shares under the Plan to comply with any law. 

(d)        Exchange of Certificates. If, in the opinion of the Company and its counsel, any legend
placed on a stock certificate representing Shares sold under the Plan is no longer required, the holder of such certificate shall, with the permission of the Committee, be entitled to exchange such certificate for a certificate representing the same
number of Shares but lacking such legend. 
 (e)        Certain Loans. Notwithstanding any other
provision of the Plan, the Company shall not be required to take or permit any action under the Plan or any Award Agreement which, in the good-faith determination of the Company, would result in a material
risk of a violation by the Company of Section 13(k) of the Exchange Act. 
 18.        COMPLIANCE WITH
SECTION 409A OF THE CODE. 
 (a)        Any Award Agreement issued under the Plan that is subject
to Section 409A of the Code shall include such additional terms and conditions as may be required to satisfy the requirements of Section 409A of the Code. 

(b)        With respect to any Grant issued under the Plan that is subject to Section 409A of the
Code, and with respect to which a payment or distribution is to be made upon a Termination of Service, if the Grantee is determined by the Company to be a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code
and any of the Company’s stock is publicly traded on an established securities market or otherwise, such payment or distribution, to the extent it would constitute a payment of nonqualified deferred compensation within the meaning of
Section 409A of the Code that is ineligible for an exemption from treatment as such, may not be made before the date which is six months after the date of Termination of Service (to the extent required under Section 409A of the Code). 

(c)        Notwithstanding any other provision of the Plan, the Board and the Committee shall
administer the Plan, and exercise authority and discretion under the Plan, to satisfy the requirements of Section 409A of the Code or any exemption thereto. Nothing contained herein is intended to provide assurances or an indemnity to any
grantee regarding his personal tax treatment. 
 19.        AMENDMENT OF THE PLAN. 

(a)        The Board may from time to time, with respect to any Shares at the time not subject to
Grants, suspend or discontinue the Plan or revise or amend it in any respect whatsoever, taking into account applicable laws, 

  
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regulations, exchange and accounting rules. The Board may otherwise amend the Plan as it shall deem advisable, except that no amendment may materially impair the rights of a Grantee under an
award previously granted without the Grantee’s consent, unless effected to comply with applicable law or regulation or to meet the requirements of any accounting standard or to correct an administrative error. 

(b)        Notwithstanding Section 19(a) above, or any other provision of the Plan, the
repricing of an Option or SAR shall not be permitted without stockholder approval. For this purpose, a “repricing” means any of the following (or any other action that has the same effect as any of the following): (1) changing the
terms of an Option or SAR to lower its exercise or base price (other than on account of capital adjustments resulting from share splits, etc., as described in Section 15(a) hereof), (2) any other action that is treated as a repricing under
generally accepted accounting principles, and (3) repurchasing for cash or canceling an Option or SAR in exchange for another Grant at a time when its exercise or base price is greater than the Fair Market Value of the underlying Shares, unless
the cancellation and exchange occurs in connection with a Change in Control or an event set forth in Section 16 hereof. 

20.        APPLICATION OF FUNDS.    The proceeds received by the Company from the sale of
Common Stock pursuant to the exercise of an Option, the sale of Restricted Stock or in connection with other Grants under the Plan will be used for general corporate purposes. 

21.        TAX WITHHOLDING.    Each Grantee shall, no later than the date as of which the
value of any Grant first becomes includable in the gross income of the Grantee for federal income tax purposes, pay to the Company, or make arrangements satisfactory to the Company regarding payment of any federal, state or local taxes of any kind
that are required by law to be withheld with respect to such income. To the extent permitted by the Committee from time to time, a Grantee may elect to have such tax withholding satisfied, in whole or in part, by (i) authorizing the Company to
withhold a number of Shares to be issued pursuant to a Grant equal to the Fair Market Value as of the date withholding is effected that would satisfy the withholding amount due, (ii) transferring to the Company Shares owned by the Grantee with
a Fair Market Value equal to the amount of the required withholding tax, or (iii) in the case of a Grantee who is an Employee of the Company at the time such withholding is effected, by withholding from the Grantee’s cash compensation.
Notwithstanding anything contained in the Plan to the contrary, the Grantee’s satisfaction of any tax-withholding requirements imposed by the Committee shall be a condition precedent to the Company’s
obligation as may otherwise by provided hereunder to provide Shares to the Grantee, and the failure of the Grantee to satisfy such requirements with respect to a Grant shall cause such Grant to be forfeited. 

