Document:

EX-10.15

 Exhibit 10.15 

Execution Version 

LEASE AGREEMENT 
 (ERCOT
TRANSMISSION ASSETS) 
 between 

SHARYLAND DISTRIBUTION & TRANSMISSION SERVICES, L.L.C. 

and 
 SHARYLAND
UTILITIES, L.P. 
 as of December 1, 2014 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
	ARTICLE I LEASE	  	 	1	  
			
	 1.1.
	 	 Lease of ERCOT Transmission Assets
	  	 	1	  
	 1.2.
	 	 Exclusive Rights
	  	 	3	  
	 1.3.
	 	 Absolute Net Lease
	  	 	3	  
	 1.4.
	 	 Waiver by Lessee
	  	 	3	  
	 1.5.
	 	 Quiet Enjoyment
	  	 	3	  
		
	ARTICLE II TERM OF LEASE	  	 	4	  
			
	 2.1.
	 	 Term
	  	 	4	  
	 2.2.
	 	 Approvals upon Expiration or Termination
	  	 	4	  
	 2.3.
	 	 Purchase Option upon Expiration or Termination
	  	 	4	  
		
	ARTICLE III RENT	  	 	5	  
			
	 3.1.
	 	 Rent
	  	 	5	  
	 3.2.
	 	 Rent Supplements
	  	 	8	  
	 3.3.
	 	 Confirmation of Percentage Rent
	  	 	10	  
	 3.4.
	 	 Additional Rent
	  	 	11	  
	 3.5.
	 	 No Set Off
	  	 	12	  
	 3.6.
	 	 Late Payment Penalty
	  	 	12	  
	 3.7.
	 	 Credit Support
	  	 	12	  
	 3.8.
	 	 Other Revenue
	  	 	12	  
		
	ARTICLE IV LESSEE’S REPRESENTATIONS, WARRANTIES AND COVENANTS	  	 	12	  
			
	 4.1.
	 	 Maintenance, Operation and Repair of the ERCOT Transmission Assets
	  	 	12	  
	 4.2.
	 	 Licenses and Permits
	  	 	13	  
	 4.3.
	 	 Property Taxes, and other Assessments and Fees
	  	 	13	  
	 4.4.
	 	 Requirements of Governmental Agencies and Regulatory Authorities
	  	 	13	  
	 4.5.
	 	 Liens
	  	 	14	  
	 4.6.
	 	 Hazardous Materials
	  	 	14	  
	 4.7.
	 	 Indebtedness
	  	 	15	  
	 4.8.
	 	 Records
	  	 	15	  
	 4.9.
	 	 Surrender
	  	 	15	  
	 4.10.
	 	 Cooperation; Transition Services
	  	 	16	  
	 4.11.
	 	 Lessee’s Authority
	  	 	16	  
	 4.12.
	 	 Litigation
	  	 	16	  
	 4.13.
	 	 Financing
	  	 	17	  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 i 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
	ARTICLE V LESSOR’S REPRESENTATIONS, WARRANTIES AND COVENANTS	  	 	18	  
			
	 5.1.
	 	 Lessor’s Authority
	  	 	18	  
	 5.2.
	 	 Liens and Tenants
	  	 	18	  
	 5.3.
	 	 Condition of Assets
	  	 	19	  
	 5.4.
	 	 Requirements of Governmental Agencies
	  	 	19	  
	 5.5.
	 	 Hazardous Materials
	  	 	19	  
	 5.6.
	 	 Litigation
	  	 	19	  
	 5.7.
	 	 Limitation
	  	 	19	  
		
	ARTICLE VI LOSS AND DAMAGE; INSURANCE	  	 	20	  
			
	 6.1.
	 	 Loss and Damage to the ERCOT Transmission Assets
	  	 	20	  
	 6.2.
	 	 Insurance
	  	 	20	  
		
	ARTICLE VII REPORTING	  	 	21	  
			
	 7.1.
	 	 Private Financing Arrangements
	  	 	21	  
	 7.2.
	 	 Public Company and Regulatory Information and Cooperation
	  	 	22	  
	 7.3.
	 	 Mutual Obligations
	  	 	23	  
		
	ARTICLE VIII ASSIGNMENT	  	 	23	  
		
	ARTICLE IX DEFAULT	  	 	24	  
			
	 9.1.
	 	 Lessee Default
	  	 	24	  
	 9.2.
	 	 Lessor Default
	  	 	25	  
	 9.3.
	 	 Right to Cure
	  	 	25	  
	 9.4.
	 	 Remedies
	  	 	25	  
		
	ARTICLE X CAPITAL EXPENDITURES	  	 	26	  
			
	 10.1.
	 	 Capital Expenditures Generally
	  	 	26	  
	 10.2.
	 	 Capital Expenditures Funded by Lessor
	  	 	26	  
	 10.3.
	 	 Capital Expenditures Funded by Lessee
	  	 	27	  
	 10.4.
	 	 Footprint Project Construction Activities
	  	 	27	  
	 10.5.
	 	 Ownership of Footprint Projects
	  	 	27	  
	 10.6.
	 	 Asset Acquisitions
	  	 	28	  
	 10.7.
	 	 Reimbursements
	  	 	28	  
		
	ARTICLE XI REGULATORY COOPERATION	  	 	28	  
			
	 11.1.
	 	 Jurisdiction
	  	 	28	  
	 11.2.
	 	 Cooperation
	  	 	29	  
		
	ARTICLE XII INDEMNITY	  	 	29	  
			
	 12.1.
	 	 General Indemnity
	  	 	30	  
	 12.2.
	 	 Environmental Indemnity
	  	 	30	  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 ii 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
	ARTICLE XIII MISCELLANEOUS	  	 	30	  
			
	 13.1.
	 	 Limitation of Damages
	  	 	30	  
	 13.2.
	 	 Condemnation
	  	 	30	  
	 13.3.
	 	 Confidentiality
	  	 	31	  
	 13.4.
	 	 Successors and Assigns
	  	 	31	  
	 13.5.
	 	 Rent Obligations Not Excused by Force Majeure, Etc.
	  	 	31	  
	 13.6.
	 	 Further Assurances; Policies and Procedures
	  	 	31	  
	 13.7.
	 	 Arbitration
	  	 	32	  
	 13.8.
	 	 Notices
	  	 	33	  
	 13.9.
	 	 Entire Agreement; Amendments
	  	 	34	  
	 13.10.
	 	 Legal Matters
	  	 	34	  
	 13.11.
	 	 Partial Invalidity
	  	 	34	  
	 13.12.
	 	 Recording
	  	 	34	  
	 13.13.
	 	 Intention of Parties; True Lease
	  	 	34	  

 APPENDICES: 
 Appendix A
— Definitions 
 EXHIBITS: 
 Exhibit A —
Subordinated Debt Terms 
 Exhibit B — Insurance 

SCHEDULES: 
 Schedule 3.2(b)     Form
– Rent Supplement 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 iii 

 LEASE AGREEMENT 

(ERCOT TRANSMISSION ASSETS) 

This LEASE AGREEMENT (ERCOT TRANSMISSION ASSETS) (this “Agreement”) is entered into on December 1, 2014 (the
“Effective Date”), between Sharyland Distribution & Transmission Services, L.L.C. (together with its transferees, successors and assigns, “Lessor”), and Sharyland Utilities, L.P. (together with its
transferees, successors and assigns, “Lessee”), and in connection herewith, Lessor and Lessee agree, covenant and contract as set forth in this Agreement. Lessor and Lessee are sometimes referred to in this Agreement as a
“Party” or collectively as the “Parties”. 
 Certain capitalized terms used in this Agreement have
the meaning assigned to them in Appendix A attached hereto. 
 WITNESSETH: 

WHEREAS, Lessor owns certain transmission assets in Texas referred to as the AJ Swope substation and may acquire or build additional
transmission assets in Texas that are subject to the jurisdiction of ERCOT; and 
 WHEREAS, Lessor and Lessee wish to enter into a lease
agreement covering the AJ Swope substation and, in the future, to enter into lease agreements covering Footprint Projects that add, expand or alter transmission assets identified from time to time pursuant to Rent Supplements; 

NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration, the receipt of which is hereby acknowledged,
the Parties hereto hereby enter into this Agreement as follows: 
 ARTICLE I 

LEASE 
 1.1.
Lease of ERCOT Transmission Assets. 
 (a) Upon the terms and conditions set forth in this Agreement, Lessor hereby grants to
Lessee the exclusive right to use and operate the ERCOT Transmission Lease Assets. Subject to necessary regulatory approvals and the penultimate sentence of this Section 1.1, this Agreement is intended by Lessor and Lessee to be a master lease
of the ERCOT Transmission Lease Assets, as they exist as of the Effective Date, and as they may be altered or expanded thereafter by Footprint Projects in which Lessor has an interest or by other additions of assets to this Agreement as Footprint
Projects pursuant to Rent Supplements. 
 (b) The ERCOT Transmission Assets shall consist of (x) the original assets leased by Lessor to
Lessee as of the Effective Date, (y) assets that constitute Footprint Projects, other than any such Footprint Projects funded by Lessee pursuant to Section 10.3, and (z) any components of the ERCOT Transmission Assets that are
repaired or replaced pursuant to Section 6.1. The ERCOT Transmission Assets shall consist of each of the following components which are owned by Lessor as of the Effective Date (or that are described within clause (y) or clause
(z) above) and that are part of the AJ Swope Substation or that are added to this Agreement as Footprint Projects pursuant to Rent Supplements: 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

 (i) towers and poles affixed to the land, and all necessary and proper
foundations, footings, crossarms and other appliances and fixtures for use in connection with said towers, poles and lines; 

(ii) overhead, underground and underwater electrical distribution, transmission and communications lines, together with related
ductwork and insulators; 
 (iii) electric substation and switching facilities, including all associated transformers,
circuit breakers, resistors, capacitors, buses, interconnection and switching facilities, control and protection equipment which monitors the ERCOT Transmission Assets, and the building housing the foregoing items; 

(iv) electric meters required to operate the ERCOT Transmission Assets; 

(v) all facilities associated with HVDC Ties, including AC/DC converter stations; 

(vi) real estate assets, including real property, interests in real property or real property rights (as defined in
Section 856(c)(5)(B) of the Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder, and not otherwise included in Sections 1.1(b)(i) – 1.1(b)(v) above) owned or leased by Lessor; or 

(vii) all other systems or property owned or leased by Lessor, as identified in the uniform system of accounts for major
electric utilities, 18 C.F.R. Part 101, as adopted and amended from time to time by FERC (not otherwise included in Sections 1.1(b)(i) – 1.1(b)(vi) above). 

The ERCOT Transmission Assets exclude, for the avoidance of doubt, (a) the Transmission Operation Center and the transmission and
distribution related assets included in the Backup Operations Center located in Amarillo, Texas, which are currently owned by Lessor and leased to Lessee pursuant to the McAllen Lease, (b) the transmission assets currently located in the
Stanton/Brady/Celeste service territory, owned by Lessor and leased to Lessee pursuant to the Stanton/Brady/Celeste Lease, (c) the transmission assets currently located in Mission, Texas (Railroad Tie) owned by Lessor and leased to Lessee
pursuant to the McAllen Lease, (d) the 138kv loop transmission assets located near Stanton, Texas owned by Lessor and leased to Lessee under the Stanton Transmission Loop Lease, and (e) certain transmission assets located in the Texas
Panhandle and owned by Sharyland Projects, L.L.C., a subsidiary of Lessor, and leased to Lessee under the CREZ Lease. Notwithstanding anything to the contrary in this Agreement, the parties do not intend or agree to enter into a lease with respect
to any Footprint Project or other alteration, expansion or addition to the ERCOT Transmission Assets (and the Lessee shall not be authorized to use or operate such Footprint Project, alteration, expansion or addition to the ERCOT Transmission
Assets) unless and until such time as the parties first execute a Rent Supplement for the underlying Footprint Project and such Footprint Project is placed in service, and such Rent Supplement together with this Agreement shall be treated as a

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 2 

 
new lease with respect to such Footprint Project. The parties further agree and acknowledge that a Rent Supplement will be executed with respect to each Footprint Project before such Footprint
Project is placed in service, and references in this Agreement to “ERCOT Transmission Assets” rely on the assumption that this is the case. 

1.2. Exclusive Rights. Throughout the Term of this Agreement, Lessee shall have the exclusive right
(i) to operate and use the ERCOT Transmission Lease Assets for the transmission of electricity in accordance with applicable rules and regulations of all regulatory agencies having regulatory jurisdiction over the ERCOT Transmission Assets,
including without limitation, PUCT, TRE, NERC and other Regulatory Authorities, and (ii) to utilize the ERCOT Transmission Lease Assets (and the associated easements, rights of way and similar rights) for other opportunities and uses (provided
that such other uses do not interfere with the current or future transmission and delivery of electricity), subject to the approval of the Lessor, such approval not to be unreasonably withheld, conditioned or delayed. Throughout the Term of this
Agreement, Lessor shall have access to the ERCOT Transmission Assets at all reasonable times for purposes of inspection and for the purposes of improving, expanding or modernizing the ERCOT Transmission Assets in accordance with Article X. Except in
the case of emergency, prior to Lessor’s access of the ERCOT Transmission Assets, Lessor will provide written notification to Lessee’s operations personnel. 

1.3. Absolute Net Lease. This Agreement is intended by the Parties to be an absolute net lease (and, except
as otherwise specified herein, the expenses associated with the lease, servicing, insuring, maintenance, repair and operation of the ERCOT Transmission Assets shall be for the account of the Lessee, unless expressly stated that such expenses are for
the account of Lessor or some other person or entity). Other than as expressly provided herein, (a) Lessee’s obligation to make all payments of Rent as and when the same shall become due and payable in accordance with the terms of this
Agreement shall be absolute, irrevocable and unconditional and shall not be affected by any circumstance or subject to any abatement or diminution by set-off, deduction, counterclaim, recoupment, agreement, defense, suspension, deferment,
interruption or otherwise, and (b) until such time as all Rent required to be paid has been paid, Lessee shall have no right to terminate this Agreement or to be released, relieved or discharged from its obligation to make, and shall not
suspend or discontinue, any payment of Rent for any reason whatsoever.  
 1.4. Waiver by
Lessee. Lessee hereby waives, to the extent permitted by Applicable Law, any and all rights which it may now have or which at any time hereafter may be conferred upon it, by statute or otherwise, to modify, terminate, cancel, quit or
surrender this Agreement except in accordance with the express terms hereof. 
 1.5. Quiet
Enjoyment. Lessee shall be entitled to the peaceful and quiet enjoyment of the ERCOT Transmission Assets, subject to the terms of this Agreement, so long as Lessee is not in default of this Agreement beyond applicable notice and cure
periods. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 3 

 ARTICLE II 

TERM OF LEASE 

2.1. Term. Subject to the provisions of Section 2.2 of this Agreement, or as otherwise stated
herein, this Agreement is effective on the Effective Date and shall continue through December 31, 2022 unless otherwise terminated in a manner consistent herewith (the “Initial Term”). Thereafter,
this Agreement may be renewed for subsequent terms (each, a “Renewal Term” and, collectively with the Initial Term, the “Term”) by mutual agreement of the
Parties; provided, however, that the Rent for any Renewal Term shall be targeted to provide the Lessor with a Comparable Rate of Return on the then-current Rate Base of the ERCOT Transmission Assets. 

2.2. Approvals upon Expiration or Termination.  

(a) Notwithstanding any provisions to the contrary herein, Lessee shall not surrender, resign, transfer, assign or otherwise cease to be the
operator of the ERCOT Transmission Assets at any time, including upon the termination of this Agreement or at the expiration of the Term, without first acquiring any necessary regulatory approvals from the PUCT or other Regulatory Authorities
regarding such surrender, resignation, transfer, assignment or cessation of such operatorship; provided that, in the event of expiration or termination, the Parties shall use commercially reasonable efforts to obtain all necessary regulatory
approvals of the transfer of such operatorship as soon as reasonably practicable. 
 (b) During such extended period of operatorship, Lessee
shall continue to operate the ERCOT Transmission Assets and shall continue to pay all Extended Period Rent; provided, however, that if regulatory approval is not obtained within twelve (12) months of initiation of the approval process and such
delay is (a) due to Lessor’s failure to reasonably pursue such approval, then the amounts payable as Rent will be eighty percent (80%) of such amount, or (b) due to Lessee’s failure to reasonably pursue such approval, then
the amounts payable as Rent will be one hundred five percent (105%) of such amount. 
 (c) Upon the expiration of the Term or
termination of this Agreement, Lessee shall use commercially reasonable efforts to obtain all necessary regulatory approvals as soon as reasonably practicable from the PUCT or other Regulatory Authorities to transfer or assign the CCNs for the ERCOT
Transmission Assets to Lessor or a third party designated by Lessor and acceptable to the PUCT or other Regulatory Authorities. 

2.3. Purchase Option upon Expiration or Termination. Upon the expiration of the Term or termination
of this Agreement, Lessor shall have the option to purchase from Lessee any equipment or other property, tangible or intangible, owned by Lessee and principally used in connection with and necessary for the operation of the ERCOT Transmission Assets
(including any Nonseverable Footprint Projects owned by Lessee, if any), subject to any required regulatory approvals. The purchase price for such property or equipment shall be the greater of (i) the net book value thereof plus 10% and
(ii) the fair market value thereof as determined by mutual agreement of Lessor and Lessee. If the Parties fail to agree on the amount of the purchase price, the purchase price shall be determined by arbitration pursuant to Section 13.7. In
the event Lessor purchases such equipment, Lessee shall have the right to continue to use such equipment for no cost during the period of any extended operations by Lessee under Section 2.2. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 4 

 ARTICLE III 

RENT 
 3.1.
Rent. Lessee will pay to Lessor in lawful money of the United States of America which shall be legal tender for the payment of public and private debts, at Lessor’s address set forth in Section 13.8 hereof or at such
other place or to such other Person, as Lessor from time to time may designate in a Notice, all Rent contemplated hereby during the Term on the basis hereinafter set forth. If there is a dispute as to the amount of Rent to be paid by Lessee, either
Party may submit the dispute to arbitration pursuant to Section 13.7. However, Lessee shall be required to pay, as and when Rent is due and payable hereunder, the Undisputed Rent until such time as the dispute is resolved by agreement between
the Parties or by arbitration pursuant to Section 13.7. 
 (a) Base Rent: Lessee will pay Lessor an amount of base rent equal
to the amount set forth on the then-effective Rent Supplement, which shall be payable monthly in arrears 45 days after the conclusion of the month. The amount of base rent owed pursuant to this Section 3.1(a) may be supplemented by the Parties
from time to time in accordance with Section 3.2. The amount of base rent payable pursuant to this Section 3.1(a), as supplemented from time to time pursuant to Section 3.2, is referred to as “Base Rent.” 

(b) Percentage Rent: In addition to the Base Rent set forth above, Lessee covenants and agrees to pay to Lessor, as percentage rent, an
annual amount equal to the percent of Gross Revenues during the applicable Lease Year in excess of the Annual Percentage Rent Breakpoint for such Lease Year, all as set forth on the then-effective Rent Supplement. The percentage amounts used for the
calculation of percentage rent owed pursuant to this Section 3.1(b) (the “Percentage Rent Percentages”) may be supplemented by the Parties from time to time in accordance with Section 3.2 to account for additions to the
ERCOT Transmission Assets. The percentage rent payable pursuant to this Section 3.1(b), as supplemented from time to time pursuant to Section 3.2, is referred to as “Percentage Rent.” 

(c) Percentage Rent Breakpoints: With respect to the Annual Percentage Rent Breakpoint for each Lease Year: (1) the “First
Lease Quarter Percentage Rent Breakpoint” shall be 25% of the Annual Percentage Rent Breakpoint for such Lease Year; (2) the “Second Lease Quarter Percentage Rent Breakpoint” shall be 50% of the Annual Percentage Rent
Breakpoint for such Lease Year; and (3) the “Third Lease Quarter Percentage Rent Breakpoint” shall be 75% of the Annual Percentage Rent Breakpoint for such Lease Year. 

(d) Gross Revenues: 
 (i)
As used in this Agreement, subject to Section 3.1(d)(ii), the “Gross Revenues” of the ERCOT Transmission Assets shall mean and include all fees, charges and other revenues generated by or otherwise (x) received by or
payable to Lessee in connection with or which are the result of the operation of the ERCOT Transmission Assets (and any assets related to the ERCOT Transmission Assets owned by Lessee), as set forth in the FERC Uniform System of Accounts for
electric utilities or such other accounts as may be applicable from time to time in which Lessee records its revenues from operation of the ERCOT Transmission Assets; (y) received by or payable to Lessee from other opportunities and uses of the
ERCOT Transmission  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 5 

 
Assets pursuant to Section 1.2 hereof; or (z) that are insurance proceeds for business income lost from an insured event related to the ERCOT Transmission Assets; provided that,
“Gross Revenues” shall not include (1) any payment received by Lessee as CIAC; (2) any items which are of a pure pass-through nature where such items are charged to and collected from customers of Lessee but which carry
regulatory responsibility to remit such collections without offset or deduction to a third party, including, but not limited to, items such as: (A) sales taxes or other charges collected by Lessee on behalf of a taxing authority; (B) fees,
charges and other revenues collected by Lessee that can be specifically traced to any regulatory approved costs incurred by Lessee that have been ordered or permitted by the PUCT to be recovered through Lessee’s rates such as system benefit
funds; (C) fees, charges and other revenues collected by Lessee that can be specifically traced to any deferred costs funded by Lessee that have been ordered or permitted by the PUCT to be recovered through a tariff rider; and (D) such
other items that Lessor and Lessee agree to in good faith are consistent with the foregoing and should be included prospectively in the list set forth in this clause (2) and in the event the Lessor and Lessee cannot agree on what items should
be included on such list after 60 days of negotiating in good faith, then either Lessor or Lessee may submit such matter to arbitration pursuant to Section 13.7 of this Agreement, pursuant to which the Arbitration Panel shall be empowered to
determine which such items shall be included on such list, based on submissions by each of the Lessee and the Lessor; and (3) Revenues Attributable to Lessee CapEx. The term “Unadjusted Gross Revenues” means the amount of Gross
Revenue, calculated in accordance with this Section 3.1(d)(i), without giving effect to the offset set forth in clause 3 above, related to Revenues Attributable to Lessee CapEx. 

(ii) Except as set forth below, all ERCOT Transmission Revenues will be allocated to the ERCOT Transmission Assets covered by this
Agreement based upon the following formula: Multiply (x) total ERCOT Transmission Revenues received by Lessee by (y) a fraction, the numerator of which is the Transmission Net Plant in Service for the ERCOT Transmission Assets covered by
this Agreement and the denominator of which is the total Transmission Net Plant in Service for all regulated electric transmission systems owned by Lessor or an affiliate thereof and operated by Lessee or a subsidiary thereof within ERCOT (the
“TCOS Allocation”). As of the Effective Date, all regulated electric transmission systems operated by Lessee or a subsidiary thereof within ERCOT are owned by Lessor or a subsidiary or parent entity thereof. As long as that is the
case, Transmission Net Plant in Service and Transmission Gross Plant in service shall be derived exclusively from the financial statements of Lessor and agreed to by Lessee. If Lessee operates any electric transmission systems within ERCOT that are
not leased from Lessor or an affiliate thereof, then the Parties will negotiate in good faith an equitable and appropriate mechanism for allocating ERCOT Transmission Revenues based on the Transmission Net Plant in Service of the respective electric
transmission systems and in the event the Parties cannot agree on an equitable and appropriate mechanism after 60 days of negotiating in good faith, then either Party may submit such matter to arbitration pursuant to Section 13.7 of this
Agreement, pursuant to which the Arbitration Panel shall be empowered to determine such equitable and appropriate TCOS mechanism, based on submissions by each of the Lessee and the Lessor. The most recent TCOS Allocation agreed to by Lessor and
Lessee will govern the allocation described in this Section 3.1(d)(ii), which TCOS Allocation may be set forth in a Rent Supplement but will not be required to be included in a Rent Supplement to be effective. Either Party may request a
revision to such TCOS Allocation, based on the most recent available monthly balance sheet, no more frequently than once every sixty (60) days or in  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 6 

 
connection with any Rent Supplement or Rent Validation executed and delivered by the Parties. If the Parties are unable to agree to an allocation, such matter will be submitted to arbitration
pursuant to Section 13.7. “Gross Revenues,” for purposes hereof, will consist of the amount of such ERCOT Transmission Revenues allocated to the ERCOT Transmission Assets pursuant to this Section 3.1(d)(ii), plus any other
amounts that constitute Gross Revenues pursuant hereto, minus Revenues Attributable to Lessee CapEx. As of the date hereof, the Parties do not expect that any Lessee Revenue, other than ERCOT Transmission Revenues, will be allocated to the ERCOT
Transmission Assets and constitute Gross Revenues hereunder. 
 (iii) The Parties contemplate that there may be Capital Expenditures
for assets that are placed in service and that are related and fairly allocable to the ERCOT Transmission Assets and are classified as Lessee CapEx. Unless the Parties agree otherwise based on appropriate factors at the time of the negotiation,
Capital Expenditures that qualify as Lessee CapEx will qualify as Lessee CapEx on the date that the assets developed with such Capital Expenditures are placed in service. In such a case, Revenues Attributable to Lessee CapEx shall be determined and
such portion shall be subtracted from Unadjusted Gross Revenues in order to calculate Gross Revenues. For these purposes, Revenues Attributable to Lessee CapEx shall be targeted to equal that portion of the Unadjusted Gross Revenues collected by
Lessee which equals the amount needed to provide Lessee with the equivalent of a Comparable Rate of Return on any such Lessee CapEx (except that, in determining such Comparable Rate of Return, the Parties will not consider Lessee’s
creditworthiness and there will be no Agreed-to-Discount). It is understood and agreed that such determinations of the Revenues Attributable to Lessee CapEx are intended to provide an accurate and reasonably administrable means of ensuring that the
Lessee (and not the Lessor) will receive a Comparable Rate of Return attributable to the capital invested by Lessee in the Lessee CapEx. The Revenues Attributable to Lessee CapEx shall be determined solely to provide a Comparable Rate of Return on
such Lessee CapEx and shall not be determined with reference to, or with any intention to true up, the effect of any difference between the initially anticipated and the actual return of or on prior Lessee CapEx. The Parties understand that there
may be Capital Expenditures that relate to both the ERCOT Transmission Assets and to other transmission and/or distribution systems owned or operated by Lessee or an affiliate thereof, and, in such circumstance, the Parties will negotiate in good
faith to determine the portion of such Capital Expenditures that constitute Lessee CapEx hereunder and in the event the Parties cannot determine such portion after 60 days of negotiating in good faith, then either Party may submit such matter to
arbitration pursuant to Section 13.7 of this Agreement, pursuant to which the Arbitration Panel shall be empowered to determine such portion of Capital Expenditures that constitute Lessee CapEx hereunder, based on submissions by each of the
Lessee and the Lessor. Lessee agrees to provide Lessor with sufficient information regarding Lessee CapEx so that Lessor can monitor amounts actually spent on Lessee CapEx. If Lessee expects there will be any Lessee CapEx, Lessee may request, no
more frequently than annually, that the Parties determine the Revenues Attributable to Lessee CapEx which relate to such Lessee CapEx for each subsequent Lease Year. Lessee will use reasonable efforts to make such request coincide with a Rent
Supplement pursuant to Section 3.2(a). Each supplement and related determination of Revenues Attributable to Lessee CapEx for any Lease Year which is specified in this Section 3.1(d)(iii) shall be memorialized in the manner specified in
Section 3.2(b). 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 7 

 (e) Payment of Percentage Rent: Percentage Rent shall be paid by Lessee to Lessor not later than
the date forty-five (45) days after the end of each Lease Quarter as herein provided. Lessee shall record Gross Revenues in order to provide an audit trail for the Gross Revenues. Lessee shall deliver a written statement to Lessor, accompanied
by a CFO Certificate, within forty-five (45) days after the end of each Lease Quarter, stating (1) the Gross Revenues for that Lease Quarter, (2) the cumulative total through the end of that Lease Quarter of Gross Revenues for such
Lease Year, (3) the Percentage Rent Breakpoint (the First Lease Quarter Percentage Rent Breakpoint, the Second Lease Quarter Percentage Rent Breakpoint, the Third Lease Quarter Percentage Rent Breakpoint or the Annual Percentage Rent Breakpoint
for such Lease Year, as applicable), utilized by Lessee and applicable to Lessee’s calculation of Percentage Rent through the end of that Lease Quarter, and (4) the cumulative total of any Percentage Rent then due and the cumulative total
of any Percentage Rent previously paid with respect to any prior Lease Quarter(s) within such Lease Year. If such CFO Certificate indicates that any Percentage Rent is due for such Lease Quarter (or such Lease Year, as applicable), based upon the
cumulative total of Gross Revenues through the end of such Lease Quarter and the applicable Percentage Rent Breakpoint reflected in such statement, then Lessee shall pay and deliver any Percentage Rent then due with the statement and CFO Certificate
for such Lease Quarter (or such Lease Year, as applicable). With respect to the final Percentage Rent calculation for any Lease Year, Lessee shall receive a credit for any Percentage Rent previously paid with respect to such Lease Year. If the
Percentage Rent payments previously made by Lessee to Lessor for the first three Lease Quarters of a Lease Year, on a cumulative basis, exceed the annual amount of Percentage Rent payable by Lessee to Lessor for such Lease Year, then Lessee shall
receive a credit for such excess amount against the next Percentage Rent payment(s) becoming due and payable by Lessee to Lessor under this Agreement. All statements deliverable by Lessee to Lessor under this Agreement shall be delivered to the
place where rent is then payable, or to such other place or places as Lessor may from time to time direct by written notice to Lessee. 

3.2. Rent Supplements. 

(a) The Parties have executed a Rent Supplement with respect to the Rent in effect as of the Effective Date. This Section 3.2(a)
will not require any amendment to Rent unless the Parties expect Incremental CapEx and the Parties have not previously entered into a Rent Supplement with respect to such Incremental CapEx. If the Parties expect Incremental CapEx, then they will
negotiate in good faith to supplement Rent and other matters in accordance with this Section 3.2. In connection therewith, the Parties will negotiate the pre-tax rate of return that Lessor should earn on such Incremental CapEx, which will be
based generally on an agreed-to-discount from the rate of return that public utility companies generally earn in the State of Texas at the time of such Rent Supplement negotiation, adjusted in the manner agreed to by the Parties (if justified) to
take into account the creditworthiness of Lessee at the time of such Rent Supplement negotiation (the “Agreed-to-Discount”). Such discount will be based on the comparable discount agreed to in connection with the negotiation of rent
pursuant to the McAllen Lease and other leases between Lessee and Lessor (or an affiliate thereof), as modified to take in to account appropriate factors at the time of such Rent Supplement negotiation. Such pre-tax rate of return, as determined in
accordance with this paragraph, is referred to as a “Comparable Rate of Return.” The following will apply to the determination of the matters set forth on the Supplement:  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 8 

 (i) The Parties will supplement Base Rent and Percentage Rent in a manner
intended to provide a Comparable Rate of Return for Lessor on its Incremental CapEx. Such Comparable Rate of Return will be achieved by a split between Base Rent and Percentage Rent in the proportions requested by Lessor and agreed to by Lessee.

 (ii) Unless the Parties agree otherwise based on appropriate factors at the time of the negotiation, Capital Expenditures
will qualify as Incremental CapEx on the date such Capital Expenditures are placed in service, which differentiates these Capital Expenditures from the Capital Expenditures included in CapEx Budgets pursuant to Article X, which are measured under
this Agreement based on the date the related Capital Expenditures are incurred. 
 (iii) Notwithstanding anything herein to
the contrary, such supplement shall be determined solely to provide a Comparable Rate of Return on such Incremental CapEx and shall not be determined with reference to, or with any intention to true up, the effect of any difference between the
initially anticipated and the actual return of or on, or the Base Rent or Percentage Rent payable with respect to, the ERCOT Transmission Assets as in place prior to the additions resulting from such Incremental CapEx. 

(b) The Parties will memorialize the results of all Incremental CapEx supplements and Lessee CapEx supplement negotiations by executing and
delivering a Rent Supplement, which will set forth the amount of contemplated Incremental CapEx, new Base Rent, a new Percentage Rent Schedule, new Revenues Attributable to Lessee CapEx, Lessee CapEx, new TCOS Allocation (if applicable), the
effective date on which such changes will occur and the term of such Rent Supplement (if applicable). In no event will any new Base Rent or new Percentage Rent be payable, or any Revenues Attributable to Lessee CapEx be taken into account as a
reduction to Unadjusted Gross Revenues, before the assets funded by the related Incremental CapEx or Lessee CapEx are placed in service. The Rent Supplement may also include the projected in-service date of the Incremental CapEx or Lessee CapEx to
which the Rent Supplement applies. Upon execution and delivery of any such Rent Supplement, this Agreement will be deemed amended thereby. If necessary, the applicable Rent Supplement will include a description of the new assets to be funded by the
Incremental CapEx. The Rent Supplement shall have the term set forth therein, not to extend past the then-current Term of this Agreement. At the end of the term of each Rent Supplement, the Parties shall negotiate a new Rent Supplement for the
Lessee CapEx and Incremental CapEx covered by such prior Rent Supplement using the Comparable Rate of Return methodology set forth in Sections 3.1(d)(iii) and 3.2(a). Notwithstanding the foregoing, the Percentage Rent Percentages and Annual
Percentage Rent Breakpoints reflected on such new Rent Supplement with respect to the Rate Base covered by such prior Rent Supplement shall be as set forth on the Percentage Rent Schedule of such prior Rent Supplement. 

(c) If following a Rent Supplement there is a difference in (i) the amount of actual Incremental CapEx compared to the amount contemplated
by the then-effective Rent Supplement, (ii) the amount of actual Lessee CapEx compared to the amount contemplated by the then-effective Rent Supplement, or (iii) the placed-in-service date of such Incremental CapEx or Lessee CapEx compared
to what was contemplated at the time of the then-effective Rent Supplement then, at any time within two years of the date the Parties agree to a Rent 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 9 

 
Supplement, either Party may request a Rent Validation. If there has been such a difference, the Parties will supplement Incremental CapEx, Base Rent, Percentage Rent Percentages, Annual
Percentage Rent Breakpoints, Revenues Attributable to Lessee CapEx, and/or Lessee CapEx, as applicable, to what they would have been, at the time of the Rent Supplement, to reflect (1) the amount of actual Incremental CapEx and Lessee CapEx
and/or (2) the actual dates such Incremental CapEx and/or Lessee CapEx was placed in service, but keeping fixed all other relevant assumptions and inputs, including the Comparable Rate of Return. For the avoidance of doubt, in no circumstance
will a Rent Validation occur to account for any difference between the initially anticipated and the actual return of or on the Incremental CapEx and/or Lessee CapEx, and no such difference will be taken into account as part of such Rent Validation.
The Parties also will negotiate in good faith to determine (A) whether one Party should make a lump sum payment to the other Party as a result of excess or deficient Rent Lessee paid, prior to the date of the effective date of the Rent
Validation, in connection with the Rent Supplement, and, (B) if applicable, the amount of any such lump sum payment. The Parties will memorialize the result of any Rent Validation negotiation by executing and delivering a revised Rent
Supplement, which will set forth revised expected Incremental CapEx, Lessee CapEx, Base Rent, Percentage Rent Percentages, Annual Percentage Rent Breakpoints, and/or Revenues Attributable to Lessee CapEx, as applicable, the effective date on which
such changes will occur and, if applicable, the amount of the lump sum payment that one Party must make to the other Party (which payment must be made within 30 days of the execution and delivery of such revised Rent Supplement). Any lump sum
payments received by Lessor under this Section 3.2(c) shall be treated as Rent by the Parties. Upon execution and delivery of any such Rent Validation, this Agreement will be deemed amended thereby. The Parties will reasonably cooperate to
minimize the number of Rent Validations, and prospective Rent Supplements and Rent Validations may be combined into one revised, amended and restated Rent Supplement. 

(d) In connection with the foregoing provisions of this Section 3.2, Lessor and Lessee shall use good faith efforts to agree to a Rent
Supplement, renewal of a Rent Supplement or Rent Validation, as applicable, within 60 days of a request therefor by either Party. If, by the end of such 60 day period, Lessee and Lessor cannot in good faith agree to the terms of a Rent Supplement,
renewal of a Rent Supplement or Rent Validation, such dispute shall be submitted to arbitration in accordance with Section 13.7 of this Agreement, pursuant to which the Arbitration Panel shall be empowered to determine the terms of such Rent
Supplement, renewal of a Rent Supplement or Rent Validation (including any lump sum payment amount), based on submissions by each of the Lessee and the Lessor. 

3.3. Confirmation of Percentage Rent. 

(a) In the event that Lessee determines that the Percentage Rent paid with respect to any Lease Year exceeded the amount of Percentage Rent
actually due for such Lease Year (such overage being the “Excess Percentage Rent”), Lessee shall promptly notify Lessor of such fact and shall deliver a new CFO Certificate (the “Revised Certificate”) setting forth
the corrected calculations of the Percentage Rent due for such Lease Year and identifying the amount of the Excess Percentage Rent. Upon Lessor’s reasonable verification of the information set forth in the Revised Certificate, Lessor shall
refund to Lessee the Excess Percentage Rent. Notwithstanding anything to the contrary contained herein, in no event shall Lessor have any obligation under this Section 3.3(a) to refund any Excess Percentage Rent if Lessor has not received the
Revised Certificate by March 31 of the year following the Lease Year for which the Excess Percentage Rent was paid. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 10 

 (b) Lessee shall utilize, or cause to be utilized, an accounting system for the ERCOT
Transmission Assets in accordance with the FERC Uniform System of Accounts for electric utilities, that will accurately record all data necessary to compute Percentage Rent, and Lessee shall retain and shall allow Lessor and its representatives to
have reasonable access to, for at least five (5) years after the expiration of each Lease Year, reasonably adequate records conforming to such accounting system showing all data necessary to conduct Lessor’s Audit and to compute Percentage
Rent for the applicable Lease Years and to otherwise file or defend tax returns and reports to any Regulatory Authority. 
 (c) Lessor shall
have the right from time to time to cause its accountants or representatives to conduct an inspection, examination and/or audit (a “Lessor’s Audit”) of all of Lessee’s records, including supporting data, sales and excise
tax returns and the records described in Section 3.3(b), reasonably required to complete such Lessor’s Audit and to verify Percentage Rent, subject to any prohibitions or limitations on disclosure of any such data under applicable laws,
regulations and governmental requirements. If any Lessor’s Audit discloses a deficiency in the payment of Percentage Rent, and either Lessee agrees with the result of Lessor’s Audit or the matter is otherwise determined or compromised,
Lessee shall forthwith pay to Lessor the amount of the deficiency, as finally agreed or determined, together with interest at the Overdue Rate from the date when said payment should have been made to the date of payment thereof. In addition to the
amounts described above in this Section 3.3(c), if any Lessor’s Audit discloses a deficiency in the payment of Percentage Rent which, as finally agreed or determined, exceeds 3% of the amount paid, Lessee shall pay the costs of
Lessor’s Audit. In no event shall Lessor undertake a Lessor’s Audit after March 31 of the second year following the Lease Year for which such audit is requested. 

(d) Any proprietary information obtained by Lessor pursuant to the provisions of this Section 3.3 shall be treated as confidential, except
that such information may be used, subject to appropriate confidentiality safeguards, in any litigation or arbitration between the Parties and except further that Lessor may disclose such information to lenders and investors, including prospective
lenders or investors and to any other persons to whom disclosure is necessary or appropriate to comply with applicable laws, regulations and governmental requirements and to comply with any reporting requirements applicable to Lessor or Lessee under
any applicable securities laws or regulations or any listing requirements of any applicable securities exchange. 
 (e) The obligations of
Lessee and Lessor contained in this Section 3.3 shall survive the expiration or earlier termination of this Agreement. Any dispute as to the existence or amount of any deficiency in the payment of Percentage Rent as disclosed by Lessor’s
Audit shall, if not otherwise settled by the Parties, be submitted to arbitration pursuant to the provisions of Section 13.7. 

