Document:

Exhibit 10.11

 

Execution Version

 

SECURITY
AGREEMENT

 

THIS SECURITY AGREEMENT
(this “Agreement”), dated as of August 31, 2018, is made by and between INTERFACE SEALING SOLUTIONS,
INC., a Delaware corporation (the “Guarantor”), and BANK OF AMERICA, N.A., a national banking association
(“Bank of America”), as Administrative Agent (in such capacity, the “Agent”) for the ratable
benefit of itself and the other Secured Parties (as defined in the Credit Agreement (defined below)).

 

WHEREAS, Lydall, Inc.,
a Delaware corporation (the “Borrower”), the Guarantor, the other Guarantors (as defined in the Credit Agreement),
the Agent and the Lenders (as defined in the Credit Agreement (defined below)) are entering into that certain Second Amended and
Restated Credit Agreement, dated as of the date hereof (as the same may be amended, restated, supplemented, or otherwise modified
from time to time, the “Credit Agreement”);

 

WHEREAS, it is a condition
precedent to the Lenders making any loans or otherwise extending credit or providing financial accommodations to the Borrower under
the Credit Agreement that the Guarantor execute and deliver to the Agent, for the ratable benefit of the Secured Parties, this
Agreement granting the security interest hereinafter described to the Agent; and

 

WHEREAS, the Guarantor
wishes to grant a security interest in favor of the Agent, for the ratable benefit of the Secured Parties, as herein provided.

 

NOW, THEREFORE, in
consideration of the promises contained herein and for other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto agree as follows:

 

1.          Definitions.
All capitalized terms used herein without definitions shall have the respective meanings provided therefor in the Credit Agreement.
The term “State,” as used herein, means the State of New York. All terms defined in the Uniform Commercial Code of
the State and used herein shall have the same definitions herein as specified therein. However, if a term is defined in Article
9 of the Uniform Commercial Code of the State differently than in another Article of the Uniform Commercial Code of the State,
the term has the meaning specified in Article 9. The term “Secured Obligations”, as used herein, shall have
the meaning ascribed to it in the Credit Agreement.

 

2.          Grant
of Security Interest. The Guarantor hereby grants to the Agent, for the ratable benefit of the Secured Parties, to secure
the payment and performance in full of all of the Secured Obligations, a security interest in and pledges and assigns the following
properties, assets and rights of the Guarantor, wherever located, whether now owned or hereafter acquired or arising, and all proceeds
and products thereof (all of the same being hereinafter called the “Collateral”): all assets, including all
personal and fixture property of every kind and nature, whether now owned or hereafter acquired by the Guarantor, including, without
limitation, all goods (including inventory, equipment and any accessions thereto), instruments (including promissory notes), documents,
accounts (including health-care-insurance receivables), chattel paper (whether tangible or electronic), deposit accounts, letter-of-credit
rights (whether or not the Letter of Credit is evidenced by a writing), commercial tort claims, securities and all other investment
property, supporting obligations, any other contract rights or rights to the payment of money, insurance claims and proceeds, all
general intangibles (including all payment intangibles), and all products and proceeds of each of the foregoing. Notwithstanding
anything herein to the contrary, the term “Collateral” shall not include more than 65% of the Equity Interests of a
first-tier Foreign Subsidiary (or more than 65% of the equity interests of a Domestic Subsidiary whose sole assets are the Equity
Interests of a Foreign Subsidiary) or, to the extent not yet paid to the Guarantor or such Domestic Subsidiary, the corresponding
proportion of dividends, distributions, interest and other payments with respect to more than 65% of such Equity Interests (such
excluded assets are herein collectively called the “Excluded Assets”). The Agent acknowledges that the attachment
of its security interest in any commercial tort claim as original collateral is subject to the Guarantor’s compliance with
Section 4.7.

 

     

     

    

 

3.          Authorization
to File Financing Statements. The Guarantor hereby irrevocably authorizes the Agent at any time and from time to time to
file in any filing office in any Uniform Commercial Code jurisdiction any initial financing statements and amendments thereto that
(a) indicate the Collateral (i) as all assets or, as the case may be, all personal property of the Guarantor or words of similar
effect, regardless of whether any particular asset comprised in the Collateral falls within the scope of Article 9 of the Uniform
Commercial Code of the State or such jurisdiction specifically excluding, however, the Excluded Assets, or (ii) as being of an
equal or lesser scope or with greater detail, and (b) provide any other information required by part 5 of Article 9 of the Uniform
Commercial Code of the State or such other jurisdictions for the sufficiency or filing office acceptance of any financing statement
or amendment, including (i) whether the Guarantor is an organization, the type of organization and any organizational identification
number issued to the Guarantor and, (ii) in the case of a financing statement filed as a fixture filing or indicating Collateral
as as-extracted collateral or timber to be cut, a sufficient description of the real property to which such Collateral relates.
The Guarantor agrees to furnish any such information to the Agent promptly upon the Agent’s request. The Guarantor also ratifies
its authorization for the Agent to have filed in any Uniform Commercial Code jurisdiction any like initial financing statements
or amendments thereto if filed prior to the date hereof.

 

4.          Other
Actions. Further to insure the attachment, perfection and first priority of, and the ability of the Agent to enforce, the
Agent’s security interest in the Collateral, the Guarantor agrees, in each case at the Guarantor’s expense, to take
the following actions with respect to the following Collateral and without limitation on the Guarantor’s other obligations
contained in this Agreement:

 

4.1.          Promissory
Notes and Tangible Chattel Paper. If the Guarantor shall, now or at any time hereafter, hold or acquire any promissory
notes or any tangible chattel paper individually having a face value in excess of $2,500,000 (each, a “Material Note”
or “Material Tangible Chattel Paper”, as the case may be), the Guarantor shall forthwith endorse, assign and
deliver to the Agent each such Material Note or Material Chattel Paper, as the case may be, and, in each case of a required endorsement,
assignment and delivery, accompanied by such instruments of transfer or assignment duly executed in blank as the Agent may from
time to time specify.

 

4.2.          Deposit
Accounts. For each deposit account that the Guarantor now or at any time hereafter opens or maintains, the Guarantor shall,
at the Agent’s request and option, either (a) enter into a Qualifying Control Agreement such that the depositary bank agrees
to comply, without further consent of the Guarantor, at any time with instructions from the Agent to such depositary bank directing
the disposition of funds from time to time credited to such deposit account, or (b) pursuant to an agreement in form and substance
reasonably satisfactory to the Agent, arrange for the Agent to become the customer of the depositary bank with respect to the deposit
account, with the Guarantor being permitted, only with the consent of the Agent, to exercise rights to withdraw funds from such
deposit account. The Agent agrees with the Guarantor that the Agent shall not give any such instructions or withhold any withdrawal
rights from the Guarantor unless an Event of Default has occurred and is continuing or would occur if effect were given to any
withdrawal not otherwise permitted by the Loan Documents. The provisions of this paragraph shall not apply to (i) any deposit account
for which the Guarantor, the depositary bank and the Agent have entered into a cash collateral agreement specially negotiated among
the Guarantor, the depositary bank and the Agent for the specific purpose set forth therein, (ii) a deposit account for which the
Agent is the depositary bank and is in automatic control, or (iii) any deposit accounts specially and exclusively used for payroll,
payroll taxes and other employee wage and benefit payments to or for the benefit of the Guarantor’s employees. Nothing in
this Section 4.2 shall be construed to limit or otherwise derogate in any way the Guarantor’s obligations under Section 6.15
of the Credit Agreement.

 

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4.3.          Investment
Property. Subject to the limitations set forth in Section 2 hereof, if the Guarantor shall now or at any time hereafter
hold or acquire any certificated securities of any Subsidiary, the Guarantor shall forthwith endorse, assign and deliver the same
to the Agent, accompanied by such instruments of transfer or assignment duly executed in blank as the Agent may from time to time
specify. If any securities now or hereafter acquired by the Guarantor are (a) (i) uncertificated or (ii) certificated and issued
by a Person other than a Subsidiary, (b) issued to the Guarantor or its nominee directly by the issuer thereof, and (c) have a
principal amount or value in excess of $5,000,000 in the aggregate with respect to any one issuer (each a “Material Security”),
the Guarantor shall promptly notify the Agent thereof and, at the Agent’s request and option pursuant to an agreement in
a form and substance reasonably satisfactory to the Agent, either (A) cause the issuer to agree to comply, without further consent
of the Guarantor, or such nominee, at any time with instructions from the Agent as to each Material Security or (B) arrange for
the Agent to become the registered owner of such Material Security. Subject to the limitations set forth in Section 2 hereof, if
any securities, whether certificated or uncertificated, or other investment property now or hereafter acquired by the Guarantor
are held by the Guarantor or its nominee through a securities intermediary or commodity intermediary and constitute a Material
Security, the Guarantor shall promptly notify the Agent thereof and, at the Agent’s request and option, the Guarantor shall,
pursuant to an agreement in form and substance reasonably satisfactory to the Agent, either (i) cause such securities intermediary
or (as the case may be) commodity intermediary to agree to comply, in each case without further consent of the Guarantor or such
nominee, at any time with entitlement orders or other instructions from the Agent to such securities intermediary as to such Material
Security, or (as the case may be) to apply any value distributed on account of any commodity contract as directed by the Agent
to such commodity intermediary, or (ii) in the case of a Material Security held through a securities intermediary, arrange for
the Agent to become the entitlement holder with respect to such a Material Security, with the Guarantor being permitted, only with
the consent of the Agent, to exercise rights to withdraw or otherwise deal with such investment property. The Agent agrees with
the Guarantor that the Agent shall not give any such entitlement orders or instructions or directions to any such issuer, securities
intermediary or commodity intermediary, and shall not withhold its consent to the exercise of any withdrawal or dealing rights
by the Guarantor, unless an Event of Default has occurred and is continuing or would occur after giving effect to any such investment
and withdrawal rights not otherwise permitted by the Loan Documents. The provisions of this Section 4.3 shall not apply to any
financial assets credited to a securities account for which the Agent is the securities intermediary.