22.        NOTICES.    All notices under the Plan shall be in writing, and if to the
Company, shall be delivered to the Board or mailed to its principal office, addressed to the attention of the Board; and if to the Grantee, shall be delivered personally or mailed to the Grantee at the address appearing in the records of the
Participating Company. Such addresses may be changed at any time by written notice to the other party given in accordance with this Section 22. 

23.        RIGHTS TO EMPLOYMENT OR OTHER SERVICE.    Nothing in the Plan or in any Grant
issued pursuant to the Plan shall confer on any individual any right to continue in the employ or other service of the Participating Company (if applicable) or interfere in any way with the right of the Participating Company and its stockholders to
terminate the individual’s employment or other service at any time. 
 24.        EXCULPATION AND
INDEMNIFICATION.    To the maximum extent permitted by law, the Company shall indemnify and hold harmless the members of the Board and the members of the Committee, in each case as constituted from time to time, from and
against any and all liabilities, costs and expenses incurred by such persons as a result of any act or omission to act in connection with the performance of such person’s duties, responsibilities and obligations under the Plan, other than such
liabilities, costs and expenses as may result from the gross negligence, bad faith, willful misconduct or criminal acts of such persons. 

25.        NO FUND CREATED.    Any and all payments hereunder to any Grantee under the Plan
shall be made from the general funds of the Company (or, if applicable, a Participating Company), no special or separate fund shall be established or other segregation of assets made to assure such payments, and the Phantom Shares (including for

  
 - 21 - 

 
purposes of this Section 25 any accounts established to facilitate the implementation of Section 10(d)(iii)) and any other similar devices issued hereunder to account for Plan
obligations do not constitute Common Stock and shall not be treated as (or as giving rise to) property or as a trust fund of any kind; provided, however, that the Company (or a Participating Company) may establish a mere bookkeeping
reserve to meet its obligations hereunder or a trust or other funding vehicle that would not cause the Plan to be deemed to be funded for tax purposes or for purposes of Title I of the Employee Retirement Income Security Act of 1974, as
amended. The obligations of the Company (or, if applicable, a Participating Company) under the Plan are unsecured and constitute a mere promise by the Company (or, if applicable, a Participating Company) to make benefit payments in the future and,
to the extent that any person acquires a right to receive payments under the Plan from the Company (or, if applicable, a Participating Company), such right shall be no greater than the right of a general unsecured creditor of the Company (or, if
applicable, a Participating Company). Without limiting the foregoing, Phantom Shares and any other similar devices issued hereunder to account for Plan obligations are solely a device for the measurement and determination of the amounts to be paid
to a Grantee under the Plan, and each Grantee’s right in the Phantom Shares and any such other devices is limited to the right to receive payment, if any, as may herein be provided. 

26.        NO FIDUCIARY RELATIONSHIP.    Nothing contained in the Plan (including without
limitation Section 10(e)(iii)), and no action taken pursuant to the provisions of the Plan, shall create or shall be construed to create a trust of any kind, or a fiduciary relationship between the Company, the Participating Companies, or their
officers or the Committee, on the one hand, and the Grantee, the Company, the Participating Companies or any other person or entity, on the other. 

27.        CAPTIONS.    The use of captions in the Plan is for convenience. The captions
are not intended to provide substantive rights. 
 28.        GOVERNING LAW.    THE PLAN
SHALL BE GOVERNED BY THE LAWS OF DELAWARE, WITHOUT REFERENCE TO PRINCIPLES OF CONFLICT OF LAWS. 

29.        REGIONAL VARIATION.    The Committee reserves the right to authorize the
establishment of, and to grant Grants pursuant to, annexes, sub-plans or other supplementary documentation as the Committee deems appropriate in light of local law, rules and customs. 

30.        NO CLAIM TO AWARDS.    No Eligible Person or service provider to the Company or
its Subsidiaries, or other Person, shall have any claim or right to be granted a Grant under the Plan or, having been selected for the grant of a Grant, to be selected for a grant of any other Grant. There is no obligation for uniformity of
treatment of Grantees or holders or beneficiaries of Grants. The terms and conditions of Grants and the Committee’s determinations and interpretations with respect thereto need not be the same with respect to each Grantee and may be made
selectively among Grantees, whether or not such Grantees are similarly situated. 