3.4. Additional Rent. In addition to Base Rent and Percentage Rent, Lessee also will
pay and discharge as and when due and payable all other amounts, liabilities, obligations and impositions that Lessee assumes or agrees to pay under this Agreement, including without limitation, the expenses described in Section 1.3 and any
reimbursement for such amounts and other damages to Lessor in the event that Lessor pays such expenses or performs such obligations on behalf of Lessee (collectively, “Additional Rent”).

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 11 

 3.5. No Set Off. Rent shall be paid to
Lessor without set off, deduction or counterclaim; provided, however, that Lessee shall have the right to assert any claim or counterclaim in a separate action brought by Lessee under this Agreement or to assert any mandatory counterclaim in any
action brought by Lessor under this Agreement.  
 3.6. Late Payment Penalty. If Lessee
fails to make any payment of Rent to Lessor within five (5) days after it is due, interest shall accrue on the overdue amount, from the date overdue until the date paid, at the Overdue Rate. 

3.7. Credit Support. If Lessor has reasonable grounds for insecurity regarding the performance of
Lessee’s obligations hereunder, Lessor may require Lessee to provide credit support in the amount, form and for the term reasonably acceptable to Lessor, including but not limited to, a letter of credit, a prepayment, or a guaranty.

 3.8. Other Revenue. If Lessee receives or expects to receive any fees, charges or Other Revenue
and other than de minimis amounts not to exceed $100,000 in any calendar year, then, unless Lessee reasonably believes that such Other Revenue will not operate to reduce Lessee’s tariff within the State of Texas, Lessee and Lessor will
negotiate in good faith to amend this Agreement or a similar lease to characterize the portion of such Other Revenue which Lessor reasonably expects will operate to reduce Lessee’s tariff within the State of Texas as Unadjusted Gross Revenue
hereunder or under such other similar lease. In the event the Lessee and Lessor cannot agree on the terms of such amendment of this Agreement or of a similar lease after 60 days of negotiating in good faith, then either the Lessee or the Lessor may
submit such matters to arbitration pursuant to Section 13.7 of this Agreement, pursuant to which the Arbitration Panel shall be empowered to characterize the portion of such Other Revenue which Lessor reasonably expects will operate to reduce
Lessee’s tariff within the State of Texas as Unadjusted Gross Revenue hereunder or under such other similar lease, based on submissions by each of the Lessee and the Lessor. 

ARTICLE IV 

LESSEE’S REPRESENTATIONS, WARRANTIES AND COVENANTS 

Lessee hereby represents, warrants and covenants to Lessor that: 

4.1. Maintenance, Operation and Repair of the ERCOT Transmission Assets.  

(a) Lessee, at its own cost and expense, shall maintain (including both scheduled and unscheduled maintenance), operate, repair and make all
modifications (other than Footprint Projects) to the ERCOT Transmission Assets and any components thereof (whether owned by Lessor or Lessee), including directing all operations of and supplying all personnel necessary for the operation of the ERCOT
Transmission Assets, in each case, as reasonable and prudent and consistent with Good Utility Practice and as required by Applicable Law. Lessee shall carry out all obligations under this Agreement as reasonable and prudent and consistent with Good
Utility Practice and in accordance with manufacturers’ warranty requirements (during any applicable warranty period) and the Lessee’s established operating procedures and maintenance, rebuild and

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 12 

 
repair programs so as to keep the ERCOT Transmission Assets in good working order, ordinary wear and tear excepted, and in such condition as shall comply in all material respects with all
Applicable Laws. Lessee will operate the ERCOT Transmission Assets in a reliable and safe manner in compliance with all applicable requirements and regulations of Regulatory Authorities. Lessee will not operate the ERCOT Transmission Assets or any
component thereof in any manner excluded from coverage by any insurance in effect as required by the terms hereof. 
 (b) If inspections of
the ERCOT Transmission Assets by Lessor show that the ERCOT Transmission Assets do not meet industry standards or Good Utility Practice for maintenance and repair and/or fail to meet the requirements of any Applicable Law, Lessee shall promptly, but
in any event within thirty (30) days after such initial notification, (i) develop a plan for Lessor’s review by which the ERCOT Transmission Assets can be modified to comply with the standards, and (ii) complete any and all such
modifications consistent with all applicable reliability and safety standards established by regulations, orders or requirements of Regulatory Authorities. 

4.2. Licenses and Permits. Lessee shall obtain and maintain any and all licenses, permits and other
governmental and third-party consents and approvals required by Applicable Law in order to carry out its obligations under this Agreement. 

4.3. Property Taxes, and other Assessments and Fees. Lessee shall bear and timely pay all ad valorem or
property taxes, sales and use taxes, or other assessments, governmental charges or fees that shall or may during the Term be imposed on, or arise in connection with, the repair, maintenance or operation of the ERCOT Transmission Assets (including
all Footprint Projects as described and provided for in Section 10.1 of this Agreement) (“Lessee Taxes”); provided that Lessee shall not be obligated to pay any net income taxes imposed upon Lessor
or any sales and use taxes which arise in connection with Lessor’s acquisition of Footprint Projects (“Lessor Taxes”). Upon the written request by Lessor, Lessee
shall provide Lessor with evidence of the payment of any such Lessee Taxes, the failure of which to be paid would cause the imposition of a Lien upon the ERCOT Transmission Assets or any component thereof or interest therein. Lessee shall assume
full responsibility for preparing and furnishing to Lessor for execution all filings with any governmental authority of or in the state and/or locality in which the ERCOT Transmission Assets is located in respect of any and all taxes; except that,
where required or permitted by Applicable Law, Lessee shall make such filings on behalf of Lessor in the name of Lessor or in Lessee’s own name. In each case in which Lessee furnishes a tax return or any other form to be executed by Lessor for
filing with or delivery to any taxing authority, Lessee shall certify to Lessor that such document is in the proper form, is required to be filed under Applicable Law and does not impose any tax or other liability on Lessor or any of its affiliates
which is not indemnified by Lessee. Lessee shall be permitted to contest, in its own name when permitted by law but otherwise on behalf of Lessor, in good faith and upon consultation with Lessor, any taxes it is obligated to pay hereunder.

 4.4. Requirements of Governmental Agencies and Regulatory Authorities. Lessee, at its expense,
shall comply with all Applicable Laws, including without limitation all requirements of the Regulatory Authorities. Lessee shall have the right, in its reasonable discretion and at its cost and expense, to contest by appropriate legal proceedings,
the validity or 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 13 

 
applicability to the ERCOT Transmission Assets of any Applicable Law made or issued by any federal, state, county, local or other governmental agency or entity. Any such contest or proceeding
shall be controlled and directed by Lessee. Notwithstanding the foregoing, Lessee shall provide Lessor written notice of the commencement and, at reasonable intervals after commencement, the progress of any such legal proceedings. 

4.5. Liens. Lessee shall keep the ERCOT Transmission Assets free and clear of all Liens other than Permitted
Liens; provided, however, that if Lessee wishes to contest any such Lien (other than a Permitted Lien), Lessee shall, promptly, and in any event within thirty (30) days after it receives notice of the filing of such Lien, remove or bond over
such lien from the ERCOT Transmission Assets pursuant to Applicable Law. If Lessee fails to promptly remove or bond over any such Lien, Lessor may, after providing notice to Lessee, take reasonable action to satisfy, defend, settle or otherwise
remove the Lien at Lessee’s expense.  
 4.6. Hazardous Materials. 

(a) Lessee shall operate and maintain the ERCOT Transmission Assets and conduct all of its other activities in respect thereof in compliance in
all material respects with any Applicable Laws relating to air, water, land and the generation, storage, use, handling, transportation, treatment or disposal of Hazardous Materials. Lessee shall promptly notify Lessor of any such violation and, to
the extent Lessee becomes aware of any environmental, health, safety or security matter that requires a corrective action, Lessee shall, in consultation with Lessor, undertake and complete such corrective action. Lessee shall have the obligation to
report any such violations to the appropriate Regulatory Authorities in accordance with Applicable Law and, if practicable, shall give notice thereof to Lessor prior to making such report. 

(b) Without limiting the generality of the foregoing, Lessee shall not (i) place or locate any underground tanks on the property
underlying the ERCOT Transmission Assets, (ii) generate, manufacture, transport, produce, use, treat, store, release, dispose of or otherwise deposit Hazardous Materials in or on the ERCOT Transmission Assets, the property underlying the ERCOT
Transmission Assets or any portion thereof other than as permitted by Applicable Laws that govern the same or are applicable thereto, (iii) permit any other substances, materials or conditions in, on or emanating from the ERCOT Transmission
Assets, the property underlying the ERCOT Transmission Assets or any portion thereof which may support a claim or cause of action under any Applicable Law or (iv) undertake any action that would reasonably be expected to cause an unauthorized
release of Hazardous Materials at the property underlying the ERCOT Transmission Assets. 
 (c) Lessee shall periodically, at intervals
determined in its reasonable discretion in accordance with Good Utility Practice or as required by Applicable Law, at Lessee’s sole expense, conduct inspections of all components of the ERCOT Transmission Assets and the ERCOT Transmission
Assets property to ensure compliance with Applicable Laws and with this Section 4.6, and shall promptly notify Lessor of the results of any such inspections. Lessor may, at Lessor’s expense, conduct its own testing at times determined in
its reasonable discretion, and after reasonable consultation with Lessee, to ensure Lessee’s compliance with Applicable Laws and with this Section 4.6, provided, however, that Lessor agrees to indemnify Lessee, in accordance with
Section 12.2, from and against any and all Claims arising from such testing. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 14 

 4.7. Indebtedness. Lessee shall not incur Indebtedness other than:
(i) Indebtedness in an aggregate principal amount of up to the greater of (A) $5,000,000 and (B) an amount equal to one percent (1%) of the sum of, without duplication, (x) the total amount of the Consolidated Net Plant of
Lessee, plus (y) the total amount of the Consolidated Net Plant of any guarantor(s) of Lessee’s obligations under any Lease to which Lessee is a party as a lessee, plus (z) the total amount of Leased Consolidated Net Plant of Lessee,
in each case on a senior secured basis, (ii) Indebtedness in an aggregate principal amount of up to the greater of (A) $10,000,000 and (B) an amount equal to one-and-a-half percent (1.5%) of the sum of, without duplication,
(x) the total amount of the Consolidated Net Plant of Lessee, plus (y) the total amount of the Consolidated Net Plant of any guarantor(s) of Lessee’s obligations under any Lease to which Lessee is a party as a lessee, plus
(z) the total amount of Leased Consolidated Net Plant of Lessee, in each case on an unsecured subordinated basis on terms substantially similar to the terms set forth on Exhibit A and (iii) loans, in an aggregate principal amount not to
exceed $10,000,000 at any time outstanding, made by InfraREIT Partners, LP or a subsidiary thereof to Lessee from time to time for the purpose of financing capital expenditures. For purposes of clauses (i) and (ii) of the preceding
sentence, any Consolidated Qualified Lessees of Lessee will be treated as Lessee. In addition to the foregoing, any of Lessee’s subsidiaries may incur Indebtedness in an aggregate principal amount of up to the product of (x) Lessee’s
aggregate Consolidated Net Plant multiplied by (y) the lesser of (A) the sum of Lessee’s then-current PUCT-regulated debt-to-equity ratio (expressed as a percentage) and five percent (5%) or (B) sixty-five percent (65%);
provided, however, that such Indebtedness must be Non-Recourse Debt to Lessee. For purposes of this Section 4.7, Lessee’s Consolidated Net Plant will be derived from its most recently prepared consolidated balance sheet, prepared in
accordance with GAAP but adjusted to reverse the effects of failed sale-leaseback accounting in a manner reasonably determined by Lessee in good faith. Without limiting the amount of Indebtedness permitted by the foregoing, Lessee may also incur
Indebtedness (x) in the form of a pledge of equity interests in a subsidiary of Lessee as security for Non-Recourse Debt of such subsidiary and (y) in amounts otherwise permitted under the Debt Agreements. 

4.8. Records. In addition to the records referred to in Section 3.3, Lessee shall maintain proper books
of record and account in conformity with GAAP and all applicable Regulatory Authorities and each other governmental agency or authority having legal or regulatory jurisdiction over Lessee. Additionally, Lessee shall maintain or cause to be
maintained all logs, drawings, manuals, specifications and data and inspection, modification and maintenance records and other materials required to be maintained in respect of the ERCOT Transmission Assets by Applicable Laws or by prudent and Good
Utility Practice. Lessee shall allow Lessor and its representatives to have reasonable access to, for at least five (5) years after the expiration of each Lease Year, the records referred to in this Section 4.8. 

4.9. Surrender. Upon expiration or earlier termination of this Agreement in accordance with its terms (but subject to
Section 2.2 and the requirements of all Applicable Laws), and in a manner calculated to avoid any disruption of electrical service, Lessee shall vacate and surrender possession of all components of the ERCOT Transmission Assets (other than in
respect of Footprint Projects funded by Lessee as described in Section 10.5(a)) to Lessor, 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 15 

 
or to such other person or entity as Lessor may direct. At the time of such surrender, the ERCOT Transmission Assets shall be free and clear of Liens and other rights of third parties (other than
Permitted Liens), and shall be in the same condition as on the Effective Date, ordinary wear and tear and subsequent Footprint Projects excepted. Lessee shall deliver or cause to be delivered to Lessor, or to such other person or entity as Lessor
may direct, copies of all title documents, logs, drawings, manuals, specifications and data and inspection, modification and maintenance records, billing records, reports and other documents in respect of the ERCOT Transmission Assets which are
necessary to determine the condition of the ERCOT Transmission Assets or for the continued maintenance, repair or general operation of the ERCOT Transmission Assets and are in Lessee’s possession at such time. In connection with the surrender
of the ERCOT Transmission Assets, Lessor shall pay to Lessee the aggregate purchase price for any Footprint Projects, equipment or other property purchased by Lessor in accordance with Section 2.3 or Section 10.5(b). 

4.10. Cooperation; Transition Services. 

(a) During the period after notice of termination and prior to the termination of the Agreement, with reasonable notice, Lessee will cooperate
in all reasonable respects with the efforts of Lessor to sell or lease the ERCOT Transmission Assets (or any component thereof) or any interest therein, including, without limitation, permitting prospective purchasers or lessees to fully inspect the
ERCOT Transmission Assets and any logs, drawings, manuals, specifications, data and maintenance records relating thereto; provided, that such cooperation shall not unreasonably interfere with the normal operation of the ERCOT Transmission Assets or
cause Lessee to incur any additional expenses other than as specifically provided herein. All information obtained in connection with such inspection shall be subject to confidentiality requirements at least as restrictive as those contained in
Section 13.3. 
 (b) Upon expiration or termination of this Agreement, Lessee shall continue to lease and operate the ERCOT Transmission
Assets pursuant to the terms of Section 2.2, if required thereunder. During such period Lessee shall perform all duties and retain all obligations under Article IV in all respects, as if the Agreement had not expired or been terminated. 

4.11. Lessee’s Authority. Lessee has all requisite power and authority to execute and deliver this
Agreement and to perform its obligations hereunder. Lessee has taken all action necessary to execute and deliver this Agreement and to perform its obligations hereunder, and no other action or proceeding on the part of Lessee is necessary to
authorize this Agreement. This Agreement constitutes the legally valid and binding obligation of Lessee, enforceable against Lessee in accordance with its terms, except as the enforceability thereof may be limited by applicable bankruptcy,
insolvency, reorganization, moratorium or similar Applicable Laws affecting the enforcement of creditors’ rights generally and equitable principles. 

4.12. Litigation. If Lessee becomes aware of any actions, claims or other legal or administrative
proceedings that are pending, threatened or anticipated with respect to, or which could materially and adversely affect, the ERCOT Transmission Assets, Lessee shall promptly deliver notice thereof to Lessor. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 16 

 4.13. Financing. Lessee acknowledges that Lessor has
advised Lessee that Lessor has obtained financing secured by, among other things, the ERCOT Transmission Assets and this Agreement. In connection with such financing, Lessor made certain representations, warranties and covenants set forth in that
certain (i) Amended and Restated Note Purchase Agreement entered into by Lessor and dated as of September 14, 2010 (as amended, restated, supplemented or otherwise modified from time to time, the “2009 Note Purchase
Agreement”), a copy of which has been provided to and reviewed by Lessee, (ii) Amended and Restated Note Purchase Agreement entered into by Lessor and dated as of July 13, 2010 (as amended, restated, supplemented or otherwise
modified from time to time, the “2010 Note Purchase Agreement” and, together with the 2009 Note Purchase Agreement, the “Note Purchase Agreements”), a copy of which has been provided to and reviewed by Lessee and
(iii) Second Amended and Restated Credit Agreement entered into by Lessor and dated as of June 28, 2013 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the “Credit
Agreement” and, together with the Note Purchase Agreements, the “Debt Agreements”), a copy of which has been provided to and reviewed by Lessee.  

Lessee hereby covenants and agrees with Lessor that, during the term of the 2009 Note Purchase Agreement, Lessee will comply with the covenants
set forth in Sections 9.08 (Material Project Documents) (to the extent that Lessee is a party to any Material Project Documents, as defined in the 2009 Note Purchase Agreement), 10.04 (Terrorism Sanctions Regulations), 10.10 (Sale
of Assets, Etc.), 10.11 (Sale or Discount of Receivables), 10.12 (Amendments to Organizational Documents), 10.16 (Project Documents) and 10.17 (Regulation) of the 2009 Note Purchase Agreement. 

Lessee hereby covenants and agrees with Lessor that, during the term of the 2010 Note Purchase Agreement, Lessee will comply with the
covenants set forth in Sections 9.8 (Material Project Documents) (to the extent that Lessee is a party to any Material Project Documents, as defined in the 2010 Note Purchase Agreement), 10.4 (Terrorism Sanctions Regulations), 10.10
(Sale of Assets, Etc.), 10.11 (Sale or Discount of Receivables), 10.12 (Amendments to Organizational Documents), 10.16 (Project Documents) and 10.17 (Regulation) of the 2010 Note Purchase Agreement.  

Lessee hereby agrees with Lessor that, to the extent not otherwise covered by the terms of this Agreement, (i) Lessee hereby makes
the same representations and warranties to Lessor as Lessor makes to the Lender (as defined in the Credit Agreement) in Sections 6.3 (Disclosure), 6.5 (Financial Condition; Financial Instruments), 6.6 (Compliance with Laws, Other
Instruments, Etc.), 6.7 (Governmental Authorizations, Etc.), 6.8 (Litigation; Observance of Agreements, Statutes and Orders), 6.9 (Taxes), 6.10 (Title to Property; Leases), 6.11 (Insurance), 6.12 (Licenses,
Permits, Etc.; Material Project Documentation), 6.16 (Foreign Assets and Control Regulations, Etc.), 6.17 (Status under Certain Statutes), 6.18 (Environmental Matters), 6.19 (Force Majeure Events; Employees) and 6.20
(Collateral) of the Credit Agreement (or equivalent provisions), to the extent that such representations and warranties relate to (x) Lessee, whether in its capacity as Lessee or otherwise, including, without limitation, Lessee’s
status or operations as a public utility, or (y) Lessee’s ownership of the ERCOT Transmission Assets on or before the date hereof, and (ii) Lessee hereby covenants and agrees with Lessor that, during the term of the Credit Agreement,
Lessee will comply with the covenants set forth in Sections 7.10 (Material Project Documents) (to the extent that Lessee is a  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 17 

 
party to any Material Project Documents, as defined in the Credit Agreement), 8.4 (Terrorism Sanctions Regulations), 8.10 (Sale of Assets, Etc.), 8.11 (Sale or Discount of
Receivables), 8.12 (Amendments to Organizational Documents), 8.16 (Material Projects Documents) and 8.17 (Regulation) of the Credit Agreement (or equivalent provisions).  

Lessee may not lease, or agree or otherwise commit to lease, any transmission or distribution facilities other than pursuant to a Lease.
Further, Lessee shall not permit Persons other than Hunt Family Members to acquire any interest in the Lessee, directly or indirectly, in a manner that would result in a Change in Control of Lessee. The Parties agree to amend, alter or supplement
this Section 4.13 from time to time to give effect to the obligations under Lessor’s then-current credit arrangements. 

ARTICLE V 
 LESSOR’S
REPRESENTATIONS, WARRANTIES AND COVENANTS 
 Lessor hereby represents, warrants and covenants as follow: 

5.1. Lessor’s Authority. Lessor has all requisite power and authority to execute and deliver this
Agreement and to perform its obligations hereunder. Lessor has taken all action necessary to execute and deliver this Agreement and to perform its obligations hereunder, and no other action or proceeding on the part of Lessor is necessary to
authorize this Agreement. This Agreement constitutes the legally valid and binding obligation of Lessor, enforceable against Lessor in accordance with its terms, except as the enforceability thereof may be limited by applicable bankruptcy,
insolvency, reorganization, moratorium or similar Applicable Laws affecting the enforcement of creditors’ rights generally and equitable principles. 

5.2. Liens and Tenants. Lessor represents that Lessor has good and valid title to the ERCOT Transmission
Assets, there are no unrecorded liens, encumbrances, leases, mortgages, deeds of trust (except as disclosed to Lessee in writing or as arise by operation of law), or other exceptions (collectively,
“Liens”) arising as a result of any acts or omissions to act of Lessor by, through or under Lessor to Lessor’s right, title or interest in the ERCOT Transmission Assets other than any such of the
foregoing that does not materially impair the Lessee’s use of the ERCOT Transmission Assets, and, to Lessor’s knowledge, there exist no rights or interests of any third party relating to the ERCOT Transmission Assets that are not
contemplated herein. Except for Permitted Liens or as may be disclosed in the applicable real property records in the State of Texas, or as disclosed by Lessor in writing to Lessee, Lessor represents that there are no mortgages, deeds of trust, or
similar liens or security interests encumbering all or any portion of the ERCOT Transmission Assets. Lessor shall fully cooperate and assist Lessee, at no out-of-pocket expense to Lessor, in obtaining a subordination and non-disturbance agreement
from each party that holds a Lien that might reasonably be expected to interfere in any material respect with Lessee’s rights under this Agreement. Notwithstanding the foregoing, Lessor and its affiliates shall have the right to incur Permitted
Liens encumbering the ERCOT Transmission Assets or any component thereof solely for the benefit of Lessor in connection with any existing or future financing or refinancing pursuant to which the ERCOT Transmission Assets (or any component thereof)
is pledged as collateral and Lessee agrees to enter into such acknowledgments and agreements in respect thereof with the lenders, or a trustee or agent for the lenders as the Lessor may reasonably request. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 18 

 5.3. Condition of Assets. Lessor has not taken any action or
failed to take any action that would cause the ERCOT Transmission Assets not to be in good operating condition and repair, ordinary wear and tear excepted, or adequate for the uses to which it is being put.  

5.4. Requirements of Governmental Agencies. Lessor shall assist and fully cooperate with Lessee, in
complying with or obtaining any material land use permits and approvals, building permits, environmental impact reviews or any other approvals reasonably required for the maintenance or operation of the ERCOT Transmission Assets, including execution
of applications for such approvals, and including participating in any appeals or regulatory proceedings respecting the ERCOT Transmission Assets at Lessee’s cost and expense, if requested by Lessee. 

5.5. Hazardous Materials. Lessor shall conduct its activities in respect of the ERCOT Transmission Assets in
compliance in all material respects with applicable Environmental Laws. 
 5.6. Litigation.
If Lessor becomes aware of any actions, claims or other legal or administrative proceedings that are pending, threatened or anticipated with respect to, or which could materially and adversely affect, the ERCOT Transmission Assets, Lessor shall
promptly deliver notice thereof to Lessee. 
 5.7. Limitation. EXCEPT AS EXPRESSLY
REPRESENTED OTHERWISE IN THIS ARTICLE V, LESSOR (A) MAKES NO AND EXPRESSLY DISCLAIMS ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, AS TO (I) TITLE TO THE ERCOT TRANSMISSION ASSETS OR ANY PORTION THEREOF, (II) ANY ESTIMATES
OF THE VALUE OF THE SYSTEM OR FUTURE REVENUES THAT MIGHT BE GENERATED BY THE ERCOT TRANSMISSION ASSETS, (III) THE MAINTENANCE, REPAIR, CONDITION, QUALITY, SUITABILITY, DESIGN OR MARKETABILITY OF THE ERCOT TRANSMISSION ASSETS,
(IV) INFRINGEMENT OF ANY INTELLECTUAL PROPERTY RIGHT OR (V) ANY OTHER MATERIALS OR INFORMATION THAT MAY HAVE BEEN MADE AVAILABLE OR COMMUNICATED TO LESSEE OR ITS AFFILIATES, OR ITS OR THEIR EMPLOYEES, AGENTS, CONSULTANTS, REPRESENTATIVES
OR ADVISORS IN CONNECTION WITH THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT OR ANY DISCUSSION OR PRESENTATION RELATING THERETO, AND (B) FURTHER DISCLAIMS ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, OF MERCHANTABILITY, FITNESS FOR A
PARTICULAR PURPOSE OR CONFORMITY TO MODELS OR SAMPLES OF MATERIALS OF ANY PORTION OF THE ERCOT TRANSMISSION ASSETS, IT BEING EXPRESSLY UNDERSTOOD AND AGREED BY THE PARTIES HERETO THAT THE ERCOT TRANSMISSION ASSETS ARE BEING LEASED “AS IS, WHERE
IS,” WITH ALL FAULTS AND DEFECTS, AND THAT LESSEE HAS MADE OR CAUSED TO BE MADE SUCH INSPECTIONS AS LESSEE DEEMS APPROPRIATE. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 19 

 ARTICLE VI 

LOSS AND DAMAGE; INSURANCE 

6.1. Loss and Damage to the ERCOT Transmission Assets.  

(a) In the event of any damage or loss to any component of the ERCOT Transmission Assets, Lessee shall promptly repair or replace such
component to the standards required by Section 4.1 (regardless of whether such repair or replacement constitutes a Repair or a Footprint Project). Any such repaired or replaced component will immediately become part of the ERCOT Transmission
Assets owned by Lessor and the cost of any repair or replacement shall be borne as described in Sections 6.1(b)-(d) below. 
 (b) If
such repair or replacement constitutes a Repair, the cost of repairing or replacing such damage or loss, whether actually covered in whole or in part by insurance, shall be the responsibility of Lessee. Lessee shall be entitled to retain any
insurance proceeds in excess of the amount necessary in connection with such Repair. 
 (c) If such repair or replacement constitutes a
Footprint Project, then, as long as the related costs have been included in a CapEx Budget, the cost of repairing or replacing such damage or loss, whether actually covered in whole or in part by insurance, shall be the responsibility of Lessor. In
such circumstance, unless otherwise agreed by the Parties, (i) if the damage or loss is covered by insurance, Lessor shall be responsible for payment of any deductible, and (ii) any damage or loss not covered by insurance (exclusive of any
deductible) shall be the responsibility of Lessor. If the sum of such deductible and insurance proceeds exceeds the cost of such Footprint Project, then such excess will first reduce Lessor’s obligation to fund the deductible hereunder, and any
excess thereafter will be retained by Lessee. If such repair or replacement constitutes a Footprint Project that is not included in a CapEx Budget, the provisions of Article X shall apply. 

(d) Lessee shall be solely responsible for all costs of repairing or replacing any damaged property and equipment that is not part of the ERCOT
Transmission Assets and owned by Lessee, whether covered by Lessee’s insurance under Section 6.2 or otherwise. Nothing in this provision shall preclude Lessee from seeking recovery of such costs in a rate proceeding at the PUCT. 

(e) If Lessor funds Lessee’s Personal Property pursuant to Section 10.1(b) of this Agreement, then all such funded Personal Property
will be treated as a Footprint Project, and not a Repair, for purposes of this Section 6.1. 
 6.2.
Insurance. Lessee will maintain, with financially sound and reputable insurers, insurance with respect to its business and properties and the ERCOT Transmission Assets against such casualties and contingencies, of such types, on such terms
and in such amounts (including deductibles, co-insurance and self-insurance, if adequate reserves are maintained with respect thereto) as is customary in the case of entities of established reputations engaged in the same or a similar business and
similarly situated, but in no event less than the insurance set forth in this Section 6.2 and Exhibit B. 
 (a) Lessee
shall procure at its own expense and maintain in full force and effect at all times throughout the term of this insurance policies with insurance companies rated A-, 8 or higher by A.M. Best or acceptable to Lessor if not so rated, and authorized to
do business in the State of Texas. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 20 

 (b) Lessor may at any time amend the requirements and approved insurance companies described in
this Section 6.2 or Exhibit B due to (i) new information not previously known by Lessor prior to the date of this Agreement or (ii) changed circumstances after the date of this Agreement, which in the reasonable judgment of Lessor
either renders a required coverage to be materially inadequate or materially reduces the financial ability of the approved insurance companies to pay claims. 

(c) On the first Business Day of each year, and promptly at such other times as Lessor may reasonably request, Lessee shall furnish Lessor with
approved certification of all required insurance. Such certification shall be executed by each insurer or by an authorized representative of each insurer where it is not practical for such insurer to execute the certificate itself. Such
certification shall identify underwriters, the type of insurance, the insurance limits, and the policy term, and shall specifically list the special provisions enumerated for such insurance required by this Section 6.2. Upon request, Lessee
will promptly furnish Lessor with copies of all insurance certificates, binders, and cover notes or other evidence of such insurance relating to the ERCOT Transmission Assets. 

(d) Concurrently with the furnishing of the certification referred to in Section 6.2(c) and on an annual basis thereafter, Lessee shall
furnish Lessor with a certificate, signed by an officer of Lessee, stating that all premiums then due have been paid and that the insurance then carried or to be renewed is in accordance with the terms of this Section 6.2. and Exhibit B. 

(e) In the event Lessee fails to take out or maintain the full insurance coverage required by this Section 6.2 and Exhibit B, Lessor, upon
thirty (30) days’ prior notice (unless the aforementioned insurance would lapse within such period, in which event notice should be given as soon as reasonably possible) to Lessee of any such failure, may (but shall not be obligated to)
take out the required policies of insurance and pay the premiums on the same. All amounts so advanced thereof by Lessor shall become an additional obligation of Lessee to Lessor, and Lessee shall forthwith pay such amounts to Lessor. 

(f) No provision of this Section 6.2 or Exhibit B or any other provision of this Agreement shall impose on Lessor any duty or obligation
to verify the existence or adequacy of the insurance coverage maintained by Lessee, nor shall Lessor be responsible for any representations or warranties made by or on behalf of Lessee to any insurance company or underwriter. 

ARTICLE VII 
 REPORTING

 7.1. Private Financing Arrangements. Lessee understands that Lessor, or an affiliate thereof, has
raised equity and debt capital secured by the ERCOT Transmission Assets and this Agreement and that Lessor or its affiliates have reporting obligations in connection with such arrangements, including obligations to provide financial statements
prepared in accordance with GAAP, to prepare an annual strategic plan and to update such annual strategic plan in the event of certain material deviations therefrom. Lessee understands that Lessor relies on Lessee in order to comply with such
obligations. From time to time, Lessor or an affiliate thereof may enter into additional arrangements that impose similar obligations. Accordingly, Lessee agrees  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 21 

 
to provide Lessor in a timely manner audited year-end financial statements, quarterly unaudited financial statements for the first three quarters of each year (certified by a financial officer of
Lessee), estimates of Percentage Rent, and such acknowledgements, certificates, permits, licenses, instruments, documents and other information as Lessor may reasonably request from time to time in connection with, or to enable Lessor and its
affiliates to comply with any such debt or equity financing arrangements or with Applicable Law. The Parties will negotiate in good faith the time frames during which Lessee will provide such information, with the intention that Lessee provide such
information in a manner that is not unduly burdensome but that also allows Lessor sufficient time to comply with its reporting obligations. Lessee will also cooperate with Lessor to enable Lessor to satisfy its obligations in respect of annual
strategic plans, including providing Lessor with requested information in advance of the due date of such annual strategic plan and keeping Lessor apprised of deviations in capital expenditures, construction activity or revenues of Lessee from
amounts that were originally provided by Lessee in preparing such annual strategic plan. Lessee agrees to use reasonable efforts to advise Lessor if Lessee will be unable to meet the reporting requirements set forth herein in a timely manner and to
reasonably cooperate with Lessor to remedy the effects of such non-compliance. 
 7.2. Public Company and
Regulatory Information and Cooperation.  
 (a) Lessee agrees to provide audited full-year and unaudited (but SAS 100
reviewed) interim financial statements and the consent of Lessee’s auditors to the inclusion of their opinion regarding such financial statements in filings with the Securities and Exchange Commission made by Lessor or an affiliate of Lessor.
Lessor may also request that Lessee provide evidence of a SAS 100 review from Lessee’s auditors with respect to any unaudited interim financial statements included in any such filing. Lessor shall have the right to share any such financial
statements with its lenders under the Debt Agreements. Lessee covenants that (i) such financial statements will fairly present in all material respects the financial condition, results of operations and cash flows of Lessee as of, and for, the
periods presented, and (ii) Lessee will endeavor to cause such financial statements to comply with any applicable laws, rules or regulations that Lessee and Lessor conclude in good faith are applicable to such financial statements by virtue of
their inclusion in the securities law filings of Lessor or an affiliate thereof. 
 (b) Lessee agrees that, in connection with any
underwritten offering of the securities of Lessor or any affiliate thereof, Lessee will use commercially reasonable efforts to cause its auditors to provide a comfort letter (or its equivalent) to such underwriters, if requested by Lessor. 

(c) Lessee agrees to cooperate with Lessor when Lessor or an affiliate provides estimates to analysts and or investors regarding Lessor’s
expectations of its future operating results (including capital expenditures) and to cooperate with Lessor with respect to analysts and investors to the extent such expectations change in any material respect. 

(d) Lessee and Lessor agree to reasonably cooperate to ensure that, to the extent they require information from the other party in order to
prepare their financial statements, to obtain audits of those financial statements and, if required, of their internal control over financial reporting, to respond to comments of the Securities and Exchange Commission on such financial statements or
statements related to internal control over financial reporting or disclosure controls 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 22 

 
and procedures, or to ensure the efficacy of their internal controls or disclosure controls and procedures, they will reasonably cooperate in order to ensure that each Party is able to meet its
obligations in respect thereof. Lessee agrees to promptly notify Lessor of or provide to Lessor, as applicable, (i) any material communication, written or otherwise, submitted to the Lessee by its auditors, including, but not limited to an
audit response letter, accountant’s management letter or other written report submitted to Lessee by its accountants or any governmental agency in connection with an annual or interim audit of Lessee’s books, (ii) any material
correspondence with, reports of or reports to any Regulatory Authority with respect to the ERCOT Transmission Assets and (iii) any notices of violations of Applicable Law with respect to the ERCOT Transmission Assets, in each case taking into
account the REIT’s reporting obligations as a public company. 
 (e) Lessor agrees to inform Lessee of the time periods in which each of
the items identified in this Section 7.2 will be required, which may change. Lessee agrees to use reasonable efforts to advise Lessor if Lessee will be unable to meet the reporting requirements set forth herein in a timely manner and to
reasonably cooperate with Lessor to remedy the effects of such non-compliance. 
 (f) If Lessor identifies additional matters with respect to
which Lessee input, assistance or information is required in order for Lessor and its affiliates to comply with any applicable securities laws, the rules or regulations of any exchange on which the securities of such affiliate are traded or any
similar laws, rules or regulations, the Parties agree to cooperate and negotiate in good faith in order to determine the manner in which Lessee can provide such input, assistance or information in a manner that positions Lessor and its affiliates to
comply in a timely manner with such laws, rules or regulations, as efficiently as is feasible so as to minimize the burden that the provision of such input, assistance or information imposes on Lessee. 

7.3. Mutual Obligations. Each Party shall as promptly as reasonably practicable furnish or cause to be
furnished to the other Party, upon request from such Party, such information as may be required to enable such Party to file any reports required to be filed with any governmental or Regulatory Authority due to such Party’s ownership interest
in or operation and control of the ERCOT Transmission Assets, as applicable. 
 ARTICLE VIII 

ASSIGNMENT 
 This Agreement
shall not be assignable by either Party, nor shall the ERCOT Transmission Assets or any part thereof be subleased by Lessee, except with the prior written consent of the other Party and the prior approval of any Regulatory Authority whose approval
is required for the effectiveness of such assignment or sublease. For purposes of this Article VIII, an “assignment” by Lessee shall mean and include, in addition to any direct transfer by Lessee to a third party of all or any part of
Lessee’s rights, estate or interests under this Agreement, any direct or indirect, voluntary or involuntary transfer of or encumbrance on all or any part of Lessee’s rights, estate or interests under this Agreement (i) by operation of
law and/or (ii) by direct or collateral transfer of all or any part of the legal or beneficial ownership interest in Lessee by merger, consolidation or otherwise, provided, in the case of clause (ii), any such transaction or transactions will
only constitute an assignment hereunder to the extent they result 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 23 

 
in a Change of Control. Notwithstanding the foregoing, Lessor shall have the right, without Lessee’s consent but subject to obtaining regulatory approval as described in the foregoing
sentence, (a) to assign, pledge or grant a security interest in any or all of its interest in the Agreement to a lender or lenders, or a trustee acting on behalf of such lenders, in connection with a financing or refinancing in which such
interest is pledged as collateral, and Lessee agrees to enter into such acknowledgments and agreements in respect thereof as the Lessor may reasonably request and (b) to assign its interest in this Agreement to a successor owner of the ERCOT
Transmission Assets. 
 ARTICLE IX 

DEFAULT 

9.1. Lessee Default. Subject to Section 9.3, Lessee shall be in default in the event of any of the
following: 
 (a) Except as provided in Section 9.1(g), Lessee’s failure to make any payment of Rent when due; 

(b) Lessee (i) is generally not paying, or admits in writing its inability to pay, its debts as they become due, (ii) files, or
consents by answer or otherwise to the filing against it of, a petition for relief or reorganization or arrangement or any other petition in bankruptcy, for liquidation or to take advantage of any bankruptcy, insolvency, reorganization, moratorium
or other similar law of any jurisdiction, (iii) makes an assignment for the benefit of its creditors, (iv) consents to the appointment of a custodian, receiver, trustee or other officer with similar powers with respect to it or with
respect to any substantial part of its property, (v) is adjudicated as insolvent or to be liquidated, or (vi) takes corporate action for the purpose of any of the foregoing; 

(c) a court or a Regulatory Authority or other governmental agency of competent jurisdiction enters an order appointing, without consent by
Lessee, a custodian, receiver, trustee or other officer with similar powers with respect to it or with respect to any substantial part of its property, or constituting an order for relief or approving a petition for relief or reorganization or any
other petition in bankruptcy or for liquidation or to take advantage of any bankruptcy or insolvency law of any jurisdiction, or ordering the dissolution, winding-up or liquidation of Lessee or any such petition shall be filed against Lessee and
such petition shall not be dismissed within 90 days; 
 (d) Any representation or warranty made by Lessee herein shall prove to have been
inaccurate in any material respect at the time made; 
 (e) a final judgment or judgments for the payment of money aggregating in excess of
$1,000,000 are rendered against Lessee and which judgments are not, within 60 days after entry thereof, bonded, discharged or stayed pending appeal, or are not discharged within 60 days after the expiration of such stay; 

(f) Lessee shall have breached or failed to comply in any material respect with any other covenant or agreement contained herein; or 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 24 

 (g) Notwithstanding Section 9.1(a), Lessee’s failure to pay Rent when due shall not
constitute a default if (i) such failure is due to unforeseeable circumstances arising from a physical event beyond the control of the Lessee, including the incurrence of costs and expenditures as a result of such an event that are materially
in excess of budgeted costs and expenditures or an unforeseen material decline in electricity usage as a result of such event and (ii) such failure is cured within ninety (90) days after the date such rent was due through Lessee’s
payment of the entire amount of such unpaid Rent, plus interest thereon at a rate equal to six percent (6%) per annum or the maximum rate allowed by law, whichever is lesser, from the date such Rent was originally due until the date of payment.