 

4.4.          Collateral
in the Possession of a Bailee. If any Collateral having an aggregate value of more than $1,000,000 is now or at any time
hereafter in the possession of a bailee at a particular location, the Guarantor shall promptly notify the Agent thereof and, at
the Agent’s request and option, shall use reasonable best efforts to obtain an acknowledgement from the bailee, in form and
substance reasonably satisfactory to the Agent, that the bailee holds such Collateral for the benefit of the Agent and such bailee’s
agreement to comply, without further consent of the Guarantor, at any time with instructions of the Agent as to such Collateral.
The Agent agrees with the Guarantor that the Agent shall not give any such instructions unless an Event of Default has occurred
and is continuing or would occur after taking into account any action by the Guarantor with respect to the bailee.

 

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4.5.          Electronic
Chattel Paper and Transferable Records. If the Guarantor, now or at any time hereafter, holds or acquires an interest in
any electronic chattel paper, any electronic document or any “transferrable record,” in each case individually having
a face value in excess of $2,500,000 (each a “Material Electronic Paper”), the Guarantor shall a) promptly notify
the Agent thereof and, (b) at the request and option of the Agent, take such action as the Agent may reasonably request to vest
in the Agent control of such Material Electronic Paper, under Section 9-105 of the Uniform Commercial Code of the State or any
other relevant jurisdiction, Section 7-106 of the Uniform Commercial Code of the State or any other relevant jurisdiction, Section
201 of the federal Electronic Signatures in Global and National Commerce Act or Section 16 of the Uniform Electronic Transactions
Act, as so in effect in such jurisdiction, as applicable. The Agent agrees with the Guarantor that the Agent will arrange, pursuant
to procedures satisfactory to the Agent and so long as such procedures will not result in the Agent’s loss of control, for
the Guarantor to make alterations to the electronic chattel paper, electronic document or transferable record permitted under UCC
Section 9-105, UCC Section 7-106, or, as the case may be, Section 201 of the federal Electronic Signatures in Global and National
Commerce Act or Section 16 of the Uniform Electronic Transactions Act for a party in control to make without loss of control, unless
an Event of Default has occurred and is continuing or would occur after taking into account any action by the Guarantor with respect
to such electronic chattel paper, electronic document or transferrable record. The provisions of this Section 4.5 relating to electronic
documents and “control” under UCC Section 7-106 apply in the event that the 2003 revisions to Article 7, with amendments
to Article 9, of the Uniform Commercial Code, in substantially the form approved by the American Law Institute and the National
Conference of Commissioners on Uniform State Laws, are now or hereafter adopted and become effective in the State or in any other
relevant jurisdiction.

 

4.6.          Letter-of-Credit
Rights. If the Guarantor is, now or at any time hereafter, a beneficiary under a Letter of Credit now or hereafter individually
having a maximum amount that may be drawn in excess of $2,500,000 (each, a “Material Letter of Credit”), the
Guarantor shall promptly notify the Agent thereof and, at the request and option of the Agent, the Guarantor shall, pursuant to
an agreement in form and substance satisfactory to the Agent, either (a) arrange for the issuer and any confirmer or other nominated
person of each such Material Letter of Credit, to consent to an assignment to the Agent of the proceeds of such Material Letter
of Credit or (b) arrange for the Agent to become the transferee beneficiary of such Material Letter of Credit.

 

4.7          Commercial
Tort Claims. If the Guarantor shall now or at any time hereafter hold or acquire a commercial tort claim with respect to
which the Guarantor has commenced legal action by filing a lawsuit in court and having a value reasonably estimated by the Guarantor
to be in excess of $5,000,000, the Guarantor shall promptly notify the Agent in a writing signed by the Guarantor of the particulars
thereof, and grant to the Agent in such writing a security interest therein and in the proceeds thereof, all upon the terms of
this Agreement, with such writing to be in form and substance satisfactory to the Agent. Such Notice shall be deemed to be an amendment
to the Perfection Certificate with respect to such commercial tort claim.

 

4.8.          Other
Actions as to any and all Collateral. The Guarantor further agrees, upon request of the Agent and at the Agent’s
option, to take any and all other actions as the Agent may reasonably determine to be necessary or useful for the attachment, perfection
and first priority of (subject, however, to Liens permitted under the Credit Agreement), and the ability of the Agent to enforce,
the Agent’s security interest in any and all of the Collateral, including, without limitation, (a) executing, delivering
and, where appropriate, filing financing statements and amendments relating thereto under the Uniform Commercial Code, to the extent,
if any, that the Guarantor’s signature thereon is required therefor, (b) causing the Agent’s name to be noted as secured
party on any certificate of title for a titled good if such notation is a condition to attachment, perfection or priority of, or
ability of the Agent to enforce, the Agent’s security interest in such Collateral, (c) complying with any provision of any
statute, regulation or treaty of the United States as to any Collateral if compliance with such provision is a condition to attachment,
perfection or priority of, or ability of the Agent to enforce, the Agent’s security interest in such Collateral, (d) obtaining
governmental and other third party waivers, consents and approvals in form and substance satisfactory to the Agent, including,
without limitation, any consent of any licensor, lessor or other person obligated on Collateral, (e) using reasonable best efforts
to obtain waivers from mortgagees and landlords in form and substance satisfactory to the Agent and in accordance with the terms
of the Credit Agreement, and (f) taking all actions under any earlier versions of the Uniform Commercial Code or under any other
law, as reasonably determined by the Agent to be applicable in any relevant Uniform Commercial Code or other jurisdiction, including
any foreign jurisdiction.

 

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5.          Relation
to Other Security Documents. The provisions of this Agreement supplement the provisions of any real estate mortgage or
deed of trust, if any, granted by the Guarantor to the Agent and which secures the payment or performance of any of the Secured
Obligations. Nothing contained in any such real estate mortgage or deed of trust shall derogate from any of the rights or remedies
of the Agent hereunder.

 

6.          Representations
and Warranties Concerning Guarantor’s Legal Status. The Guarantor represents and warrants to the Agent as follows:
(a) the Guarantor’s exact legal name is that indicated on the signature page hereof, (b) the Guarantor is an organization
of the type, and is organized in the jurisdiction, set forth on the Perfection Certificate, (c) the Perfection Certificate accurately
sets forth the organizational identification number or accurately states that the Guarantor has none, (d) the Perfection Certificate
accurately sets forth the Guarantor’s place of business or, if more than one, its chief executive office, as well as the
Guarantor’s mailing address, if different, and (e) all other information set forth on the Perfection Certificate pertaining
to the Guarantor is accurate and complete in all material respects.

 

7.          Covenants
Concerning Guarantor’s Legal Status. The Guarantor covenants with the Agent as follows: (a) without providing at
least thirty (30) days prior written notice to the Agent, the Guarantor will not change its name, its place of business or, if
more than one, chief executive office, or its mailing address or organizational identification number if it has one, (b) if the
Guarantor does not have an organizational identification number and later obtains one, the Guarantor will promptly notify the Agent
of such organizational identification number, and (c) the Guarantor will not change its type of organization, jurisdiction of organization
or other legal structure except as permitted in the Credit Agreement.

 

8.          Representations
and Warranties Concerning Collateral, Etc. The Guarantor further represents and warrants to the Agent as follows: (a) the
Guarantor is the owner of, or has other rights in, or power to transfer, the Collateral, free from any right or claim of any person
or any adverse lien, security interest or other encumbrance, except for the security interest created by this Agreement and Permitted
Liens, (b) none of the Collateral constitutes, or is the proceeds of, “farm products” as defined in §9-102(a)(34)
of the Uniform Commercial Code of the State, (c) none of the account debtors or other persons obligated on any of the Collateral
is a governmental authority covered by the Federal Assignment of Claims Act or like federal, state or local statute or rule in
respect of such Collateral, (d) to the best of its knowledge, the Guarantor holds no commercial tort claim except as indicated
on the Perfection Certificate, (e) the Guarantor has at all times operated its business in compliance in all material respects
with all applicable provisions of the federal Fair Labor Standards Act, as amended, and with all applicable provisions of federal,
state and local statutes and ordinances dealing with the control, shipment, storage or disposal of hazardous materials or substances,
and (f) all other information set forth on the Perfection Certificate pertaining to the Collateral is accurate and complete in
all material respects.