31.        WAIVER.    By accepting a Grant under the Plan, a Grantee shall thereby be
deemed to have waived any claim to continued exercise or vesting of a Grant or to damages or severance entitlement related to non-continuation of the Grant beyond the period provided under the Plan or any
Award Agreement, except to the extent of any provision to the contrary in any written employment contract or other agreement between the service recipient and/or any shareholder of Participating Companies and the Grantee, whether any such agreement
is executed before, on or after the date of grant. 
 32.        RECOUPMENT.    The
Grantee, by accepting a Grant, hereby acknowledges and agrees that the Grantee will be subject to any policy adopted by the Company that provides for the repayment or forfeiture of any Grants), including, without limitation, as a result of a
required accounting restatement due to material noncompliance with a financial reporting requirement. 

33.        DATA PRIVACY. 

(a)        For Grantees in jurisdictions where consent is required to the collection, use and transfer
of personal data, and to the extent permitted by law, as a condition of receipt of any Grant, each Grantee explicitly and unambiguously consents to such collection, use and transfer, in electronic or other form, as described in this

  
 - 22 - 

 
Section 33 by and among, as applicable, the Company and any of its affiliates for the exclusive purpose of implementing, administering and managing the Grantee’s participation in the
Plan. This paragraph (a) applies to such other Grantees. The Company and any of its affiliates may hold certain personal information about a Grantee, including, but not limited to, the Grantee’s name, home address and telephone number,
date of birth, social security or insurance number or other identification number, salary, nationality, job title(s), any shares of stock held in the Company or any of its affiliates, details of all Grants, in each case, for the purpose of
implementing, managing and administering the Plan and Grants (the “Data”). To the extent permitted by law, the Company and any of its affiliates may transfer the Data among themselves as necessary for the purpose of implementation,
administration and management of a Grantee’s participation in the Plan, and the Company and any of its affiliates may each further transfer the Data to any third parties assisting the Company and any of its affiliates in the implementation,
administration and management of the Plan. These recipients may be located in the Grantee’s country, or elsewhere, and the Grantee’s country may have different data privacy laws and protections than the recipients’ country. To the
extent permitted by law, through acceptance of a Grant, each Grantee authorizes such recipients to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing the
Grantee’s participation in the Plan, including any requisite transfer of such Data as may be required to a broker or other third party with whom the Company or any of its affiliates or the Grantee may elect to deposit any Shares. A Grantee may,
at any time, view the Data held by the Company with respect to such Grantee, request additional information about the storage and processing of the Data with respect to such Grantee, recommend any necessary corrections to the Data with respect to
the Grantee or refuse or withdraw the consents herein in writing, in any case without cost, by contacting his or her local human capital representative. The Company may cancel the Grantee’s ability to participate in the Plan and, in the
Committee’s sole discretion, the Grantee may forfeit any outstanding Grants if the Grantee refuses or withdraws his or her consents as described herein. For more information on the consequences of refusal to consent or withdrawal of consent,
Grantees may contact the Company’s human capital department. 
 (b)        For Grantees whose
personal data is subject to the General Data Protection Regulation (EU) 2016/679 (“GDPR”), personal data (as defined in the GDPR) will be processed in accordance with the Company’s European Union privacy notice (which will be
provided to such Grantees and is available upon request from the relevant Participating Company’s human capital department). 

  
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 EXHIBIT A 

PERFORMANCE CRITERIA 
 Performance-Based Grants may be payable upon the attainment of objective performance goals that are established by the Committee and relate to one or more Performance Criteria, in each case on specified date or over
any period, up to 10 years, as determined by the Committee. Performance Criteria may be based on the achievement of the specified levels of performance under one or more of the measures set out below relative to the performance of one or more other
corporations or indices. 
 “Performance Criteria” means the following business criteria (or any combination thereof) with respect
to one or more of the Company, any Participating Company or any division or operating unit thereof: 
  

	 	i)	 pre-tax income, 

 

	 	ii)	 after-tax income, 

 

	 	iii)	 net income (meaning net income as reflected in the Company’s financial reports for the applicable period,
on an aggregate, diluted and/or per share basis, or economic net income), 

  

	 	iv)	 operating income or profit, 

 

	 	v)	 cash flow, free cash flow, cash flow return on investment (discounted or otherwise), net cash provided by
operations, or cash flow in excess of cost of capital, 