 9.2. Lessor Default. Subject to Section 9.3, Lessor shall be in default in the event any
representation or warranty made by Lessor herein shall prove to have been inaccurate in any material respect at the time made, or in the event Lessor breaches or fails to comply in any material respect with any covenant or agreement contained
herein. 
 9.3. Right to Cure. If a Party (the “Defaulting Party”)
defaults pursuant to an Event of Default, such Defaulting Party shall not be in default of the terms of this Agreement if (other than in the event of a default described in Sections 9.1(b) and/or 9.1(c) above), (a) in the case of a
Monetary Default, the Defaulting Party pays the past due amount within thirty (30) days of receiving a Notice of Default from the other Party (the “Non-Defaulting Party”), and (b) in the case of a Non-Monetary Default, the
Event of Default is cured within forty-five (45) days of receiving the Notice of Default; provided, that if the nature of the Non-Monetary Default requires, in the exercise of commercially reasonable diligence, more than forty-five
(45) days to cure then the Defaulting Party shall not be in default as long as it commences performance of the cure within forty-five (45) days and thereafter completes such cure with commercially reasonable diligence. 

9.4. Remedies. 

(a) Should an Event of Default remain uncured by the Defaulting Party, the Non-Defaulting Party shall have and shall be entitled to exercise
the remedies provided in this Section 9.4 and any and all other remedies available to it at law or in equity, all of which remedies shall be cumulative; provided, that the exercise of any remedies hereunder shall be subject to PUCT and other
required regulatory approvals to the extent applicable. 
 (b) In no way limiting the provisions of Section 9.4(a), in the case of an
Event of Default of Lessee, Lessor shall have the right to (i) terminate the Agreement upon notice to Lessee, and recover from Lessee all damages to which Lessor is entitled under Applicable Laws, (ii) terminate Lessee’s right to use
and operate the ERCOT Transmission Assets while keeping this Agreement in effect, and recover from Lessee all damages to which Lessor is entitled under Applicable Laws, and (iii) take reasonable action to cure Lessee’s default at
Lessee’s expense; provided, that in the event of a violation of Applicable Laws by Lessee, an emergency or government or regulatory action in respect of which Lessor, in its reasonable discretion, determines immediate action is necessary,
Lessor shall have the right to step in and take such action on behalf of Lessee at Lessee’s cost and expense immediately upon giving notice to Lessee, notwithstanding any applicable cure period. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 25 

 (c) Any amounts recovered by Lessor from Lessee in the event of a default shall, to the maximum
extent permissible under Applicable Laws, be deemed to be in respect of past or future Rent owing under this Agreement. 
 ARTICLE X

 CAPITAL EXPENDITURES 

10.1. Capital Expenditures Generally. 

(a) Lessee has provided to Lessor in the CapEx Budget the approximate amounts of Capital Expenditures that Lessee expects will be needed for
purposes of funding Footprint Projects in each Lease Year through 2017. On or before October 15 of each calendar year, Lessee shall review and revise the CapEx Budget on a rolling three-year basis (which shall include, if applicable, any year
in such three-year period following the end of the then-current Term and assume the renewal of this Agreement pursuant to Section 2.1), taking into account any changed circumstances that (i) make it no longer feasible to incur one or more
of the costs reflected on the prevailing CapEx Budget, (ii) make it necessary to amend the nature or amounts reflected for a particular Footprint Project or (iii) dictate that additional Footprint Projects be added (such budget, as so
updated and revised, is referred to herein as the “CapEx Budget”). Lessee agrees to revise the CapEx Budget to include any Footprint Projects (x) required by Regulatory Authorities or (y) reasonably necessary to satisfy
Lessee’s obligation as a regulated utility to serve its customers or to maintain the safety or reliability of the ERCOT Transmission Assets. Capital Expenditures included in a CapEx Budget will be included based on the date such Capital
Expenditures are to be incurred, which differentiates these Capital Expenditures from Incremental CapEx and Lessee CapEx, which are measured under this Agreement based on when the assets developed with such Capital Expenditures are placed in
service, and not when they are incurred. 
 (b) If requested by Lessor, Lessee will also provide an estimate of any Capital Expenditures that
Lessee expects for purposes of funding Personal Property related to the ERCOT Transmission Assets. If Lessor and Lessee agree, Lessor will fund such Capital Expenditures pursuant to this Agreement, through a loan or through a separate lease. Amounts
Lessor provides pursuant to this Agreement to fund any such Personal Property will be treated in a manner similar to any amounts Lessor provides to fund Footprint Projects for purposes of Section 3.2 and elsewhere herein. Lessee will cause any
such Personal Property to be titled in Lessor’s name and will reasonably cooperate with Lessor in order to enable any secured lender of Lessor or any secured lender of an affiliate of Lessor to perfect its security interest in any such Personal
Property. In the alternative, Lessor may elect to fund such Capital Expenditures through a TRS or to loan (or cause such TRS to loan) Lessee the cash to acquire any such Personal Property in a transaction in which Lessor or a TRS may retain a
security interest in such Personal Property. In such case the Parties shall negotiate in good faith the terms under which Lessor or such TRS shall fund any such Personal Property, including the terms of any lease between Lessee and the TRS or other
financing arrangements provided by the Lessor or the TRS. 
 10.2. Capital Expenditures Funded by Lessor
Lessor agrees to fund any Footprint Projects contained in the CapEx Budget (as revised from time to time). Lessor’s obligation to fund Footprint Projects pursuant to this Section 10.2 shall include any costs associated with such
Footprint Projects that Lessee is not allowed to recover through its PUCT-approved rates. Any Footprint Projects funded by Lessor under this Section 10.2 shall be deemed to be part of the ERCOT Transmission Assets upon completion.

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 26 

 10.3. Capital Expenditures Funded by Lessee. Except as set
forth in this Section 10.3, Lessee may not fund any Footprint Projects. In the event Lessor fails to fund any Footprint Projects, Lessee may at its sole discretion fund the needed capital expenditures (and Lessee shall be entitled to applicable
damages, if any, as a result of funding any such Footprint Projects); provided that, in such circumstance, Lessee may fund Severable Footprint Projects without restriction under this Section 10.3 but may only fund Nonseverable Footprint
Projects which are required in order to comply with Applicable Law or which are required by any Regulatory Authority. Any Footprint Projects funded by Lessee under this Section 10.3 shall not be considered part of the ERCOT Transmission Assets
for purposes of this Agreement; provided however, that any part of the ERCOT Transmission Assets that is built with CIAC funds shall be considered a leasehold improvement that is part of the ERCOT Transmission Assets and reverts to the
Lessor upon termination of this Agreement without further payment from Lessor to Lessee under Section 2.3.  

10.4. Footprint Project Construction Activities. Lessee will either use its personnel, or either Lessee or
Lessor will contract with third parties, to construct Footprint Projects. Lessee shall be responsible for the oversight of such construction activities, regardless of whether the Footprint Project is funded by Lessor or Lessee. Lessee’s
construction activities and oversight shall be intended to ensure that such construction is performed in a manner consistent with Good Utility Practice and does not adversely affect the reliability and safety of the ERCOT Transmission Assets or the
ERCOT electric grid. In connection therewith, Lessor will reimburse Lessee for all Project Management Costs that Lessee incurs in connection with constructing such Footprint Project, provided that any costs and expenses of Lessee under this
Section 10.4 must be included in any CapEx Budget submitted by Lessee under Section 10.1 or approved by Lessor to qualify for reimbursement by Lessor hereunder. 

10.5. Ownership of Footprint Projects 

(a) Each Footprint Project shall be owned by the Party that funded the capital expenditures used to construct such Footprint Project;
provided however, that any part of the ERCOT Transmission Assets that is built with CIAC funds shall be considered a leasehold improvement that is part of the ERCOT Transmission Assets and shall revert to the Lessor upon termination of
this Agreement without further payment from Lessor to Lessee under Section 2.3. 
 (b) Upon the expiration or termination of this
Agreement, Lessor shall have the right (but not the obligation) to purchase, subject to required regulatory approvals, any Nonseverable Footprint Projects or Severable Footprint Projects owned by Lessee at the greater of (i) net book value plus
ten percent (10%) and (ii) the fair market value thereof as determined by mutual agreement of Lessor and Lessee. If the Parties fail to agree on the amount of the purchase price, the purchase price shall be submitted to arbitration in
accordance with Section 13.7 of this Agreement, pursuant to which the Arbitration Panel shall be empowered to determine the amount of the purchase price, based on submissions by each of the Lessee and the Lessor. Lessee shall be entitled to
remove any Severable Footprint Projects owned by Lessee upon the expiration or termination of this Agreement in the event such Severable Footprint Projects are not purchased by Lessor, subject to any required regulatory approvals. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 27 

 10.6. Asset Acquisitions. Lessee and Lessor will cooperate in good faith to
ensure that all ERCOT Transmission Assets are acquired in Lessor’s name or are acquired by Lessee and subsequently transferred to Lessor. In connection therewith, Lessee agrees (a) to transfer to Lessor all previously acquired ERCOT
Transmission Assets, (b) that any future-acquired ERCOT Transmission Assets will be deemed automatically transferred to Lessor, (c) to take reasonable actions as are necessary and appropriate to document the transfer of any such ERCOT
Transmission Assets to Lessor and, if applicable, to memorialize the security interest in such ERCOT Transmission Assets required to be granted pursuant to the terms of the Debt Agreements, including through the delivery and recordation of
mortgages, deeds of trust or UCC financing statements, and (d) to take reasonable steps to record the transfer and such security interest in the records of the applicable county or other applicable locale in which the ERCOT Transmission Assets
are located. 
 10.7. Reimbursements. From time to time, Lessee may enter into interconnect or similar agreements that
obligate the counterparty to such agreements to reimburse Lessee for Capital Expenditures in certain circumstances. Such reimbursement obligation may, in some circumstances, be accompanied by additional security such as parent guaranty or a letter
of credit. If and to the extent that (a) Lessor funds Capital Expenditures that are used for the construction or development pursuant to any of these interconnect agreements, and (b) Lessee becomes entitled to assert any reimbursement or other
rights pursuant to any such interconnect agreements, then, unless Lessor agrees otherwise, Lessee will enforce such reimbursement or other rights and will in turn reimburse Lessor for the amount of related Capital Expenditures that Lessor has funded
pursuant hereto. Lessee further agrees to reimburse Lessor for other Capital Expenditures that Lessor has funded pursuant to this Agreement to the extent required by the Policies and Procedures. 

ARTICLE XI 
 REGULATORY
COOPERATION 
 11.1. Jurisdiction. The Parties recognize that (i) the ERCOT Transmission Assets
and the operation thereof are subject to the jurisdiction of the PUCT and to certain reliability and safety requirements of ERCOT and TRE, and (ii) Lessee holds CCNs for operation of the ERCOT Transmission Assets. The Parties agree that, as the
lessee hereunder, as operator of the ERCOT Transmission Assets and as the holder of the CCNs, Lessee shall be responsible for compliance with all regulatory requirements related to the ERCOT Transmission Assets, including but not limited to, taking
all actions reasonably necessary or advisable to comply with such requirements; preparing and filing all necessary notices, reports, applications, and other materials with the PUCT, ERCOT, TRE and NERC; and initiating, prosecuting, defending or
participating in any administrative or judicial proceeding reasonably necessary or advisable to operate the ERCOT Transmission Assets in an economical and efficient manner. Lessee shall consult with Lessor prior to initiating any rate proceeding
with the PUCT to change the rates Lessee can lawfully charge, provided that, with or without Lessor consent, Lessee shall be authorized to initiate any such rate proceeding. Upon Lessor’s request, Lessee shall file a rate proceeding before the
PUCT; provided that, Lessor shall be responsible for reimbursing Lessee for all costs associated with prosecution of such proceeding to the extent that such costs are not recoverable in Lessee’s PUCT-approved rates. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 28 

 11.2. Cooperation. The Parties agree that during the term of
this Agreement they will cooperate to assure compliance with all applicable regulations, orders or lawful requests of any governmental or Regulatory Authorities that relate to the ERCOT Transmission Assets and Lessee’s obligations as the holder
of the CCNs and will provide such information to such governmental and Regulatory Authorities as the other Party or such governmental or Regulatory Authorities may reasonably request in connection therewith. Lessor further agrees to use its best
efforts to cooperate and promptly respond to any lawful requests from Lessee relating to Lessee’s efforts to comply with all regulatory requirements or to participate in any necessary or advisable legal proceedings, whether judicial or
administrative. Each Party shall bear its own costs in complying with this paragraph. 
 ARTICLE XII 

INDEMNITY 

12.1. General Indemnity. EACH PARTY (THE “INDEMNIFYING PARTY”) SHALL DEFEND,
INDEMNIFY AND HOLD HARMLESS THE OTHER PARTY AND THE OTHER PARTY’S RELATED PERSONS (EACH, AN “INDEMNIFIED PARTY”) FROM AND AGAINST ANY AND ALL CLAIMS, LITIGATION, ACTIONS, PROCEEDINGS, LOSSES, DAMAGES, LIABILITIES,
OBLIGATIONS, COSTS AND EXPENSES, INCLUDING ATTORNEYS’, INVESTIGATORS’ AND CONSULTING FEES, COURT COSTS AND LITIGATION EXPENSES (COLLECTIVELY, “CLAIMS”) SUFFERED OR INCURRED BY SUCH INDEMNIFIED PARTY,
EVEN IF SUCH LIABILITIES ARE CAUSED SOLELY OR IN PART BY THE NEGLIGENCE OF ANY INDEMNIFIED PARTY, ARISING FROM THE ACTS OR OMISSIONS TO ACT OF THE INDEMNIFYING PARTY (A) ARISING IN THE CASE OF THE LESSEE AS THE INDEMNIFYING PARTY,
FROM THE OPERATION OF THE ERCOT TRANSMISSION ASSETS, (B) FOR PHYSICAL DAMAGE TO THE ERCOT TRANSMISSION ASSETS, TO THE EXTENT CAUSED BY THE INDEMNIFYING PARTY OR ANY RELATED PERSON THEREOF, (C) FOR PHYSICAL INJURIES OR DEATH (INCLUDING BY
REASON OF OPERATING THE ERCOT TRANSMISSION ASSETS) TO OR OF THE INDEMNIFIED PARTY OR THE PUBLIC, TO THE EXTENT CAUSED BY THE INDEMNIFYING PARTY OR ANY RELATED PERSON THEREOF, (D) ANY BREACH OF ANY COVENANT OR ANY FAILURE TO BE TRUE OF ANY
REPRESENTATION OR WARRANTY, MADE BY THE INDEMNIFYING PARTY UNDER THIS AGREEMENT OR (E) THE NEGLIGENCE, RECKLESSNESS OR INTENTIONAL MISCONDUCT OF THE INDEMNIFYING PARTY OR ANY RELATED PERSON THEREOF; PROVIDED, HOWEVER, THAT IN NO EVENT SHALL THE
INDEMNIFYING PARTY BE RESPONSIBLE FOR DEFENDING, INDEMNIFYING OR HOLDING HARMLESS ANY INDEMNIFIED PARTY TO THE EXTENT OF ANY CLAIM CAUSED BY, ARISING FROM OR CONTRIBUTED TO BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF SUCH INDEMNIFIED PARTY. AS
USED HEREIN, THE TERM “RELATED PERSON” SHALL MEAN ANY AFFILIATES, CONTRACTORS, LESSEES, AND SUBLESSEES, AND EACH OF THEIR RESPECTIVE, PRINCIPALS, OFFICERS, EMPLOYEES, SERVANTS, AGENTS, REPRESENTATIVES, SUBCONTRACTORS,
LICENSEES, INVITEES, GUESTS, SUCCESSORS AND/OR ASSIGNS OF A PARTY; PROVIDED, THAT IN NO EVENT SHALL A PARTY BE DEEMED A RELATED PERSON WITH RESPECT TO THE OTHER PARTY.  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 29 

 12.2. Environmental Indemnity. 

(a) To the fullest extent permitted by law, Lessee shall defend, indemnify and hold harmless Lessor and Lessor’s Related Persons from
Claims (including, without limitation, any costs and expenses of clean up or other mitigation) suffered or incurred by such persons resulting from any of the following occurring from and after the date hereof or the date on which Lessee assumed
operational control over the relevant property: (i) the presence or release of Hazardous Materials in, under or about the ERCOT Transmission Assets which are or were brought or permitted to be brought onto the ERCOT Transmission Assets by the
Lessee or Lessee’s Related Persons, (ii) creation of any hazardous or potentially hazardous environmental conditions or exacerbation of a pre-existing environmental condition, (iii) the violation of any Environmental Law by Lessee or
Lessee’s Related Persons or (iv) any other failure to comply with Section 4.6 by Lessee or Lessee’s Related Persons. 

(b) To the fullest extent permitted by law, Lessor shall defend, indemnify and hold harmless Lessee and Lessee’s Related Persons from
Claims (including, without limitation, any costs and expenses of clean up or other mitigation) suffered or incurred by such persons resulting from (i) the presence or release of Hazardous Materials in, under or about the ERCOT Transmission
Assets which are or were brought or permitted to be brought onto the ERCOT Transmission Assets by Lessor or Lessor’s Related Persons during construction of any improvement or addition to the ERCOT Transmission Assets, (ii) the violation of
any Applicable Law by Lessor or Lessor’s Related Persons, or (iii) testing conducted under Section 4.6 by Lessor or Lessor’s Related Persons. 

ARTICLE XIII 

MISCELLANEOUS 

13.1. Limitation of Damages. NEITHER PARTY SHALL BE LIABLE FOR ANY LOST OR PROSPECTIVE PROFITS, AND IN NO
EVENT SHALL EITHER PARTY BE LIABLE FOR ANY OTHER SPECIAL, PUNITIVE, EXEMPLARY, CONSEQUENTIAL, INCIDENTAL OR INDIRECT LOSSES OR DAMAGES (IN TORT, CONTRACT OR OTHERWISE) UNDER OR IN RESPECT OF THIS AGREEMENT OR FOR ANY FAILURE OF PERFORMANCE RELATED
HERETO, HOWSOEVER CAUSED. 
 13.2. Condemnation. In the case of a condemnation or taking,
this Agreement shall continue in effect; provided, that this Agreement shall terminate if 75% or more of the ERCOT Transmission Assets is subject to the condemnation or taking. Lessor shall be entitled to all sums received by reason of any such
taking or condemnation, except for that portion of such award, if any, which is expressly awarded for the Lessee’s leasehold interest under this Agreement or which is awarded for any property owned by Lessee (including any Footprint Projects
funded by Lessee). 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 30 

 13.3. Confidentiality. To the full extent allowed by
Applicable Law, each Party (the “Receiving Party”) shall maintain, for the benefit of the other Party (the “Disclosing Party”), in the strictest confidence all information pertaining to the financial terms of or
payments under this Agreement, the Disclosing Party’s methods of operation, methods of the ERCOT Transmission Assets, and the like, whether disclosed by the Disclosing Party or discovered by the Receiving Party, unless such information either
(i) is in the public domain by reason of prior publication through no act or omission of the Receiving Party or its employees or agents, (ii) was already known to the Receiving Party at the time of disclosure and which the Receiving Party
is free to use or disclose without breach of any obligation to any person or entity or (iii) is required to be disclosed by the PUCT or other Regulatory Authorities, or must be disclosed in accordance with applicable securities laws or the
rules of any applicable securities exchange on which the securities of the Receiving Party (or an affiliate thereof) are traded. To the full extent permitted by law, neither Party shall use such information for its own benefit, publish or otherwise
disclose it to others, or permit its use by others for their benefit or to the detriment of the other Party. Notwithstanding the foregoing, the Receiving Party may disclose such information to any auditor or to the Receiving Party’s lenders,
attorneys, accountants and other personal advisors; any prospective purchaser of the ERCOT Transmission Assets; or pursuant to lawful process, subpoena or court order; provided the Receiving Party, in making such disclosure, advises the party
receiving the information of the confidentiality of the information and obtains the agreement of said party not to disclose the information. 

13.4. Successors and Assigns. The Agreement shall inure to the benefit of and be binding upon Lessor and
Lessee and, to the extent provided in any assignment or other transfer under Article VIII hereof, any assignee, and their respective heirs, transferees, successors and assigns, and all persons claiming under them. References to Lessee in this
Agreement shall be deemed to include assignees that hold a direct ownership interest in this Agreement and actually are exercising rights under this Agreement to the extent consistent with such interest. 

13.5. Rent Obligations Not Excused by Force Majeure, Etc. Lessee shall not be excused from its obligation to
pay Rent during any Force Majeure Event or a condemnation or casualty of all or any part of the ERCOT Transmission Assets.  

13.6. Further Assurances; Policies and Procedures. 

(a) Each Party will, from time to time, execute, cause to be acknowledged and deliver such documents or instruments, and provide such
certificates, as the other Party may reasonably request to carry out and fulfill the transactions, and permit the exercise and performance of the rights and obligations, as are contemplated hereunder. Each Party will cooperate with the other Party
to effectuate fully the purposes and intent of this Agreement. In no way limiting the foregoing, the Parties shall cooperate to obtain any necessary regulatory approvals, including, without limitation, providing timely responses to discovery
requests, participating in regulatory proceedings to the extent necessary and generally providing assistance as required. 
 (b) From
time to time, the Parties shall agree to policies and procedures regarding matters arising under this Agreement including, without limitation, the treatment of Capital Expenditures for canceled Footprint Projects, each Party’s reporting
obligations and such additional matters as the Parties may identify (the “Policies and Procedures”). The Parties agree  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 31 

 
to cooperate and negotiate in good faith the Policies and Procedures, and any amendment or revision thereto that may be reasonably requested by either Party, and to memorialize the same in a
writing executed by a representative of each Party. In the event the Parties cannot agree on the terms of such Policies and Procedures after 60 days of negotiating in good faith, then either the Lessee or the Lessor may submit such matters to
arbitration pursuant to Section 13.7 of this Agreement, pursuant to which the Arbitration Panel shall be empowered to determine Policies and Procedures that take into account the REIT’s reporting obligations as a public company and
Lessee’s obligations as a regulated utility. 
 13.7. Arbitration. Except for a dispute
regarding the payment of Undisputed Rent, any dispute under this Agreement shall, if not resolved by the Parties within ninety (90) days after notice of such dispute is served by one Party to the other (or, if different, the period provided for
resolution by the Parties in the provision of this Agreement under which such dispute is brought), be submitted to an “Arbitration Panel” comprised of three (3) members. No more than one (1) panel member may be with the
same firm, and no panel member may have an economic interest in the outcome of the arbitration. In addition to the foregoing, the failure by the Lessee and the Lessor to reach an agreement or make a mutual determination or characterization required
by Sections 2.2(b) (with respect to the determination of Extended Period Rent); 3.1(d)(i); 3.1(d)(ii); 3.1(d)(iii); 3.2(a); 3.2(b) (with respect to the terms of any renewed Rent Supplement that has expired during the term of this Agreement); 3.2(c);
3.2(d); 3.8 or 13.6(b), in each case after 60 days of negotiating in good faith, shall be deemed to be a “dispute” for purposes of this Section 13.7, to be resolved in accordance with this Section. 

(a) The Arbitration Panel shall be selected as follows: Within five (5) Business Days after the expiration of the period referenced
above, Lessee shall select its panel member meeting the criteria of the above paragraph (the “Lessee Panel Member”) and Lessor shall select its panel member meeting the criteria of the above paragraph (the “Lessor Panel
Member”). If a Party fails to timely select its respective panel member, the other Party may notify such Party in writing of such failure, and if such Party fails to select its respective panel member within three (3) Business Days
from such notice, then the other Party may select such panel member on such Party’s behalf. Within five (5) Business Days after the selection of the Lessor Panel Member and the Lessee Panel Member, the Lessee Panel Member and the Lessor
Panel Member shall jointly select a third panel member meeting the criteria of the above paragraph (the “Third Panel Member”). If the Lessor Panel Member and the Lessee Panel Member fail to timely select the Third Panel Member and
such failure continues for more than three (3) Business Days after written notice of such failure is delivered to the Lessor Panel Member and Lessee Panel Member by either Lessor or Lessee, either Lessor or Lessee may request the managing
officer of the American Arbitration Association to appoint the Third Panel Member. 
 (b) Within ten (10) Business Days after the
selection of the Arbitration Panel, each Party shall submit to the Arbitration Panel a written statement identifying its summary of the issues and claims, including, if applicable, its calculation of Rent. Any Party may also request an evidentiary
hearing on the merits in addition to the submission of written statements. The Arbitration Panel shall make its decision within twenty (20) days after the later of (i) the submission of such written statements of particulars, and
(ii) the conclusion of any evidentiary hearing on the merits, and shall take into consideration the relative risks and rewards undertaken and capital invested by each Party and shall use the Comparable Rate of Return concept described in
Section 3.2(a) in determining any Rent disputes. The Arbitration Panel shall reach its decision by majority vote and shall communicate its decision by written notice to the Parties. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 32 

 (c) The decision by the Arbitration Panel shall be final, binding and conclusive and shall be
non-appealable and enforceable in any court having jurisdiction. All hearings and proceedings held by the Arbitration Panel shall take place in Dallas, Texas. 

(d) The resolution procedure described herein shall be governed by the Commercial Rules of the American Arbitration Association and subject to
the Texas General Arbitration Act to the extent such act is applicable hereto. 
 (e) In the case of an arbitration proceeding involving a
determination of Rent and Percentage Rent, until Rent and Percentage Rent have been finally determined, Lessee shall pay Rent and Percentage Rent based upon prevailing rates therefor, and an appropriate refund shall be made to or additional Rent
shall be paid by Lessee within ten (10) days after a final determination is made. 
 (f) The Parties shall bear equally the fees, costs
and expenses of the Arbitration Panel in conducting the arbitration. 
 13.8. Notices. All notices or
other communications required or permitted by this Agreement, including payments to Lessor, shall be in writing and shall be served personally or by reputable express courier service or by facsimile transmission addressed to the relevant parties at
the address stated below or at any other address notified by that Party to the other as its address for service. Any notice so given personally shall be deemed to have been served on delivery, any notice so given by express courier service shall be
deemed to have been served the next Business Day after the same shall have been delivered to the relevant courier, and any notice so given by facsimile transmission shall be deemed to have been served on dispatch. As proof of such service it shall
be sufficient to produce a receipt showing personal service, the receipt of a reputable courier company showing the correct address of the addressee or an activity report of the sender’s facsimile machine showing the correct facsimile number of
the parties on whom notice is served and the correct number of pages transmitted. All communications, other than routine correspondence in the ordinary course of business, between the Parties pursuant to this Agreement shall be sent by the same
method of communication by the Party sending the communication. The Parties’ addresses for service are: 
 If to Lessor:

 Sharyland Distribution & Transmission Services, L.L.C. 

1807 Ross Avenue, 4th Floor 

Dallas, Texas 75201 
 Attention:
Chief Executive Officer and General Counsel 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 33 

 If to Lessee: 

Sharyland Utilities, L.P. 
 1807
Ross Avenue, 4th Floor 
 Dallas, Texas 75201 

Attention: Hunter Hunt 
 With a
copy to: 
 General Counsel 

Fax: (214) 855-6965 
 Any Party may change
its address for purposes of this paragraph by giving written notice of such change to the other parties in the manner provided in this paragraph. 

13.9. Entire Agreement; Amendments. This Agreement constitutes the entire agreement between Lessor and
Lessee respecting its subject matter, and supersedes any and all oral or written agreements. Any agreement, understanding or representation respecting the ERCOT Transmission Assets, or any other matter referenced herein not expressly set forth in
this Agreement or a subsequent writing signed by both Parties is null and void. This Agreement shall not be modified or amended except in a writing signed by both Parties. No purported modifications or amendments, including without limitation any
oral agreement (even if supported by new consideration), course of conduct or absence of a response to a unilateral communication, shall be binding on either Party. 

13.10. Legal Matters. This Agreement shall be governed by and interpreted in accordance with the laws of the
State of Texas, without regard to its conflicts of law principles. The Parties agree that any rule of construction to the effect that ambiguities are to be resolved in favor of either Party shall not be employed in the interpretation of this
Agreement and is hereby waived. 
 13.11. Partial Invalidity. Should any provision of this
Agreement be held, in a final and unappealable decision by a court of competent jurisdiction, to be either invalid, void or unenforceable, the remaining provisions hereof shall remain in full force and effect, unimpaired by the holding.

 13.12. Recording. Lessee shall not record this Agreement without the prior written consent of
the Lessor. Lessee may record at its expense a memorandum of this Agreement in form and substance reasonably approved by Lessor. 

13.13. Intention of Parties; True Lease. 

(a) The Parties hereby declare that their relationship in and to the ERCOT Transmission Lease Assets is and will be that of lessor and lessee,
expressly subject to the terms, conditions, limitations and requirements set forth in this Agreement. Nothing contained in this Agreement will be deemed to constitute the Parties as partners or joint venturers or as principal and agent. The Parties
intend for this Agreement to constitute a true lease with respect to the ERCOT Transmission Lease Assets for US Federal, state and local income tax purposes, and each Party shall treat the Agreement as a true lease with respect to the ERCOT
Transmission Lease Assets for federal income tax reporting purposes. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 34 

 (b) The Parties acknowledge that Lessor is owned, directly or indirectly, in whole or in part, by
an entity intending to qualify as a real estate investment trust under the Internal Revenue Code of 1986, as amended, and the Parties agree to negotiate in good faith any modification or amendment to this Agreement requested by Lessor to facilitate
such qualification; provided that Lessee shall not be obligated to agree to any such modification or amendment if such modification or amendment would materially adversely affect Lessee or would be in conflict with Applicable Law or any regulations
or orders of any Regulatory Authority. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 35 

 IN WITNESS WHEREOF, Lessor and Lessee, acting through their duly authorized representatives, have
executed this Agreement with the intent that it be effective as of the Effective Date, and certify that they have read, understand and agree to the terms and conditions of this Agreement. 

 

					
	LESSOR:
	
	 SHARYLAND DISTRIBUTION & TRANSMISSION

SERVICES, L.L.C.

		
	By:	 	 /s/ Brant Meleski

		 	Name:	 	Brant Meleski
		 	Title:	 	 Senior Vice President and
 Chief Financial
Officer

  

					
	LESSEE:
	
	SHARYLAND UTILITIES, L.P.
		
	By:	 	 /s/ Mark Caskey

		 	Name:	 	Mark Caskey
		 	Title:	 	President

 Signature Page to ERCOT Transmission Assets Lease Agreement 

 APPENDIX A 

DEFINITIONS 
 “2009 Note
Purchase Agreement” has the meaning set forth in Section 4.13. 
 “2010 Note Purchase Agreement” has the meaning set forth in
Section 4.13. 
 “Additional Rent” has the meaning set forth in Section 3.4. 

“AFUDC” means allowance for funds used during construction. 

“Agreed-to-Discount” has the meaning set forth in Section 3.2(a). 

“Agreement” has the meaning set forth in the Preamble. 

“Annual Percentage Rent Breakpoint” means the dollar value of annual Gross Revenues that must be exceeded in a particular Lease Year before
Percentage Rent is owed, as set forth on the then-effective Rent Supplement. 
 “Applicable Laws” means all laws, ordinances, statutes,
orders and regulations of any federal, state, or local government, regulatory or administrative authority, any agency or commission thereof, or any court or tribunal, including without limitation all requirements of the Regulatory Authorities. 

“Arbitration Panel” has the meaning set forth in Section 13.7. 

“Base Rent” has the meaning set forth in Section 3.1(a). 

“Business Day” means a day other than a Saturday, Sunday or other day on which federal agencies are authorized or required by law to close.

 “CapEx Budget” has the meaning set forth in Section 10.1(a). 

“Capital Expenditures” means expenditures that are or are expected to be capitalized under GAAP. 

“CCN” means a Certificate of Convenience and Necessity or amendment thereto issued by the PUCT. 

“CFO Certificate” means a document signed by the Chief Financial Officer of Lessee and certifying to the accuracy and completeness of the
statement of Gross Revenues. 

  
 Appendix A – Page 1

 “Change in Control” means Hunt Family Members cease to possess, directly or indirectly,
the power to direct or cause the direction of the management or policies of Lessee, whether through the ability to exercise voting power, by contract or otherwise.  

“CIAC” means any contributions in aid of construction from current or prospective customers, plus any additional payments as a tax gross up
for such contributions, with respect to which Lessee does not anticipate receiving an increase in its regulatory rate base. 
 “Claims” has
the meaning set forth in Section 12.1. 
 “Comparable Rate of Return” has the meaning set forth in Section 3.2(a). 

“Consolidated Net Plant” means, with respect to any Person, as of the date of determination, the net plant set forth on the face of the
consolidated balance sheet of such Person or absent such amount on the consolidated balance sheet, the total plant of such Person on a consolidated basis minus accumulated depreciation as set forth in the footnotes of the consolidated financial
statements, in each case, for the fiscal quarter ended on the date of the last financial statements delivered pursuant to Section 7.1 of the Credit Agreement. 

“Consolidated Qualified Lessee” means any Qualified Lessee that is consolidated into the financial statements of another Qualified Lessee.

 “Covered Revenue” means any fees, charges or other revenues (a) that are characterized as Unadjusted Gross Revenues (or Gross
Revenues) for purposes hereof or for purposes of any other similar lease (x) between Lessee and Lessor or an affiliate thereof or (y) between Lessee and any of its wholly-owned subsidiaries or (b) that are generated from the Rate Base
of regulated assets owned or operated by a party other than Lessor or a subsidiary thereof. 
 “Credit Agreement” has the meaning set forth
in Section 4.13. 
 “CREZ Lease” means the Second Amended and Restated Lease Agreement (CREZ Assets) between Sharyland Projects,
L.L.C. and Lessee effective as of the Effective Date, as the same may be amended from time to time. 
 “Debt Agreements” has the meaning
set forth in Section 4.13. 
 “Defaulting Party” has the meaning set forth in Section 9.3. 

“Disclosing Party” has the meaning set forth in Section 13.3. 

“Effective Date” has the meaning set forth in the Preamble. 

“Entity” means any general partnership, limited partnership, proprietorship, corporation, joint venture, joint stock company, limited
liability company, limited liability partnership, business trust, estate, governmental entity, cooperative, association or other foreign or domestic enterprise. 

  
 Appendix A – Page 2

 “Environmental Law” means any and all Legal Requirements regulating, relating to or imposing
liability or standards of conduct concerning protection of natural resources or the environment, or environmental impacts on human health as now or may at any time hereafter be in effect. 

“ERCOT” means the Electric Reliability Council of Texas, or its successors. 

“ERCOT Transmission Assets” means the AJ Swope substation and Footprint Projects that add, expand or alter transmission assets identified
from time to time pursuant to Rent Supplements, as modified by Section 1.1(b). 
 “ERCOT Transmission Lease Assets” means the ERCOT
Transmission Assets, excluding any Footprint Project included in the definition of “ERCOT Transmission Assets” unless (i) such Footprint Project has been placed in service and (ii) a Rent Supplement has been executed with respect
to such Footprint Project. 
 “ERCOT Transmission Revenues” means Lessee’s Unadjusted Gross Revenues from regulated electric
transmission systems operated by Lessee within ERCOT pursuant to the PUCT’s transmission cost of service mechanism. 
 “Event of
Default” means an event described in Section 9.1 or Section 9.2. 
 “Excess Percentage Rent” has the meaning set forth
in Section 3.3(a). 
 “Extended Period Rent” means Rent that applies during any extended period of operatorship beyond the Term, which
will be negotiated using the Comparable Rate of Return methodology set forth in Article III. 
 “FERC” means the Federal Energy Regulatory
Commission, or its successors. 
 “First Lease Quarter Percentage Rent Breakpoint” has the meaning set forth in Section 3.1(c).

 “Footprint Projects” means T&D Projects that are (i) (A) located in the distribution service territory of the ERCOT
Transmission Assets, (B) transmission assets that are added to an existing transmission substation that comprises a part of the ERCOT Transmission Assets or hang from transmission towers that comprise a part of the ERCOT Transmission Assets or
(C) Reclassified Projects and (ii) funded by expenditures that are or are expected to be capitalized under GAAP and that are within the items described in Section 1.1(b)(i)-(v) (specifically excluding Section 1.1(b)(vi)).

 “Force Majeure Event” means, except to the extent resulting from the action or inaction of Lessee or within the control of Lessee, fire,
earthquake, hurricane, flood, or other casualty or accident; strikes or labor disputes; war, civil strife or other violence; any law, order, proclamation, regulation, ordinance, action, demand or requirement of any government agency or utility; or
any other act or condition beyond the reasonable control of Lessee. 

  
 Appendix A – Page 3

 “GAAP” means generally accepted accounting principles in effect in the United States of America.

 “Good Utility Practice” shall be as defined from time to time by PUCT and, as of the date hereof, means any of the practices, methods,
and acts engaged in or approved by a significant portion of the electric utility industry during the relevant time period, or any of the practices, methods, and acts that, in the exercise of reasonable judgment in light of the facts known at the
time the decision was made, could have been expected to accomplish the desired result at a reasonable cost consistent with good business practices, reliability, safety, and expedition. Good utility practice is not intended to be limited to the
optimum practice, method, or act, to the exclusion of all others, but rather is intended to include acceptable practices, methods, and acts generally accepted in the region. 

“Gross Revenues” has the meaning set forth in Section 3.1(d)(i). 

“Hazardous Materials” means (A) any substance which is listed, defined, designated or classified under any Applicable Law as a
(i) hazardous material, substance, constituent or waste, (ii) toxic material, substance, constituent or waste, (iii) radioactive material, substance, constituent or waste, (iv) dangerous material, substance, constituent or waste,
(v) pollutant, (vi) contaminant, or (vii) special waste; (B) any material, substance, constituent or waste regulated under any Applicable Laws; or (C) petroleum, petroleum products, radioactive matters, polychlorinated
biphenyl, pesticides, asbestos or asbestos-containing materials. 
 “Hunt Family Members” means (i) Ray L. Hunt; (ii) the spouse
of Ray L. Hunt and each of his children and siblings; (iii) the spouse and lineal descendants of any Person identified in the foregoing clause (ii); (iv) any trust or account primarily for the benefit of any Person or Persons identified in
the foregoing clauses (i), (ii) or (iii); (v) any corporation, partnership or other Entity in which any of the Persons identified in the foregoing clauses (i), (ii), (iii) or (iv) are the beneficial owners of substantially all of
the shares of capital stock, membership interests, partnership interests or other equity interests and options or warrants to acquire, or securities convertible into, capital stock, membership interests, partnership interests or other equity
securities of an Entity; and (vi) the personal representative or guardian of any of the Persons identified in the foregoing clauses (i), (ii) and (iii) upon such Person’s death for purposes of the administration of such
Person’s estate or upon such Person’s disability or incompetency for purposes of the protection and management of the assets of such Person. 

“HVDC Ties” are high voltage direct current interconnections, including AC/DC converter stations. 

“Incremental CapEx” means Lessor-funded Capital Expenditures related to ERCOT Transmission Assets that are placed in service, as and when
such ERCOT Transmission Assets are placed in service, as adjusted (y) for any applicable AFUDC and/or depreciation, and (z) to reflect the effect of the deferred tax liability or deferred tax asset, as applicable. 

  
 Appendix A – Page 4

 “Indebtedness” with respect to any Person means, at any time, without duplication (a) its
liabilities for borrowed money and its redemption obligations in respect of mandatorily redeemable preferred stock; (b) its liabilities for the deferred purchase price of property acquired by such Person (excluding accounts payable arising in
the ordinary course of business but including all liabilities created or arising under any conditional sale or other title retention agreement with respect to any such property); (c)(i) all liabilities appearing on its balance sheet prepared in
accordance with GAAP in respect of capital leases; and (ii) all liabilities which would appear on its balance sheet prepared in accordance with GAAP in respect of Synthetic Leases assuming such Synthetic Leases were accounted for as capital
leases; provided, however, that for purposes of this definition (including with respect to clauses (i) and (ii) hereof), (x) this Agreement and any similar lease between Lessor (or any subsidiary) and Lessee and (y) any lease
between Lessee and any of its wholly-owned subsidiaries shall not be treated as a capital lease; (d) all liabilities for borrowed money secured by any Lien with respect to any property owned by such Person (whether or not it has assumed or
otherwise become liable for such liabilities); (e) all of its liabilities in respect of letters of credit or instruments serving a similar function issued or accepted for its account by banks and other financial institutions (whether or not
representing obligations for borrowed money), provided, however, that for purposes of this definition, any surety bonds or indemnification agreements entered into by Lessee (with respect to which Lessee or a subsidiary has a reimbursement or
backstop obligation) in connection with condemnation proceedings shall be excluded; (f) the aggregate Swap Termination Value of all Swap Contracts of such Person; and (g) any guaranty of such Person with respect to liabilities of a type
described in any of clauses (a) through (f) hereof. Indebtedness of any Person shall include all obligations of such Person of the character described in clauses (a) through (g) to the extent such Person remains legally liable in
respect thereof notwithstanding that any such obligation is deemed to be extinguished under GAAP. 
 “Indemnified Party” has the
meaning set forth in Section 12.1. 
 “Indemnifying Party” has the meaning set forth in Section 12.1. 