 

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9.          Covenants
Concerning Collateral, Etc. The Guarantor further covenants with the Agent as follows: (a) the Collateral, to the extent
not delivered to the Agent pursuant to Section 4 hereof or disposed of as permitted by the Credit Agreement, will be kept at those
locations listed on the Perfection Certificate, as the same may be amended from time to time as herein provided, and the Guarantor
will not remove the Collateral from such locations without providing at least fifteen (15) days prior written notice to the Agent
except (i) to another location listed on the Perfection Certificate, or (ii) to another location of the Guarantor or one of its
Subsidiaries or one of the other Subsidiaries of the Borrower, in each case, that is located within the United States but not listed
on the Perfection Certificate, as amended from time to time (any such location, an “Unlisted Location”), provided,
that the aggregate value of the Collateral located at such Unlisted Location shall not exceed $1,000,000, (iii) motor vehicles,
or (iv) the removal of Collateral for up to thirty (30) days to repair such Collateral, in each case, in the ordinary course of
business, (b) except for the security interest herein granted and Permitted Liens, the Guarantor shall be the owner of, or have
other rights in or power to transfer, the Collateral free from any right or claim of any other person or any lien, security interest
or other encumbrance, and the Guarantor shall defend the same against all claims and demands of all persons at any time claiming
the same or any interests therein adverse to the Agent, (c) the Guarantor shall not pledge, mortgage or create, or suffer to exist
any right of any person in or claim by any person to the Collateral, or any security interest, lien or other encumbrance in the
Collateral in favor of any person other than the Agent, except for Permitted Liens, (d) the Guarantor will keep the Collateral
in good order and repair and will not use the same in violation of law or any policy of insurance thereon, (e) the Guarantor will
permit the Agent, or its designee, to inspect the Collateral at any reasonable time during normal business hours, wherever located,
(f) the Guarantor will pay promptly when due all taxes, assessments, governmental charges and levies upon the Collateral incurred
in connection with the use or operation of the Collateral or incurred in connection with this Agreement, (g) the Guarantor will
continue to operate its business in compliance in all material respects with all applicable provisions of the federal Fair Labor
Standards Act, as amended, and with all applicable provisions of federal, state and local statutes and ordinances dealing with
the control, shipment, storage or disposal of hazardous materials or substances, (h) the Guarantor will not sell or otherwise dispose,
or offer to sell or otherwise dispose, of the Collateral or any interest therein except for dispositions permitted by the Credit
Agreement, and (i) with each annual Compliance Certificate delivered by Borrower pursuant to Section 6.02(a) of the Credit Agreement,
the Guarantor shall cause Borrower to provide any information updating the Perfection Certificate, including, without limitation,
any new locations at which any Collateral is located.

 

10.        Insurance.

 

10.1.        Maintenance
of Insurance. The Guarantor will maintain, with financially sound and reputable insurers, insurance with respect to its
properties and business against such casualties and contingencies as shall be in accordance with general practices of businesses
engaged in similar activities in similar geographic areas. Such insurance shall be in such minimum amounts that the Guarantor will
not be deemed a co-insurer under applicable insurance laws, regulations and policies and otherwise shall be in such amounts, contain
such terms, be in such forms and be for such periods as may be reasonably satisfactory to the Agent. In addition, all such property
casualty insurance shall be payable to the Agent as loss payee under a loss payee clause reasonably acceptable to the Agent. Without
limiting the foregoing, the Guarantor will (a) keep all of its physical property insured with casualty or physical hazard insurance
on an “all risks” basis, with broad form flood and earthquake coverages and electronic data processing coverage, with
a full replacement cost endorsement and an “agreed amount” clause in an amount equal to 100% of the full replacement
cost of such property, (b) maintain all such workers’ compensation or similar insurance as may be required by law and (iii)
maintain, in amounts and with deductibles equal to those generally maintained by businesses engaged in similar activities in similar
geographic areas, general public liability insurance against claims of bodily injury, death or property damage occurring, on, in
or about the properties of the Guarantor; business interruption insurance; and product liability insurance.

 

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10.2.        Insurance
Proceeds. The proceeds of any casualty insurance in respect of any casualty loss of any of the Collateral shall, subject
to the rights, if any, of other parties with an interest having priority in the property covered thereby, (a) so long as no Event
of Default has occurred and is continuing, be disbursed to the Guarantor for direct application by the Guarantor to the repair
or replacement of the Guarantor’s property so damaged or destroyed, with any excess proceeds to be retained by the Guarantor,
and (b) if an Event of Default has occurred and is continuing, be distributed to the Agent to be held by the Agent as cash collateral
for the Secured Obligations. The Agent may, at its sole option, disburse from time to time all or any part of such proceeds so
held as cash collateral, upon such terms and conditions as the Agent may reasonably prescribe, for direct application by the Guarantor
solely to the repair or replacement of the Guarantor’s property so damaged or destroyed, or the Agent may apply all or any
part of such proceeds to the Secured Obligations.

 

10.3.        Continuation
of Insurance. All policies of insurance shall provide for at least thirty (30) days prior written cancellation notice to
the Agent. In the event of failure by the Guarantor to provide and maintain insurance as herein provided, the Agent may, at its
option, provide such insurance and charge the amount thereof to the Guarantor. The Guarantor shall furnish the Agent with certificates
of insurance and policies evidencing compliance with the foregoing insurance provision.

 

11.        Collateral
Protection Expenses: Preservation of Collateral.

 

11.1.        Expenses
Incurred by Agent. In the Agent’s discretion, if the Guarantor fails to do so, the Agent may discharge taxes and
other encumbrances at any time levied or placed on any of the Collateral, make repairs thereto, maintain any of the Collateral,
and pay any necessary filing fees or insurance premiums. The Guarantor agrees to reimburse the Agent on demand for all expenditures
so made. The Agent shall have no obligation to the Guarantor to make any such expenditures, nor shall the making thereof be construed
as a waiver or cure of any Default or Event of Default.

 

11.2.        Agent’s
Obligations and Duties. Anything herein to the contrary notwithstanding, the Guarantor shall remain obligated and liable
under each contract or agreement comprised in the Collateral to be observed or performed by the Guarantor thereunder. The Agent
shall not have any obligation or liability under any such contract or agreement by reason of, or arising out of, this Agreement
or the receipt by the Agent of any payment relating to any of the Collateral, nor shall the Agent be obligated in any manner to
perform any of the obligations of the Guarantor under, or pursuant to, any such contract or agreement, to make inquiry as to the
nature or sufficiency of any payment received by the Agent in respect of the Collateral or as to the sufficiency of any performance
by any party under any such contract or agreement, to present or file any claim, to take any action to enforce any performance
or to collect the payment of any amounts which may have been assigned to the Agent or to which the Agent may be entitled at any
time or times. The Agent’s sole duty with respect to the custody, safe keeping and physical preservation of the Collateral
in its possession, under §9-207 of the Uniform Commercial Code of the State or otherwise, shall be to deal with such Collateral
in the same manner as the Agent deals with similar property for its own account.

 

12.        Securities
and Deposits. The Agent may at any time following the occurrence and during the continuance of an Event of Default, at
its option, transfer to itself or any nominee any securities constituting Collateral, receive any income thereon and hold such
income as additional Collateral or apply it to the Secured Obligations. Whether or not any Secured Obligations are due, the Agent
may following the occurrence and during the continuance of an Event of Default demand, sue for, collect, or make any settlement
or compromise which it deems desirable with respect to the Collateral. Regardless of the adequacy of Collateral or any other security
for the Secured Obligations, any deposits or other sums at any time credited by or due from the Agent to the Guarantor may at any
time during the continuance of an Event of Default be applied to, or set off against, any of the Secured Obligations then due and
owing.

 

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13.        Notification
to Account Debtors and Other Persons Obligated on Collateral. If an Event of Default shall have occurred and be continuing,
the Guarantor shall, at the request and option of the Agent, notify account debtors and other persons obligated on any of the Collateral
of the security interest of the Agent in any account, chattel paper, general intangible, instrument or other Collateral and that
payment thereof is to be made directly to the Agent or to any financial institution designated by the Agent as the Agent’s
agent therefor, and the Agent may itself, if an Event of Default shall have occurred and be continuing, without notice to or demand
upon the Guarantor, so notify account debtors and other persons obligated on Collateral, which notice may include the provision
to such account debtors and other persons of an accounts receivable letter which, if provided, may be (a) substantially in the
form attached hereto as Exhibit A (Agent having required Guarantor to execute an undated accounts receivable letter in the
form of Exhibit A attached hereto which Agent agrees to hold and not release unless Agent is permitted to send such letter
as provided in this Section 13), or (b) in another form satisfactory to the Agent, executed by Guarantor upon request of Agent.
After the making of such a request or the giving of any such notification, the Guarantor shall hold any proceeds of collection
of accounts, chattel paper, general intangibles, instruments and other Collateral received by the Guarantor as trustee for the
Agent without commingling the same with other funds of the Guarantor and shall turn the same over to the Agent in the identical
form received, together with any necessary endorsements or assignments. The Agent shall apply the proceeds of collection of accounts,
chattel paper, general intangibles, instruments and other Collateral received by the Agent to the Secured Obligations, such proceeds
to be immediately credited after final payment in cash or other immediately available funds of the items giving rise to them.