  

	 	vi)	 earnings per share (basic or diluted), 

 

	 	vii)	 return on equity, 

  

	 	viii)	 returns on sales or revenues, 

 

	 	ix)	 return on invested capital or assets (gross or net), 

 

	 	x)	 cash, funds or earnings available for distribution, 

 

	 	xi)	 appreciation in the fair market value of the Common Stock, 

 

	 	xii)	 operating expenses, 

  

	 	xiii)	 implementation or completion of critical projects or processes, 

 

	 	xiv)	 return on investment, 

 

	 	xv)	 total return to stockholders (meaning the aggregate Common Stock price appreciation and dividends paid
(assuming full reinvestment of dividends) during the applicable period), 

  

	 	xvi)	 net earnings growth, 

 

	 	xvii)	 stock appreciation (meaning an increase in the price or value of the Common Stock after the date of grant of an
award and during the applicable period), 

  

	 	xviii)	 related return ratios, 

 

	 	xix)	 increase in revenues, 

  
 Exh. A-1 

	 	xx)	 the Company’s published ranking against its peer group of real estate investment trusts based on total
stockholder return, 

  

	 	xxi)	 net earnings, 

  

	 	xxii)	 changes (or the absence of changes) in the per share or aggregate market price of the Company’s Common
Stock, 

  

	 	xxiii)	 number of securities sold, 

 

	 	xxiv)	 earnings before or after any one or more of the following items: interest, taxes, depreciation or amortization,
as reflected in the Company’s financial reports for the applicable period, and 

  

	 	xxv)	 total revenue growth (meaning the increase in total revenues after the date of grant of an award and during the
applicable period, as reflected in the Company’s financial reports for the applicable period). 

  

	 	xxvi)	 economic value created, 

 

	 	xxvii)	 operating margin or profit margin, 

 

	 	xxviii)	 Share price or total shareholder return, 

 

	 	xxix)	 cost targets, reductions and savings, productivity and efficiencies, 

 

	 	xxx)	 strategic business criteria, consisting of one or more objectives based on meeting objectively determinable
specified market penetration, geographic business expansion, investor satisfaction, employee satisfaction, human resources management, supervision of litigation, information technology, and goals relating to acquisitions, divestitures, joint
ventures and similar transactions, and budget comparisons, 

  

	 	xxxi)	 objectively determinable personal professional objectives, including any of the foregoing performance goals,
the implementation of policies and plans, the negotiation of transactions, the development of long term business goals, formation of joint ventures, research or development collaborations, and the completion of other corporate transactions, and

  

	 	xxxii)	 any combination of, or a specified increase or improvement in, any of the foregoing. 

Where applicable, the Performance Goals may be expressed in terms of attaining a specified level of the particular criteria or the attainment
of a percentage increase or decrease in the particular criteria, and may be applied to one or more of the Company, a Subsidiary or affiliate, or a division or strategic business unit of the Company, or may be applied to the performance of the
Company relative to a market index, a group of other companies or a combination thereof, all as determined by the Committee. 
 The
Performance Goals may include a threshold level of performance below which no payment shall be made (or no vesting shall occur), levels of performance at which specified payments shall be made (or specified vesting shall occur), and a maximum level
of performance above which no additional payment shall be made (or at which full vesting shall occur). 
 Except as otherwise expressly
provided, all financial terms are used as defined under Generally Accepted Accounting Principles (“GAAP”) and all determinations shall be made in accordance with GAAP, as applied by the Company in the preparation of its periodic
reports to stockholders. 
 Unless the Committee provides otherwise at the time of establishing the performance goals, for each fiscal year
of the Company, the Committee shall have the authority to make equitable adjustments to the Performance 

  
 Exh. A-2 

 
Goals in recognition of unusual or non-recurring events affecting the Company or any Subsidiary or affiliate or the financial statements of the Company or
any Subsidiary or affiliate and may provide for objectively determinable adjustments, as determined in accordance with GAAP, to any of the Performance Criteria described above for one or more of the items of gain, loss, profit or expense:
(A) determined to be extraordinary or unusual in nature or infrequent in occurrence, (B) related to the disposal of a segment of a business, (C) related to a change in accounting principle under GAAP or a change in applicable laws or
regulations, (D) related to discontinued operations that do not qualify as a segment of a business under GAAP, and (E) attributable to the business operations of any entity acquired by the Company during the fiscal year. 

  
 Exh. A-3

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