“Initial Term” has the meaning set forth in Section 2.1. 

“Lease” or “Leases” means (i) this Agreement, the McAllen Lease, the Stanton/Brady/Celeste Lease, the CREZ Lease and
the Stanton Transmission Loop Lease and any other leases of transmission and distribution and related assets to a Qualified Lessee under which Lessor or any subsidiary of Lessor is a party as a lessor, and (ii) any lease of transmission and
distribution and related assets pursuant to which Lessee is the lessee and a subsidiary of Lessee or another Person controlled by one or more Hunt Family Members is the lessor; provided, no such lease will qualify as a “Lease”
hereunder if each of the three following criteria apply: (x) Lessee is the lessee, (y) cash rental payments have become due and payable pursuant thereto and (z) none of Lessor, a subsidiary of Lessor or a subsidiary of Lessee is the
lessor. 
 “Lease Quarter” means each calendar quarter during each Lease Year. 

“Lease Year” means each calendar year during the Term of this Agreement. 

“Leased Consolidated Net Plant” means that portion of the Consolidated Net Plant of the lessor of a Lease between such lessor and a
Qualified Lessee that is the subject of such Lease. 

  
 Appendix A – Page 5

 “Legal Requirements” means, as to any Person, the certificate of incorporation and
by-laws, limited liability company agreement, partnership agreement or other organizational or governing documents of such Person, any law (including common law), statute, code, treaty, rule, regulation, ordinance including any government rule or
determination of an arbitrator a court or other government authority, or any requirement under a Permit, in each case applicable to or binding upon such Person or any of its properties or to which such Person or any of its property is subject.

 “Lessee” has the meaning set forth in the Preamble. 

“Lessee CapEx” means Capital Expenditures that are related and fairly allocable to the ERCOT Transmission Assets and are funded by Lessee.

 “Lessee Panel Member” has the meaning set forth in Section 13.7(a). 

“Lessee Taxes” has the meaning set forth in Section 4.3. 

“Lessor” has the meaning set forth in the Preamble. 

“Lessor’s Audit” has the meaning set forth in Section 3.3(c). 

“Lessor Panel Member” has the meaning set forth in Section 13.7(a). 

“Lessor Taxes” has the meaning set forth in Section 4.3. 

“Liens” has the meaning set forth in Section 5.2. 

“McAllen Lease” means the Third Amended and Restated Master System Lease Agreement (McAllen System) between Lessor and Lessee effective as of
the Effective Date, as the same may be amended from time to time. 
 “Monetary Default” means the failure to pay when due any amounts
payable under this Agreement. 
 “NERC” means North American Electric Reliability Corporation, or its successors. 

“Non-Defaulting Party” has the meaning set forth in Section 9.3. 

“Non-Monetary Default” means an Event of Default other than a Monetary Default. 

“Non-Recourse Debt” means Indebtedness of a subsidiary of Lessee that, if secured, is secured solely by a pledge of collateral owned by such
subsidiary and the equity interests in such subsidiary, and for which no Person other than such subsidiary is personally liable. 
 “Nonseverable
Footprint Projects” means those Footprint Projects that cannot be readily removed from the ERCOT Transmission Assets without causing diminution in value to the ERCOT Transmission Assets. 

  
 Appendix A – Page 6

 “Note Purchase Agreements” has the meaning set forth in Section 4.13. 

“Notice of Default” means written notice of the Event of Default. 

“Other Revenue” means revenue generated from activities as a regulated utility within the State of Texas other than Covered Revenue. 

“Overdue Rate” means a rate equal to ten percent (10%) per annum or the maximum rate allowed by law, whichever is lesser. 

“Party” or “Parties” has the meaning set forth in the Preamble. 

“Percentage Rent” has the meaning set forth in Section 3.1(b). 

“Percentage Rent Breakpoint” means individually any of the Annual Percentage Rent Breakpoint, the First Lease Quarter Percentage Rent
Breakpoint, the Second Lease Quarter Percentage Rent Breakpoint or the Third Lease Quarter Percentage Rent Breakpoint (collectively referred to as the “Percentage Rent Breakpoints”). 

“Percentage Rent Percentages” has the meaning set forth in Section 3.1(b). 

“Percentage Rent Schedule” means the schedule attached to the then-current Rent Supplement setting forth the Percentage Rent
Percentages and Annual Percentage Rent Breakpoints for the ERCOT Transmission Assets through the end of the Term. 
 “Permitted
Liens” means 
  

	 	(i)	The Liens granted by the Lessor to any lender or trustee for any lender which finances the Lessor’s interest in the ERCOT Transmission Assets; 

 

	 	(ii)	Liens imposed by any governmental authority for any tax, assessment or other charge relating to ERCOT Transmission Assets to the extent not yet past due or being contested in good faith and by appropriate proceedings;

  

	 	(iii)	mechanics’, warehousemen’s, carriers’, workers’, repairers’, landlords’, and other similar liens arising or incurred in the ordinary course of business and (i) which do not in the
aggregate materially detract from the value of property or assets subject to such Liens or materially impair the continued use thereof in the operation of the ERCOT Transmission Assets or (ii) which are being contested in good faith by
appropriate proceedings, which proceedings have the effect of preventing the forfeiture or sale of the property or asset subject to such Liens and for which cash reserves consistent with GAAP have been established on the books of Lessee or Lessor,
or other Liens incurred or deposits made in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security, or to secure the performance of tenders, statutory obligations,
surety and appeal bonds, bids, trade contracts, leases, government contracts, performance and return-of-money bonds and other similar obligations incurred in the ordinary course of business (exclusive of obligations in respect of the payment for
borrowed money); 

  
 Appendix A – Page 7

	 	(iv)	Liens arising out of judgments or awards so long as an appeal or proceeding for review is being prosecuted in good faith and for the payment of which adequate cash reserves consistent with GAAP have been established on
the books of Lessee or Lessor, bonds or other security acceptable to the Lessor in its reasonable discretion have been provided or are fully covered by insurance; 

 

	 	(v)	zoning, entitlement, restriction, and other land use and environmental regulations by governmental authorities and encroachments, easements, rights of way, covenants, restrictions or agreements which do not materially
interfere with the continued use of any asset as currently used in the conduct of the business of the Lessee; 

  

	 	(vi)	any encumbrances set forth in any franchise or governing ordinance under which any portion of the business of the Lessee is conducted and which could not, individually or in the aggregate, reasonably be expected to have
a material adverse effect on the operation of the ERCOT Transmission Assets; and 

  

	 	(vii)	all rights of condemnation, eminent domain, or other similar right of any person. 

 “Person”
means any natural person, corporation, limited liability company, partnership, firm, association, government authority or other entity whether acting in an individual, fiduciary or other capacity. 

“Personal Property” means all assets, or rights therein, related to or used in connection with the ERCOT Transmission Assets, other than
assets of the type and nature described in Section 1.1(b)(i)-(v). 
 “Policies and Procedures” has the meaning set forth in
Section 13.6(b). 
 “Project Management Costs” means all actual out-of-pocket costs incurred by Lessee pursuant to this Agreement or a
separate construction management agreement in connection with the construction activities, including (i) all direct wages and salaries (including benefits, payroll burden and overtime) which the Lessee pays to personnel employed or retained to
conduct such construction activities and a fair allocation of the direct wages and salaries (including benefits, payroll burden and overtime) of Lessee’s other personnel conducting such construction activities; (ii) the fair market value
of materials or equipment provided directly by Lessee or its affiliates (including the standard corporate day rate for any vehicles and equipment that are so utilized); (iii) a fair allocation of the lease payments of any leased vehicles and
equipment that are so utilized; (iv) all other third-party costs incurred by Lessee in the performance of such construction activities; and (v) all sales, use, transfer or similar taxes (excluding those taxes based upon Lessee’s net
income, gross receipts, net worth or similar taxes) incurred or paid by Lessee in conducting such construction activities or providing materials, if any (provided, that in managing its affairs, Lessee will attempt to minimize, to the extent
practicable, all such taxes incurred on behalf of Lessor and, in this regard, Lessor agrees to cooperate and provide Lessee any assistance necessary including providing appropriate evidence of any exemptions from tax). 

  
 Appendix A – Page 8

 “PUCT” means the Public Utility Commission of Texas or its successors. 

“Qualified Lessee” means Lessee and/or any other utility that is (x) approved or authorized by the applicable public utility
commission or similar regulatory authority to operate and/or lease the transmission and/or distribution assets of Lessor or any subsidiary and (y) a party to a then-effective lease agreement with Lessor or a subsidiary thereof pursuant to which
such utility leases and operates such entity’s transmission and/or distribution assets 
 “Rate Base” means, with
respect to any transmission and distribution assets, gross electric plant in service under GAAP, which is the aggregate amount of capital expenditures used to construct such assets plus AFUDC, less accumulated depreciation, and adjusted for
accumulated deferred income taxes.  
 “Receiving Party” has the meaning set forth in Section 13.3. 

“Reclassified Projects” means any T&D Project that does not otherwise meet the definition of Footprint Project but Lessee and Lessor
jointly agree, in their sole discretion, to classify such T&D Project as a Footprint Project based upon such factors that the Parties deem relevant, including (a) the expected Rate Base of the T&D Project, it being understood that the
Parties generally expect that only T&D Projects with an expected Rate Base of less than $25 million could constitute a Reclassified Project; (b) whether the T&D Project is physically connected to the ERCOT Transmission Assets; and
(c) whether the T&D Project is necessary to serve distribution customers situated in the service territories of the ERCOT Transmission Assets. 

“Regulatory Authority” means the PUCT, ERCOT, SPP, TRE, NERC and any other governmental agency with jurisdiction over Lessee, Lessor or the
ERCOT Transmission Assets. 
 “REIT” means the general partner of InfraREIT Partners, LP. 

“Related Person” has the meaning set forth in Section 12.1. 

“Renewal Term” has the meaning set forth in Section 2.1. 

“Rent” means the sum of Base Rent, Percentage Rent, Additional Rent and Extended Period Rent. 

“Rent Supplement” means a supplement to this Agreement in the form of Schedule 3.2(b) agreed to in accordance with Section 3.2(b). 

“Rent Validation” means the process of validating any Rent Supplement pursuant to Section 3.2(c). 

  
 Appendix A – Page 9

 “Repairs” means all replacements, repairs or remedial activity undertaken directly on a
then-existing portion of the ERCOT Transmission Assets that are not Footprint Projects and that are expensed and not capitalized under GAAP. 

“Revenues Attributable to Lessee CapEx” means the portion of Unadjusted Gross Revenue from the ERCOT Transmission Assets that is attributable
to Lessee CapEx as determined under Section 3.1(d)(iii). 
 “Revised Certificate” has the meaning set forth in Section 3.3(a).

 “Second Lease Quarter Percentage Rent Breakpoint” has the meaning set forth in Section 3.1(c). 

“Severable Footprint Projects” means any Footprint Projects that can be readily removed from the ERCOT Transmission Assets without causing
diminution in value to the ERCOT Transmission Assets. 
 “Stanton/Brady/Celeste Lease” means the Second Amended and Restated Lease
Agreement (Stanton/Brady/Celeste Assets) between Lessor and Lessee effective as of the Effective Date, as the same may be amended from time to time. 

“Stanton Transmission Loop Lease” means the Third Amended and Restated Lease Agreement (Stanton Transmission Loop Assets) between SDTS FERC,
L.L.C., a wholly-owned subsidiary of Lessor, and SU FERC, L.L.C., a wholly-owned subsidiary of Lessee, effective as of the Effective Date, as the same may be amended from time to time. 

“Swap Contract” means (a) any and all interest rate swap transactions, basis swap transactions, credit derivative transactions, forward
rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward foreign exchange transactions, cap transactions, floor
transactions, currency options, spot contracts or any other similar transactions of any of the foregoing (including, without limitation, any options to enter into any of the foregoing), and (b) any and all transactions of any kind, and the
related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc. or any International Foreign Exchange Master Agreement. 

“Swap Termination Value” means, in respect of one or more Swap Contracts, after taking into account the effect of any legally enforceable
netting agreement relating to such Swap Contracts, (a) for any date on or after the date such Swap Contracts have been closed out and termination value(s) determined in accordance therewith, such termination value(s), and (b) for any date
prior to the date referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for such Swap Contracts, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in
such Swap Contracts. 

  
 Appendix A – Page 10

 “Synthetic Lease” means, at any time, any lease (including a lease that may be terminated by the
lessee at any time) of any property by a Person (a) that is accounted for as an operating lease under GAAP and (b) in respect of which the lessee retains or obtains ownership of the property so leased for U.S. federal income tax purposes,
other than any lease under which such Person is the lessor. 
 “TCOS Allocation” has the meaning set forth in Section 3.1(d)(ii). 

“T&D Project” means a business, project or assets relating primarily to the transmission and/or distribution of electricity. 

“Term” has the meaning set forth in Section 2.1. 

“Third Lease Quarter Percentage Rent Breakpoint” has the meaning set forth in Section 3.1(c). 

“Third Panel Member” has the meaning set forth in Section 13.7(a). 

“Transmission Gross Plant” means electric transmission plant as determined in accordance with the FERC Uniform System of Accounts. 

“Transmission Net Plant in Service” means Transmission Gross Plant in service less accumulated depreciation as determined in accordance with
the FERC Uniform System of Accounts. 
 “TRE” means the Texas Reliability Entity, or its successor entity. 

“TRS” means taxable REIT subsidiary. 

“Unadjusted Gross Revenues” has the meaning set forth in Section 3.1(d)(i). 

“Undisputed Rent” means the greater of (i) the undisputed amount of Rent the Parties agree is due and payable and (ii) during the
term of the Debt Agreements, the amount necessary, when taken together with Rent payments made by Lessee to Lessor under other leases between the Parties, required for Lessor to comply with the covenants set forth in Section 9.08 of the 2009
Note Purchase Agreement, Section 9.8 of the 2010 Note Purchase Agreement and Section 7.10 of the Credit Agreement. 

  
 Appendix A – Page 11

 EXHIBIT A 

SUBORDINATED DEBT TERMS 

Reference is made to that certain Second Amended and Restated Collateral Agency Agreement (as amended, restated, supplemented or otherwise
modified, the “Collateral Agency Agreement”), to be entered into by and among The Bank of New York Mellon Trust Company, N.A., as collateral agent (together with its successors and assigns, the “Collateral Agent”),
Sharyland Distribution & Transmission Services, L.L.C., a Texas limited liability company (the “Company”), and the holders of the Permitted Secured Indebtedness (as defined therein) from time to time party thereto. 

Section 1. Definitions and Rules of Interpretation. Capitalized terms used herein without definition shall have the meanings assigned to such
terms in the Collateral Agency Agreement. The rules of interpretation set forth in Schedule A of the Collateral Agency Agreement shall apply to this Exhibit A as if fully set forth herein. In addition, the following terms shall have the following
meanings: 
  

	1.1	“Entitled Party” shall mean the Company unless the Collateral Agent or the Company has given notice to the Subordinated Lender that the Collateral Agent has, on behalf of the Secured Parties and
pursuant to the Collateral Agency Agreement or related documents, properly exercised its remedies to foreclose on the Company’s interest in any System Lease and receive payments pursuant to any System Lease directly from Sharyland, in which
case the Entitled Party shall mean the Collateral Agent, acting for the benefit of the Secured Parties. 

  

	1.2	“Governmental Authority” shall mean 

  

	 	(a)	the government of: 

  

	 	(i)	The United States of America or any State or other political subdivision thereof, or 

  

	 	(ii)	any other jurisdictions in which the Company conducts all or any part of its business, or which asserts jurisdiction over any properties of the Company, or 

 

	 	(b)	any entity exercising executive, legislative, judicial, taxing, regulatory or administrative functions of, or pertaining to, any such government, or 

 

	 	(c)	the Electric Reliability Council of Texas or any successor thereto (“ERCOT”), or 

  

	 	(d)	the Texas Regional Entity. 

  

	1.3	“Insolvency Event” means the occurrence of any of the following: 

  

	 	(a)	 Sharyland (i) is generally not paying, or admits in writing its inability to pay, its debts as they become due, (ii) files, or consents by
answer or otherwise to the filing against it of, a petition for relief or reorganization or arrangement or any 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit A – Page 1

	 	
other petition in bankruptcy, for liquidation or to take advantage of any bankruptcy, insolvency, reorganization, moratorium or other similar law of any jurisdiction, (iii) makes an
assignment for the benefit of its creditors, (iv) consents to the appointment of a custodian, receiver, trustee or other officer with similar powers with respect to it or with respect to any substantial part of its property, (v) is
adjudicated as insolvent or to be liquidated, or (vi) takes a corporate action for the purpose of any of the foregoing; or 

  

	 	(b)	a court or Governmental Authority of competent jurisdiction enters an order appointing, without consent by Sharyland, a custodian, receiver, trustee or other officer with similar powers with respect to it or with
respect to any substantial part of its property, or constituting an order for relief or approving a petition for relief or reorganization or any other petition in bankruptcy or for liquidation or to take advantage of any bankruptcy or insolvency law
of any jurisdiction, or ordering the dissolution, winding-up or liquidation of Sharyland or any such petition shall be filed against Sharyland and such petition shall not be dismissed within 60 days. 

 

	1.4	“Reorganization Securities” shall mean any debt or equity securities issued on account of all or any portion of the Subordinated Indebtedness in connection with an Insolvency Event that are in each case
subordinated in liquidation to the Obligations (or any debt or equity securities issued on account of any Obligations) to at least the same extent that the Subordinated Indebtedness are subordinated to the Obligations hereunder. 

 

	1.5	“Sharyland” shall mean Sharyland Utilities, L.P. 

  

	1.6	“Subordinated Indebtedness” shall mean, with respect to Sharyland, Indebtedness (as defined under the applicable Financing Agreement or such other similar term) that is incurred in accordance with the
terms of such Financing Agreement and is required to be subordinated to the applicable Obligations. 

  

	1.7	“Subordinated Lenders” shall mean each and every Person to whom any of the Subordinated Indebtedness are owed. 

  

	1.8	“Subordinated Loan Documents” shall mean all documentation evidencing the Subordinated Indebtedness. 

  

	1.9	“System Leases” shall mean any and all leases of transmission and distribution and related assets pursuant to which Sharyland is the lessee and the Company or any Subsidiary of the Company is a party as
a lessor, and supplements thereto, each as amended, restated, supplemented or otherwise modified from time to time, or any new lease entered into in replacement thereof. 

 

	1.10	“System Lease Obligations” shall mean any and all Rent or other similar term (as such term is defined in the System Leases) then due and payable under the System Leases. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit A – Page 2

	1.11	“Texas Regional Entity” shall mean the division of ERCOT authorized to develop, monitor, assess and enforce compliance with NERC Reliability Standards within geographic boundaries of ERCOT and any
successor thereto. 

 Section 2. Subordination of Subordinated Indebtedness. Until the indefeasible payment in full in cash of all
the Obligations and the termination of any commitments to lend under any Permitted Secured Indebtedness, the Subordinated Lenders and Sharyland hereby agree that (i) all Subordinated Indebtedness is and shall be subordinated in right of
liquidation in relation to all System Lease Obligations to the extent and in the manner hereinafter set forth, (ii) upon the occurrence and during the continuance of any default or event of default under any System Lease (or if after giving
effect to a proposed distribution in respect of any part of the Subordinated Indebtedness, a default or event of default under any System Lease will exist), no payments or other distributions whatsoever in respect of any part of the Subordinated
Indebtedness shall be made, (iii) upon the occurrence and during the continuance of an Insolvency Event, no payments or other distributions whatsoever in respect of any part of the Subordinated Indebtedness shall be made nor shall any property
or assets of Sharyland be applied to the purchase or other acquisition or retirement of any part of the Subordinated Indebtedness, and (iv) upon the occurrence and during the continuance of an Insolvency Event, the Subordinated Lenders shall
not accept any payment by or on behalf of Sharyland on account of the principal of, premium or interest on, or any other amount in respect of, the Subordinated Indebtedness other than the payment of indemnity obligations and reasonable out of pocket
costs and expenses (including reasonable attorney’s fees) in each case as and when due and payable in accordance with the terms of the Subordinated Debt Documents. 

Section 3. Liquidation, Dissolution, Bankruptcy. Until the indefeasible payment in full in cash of all the Obligations and the termination of any
commitments to lend under any Permitted Secured Indebtedness, and without limitation to the rights of the Secured Parties under the terms of the Financing Agreements or the rights of Company under the System Leases: 

 

	3.1	upon the occurrence and during the continuance of any Insolvency Event: 

  

	 	3.1.1	the System Lease Obligations then due and payable shall first be irrevocably and indefeasibly paid in full to the Entitled Party before any of the Subordinated Lenders shall be entitled to receive any payment (other
than Reorganization Securities) on account of the Subordinated Indebtedness whether in cash, securities or other assets (other than Reorganization Securities); 

  

	 	3.1.2	any payment or distribution of assets of Sharyland of any kind or character in respect of the Subordinated Indebtedness to which any of the Subordinated Lenders would be entitled if the Subordinated Indebtedness were
not subordinated pursuant to the terms hereof shall be made by the trustee, liquidator or agent or other Person making such payment or distribution, directly to the Entitled Party until the System Lease Obligations then due and payable are paid in
full and each of the Subordinated Lenders and, unless the Company is the Entitled Party, Sharyland irrevocably authorizes and empowers the Entitled Party to receive and collect on its behalf any and all such payments or distributions; and

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit A – Page 3

	 	3.1.3	the Subordinated Lenders agree not to, directly or indirectly, initiate, prosecute or participate in any claim, action or other proceeding challenging the enforceability, validity or priority of the System Lease
Obligations then due and payable. 

 Section 4. Incorrect Payments. If, for any reason whatsoever and whether pursuant to an
Insolvency Event or otherwise, Sharyland shall make or any of the Subordinated Lenders shall receive any payment or distribution of any kind or character, whether in cash, securities or other property (other than Reorganization Securities), on
account or in respect of the Subordinated Indebtedness in contravention of any of the terms set forth herein, such Subordinated Lender shall hold any such payment or distribution in trust for the benefit of the Secured Parties, promptly notify the
Entitled Party of the receipt of such payment or distribution and promptly pay over or deliver such distribution or payment to the Entitled Party or to any other Person nominated by the Entitled Party, to hold for the account of the Secured Parties.

 Section 5. Non-Impairment. To the fullest extent permitted by applicable Law, no change of law or circumstances shall release or diminish any
of the Subordinated Lender’s obligations, liabilities, agreements or duties hereunder, or affect the provisions set forth herein in any way. 

Section 6. Benefit of Subordination Provisions. These subordination provisions are intended solely to define the relative rights of the Secured
Parties, the Collateral Agent, the Company, the Subordinated Lenders, and their respective successors and permitted assigns. 
 Section 7.
Termination and Reinstatement. Notwithstanding anything to the contrary contained herein, the Subordinated Indebtedness shall no longer be subordinated in right of liquidation pursuant to the terms contained herein otherwise at such time as
the Secured Parties no longer have a lien on or security interest in the System Lease Obligations. If any payment to any of the Entitled Party, the Company, the Collateral Agent or the Secured Parties by Sharyland or any other Person in respect of
any of the System Lease Obligations is held to constitute a preference or a voidable transfer under applicable Law, or if for any other reason any such party is required to refund such payment to Sharyland or to such Person or to pay the amount
thereof to any other Person, each Subordinated Lender agrees and acknowledges that the provisions set forth herein shall continue to be effective or shall be reinstated, as the case may be, to the extent of any such payment or payments. 

Section 8. Restrictions on Transfers. None of the Subordinated Lenders may transfer (by sale, novation or otherwise) any of its rights or
obligations under the Subordinated Indebtedness unless the transferee of such interest first agrees in writing to be bound by the terms of this Exhibit A applicable to the transferor of such interest and executes an instrument to that effect. 

Section 9. Exercise of Powers. 
  

	9.1	After the occurrence and during the continuance of an Insolvency Event, the Entitled Party shall be entitled to exercise its rights and powers under these subordination provisions in such a manner and at such times as
the Entitled Party in its absolute discretion may determine. 

  

	9.2	The Subordinated Lenders alone shall be responsible for their contracts, engagements, acts, omissions, defaults and losses and for liabilities incurred by them. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit A – Page 4

 EXHIBIT B 

INSURANCE 
 Subject to
Section 6.2(b) of this Agreement, during the term of the Note Purchase Agreements, the Credit Agreement or until otherwise agreed by Lessee and Lessor, Lessee shall comply with the insurance requirements set forth in this Exhibit B.
Capitalized terms used herein but not otherwise defined in this Agreement have the meanings assigned to such terms in the Note Purchase Agreements or the Credit Agreement, as applicable. 

 

	A.	Coverages. 

 Property Insurance (Operational): 

 

			
	Cover:	  	All assets comprising the ERCOT Transmission Assets against “all risks” of physical loss or damage (including but not limited to machinery breakdown, earthquake, flood, windstorm and terrorism)
		
	Principal Exclusions:	  	War and civil war
		
		  	Nuclear risks
		
		  	Theft and mysterious disappearance revealed in the course of inventory undertaking
		
		  	The cost of making good wear and tear, gradual deterioration, etc., but not the consequential damage
		
		  	Consequential loss not otherwise excluded
		
		  	Fraud and misrepresentation
		
	Sum Insured:	  	Full replacement cost subject to the following sublimits.
		
	Sublimits:	  	 Earthquake – full replacement cost
 Flood
– full replacement cost
 Windstorm – full replacement cost

		
	Deductible:	  	$250,000 per loss or occurrence, except $250,000 earthquake and flood and $250,000 windstorm
		
	Insured:	  	 Lessee
 Lessor

		
	Additional Insured:	  	The Prudential Insurance Company of America, as Purchaser Prudential Retirement Insurance and Annuity Company, as Purchaser Royal Bank of Canada, as Lender

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit B – Page 1

			
		  	 The Bank of New York Mellon Trust Company, N. A., as Collateral Agent

The Secured Parties to the Note Purchase Agreement
 The Secured
Parties to the Credit Agreement

		
	Mortgagee:	  	Bank of New York Mellon Trust Company, N.A. as Collateral Agent for the benefit of the Secured Parties
		
	Loss Payee:	  	The Bank of New York Mellon Trust Company, N.A. as Collateral Agent, as first loss payee
		
	Conditions:	  	30 days’ notice of cancellation or non-renewal except 10 days for non-payment of premium
		
		  	Acceptable loss payable clause
		
		  	Non-vitiation wording in favor of the Collateral Agent and the Secured Parties
		
		  	Waiver of subrogation in favor of the additional insureds
	
	General Liability Insurance:
		
	Cover:	  	Lessee against any liability arising out of claims for personal injury and property damage.
		
	Sum Insured:	  	$1,000,000 per occurrence up to a minimum of $2,000,000 aggregate limit (except that the fire damage legal liability coverage may be limited to $100,000 per fire and the medical expense coverage may be limited to $5,000 for any one
injured person).
		
	Insured:	  	 Lessee
 Lessor

		
	Additional Insured:	  	The Prudential Insurance Company of America, as Purchaser Prudential Retirement Insurance and Annuity Company, as Purchaser The Bank of New York Mellon Trust Company, N. A., as Collateral Agent Royal Bank of Canada, as Lender The
Secured Parties
		
	Conditions:	  	Occurrence policy wording or Aegis claims-first-made policy form Worldwide territory

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit B – Page 2

			
	Automobile Liability Insurance:
		
	Cover:	  	Lessee for liability arising out of claims for personal injury (including bodily injury and death) and property damage covering all owned (if any), leased, non-owned and hired vehicles of Lessee, including loading and
unloading.
		
	Sum Insured:	  	$1,000,000 each accident.
		
	Deductible:	  	$1,000 each accident.
		
	Insured:	  	 Lessee
 Lessor

		
	Additional Insured:	  	The Prudential Insurance Company of America, as Purchaser Prudential Retirement Insurance and Annuity Company, as Purchaser The Bank of New York Mellon Trust Company, N. A., as Collateral Agent Royal Bank of Canada, as Lender The
Secured Parties
	
	Workers’ Compensation and Employer’s Liability Insurance:
		
	Cover:	  	Lessee will maintain workers’ compensation insurance as required by applicable state laws and employer’s liability insurance insuring Lessee for liability arising out of injury to or death of employees.
		
	Sum Insured:	  	$1,000,000 each accident.
		
	Insured:	  	 Lessee
 Lessor

	
	Excess or Umbrella Insurance:
		
	Cover:	  	Insurance covering claims in excess of the underlying insurance described in the foregoing.
		
	Sum Insured:	  	$25,000,000 each occurrence and in the aggregate
		
	Deductible:	  	$1,000,000 any one occurrence or amount of underlying insurance.
		
	Insured:	  	 Lessee
 Lessor

		
	Additional Insured:	  	The Prudential Insurance Company of America, as Purchaser Prudential Retirement Insurance and Annuity Company, as Purchaser The Bank of New York Mellon Trust Company, N. A., as Collateral Agent
		  	 Royal Bank of Canada, as Lender
 The Secured
Parties

		
	Conditions:	  	Following form

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit B – Page 3

	B.	Company Conditions and Requirements. 

 1. Loss Notification. Lessee shall promptly
notify Lessor of any single loss or event likely to give rise to a claim against an insurer for an amount in excess of $1,000,000 covered by any insurance policies required by this Exhibit B. 

2. Payment of Loss Proceeds. The Collateral Agent, on behalf of the Secured Parties, shall be named as the first loss payee in
applicable insurance policies (pursuant to a standard lender’s loss payable endorsement equivalent to a CP 1218). 
 3. Compliance
With Policy Requirements. Lessee shall not violate or permit to be violated any of the conditions, provisions or requirements of any insurance policy required by this Exhibit B, and Lessee shall perform, satisfy and comply with, or cause
to be performed, satisfied and complied with, all conditions, provisions and requirements of all insurance policies. 
 4. Waiver of
Subrogation. Lessee hereby waives any and every claim for recovery from the Secured Parties for any and all loss or damage covered by any of the insurance policies to be maintained under this Agreement to the extent that such loss or damage is
recovered under any such policy. If the foregoing waiver will preclude the assignment of any such claim to the extent of such recovery, by subrogation (or otherwise), to an insurance company (or other Person), Lessee shall give written notice of the
terms of such waiver to each insurance company which has issued, or which may issue in the future, any such policy of insurance (if such notice is required by the insurance policy) and shall cause each such insurance policy to be properly endorsed
by Lessee to, or to otherwise contain one or more provisions that prevent the invalidation of the insurance coverage provided thereby by reason of such waiver. 

5. Notices. Lessee will advise Lessor in writing promptly of (i) any material changes in the coverage or limits provided under any
policy required by Section 6.2 of this Agreement and this Exhibit B and (ii) any default in the payment of any premium and of any other act or omission on the part of Lessee which may invalidate or render unenforceable, in whole or
in part, any insurance being maintained by Lessee pursuant to this Exhibit B. 
 C. Insurance Policy Conditions and Requirements. 

1. Permitted Insurers. Lessee shall obtain the insurance required by this Exhibit B from responsible insurance companies
authorized to do business in Texas (if required by law or regulation) with an A.M. Best Insurance Reports rating of A-, 8 or better. 
 2.
Control of Loss. If commercially feasible all policies of insurance required to be maintained pursuant to this Exhibit B, wherein more than one insurer provides the coverage on any single policy, shall have a clause (or a separate
agreement among the insurers) wherein all insurers have agreed that the lead insurer shall have full settlement authority on behalf of the other insurers. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit B – Page 4

 3. Loss Survey. All policies of insurance required to be maintained pursuant to this
Exhibit B, wherein more than one insurer provides the coverage on any single policy, shall have a clause (or a separate agreement among the insurers) wherein all insurers have agreed upon the employment of a single firm to survey and
investigate all losses on behalf of the insurers. 
 4. Policy Cancellation and Change. All policies of insurance required to be
maintained pursuant to this Exhibit B shall be endorsed so that if at any time they are canceled, or their coverage is reduced (by any party including the insured) so as to affect the interests of the Collateral Agent, the Holders and any
other Secured Party, such cancellation or reduction shall not be effective as to the Secured Parties for thirty (30) days, except for non-payment of premium which shall be for ten (10) days, after receipt by the Collateral Agent and the
Secured Parties of written notice from such insurer of such cancellation or reduction. 
 5. Miscellaneous Policy Provisions. All
insurance policies providing operational property damage, (i) shall name the Collateral Agent, on behalf of the Secured Parties, as the first loss payee, (ii) shall include a Lender’s loss payable clause in favor of the Collateral
Agent, on behalf of the Secured Parties. 
 6. Separation of Interests. All policies (other than in respect to workers compensation
insurance) shall insure the interests of the Secured Parties regardless of any breach or violation by Lessee or any other party of warranties, declarations or conditions contained in such policies, any action or inaction of Lessee or others, or any
foreclosure relating to the ERCOT Transmission Assets. 
 7. Waiver of Subrogation. All policies of insurance required by this
Exhibit B shall provide for waivers of subrogation in favor of the Secured Parties and their respective officers and employees. 
 8.
Liability Insurance Endorsements. All policies of liability insurance required to be maintained by Lessee shall be endorsed as follows: 

(i) To name the Secured Parties as additional insureds; 

(ii) To provide a severability of interests and cross liability clause; and 

(iii) That the insurance shall be primary and not excess to or contributing with any insurance or self-insurance maintained by Lessee. 

D. Acceptable Policy Terms and Conditions. All policies of insurance required to be maintained pursuant to this Exhibit B shall contain terms and
conditions reasonably acceptable to Lessor. 

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Exhibit B – Page 5

 SCHEDULE 3.2(b) 

FORM OF RENT SUPPLEMENT 
 Rent
Supplement 
 Pursuant to Section 3.2(b) of Lease 

[Date of Supplement] 
 Description of assets added
pursuant to Rent Supplement: 
 Incremental CapEx: 
 Lessee
CapEx: 
 Base Rent: 
 Percentage Rent Percentages: 

Annual Percentage Rent Breakpoints: 
 Revenues Attributable to
Lessee CapEx: 
 ERCOT Transmission Rate Allocation: 
 Term of
Rent Supplement: 
  

			
	Executed this      day of             , 20    .
	
	SHARYLAND UTILITIES, L.P.
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	SHARYLAND DISTRIBUTION &
	TRANSMISSION SERVICES, L.L.C.
		