 

14.        Power
of Attorney.

 

14.1.        Appointment
and Powers of Agent. The Guarantor hereby irrevocably constitutes and appoints the Agent and any officer or agent thereof,
with full power of substitution, as its true and lawful attorney-in-fact with full irrevocable power and authority in the place
and stead of the Guarantor or in the Agent’s own name, for the purpose of carrying out the terms of this Agreement, to take
any and all appropriate action and to execute any and all documents and instruments that may be necessary or useful to accomplish
the purposes of this Agreement and, without limiting the generality of the foregoing, hereby gives said attorneys the power and
right, on behalf of the Guarantor, without notice to or assent by the Guarantor, to do the following:

 

(a)            upon
the occurrence and during the continuance of an Event of Default, generally to sell, transfer, pledge, make any agreement with
respect to or otherwise dispose of or deal with any of the Collateral in such manner as is consistent with the Uniform Commercial
Code of the State and as fully and completely as though the Agent were the absolute owner thereof for all purposes, and to do,
at the Guarantor’s expense, at any time, or from time to time, all acts and things which the Agent deems necessary or useful
to protect, preserve or realize upon the Collateral and the Agent’s security interest therein, in order to effect the intent
of this Agreement, all no less fully and effectively as the Guarantor might do, including, without limitation, (i) the filing and
prosecuting of registration and transfer applications with the appropriate federal, state or local agencies or authorities with
respect to trademarks, copyrights and patentable inventions and processes, (ii) upon written notice to the Guarantor, the exercise
of voting rights with respect to voting securities, which rights may be exercised, if the Agent so elects, with a view to causing
the liquidation of assets of the issuer of any such securities and (iii) the execution, delivery and recording, in connection with
any sale or other disposition of any Collateral, of the endorsements, assignments or other instruments of conveyance or transfer
with respect to such Collateral; and

 

(b)            to
the extent that the Guarantor’s authorization given in Section 3 is not sufficient, to file such financing statements with
respect hereto, with or without the Guarantor’s signature, or a photocopy of this Agreement in substitution for a financing
statement, as the Agent may deem appropriate and to execute in the Guarantor’s name such financing statements and amendments
thereto and continuation statements which may require the Guarantor’s signature.

 

    	 	8	 

     

    

 

14.2.        Ratification
by Guarantor. To the extent permitted by law, the Guarantor hereby ratifies all that said attorneys shall lawfully do or
cause to be done by virtue hereof. This power of attorney is a power coupled with an interest and is irrevocable.

 

14.3.        No
Duty on Agent. The powers conferred on the Agent hereunder are solely to protect its interests in the Collateral and shall
not impose any duty upon it to exercise any such powers. The Agent shall be accountable only for the amounts that it actually receives
as a result of the exercise of such powers, and neither it nor any of its officers, directors, employees or agents shall be responsible
to the Guarantor for any act or failure to act, except for the Agent’s own gross negligence or willful misconduct.

 

15.        Rights
and Remedies. If an Event of Default shall have occurred and be continuing, the Agent, without any other notice to or demand
upon the Guarantor, shall have in any jurisdiction in which enforcement hereof is sought, in addition to all other rights and remedies,
the rights and remedies of a secured party under the Uniform Commercial Code of the State and of such jurisdiction and any additional
rights and remedies as may be provided to a secured party in any jurisdiction in which Collateral is located, including, without
limitation, the right to take possession of the Collateral, and for that purpose the Agent may, so far as the Guarantor can give
authority therefor, enter upon any premises on which the Collateral may be situated and remove the same therefrom. The Agent may
in its discretion require the Guarantor to assemble all or any part of the Collateral at such location or locations within the
jurisdiction(s) of the Guarantor’s principal office(s) or at such other locations as the Agent may reasonably designate.
Unless the Collateral is perishable or threatens to decline speedily in value or is of a type customarily sold on a recognized
market, the Agent shall give to the Guarantor at least ten (10) Business Days prior written notice of the time and place of any
public sale of Collateral or of the time after which any private sale or any other intended disposition is to be made. The Guarantor
hereby acknowledges that ten (10) Business Days prior written notice of such sale or sales shall be reasonable notice. In addition,
the Guarantor waives any and all rights that it may have to a judicial hearing in advance of the enforcement of any of the Agent’s
rights and remedies hereunder, including, without limitation, its right following an Event of Default to take immediate possession
of the Collateral and to exercise its rights and remedies with respect thereto.

 

16.        Standards
for Exercising Rights and Remedies. To the extent that applicable law imposes duties on the Agent to exercise remedies
in a commercially reasonable manner, the Guarantor acknowledges and agrees that it is not commercially unreasonable for the Agent
(a) to fail to incur expenses reasonably deemed significant by the Agent to prepare Collateral for disposition or otherwise to
fail to complete raw material or work in process into finished goods or other finished products for disposition, (b) to fail to
obtain third party consents for access to Collateral to be disposed of, or to obtain or, if not required by other law, to fail
to obtain governmental or third party consents for the collection or disposition of Collateral to be collected or disposed of,
(c) to fail to exercise collection remedies against account debtors or other persons obligated on Collateral or to fail to remove
liens or encumbrances on or any adverse claims against Collateral, (d) to exercise collection remedies against account debtors
and other persons obligated on Collateral directly or through the use of collection agencies and other collection specialists,
(e) to advertise dispositions of Collateral through publications or media of general circulation, whether or not the Collateral
is of a specialized nature, (f) to contact other persons, whether or not in the same business as the Guarantor, for expressions
of interest in acquiring all, or any portion of, the Collateral, (g) to hire one or more professional auctioneers to assist in
the disposition of Collateral, whether or not the Collateral is of a specialized nature, (h) to dispose of Collateral by utilizing
Internet sites that provide for the auction of assets of the types included in the Collateral or that have the reasonable capability
of doing so, or that match buyers and sellers of assets, (i) to dispose of assets in wholesale rather than retail markets, (j)
to disclaim disposition warranties, (k) to purchase insurance or credit enhancements to insure the Agent against risks of loss,
collection or disposition of Collateral or to provide to the Agent a guaranteed return from the collection or disposition of Collateral,
or (l) to the extent deemed appropriate by the Agent, to obtain the services of brokers, investment bankers, consultants and other
professionals to assist the Agent in the collection, or disposition of, any of the Collateral. The Guarantor acknowledges that
the purpose of this Section 16 is to provide non-exhaustive indications of what actions or omissions by the Agent would fulfill
the Agent’s duties under the Uniform Commercial Code of the State or any other relevant jurisdiction in the Agent’s
exercise of remedies against the Collateral and that other actions or omissions by the Agent shall not be deemed to fail to fulfill
such duties solely on account of not being indicated in this Section 16. Without limitation upon the foregoing, nothing contained
in this Section 16 shall be construed to grant any rights to the Guarantor or to impose any duties on the Agent that would not
have been granted or imposed by this Agreement or by applicable law in the absence of this Section 16.

 

    	 	9	 

     

    

 

17.        No
Waiver by Agent, etc. The Agent shall not be deemed to have waived any of its rights and remedies in respect of the Secured
Obligations or the Collateral unless such waiver shall be in writing and signed by the Agent. No delay or omission on the part
of the Agent in exercising any right or remedy shall operate as a waiver of such right or remedy or any other right or remedy.
A waiver on any one occasion shall not be construed as a bar to or waiver of any right or remedy on any future occasion. All rights
and remedies of the Agent with respect to the Secured Obligations or the Collateral, whether evidenced hereby or by any other instrument
or papers, shall be cumulative and may be exercised singularly, alternatively, successively or concurrently at such time or at
such times as the Agent deems expedient.

 

18.        Suretyship
Waivers by Guarantor. Except as may be otherwise specifically provided in the Credit Agreement, the Guarantor waives demand,
notice, protest, notice of acceptance of this Agreement, notice of loans made, credit extended, Collateral received or delivered
or other action taken in reliance hereon and all other demands and notices of any description. With respect to both the Secured
Obligations and the Collateral, the Guarantor assents to any extension or postponement of the time of payment or any other indulgence,
to any substitution, exchange or release of or failure to perfect any security interest in any Collateral, to the addition or release
of any party or person primarily or secondarily liable, to the acceptance of partial payment thereon and the settlement, compromising
or adjusting of any thereof, all in such manner and at such time or times as the Agent may deem advisable. The Agent shall have
no duty as to the collection or protection of the Collateral or any income therefrom, the preservation of rights against prior
parties, or the preservation of any rights pertaining thereto beyond the safe custody thereof as set forth in Section 11.2. The
Guarantor further waives any and all other suretyship defenses.

 

19.        Marshalling.
The Agent shall not be required to marshal any present or future collateral security (including but not limited to the Collateral)
for, or other assurances of payment of, the Secured Obligations or any of them or to resort to such collateral security or other
assurances of payment in any particular order, and all of its rights and remedies hereunder and in respect of such collateral security
and other assurances of payment shall be cumulative and in addition to all other rights and remedies, however existing or arising.
To the extent that it lawfully may, the Guarantor hereby agrees that it will not invoke any law relating to the marshalling of
collateral which might cause delay in or impede the enforcement of the Agent’s rights and remedies under this Agreement or
under any other instrument creating or evidencing any of the Secured Obligations or under which any of the Secured Obligations
is outstanding or by which any of the Secured Obligations is secured or payment thereof is otherwise assured, and, to the extent
that it lawfully may, the Guarantor hereby irrevocably waives the benefits of all such laws.

 

    	 	10	 

     

    

 

20.        Proceeds
of Dispositions; Expenses. The Guarantor shall pay to the Agent on demand amounts equal to any and all reasonable expenses,
including, without limitation, reasonable attorneys’ fees and disbursements, incurred or paid by the Agent in protecting,
preserving or enforcing the Agent’s rights and remedies under, or in respect of, any of the Secured Obligations or any of
the Collateral. After deducting all of said expenses, the residue of any proceeds of collection or sale or other disposition of
Collateral shall, to the extent actually received in cash, be applied to the payment of the Secured Obligations in such order or
preference as the Agent may determine or in such order or preference as is provided in the Credit Agreement, proper allowance and
provision being made for any Secured Obligations not then due. Upon the final payment and satisfaction in full of all of the Secured
Obligations and after making any payments required by Sections 9-608(a)(1)(C) or 9-615(a)(3) of the Uniform Commercial Code of
the State, any excess shall be returned to the Guarantor. In the absence of final payment and satisfaction in full of all of the
Secured Obligations, the Guarantor shall remain liable for any deficiency.

 

21.        Overdue
Amounts. Until paid, all amounts which become due and payable by the Guarantor hereunder shall be a debt secured by the
Collateral and if not otherwise paid within any applicable grace period after the same becomes due shall bear, whether before or
after judgment, interest at the rate of interest for overdue principal set forth in the Credit Agreement.

 

22.        Governing
Law; Consent to Jurisdiction. THIS AGREEMENT IS INTENDED TO TAKE EFFECT AND SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE
WITH, THE LAWS OF THE STATE. The Guarantor agrees that any action or claim arising out of any dispute in connection with this Agreement,
any rights or obligations hereunder or the performance or enforcement of such rights or obligations may be brought in the courts
of the State or any federal court sitting therein and consents to the non-exclusive jurisdiction of such court and to service of
process in any such suit being made upon the Guarantor by certified or registered mail at the address specified in the Credit Agreement.
The Guarantor hereby waives any objection that it may now or hereafter have to the venue of any such suit or any such court or
that such suit is brought in an inconvenient forum.

 

23.        Waiver
of Jury Trial. EACH PARTY HERETO WAIVES ITS RIGHT TO A JURY TRIAL WITH RESPECT TO ANY ACTION OR CLAIM ARISING OUT OF ANY
DISPUTE IN CONNECTION WITH THIS AGREEMENT, ANY RIGHTS OR OBLIGATIONS HEREUNDER OR THE PERFORMANCE OR ENFORCEMENT OF ANY SUCH RIGHTS
OR OBLIGATIONS. Except as prohibited by law, the Guarantor waives any right which it may have to claim or recover in any litigation
referred to in the preceding sentence any special, exemplary, punitive or consequential damages or any damages other than, or in
addition to, actual damages. The Guarantor (a) certifies that neither the Agent nor any representative, agent or attorney of the
Agent has represented, expressly or otherwise, that the Agent would not, in the event of litigation, seek to enforce the foregoing
waivers or other waivers contained in this Agreement and (b) acknowledges that, in entering into the Credit Agreement and the other
Loan Documents to which the Agent is a party, the Agent is relying upon, among other things, the waivers and certifications contained
in this Section 23.

 

24.        Miscellaneous.
The headings of each section of this Agreement are for convenience only and shall not define or limit the provisions thereof. This
Agreement and all rights and obligations hereunder shall be binding upon the Guarantor and its successors and assigns, and shall
inure to the benefit of the Agent and its successors and assigns permitted pursuant to the Credit Agreement. If any term of this
Agreement shall be held to be invalid, illegal or unenforceable, the validity of all other terms hereof shall in no way be affected
thereby, and this Agreement shall be construed and be enforceable as if such invalid, illegal or unenforceable term had not been
included herein. The Guarantor acknowledges receipt of a copy of this Agreement.

 

    	 	11	 

     

    

 

25.        Amendments.
Neither this Agreement nor any term hereof may be amended, waived, discharged or terminated, except by a written instrument signed
by the Guarantor and the Agent.

 

26.        Electronic
Self-Help Authorization. Upon and during the continuance of an Event of Default, the Agent shall have, in addition to all
other rights and remedies contained in this Agreement, (which the Guarantor, and, by becoming bound by the Secured Obligations
or this Agreement, all other obligors, guarantors and any new debtors accept and agree upon), the right to locate, disable or to
take possession of the Collateral by electronic, digital, magnetic or wireless optical electromagnetic or similar means after giving
any notices required under applicable law.

 

27.        Termination.
At such time as all of the Secured Obligations (other than contingent indemnification obligations for which no claim has been asserted)
have been finally paid and satisfied in full and the Commitments have been irrevocably terminated, this Agreement shall terminate
and Agent shall, upon written request and at the expense of Guarantor, execute and deliver to Guarantor all documents and other
instruments as may be necessary or proper to evidence the termination of Agent’s security interest in the Collateral and
Agent shall return to Guarantor any Collateral then in Agent’s possession.

 

[Signature page follows]

 

    	 	12	 

     

    

 

IN WITNESS WHEREOF,
intending to be legally bound, the Guarantor has caused this Agreement to be duly executed as of the date first above written.

 

	 	INTERFACE SEALING SOLUTIONS, INC.
	 	 	 	 
	 	By:	/S/  Chad A. McDaniel
	 	 	Name:	Chad A. McDaniel
	 	 	Title:	Senior Vice President, General Counsel & Chief Administrative Officer

 

CERTIFICATE OF ACKNOWLEDGMENT

 

STATE OF _ Connecticut__ _ ___)

)          ss
Hartford

COUNTY OF __Hartford________)

 

Before me, the undersigned,
personally appeared Chad A. McDaniel, to me known personally, and who, being by me duly sworn, deposes and says that he is the
Senior Vice President, General Counsel & Chief Administrative Officer of Interface Sealing Solutions, Inc. and that said instrument
was signed and sealed on behalf of said company by authority of its Board of Directors, and said Senior Vice President, General
Counsel & Chief Administrative Officer acknowledged said instrument to be his free act and deed as such Officer and the free
act and deed of said company on this 30th day of August, 2018.

 

	 	/S/  Kathleen Carroll
	[SEAL]	Notary Public/Commissioner of the Superior Court
	 	My commission expires: 6/30/19

 

[Signature Page to Security Agreement -
Interface Sealing Solutions, Inc.]

 

     

     

    

 

Accepted:

BANK OF AMERICA, N.A., as Administrative
Agent

 

	By:	/S/  Mary Lawrence	 
	 	Name:	Mary Lawrence	 
	 	Title:	Assistant Vice President 	 

 

[Signature Page to Security Agreement -
Interface Sealing Solutions, Inc.]

 

     

     

    

 

EXHIBIT A

 

ACCOUNTS RECEIVABLE LETTEREX-10.1

 Exhibit 10.1 
  

 
 September 6, 2018 

Ms. Andrea Greenberg 
 MSG Networks Inc. 

Eleven Pennsylvania Plaza 
 New York, NY 10121 

Dear Andrea: 
 This letter agreement (the
“Agreement”), effective as of September 1, 2018 (the “Effective Date”), will confirm the terms of your continued employment with MSG Networks Inc. (the “Company”). 

1. Your title will be President & Chief Executive Officer and you will report to the Executive Chairman of the Company. You agree to continue to
devote all of your business time and attention to the business and affairs of the Company and to perform your duties in a diligent, competent, professional and skillful manner and in accordance with applicable law. 

2. As of the Effective Date, your annual base salary will be increased to not less than $1,200,000 annually, paid
bi-weekly, subject to annual review and potential increase by the Compensation Committee of the Board of Directors of the Company (the “Compensation Committee”) in its discretion. The Compensation
Committee will continue to review your compensation package on an annual basis to ensure that you are paid consistently with other similarly situated executives as well as external peers. 