	By:	 	  

	Name:	 	  

	Title:	 	  

  
 ERCOT
TRANSMISSION ASSETS LEASE AGREEMENT 

  
 Schedule 3.2(b)EX-10.17

 Exhibit 10.17 

EXECUTION VERSION 
  

 
  

THIRD AMENDED AND RESTATED CREDIT AGREEMENT 

among 
 SHARYLAND
DISTRIBUTION & TRANSMISSION SERVICES, L.L.C., 
 as Borrower, 

The Several Lenders from Time to Time Parties Hereto 

and 
 ROYAL BANK OF CANADA, 

as Administrative Agent 
 Dated as
of December 10, 2014 
  
  

 

 TABLE OF CONTENTS 
  

							
	 	 	 	  	Page	 
			
	Section 1	 	 Amount and Terms of Credit
	  	 	1	  
	 1.1.
	 	 Revolving Commitment
	  	 	1	  
	 1.2.
	 	 Procedure for Revolving Loan Borrowing
	  	 	1	  
	 1.3.
	 	 Swingline Commitment
	  	 	2	  
	 1.4.
	 	 Procedure for Swingline Borrowing; Refunding of Swingline Loans
	  	 	2	  
	 1.5.
	 	 Termination or Reduction of Revolving Commitments
	  	 	4	  
	 1.6.
	 	 Conversion and Continuation Options
	  	 	4	  
	 1.7.
	 	 Limitations on Eurodollar Tranches
	  	 	5	  
	 1.8.
	 	 Interest Rates and Payment Dates
	  	 	5	  
	 1.9.
	 	 Computation of Interest and Fees
	  	 	5	  
	 1.10.
	 	 Inability to Determine Interest Rate
	  	 	6	  
	 1.11.
	 	 Pro Rata Treatment and Payments
	  	 	6	  
	 1.12.
	 	 Requirements of Law
	  	 	7	  
	 1.13.
	 	 Change of Lending Office
	  	 	8	  
	 1.14.
	 	 Indemnity
	  	 	9	  
	 1.15.
	 	 Replacement of Lenders
	  	 	9	  
	 1.16.
	 	 Defaulting Lenders
	  	 	9	  
	 1.17.
	 	 Increase in Commitments
	  	 	11	  
			
	Section 2	 	 Letters of Credit
	  	 	12	  
	 2.1.
	 	 L/C Commitment
	  	 	12	  
	 2.2.
	 	 Procedure for Issuance of Letter of Credit
	  	 	12	  
	 2.3.
	 	 L/C Participations
	  	 	13	  
	 2.4.
	 	 Reimbursement Obligation of the Borrower
	  	 	14	  
	 2.5.
	 	 Obligations Absolute
	  	 	14	  
	 2.6.
	 	 Letter of Credit Payments
	  	 	14	  
	 2.7.
	 	 Applications
	  	 	15	  
			
	Section 3	 	 Fees
	  	 	15	  
			
	Section 4	 	 PREPAYMENT; TAXES
	  	 	15	  
	 4.1.
	 	 Voluntary Prepayments
	  	 	15	  
	 4.2.
	 	 Mandatory Prepayments
	  	 	16	  
	 4.3.
	 	 Taxes
	  	 	17	  
			
	Section 5	 	 Conditions Precedent
	  	 	21	  
	 5.1.
	 	 Conditions to Effectiveness
	  	 	21	  
	 5.2.
	 	 Conditions to All Credit Events
	  	 	24	  
			
	Section 6	 	 Representations, Warranties and Agreements
	  	 	24	  
	 6.1.
	 	 Organization; Power and Authority
	  	 	24	  
	 6.2.
	 	 Power and Authority
	  	 	24	  
	 6.3.
	 	 Disclosure
	  	 	25	  
	 6.4.
	 	 Organization and Ownership of Interests
	  	 	25	  
	 6.5.
	 	 Financial Condition; Financial Statements
	  	 	25	  
	 6.6.
	 	 Compliance with Laws, Other Instruments, Etc.
	  	 	26	  

  
 i 

							
	 	 	 	  	Page	 
			
	 6.7.
	 	 Governmental Authorizations, Etc.
	  	 	26	  
	 6.8.
	 	 Litigation; Observance of Agreements, Statutes and Orders
	  	 	26	  
	 6.9.
	 	 Taxes
	  	 	27	  
	 6.10.
	 	 Title to Property
	  	 	27	  
	 6.11.
	 	 Insurance
	  	 	27	  
	 6.12.
	 	 Licenses, Permits, Etc.; Leases; IP Rights
	  	 	27	  
	 6.13.
	 	 Compliance with ERISA
	  	 	27	  
	 6.14.
	 	 Intentionally omitted
	  	 	28	  
	 6.15.
	 	 Intentionally Omitted
	  	 	28	  
	 6.16.
	 	 Foreign Assets Control Regulations, Etc.
	  	 	28	  
	 6.17.
	 	 Status under Certain Statutes
	  	 	29	  
	 6.18.
	 	 Environmental Matters
	  	 	29	  
	 6.19.
	 	 Force Majeure Events; Employees
	  	 	30	  
	 6.20.
	 	 Collateral
	  	 	30	  
	 6.21.
	 	 Collateral Agency Agreement
	  	 	30	  
	 6.22.
	 	 Margin Regulations
	  	 	30	  
	 6.23.
	 	 OFAC
	  	 	30	  
			
	Section 7	 	 Affirmative Covenants
	  	 	30	  
	 7.1.
	 	 Information Covenants
	  	 	31	  
	 7.2.
	 	 Use of Proceeds
	  	 	34	  
	 7.3.
	 	 Compliance with Law
	  	 	34	  
	 7.4.
	 	 Insurance
	  	 	34	  
	 7.5.
	 	 Maintenance of Properties
	  	 	34	  
	 7.6.
	 	 Payment of Taxes and Claims
	  	 	35	  
	 7.7.
	 	 Existence, Etc.
	  	 	35	  
	 7.8.
	 	 Books and Records; Inspection Rights
	  	 	35	  
	 7.9.
	 	 Collateral; Further Assurances
	  	 	35	  
	 7.10.
	 	 Material Project Documents
	  	 	37	  
	 7.11.
	 	 Financial Ratios
	  	 	37	  
			
	Section 8	 	 Negative Covenants
	  	 	37	  
	 8.1.
	 	 Transactions with Affiliates
	  	 	37	  
	 8.2.
	 	 Merger, Consolidation, etc.
	  	 	38	  
	 8.3.
	 	 Line of Business
	  	 	38	  
	 8.4.
	 	 Terrorism Sanctions Regulations
	  	 	38	  
	 8.5.
	 	 Liens
	  	 	39	  
	 8.6.
	 	 Indebtedness
	  	 	40	  
	 8.7.
	 	 Loans, Advances, Investments and Contingent Liabilities
	  	 	41	  
	 8.8.
	 	 No Subsidiaries
	  	 	41	  
	 8.9.
	 	 Restricted Payments
	  	 	41	  
	 8.10.
	 	 Sale of Assets, etc.
	  	 	41	  
	 8.11.
	 	 Sale or Discount of Receivables
	  	 	42	  
	 8.12.
	 	 Amendments to Organizational Documents
	  	 	42	  
	 8.13.
	 	 Sale and Lease-Back
	  	 	43	  
	 8.14.
	 	 ERISA Compliance
	  	 	43	  
	 8.15.
	 	 No Margin Stock
	  	 	44	  
	 8.16.
	 	 Material Project Documents
	  	 	44	  
	 8.17.
	 	 Regulation
	  	 	44	  
	 8.18.
	 	 Swaps
	  	 	45	  
	 8.19.
	 	 Additional Financial Covenants
	  	 	45	  
	 8.20.
	 	 Burdensome Agreements
	  	 	45	  

  
 ii 

							
	 	 	 	  	Page	 
			
	Section 9	 	 Events of Default
	  	 	46	  
			
	Section 10	 	 Definitions
	  	 	49	  
	 10.1.
	 	 Defined Terms
	  	 	49	  
	 10.2.
	 	 Other Definitional Provisions
	  	 	74	  
			
	Section 11	 	 THE ADMINISTRATIVE AGENT
	  	 	75	  
	 11.1.
	 	 Appointment
	  	 	75	  
	 11.2.
	 	 Delegation of Duties
	  	 	75	  
	 11.3.
	 	 Exculpatory Provisions
	  	 	75	  
	 11.4.
	 	 Reliance by Administrative Agent
	  	 	75	  
	 11.5.
	 	 Notice of Default
	  	 	76	  
	 11.6.
	 	 Non-Reliance on Administrative Agent and Other Lenders
	  	 	76	  
	 11.7.
	 	 Indemnification
	  	 	76	  
	 11.8.
	 	 The Administrative Agent in Its Individual Capacity
	  	 	77	  
	 11.9.
	 	 Successor Administrative Agent
	  	 	77	  
	 11.10.
	 	 Arranger
	  	 	77	  
	 11.11.
	 	 Credit Bidding
	  	 	77	  
			
	Section 12	 	 Miscellaneous
	  	 	78	  
	 12.1.
	 	 Payment of Expenses, etc.
	  	 	78	  
	 12.2.
	 	 Right of Setoff
	  	 	79	  
	 12.3.
	 	 Notices
	  	 	79	  
	 12.4.
	 	 Benefit of Agreement
	  	 	80	  
	 12.5.
	 	 No Waiver; Remedies Cumulative
	  	 	82	  
	 12.6.
	 	 Payments Pro Rata
	  	 	82	  
	 12.7.
	 	 Calculations; Computations
	  	 	83	  
	 12.8.
	 	 Governing Law; Submission to Jurisdiction; Venue; Waiver of Jury Trial
	  	 	83	  
	 12.9.
	 	 USA PATRIOT Act
	  	 	84	  
	 12.10.
	 	 Counterparts
	  	 	84	  
	 12.11.
	 	 Headings
	  	 	84	  
	 12.12.
	 	 Amendment or Waiver
	  	 	84	  
	 12.13.
	 	 Survival
	  	 	85	  
	 12.14.
	 	 Domicile of Loans
	  	 	85	  
	 12.15.
	 	 Confidentiality
	  	 	85	  
	 12.16.
	 	 Integration
	  	 	86	  
	 12.17.
	 	 Acknowledgments
	  	 	86	  
	 12.18.
	 	 Severability
	  	 	87	  
	 12.19.
	 	 Amendment and Restatement
	  	 	87	  

  
 iii 

			
	ANNEXES:
		
	1.1A	  	Lenders’ Commitments and Addresses
	6.4	  	Organization and Ownership of Interests
	6.7	  	Governmental Authorizations
	6.12	  	Leases
	8.5	  	Liens
	8.20	  	Burdensome Agreements
	
	EXHIBITS:
		
	A	  	Form of Assignment Agreement
	B	  	Form of Closing Certificate
	C	  	Form of Opinion of Baker Botts L.L.P.
	D	  	Form of Compliance Certificate
	E	  	Form of Opinion of Sutherland Asbill & Brennan LLP
	F-1 ~ 4	  	Forms of Tax Certificates
	G	  	Subordination Terms
	H	  	Form of Subsidiary Guaranty
	I	  	Form of Prepayment Notice
	J-1	  	Form of Notice of Revolving Loan Borrowing
	J-2	  	Form of Notice of Swingline Borrowing
	K	  	Form of Notice of Conversion/Continuation

 THIRD AMENDED AND RESTATED CREDIT AGREEMENT, dated as of December 10, 2014, among SHARYLAND
DISTRIBUTION & TRANSMISSION SERVICES, L.L.C. (the “Borrower”), a Texas limited liability company and a Subsidiary of Transmission and Distribution Company L.L.C. (“Holdings”), the several lenders from time
to time parties hereto (the “Lenders”), and ROYAL BANK OF CANADA (the “Administrative Agent”). Unless otherwise defined herein, all capitalized terms used herein and defined in Section 10 are used herein as so
defined. 
 W I T N E S S E T H: 

WHEREAS, the Borrower entered into that certain Second Amended and Restated Credit Agreement, dated as of June 28, 2013, between the
Borrower, the Administrative Agent and the several lenders from time to time parties thereto (the “Existing Lenders”) (as amended, supplemented or modified from time to time prior to the date hereof, the “Original Credit
Agreement”); and 
 WHEREAS, subject to and on the terms and conditions set forth herein, the parties thereto wish to amend and
restate the Original Credit Agreement in its entirety upon the terms and conditions set forth herein, with the Original Credit Agreement, as so amended and restated, and as may be further amended, restated, supplemented or otherwise modified, being
hereinafter referred to as the “Agreement”; 
 NOW, THEREFORE, in consideration of the premises and the mutual covenants
herein set forth, the Existing Lenders and the Borrower agree that the Original Credit Agreement is hereby amended and restated as of the Restatement Date (as hereinafter defined) to read in its entirety as follows: 

SECTION 1 AMOUNT AND TERMS OF CREDIT. 

1.1. Revolving Commitment. 

(a) Subject to the terms and conditions hereof, each Revolving Lender severally agrees to make revolving credit loans in U.S. dollars
(“Revolving Loans”) to the Borrower from time to time during the Revolving Commitment Period in an aggregate principal amount at any one time outstanding which, when added to such Lender’s Revolving Percentage of the sum of
(i) the Letter of Credit Outstandings and (ii) the aggregate principal amount of the Swingline Loans then outstanding, does not exceed the amount of such Lender’s Revolving Commitment. During the Revolving Commitment Period the
Borrower may use the Revolving Commitments by borrowing, prepaying the Revolving Loans in whole or in part, and reborrowing, all in accordance with the terms and conditions hereof. The Revolving Loans may from time to time be Eurodollar Loans or ABR
Loans, as determined by the Borrower and notified to the Administrative Agent in accordance with Sections 1.2 and 1.6, provided that all Revolving Loans made as part of the same Borrowing shall, unless otherwise specifically provided herein,
consist of Revolving Loans of the same Type. 
 (b) The Borrower shall repay all outstanding Revolving Loans, together with all accrued and
unpaid interest thereon and all other amounts payable hereunder, on the Revolving Facility Final Maturity Date. 
 1.2. Procedure for
Revolving Loan Borrowing. 
 The Borrower may borrow under the Revolving Commitment during the Revolving Commitment Period on any
Business Day, provided that the Borrower shall give the Administrative 

 
Agent irrevocable notice substantially in the form of Exhibit J-1 (which notice must be received by the Administrative Agent prior to 11:00 A.M., New York City time, (a) three Business Days
prior to the requested Borrowing Date, in the case of Eurodollar Loans, or (b) one Business Day prior to the requested Borrowing Date, in the case of ABR Loans) (provided that any such notice of a Borrowing of ABR Loans under the Revolving
Facility to finance payments required by Section 2.4 and Section 5.1(e) may be given not later than 10:00 A.M., New York City time, on the Borrowing Date), specifying (i) the amount and Type of Revolving Loans to be borrowed, (ii) the
requested Borrowing Date and (iii) in the case of Eurodollar Loans, the respective amounts of each such Type of Loan and the respective lengths of the initial Interest Period therefor. Any Revolving Loans made on the Restatement Date shall
initially be ABR Loans. Each Borrowing under the Revolving Commitment shall be in an amount equal to (x) in the case of ABR Loans, $500,000 or a whole multiple thereof (or, if the Total Unutilized Revolving Commitments at such time are less
than $500,000, such lesser amount) and (y) in the case of Eurodollar Loans, $500,000 or a whole multiple of $100,000 in excess thereof; provided, that (i) the Swingline Lender may request, on behalf of the Borrower, ABR Loans in other
amounts pursuant to Section 1.4 and (ii) the Borrower may request ABR Loans in an amount required to finance payments required by Section 2.4 and Section 5.1(e). Upon receipt of any such notice from the Borrower, the Administrative
Agent shall promptly notify each Revolving Lender thereof. Each Revolving Lender will make the amount of its pro rata share of each Borrowing available to the Administrative Agent for the account of the Borrower at the Funding Office prior to 12:00
Noon, New York City time, on the Borrowing Date requested by the Borrower in funds immediately available to the Administrative Agent. The Administrative Agent shall make the proceeds of such Borrowing available to the Borrower on such Borrowing Date
by depositing such proceeds in the Specified Account of the Borrower on such Borrowing Date in immediately available funds. 
 1.3.
Swingline Commitment. 
 (a) Subject to the terms and conditions hereof, the Swingline Lender agrees to make a portion of the credit
otherwise available to the Borrower under the Revolving Commitments from time to time during the Revolving Commitment Period by making swing line loans (“Swingline Loans”) to the Borrower; provided that (i) the aggregate
principal amount of Swingline Loans outstanding at any time shall not exceed the Swingline Commitment then in effect (notwithstanding that the Swingline Loans outstanding at any time, when aggregated with the Swingline Lender’s other
outstanding Revolving Loans, may exceed the Swingline Commitment then in effect) and (ii) the Borrower shall not request, and the Swingline Lender shall not make, any Swingline Loan if, after giving effect to the making of such Swingline Loan,
the Total Revolving Extensions of Credit would exceed the Total Revolving Commitments. During the Revolving Commitment Period, the Borrower may use the Swingline Commitment by borrowing, repaying and reborrowing, all in accordance with the terms and
conditions hereof. Swingline Loans shall be ABR Loans only. 
 (b) The Borrower shall repay to the Swingline Lender the then unpaid
principal amount of each Swingline Loan on the earlier of the Revolving Facility Final Maturity Date and the first date after such Swingline Loan is made that is the 15th or last day of a calendar month and is at least two Business Days after such
Swingline Loan is made; provided that on each date that a Revolving Loan is borrowed, the Borrower shall repay all Swingline Loans then outstanding. 

1.4. Procedure for Swingline Borrowing; Refunding of Swingline Loans. 

(a) Whenever the Borrower desires that the Swingline Lender make Swingline Loans it shall give the Swingline Lender irrevocable telephonic
notice confirmed promptly in writing substantially in the form of Exhibit J-2 (which telephonic notice must be received by the Swingline Lender not later than 1:00 P.M., New York City time, on the proposed Borrowing Date), specifying
(i)

  
 2 

 
the amount to be borrowed and (ii) the requested Borrowing Date (which shall be a Business Day during the Revolving Commitment Period). Each Borrowing under the Swingline Commitment shall be
in an amount equal to $250,000 or a whole multiple of $50,000 in excess thereof. Not later than 3:00 P.M., New York City time, on the requested Borrowing Date, the Swingline Lender shall make available to the Administrative Agent at the Funding
Office an amount in immediately available funds equal to the amount of the Swingline Loan to be made by the Swingline Lender. The Administrative Agent shall make the proceeds of such Swingline Loan available to the Borrower on such Borrowing Date by
depositing such proceeds in the Specified Account of the Borrower on such Borrowing Date in immediately available funds. 
 (b) The
Swingline Lender, at any time and from time to time in its sole and absolute discretion may, on behalf of the Borrower (which hereby irrevocably directs the Swingline Lender to act on its behalf), on one Business Day’s notice given by the
Swingline Lender no later than 12:00 Noon, New York City time, request each Revolving Lender to make, and each Revolving Lender hereby agrees to make, a Revolving Loan, in an amount equal to such Revolving Lender’s Revolving Percentage of the
aggregate amount of the Swingline Loans (the “Refunded Swingline Loans”) outstanding on the date of such notice, to repay the Swingline Lender. Each Revolving Lender shall make the amount of such Revolving Loan available to the
Administrative Agent at the Funding Office in immediately available funds, not later than 10:00 A.M., New York City time, one Business Day after the date of such notice. The proceeds of such Revolving Loans shall be immediately made available by the
Administrative Agent to the Swingline Lender for application by the Swingline Lender to the repayment of the Refunded Swingline Loans. The Borrower irrevocably authorizes the Swingline Lender to charge the Specified Account (up to the amount
available in each such account) in order to immediately pay the amount of such Refunded Swingline Loans to the extent amounts received from the Revolving Lenders are not sufficient to repay in full such Refunded Swingline Loans. 

(c) If prior to the time a Revolving Loan would have otherwise been made pursuant to Section 1.4(b), one of the events described in
Section 9(j) or Section 9(k) shall have occurred and be continuing with respect to the Borrower or if for any other reason, as determined by the Swingline Lender in its sole discretion, Revolving Loans may not be made as contemplated by
Section 1.4(b), each Revolving Lender shall, on the date such Revolving Loan was to have been made pursuant to the notice referred to in Section 1.4(b), purchase for cash an undivided participating interest in the then outstanding Swingline Loans by
paying to the Swingline Lender an amount (the “Swingline Participation Amount”) equal to (i) such Revolving Lender’s Revolving Percentage times (ii) the sum of the aggregate principal amount of Swingline Loans
then outstanding that were to have been repaid with such Revolving Loans. 
 (d) Whenever, at any time after the Swingline Lender has
received from any Revolving Lender such Lender’s Swingline Participation Amount, the Swingline Lender receives any payment on account of the Swingline Loans, the Swingline Lender will distribute to such Lender its Swingline Participation Amount
(appropriately adjusted, in the case of interest payments, to reflect the period of time during which such Lender’s participating interest was outstanding and funded and, in the case of principal and interest payments, to reflect such
Lender’s pro rata portion of such payment if such payment is not sufficient to pay the principal of and interest on all Swingline Loans then due); provided, however, that in the event that such payment received by
the Swingline Lender is required to be returned, such Revolving Lender will return to the Swingline Lender any portion thereof previously distributed to it by the Swingline Lender. 

(e) Each Revolving Lender’s obligation to make the Loans referred to in Section 1.4(b) and to purchase participating interests pursuant
to Section 1.4(c) shall be absolute and unconditional and shall not be affected by any circumstance, including (i) any setoff, counterclaim, 

  
 3 

 
recoupment, defense or other right that such Revolving Lender or the Borrower may have against the Swingline Lender, the Borrower or any other Person for any reason whatsoever, (ii) the
occurrence or continuance of a Default or an Event of Default or the failure to satisfy any of the other conditions specified in Section 5, (iii) any adverse change in the condition (financial or otherwise) of the Borrower, (iv) any
breach of this Agreement or any other Credit Documents by the Borrower, any other Revolving Lender or (v) any other circumstance, happening or event whatsoever, whether or not similar to any of the foregoing. 

1.5. Termination or Reduction of Revolving Commitments. 

The Borrower shall have the right, upon not less than three Business Days’ notice to the Administrative Agent, to terminate the Revolving
Commitments or, from time to time, to reduce the amount of the Revolving Commitments; provided that no such termination or reduction of Revolving Commitments shall be permitted if, after giving effect thereto and to any prepayments of the
Revolving Loans and Swingline Loans made on the effective date thereof, the Total Revolving Extensions of Credit would exceed the Total Revolving Commitments. Any partial reduction of the Revolving Commitments shall be in an amount equal to
$500,000, or a whole multiple thereof, and shall reduce permanently the Revolving Commitments then in effect. 
 1.6. Conversion and
Continuation Options.
 (a) The Borrower may elect from time to time to convert Eurodollar Loans to ABR Loans by giving the
Administrative Agent prior irrevocable notice of such election substantially in the form of Exhibit K no later than 11:00 A.M., New York City time, on the Business Day preceding the proposed conversion date, provided that any such conversion of
Eurodollar Loans may only be made on the last day of an Interest Period with respect thereto. The Borrower may elect from time to time to convert ABR Loans to Eurodollar Loans by giving the Administrative Agent prior irrevocable notice of such
election substantially in the form of Exhibit K no later than 11:00 A.M., New York City time, on the third Business Day preceding the proposed conversion date (which notice shall specify the length of the initial Interest Period therefor),
provided that no ABR Loan under a particular Facility may be converted into a Eurodollar Loan when any Event of Default has occurred and is continuing and the Administrative Agent or the Required Lenders have determined in its or their sole
discretion not to permit such conversions. Upon receipt of any such notice the Administrative Agent shall promptly notify each relevant Lender thereof. 

(b) Any Eurodollar Loan may be continued as such upon the expiration of the then current Interest Period with respect thereto by the Borrower
giving irrevocable notice to the Administrative Agent substantially in the form of Exhibit K, in accordance with the applicable provisions of the term “Interest Period” set forth in Section 10, of the length of the next Interest
Period to be applicable to such Eurodollar Loans, provided that no Eurodollar Loan under a particular Facility may be continued as such (i) when any Event of Default has occurred and is continuing and the Administrative Agent has or the
Required Lenders have determined in its or their sole discretion not to permit such continuations or (ii) if an Event of Default specified in Section 9(j) or 9(k) with respect to the Borrower is in existence, and provided,
further, that if the Borrower shall fail to give any required notice as described above in this paragraph or if such continuation is not permitted pursuant to the preceding proviso such Loans shall be automatically converted to ABR Loans on
the last day of such then expiring Interest Period. Upon receipt of any such notice the Administrative Agent shall promptly notify each relevant Lender thereof. 

  
 4 

 1.7. Limitations on Eurodollar Tranches. 

Notwithstanding anything to the contrary in this Agreement, all Borrowings, conversions and continuations of Eurodollar Loans and all
selections of Interest Periods shall be in such amounts and be made pursuant to such elections so that, (a) after giving effect thereto, the aggregate principal amount of the Eurodollar Loans comprising each Eurodollar Tranche shall be equal to
$500,000 or a whole multiple of $100,000 in excess thereof and (b) no more than seven Eurodollar Tranches shall be outstanding at any one time. 

1.8. Interest Rates and Payment Dates. (a) Each Eurodollar Loan shall bear interest for each day during each Interest Period
with respect thereto at a rate per annum equal to the Eurodollar Rate determined for such day plus the Applicable Margin. 
 (b) Each ABR
Loan shall bear interest at a rate per annum equal to the ABR plus the Applicable Margin. 
 (c) (i) If all or a portion of the principal
amount of any Loan or Reimbursement Obligation shall not be paid when due (whether at the stated maturity, by acceleration or otherwise), such amount shall bear interest at a rate per annum equal to (x) in the case of the Revolving Loans, the
rate that would otherwise be applicable thereto pursuant to the foregoing provisions of this Section plus 2% or (y) in the case of Reimbursement Obligations, the rate applicable to ABR Loans under the Revolving Facility plus 2%,
and (ii) if all or a portion of any interest payable on any Loan or Reimbursement Obligation or any Commitment Fee or other amount payable hereunder shall not be paid when due (whether at the stated maturity, by acceleration or otherwise), such
overdue amount shall bear interest at a rate per annum equal to the rate then applicable to ABR Loans under the Revolving Facility plus 2%, in each case, with respect to clauses (i) and (ii) above, from the date of such non-payment until such amount is paid in full (as well after as before judgment). 
 (d) Interest shall be
payable in arrears on each Interest Payment Date, provided that interest accruing pursuant to paragraph (c) of this Section shall be payable from time to time on demand. 

1.9. Computation of Interest and Fees. (a) Interest and fees payable pursuant hereto shall be calculated on the basis of a
360-day year for the actual days elapsed, except that, with respect to ABR Loans the rate of interest on which is calculated on the basis of the Prime Rate, the interest thereon shall be calculated on the basis of a 365- (or 366-, as the case may
be) day year for the actual days elapsed. The Administrative Agent shall as soon as practicable notify the Borrower and the relevant Lenders of each determination of a Eurodollar Rate. Any change in the interest rate on a Loan resulting from a
change in the ABR or the Eurocurrency Reserve Requirements shall become effective as of the opening of business on the day on which such change becomes effective. The Administrative Agent shall as soon as practicable notify the Borrower and the
relevant Lenders of the effective date and the amount of each such change in interest rate. 
 (b) Each determination of an interest rate by
the Administrative Agent pursuant to any provision of this Agreement shall be conclusive and binding on the Borrower and the Lenders in the absence of manifest error. The Administrative Agent shall, at the request of the Borrower, deliver to the
Borrower a statement showing the quotations used by the Administrative Agent in determining any interest rate pursuant to Section 1.8(a). 

  
 5 

 1.10. Inability to Determine Interest Rate. 

If prior to the first day of any Interest Period for any Eurodollar Loan: 

(a) the Administrative Agent shall have determined (which determination shall be conclusive and binding upon the Borrower) that, by reason of
circumstances affecting the relevant market, adequate and reasonable means do not exist for ascertaining the Eurodollar Rate for such Interest Period, or 

(b) the Administrative Agent shall have received notice from the Required Lenders that the Eurodollar Rate determined or to be determined for
such Interest Period will not adequately and fairly reflect the cost to such Lenders (as conclusively certified by such Lenders) of making or maintaining their affected Loans during such Interest Period, 

(c) the Administrative Agent shall give telecopy or telephonic notice thereof to the Borrower and the relevant Lenders as soon as practicable
thereafter. If such notice is given (x) any Eurodollar Loans under the Revolving Facility requested to be made on the first day of such Interest Period shall be made as ABR Loans, (y) any Loans under the Revolving Facility that were to
have been converted on the first day of such Interest Period to Eurodollar Loans shall be continued as ABR Loans and (z) any outstanding Eurodollar Loans under the Revolving Facility shall be converted, on the last day of the then current
Interest Period with respect to such Eurodollar Loans, to ABR Loans. Until such notice has been withdrawn by the Administrative Agent, no further Eurodollar Loans under the Revolving Facility shall be made or continued as such, nor shall the
Borrower have the right to convert Loans under the Revolving Facility to Eurodollar Loans. 
 1.11. Pro Rata Treatment and Payments.

 (a) Each Borrowing by the Borrower from the Lenders hereunder, each payment by the Borrower on account of any Commitment Fee and any
reduction of the Commitments of the Lenders shall be made pro rata. 
 (b) All payments (including prepayments) to be made by the Borrower
hereunder, whether on account of principal, interest, fees or otherwise, shall be made without setoff or counterclaim and shall be made prior to 1:00 P.M., New York City time, on the due date thereof to the Administrative Agent, for the account of
the Lenders, at the Funding Office, in Dollars and in immediately available funds. The Administrative Agent shall distribute such payments to each relevant Lender promptly upon receipt in like funds as received, net of any amounts owing by such
Lender pursuant to Section 11.7. If any payment hereunder (other than payments on the Eurodollar Loans) becomes due and payable on a day other than a Business Day, such payment shall be extended to the next succeeding Business Day. If any payment on
a Eurodollar Loan becomes due and payable on a day other than a Business Day, the maturity thereof shall be extended to the next succeeding Business Day unless the result of such extension would be to extend such payment into another calendar month,
in which event such payment shall be made on the immediately preceding Business Day. In the case of any extension of any payment of principal pursuant to the preceding two sentences, interest thereon shall be payable at the then applicable rate
during such extension. 
 (c) Unless the Administrative Agent shall have been notified in writing by any Lender prior to a Borrowing that
such Lender will not make the amount that would constitute its share of such Borrowing available to the Administrative Agent, the Administrative Agent may assume that such Lender is making such amount available to the Administrative Agent, and the
Administrative Agent may, in reliance upon such assumption, make available to the Borrower a corresponding amount. If such amount is not made available to the Administrative Agent by the required time on the Borrowing Date therefor, such Lender
shall pay to the Administrative Agent, on demand, such amount with interest thereon, at a rate equal to the greater of (i) the Federal Funds Effective Rate and (ii) a rate determined by the Administrative Agent in accordance with banking
industry rules on interbank 

  
 6 

 
compensation, for the period until such Lender makes such amount immediately available to the Administrative Agent. A certificate of the Administrative Agent submitted to any Lender with respect
to any amounts owing under this paragraph shall be conclusive in the absence of manifest error. If such Lender’s share of such Borrowing is not made available to the Administrative Agent by such Lender within three Business Days after such
Borrowing Date, the Administrative Agent shall also be entitled to recover such amount with interest thereon at the rate per annum applicable to ABR Loans under the Revolving Facility, on demand, from the Borrower. 

(d) Unless the Administrative Agent shall have been notified in writing by the Borrower prior to the date of any payment due to be made by the
Borrower hereunder that the Borrower will not make such payment to the Administrative Agent, the Administrative Agent may assume that the Borrower is making such payment, and the Administrative Agent may, but shall not be required to, in reliance
upon such assumption, make available to the Lenders their respective pro rata shares of a corresponding amount. If such payment is not made to the Administrative Agent by the Borrower within three Business Days after such due date, the
Administrative Agent shall be entitled to recover, on demand, from each Lender to which any amount which was made available pursuant to the preceding sentence, such amount with interest thereon at the rate per annum equal to the daily average
Federal Funds Effective Rate. Nothing herein shall be deemed to limit the rights of the Administrative Agent or any Lender against the Borrower. 

(e) If any Lender shall fail to make any payment required to be made by it pursuant to Section 1.4(b), 1.4(c), 1.11(d), 1.11(e), 2.3(a),
4.3(e) or 11.7, then the Administrative Agent may, in its discretion and notwithstanding any contrary provision hereof, (i) apply any amounts thereafter received by the Administrative Agent for the account of such Lender for the benefit of the
Administrative Agent, the Swingline Lender or the Issuing Lender to satisfy such Lender’s obligations to it under such Sections until all such unsatisfied obligations are fully paid, and/or (ii) hold any such amounts in a segregated
account as cash collateral for, and application to, any future funding obligations of such Lender under any such Section, in the case of each of clauses (i) and (ii) above, in any order as determined by the Administrative Agent in its
discretion. 
 1.12. Requirements of Law. 

(a) If the adoption or taking effect of or any change in any Requirement of Law or in the implementation, administration, interpretation or
application thereof or compliance by any Lender or other Credit Party with any request or directive (whether or not having the force of law) from any central bank or other Governmental Entity made subsequent to the date hereof: 

(i) shall subject any Credit Party to any Taxes (other than (A) Indemnified Taxes, (B) Taxes described in clauses
(b) through (d) of the definition of Excluded Taxes and (C) Connection Income Taxes) on its loans, loan principal, letters of credit, commitments, or other obligations, or its deposits, reserves, other liabilities or capital
attributable thereto; 
 (ii) shall impose, modify or hold applicable any reserve, special deposit, compulsory loan,
insurance charge or similar requirement against assets held by, deposits or other liabilities in or for the account of, advances, loans or other extensions of credit (or participations therein) by, or any other acquisition of funds by, any office of
such Lender that is not otherwise included in the determination of the Eurodollar Rate; or 
 (iii) shall impose on such
Lender any other condition, cost or expense (other than Taxes); 

  
 7 

 and the result of any of the foregoing is to increase the cost to such Lender or such other Credit Party, by an
amount that such Lender or other Credit Party deems to be material, of making, converting into, continuing or maintaining Loans or issuing or participating in Letters of Credit, or to reduce any amount receivable hereunder in respect thereof, then,
in any such case, the Borrower shall promptly pay such Lender or such other Credit Party, upon its demand, any additional amounts necessary to compensate such Lender or such other Credit Party for such increased cost or reduced amount receivable. If
any Lender or such other Credit Party becomes entitled to claim any additional amounts pursuant to this paragraph, it shall promptly notify the Borrower (with a copy to the Administrative Agent) of the event by reason of which it has become so
entitled. 
 (b) If any Lender shall have determined that the adoption of or any change in any Requirement of Law regarding capital or
liquidity requirements or in the interpretation or application thereof or compliance by such Lender or any corporation controlling such Lender with any request or directive regarding capital or liquidity requirements (whether or not having the force
of law) from any Governmental Entity made subsequent to the date hereof shall have the effect of reducing the rate of return on such Lender’s or such corporation’s capital as a consequence of its obligations hereunder or under or in
respect of any Letter of Credit to a level below that which such Lender or such corporation could have achieved but for such adoption, change or compliance (taking into consideration such Lender’s or such corporation’s policies with
respect to capital adequacy or liquidity) by an amount deemed by such Lender to be material, then from time to time, after submission by such Lender to the Borrower (with a copy to the Administrative Agent) of a written request therefor, the
Borrower shall pay to such Lender such additional amount or amounts as will compensate such Lender or such corporation for such reduction. 

(c) Notwithstanding anything herein to the contrary, (i) all requests, rules, guidelines, requirements and directives promulgated by the
Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) or by United States or foreign regulatory authorities, in each case pursuant to Basel III, and (ii) the Dodd-Frank Wall
Street Reform and Consumer Protection Act and all requests, rules, guidelines, requirements and directives thereunder or issued in connection therewith or in implementation thereof, shall in each case be deemed to be a change in a Requirement of
Law, regardless of the date enacted, adopted, issued or implemented. 
 (d) A certificate as to any additional amounts payable pursuant to
this Section submitted by any Lender to the Borrower (with a copy to the Administrative Agent) shall be conclusive in the absence of manifest error. Notwithstanding anything to the contrary in this Section, the Borrower shall not be required to
compensate a Lender pursuant to this Section for any amounts incurred more than nine months prior to the date that such Lender notifies the Borrower of such Lender’s intention to claim compensation therefor; provided that, if the circumstances
giving rise to such claim have a retroactive effect, then such nine-month period shall be extended to include the period of such retroactive effect. The obligations of the Borrower pursuant to this Section shall survive the termination of this
Agreement and the payment of the Loans and all other amounts payable hereunder. 
 1.13. Change of Lending Office. Each Lender agrees
that, upon the occurrence of any event giving rise to the operation of Section 1.12 or 4.3(a) or (d) with respect to such Lender, it will, if requested by the Borrower, use reasonable efforts (subject to overall policy considerations of such
Lender) to designate another lending office for any Loans affected by such event with the object of avoiding the consequences of such event; provided, that such designation is made on terms that, in the sole judgment of such Lender, cause
such Lender and its lending offices to suffer no economic, legal or regulatory disadvantage, and provided, further, that nothing in this Section shall affect or postpone any of the obligations of the Borrower or the rights of any
Lender pursuant to Section 1.12 or 4.3(a) or (d). 

  
 8 

 1.14. Indemnity. The Borrower agrees to indemnify each Lender for, and to hold each Lender
harmless from, any loss or expense that such Lender may sustain or incur as a consequence of (a) default by the Borrower in making a borrowing of, conversion into or continuation of Eurodollar Loans after the Borrower has given a notice
requesting the same in accordance with the provisions of this Agreement, (b) default by the Borrower in making any prepayment of or conversion from Eurodollar Loans after the Borrower has given a notice thereof in accordance with the provisions
of this Agreement or (c) the making of a prepayment of Eurodollar Loans on a day that is not the last day of an Interest Period with respect thereto. Such indemnification may include an amount equal to the excess, if any, of (i) the amount
of interest that would have accrued on the amount so prepaid, or not so borrowed, converted or continued, for the period from the date of such prepayment or of such failure to borrow, convert or continue to the last day of such Interest Period (or,
in the case of a failure to borrow, convert or continue, the Interest Period that would have commenced on the date of such failure) in each case at the applicable rate of interest for such Loans provided for herein (excluding, however, the
Applicable Margin included therein, if any) over (ii) the amount of interest (as reasonably determined by such Lender) that would have accrued to such Lender on such amount by placing such amount on deposit for a comparable period with leading
banks in the interbank eurodollar market. A certificate as to any amounts payable pursuant to this Section submitted to the Borrower by any Lender shall be conclusive in the absence of manifest error. This covenant shall survive the termination of
this Agreement and the payment of the Loans and all other amounts payable hereunder. 
 1.15. Replacement of Lenders. The Borrower
shall be permitted to replace any Lender if (a) such Lender requests reimbursement for amounts owing pursuant to Section 1.12 or the Borrower is required to pay any Indemnified Taxes or additional amounts to such Lender or any Governmental
Entity for the account of such Lender pursuant to Section 4.3(a) or (d), (b) such Lender becomes a Defaulting Lender, or (c) such Lender does not consent to any proposed amendment, supplement, modification, consent or waiver of any
provision of this Agreement or any other Credit Document that requires the consent of each of the Lenders or each of the Lenders affected thereby (so long as the consent of the Required Lenders has been obtained), with a replacement financial
institution; provided that (i) such replacement does not conflict with any Requirement of Law, (ii) no Event of Default shall have occurred and be continuing at the time of such replacement, (iii) prior to any such replacement, such
Lender shall have taken no action under Section 1.13 so as to eliminate the continued need for payment of amounts owing pursuant to Section 1.12 or 4.3(a) or (d), (iv) the replacement financial institution shall purchase, at par, all Loans and
other amounts owing to such replaced Lender on or prior to the date of replacement, (v) the Borrower shall be liable to such replaced Lender under Section 1.14 if any Eurodollar Loan owing to such replaced Lender shall be purchased other than
on the last day of the Interest Period relating thereto, (vi) the replacement financial institution shall, subject to Section 12.4(b)(ii) and (iii), be reasonably satisfactory to the Administrative Agent and the Issuing Lender,
(vii) the replaced Lender shall be obligated to make such replacement in accordance with the provisions of Section 12.4 (provided that the Borrower shall be obligated to pay the registration and processing fee referred to therein), (viii) until
such time as such replacement shall be consummated, the Borrower shall pay all additional amounts (if any) required pursuant to Section 1.12 or 4.3(a) or (d), as the case may be, and (ix) any such replacement shall not be deemed to be a waiver
of any rights that the Borrower, the Administrative Agent or any other Lender shall have against the replaced Lender. Each party hereto agrees that an assignment required pursuant to this paragraph may be effected pursuant to an Assignment and
Assumption executed by the Borrower, the Administrative Agent and the assignee, and that the Lender required to make such assignment need not be a party thereto in order for such assignment to be effective. 

1.16. Defaulting Lenders. Notwithstanding any provision of this Agreement to the contrary, if any Lender becomes a Defaulting Lender,
then the following provisions shall apply for so long as such Lender is a Defaulting Lender: 
 (a) fees shall cease to accrue on the
unfunded portion of the Revolving Commitment of such Defaulting Lender pursuant to Section 3; 

  
 9 

 (b) the Revolving Commitment and Revolving Extensions of Credit of such Defaulting Lender shall
not be included in determining whether the Required Lenders have taken or may take any action hereunder (including any consent to any amendment, waiver or other modification pursuant to Section 12.12); provided, that this clause
(b) shall not apply to the vote of a Defaulting Lender in the case of an amendment, waiver or other modification requiring the consent of such Lender or each Lender affected thereby; 

(c) if any Swingline Exposure or L/C Exposure exists at the time such Lender becomes a Defaulting Lender then: 

(i) all or any part of the Swingline Exposure and L/C Exposure of such Defaulting Lender shall be reallocated among the
non-Defaulting Lenders in accordance with their respective Revolving Percentages but only to the extent (x) the sum of all non-Defaulting Lenders’ Revolving Extensions of Credit plus such Defaulting Lender’s Swingline Exposure and L/C
Exposure does not exceed the total of all non-Defaulting Lenders’ Revolving Commitments and (y) such reallocation does not cause the Revolving Extensions of Credit of any non-Defaulting Lender to exceed such Lender’s Revolving
Commitment; 
 (ii) if the reallocation described in clause (i) above cannot, or can only partially, be effected, the
Borrower shall within one Business Day following notice by the Administrative Agent (x) first, prepay such Swingline Exposure and (y) second, in a manner consistent with the Collateral Agency Agreement, cash collateralize for the benefit
of the Issuing Lender only the Borrower’s obligations corresponding to such Defaulting Lender’s L/C Exposure (after giving effect to any partial reallocation pursuant to clause (i) above) in accordance with the procedures set forth in
Section 8.1 for so long as such L/C Exposure is outstanding; 
 (iii) if the Borrower cash collateralizes any portion of such
Defaulting Lender’s L/C Exposure pursuant to clause (ii) above, the Borrower shall not be required to pay any fees to such Defaulting Lender pursuant to Section 3(b) with respect to such Defaulting Lender’s L/C Exposure during
the period such Defaulting Lender’s L/C Exposure is cash collateralized; 
 (iv) if the L/C Exposure of the
non-Defaulting Lenders is reallocated pursuant to clause (i) above, then the fees payable to the Lenders pursuant to Section 3 shall be adjusted in accordance with such non-Defaulting Lenders’ Revolving Percentages; and 

(v) if all or any portion of such Defaulting Lender’s L/C Exposure is neither reallocated nor cash collateralized pursuant
to clause (i) or (ii) above, then, without prejudice to any rights or remedies of the Issuing Lender or any other Lender hereunder, all fees payable under Section 3(b) with respect to such Defaulting Lender’s L/C Exposure shall
be payable to the Issuing Lender until and to the extent that such L/C Exposure is reallocated and/or cash collateralized; and 
 (d) so
long as such Lender is a Defaulting Lender, the Swingline Lender shall not be required to fund any Swingline Loan and the Issuing Lender shall not be required to issue, amend or increase any Letter of Credit, unless it is satisfied that the related
exposure and the Defaulting Lender’s then outstanding L/C Exposure will be 100% covered by the Revolving Commitments of the non-Defaulting Lenders and/or cash collateral will be provided by the Borrower in accordance with Section 1.16(c), and
participating interests in any newly made Swingline Loan or any newly issued or increased Letter of Credit shall be allocated among non-Defaulting Lenders in a manner consistent with Section 1.16(c) (and such Defaulting Lender shall not participate
therein). 

  
 10 

 If (i) a Bankruptcy Event with respect to a Lender Parent of any Lender shall occur
following the date hereof and for so long as such event shall continue or (ii) the Swingline Lender or the Issuing Lender has a good faith belief that any Lender has defaulted in fulfilling its obligations under one or more other agreements in
which such Lender commits to extend credit, the Swingline Lender shall not be required to fund any Swingline Loan and the Issuing Lender shall not be required to issue, amend or increase any Letter of Credit, unless the Swingline Lender or the
Issuing Lender, as the case may be, shall have entered into arrangements with the Borrower or such Lender, satisfactory to the Swingline Lender or the Issuing Lender, as the case may be, to defease any risk to it in respect of such Lender hereunder.