3. You will also continue to participate in our discretionary annual bonus program with an annual target bonus opportunity equal to not less than 100% of your
then annual base salary. Bonus payments are based on actual salary dollars paid during the fiscal year and depend on a number of factors including Company, unit and individual performance. However, the decision of whether or not to pay a bonus, and
the amount of that bonus, if any, is made by the Compensation Committee in its sole discretion. Annual bonuses are typically paid early in the subsequent fiscal year. Except as otherwise provided herein, in order to receive a bonus, you must be
employed by the Company at the time bonuses are being paid. Notwithstanding the foregoing, if your employment with the Company ends on the Scheduled Expiration Date (as defined below), you shall be paid your bonus for the fiscal year ending
June 30, 2021, if any, even if such payment is not made to you prior to the Scheduled Expiration Date, which bonus shall be subject to Company and your business unit performance for that fiscal year as determined by the Company in its sole
discretion, but without adjustment for your individual performance. 
 4. You will also continue, subject to your continued employment by the Company and
actual grant by the Compensation Committee, to participate in such equity and other long-term incentive programs that are made available in the future to similarly situated executives at the Company. It is expected that such awards will consist of
annual grants of cash and/or equity awards with an annual target value of not less than $3,400,000, all as determined by the Compensation Committee in its discretion. All awards described in this Paragraph, in addition to being subject to actual
grant by the Compensation Committee, would be pursuant to the applicable plan document and would be subject to any terms and conditions established by the Compensation Committee 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 
Ms. Andrea Greenberg 
 Page 2 

 

 
in its sole discretion that would be detailed in separate agreements you would receive after any award is actually made; provided, however, that such terms and conditions shall be consistent with
those in awards granted to similarly situated executives. Long-term incentive awards are currently expected to be subject to three-year vesting. 
 5. You
will also continue to be eligible to participate in our standard benefits program, subject to meeting the relevant eligibility requirements, payment of the required premiums, and the terms of the plans themselves. We currently offer medical, dental,
vision, life, and accidental death and dismemberment insurance; short- and long- term disability insurance; a savings and retirement program; and ten paid holidays. You will also continue to be eligible for paid time off to be accrued and used in
accordance with Company policy, which currently allows for time off on a flexible and unlimited basis. 
 6. If your employment with the Company is
terminated on or prior to the third anniversary of the Effective Date (the “Scheduled Expiration Date”) (i) by the Company (other than for “Cause”); or (ii) by you for “Good Reason” (other than if “Cause”
then exists); then, subject to your execution and delivery, within 60 days after the date of termination of your employment, and non-revocation (within any applicable revocation period) of the Separation
Agreement (as defined below), the Company will provide you with the following: 
  

	 	(a)	 Severance in an amount to be determined by the Company (the “Severance Amount”), but in no event less
than two (2) times the sum of your annual base salary and your annual target bonus as in effect at the time your employment terminates. Sixty percent (60%) of the Severance Amount will be payable to you on the
six-month anniversary of the date your employment so terminates (the “Termination Date”) and the remaining forty percent (40%) of the Severance Amount will be payable to you on the twelve-month
anniversary of the Termination Date; 

  

	 	(b)	 Any unpaid annual bonus for the Company’s fiscal year prior to the fiscal year which includes your
Termination Date, and a pro rated bonus based on the amount of your base salary actually earned by you during the Company’s fiscal year through the Termination Date, each of which will be paid to you when such bonuses are generally paid
to similarly situated active executives and will be based on your then current annual target bonus as well as Company and your business unit performance for the applicable fiscal year as determined by the Company in its sole discretion, but without
adjustment for your individual performance; 

  

	 	(c)	 Each of your outstanding long-term cash awards granted under the plans of the Company shall immediately vest in
full and shall be payable to you at the same time as such awards are paid to active executives of the Company and the payment amount of such award shall be to the same extent that other similarly situated active executives receive payment as
determined by the Compensation Committee (subject to satisfaction of any applicable performance criteria but without adjustment for your individual performance); 

 

	 	(d)	 (i) All of the time-based restrictions on each of your outstanding restricted stock or restricted stock unit
awards granted to you under the plans of the Company shall immediately be eliminated, (ii) deliveries with respect to your restricted stock that are not subject to performance criteria or are subject to performance criteria that have previously
been satisfied (as certified by the Compensation Committee) shall be made immediately after the effective date of the Separation Agreement, (iii) payment and deliveries with respect to your restricted stock units that are not subject to
performance criteria or are subject to performance criteria that have previously 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 
Ms. Andrea Greenberg 
 Page 3 

 

	 	
been satisfied (as certified by the Compensation Committee) shall be made on the 90th day after the termination of your employment and
(iv) payments or deliveries with respect to your restricted stock and restricted stock units that are subject to performance criteria that have not yet been satisfied shall be made on the
90th day after the applicable performance criteria is certified by the Compensation Committee as having been satisfied; and 

 

	 	(e)	 Each of your outstanding stock options and stock appreciation awards, if any, under the plans of the Company
shall immediately vest and become exercisable, and you shall have the right to exercise each of those options and stock appreciation awards for the remainder of the term of such option or award. 

(f)      Notwithstanding any provisions of this Paragraph 6 to the contrary, to the extent that (i) any awards granted
prior to the date hereof that are payable under this Paragraph 6 constitute “nonqualified deferred compensation” subject to Section 409A of the Code and any regulations and guidelines promulgated thereunder (collectively,
“Section 409A”); and (ii) accelerated payout pursuant to the terms of this Paragraph 6 of such awards is not permitted by Section 409A, then such awards shall be payable to you at such time as is provided under the terms of
such awards or otherwise in compliance with Section 409A. 
 If you die after a termination of your employment that is subject to this Paragraph 6,
your estate or beneficiaries will be provided with any remaining benefits and rights under this Paragraph 6. 
 7. If you cease to be an employee of the
Company prior to the Scheduled Expiration Date as a result of your death or your Disability (as defined in the Company’s Long Term Disability Plan), and at such time Cause does not exist then, subject (other than in the case of death) to your
execution and delivery, within 60 days after the date of termination of your employment, and non-revocation (within any applicable revocation period) of the Separation Agreement, you or your estate or
beneficiary shall be provided with the benefits and rights set forth in Paragraphs 6(b), (d) and (e) above, and each of your outstanding long-term cash awards granted under the plans of the Company shall immediately vest in full, whether or not
subject to performance criteria and shall be payable on the 90th day after the termination of your employment; provided, that if any such award is subject to any performance criteria, then
(i) if the measurement period for such performance criteria has not yet been fully completed, then the payment amount shall be at the target amount for such award and (ii) if the measurement period for such performance criteria has already
been fully completed, then the payment of such award shall be at the same time and to the extent that other similarly situated executives receive payment as determined by the Compensation Committee (subject to satisfaction of the applicable
performance criteria). 
 8. For purposes hereof, “Separation Agreement” shall mean the Company’s standard severance agreement (modified to
reflect the terms of this Agreement) which will include, without limitation, the provisions set forth in Paragraphs 6, 7 and 9 hereof and Annex A hereto regarding non-compete (limited to one year), non-disparagement, non-hire/non-solicitation, confidentiality (including, without limitation, the last paragraph of Section 3 of
Annex A), and further cooperation obligations and restrictions on you (with Company reimbursement of your associated expenses and payment for your services as described in Annex A in connection with any required post-employment cooperation) as well
as a general release by you of the Company and its affiliates (and their respective directors and officers), but shall otherwise contain no post-employment covenants unless agreed to by you. The Company shall provide you with the form of Separation
Agreement within seven days of your termination of employment. For avoidance of doubt, your rights of indemnification under the Company’s Amended and Restated Certificate of Incorporation, under your indemnification agreement with the Company
and under any insurance policy, or under any other resolution of the Board of Directors of the Company shall not be released, diminished or affected by any Separation Agreement or release or any termination of your employment. 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 Ms. Andrea Greenberg 

Page 4 
  

 9. Except as otherwise set forth in Paragraphs 6 and 7 hereof, in connection with any termination of your
employment, your then outstanding equity and cash incentive awards shall be treated in accordance with their terms and, other than as provided in this Agreement, you shall not be eligible for severance benefits under any other plan, program or
policy of the Company. Nothing in this Agreement is intended to limit any more favorable rights that you may be entitled to under your equity and cash incentive award agreements, including, without limitation, your rights in the event of a
termination of your employment, a “Going Private Transaction” or a “Change of Control” (as those terms are defined in the applicable award agreement). 