 In the event that the Administrative Agent, the Borrower, the Swingline Lender and the Issuing Lender each agrees that a Defaulting
Lender has adequately remedied all matters that caused such Lender to be a Defaulting Lender, then the Swingline Exposure and L/C Exposure of the Lenders shall be readjusted to reflect the inclusion of such Lender’s Revolving Commitment and on
such date such Lender shall purchase at par such of the Loans of the other Lenders (other than Swingline Loans) as the Administrative Agent shall determine may be necessary in order for such Lender to hold such Loans in accordance with its Revolving
Percentage. 
 1.17. Increase in Commitments 

(a) Request for Increase. Provided no Event of Default has occurred and is continuing, upon notice to the Administrative Agent (which
shall promptly notify the Lenders), the Borrower may from time to time request an increase in the Total Revolving Commitments by an amount (for all such requests) not exceeding $75,000,000 in the aggregate; provided that (i) any such
request for an increase shall be in a minimum amount of $10,000,000, (ii) the Borrower may make a maximum of three such requests, and (iii) the new or increased Commitment of each new or increasing Lender shall be on terms and conditions
identical to those of the existing Lenders immediately prior to such increase (other than with respect to fees). At the time of sending such notice, the Borrower (in consultation with the Administrative Agent) shall specify the time period within
which each Lender is requested to respond (which shall in no event be less than ten Business Days from the date of delivery of such notice to the Lenders). 

(b) Lender Elections to Increase. Each Lender shall notify the Administrative Agent within such time period whether or not it agrees to
increase its Commitment and, if so, whether by an amount equal to, greater than, or less than its Revolving Percentage of such requested increase. Any Lender not responding within such time period shall be deemed to have declined to increase its
Commitment. 
 (c) Notification by Administrative Agent; Additional Lenders. The Administrative Agent shall notify the Borrower and
each Lender of the Lenders’ responses to each request made hereunder. To achieve the full amount of a requested increase and subject to the approval of the Administrative Agent and the Issuing Lender, such approval not to be unreasonably
withheld or delayed, the Borrower may also invite additional Eligible Assignees to become Lenders pursuant to a joinder agreement in form and substance reasonably satisfactory to the Administrative Agent and its counsel. 

(d) Effective Date and Allocations. If the Total Revolving Commitments are increased in accordance with this Section, the
Administrative Agent and the Borrower shall determine the effective date (the “Increase Effective Date”) and the final allocation of such increase. The Administrative Agent shall promptly notify the Borrower and the Lenders of the final
allocation of such increase and the Increase Effective Date. 

  
 11 

 (e) Conditions to Effectiveness of Increase. As a condition precedent to such increase,
the Borrower shall deliver to the Administrative Agent a certificate of each Loan Party dated as of the Increase Effective Date (in sufficient copies for each Lender) signed by a Responsible Officer of such Loan Party (i) certifying and
attaching the resolutions adopted by such Loan Party approving or consenting to such increase, and (ii) in the case of the Borrower, certifying that, before and after giving effect to such increase, (A) the representations and warranties
contained in Section 6 and the other Credit Documents are true and correct on and as of the Increase Effective Date, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they are
true and correct as of such earlier date, and except that for purposes of this Section 1.17, the representations and warranties contained in subsections (a)(i) and (a)(ii) of Section 6.5 shall be deemed to refer to the most recent
statements furnished pursuant to subsections (a) and (b), respectively, of Section 7.1, and (B) no Default or Event of Default has occurred and is continuing or would result therefrom. On the Increase Effective Date, each Lender
(including any new Lender) participating in such Commitment increase shall purchase and assume from each existing Lender having Loans outstanding on such Increase Effective Date, without recourse or warranty, an undivided interest and participation,
to the extent of such Lender’s ratable portion of the Total Revolving Commitments (after giving effect to such Commitment increase), in the aggregate Loans then outstanding, so as to ensure that, on the Increase Effective Date after giving
effect to such Commitment increase, each Lender is owed only its ratable portion of the Loans outstanding on such Increase Effective Date. 

(f) Conflicting Provisions. This Section shall supersede any provisions in Section 12.6 or 12.12 to the contrary. 

SECTION 2 LETTERS OF CREDIT. 

2.1. L/C Commitment. (a) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the
other Revolving Lenders set forth in Section 2.3(a), agrees to issue letters of credit (“Letters of Credit”) for the account of the Borrower on any Business Day during the Revolving Commitment Period in such form as may be approved
from time to time by the Issuing Lender; provided that the Issuing Lender shall have no obligation to issue any Letter of Credit if, after giving effect to such issuance, (i) the Letter of Credit Outstandings would exceed the L/C
Commitment or (ii) the Total Revolving Extensions of Credit would exceed the Total Revolving Commitments. Each Letter of Credit shall (i) be denominated in Dollars and (ii) expire no later than the earlier of (x) the first
anniversary of its date of issuance and (y) the date that is five Business Days prior to the Revolving Facility Final Maturity Date, provided that any Letter of Credit with a one-year term may provide for the renewal thereof for
additional one-year periods (which shall in no event extend beyond the date referred to in clause (y) above). 
 (b) The Issuing Lender
shall not at any time be obligated to issue any Letter of Credit if such issuance would conflict with, or cause the Issuing Lender or any L/C Participant to exceed any limits imposed by, any applicable Requirement of Law. 

2.2. Procedure for Issuance of Letter of Credit. 

The Borrower may from time to time request that the Issuing Lender issue a Letter of Credit by delivering to the Issuing Lender at its address
for notices specified herein an Application therefor, completed to the satisfaction of the Issuing Lender, and such other certificates, documents and other papers and information as the Issuing Lender may request. Upon receipt of any Application,
the Issuing Lender will process such Application and the certificates, documents and other papers and information delivered to it in connection therewith in accordance with its customary procedures and shall promptly issue the Letter of Credit
requested thereby (but in no event shall the Issuing Lender be required 

  
 12 

 
to issue any Letter of Credit earlier than three Business Days after its receipt of the Application therefor and all such other certificates, documents and other papers and information relating
thereto) by issuing the original of such Letter of Credit to the beneficiary thereof or as otherwise may be agreed to by the Issuing Lender and the Borrower. The Issuing Lender shall furnish a copy of such Letter of Credit to the Borrower promptly
following the issuance thereof. The Issuing Lender shall promptly furnish to the Administrative Agent, which shall in turn promptly furnish to the Lenders, notice of the issuance of each Letter of Credit (including the amount thereof). 

2.3. L/C Participations. 

(a) The Issuing Lender irrevocably agrees to grant and hereby grants to each L/C Participant, and, to induce the Issuing Lender to issue
Letters of Credit, each L/C Participant irrevocably agrees to accept and purchase and hereby accepts and purchases from the Issuing Lender, on the terms and conditions set forth below, for such L/C Participant’s own account and risk an
undivided interest equal to such L/C Participant’s Revolving Percentage in the Issuing Lender’s obligations and rights under and in respect of each Letter of Credit and the amount of each draft paid by the Issuing Lender thereunder. Each
L/C Participant agrees with the Issuing Lender that, if a draft is paid under any Letter of Credit for which the Issuing Lender is not reimbursed in full by the Borrower in accordance with the terms of this Agreement (or in the event that any
reimbursement received by the Issuing Lender shall be required to be returned by it at any time), such L/C Participant shall pay to the Issuing Lender upon demand at the Issuing Lender’s address for notices specified herein an amount equal to
such L/C Participant’s Revolving Percentage of the amount that is not so reimbursed (or is so returned). Each L/C Participant’s obligation to pay such amount shall be absolute and unconditional and shall not be affected by any
circumstance, including (i) any setoff, counterclaim, recoupment, defense or other right that such L/C Participant may have against the Issuing Lender, the Borrower or any other Person for any reason whatsoever, (ii) the occurrence or
continuance of a Default or an Event of Default or the failure to satisfy any of the other conditions specified in Section 9, (iii) any adverse change in the condition (financial or otherwise) of the Borrower, (iv) any breach of this
Agreement or any other Credit Document by the Borrower, any other Loan Party (to the extent applicable) or any other L/C Participant or (v) any other circumstance, happening or event whatsoever, whether or not similar to any of the foregoing.

 (b) If any amount required to be paid by any L/C Participant to the Issuing Lender pursuant to Section 2.3(a) in respect of any
unreimbursed portion of any payment made by the Issuing Lender under any Letter of Credit is paid to the Issuing Lender within three Business Days after the date such payment is due, such L/C Participant shall pay to the Issuing Lender on demand an
amount equal to the product of (i) such amount, times (ii) the daily average Federal Funds Effective Rate during the period from and including the date such payment is required to the date on which such payment is immediately available to
the Issuing Lender, times (iii) a fraction the numerator of which is the number of days that elapse during such period and the denominator of which is 360. If any such amount required to be paid by any L/C Participant pursuant to Section 2.3(a)
is not made available to the Issuing Lender by such L/C Participant within three Business Days after the date such payment is due, the Issuing Lender shall be entitled to recover from such L/C Participant, on demand, such amount with interest
thereon calculated from such due date at the rate per annum applicable to ABR Loans under the Revolving Facility. A certificate of the Issuing Lender submitted to any L/C Participant with respect to any amounts owing under this Section shall be
conclusive in the absence of manifest error. 
 (c) Whenever, at any time after the Issuing Lender has made payment under any Letter of
Credit and has received from any L/C Participant its pro rata share of such payment in accordance with Section 2.3(a), the Issuing Lender receives any payment related to such Letter of Credit (whether directly from the Borrower or otherwise,
including proceeds of collateral applied 

  
 13 

 
thereto by the Issuing Lender), or any payment of interest on account thereof, the Issuing Lender will distribute to such L/C Participant its pro rata share thereof; provided, however, that in
the event that any such payment received by the Issuing Lender shall be required to be returned by the Issuing Lender, such L/C Participant shall return to the Issuing Lender the portion thereof previously distributed by the Issuing Lender to it.

 2.4. Reimbursement Obligation of the Borrower. 

If any draft is paid under any Letter of Credit, the Borrower shall reimburse the Issuing Lender for the amount of (a) the draft so paid
and (b) any taxes, fees, charges or other costs or expenses incurred by the Issuing Lender in connection with such payment, not later than 12:00 Noon, New York City time, on (i) the Business Day that the Borrower receives notice of such
draft, if such notice is received on such day prior to 10:00 A.M., New York City time, or (ii) if clause (i) above does not apply, the Business Day immediately following the day that the Borrower receives such notice. Each such payment
shall be made to the Issuing Lender at its address for notices referred to herein in Dollars and in immediately available funds. Interest shall be payable on any such amounts from the date on which the relevant draft is paid until payment in full at
the rate set forth in (x) until the Business Day next succeeding the date of the relevant notice, Section 1.8(b) and (y) thereafter, Section 1.8(c). 

2.5. Obligations Absolute. 

The Borrower’s obligations under this Section 2 shall be absolute and unconditional under any and all circumstances and irrespective
of any setoff, counterclaim or defense to payment that the Borrower may have or have had against the Issuing Lender, any beneficiary of a Letter of Credit or any other Person. The Borrower also agrees with the Issuing Lender that the Issuing Lender
shall not be responsible for, and the Borrower’s Reimbursement Obligations under Section 3 shall not be affected by, among other things, the validity or genuineness of documents or of any endorsements thereon, even though such documents
shall in fact prove to be invalid, fraudulent or forged, or any dispute between or among the Borrower and any beneficiary of any Letter of Credit or any other party to which such Letter of Credit may be transferred or any claims whatsoever of the
Borrower against any beneficiary of such Letter of Credit or any such transferee. The Issuing Lender shall not be liable for any error, omission, interruption or delay in transmission, dispatch or delivery of any message or advice, however
transmitted, in connection with any Letter of Credit, except for errors or omissions found by a final and nonappealable decision of a court of competent jurisdiction to have resulted from the gross negligence or willful misconduct of the Issuing
Lender. The Borrower agrees that any action taken or omitted by the Issuing Lender under or in connection with any Letter of Credit or the related drafts or documents, if done in the absence of gross negligence or willful misconduct, shall be
binding on the Borrower and shall not result in any liability of the Issuing Lender to the Borrower. 
 2.6. Letter of Credit
Payments. 
 If any draft shall be presented for payment under any Letter of Credit, the Issuing Lender shall promptly notify the
Borrower of the date and amount thereof. The responsibility of the Issuing Lender to the Borrower in connection with any draft presented for payment under any Letter of Credit shall, in addition to any payment obligation expressly provided for in
such Letter of Credit, be limited to determining that the documents (including each draft) delivered under such Letter of Credit in connection with such presentment are substantially in conformity with such Letter of Credit. 

  
 14 

 2.7. Applications. 

To the extent that any provision of any Application related to any Letter of Credit is inconsistent with the provisions of this
Section 2, the provisions of this Section 2 shall apply. 
 SECTION 3 FEES. (a) The Borrower agrees to pay
to the Administrative Agent a commitment fee for the account of each Lender for the period from and including the Restatement Date to but not including the date the Total Revolving Commitment has been terminated, computed at a rate per annum equal
to the Applicable Fee Rate per annum times the average daily Unutilized Commitment of such Lender (the “Commitment Fee”). Such Commitment Fee shall be due and payable in arrears on the last Business Day of each March, June,
September and December and on the first date upon which the Total Revolving Commitment shall have been terminated, commencing with the first such date to fall after the Restatement Date. 

(b) The Borrower agrees to pay to the Administrative Agent for the account of each Lender pro rata on the basis of its Revolving Percentage a
fee in respect of each outstanding Letter of Credit (the “Letter of Credit Fee”) for each day computed at the rate per annum equal to the Applicable Margin for Revolving Loans that are Eurodollar Loans for such day on the Stated
Amount of such Letter of Credit on such day. Accrued Letter of Credit Fees shall be due and payable quarterly in arrears on the last Business Day of each March, June, September and December of each year and on the date upon which the Total Revolving
Commitment is terminated, commencing with the first such date to fall after the Restatement Date. Such fee shall be shared ratably among the Lenders participating in the Revolving Facility. 

(c) The Borrower agrees to pay to the Issuing Lender a fee in respect of each Letter of Credit (the “Fronting Fee”) computed
at the rate of 0.25% per annum on the average daily Stated Amount of such Letter of Credit. Accrued Fronting Fees shall be due and payable quarterly in arrears on the last Business Day of each March, June, September and December of each year
and on the date upon which the Total Revolving Commitment is terminated, commencing with the first such date to fall after the Restatement Date. 

(d) The Borrower agrees to pay directly to the Issuing Lender upon each issuance of, drawing under, and/or amendment or transfer by a
beneficiary of, a Letter of Credit such amount as shall at the time of such issuance, drawing, transfer or amendment be the administrative charge which the Issuing Lender is customarily charging for issuances of, drawings under or amendments or
transfers of, letters of credit issued by it. 
 (e) The Borrower shall pay to the Administrative Agent (x) on the Restatement Date for
its own account and/or for distribution to the Lenders the fees referred to in the Fee Letter and such other fees, if any, as have heretofore been agreed to by the Borrower and the Administrative Agent and (y) for its own account such other
fees as may be agreed to from time to time between the Borrower and the Administrative Agent, when and as due. 
 (f) All computations of
Fees shall be made in accordance with Section 1.9(a). 
 SECTION 4 PREPAYMENT; TAXES. 

4.1. Voluntary Prepayments. The Borrower shall have the right to prepay Loans, in whole or in part, without premium or penalty,
from time to time on the following terms and conditions: (i) the Borrower shall give the Administrative Agent (and the Swingline Lender, in the case of Swingline Loans) at the Notice Office written notice of its intent to prepay the Loans,
whether such Loans are Revolving Loans or Swingline Loans, the amount of such prepayment and (in the case of Eurodollar Loans) the specific Borrowing(s) pursuant to which such prepayment is made, which notice shall be

  
 15 

 
substantially in the form of Exhibit I hereto and received by the Administrative Agent by 11:00 A.M. (New York time) one Business Day prior to the date of such prepayment or in the case of
Eurodollar Loans, three Business Days prior to the date of such prepayment; (ii) each partial prepayment of any Borrowing shall be in an aggregate principal amount of at least $250,000 in the case of Eurodollar Loans or $100,000 in the case of
ABR Loans or $100,000 in the case of Swingline Loans and shall include accrued interest to such date on the amount prepaid, provided that no partial prepayment of Eurodollar Loans made pursuant to a Borrowing shall reduce the aggregate
principal amount of the Loans outstanding pursuant to such Borrowing to an amount less than the Minimum Borrowing Amount applicable thereto; (iii) if a Eurodollar Loan is prepaid on any day other than the last day of the Interest Period
applicable thereto, the Borrower shall also pay any amounts owing pursuant to Section 1.14 and (iv) each prepayment in respect of any Loans made pursuant to a Borrowing shall be applied pro rata among such Loans 

4.2. Mandatory Prepayments. 

(a) Requirements for Revolving Loans. If on any date (after giving effect to any other repayments or prepayments on such date) the sum
of (i) the aggregate outstanding principal amount of Revolving Loans and Swingline Loans plus (ii) the aggregate amount of Letter of Credit Outstandings exceeds the Total Revolving Commitment as then in effect, the Borrower shall
repay on such date that principal amount of Swingline Loans and, after the Swingline Loans have been paid in full, Unpaid Drawings and, after Unpaid Drawings have been paid in full, Revolving Loans, in an aggregate amount equal to such excess. If,
after giving effect to the prepayment of all outstanding Swingline Loans, Unpaid Drawings and Revolving Loans, the aggregate amount of Letter of Credit Outstandings exceeds the Total Revolving Commitment as then in effect (any such excess, a
“Total Revolving Commitment Excess Amount”), the Borrower shall pay to the Administrative Agent an amount in cash and/or Cash Equivalents equal to such Total Revolving Commitment Excess Amount, and the Administrative Agent shall
hold such payment as security for the obligations of the Borrower hereunder pursuant to a cash collateral agreement to be entered into in form and substance reasonably satisfactory to the Administrative Agent and the Borrower with terms that are not
inconsistent with the Collateral Agency Agreement, until the proceeds are applied to the Obligations under the Credit Documents, and which shall provide that a portion of the balance, if any, held in a cash collateral account established under such
cash collateral agreement equal to the amount by which such balance exceeds the Total Revolving Commitment Excess Amount from time to time, shall be released to the Borrower, provided that (x) as a result of such release, a mandatory
prepayment shall not be required under the first sentence of this paragraph (b) unless such prepayment is made concurrently with such release, and (y) immediately after giving effect thereto, no Default or Event of Default shall have
occurred and be continuing or would result from such release. 
 (b) Application for Prepayments of Loans. With respect to each
prepayment of Loans required by this Section 4.2, the Borrower may designate the Types of Loans which are to be prepaid and the specific Borrowing(s) under the affected Facility pursuant to which made, provided that (i) the Borrower
shall first so designate all ABR Loans and Eurodollar Loans under an affected Facility with Interest Periods ending on the date of repayment prior to designating any other Eurodollar Loans and (ii) each prepayment of any Loans made pursuant to
a Borrowing shall be applied pro rata among such Loans. If the Borrower is required by this Section 4.2 to repay any Eurodollar Loans and such prepayment will result in the Borrower being required to pay breakage costs under Section 1.14
(any such Eurodollar Loans, “Affected Loans”), the Borrower may elect, by notice to the Administrative Agent, to have the provisions of the following sentence be applicable. At the time any Affected Loans are otherwise required to
be prepaid, the Borrower may elect to deposit 100% (or such lesser percentage elected by the Borrower) of the principal amounts that otherwise would have been paid in respect of the Affected Loans with the Administrative Agent to be held as security
for the obligations of the Borrower 

  
 16 

 
hereunder pursuant to a cash collateral agreement to be entered into in form and substance reasonably satisfactory to the Administrative Agent with terms that are not inconsistent with the
Collateral Agency Agreement, with such cash collateral to be released from such cash collateral account (and applied to repay the principal amount of such Loans) upon each occurrence thereafter of the last day of an Interest Period applicable to the
relevant Loans (or such earlier date or dates as shall be requested by the Borrower), with the amount to be so released and applied on the last day of each Interest Period to be the amount of the relevant Loans to which such Interest Period applies
(or, if less, the amount remaining in such cash collateral account). In the absence of a designation and/or election by the Borrower as described in the preceding sentences, the Administrative Agent shall, subject to the first sentence of this
paragraph, make such designation in its sole discretion with a view, but no obligation, to minimize breakage costs owing under Section 1.14. 

4.3. Taxes. (a) Any and all payments by or on account of any obligation of any Borrower Party under any Credit Document shall
be made without deduction or withholding for any Taxes, except as required by applicable law. If any applicable law (as determined in the good faith discretion of an applicable Withholding Agent) requires the deduction or withholding of any Tax from
any such payment by a Withholding Agent, then the applicable Withholding Agent shall be entitled to make such deduction or withholding and shall timely pay the full amount deducted or withheld to the relevant Governmental Entity in accordance with
applicable law and, if such Tax is an Indemnified Tax, then the sum payable by the applicable Borrower Party shall be increased as necessary so that, after such deduction or withholding has been made (including such deductions and withholdings
applicable to additional sums payable under this Section 4.3), the applicable Credit Party receives an amount equal to the sum it would have received had no such deduction or withholding been made. 

(b) The Borrower Parties shall timely pay to the relevant Governmental Entity in accordance with applicable law, or at the option of the
Administrative Agent timely reimburse it for the payment of, Other Taxes. 
 (c) As soon as practicable after any payment of Taxes by any
Borrower Party to a Governmental Entity pursuant to this Section 4.3, such Borrower Party shall deliver to the Administrative Agent the original or a certified copy of a receipt issued by such Governmental Entity evidencing such payment, a copy of
the return reporting such payment or other evidence of such payment reasonably satisfactory to the Administrative Agent. 
 (d) The Borrower
Parties shall jointly and severally indemnify each Credit Party, within 10 days after demand therefor, for the full amount of any Indemnified Taxes (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under this
Section) payable or paid by such Credit Party or required to be withheld or deducted from a payment to such Credit Party and any reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or
legally imposed or asserted by the relevant Governmental Entity. A certificate as to the amount of such payment or liability delivered to the Borrower by a Lender (with a copy to the Administrative Agent), or by the Administrative Agent on its own
behalf or on behalf of a Lender, shall be conclusive absent manifest error. 
 (e) Each Lender shall severally indemnify the Administrative
Agent, within 10 days after demand therefor, for (i) any Indemnified Taxes attributable to such Lender (but only to the extent that any Borrower Party has not already indemnified the Administrative Agent for any such Taxes which are Indemnified
Taxes and without limiting the obligation of the Borrower Parties to do so), (ii) any Taxes attributable to such Lender’s failure to comply with the provisions of Section 12.4(a) relating to the maintenance of a Participant Register and
(iii) any Excluded Taxes attributable to such lender, in each case, that are payable or paid by the Administrative Agent in connection with any Credit 

  
 17 

 
Document, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Governmental Entity. A
certificate as to the amount of such payment or liability delivered to any Lender by the Administrative Agent shall be conclusive absent manifest error. Each Lender hereby authorizes the Administrative Agent to set off and apply any and all amounts
at any time owing to such Lender under any Credit Document or otherwise payable by the Administrative Agent to the Lender from any other source against any amount due to the Administrative Agent under this paragraph (e). 

(f) (i) Any Lender that is entitled to an exemption from or reduction of withholding Tax with respect to payments made under any Credit
Document shall deliver to the Borrower and the Administrative Agent, at the time or times reasonably requested by the Borrower or the Administrative Agent, such properly completed and executed documentation reasonably requested by the Borrower or
the Administrative Agent as will permit such payments to be made without withholding or at a reduced rate of withholding. In addition, any Lender, if reasonably requested by the Borrower or the Administrative Agent, shall deliver such other
documentation prescribed by applicable law or reasonably requested by the Borrower or the Administrative Agent as will enable the Borrower or the Administrative Agent to determine whether or not such Lender is subject to backup withholding or
information reporting requirements. Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentation (other than such documentation set forth in Section 4.3(f)(ii)(A), (ii)(B)
and (ii)(D) below) shall not be required if in the Lender’s reasonable judgment such completion, execution or submission would subject such Lender to any material unreimbursed cost or expense or would materially prejudice the legal or
commercial position of such Lender. 
 (ii) Without limiting the generality of the foregoing, 

(A) any Lender that is a U.S. Person shall deliver to the Borrower and the Administrative Agent on or prior to the date on
which such Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of the Borrower or the Administrative Agent), executed originals of IRS Form W-9 certifying that such Lender is exempt from U.S.
federal backup withholding tax; 
 (B) any Non-U.S. Lender shall, to the extent it is legally entitled to do so, deliver to
the Borrower and the Administrative Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Non-U.S. Lender becomes a Lender under this Agreement (and from time to time thereafter upon the
reasonable request of the Borrower or the Administrative Agent), whichever of the following is applicable: 
 (1) in the case
of a Non-U.S. Lender claiming the benefits of an income tax treaty to which the United States is a party (x) with respect to payments of interest under any Credit Document, executed originals of IRS Form W-8BEN or IRS Form W-8BEN-E establishing
an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “interest” article of such tax treaty and (y) with respect to any other applicable payments under any Credit Document, executed originals of IRS Form
W-8BEN or IRS Form W-8BEN-E establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “business profits” or “other income” article of such tax treaty; 

(2) executed originals of IRS Form W-8ECI; 

  
 18 

 (3) in the case of a Non-U.S. Lender claiming the benefits of the exemption for
portfolio interest under Section 881(c) of the Code, (x) a certificate substantially in the form of Exhibit F-1 to the effect that such Non-U.S. Lender is not (i) a “bank” within the meaning of Section 881(c)(3)(A) of
the Code, (ii) a “10 percent shareholder” of the Borrower (or, if the Borrower is disregarded as an entity separate from its owner for U.S. federal income tax purposes, the Borrower’s tax owner for U.S. federal income tax
purposes) within the meaning of Section 881(c)(3)(B) of the Code, or (iii) a “controlled foreign corporation” described in Section 881(c)(3)(C) of the Code (a “U.S. Tax Compliance Certificate”) and
(y) executed originals of IRS Form W-8BEN or IRS Form W-8BEN-E; or 
 (4) to the extent a Non-U.S. Lender is not the
beneficial owner, executed originals of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN or IRS Form W-8BEN-E, a U.S. Tax Compliance Certificate substantially in the form of Exhibit F-2 or Exhibit F-3, IRS Form W-9, and/or other
certification documents from each beneficial owner, as applicable; provided that if the Non-U.S. Lender is a partnership and one or more direct or indirect partners of such Non-U.S. Lender are claiming the portfolio interest exemption, such Non-U.S.
Lender may provide a U.S. Tax Compliance Certificate substantially in the form of Exhibit F-4 on behalf of each such direct and indirect partner; 

(C) any Non-U.S. Lender shall, to the extent it is legally entitled to do so, deliver to the Borrower and the Administrative
Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Non-U.S. Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of the Borrower or the
Administrative Agent), executed originals of any other form prescribed by applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding Tax, duly completed, together with such supplementary documentation as may be
prescribed by applicable law to permit the Borrower or the Administrative Agent to determine the withholding or deduction required to be made; and 

(D) if a payment made to a Lender under any Credit Document would be subject to U.S. federal withholding Tax imposed by FATCA
if such Lender were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the Code, as applicable), such Lender shall deliver to the Borrower and the Administrative
Agent at the time or times prescribed by law and at such time or times reasonably requested by the Borrower or the Administrative Agent such documentation prescribed by applicable law (including as prescribed by Section 1471(b)(3)(C)(i) of the
Code) and such additional documentation reasonably requested by the Borrower or the Administrative Agent as may be necessary for the Borrower and the Administrative Agent to comply with their obligations under FATCA and to determine that such Lender
has complied with such Lender’s obligations under FATCA or to determine the amount to deduct and withhold from such payment. Solely for purposes of this clause (D), “FATCA” shall include any amendments made to FATCA after the date of
this Agreement. 
 Each Lender agrees that if any form or certification it previously delivered expires or becomes obsolete or inaccurate in
any respect, it shall update such form or certification or promptly notify the Borrower and the Administrative Agent in writing of its legal inability to do so. 

  
 19 

 (iii) The Administrative Agent shall, to the extent it is legally entitled to do so, deliver to
the Borrower on or prior to the Restatement Date (and from time to time thereafter upon the reasonable request of the Borrower), 

(A) with respect to any amounts payable to the Administrative Agent for its own account, an executed original of any form
prescribed by applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding Tax, duly completed, together with such supplementary documentation as may be prescribed by applicable law to permit the Borrower to
determine the withholding or deduction required to be made; and 
 (B) if a payment made to the Administrative Agent under
any Credit Document would be subject to U.S. federal withholding Tax imposed by FATCA if the Administrative Agent were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or
1472(b) of the Code, as applicable), the Administrative Agent shall deliver to the Borrower at the time or times prescribed by law and at such time or times reasonably requested by the Borrower such documentation prescribed by applicable law
(including as prescribed by Section 1471(b)(3)(C)(i) of the Code) and such additional documentation reasonably requested by the Borrower as may be necessary for the Borrower to comply with its obligations under FATCA and to determine that the
Administrative Agent has complied with its obligations under FATCA or to determine the amount to deduct and withhold from such payment. Solely for purposes of this clause (B), “FATCA” shall include any amendments made to FATCA after the
date of this Agreement; and 
 (C) with respect to any amounts payable to the Administrative Agent for the account of others,
an executed original of IRS Form W-8IMY (or applicable successor form) certifying in Part I, line 4 that the Administrative Agent is a U.S. branch of a foreign bank, certifying in Part VI, Line 17b, that the Administrative Agent agrees to be treated
as a U.S. Person with respect to any such payments made to it under any Credit Document and certifying in Part I, line 5 the appropriate Chapter 4 status, all of the foregoing in order to permit the Borrower to make payments to the Administrative
Agent without deduction or withholding of any Taxes imposed by the United States.
 The Administrative Agent agrees that if any form or
certification it previously delivered pursuant to this Section 4.3(f)(iii) expires or becomes obsolete or inaccurate in any respect, it shall upon request from the Borrower update or replace such form, as applicable, or promptly notify the
Borrower in writing of its legal inability to do so. 
 (g) If any party determines, in its sole discretion exercised in good faith, that it
has received a refund of any Taxes as to which it has been indemnified pursuant to this Section 4.3 (including by the payment of additional amounts pursuant to this Section 4.3), it shall pay to the indemnifying party within 30 days from the date of
such receipt an amount equal to such refund (but only to the extent of indemnity payments made under this Section with respect to the Taxes giving rise to such refund), net of all out-of-pocket expenses (including Taxes) of such indemnified party
and without interest (other than any interest paid by the relevant Governmental Entity with respect to such refund). Such indemnifying party, upon the request of such indemnified party, shall repay to such indemnified party the amount paid over
pursuant to this paragraph (g) (plus any penalties, interest or other charges imposed by the relevant Governmental Entity) in the event that such indemnified party is required to repay such refund to such Governmental Entity. Notwithstanding
anything to the contrary in this paragraph (g), in no event will the indemnified party be required to pay any amount to an indemnifying party pursuant to this paragraph (g) the payment of which would place the indemnified party in a less
favorable net after-Tax position than the indemnified party would have been in if the Tax 

  
 20 

 
subject to indemnification and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts with respect to such Tax had
never been paid. This paragraph shall not be construed to require any indemnified party to make available its Tax returns (or any other information relating to its Taxes that it deems confidential) to the indemnifying party or any other Person. 

(h) Each party’s obligations under this Section 4.3 shall survive the resignation or replacement of the Administrative Agent or any
assignment of rights by, or the replacement of, a Lender, the termination of the Commitments and the repayment, satisfaction or discharge of all obligations under the Credit Documents. 

(i) For purposes of this Section 4.3, the term “Lender” includes the Issuing Lender and the term “applicable law”
includes FATCA. 
 (j) For purposes of determining withholding Taxes imposed under FATCA, from and after the effective date of the
Agreement, the Borrower and the Administrative Agent shall treat (and the Lenders hereby authorize the Administrative Agent to treat) the Agreement as not qualifying as a “grandfathered obligation” within the meaning of Treasury Regulation
Section 1.1471-2(b)(2)(i). 
 SECTION 5 CONDITIONS PRECEDENT. 

5.1. Conditions to Effectiveness. The effectiveness of this Agreement is subject to the satisfaction of each of the following
conditions precedent: 
 (a) Credit Documents. The Administrative Agent shall have received (i) this Agreement, executed and
delivered by the Administrative Agent, the Borrower and each Person listed on Annex 1.1A, (ii) each other Credit Document (including amended and restated Security Documents and the Security Agreement), executed and delivered by the Borrower and
each other Person party thereto. 
 (b) Opinions of Counsel. The Administrative Agent shall have received (i) an opinion,
addressed to the Administrative Agent and each of the Lenders and dated the Restatement Date, from Baker Botts L.L.P., counsel to the Borrower, which opinion shall cover the matters covered in Exhibit C and (ii) an opinion, addressed to the
Administrative Agent and dated the Restatement Date, from Sutherland Asbill & Brennan LLP, regulatory counsel to the Borrower, which opinion shall cover the matters covered in Exhibit E. 

(c) Proceedings. (i) The Administrative Agent shall have received from the Borrower a certificate, dated the Restatement
Date, signed by the President or any Vice-President and the Secretary or Assistant Secretary of the Borrower in the form of Exhibit B or in a form acceptable to the parties hereto, together with (w) copies of the certificate of formation,
limited liability company agreement, or other organizational documents of the Borrower, (x) the resolutions, or such other administrative approval, of the Borrower referred to in such certificate to be reasonably satisfactory to the
Administrative Agent, (y) an incumbency certificate which shall include the name, position and specimen signature of each officer of the Borrower executing the Credit Documents or any other document delivered in connection herewith on behalf of
the Borrower and (z) a statement that all of the applicable conditions set forth in Section 5.2 have been satisfied as of such date; and 

(ii) All corporate, limited liability company and legal proceedings and all instruments and agreements in connection with the
transactions contemplated by this Agreement and the other Credit Documents shall be reasonably satisfactory in form and substance to the 

  
 21 

 
Administrative Agent, and the Administrative Agent shall have received all information and copies of all certificates, documents and papers, including long-form good standing certificates and any
other records of corporate or limited liability company proceedings and governmental approvals, if any, which the Administrative Agent may have reasonably requested in connection therewith, such documents and papers, where appropriate, to be
certified by proper corporate or governmental authorities. 
 (d) Adverse Change, etc. During the period from December 31, 2013
to the Restatement Date, there shall have been no development or event that has had or could reasonably be expected to have a Material Adverse Effect. 

(e) Repayment of Existing Indebtedness. The Administrative Agent shall have received satisfactory evidence that all existing
Indebtedness other than Indebtedness permitted pursuant to Section 8.6, of or related to the Borrower and its Subsidiaries, shall have been repaid or cancelled and all documentation representing such indebtedness shall have been terminated.

 (f) Security Documents. The Borrower shall have delivered to the Administrative Agent: 

 

	 	(i)	certified copies of Requests for Information or Copies (Form UCC-11), or equivalent reports, each of recent date listing all effective financing statements that name the Borrower as a debtor and that are filed in the
jurisdictions in which filing of a financing statement is necessary to perfect the security interests purported to be created by the Security Documents, together with copies of such financing statements (none of which shall cover the Collateral
except (x) those with respect to which appropriate termination statements executed by the secured lender thereunder have been delivered to the Administrative Agent and (y) to the extent evidencing Permitted Liens); 

 

	 	(ii)	copies of Financing Statements (Form UCC-1) in appropriate form for filing in each jurisdiction as may be necessary to perfect the first priority security interests purported to be created by the Security Documents on
the UCC Collateral described therein (subject to no Liens other than Permitted Liens and the rights of holders of Permitted Secured Indebtedness in compliance with the Collateral Agency Agreement) that have not been so perfected prior to the
Restatement Date; 

  

	 	(iii)	evidence of the completion of, or arrangements to complete, all other recordings and filings of, or with respect to, any Security Document as may be necessary or, in the reasonable opinion of the Administrative Agent,
desirable to perfect the security interests intended to be created by such Security Document; and 

  

	 	(iv)	evidence that all other actions reasonably necessary or, in the reasonable opinion of the Administrative Agent, desirable to perfect and protect the first priority security interests purported to be created by any
Security Document on the Collateral described therein (subject to no Liens other than Permitted Liens and the rights of holders of Permitted Secured Indebtedness in compliance with the Collateral Agency Agreement) have been, or are in the process of
being, taken. 

 (g) Solvency. The Administrative Agent shall have received a customary solvency certificate from
the chief financial officer, treasurer or another senior financial or accounting officer of 

  
 22 

 
the Borrower certifying as to the solvency of the Borrower and its Subsidiaries on a consolidated basis after giving effect to the transactions contemplated hereby in form reasonably satisfactory
to the Administrative Agent. 
 (h) Insurance Policies. The Administrative Agent shall have received evidence of insurance
complying with the requirements of Section 7.4. 
 (i) Fees. The Borrower shall have paid to the Arranger, the Administrative
Agent and the Lenders all Fees and expenses required hereunder to be paid or reimbursed by the Borrower or its affiliates and for which invoices have been presented on or before the Restatement Date. Additionally, on the Restatement Date, the
Borrower shall have paid to Royal Bank of Canada and RBC Capital Markets, the fees under the Fee Letter. 
 (j) Financial
Information. The Administrative Agent shall have received copies of: 
 (i) (a) the audited consolidated balance
sheet of the Borrower for the fiscal years ended December 31, 2011, 2012 and 2013, the related consolidated statement of operations, the related consolidated statement of members’ capital and the related consolidated statement of cash
flows for the fiscal years ended on such dates, each prepared in accordance with GAAP applied on a consistent basis in accordance with past practice except for any changes required by GAAP or as noted in the notes to the financial statements,
accompanied by an unqualified report of Ernst & Young LLP and (b) the audited consolidated balance sheet of Sharyland for the fiscal years ended December 31, 2011, 2012 and 2013, and the related consolidated statement of
operations, the related consolidated statement of members’ capital and the related consolidated statement of cash flows for the calendar years ended on such dates, each prepared in accordance with GAAP applied on a consistent basis in
accordance with past practice except for any changes required by GAAP or as noted in the notes to the financial statements, accompanied by an unqualified report of Ernst & Young LLP; 

(ii) unaudited consolidated financial statements of the Borrower and the unaudited consolidated financial statements of
Sharyland for each fiscal quarter ended after the latest calendar year referred to above in Section 5.1(i), as applicable, ended at least 45 days prior to the Restatement Date and the related unaudited consolidated statement of operations, the
related consolidated statement of members’ capital and the related consolidated statement of cash flows for the corresponding period certified by an Authorized Officer of Sharyland and the Borrower, as applicable, as being prepared in good
faith and in accordance with GAAP applied on a consistent basis except for any changes required by GAAP or as noted in the notes to the financial statements; and 

(iii) projections of the Borrower through 2018 that are not, in the reasonable determination of the Administrative Agent,
materially inconsistent in an adverse manner with any comparable projections delivered to the Administrative Agent prior to the Restatement Date. 

(k) USA PATRIOT Act. The Administrative Agent shall have received, at least 5 days prior to the Restatement Date, all documentation and
other information required by regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including the USA PATRIOT Act. 

(l) Financial Covenants. The Borrower shall be in compliance with the financial covenants contained in Section 7.11 on a pro forma
basis as of the Restatement Date. 

  
 23 

 5.2. Conditions to All Credit Events. The obligation of the Lenders to make each Loan
hereunder, the Swingline Lender to make Swingline Loans hereunder and the obligation of the Issuing Lender to issue Letters of Credit hereunder, is subject, at the time of each such Credit Event, to the satisfaction of the following conditions: 

(a) at the time of such Credit Event and also immediately after giving effect thereto, there shall exist no Default or Event of Default; 

(b) all representations and warranties contained herein or in the other Credit Documents in effect at such time shall be true and correct in
all material respects with the same effect as though such representations and warranties had been made on and as of the date of such Credit Event, except to the extent that such representations and warranties expressly relate to an earlier date; and

 (c) the Administrative Agent shall have received, (i) with respect to any Revolving Loan Borrowing, a borrowing notice in accordance
with Section 1.2, (ii) with respect to any Swingline Borrowing, a swingline notice in accordance with Section 1.4 and (iii) with respect to any Letter of Credit, an Application in accordance with Section 2.2. 

The acceptance of the benefits of each Credit Event shall constitute a representation and warranty by the Borrower to each of the Lenders that
all of the conditions specified in Section 5.2 (other than the required satisfaction of the Administrative Agent or any Lender as specified therein or as waived), exist as of that time. All of the certificates, legal opinions and other documents and
papers referred to in this Section 5, unless otherwise specified, shall be delivered to the Administrative Agent at its Notice Office for the account of each of the Lenders. 

SECTION 6 REPRESENTATIONS, WARRANTIES AND AGREEMENTS. 

To induce the Administrative Agent and the Lenders to enter into this Agreement and to make the Loans and issue or participate in the Letter
of Credit, the Borrower hereby represents and warrants to the Administrative Agent and each Lender that: 
 6.1. Organization; Power and
Authority. Each of the Borrower and each Subsidiary is duly organized, validly existing and in good standing under the laws of its jurisdiction of formation, and is duly qualified and is in good standing in each jurisdiction in which such
qualification is required by law, other than those jurisdictions as to which the failure to be so qualified or in good standing could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. Each of the
Borrower and each Subsidiary has the limited liability company, limited partnership or other organizational, as applicable, power and authority to own or hold under lease the properties it purports to own or hold under lease, to transact the
business it transacts and proposes to transact, to execute and deliver this Agreement and the other Transaction Documents to which it is a party and to perform the provisions hereof and thereof. 

6.2. Power and Authority. Each of the Borrower and each Subsidiary has the requisite power and authority to execute, deliver and carry
out the terms and provisions of the Transaction Documents to which it is a party and has taken all necessary corporate or other organizational action to authorize the execution, delivery and performance of the Transaction Documents to which it is a
party. Each of the Borrower and each Subsidiary has duly executed and delivered each Transaction Document to which it is a party, and each such Transaction Document constitutes the legal, valid and binding obligation of such Person enforceable in
accordance with its terms, except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and by general equitable principles
(whether enforcement is sought by proceedings in equity or at law). 

  
 24 

 6.3. Disclosure. No report, financial statement, certificate or other information
furnished in writing by the Borrower or its Subsidiaries or their respective counsel to the Administrative Agent or any Lender in connection with the transactions contemplated hereby and the negotiation of this Agreement (in each case, as modified
or supplemented by other information so furnished) contains any material misstatement of fact or omits to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading;
provided that, with respect to projected financial information, the Borrower represents only that such information was prepared in good faith based upon assumptions believed to be reasonable at the time. 

6.4. Organization and Ownership of Interests. As of the Restatement Date, Annex 6.4 contains a complete and correct list and
description of the Borrower’s and each Subsidiary’s jurisdiction of organization and ownership structure. As of the Restatement Date, the Borrower has no Subsidiaries except as shown on Annex 6.4. 

6.5. Financial Condition; Financial Statements. 

(a) On and as of the Restatement Date, on a pro forma basis after giving effect to the transactions contemplated hereby, (x) the sum of
the assets, at a fair market valuation, of the Borrower and its Subsidiaries on a consolidated basis will exceed its debts, (y) the Borrower and its Subsidiaries on a consolidated basis will not have incurred or intended to, or believes that it
will, incur debts beyond its ability to pay such debts as such debts mature and (z) the Borrower and its Subsidiaries taken on a consolidated basis will have sufficient capital with which to conduct its business. For purposes of this Section
6.5, “debt” means any liability on a claim, and “claim” means (i) right to payment whether or not such a right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed,
legal, equitable, secured or unsecured; or (ii) right to an equitable remedy for breach of performance if such breach gives rise to a payment, whether or not such right to an equitable remedy is reduced to judgment, fixed, contingent, matured,
unmatured, disputed, undisputed, secured or unsecured. 
 (i) (a) The audited consolidated balance sheet of the Borrower for
the fiscal years ended December 31, 2011, 2012 and 2013, and the related consolidated statement of operations, the related consolidated statement of members’ capital and the related consolidated statement of cash flows for the fiscal years
ended on such dates, accompanied by an unqualified report of Ernst & Young LLP and (b) the audited consolidated balance sheet of Sharyland for the fiscal years ended December 31, 2011, 2012 and 2013, and the related consolidated
statement of operations, the related consolidated statement of members’ capital and the related consolidated statement of cash flows for the fiscal years ended on such dates, were certified by an Authorized Officer of the Borrower and
Sharyland, respectively, as being prepared in good faith and in accordance with GAAP, applied on a consistent basis except for any changes required by GAAP or as noted in the notes to the financial statements and, with respect to the items described
in clause (a), fairly presents in all material respects the consolidated financial position of the Borrower and its Subsidiaries as of its date in accordance with GAAP, except for the absence of footnotes and subject to changes resulting from audit
and normal year-end adjustments. 
 (ii) The unaudited consolidated financial statements of the Borrower and the unaudited
consolidated financial statements of Sharyland for each fiscal quarter ended after the latest calendar year referred to in Section 5.1(i), as applicable, ended at least 45 days prior to the Restatement Date and the related unaudited consolidated
statement of operations, the related 

  
 25 

 
consolidated statement of members’ capital and the related consolidated statement of cash flows for the corresponding period were certified by an Authorized Officer of the Borrower and
Sharyland, respectively, as being prepared in good faith and in accordance with GAAP, applied on a consistent basis except for any changes required by GAAP or as noted in the notes to the financial statements and, with respect to such financial
statements of the Borrower, fairly presents in all material respects the consolidated financial position of the Borrower and its Subsidiaries as of its date in accordance with GAAP, except for the absence of footnotes and subject to changes
resulting from audit and normal year-end adjustments. 
 (iii) Since December 31, 2013, there has been no development or
change that has had or could reasonably be expected to have a Material Adverse Effect. 
 6.6. Compliance with Laws, Other Instruments,
Etc. The execution, delivery and performance by each of the Borrower and each Subsidiary of this Agreement and the other Transaction Documents to which such Person is a party, do not and will not (i) contravene, result in any breach of, or
constitute a default under, or result in the creation of any Lien in respect of any property of such Person under, any indenture, mortgage, deed of trust, loan, purchase or credit agreement, lease, corporate charter or limited partnership or limited
liability company agreement, or any other agreement or instrument to which such Person is bound or by which such Person or any of its properties may be bound or affected, (ii) conflict with or result in a breach of any of the terms, conditions
or provisions of any order, judgment, decree, or ruling of any court, arbitrator or Governmental Authority applicable to such Person or (iii) violate any provision of any statute or other rule or regulation of any Governmental Authority
applicable to such Person, which in the case of any of the foregoing clauses (i) through (iii), individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. 

6.7. Governmental Authorizations, Etc. Except as set forth on Annex 6.7, no consent, approval or authorization of, or registration,
filing or declaration with, any Governmental Authority is required in connection with the execution, delivery or performance by the Borrower or any Subsidiary of this Agreement or any of the other Transaction Documents to which it is a party. 

6.8. Litigation; Observance of Agreements, Statutes and Orders. 

(a) There are no actions, suits, investigations or proceedings pending or, to the knowledge of any Responsible Officer of the Borrower,
threatened against or affecting the Borrower or any Subsidiary or, to the knowledge of any Responsible Officer of the Borrower, any Qualified Lessee, or any of their respective property in any court or before any arbitrator of any kind or before or
by any Governmental Authority that, individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. The representation in this clause (a) excludes any reference to Environmental Laws or ERISA, each of which is
separately addressed in this Section 6. 
 (b) Neither the Borrower nor any Subsidiary is in default under any term of any Material
Project Document or any other agreement or any order, judgment, decree or ruling of any court, arbitrator or Governmental Authority or is in violation of any Applicable Law, ordinance, rule or regulation (including without limitation Environmental
Laws or the USA PATRIOT Act) of any Governmental Authority, which default or violation, individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. 

(c) To the knowledge of the Borrower, after due inquiry, no breach or default under any of the Material Project Documents to which it or any
of its Subsidiaries is a party has occurred and is continuing, which breach or default, individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. 

  
 26 

 6.9. Taxes. Each of the Borrower and each Subsidiary has filed all material Tax returns
that are required to have been filed by it (or timely requests for extensions have been filed, have been granted and are not expired) in any jurisdiction, and has paid all Taxes shown to be due and payable by it on such returns and all other
material Taxes levied upon them or their properties, assets, income or franchises, to the extent such Taxes have become due and payable and before they have become delinquent, (other than (i) the amount of which is not individually or in the
aggregate material or (ii) those which are being contested in good faith by appropriate proceedings and with respect to which such Person has established adequate reserves in accordance with GAAP), except to the extent the failure to do so
could not reasonably be expected to have a Material Adverse Effect. The Borrower knows of no proposed tax assessment against the Borrower or any of its Subsidiaries that would, if made, have a Material Adverse Effect. 

6.10. Title to Property. The Borrower and its Subsidiaries have good and sufficient title to their respective properties and assets
that individually or in the aggregate are material to them, free and clear of Liens (other than Permitted Liens). 
 6.11. Insurance.
Each of the Borrowers and each Subsidiary have all insurance coverage required by Section 7.4. 
 6.12. Licenses, Permits, Etc.; Leases;
IP Rights. The Borrower and its Subsidiaries own or possess all governmental licenses, permits, franchises and authorizations that are necessary for the operation of their respective businesses (collectively, the “Required
Permits”), without known conflict with the rights of others. The Leases listed on Annex 6.12 constitute and include all of the Leases to which the Borrower and its Subsidiaries are parties as of the Restatement Date. As of the Restatement
Date, each such Lease is in full force and effect, and constitutes the legal, valid and binding obligation of each Loan Party that is a party thereto. The Borrower and its Subsidiaries own, or possess the right to use, all of the material
trademarks, service marks, trade names, copyrights, patents, patent rights, franchises, licenses and other intellectual property rights (collectively, “IP Rights”) that are necessary for the operation of their respective businesses,
without any conflict, to the knowledge of the Borrower, with the rights of any other Person, except for any IP Rights or any conflicts that, either individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect.

 6.13. Compliance with ERISA. (a) Each Loan Party and each ERISA Affiliate has operated and administered each Plan in
compliance with the terms of the Plan and with all Applicable Laws except for such instances of noncompliance as have not resulted in and could not reasonably be expected to result in a Material Adverse Effect. Neither any Loan Party nor any ERISA
Affiliate has incurred any liability pursuant to Title I or IV of ERISA or the penalty or excise tax provisions of the Code applicable to employee benefit plans (as defined in section 3 of ERISA) and there has been no “prohibited
transaction” (as such term is defined in Section 406 of ERISA and Section 4975(c) of the Code) or violation of the fiduciary responsibility rules with respect to any Plan or that has resulted or could reasonably be expected to result
in a Material Adverse Effect, and no event, transaction or condition has occurred or exists that could reasonably be expected to result in the incurrence of any such liability by any Loan Party or any ERISA Affiliate, or in the imposition of any
Lien on any of the rights, properties or assets of any Loan Party or any ERISA Affiliate, in either case pursuant to Title I or IV of ERISA or to such penalty or excise tax provisions of the Code or to Sections 401(a)(29), 412 or 430(k) of the Code
or Section 4068 of ERISA, and no liability to the PBGC (other than required premium payments), the IRS, any Plan or any trust established under Title IV of ERISA has been or is expected to be incurred by any Loan Party or any of their ERISA
Affiliates, other than such liabilities or Liens as would not be individually or in the aggregate reasonably be expected to result in a Material Adverse Effect. 

  
 27 

 (b) The present value of the aggregate benefit liabilities under each Plan (other than a
Multiemployer Plan) (determined in accordance with Section 430 of the Code and the Treasury Regulations promulgated thereunder as of the end of such Plan’s most recently ended plan year on the basis of the actuarial assumptions specified
for funding purposes in such Plan’s most recent actuarial valuation report) did not exceed the aggregate actuarial value of assets as determined in accordance with Section 430(g)(3) of the Code (and the Treasury Regulations promulgated
thereunder) under each such Plan by an amount that could reasonably be expected to result in a Material Adverse Effect. 
 (c) No Loan Party
or any ERISA Affiliate has incurred Withdrawal Liabilities (and is not subject to contingent Withdrawal Liabilities) of ERISA in respect of Multiemployer Plans that individually or in the aggregate could reasonably be expected to result in a
Material Adverse Effect. Neither any Loan Party nor any of its ERISA Affiliates has failed to make by its due date any required contribution to a Multiemployer Plan or received notice that any Multiemployer Plan is, or is expected to be, insolvent
(within the meaning of Section 4245 of ERISA), in reorganization (within the meaning of Section 4241 of ERISA), or in endangered or critical status (within the meaning of Section 432 of the Code or Section 305 of ERISA). 

(d) The expected postretirement benefit obligation (determined as of the last day of the Borrower’s most recently ended calendar year in
accordance with ASC Topic 715-60, without regard to liabilities attributable to continuation coverage mandated by Section 4980B of the Code) of the Borrower is not material to it. 

6.14. Intentionally omitted. 

6.15. Intentionally Omitted. 

6.16. Foreign Assets Control Regulations, Etc. 

(a) The use of the proceeds from the Loans hereunder will not violate the Trading with the Enemy Act, as amended, or any of the foreign assets
control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as amended) or any enabling legislation or executive order relating thereto. 

(b) None of the Borrower, the Subsidiaries or, to the knowledge of any Responsible Officer of the Borrower, any Qualified Lessee: (i) is
a Person described or designated in the Specially Designated Nationals and Blocked Persons List of the Office of Foreign Assets Control or in Section 1 of the Anti-Terrorism Order or (ii) engages in
any dealings or transactions with any such Person. The Borrower, the Subsidiaries and, to the knowledge of any Responsible Officer of the Borrower, the Qualified Lessees are in compliance, in all material respects, with the USA PATRIOT Act
applicable to them. 
 (c) No part of the proceeds from the Loans hereunder will be used, directly or indirectly, for any payments to any
governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in
violation of the United States Foreign Corrupt Practices Act of 1977, as amended, assuming in all cases that such Act applies to the Borrower and each other Loan Party. 

  
 28 

 6.17. Status under Certain Statutes. 

(a) No Loan Party is, or is required to be registered as, an “investment company” under the Investment Company Act of 1940 (the
“ICA”), as amended. 
 (b) The Borrower is not a “public utility” under the FPA and the regulations of FERC thereunder.
The execution, delivery and performance of the Borrower’s obligations under the Credit Documents requires no authorization of approval by, or notice to, and is not subject to the jurisdiction of, FERC under the FPA. 

(c) Sharyland and the holding company system of which it is a part have obtained a waiver of the requirements of 18 CFR 366.21, 366.22 and
366.23 (FERC Docket Nos. PH06-59-000 & PH10-18-000), but are subject to the FERC regulations relating to regulatory access to books and records. Sharyland and the holding company system of which it is a part have filed a notice of holding
company status under FERC Docket No. HC06-1-000 and a revised notice of holding company status under FERC Docket No. HC10-1-000. Under FERC’s currently effective regulations, the Borrower will be deemed not to be a “public-utility
company” and as a result Holdings is not a “holding company” under PUHCA. 
 (d) The Borrower is subject to regulation as an
“electric utility” by the Public Utility Commission of Texas. The execution, delivery and performance of the Borrower’s obligations under the Financing Documents requires no authorization or approval by, or notice to, the Public
Utility Commission of Texas or under the Public Utility Regulatory Act of Texas other than those that have been obtained. 
 (e) Solely by
virtue of the execution, delivery and performance of the Credit Documents to which it is a party, the Administrative Agent or any Lender will not become subject to any of the provisions of the FPA, PUHCA (based on FERC’s currently effective
definitions under PUHCA) or the Public Utility Regulatory Act of Texas, or to regulation under any such statute. 
 (f) The Borrower does
not own, operate or control any electrical generating, transmitting or distribution facility, or effect or control any sale of electricity, outside of the ERCOT balancing area authority except (i) as permitted by FERC, as set forth in its
declaratory order issued in Docket no. EL07-93-000 or (ii) interconnected transmission or distribution assets or systems located substantially in the State of Texas or deriving a majority of their revenue from customers within the State of
Texas. 
 6.18. Environmental Matters. 

(a) The Borrower has no knowledge of any claims nor has it received any notice of any claim, and no proceeding has been instituted raising any
claim against the Borrower or any Subsidiary or any of their real properties now or formerly owned, leased or operated by any of them or other assets, alleging any damage to the environment or violation of any Environmental Laws, except, in each
case, such as could not reasonably be expected to result in a Material Adverse Effect. 
 (b) The Borrower has no knowledge of any facts
which would give rise to any claim, public or private, of violation of Environmental Laws or damage to the environment emanating from, occurring on or in any way related to real properties now or formerly owned, leased or operated by the Borrower or
any Subsidiary or to other assets or its use, except, in each case, such as could not reasonably be expected to result in a Material Adverse Effect. 

(c) Neither the Borrower nor any Subsidiary has stored any Hazardous Materials on real properties now or formerly owned, leased or operated by
any of them and has not disposed of any Hazardous Materials in a manner contrary to any Environmental Laws in each case in any manner that could reasonably be expected to result in a Material Adverse Effect; and 

(d) All buildings on all real properties now owned, leased or operated by the Borrower or any of the Subsidiaries are in compliance with
applicable Environmental Laws, except where failure to comply could not reasonably be expected to result in a Material Adverse Effect. 

  
 29 

 6.19. Force Majeure Events; Employees. None of the assets of the Borrower or the
Subsidiaries, including the System, has suffered any Force Majeure Event that is continuing. Neither the Borrower nor any Subsidiary has any employees. 

6.20. Collateral. As of the Restatement Date, (i) the security interests in the UCC Collateral granted to the Collateral Agent
(for the benefit of the Secured Parties): (a) constitute, as to such Collateral, a valid security interest and Lien under the New York UCC, and (b) constitute first priority Liens on such Collateral described in the Security Documents,
subject to no Liens other than Permitted Liens and the rights of holders of Permitted Secured Indebtedness in compliance with the Collateral Agency Agreement, (ii) all action as is required pursuant to the Security Documents has been taken to
establish and perfect the Collateral Agent’s rights in and to, and the first priority of its Lien (subject to Permitted Liens) on, the Collateral as set forth in the immediately preceding clause (i), including any recording, filing,
registration, delivery to the Collateral Agent, giving of notice or other similar action, and (iii) the Deeds of Trust create in favor of the Trustee named therein, for the benefit of the Collateral Agent and the other Secured Parties, a valid
security interest and first priority Lien in all the Borrower’s right, title and interest in and to the real property subject thereto and the proceeds thereof, subject to no Liens other than Permitted Liens and the rights of holders of
Permitted Secured Indebtedness in compliance with the Collateral Agency Agreement. 
 6.21. Collateral Agency Agreement. Each of this
Agreement and each other Credit Document is a “Financing Agreement”, as such term is defined in the Collateral Agency Agreement. All of the obligations of the Borrower hereunder and under the other Credit Documents are
“Obligations”, as such term is defined in the Collateral Agency Agreement, and “Permitted Secured Indebtedness”, as such term is defined in the Collateral Agency Agreement. 

6.22. Margin Regulations. The Borrower is not engaged, principally or as one of its important activities, in the business of purchasing
or carrying margin stock (within the meaning of Regulation U issued by the Board of Governors of the Federal Reserve System of the United States), or extending credit for the purpose of purchasing or carrying margin stock. Following the application
of the proceeds of each Borrowing or drawing under each Letter of Credit, not more than 25% of the value of the assets of the Borrower and its Subsidiaries on a consolidated basis subject to the provisions of Section 8.5 or Section 8.10 or
subject to any restriction contained in any agreement or instrument between the Borrower and any Lender or any Affiliate of any Lender relating to Indebtedness and within the scope of Section 9(i) will be margin stock. 

6.23. OFAC. None of the Borrower or any of its Subsidiaries, or any director, officer, employee, agent, affiliate or representative
thereof, is an individual or entity currently the subject of any Sanctions, nor is the Borrower or any of its Subsidiaries located, organized or resident in a Designated Jurisdiction. 

SECTION 7 AFFIRMATIVE COVENANTS. 

The Borrower covenants and agrees that until the Commitments have terminated, no Letters of Credit or Promissory Notes are outstanding and the
Loans and Unpaid Drawings, together with 

  
 30 

 
interest, Fees and all other Obligations under the Credit Documents (other than contingent obligations (including indemnification obligations) for which no claims have been made) incurred
hereunder, are paid in full: 
 7.1. Information Covenants. The Borrower will furnish to the Administrative Agent (on behalf of each
Lender): 
 (a) Annual Financial Statements. Within 90 days after the close of each fiscal year of the Borrower and each
Qualified Lessee (other than a Consolidated Qualified Lessee), as applicable, the consolidated balance sheet of the Borrower and its Subsidiaries and each such Qualified Lessee, as the case may be (in each case, with a separately scheduled
consolidating balance sheet and income statement for each Project Finance Subsidiary), as at the end of such fiscal year, the related consolidated statement of operations, the related consolidated statement of members’ capital and the related
consolidated statement of cash flows for such fiscal year, in each case setting forth comparative consolidated figures for the preceding fiscal year, and, other than the separately scheduled consolidating balance sheet and income statement of each
Project Finance Subsidiary, examined by independent certified public accountants of recognized national standing whose opinion shall not be qualified as to the scope of audit and as to the status of the Borrower or any of its Subsidiaries or such
Qualified Lessees, as applicable, as a going concern, together with a certificate of such accounting firm stating that in the course of its regular audit of the business of the Borrower or such Qualified Lessees, which audit was conducted in
accordance with generally accepted auditing standards, such accounting firm has obtained no knowledge of any Default or Event of Default which has occurred and is continuing or, if in the opinion of such accounting firm such a Default or Event of
Default has occurred and is continuing, a statement as to the nature thereof (which certificate may be limited to the extent required by accounting rules or guidelines). 

(b) Quarterly Financial Statements. As soon as available and in any event within 45 days after the close of each of the first
three quarterly accounting periods in each fiscal year, the consolidated balance sheet of the Borrower and its Subsidiaries and each Qualified Lessee (other than a Consolidated Qualified Lessee), as the case may be (in each case, with a separately
scheduled supplemental consolidating balance sheet and income statement for each Project Finance Subsidiary), as at the end of such quarterly period, the related consolidated statement of operations, the related consolidated statement of
members’ capital and the related consolidated statement of cash flows for such quarterly period, and for the elapsed portion of the fiscal year ended with the last day of such quarterly period, and in each case setting forth comparative
consolidated figures for the related periods in the prior fiscal year, all of which shall be certified by the chief financial officer, controller, chief accounting officer or other Authorized Officer of the Borrower or such Qualified Lessee, as
applicable, except for the absence of footnotes and subject to changes resulting from audit and normal year-end audit adjustments. 
 (c)
Annual Budgets. As soon as available and in any event within 30 days after the close of each fiscal year of the Borrower and each Qualified Lessee (other than a Consolidated Qualified Lessee), as the case may be, the annual budget of the
Borrower and its Subsidiaries and each such Qualified Lessee, as applicable, which shall include details on capital expenditures to be made by the Borrower and its Subsidiaries and each such Qualified Lessee, as applicable, in the next twelve
months. 
 (d) Management Discussion and Analysis. Within 45 days after the close of each of the first three fiscal quarters in each
fiscal year, a management discussion and analysis of each of each Qualified Lessee’s (other than a Consolidated Qualified Lessee) and the Borrower’s consolidated performance for that fiscal quarter and a comparison of performance for that
financial quarter to the 

  
 31 

 
corresponding fiscal quarter of the previous fiscal year (in form and substance reasonably acceptable to the Administrative Agent, which shall not be unacceptable solely because it does not
contain all of the information required to be included in unaudited interim financial statements by Item 303 of Regulation S-K of the Securities Act of 1933, as amended). Within 90 days after the close of each fiscal year, a management
discussion and analysis of each of each such Qualified Lessee’s and the Borrower’s consolidated performance for that fiscal year and a comparison of performance for that fiscal year to the prior year. 

All such financial statements delivered pursuant to paragraphs (a) and (b) above shall present fairly in all material respects in
accordance with GAAP the consolidated financial condition of such Qualified Lessees or the Borrower and their respective consolidated Subsidiaries, as applicable, as at the applicable dates, and the consolidated results of their operations, their
changes in equity (deficit) and their consolidated cash flows for the periods reflected therein, and shall be prepared in accordance with GAAP applied consistently throughout the periods reflected therein and with prior periods (except as approved
by such accountants or officer, as the case may be, and disclosed therein). 
 (e) Officer’s Certificates. At the time of
the delivery of the financial statements provided for in Section 7.1(a) and (b), a certificate of the Senior Financial Officer of each Qualified Lessee (other than a Consolidated Qualified Lessee) or of the Borrower, as applicable,
substantially in the form of Exhibit D, to the effect that no Default or Event of Default has occurred and is continuing (or in the case of each such Qualified Lessees, no default or event of default has occurred and is continuing under any Leases
to which it is a party, which default or event of default constitutes an Event of Default pursuant to Section 9(f)) or, if any Default or Event of Default has occurred and is continuing (or in the case of each such Qualified Lessees, any
default or event of default has occurred and is continuing under any Leases to which it is a party, which default or event of default constitutes an Event of Default pursuant to Section 9(f)), specifying the nature and extent thereof, which
certificate shall set forth the calculations required to establish whether the Borrower and its Subsidiaries were in compliance with the provisions of Section 7.11 as at the end of such fiscal period or year, as the case may be. Each such
certificate shall also include a list of deposit accounts and securities accounts held by any Loan Party. 
 (f) Notice of Default or
Litigation. Promptly, and in any event within five Business Days after a Responsible Officer of the Borrower or any of its Subsidiaries obtains knowledge thereof, notice of (v) the occurrence of any event which constitutes a Default or
Event of Default, which notice shall specify the nature thereof, the period of existence thereof and what action the Borrower or such Subsidiary proposes to take with respect thereto, (x)(i) the commencement of or any material development in
any litigation or governmental proceeding pending against the Borrower or any of its Subsidiaries in which the amount involved is $750,000 or more (other than proceedings under the Texas Public Utility Act before the Public Utility Commission of
Texas or condemnation proceedings in which a Qualified Lessee, the Borrower or any of its Subsidiaries is the condemning party) or is reasonably likely to have a Material Adverse Effect on the ability of the Borrower or any Loan Party to perform its
obligations hereunder or under any other Credit Document and (ii) the commencement of any proceeding under the Texas Public Utility Act before the Public Utility Commission of Texas involving the Borrower (other than proceedings that are in the
ordinary course of business or that are not material) and the issuance of any final order of the Public Utility Commission of Texas with respect to such proceeding, and (y) any development or event that has had or could reasonably be expected
to have a Material Adverse Effect. Promptly, and in any event within five Business Days after the Borrower receives a written notice of default under a System Lease from the applicable Qualified Lessee, a copy of such notice of default or a written
notice specifying the nature and period of existence of such default and what action the Borrower is taking or proposes to take with respect thereto. 

  
 32 

 (g) Insurance Certificates. At the time of the delivery of the financial statements
provided for in Section 7.1(a), the certification required to be delivered at such time pursuant to Section 7.4(b). 
 (h)
Other Information. (i) Promptly upon transmission thereof, copies of any reportings or filings by the Borrower or any of its Subsidiaries with regulatory agencies (including the Securities and Exchange Commission or any successor thereto
(the “SEC”)) but excluding the Public Utility Commission of Texas (and the Federal Energy Regulatory Commission, if applicable); provided that the Borrower shall furnish such reports or filings as the Administrative Agent may
reasonably request from time to time, (ii) promptly upon their becoming available, each report and filing made by the Company to holders of other Permitted Secured Indebtedness and (iii) such other information or documents (financial or
otherwise) as the Administrative Agent on its own behalf or on behalf of the Required Lenders may reasonably request from time to time. 

Documents required to be delivered pursuant to Section 7.1(a) or (b) or Section 7.1(g) may be delivered electronically and if
so delivered, shall be deemed to have been delivered on the date (i) on which such documents are posted on the Borrower’s behalf on an Internet or intranet website, if any, to which each Lender and the Administrative Agent have access
(whether a commercial, third-party website or whether sponsored by the Administrative Agent); provided that: (i) the Borrower shall deliver paper copies of such documents to the Administrative Agent or any Lender upon its request to the
Borrower to deliver such paper copies until a written request to cease delivering paper copies is given by the Administrative Agent or such Lender and (ii) the Borrower shall notify the Administrative Agent and each Lender (by facsimile or
electronic mail) of the posting of any such documents and provide to the Administrative Agent by electronic mail electronic versions (i.e., soft copies) of such documents. The Administrative Agent shall have no obligation to request the delivery of
or to maintain paper copies of the documents referred to above, and in any event shall have no responsibility to monitor compliance by the Borrower with any such request by a Lender for delivery, and each Lender shall be solely responsible for
requesting delivery to it or maintaining its copies of such documents. 
 The Borrower hereby acknowledges that (a) the Administrative
Agent and/or the Arranger may, but shall not be obligated to, make available to the Lenders and the Issuing Lender materials and/or information provided by or on behalf of the Borrower hereunder (collectively, “Borrower Materials”)
by posting the Borrower Materials on Debt Domain, IntraLinks, Syndtrak or another similar electronic system (the “Platform”) and (b) certain of the Lenders (each, a “Public Lender”) may have personnel who do
not wish to receive material non-public information with respect to the Borrower or its Affiliates, or the respective securities of any of the foregoing, and who may be engaged in investment and other market-related activities with respect to such
Persons’ securities. The Borrower hereby agrees that so long as the Borrower is the issuer of any outstanding debt or equity securities that are registered or issued pursuant to a private offering or is actively contemplating issuing any such
securities (w) all Borrower Materials that are to be made available to Public Lenders shall be clearly and conspicuously marked “PUBLIC” which, at a minimum, shall mean that the word “PUBLIC” shall appear prominently on the
first page thereof; (x) by marking Borrower Materials “PUBLIC,” the Borrower shall be deemed to have authorized the Administrative Agent, the Arranger, the Issuing Lender and the Lenders to treat such Borrower Materials as not
containing any material non-public information with respect to the Borrower or its securities for purposes of United States federal and state securities laws (provided, however, that to the extent such Borrower Materials constitute Information, they
shall be treated as set forth in Section 12.15); (y) all Borrower Materials marked “PUBLIC” are permitted to be made available through a portion of the Platform designated “Public Side Information;” and (z) the
Administrative Agent and the Arranger shall be entitled to treat any Borrower Materials that are not marked “PUBLIC” as being suitable only for posting on a portion of the Platform not designated “Public Side Information.” 

  
 33 

 7.2. Use of Proceeds. All proceeds of the Loans shall be used to refinance any
outstanding amounts under the Original Credit Agreement and to finance the working capital needs, capital expenditures, dividends and distributions of, and for the general corporate purposes of, the Borrower and its Subsidiaries, including future
acquisitions not prohibited under this Agreement, but not to fund, directly or indirectly, any Project Finance Subsidiary. 
 7.3.
Compliance with Law. Without limiting Section 8.4, the Borrower will, and will cause its Subsidiaries to, comply with all laws, ordinances or governmental rules or regulations to which it is subject, including, without limitation, ERISA, the
USA PATRIOT Act and Environmental Laws, and will obtain and maintain in effect all licenses, certificates, permits, franchises and other governmental authorizations necessary to the ownership of its properties or to the conduct of its businesses to
the extent necessary to ensure that non-compliance with such laws, ordinances or governmental rules or regulations or failures to obtain or maintain in effect such licenses, certificates, permits, franchises and other governmental authorizations
could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
 7.4. Insurance. 

(a) Maintenance of Insurance. The Borrower will maintain or cause to be maintained and will cause its Subsidiaries to, maintain, with
financially sound and reputable insurers, insurance with respect to their respective properties and businesses against such casualties and contingencies, of such types, on such terms and in such amounts (including deductibles, co-insurance and
self-insurance, if adequate reserves are maintained with respect thereto) as is customary in the case of entities of established reputations engaged in the same or a similar business and similarly situated. 

(b) Evidence of Insurance. At the time of the delivery of the certificate required under Section 7.1(e) for financial statements
provided for in Section 7.1(a) or promptly upon request by the Administrative Agent, the Borrower shall furnish the Administrative Agent and the Collateral Agent with approved certification of all required insurance. Such certification shall be
executed by each insurer or by an authorized representative of each insurer where it is not practical for such insurer to execute the certificate itself. Such certification shall identify underwriters, the type of insurance, the insurance limits,
and the policy term, and shall specifically list the special provisions enumerated for such insurance required by this Section 7.4. Upon request, the Borrower will promptly furnish the Administrative Agent and the Collateral Agent with copies
of all insurance certificates, binders, and cover notes or other evidence of such insurance relating to the Collateral. 
 (c) No Duty of
any Lender to Verify: No provision of this Section 7.4 or any other provision of this Agreement, any other Financing Document or any Lease shall impose on the Administrative Agent, the Collateral Agent or any Lender any duty or obligation to
verify the existence or adequacy of the insurance coverage maintained by the Borrower, nor shall the Administrative Agent or the Collateral Agent nor any Lender be responsible for any representations or warranties made by or on behalf of the
Borrower to any insurance company or underwriter. 
 7.5. Maintenance of Properties. The Borrower will and will cause its
Subsidiaries to, and will use commercially reasonable efforts to cause the Qualified Lessees to, (a) maintain, preserve and protect all of its respective properties (including any such properties comprising any portion of the System) and
equipment necessary in the operation of its respective business in good working order and condition, ordinary wear and tear excepted; and (b) make all necessary repairs thereto and renewals and replacements thereof, except in the case of
clauses (a) and (b) where the failure to do so could not reasonably be expected to have a Material Adverse Effect. 

  
 34 

 7.6. Payment of Taxes and Claims. The Borrower will, and will cause each of its
Subsidiaries to, file all Tax returns required to be filed by it in any jurisdiction and to pay and discharge all Taxes shown to be due and payable by it on such returns and all other Taxes imposed on them or any of their properties, assets, income
or franchises, to the extent the same have become due and payable and before they have become delinquent and all claims for which sums have become due and payable that have or might become a Lien on properties or assets of the Borrower or any
Subsidiary, provided that none of the Borrower or any Subsidiary need pay any such Tax or claim if (i) the amount, applicability or validity thereof is contested by such Person on a timely basis in good faith and in appropriate proceedings, and
such Person has established adequate reserves therefor in accordance with GAAP on its books or (ii) the nonpayment of all such Taxes and claims in the aggregate could not reasonably be expected to have a Material Adverse Effect. 

7.7. Existence, Etc. Except as permitted under Section 8.2, the Borrower will and will cause each of its Subsidiaries at all times
preserve and keep in full force and effect its respective limited liability company, corporate or limited partnership existence and all rights and franchises of the Borrower unless (other than with respect to the Borrower’s existence), in the
good faith judgment of the Borrower, the termination of or failure to preserve and keep in full force and effect such limited liability company, corporate or limited partnership existence, right or franchise could not, individually or in the
aggregate, have a Material Adverse Effect. 
 7.8. Books and Records; Inspection Rights. The Borrower will, and will cause each of
its Subsidiaries to, and will use commercially reasonable efforts to cause any Qualified Lessee to, maintain proper books of record and account in conformity with GAAP and all applicable requirements of any Governmental Authority having legal or
regulatory jurisdiction over such Person. The Borrower will permit representatives and independent contractors of the Administrative Agent and each Lender to visit and inspect any of its properties, to examine its corporate, financial and operating
records, and make copies thereof or abstracts therefrom, and to discuss its affairs, finances and accounts with its directors, officers, and independent public accountants, all at the expense of the Borrower and at such reasonable times during
normal business hours no more than once per each calendar year, upon reasonable advance notice to the Borrower; provided, however, that when an Event of Default has occurred and is continuing the Administrative Agent or any Lender (or
any of their respective representatives or independent contractors) may do any of the foregoing at the expense of the Borrower at any time during normal business hours and as often as may be reasonably desired. 

7.9. Collateral; Further Assurances. 

(a) The Borrower shall take all actions necessary to ensure that the Collateral Agent, on behalf of the Secured Parties (or in the case of
Real Property Collateral, the Trustee named in the Deeds of Trust, for the benefit of the Collateral Agent and the other Secured Parties), has and continues to have in all relevant jurisdictions duly and validly created, attached, perfected and
enforceable first-priority Liens on the Collateral constituting UCC Collateral and Real Property Collateral, in each case, to the extent required under the Security Documents (including, in accordance with clauses (c) and (d) of this
Section 7.9, after-acquired Collateral), subject to no Liens other than Permitted Liens and rights of holders of Permitted Secured Indebtedness in compliance with the Collateral Agency Agreement. The Borrower shall cause the Obligations to
constitute direct senior secured obligations of the Borrower and to be senior in right of payment and to rank senior in right of security (other than Permitted Liens) with respect to Collateral granted in the Security Documents to all other
Indebtedness of the Borrower (other than Permitted Secured Indebtedness, with which it shall be pari passu in accordance with the terms of the Collateral Agency Agreement). 

  
 35 

 (b) Upon completion of each New Project of a Project Finance Subsidiary, the Borrower may cause
any such Project Finance Subsidiary to Transfer the New Project to the Borrower and upon such Transfer, the Borrower shall take all actions necessary to ensure that (w) the New Project becomes a part of the Collateral to the extent required
under the Security Documents and Section 7.9(c), subject to the first priority Lien of the Security Documents (subject to no Liens other than Permitted Liens and rights of holders of Permitted Secured Indebtedness in accordance with the
Collateral Agency Agreement), (x) no Default or Event of Default occurs as a result of such Transfer, (y) the Indebtedness of the Project Finance Subsidiary is either repaid in full at the time of the Transfer or becomes Permitted Secured
Indebtedness, and (z) the Project Finance Subsidiary is liquidated or merged with and into the Borrower. 
 (c) If, after the
Restatement Date, the Borrower acquires any Real Property Collateral, the Borrower shall forthwith (and in any event, within five Business Days of such acquisition, or such longer period of time as reasonably agreed by the Administrative Agent)
deliver to the Collateral Agent a fully executed mortgage or deed of trust over such real property, in form and substance substantially similar to a previously delivered Deed of Trust or otherwise satisfactory to the Required Secured Parties and the
Collateral Agent, together with such surveys, environmental reports and other documents and certificates with respect to such Real Property Collateral as may be reasonably required by the Required Secured Parties. The Borrower further agrees to take
all other actions necessary to create in favor of the Trustee named therein, for the benefit of the Collateral Agent and the other Secured Parties a valid and enforceable first priority Lien on such Real Property Collateral, free and clear of all
Liens except for Permitted Liens and rights of holders of Permitted Secured Indebtedness in compliance with the Collateral Agency Agreement. 