10. For purposes of this Agreement, “Cause” means your (i) commission of an act of fraud, embezzlement, misappropriation, willful
misconduct, gross negligence or breach of fiduciary duty against the Company or an affiliate thereof, or (ii) commission of any act or omission that results in a conviction, plea of no contest, plea of nolo contendere, or
imposition of unadjudicated probation for any crime involving moral turpitude or any felony. 
 For purposes of this Agreement, “Good
Reason” means that (1) without your written consent, (A) your annual base salary or annual target bonus (as each may be increased from time to time in the Compensation Committee’s sole discretion) is reduced, (B) your
title (as in effect from time to time) is diminished, (C) you report to someone other than to the Executive Chairman of the Board of the Company, (D) the Company requires that your principal office be located outside of the Borough of
Manhattan, (E) the Company materially breaches its obligations to you under this Agreement; or (F) your responsibilities as in effect immediately after the date hereof are thereafter materially diminished, (2) you have given the
Company written notice, referring specifically to this Agreement and definition, that you do not consent to such action, (3) the Company has not corrected such action within 15 days of receiving such notice, and (4) you voluntarily
terminate your employment with the Company within 90 days following the happening of the action described in subsection (1) above. 
 11. This
Agreement does not constitute a guarantee of employment for any definite period. Your employment is at will and may be terminated by you or the Company at any time, with or without notice or reason. 

12. The Company may withhold from any payment due to you any taxes required to be withheld under any law, rule or regulation. If any payment otherwise due to
you hereunder would result in the imposition of the excise tax imposed by Section 4999 of the Code, the Company will instead pay you either (i) such amount or (ii) the maximum amount that could be paid to you without the imposition of
the excise tax, depending on whichever amount results in your receiving the greater amount of after-tax proceeds. In the event that the payments and benefits payable to you would be reduced as provided in the
previous sentence, then such reduction will be determined in a manner which has the least economic cost to you and, to the extent the economic cost is equivalent, such payments or benefits will be reduced in the inverse order of when the payments or
benefits would have been made to you (i.e. later payments will be reduced first) until the reduction specified is achieved. If the Company elects to retain any accounting or similar firm to provide assistance in calculating any such amounts,
the Company shall be responsible for the costs of any such firm. 
 13. It is intended that this Agreement will comply with Section 409A to the extent
this Agreement is subject thereto, and that this Agreement shall be interpreted on a basis consistent with such intent. If and to the extent that any payment or benefit under this Agreement, or any plan, award or arrangement of the Company or its

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 
Ms. Andrea Greenberg 
 Page 5 

 

 
affiliates, constitutes “non-qualified deferred compensation” subject to Section 409A and is payable to you by reason of your termination of
employment, then (a) such payment or benefit shall be made or provided to you only upon a “separation from service” as defined for purposes of Section 409A under applicable regulations and (b) if you are a “specified
employee” (within the meaning of Section 409A as determined by the Company), such payment or benefit shall not be made or provided before the date that is six months after the date of your separation from service (or your earlier death).
Any amount not paid or benefit not provided in respect of the six month period specified in the preceding sentence will be paid to you, together with interest on such delayed amount at a rate equal to the average of the one-year LIBOR fixed rate equivalent for the ten business days prior to the date of your employment termination, in a lump sum or provided to you as soon as practicable after the expiration of such six month period.
Each payment or benefit provided under this Agreement shall be treated as a separate payment for purposes of Section 409A to the extent Section 409A applies to such payment. 

14. To the extent you are entitled to any expense reimbursement from the Company that is subject to Section 409A, (i) the amount of any such
expenses eligible for reimbursement in one calendar year shall not affect the expenses eligible for reimbursement in any other taxable year (except under any lifetime limit applicable to expenses for medical care), (ii) in no event shall any such
expense be reimbursed after the last day of the calendar year following the calendar year in which you incurred such expense, and (iii) in no event shall any right to reimbursement be subject to liquidation or exchange for another benefit. 

15. The Company will not take any action, or omit to take any action, that would expose any payment or benefit to you to the additional tax of
Section 409A, unless (i) the Company is obligated to take the action under an agreement, plan or arrangement to which you are a party, (ii) you request the action, (iii) the Company advises you in writing that the action may
result in the imposition of the additional tax and (iv) you subsequently request the action in a writing that acknowledges you will be responsible for any effect of the action under Section 409A. The Company will hold you harmless for any
action it may take or omission in violation of this Paragraph 15, including any attorney’s fees you may incur in enforcing your rights. 
 16. It
is our intention that the benefits and rights to which you could become entitled in connection with termination of employment be exempt from or comply with Section 409A. If you or the Company believes, at any time, that any of such benefit or
right is not exempt or does not comply, it will promptly advise the other and will negotiate reasonably and in good faith to amend the terms of such arrangement such that it complies (with the most limited possible economic effect on you and on the
Company). 
 17. This Agreement is personal to you and without the prior written consent of the Company shall not be assignable by you. This Agreement shall
inure to the benefit of and be enforceable by your legal representatives. This Agreement shall inure to the benefit of and be binding upon the Company and its successors and assigns. The rights or obligations of the Company under this Agreement may
only be assigned or transferred pursuant to a merger or consolidation in which the Company is not the continuing entity, or the sale or liquidation of all or substantially all of the assets of Company; provided, however, that the assignee or
transferee is the successor to all or substantially all of the assets of Company and such assignee or transferee assumes the liabilities and duties of Company, as contained in this Agreement, either contractually or as a matter of law. 

18. To the extent permitted by law, you and the Company waive any and all rights to a jury trial with respect to any matter relating to this Agreement
(including the covenants set forth in Annex A hereof). This Agreement will be governed by and construed in accordance with the law of the State of New York applicable to contracts made and to be performed entirely within that State. 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 Ms. Andrea Greenberg 

Page 6 
  

 19. Both the Company and you hereby irrevocably submit to the jurisdiction of the courts of the State of New
York and the federal courts of the United States of America in each case located in the City of New York, Borough of Manhattan, solely in respect of the interpretation and enforcement of the provisions of this Agreement, and each party hereby
waives, and agrees not to assert, as a defense that either party, as appropriate, is not subject thereto or that the venue thereof may not be appropriate. You and the Company each agree that mailing of process or other papers in connection with any
such action or proceeding in any manner as may be permitted by law shall be valid and sufficient service thereof. 
 20. This Agreement may not be amended
or modified otherwise than by a written agreement executed by the parties hereto or their respective successors and legal representatives. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or
enforceability of any other provision of this Agreement. The Company and you have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question of intent or interpretation arises, this Agreement shall
be construed as if drafted jointly by the Company and you and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement. 

21. This Agreement reflects the entire understanding and agreement of you and the Company with respect to the subject matter hereof and supersedes all prior
understandings or agreements relating thereto, including, without limitation, the employment agreement dated September 11, 2015 by and between you and the Company; provided, however, that you shall continue to be entitled to any compensation,
payments or other benefits to which you became entitled prior to the date hereof which have not been paid or delivered to you as of the date hereof (without duplication of any compensation, payment or other benefit payable to you pursuant to this
Agreement). 
 22. This Agreement will automatically terminate, and be of no further force or effect, on the Scheduled Expiration Date; provided, however,
that the provisions of Paragraphs 6 through 9, 12 through 22 and Annex A, and any amounts earned but not yet paid to you pursuant to the terms of this Agreement as of the Scheduled Expiration Date shall survive the termination of the Agreement and
remain binding on you and the Company in accordance with their terms. 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 Ms. Andrea Greenberg 

Page 7 
  

							
		  		  	Sincerely,	  	
				
		  		  	MSG NETWORKS INC.	  	
				
		  		  	 /s/ James L. Dolan
	  	
		  		  	By: James L. Dolan	  	
		  		  	Title: Executive Chairman	  	

  

	
	Accepted and Agreed:
	
	 /s/ Andrea Greenberg

	Andrea Greenberg

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 Ms. Andrea Greenberg 

Page 8 
  

 ANNEX A 

ADDITIONAL COVENANTS 
 (This Annex
constitutes part of the Agreement) 
 You agree to comply with the following covenants in addition to those set forth in the Agreement. 

1. CONFIDENTIALITY 
 You agree to retain in strict confidence and
not divulge, disseminate, copy or disclose to any third party any Confidential Information, other than for legitimate business purposes of the Company and its subsidiaries. As used herein, “Confidential Information” means any non-public information that is material or of a confidential, proprietary, commercially sensitive or personal nature of, or regarding, the Company or any of its subsidiaries or any current or former director,
officer or member of senior management of any of the foregoing (collectively “Covered Parties”). The term Confidential Information includes information in written, digital, oral or any other format and includes, but is not limited to
(i) information designated or treated as confidential; (ii) budgets, plans, forecasts or other financial or accounting data; (iii) customer, broadcast affiliate, fan, vendor, sponsor, marketing affiliate or shareholder lists or data;
(iv) technical or strategic information regarding the Covered Parties’ television, programming, advertising, or other businesses; (v) advertising, sponsorship, business, sales or marketing tactics, strategies or information;
(vi) policies, practices, procedures or techniques; (vii) trade secrets or other intellectual property; (viii) information, theories or strategies relating to litigation, arbitration, mediation, investigations or matters relating to
governmental authorities; (ix) terms of agreements with third parties and third party trade secrets; (x) information regarding employees, talent, agents, consultants, advisors or representatives, including their compensation or other human
resources policies and procedures; (xi) information or strategies relating to any potential or actual business development transactions and/or any potential or actual business acquisition, divestiture or joint venture, and (xii) any other
information the disclosure of which may have an adverse effect on the Covered Parties’ business reputation, operations or competitive position, reputation or standing in the community. 

If disclosed, Confidential Information or Other Information could have an adverse effect on the Company’s standing in the community, its business
reputation, operations or competitive position or the standing, reputation, operations or competitive position of any of its affiliates, subsidiaries, officers, directors, employees, consultants or agents or any of the Covered Parties. 

Notwithstanding the foregoing, the obligations of this section, other than with respect to subscriber information, shall not apply to Confidential Information
which is: 
 a) already in the public domain or which enters the public domain other than by your breach of this Paragraph 1; 

b) disclosed to you by a third party with the right to disclose it in good faith; or 

c) specifically exempted in writing by the Company from the applicability of this Agreement. 

Notwithstanding anything elsewhere in this Agreement, including this Paragraph 1 and Paragraph 3 below, you are authorized to make any disclosure required of
you by any federal, state and local laws or judicial, arbitral or governmental agency proceedings (including making truthful statements in connection with a judicial or arbitral proceeding to enforce your rights under this Agreement, to the extent
reasonably required and made in good 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 
Ms. Andrea Greenberg 
 Page 9 

 

 
faith), after, to the extent legal and practicable, providing the Company with prior written notice and an opportunity to respond prior to such disclosure. In addition, this Agreement in no way
restricts or prevents you from providing truthful testimony concerning the Company to judicial, administrative, regulatory or other governmental authorities. 

2. NON-COMPETE 
 You
acknowledge that due to your executive position in the Company and the knowledge of the Company’s and its affiliates’ confidential and proprietary information which you will obtain during the term of your employment hereunder, your
employment by certain businesses would be irreparably harmful to the Company and/or its affiliates. During your employment with the Company and thereafter through the first anniversary of the date on which your employment with the Company has
terminated for any reason, you agree not to (other than with the prior written consent of the Company), become employed by, advise, consult, have any material interest in or otherwise perform services for any Competitive Entity (as defined below). A
“Competitive Entity” shall mean any (A) (i) regional sports network that operates primarily in New York, New Jersey or Connecticut, or (ii) national sports television (e.g., ESPN) or national “over-the-top” sports network in the United States, or (B) affiliate of any person or entity that operates any of the types of businesses described in clause (A) above, provided
that you may become employed or otherwise provide services to such an affiliate of a Competitive Entity, so long as (x) your services are neither provided to, nor substantially benefit, such Competitive Entity described in clause (A) and
(y) the affiliate is not a direct or indirect parent company of the Competitive Entity described in clause (A) if the Competitive Entity subsidiary constitutes more than 30% of the total revenue of the parent company consolidated family of
companies. Additionally, the ownership by you of not more than 1% of the outstanding equity of any publicly traded company shall not, by itself, be a violation of this Paragraph. 

3. ADDITIONAL UNDERSTANDINGS 
 You agree, for yourself and others
acting on your behalf, that you (and they) have not disparaged and will not disparage, make negative statements about (either “on the record” or “off the record”) or act in any manner which is intended to or does damage to the
good will of, or the business or personal reputations of the Company or any of its affiliates or any of their respective incumbent or former officers, directors, agents, consultants, employees, successors and assigns or any of the Covered Parties.

 The Company agrees that, except as necessary to comply with applicable law or the rules of the New York Stock Exchange or any other stock exchange on
which the Company’s stock may be traded (and any public statements made in good faith by the Company in connection therewith), it and its corporate officers and directors, employees in its public relations department or third party public
relations representatives retained by the Company will not disparage you or make negative statements in the press or other media which are damaging to your business or personal reputation. In the event that the Company so disparages you or makes
such negative statements, then notwithstanding the “Additional Understandings” provision to the contrary, you may make a proportional response thereto. 

In addition, you agree that the Company is the owner of all rights, title and interest in and to all documents, tapes, videos, designs, plans, formulas,
models, processes, computer programs, inventions (whether patentable or not), schematics, music, lyrics and other technical, business, financial, advertising, sales, marketing, customer or product development plans, forecasts, strategies,
information and materials (in any medium whatsoever) developed or prepared by you or with your cooperation in connection with your employment by the Company (the “Materials”). The Company will have the sole and exclusive authority to use
the Materials in any manner that it deems appropriate, in perpetuity, without additional payment to you. 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 Ms. Andrea Greenberg 

Page 10 
  

 If requested by the Company, you agree to deliver to the Company upon the termination of your employment, or
at any earlier time the Company may request, all memoranda, notes, plans, files, records, reports, and software and other documents and data (and copies thereof regardless of the form thereof (including electronic copies)) containing, reflecting or
derived from Confidential Information or the Materials of the Company or any of its affiliates which you may then possess or have under your control. If so requested, you shall provide to the Company a signed statement confirming that you have fully
complied with this Paragraph. Notwithstanding the foregoing, you shall be entitled to retain your contacts, calendars and personal diaries and any materials needed for your tax return preparation or related to your compensation. 

In addition, you agree for yourself and others acting on your behalf, that you (and they) shall not, at any time, participate in any way in the writing or
scripting (including, without limitation, any “as told to” publications) of any book, periodical story, movie, play, or other similar written or theatrical work or video that (i) relates to your services to the Company or any of its
affiliates or (ii) otherwise refers to the Company or its respective businesses, activities, directors, officers, employees or representatives (other than identifying your biographical information), without the prior written consent of the
Company. 
 4. FURTHER COOPERATION 
 Following the date of
termination of your employment with the Company (the “Expiration Date”), you will no longer provide any regular services to the Company or represent yourself as a Company agent. If, however, the Company so requests, you agree to cooperate
fully with the Company in connection with any matter with which you were involved prior to the Expiration Date, or in any litigation or administrative proceedings or appeals (including any preparation therefore) where the Company believes that your
personal knowledge, attendance and participation could be beneficial to the Company. This cooperation includes, without limitation, participation on behalf of the Company in any litigation or administrative proceeding brought by any former or
existing Company employees, representatives, agents or vendors. The Company will pay you for your services rendered under this provision at the rate of $7,700 per day for each day or part thereof, within 30 days of the approval of the invoice
therefor. 
 The Company will provide you with reasonable notice in connection with any cooperation it requires in accordance with this section and will
take reasonable steps to schedule your cooperation in any such matters so as not to materially interfere with your other professional and personal commitments. The Company will reimburse you for any reasonable out-of-pocket expenses you reasonably incur in connection with the cooperation you provide hereunder as soon as practicable after you present appropriate documentation evidencing such expenses. You agree to
provide the Company with an estimate of such expense before you incur the same. 
 5. NON-HIRE OR SOLICIT 

You agree not to hire, seek to hire, or cause any person or entity to hire or seek to hire (without the prior written consent of the Company), directly or
indirectly (whether for your own interest or any other person or entity’s interest) any person who is or was in the prior six months an employee of the Company, or any of its subsidiaries, until the first anniversary of the date of your
termination of employment with the Company. This restriction does not apply to any former employee who was discharged by the Company or any of its affiliates. 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001 

 
Ms. Andrea Greenberg 
 Page 11 

 

 In addition, this restriction will not prevent you from providing references. If you remain continuously
employed with the Company through the Scheduled Expiration Date, then this agreement not to hire or solicit will expire on the Scheduled Expiration Date. 

6. ACKNOWLEDGMENTS 
 You acknowledge that the restrictions
contained in this Annex A, in light of the nature of the Company’s business and your position and responsibilities, are reasonable and necessary to protect the legitimate interests of the Company. You acknowledge that the Company has no
adequate remedy at law and would be irreparably harmed if you breach or threaten to breach the provisions of this Annex A, and therefore agree that the Company shall be entitled to injunctive relief, to prevent any breach or threatened breach of any
of those provisions and to specific performance of the terms of each of such provisions in addition to any other legal or equitable remedy it may have. You further agree that you will not, in any equity proceeding relating to the enforcement of the
provisions of this Annex A, raise the defense that the Company has an adequate remedy at law. Nothing in this Annex A shall be construed as prohibiting the Company from pursuing any other remedies at law or in equity that it may have or any other
rights that it may have under any other agreement. If it is determined that any of the provisions of this Annex A or any part thereof, is unenforceable because of the duration or scope (geographic or otherwise) of such provision or because of
applicable rules of professional responsibility, it is the intention of the parties that the duration or scope of such provision, as the case may be, shall be reduced so that such provision becomes enforceable and, in its reduced form, such
provision shall then be enforceable and shall be enforced. 
 7. SURVIVAL 

The provisions of this Annex A shall survive any termination of your employment by the Company or the expiration of the Agreement except as otherwise provided
herein. 

  
 MSG Networks Inc. 

ELEVEN PENNSYLVANIA PLAZA – 3rd Floor, NEW YORK, NY 10001

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