(d) If (A) after the Restatement Date, the Borrower acquires or creates any new Subsidiary that is a Wholly-Owned Subsidiary (other than
any Foreign Subsidiary, any Project Finance Subsidiary and any other Subsidiary that is prohibited from providing a Guaranty of the Obligations by any Applicable Law), within 30 days of such creation or acquisition (or such longer time as the
Administrative Agent may agree), or (B) (x) the Cross Valley Project Transfer has not occurred and CV Project Entity, L.L.C. has not obtained binding commitments for Non-Recourse Debt to finance the Cross Valley Project or (y) the
Golden Spread Project Transfer has not occurred and the GS Project Entity has not obtained binding commitments for Non-Recourse Debt to finance the Golden Spread Project, in either case by January 31, 2015 (or such later date as the
Administrative Agent may agree), then, in each case of the foregoing clauses (A) and (B), the Borrower shall cause such Wholly-Owned Subsidiary or such Project Finance Subsidiary, as applicable: 

(i) to execute and deliver to the Administrative Agent a Subsidiary Guaranty; 

(ii) to deliver to the Administrative Agent a certificate of such Wholly-Owned Subsidiary, substantially consistent with those delivered on
the Restatement Date pursuant to Section 5.1(c), with appropriate insertions and attachments; 
 (iii) to take such actions reasonably
necessary or advisable to grant to the Collateral Agent for the benefit of the Secured Parties (or in the case of Real Property Collateral, the Trustee named in the Deeds of Trust, for the benefit of the Collateral Agent and the other Secured
Parties) a perfected and enforceable first-priority Lien in the Collateral to the extent required in the Security Documents with respect to such new Wholly-Owned Subsidiary, subject to no Liens other than Permitted Liens and rights of holders of
Permitted Secured Indebtedness, and including the filing of UCC financing statements in such jurisdictions as may be required by such Security Documents or by law or as may be reasonably requested by the Administrative Agent; 

  
 36 

 (iv) to deliver to the Collateral Agent the stock certificates (if any) representing Capital
Stock issued by such Wholly-Owned Subsidiary, together with undated stock (or other transfer) powers, in blank, executed and delivered by a duly authorized officer of the Borrower; and 

(v) if reasonably requested by the Administrative Agent, to deliver to the Administrative Agent legal opinions relating to the matters
described above, which opinions shall be in form and substance reasonably satisfactory to the Administrative Agent. 
 (e) Subject to the
provisions of this Agreement and the Security Documents, a Loan Party shall, prior to the occurrence of an Event of Default, be free to manage its deposit accounts and security accounts in its sole discretion. 

7.10. Material Project Documents. 

(a) The Borrower shall at all times (i) perform and observe all of the covenants under the Material Project Documents to which it is a
party, (ii) take reasonable actions to enforce all of its rights thereunder, and (iii) maintain the Leases to which it or any of its Subsidiaries is a party in full force and effect, except to the extent the same could not reasonably be
expected to have a Material Adverse Effect. 
 (b) If the term of a Lease with the Borrower or one of its Subsidiaries expires and the
Qualified Lessee under such Lease has either ceased operating the related assets or has ceased paying rent as required under the applicable Lease, the Borrower shall or shall cause a Subsidiary to enter into a supplement or a new Lease with respect
to the related Leasehold assets with a Qualified Lessee that provides for rent that, when combined with all other expected revenue, will, in the reasonable judgment of the Borrower, as of the commencement date of such supplement or new Lease,
generate sufficient revenue to satisfy the requirements of Section 7.11(b). Notwithstanding the foregoing, if (i) such expired Lease relates to transmission and/or distribution assets that are not generating significant revenue,
(ii) the failure to renew such Lease would not constitute a Material Adverse Effect and (iii) the Borrower reasonably believes it will generate sufficient revenue and hold sufficient assets (without giving effect to the Leasehold assets
with respect to such Lease) to satisfy the requirements of Section 7.11, then this Section 7.10(b) will not require a supplement or new lease with respect to such Leasehold assets. 

7.11. Financial Ratios. 

(a) The Borrower shall at all times maintain, on a consolidated basis, a Total Debt to Capitalization Ratio of not more than 0.65 to 1.00.

 (b) The Borrower shall maintain, for each period of four consecutive fiscal quarters, a Debt Service Coverage Ratio of at least 1.40 to
1.00. 
 SECTION 8 NEGATIVE COVENANTS. Until the Commitments have terminated, no Letters of Credit or Promissory Notes are
outstanding and the Loans and Unpaid Drawings, together with interest, Fees and all other Obligations under the Credit Documents (other than contingent obligations (including indemnification obligations) for which no claims have been made) incurred
hereunder, are paid in full: 
 8.1. Transactions with Affiliates. The Borrower will not and will not permit any Subsidiary to enter
into directly or indirectly any transaction or group of related transactions (including without limitation the purchase, lease, sale or exchange of properties of any kind or the rendering of any 

  
 37 

 
service) with any Affiliate, other than, (i) transactions with Project Finance Subsidiaries as permitted by Section 7.9(b) and other transactions between or among the Borrower and one
or more Subsidiaries, or any subset thereof, to the extent permitted under Sections 8.2, 8.6, 8.7, 8.10 and 8.14, (ii) any Qualified Lessee Affiliate Loan and any Indebtedness permitted under Section 8.6(d)(ii), (iii) payment of
customary fees and reasonable out of pocket costs to, and indemnities for the benefit of, directors, officers and employees of the Borrower and its Subsidiaries in the ordinary course of business, (iv) transactions entered into in connection
with the Cross Valley Project on or prior to the Cross Valley Project Transfer and the Golden Spread Project on or prior to the Golden Spread Project Transfer, (v) ROFO Transfers, and (vi) upon fair and reasonable terms no less favorable
to the Borrower or such Subsidiary than would be obtained in a comparable arms-length transaction with a Person not an Affiliate; provided that any transaction will be deemed to meet the requirements of this clause (vi) if,
(x) prior to a Qualifying IPO, such transaction is on terms approved by the holders of a majority of the Capital Stock of InfraREIT held by Persons who do not have a separate material interest in such transaction other than by virtue of their
ownership of such Capital Stock, or by a majority of the directors nominated by such Persons, and (y) upon the completion of a Qualifying IPO and thereafter, such transaction is on terms approved by a majority of the board of directors (or
comparable governing body) of InfraREIT or an Affiliate thereof who are “independent” (as such term is defined pursuant to the rules of the primary exchange on which the Capital Stock is listed for trading), or a majority of the
“independent” members of a committee of any such board of directors (or comparable governing body). 
 8.2. Merger,
Consolidation, etc. The Borrower will not nor will it cause or permit any of its Subsidiaries to consolidate with or merge with any other Person or Transfer all or substantially all of its assets in a single transaction or series of transactions
to any Person, except (i) pursuant to the System Leases or any other Lease, (ii) as permitted pursuant to Section 7.9(b), (iii) that so long as both before and after giving effect to such merger or consolidation or Transfer of all or
substantially all of its assets no Default or Event of Default exists, the Borrower or any Subsidiary may merge or consolidate with another Person, and the Borrower or any Subsidiary may Transfer all or substantially all of its assets to another
Person, so long as, after giving effect to such merger or consolidation, or such Transfer of all or substantially all of its assets, (A) with respect to any merger or consolidation to which the Borrower is a party, the Borrower shall be the
surviving entity, (B) with respect to any merger or consolidation to which a Subsidiary is a party but the Borrower is not, a Subsidiary (other than a Project Finance Subsidiary) shall be the surviving entity and (C) with respect to any
Transfer of all or substantially all of its assets by the Borrower or a Subsidiary, the Borrower or another Subsidiary (other than a Project Finance Subsidiary) shall be the transferee or lessee of such assets (except to the extent permitted by
clauses (i) and (ii) of this Section 8.2), or (iv) the FERC Merger. 
 8.3. Line of Business. The Borrower will
not and will not permit any Subsidiary to engage in any business if, as a result, the general nature of the business in which the Borrower and its Subsidiaries, taken as a whole, would then be engaged would be substantially changed from the
transmission and distribution of electric power and the provision of ancillary services. 
 8.4. Terrorism Sanctions Regulations. The
Borrower will not and will not permit any Subsidiary to, and will use commercially reasonable efforts not to permit any Qualified Lessee to (a) become a Person described or designated in the Specially Designated Nationals and Blocked Persons
List of the Office of Foreign Assets Control or in Section 1 of the Anti–Terrorism Order or (b) engage in any dealings or transactions with any such Person. The Borrower will not directly or indirectly, use the proceeds of any Loans
hereunder, or lend, contribute or otherwise make available such proceeds to the parent of the Borrower or any Subsidiary, joint venture partner or other individual or entity, to fund any activities of or business with any individual or entity, or in
any Designated Jurisdiction, that, at the time of such funding, is the subject of Sanctions, or in any other manner that will result in a violation by any individual or entity (including any individual or entity participating in the transaction,
whether as Lender, the Arranger, Administrative Agent, Issuing Lender, or otherwise) of Sanctions. 

  
 38 

 8.5. Liens. The Borrower will not, nor will it cause or permit any Subsidiary to, directly
or indirectly create, incur, assume or permit to exist (upon the happening of a contingency or otherwise) any Lien on or with respect to the Collateral or any other property of the Borrower or such Subsidiary, whether now owned or held or hereafter
acquired, or any income or profits therefrom, or assign or otherwise convey any right to receive income or profits, or on any other asset now owned or hereafter acquired by the Borrower or such Subsidiary, except (each, a “Permitted
Lien”): 
 (a) solely in the case of any Borrower Party, Liens created or permitted by the Credit Documents, 2010 Financing
Documents or the 2009 Financing Documents on the assets of such Borrower Party; and 
 (b) (i) solely in the case of a Project Finance
Subsidiary, Liens on assets owned by that Project Finance Subsidiary and (ii) Liens on the Capital Stock in that Project Finance Subsidiary to secure its Non-Recourse Debt; 

(c) [Reserved] 
 (d) Liens for
Taxes which are not yet due and payable or the payment of which is not at the time required by Section 7.6; 
 (e) any attachment or
judgment Lien, unless such attachment or judgment Lien constitutes an Event of Default under Section 9(l);  
 (f) Liens
existing on the date of this Agreement set forth in Annex 8.5 hereto; 
 (g) Liens of a lessor of equipment to the Borrower or any
Subsidiary on such lessor’s leased equipment (but excluding equipment leased pursuant to a Capital Lease), including any of the foregoing which is evidenced by a protective UCC filing; 

(h) Mechanics’, warehousemen’s, carriers’, workers’, repairers’, landlords’, and other similar liens arising or
incurred in the ordinary course of business and (i) which do not in the aggregate materially detract from the value of property or assets subject to such Liens or materially impair the continued use thereof in the operation of the business or
(ii) which are being contested in good faith by appropriate proceedings, which proceedings have the effect of preventing the forfeiture or sale of the property or asset subject to such Liens, or other Liens incurred or deposits made in the
ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security, or to secure the performance of tenders, statutory obligations, surety and appeal bonds, bids, trade contracts,
leases, government contracts, performance and return-of-money bonds and other similar obligations incurred in the ordinary course of business (exclusive of obligations in respect of the payment for borrowed money); 

(i) zoning, entitlement, restriction, and other land use and environmental regulations by Governmental Authorities and encroachments,
easements, rights of way, covenants, restrictions or agreements which do not materially interfere with the continued use of any asset as currently used in the conduct of the business; 

  
 39 

 (j) any encumbrances set forth in any franchise or governing ordinance under which any portion of
the business is conducted which could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect; 

(k) all rights of condemnation, eminent domain, or other similar right of any Person 

(l) any interest of title of a lessor under leases; and 

(m) Liens securing Permitted Secured Indebtedness. 

8.6. Indebtedness. The Borrower will not, and will not cause or permit any Subsidiary to incur any Indebtedness and will use
commercially reasonable efforts not to permit any Qualified Lessee (other than Qualified Lessees (1) with an Investment Grade Credit Rating or (2) whose obligations under the applicable Leases have been Guaranteed by an entity with an
Investment Grade Credit Rating) or Subsidiaries of Specified Qualified Lessees to incur Indebtedness for borrowed money, in each case except the following Indebtedness, which may be incurred subject to the requirements of the last paragraph of this
section: 
 (a) Indebtedness evidenced by the Credit Documents, the 2010 Financing Documents and the 2009 Financing Documents; 

(b) Indebtedness of the Borrower (i) that is not related to, and does not support, Non-Recourse Debt of a Project Finance Subsidiary and
(ii) if incurred, would not result in a breach of Section 7.11; provided that, if the Indebtedness is proposed to be secured by any of the Collateral, then at least five Business Days (or such shorter period reasonably agreed by the
Administrative Agent) prior to the incurrence of such Indebtedness, the Borrower shall (x) notify the Administrative Agent of its intent to incur such Indebtedness, which notice shall set forth in reasonable detail (A) the amount and
proposed economic terms of such Indebtedness, (B) by type of lender or purchaser and (C) the proposed collateral for such Indebtedness (which proposed collateral may include any or all of the Collateral) and (y) deliver to the
Collateral Agent and the Administrative Agent an executed joinder agreement substantially in the form of Exhibit A attached to the Collateral Agency Agreement pursuant to which all the proposed holders of such Indebtedness have become party to the
Collateral Agency Agreement; 
 (c) (i) Non-Recourse Debt incurred by a Project Finance Subsidiary of the Borrower (including Non-Recourse
Debt incurred by such Project Finance Subsidiary prior to being acquired by the Borrower or a Subsidiary) to fund a New Project, (ii) any Indebtedness in the form of a pledge of Capital Stock in a Project Finance Subsidiary as security for
Non-Recourse Debt of such Project Finance Subsidiary and (iii) Indebtedness of a Subsidiary (other than a Project Finance Subsidiary of the Borrower) owed to the Borrower; 

(d) Indebtedness of any such Qualified Lessee (i) in an aggregate principal amount for such Qualified Lessee of up to the greater of
(A) $5,000,000 and (B) an amount equal to 1% of the sum of, without duplication, (x) the total amount of the Consolidated Net Plant of such Qualified Lessee, plus (y) the total amount of the Consolidated Net Plant of any
guarantor(s) of such Qualified Lessee’s obligations under the applicable Leases, plus (z) the total amount of Leased Consolidated Net Plant, in each case on a senior secured basis and (ii) in an aggregate principal amount for such
Qualified Lessee of up to the greater of (A) $10,000,000 and (B) an amount equal to 1.5% of the sum of, without duplication, (x) the total amount of the Consolidated Net Plant of such Qualified Lessee, plus (y) the total amount
of the Consolidated Net Plant of any guarantor(s) of such Qualified Lessee’s obligations under the applicable Leases, plus (z) the total amount of Leased Consolidated Net Plant, in each case on an

  
 40 

 
unsecured subordinated basis on terms substantially similar to the terms set forth on Exhibit G, to the extent allowed under the Leases to which such Qualified Lessee is a party as a lessee or
tenant thereunder; provided, that for purposes of this clause (d), all Consolidated Qualified Lessees will be treated as one Qualified Lessee; 

(e) Indebtedness of the Borrower to any of its Subsidiaries (other than a Project Finance Subsidiary), which by its terms is expressly
subordinated to the Obligations, and Indebtedness of any Subsidiary (other than a Project Finance Subsidiary) to the Borrower or any other Subsidiary of the Borrower (other than a Project Finance Subsidiary) not to exceed $5,000,000 at any one time
outstanding and in each case to have a maturity date of less than one year; 
 (f) Qualified Lessees may also incur Indebtedness associated
with Qualified Lessee Affiliate Loans; and 
 (g) Indebtedness of Subsidiaries of Specified Qualified Lessees incurred in an aggregate
principal amount for each such Specified Qualified Lessee of up to the product of (x) such Specified Qualified Lessee’s Consolidated Net Plant (derived from its most recently prepared consolidated balance sheet, prepared in accordance with
GAAP but adjusted to reverse the effects of failed sale-leaseback accounting in a manner reasonably determined by such Specified Qualified Lessee in good faith) multiplied by (y) the lesser of (A) the sum of such Specified Qualified
Lessee’s then-current PUCT-regulated debt-to-equity ratio (expressed as a percentage) and 5% or (B) 65%; provided, that such Indebtedness must be Non-Recourse Debt to such Specified Qualified Lessee. 

Indebtedness may be incurred under this Section 8.6 only if no Default or Event of Default is, or as a result of such incurrence would be, existing. 

8.7. Loans, Advances, Investments and Contingent Liabilities. The Borrower will not make or permit to remain outstanding any loan or
advance to, or extend credit other than credit extended in the ordinary course of business to any Person, or own, purchase or acquire any stock, obligations or securities of, or any other interest in, or make any capital contribution to, any Person
(collectively, “Investments”), or commit to do any of the foregoing, except (a) Permitted Investments, (b) ownership, purchase, and acquisition of equity interests in and capital contributions to Project Finance
Subsidiaries and Wholly-Owned Subsidiaries, (c) loans, advances and extensions of credit to Wholly-Owned Subsidiaries (other than Project Finance Subsidiaries), (d) any Qualified Lessee Affiliate Loan or (e) Investments made in
connection with the Cross Valley Project and the Golden Spread Project prior to the Cross Valley Project Transfer and the Golden Spread Project Transfer and (f) the ROFO Transfers. 

8.8. No Subsidiaries. The Borrower shall have no subsidiaries other than Project Finance Subsidiaries and Wholly-Owned Subsidiaries.

 8.9. Restricted Payments. The Borrower will not, directly or indirectly, make or declare any Distribution unless there does not
exist and, after giving effect to the proposed Distribution, there will not exist, a Default or an Event of Default. 
 The Borrower shall
deliver to the Administrative Agent and the Collateral Agent before a Distribution is made a certificate of a Responsible Officer of the Borrower stating that the foregoing condition has been satisfied and, if requested, providing supporting data
and calculations. 
 8.10. Sale of Assets, etc. The Borrower will not, nor will it cause or permit any Subsidiary to, Transfer, or
agree or otherwise commit to Transfer, any of its assets with a fair market value of greater than $15,000,000, in the aggregate during the term of this Agreement, (“Asset Sale”) except; 

(a) the Borrower or a Subsidiary shall lease Systems or other transmission and distribution assets and related assets pursuant to a Lease to
which the Borrower or a Subsidiary thereof is a party; 

  
 41 

 (b) (i) each Project Finance Subsidiary of the Borrower may Transfer its assets to the Borrower
or its Wholly-Owned Subsidiaries in accordance with Section 7.9(b); and (ii) the Borrower may Transfer, or suffer the Transfer of, its ownership interests in a Project Finance Subsidiary and such Project Finance Subsidiary may Transfer, or
suffer the Transfer of its assets, in each case in connection with and pursuant to the exercise of remedies under the documentation governing Non-Recourse Debt incurred by such Project Finance Subsidiary; 

(c) Asset Sales (i) among the Borrower and Subsidiary Guarantors (or a subset thereof), (ii) among Subsidiaries that are not
Subsidiary Guarantors and (iii) from Subsidiaries to the Borrower or a Subsidiary Guarantor; 
 (d) in connection with an acquisition
that is not prohibited under this Agreement, (i) Asset Sales of operating assets and related assets to a Qualified Lessee and (ii) Asset Sales that are not electric transmission or distribution assets, in each case (x) which are, in
the aggregate, not material in relation to the assets acquired and (y) upon fair and reasonable terms no less favorable to such Person than would be obtained in a comparable arms-length transaction with a Person not an Affiliate; 

(e) Permitted Liens; 
 (f)
Investments permitted by Section 8.7, transactions permitted by Section 8.2 and Distributions permitted by Section 8.9; 

(g) Asset Sales made in connection with the Cross Valley Project Transfer and the Golden Spread Project Transfer; 

(h) ROFO Transfers; and 
 (i)
Asset Sales of assets that are obsolete or no longer used or useful in such Person’s business. 
 8.11. Sale or Discount of
Receivables. The Borrower will not nor will it cause or permit any Subsidiary to sell with recourse, or discount or otherwise sell for less than the face value thereof, any of its notes or accounts receivable. 

8.12. Amendments to Organizational Documents. The Borrower will not nor will it cause or permit any of its Subsidiaries to, and shall
use commercially reasonable efforts not to permit any Qualified Lessee or any of its Subsidiaries to, amend, supplement, terminate, replace or waive any provision of its operating agreement or other organization documents after the Restatement Date.
Notwithstanding, this Section 8.12, the Borrower, its Subsidiaries, any Qualified Lessee and its Subsidiaries may, without the consent of the Administrative Agent, amend their respective operating agreement or similar organizational documents as may
be required to facilitate or implement any of the following: 
 (a) reflect (i) the contribution of any new capital or additional
capital by new or existing members or partners of such Person, (ii) the addition of new members or partners of such Person, or (iii) any adjustment, termination, reduction or redemption of equity interests of its members or partners or the
issuance of additional equity interests in such Person; provided, that after giving effect to any such changes, no Event of Default would exist under Sections 8.8, 9.1(n) or 9.1(o); 

  
 42 

 (b) to reflect a change that does not adversely affect TDC, the Administrative Agent or the
Lenders in any material respect, or to cure any ambiguity, or correct or supplement any provision, not inconsistent with law or with the provisions of this Agreement; 

(c) to satisfy any requirements, conditions, or guidelines contained in any order, directive, opinion, ruling or regulation of a federal or
state agency or contained in federal or state law; 
 (d) to take actions to avoid any material adverse consequences to such Person as a
result of any change in law or interpretation of law applicable to a Person subject to regulation by the PUCT and FERC; and 
 (e) to effect
the dissolution, liquidation, merger, or consolidation of any Person that is otherwise not prohibited under this Agreement. 
 The Borrower will provide
prompt notice to the Administrative Agent upon taking any such action under the foregoing sentence of this Section 8.12. 
 8.13. Sale
and Lease-Back. Except for the System Leases, the CREZ Lease and any other Lease, the Borrower will not, nor will it cause or permit any Subsidiary to, enter into any arrangement providing for the leasing by the Borrower or any Subsidiary of
real or personal property which has been or is to be Transferred by the Borrower or such Subsidiary to a lender or investor or to any Person to whom funds have been or are to be advanced by such lender or investor on the security of such property or
rental obligations of the Borrower or any Subsidiary. 
 8.14. ERISA Compliance. 

(a) Relationship of Vested Benefits to Plan Assets. No Loan Party or ERISA Affiliate will permit any Plan to be “at risk”
within the meaning of Section 303 of ERISA to the extent such action could reasonably be expected to result in a Material Adverse Effect. The Loan Parties and their ERISA Affiliates will not incur Withdrawal Liabilities (and will not become
subject to contingent Withdrawal Liabilities) in respect of Multiemployer Plans that individually or in the aggregate could reasonably be expected to result in a Material Adverse Effect. 

(b) Valuations. For the purposes of clause (a) above, all assumptions and methods used to determine the actuarial valuation
of vested and unvested employee benefits under any Plan at any time maintained by a Loan Party or any ERISA Affiliate and the present value of assets of any such Plan shall be reasonably consistent with those determinations made for purposes of
Section 6.13 and shall comply with all requirements of law. 
 (c) Prohibited Actions. Neither the Loan Parties nor any ERISA
Affiliate, nor any Plan at any time maintained by any Loan Party or ERISA Affiliate, will: 
 (i) engage in any action that
could reasonably be expected to cause any transaction contemplated hereunder to result in a non-exempt “prohibited transaction” (as such term is defined in Section 406 of ERISA and Section 4975(c) of the Code); 

  
 43 

 (ii) fail to meet the minimum funding standards of Section 302 of ERISA or
Sections 412 and 430 of the Code, or seek or obtain a waiver thereof, or fail to make any required contribution to a Multiemployer Plan; or 

(iii) terminate any such Plan in a manner which could result in the imposition of a Lien on the Property of the Borrower or any
other Loan Party or ERISA Affiliate pursuant to Section 4068 of ERISA that could reasonably be expected to result in a Material Adverse Effect. 

8.15. No Margin Stock. Anything herein contained to the contrary notwithstanding, the Borrower will not, nor will it permit any
Subsidiary to, make or authorize any investment in, or otherwise purchase or carry, any margin stock (within the meaning of Regulation U issued by the Board of Governors of the Federal Reserve System of the United States) that violates the
provisions, or for any purpose that violates the provisions, of Regulation U of the Board of Governors of the Federal Reserve System of the United States. 

8.16. Material Project Documents. 

(a) The Borrower will not, and will not permit any Subsidiary to, amend, modify, supplement, replace, terminate or waive any provision of any
Lease (other than an Immaterial Lease) to which the Borrower or such Subsidiary is party, or consent to any amendment, modification, supplement, replacement, termination or waiver of any such Lease (other than an Immaterial Lease), other than
(x) the Approved Lease Amendments, (y) amendments, modifications, supplements, replacements or waivers that do not cause such Lease (or its replacement) to be less favorable to the Borrower, taken as a whole, in any material respect and
(z) terminations of any such Lease if the Borrower or such Subsidiary enters into a replacement Lease within 90 days of such termination, so long as (A) such replacement Lease contains then-prevailing market terms and (B) the Borrower
reasonably believes that it will be in compliance with Section 7.11 as of the commencement date of such replacement Lease. 
 (b) The
Borrower shall use commercially reasonable efforts to ensure that no Specified Qualified Lessee enters into any lease of transmission or distribution facilities other than (i) the Leases (including maintaining or entering into new Leases or
replacement Leases and amending or modifying Leases to the extent not prohibited under this Agreement) and (ii) any other leases consented to by Required Lenders. 

8.17. Regulation. 
 (a)
The Borrower shall not be or become, and shall use commercially reasonable efforts not to permit any Specified Qualified Lessee to be or become, subject to FERC jurisdiction as a public utility under the FPA; provided, however, that
the Borrower shall not be in default of the forgoing negative covenant if the Borrower or any Specified Qualified Lessee becomes subject to FERC jurisdiction under the FPA solely as a result of a change to the FPA or in FERC’s interpretation
thereof or regulations thereunder, if the Borrower or any Specified Qualified Lessee takes all necessary actions to comply with applicable FERC requirements and the operation of the System is uninterrupted; and 

(b) The Borrower shall not, and shall use commercially reasonable efforts to cause any Specified Qualified Lessee not to, violate in any
material respect any regulation or order of the Public Utility Commission of Texas applicable to it. 
 (c) None of the Borrower nor any
Specified Qualified Lessee shall own, operate or control any electrical generating, transmitting or distribution facility, nor effect or control any sale of electricity, outside of the ERCOT balancing area authority except (i) as permitted by
FERC, as set forth 

  
 44 

 
in its declaratory order issued in Docket no. EL07-93-000 or (ii) interconnected transmission or distribution assets or systems located substantially in the State of Texas or deriving a
majority of their revenue from customers within the State of Texas. 
 8.18. Swaps. The Borrower will not, nor will it permit any
Subsidiary (other than Project Finance Subsidiaries of the Borrower) to, enter into any Swap Contracts, except that the Borrower may enter into Swap Contracts solely to hedge interest rate risk and not for speculative purposes. 

8.19. Additional Financial Covenants. If the Borrower shall at any time enter into one or more agreements pursuant to which
Indebtedness in an aggregate principal amount greater than $25,000,000 shall be outstanding and such agreement contains one or more financial covenants which are more restrictive on the Borrower and its Subsidiaries than the financial covenants
contained in Section 7.11 of this Agreement, then such more restrictive financial covenants and any related definitions (the “Additional Financial Covenants”) shall automatically be deemed to be incorporated into
Section 7.11 of this Agreement by reference from the time such other agreement becomes binding upon the Borrower until such time as such other Indebtedness is repaid in full and all commitments related thereto are terminated;
provided, that if at the time of any such repayment or the termination of any such commitment a Default or Event of Default shall exist under this Agreement, then such Additional Financial Covenants shall continue in full force and effect
under this Agreement so long as such Default or Event of Default continues to exist. So long as such Additional Financial Covenants shall be in effect, no modification or waiver of such Additional Financial Covenants shall be effective unless the
Required Lenders shall have consented thereto pursuant to Section 12.12 hereof. Promptly but in no event more than 5 Business Days following the execution of any agreement providing for Additional Financial Covenants, the Borrower shall
furnish Administrative Agent with a copy of such agreement. Upon written request of the Required Lenders, the Borrower will enter into an amendment to this Agreement pursuant to which this Agreement will be formally amended to incorporate the
Additional Financial Covenants on the terms set forth herein. 
 8.20. Burdensome Agreements. The Borrower will not enter into or
permit any Subsidiary Guarantor or Subsidiary of a Subsidiary Guarantor to enter into any Contractual Obligation that limits the right (a) of such Subsidiary to make Distributions to the Borrower or any Subsidiary Guarantor or to otherwise
transfer property to the Borrower or any Subsidiary Guarantor, (b) of any Subsidiary of the Borrower to guarantee the Indebtedness of the Borrower or (c) of the Borrower or any Subsidiary Guarantor to create, incur, assume or suffer to
exist Liens on property of such Person, in each case except for (i) restrictions arising under Applicable Law, (ii) customary restrictions and conditions contained in any agreement relating to the sale or other disposition of assets not
prohibited under this Agreement pending the consummation of such sale or other disposition, (iii) this Agreement, the other Credit Documents, Permitted Liens (other than Liens permitted under Section 8.5(l)), any document or instrument
evidencing or granting any such Permitted Liens and the agreements listed on Annex 8.20; (iv) any Contractual Obligation relating to Indebtedness permitted pursuant to Section 8.6 (including Liens permitted pursuant to Section 8.5) to
the extent, in the good faith judgment of the Borrower, such limitations and requirements described in clauses (a), (b) or (c) above (x) are on customary market terms for Indebtedness of such type at the time entered into, so long as
the Borrower has determined in good faith that such restrictions would not reasonably be expected to impair in any material respect the ability of the Loan Parties to meet their ongoing payment obligations under the Credit Documents, or (y) are
not materially more restrictive, taken as a whole with respect to the Borrower and the Subsidiaries than the restrictions in the Credit Documents, (v) with respect to clause (c), any negative pledge incurred or provided in favor of any holder
of Indebtedness permitted under Section 8.6(c) solely to the extent any such negative pledge relates to the property financed by or the subject of such Indebtedness and (vi) non-assignment provisions in franchise agreements, licenses,
easements, leases, indemnities or other agreements (other than any System Leases). 

  
 45 

 SECTION 9 EVENTS OF DEFAULT. 

If any of the following conditions or events (each, an “Event of Default”) shall occur and be continuing: 

(a) the Borrower defaults in the payment of any principal on any Unpaid Drawing, Loan or Promissory Note when the same becomes due and
payable, whether at maturity or at a date fixed for prepayment or by declaration or otherwise; or 
 (b) the Borrower defaults in the
payment of any interest on any Unpaid Drawing, Loan or Promissory Note, fees or other amounts for more than five days after the same becomes due and payable; or 

(c) the Borrower defaults in the performance of or compliance with any term contained in Section 7.1(f), Section 7.11 or Section 8; or

 (d) the Borrower defaults in the performance of or compliance with any term contained herein (other than those referred to in Sections
9(a), (b) and (c)) or in any other Credit Document (other than those referred to in another paragraph of this Section 9) and such default is not remedied within 30 days after the earlier of (i) a Responsible Officer obtaining actual
knowledge of such default and (ii) the Borrower receiving written notice of such default from the Collateral Agent or Administrative Agent (any such written notice to be identified as a “notice of default” and to refer specifically to
this Section 9(d)); or 
 (e) any representation or warranty made in writing by or on behalf of the Borrower or by any officer of the
Borrower in this Agreement or any other Transaction Document or in any writing furnished in connection with the transactions contemplated hereby proves to have been false or incorrect in any material respect on the date as of which made; or 

(f) with respect to any Lease to which the Borrower or a Subsidiary thereof is a party (other than Immaterial Leases), (i) any such Lease
is declared to be null and void or is otherwise unenforceable, or any party thereto claims that any such agreement is unenforceable (unless, within 90 days after such declaration or claim, replaced by a Lease that complies with the provisions of
Section 8.16), (ii) one or more payment defaults in an amount in excess of $10,000,000 in the aggregate occurs across all such Leases, after giving effect to any cure periods specified therefor or (iii) any default or event of default
(other than those referred to in clause (i) or (ii) of this Section 9.01(f)) occurs under any such Lease that could reasonably be expected to have a Material Adverse Effect and such failure continues for more than 90 days; or 

(g) (i) the Certificate of Convenience and Necessity (#30192, #30026, #30114 and #30191) issued or transferred by the Public Utility
Commission of Texas to Sharyland and, prior to the FERC Merger, the FERC Operator, is terminated without being timely replaced, revoked or otherwise is not in effect; or (ii) except as could not reasonably be expected to result in a Material
Adverse Effect, any other Required Permit is terminated without being timely replaced (if such terminated Permit continues to be a Required Permit), revoked or otherwise is not in effect; provided, however, that the termination without
immediate renewal of any franchise agreement pursuant to which the Qualified Lessee operating the applicable portion of the System is authorized to operate the System and collect fees for services shall not constitute an Event of Default if the
parties to the franchise agreement continue to perform in accordance with the terms of such agreement notwithstanding the termination; or 

  
 46 

 (h) any Security Document or any other security document entered into pursuant to
Section 7.9 ceases to give the Collateral Agent perfected first priority Liens (subject to Permitted Liens) purported to be created thereby in a material portion of the Collateral, taken as a whole, for any reason other than as expressly
permitted hereunder or thereunder (including by amendment, waiver and/or consent granted in accordance with the terms hereunder or thereunder) or satisfaction in full of the Obligations under the Credit Documents; or any Credit Document, at any time
after its execution and delivery and for any reason other than as expressly permitted hereunder or thereunder (including by amendment, waiver and/or consent granted in accordance with the terms hereunder or thereunder) or satisfaction in full of all
the Obligations under the Credit Documents, ceases to be in full force and effect; or any Loan Party contests in any manner the validity or enforceability of any Credit Document; or any Loan Party denies that it has any or further liability or
obligation under any Credit Document, or purports to revoke, terminate or rescind any Credit Document, other than, for each of the foregoing, as expressly permitted hereunder or thereunder (including by amendment, waiver and/or consent granted in
accordance with the terms hereunder or thereunder) or satisfaction in full of the Obligations under the Credit Documents; or 
 (i) without
limiting clause (h), (i) the Borrower or any Qualified Lessee is in default (as principal or as guarantor or other surety) in the payment of any principal of or premium or make-whole amount or interest on any Indebtedness that is outstanding in
an aggregate principal amount of at least the Threshold Amount applicable to it beyond any period of grace provided with respect thereto, or (ii) the Borrower or any Qualified Lessee is in default in the performance of or compliance with any
term of any evidence of any Indebtedness (including any mortgage, indenture or other agreement relating thereto), which Indebtedness, in the case of the Borrower, is in an aggregate outstanding principal amount of at least $10,000,000 or, in the
case of any Qualified Lessee, is in an amount that could reasonably be expected to result in a Material Adverse Effect, and as a consequence of such default or condition one or more Persons are entitled to declare such Indebtedness to be due and
payable before its stated maturity or before its regularly scheduled dates of payment, or (iii) as a consequence of the occurrence or continuation of any event or condition (other than the passage of time or the right of the holder of
Indebtedness to convert such Indebtedness into equity interests), Indebtedness of the Borrower in an aggregate outstanding principal amount of at least $10,000,000 has become or has been declared due and payable before its stated maturity or before
its regularly scheduled dates of payment, or (iv) a default or an event of default occurs under any Note Purchase Agreement, and such failure continues beyond any period of grace provided with respect thereto and has not otherwise been waived;
or 
 (j) the Borrower or any Qualified Lessee (other than a Qualified Lessee that is a lessee solely under Immaterial Leases) (i) is
generally not paying, or admits in writing its inability to pay, its debts as they become due, (ii) files, or consents by answer or otherwise to the filing against it or, a petition for relief or reorganization or arrangement or any other
petition in bankruptcy, for liquidation or to take advantage of any bankruptcy, insolvency, reorganization, moratorium or other similar law of any jurisdiction, (iii) makes an assignment for the benefit of its creditors, (iv) consents to
the appointment of a custodian, receiver, trustee or other officer with similar powers with respect to it or with respect to any substantial part of its property, (v) is adjudicated as insolvent or to be liquidated, or (vi) takes corporate
action for the purpose of any of the foregoing; or 
 (k) a court or Governmental Authority of competent jurisdiction enters an order
appointing, without consent by the Borrower, any Subsidiary or any Qualified Lessee (other than a Qualified Lessee that is a lessee solely under Immaterial Leases), a custodian, receiver, trustee or other officer with similar powers with respect to
it or with respect to any substantial part of its property, or constituting an order for relief or approving a petition for relief or reorganization or any other petition in bankruptcy or for liquidation or to take advantage of any bankruptcy or
insolvency law of any 

  
 47 

 
jurisdiction, or ordering the dissolution, winding-up or liquidation of any such Person or any such petition shall be filed against any such Person and such petition shall not be dismissed within
60 days; or 
 (l) a final judgment or judgments for the payment of money aggregating in excess of the applicable Threshold Amount are
rendered against the Borrower or, any Qualified Lessee (other than a Qualified Lessee that is a lessee solely under Immaterial Leases), other than, in each case, judgments payable by the Borrower or such Qualified Lessee, if applicable, rendered in
connection with condemnations in favor thereof, and which judgments are not, within 60 days after entry thereof, bonded, discharged or stayed pending appeal, or are not discharged within 60 days after the expiration of such stay; or 

(m) if (i) any Plan shall fail to satisfy the minimum funding standards of ERISA or the Code for any plan year or part thereof or a
waiver of such standards or extension of any amortization period is sought or granted under Section 412 of the Code, (ii) a notice of intent to terminate any Plan shall have been or is reasonably expected to be filed with the PBGC or the
PBGC shall have instituted proceedings under ERISA section 4042 to terminate or appoint a trustee to administer any Plan or the PBGC shall have notified any Loan Party or any ERISA Affiliate that a Plan may become a subject of any such proceedings,
(iii) any Plan shall be “at-risk” within the meaning of Section 303 of ERISA as of the last day of any calendar year, (iv) any Loan Party or any ERISA Affiliate shall have incurred or is reasonably expected to incur any
liability pursuant to Title I or IV of ERISA or the penalty or excise tax provisions of the Code relating to employee benefit plans (as defined in Section 3 of ERISA) or Sections 401(a)(29), 412 or 430(k) of the Code, (v) any Loan Party or
any ERISA Affiliate receives any notice concerning the imposition of Withdrawal Liability or a determination that a Multiemployer Plan is, or is expected to be, insolvent (within the meaning of section 4245 of ERISA), in reorganization (within the
meaning of section 4241 of ERISA), or in endangered or critical status (within the meaning of Section 432 of the Code or Section 305 of ERISA), or (vi) the Borrower establishes or amends any employee welfare benefit plan (as defined
in Section 3 of ERISA) that provides post-employment welfare benefits in a manner that would increase the liability of the Borrower thereunder; and any such event or events described in clauses (i) through (vi) above, either
individually or together with any other such event or events, could reasonably be expected to have a Material Adverse Effect; or 
 (n) Hunt
Family Members cease to Control Sharyland, or any Person other than a Qualified Lessee shall be the lessee under any lease with respect to the System; or 

(o) (i) InfraREIT Partners shall cease to own or control, directly or indirectly, 90% of the outstanding equity interest of the Borrower; or
(ii) Hunt Family Members cease to own and control, directly or indirectly, at least 5% of the outstanding equity interests of InfraREIT Partners, unless in case of clause (ii), (x) the general partner of InfraREIT Partners has become a
publicly held company, or (y) the Borrower has total assets on its balance sheet valued at $1,000,000,000 or greater; 
 (p) the
Borrower defaults in the performance of or compliance with Section 7.10(b), 
 then, and in any such event, (A) if such event is an Event of Default
specified in clause (i) or (ii) of paragraph (j) above or paragraph (k) above, in each case with respect to the Borrower, automatically the Commitments shall immediately terminate and the Loans (with accrued interest thereon) and
all other amounts owing under this Agreement and the other Credit Documents (including all amounts of Letter of Credit Outstandings, whether or not the beneficiaries of the then outstanding Letters of Credit shall have presented the documents
required thereunder) shall immediately become due and payable, and (B) if such event is any other Event of Default, either or both of the following actions may be taken: (i) with the 

  
 48 

 
consent of the Required Lenders, the Administrative Agent may, or upon the request of the Required Lenders, the Administrative Agent shall, by notice to the Borrower declare the Commitments to be
terminated forthwith, whereupon the Commitments shall immediately terminate; and (ii) with the consent of the Required Lenders, the Administrative Agent may, or upon the request of the Required Lenders, the Administrative Agent shall, by notice
to the Borrower, declare the Loans (with accrued interest thereon) and all other amounts owing under this Agreement and the other Credit Documents (including all amounts of Letter of Credit Outstandings, whether or not the beneficiaries of the then
outstanding Letters of Credit shall have presented the documents required thereunder) to be due and payable forthwith, whereupon the same shall immediately become due and payable. With respect to all Letters of Credit with respect to which
presentment for honor shall not have occurred at the time of an acceleration pursuant to this paragraph, the Borrower shall at such time, in a manner consistent with the Collateral Agency Agreement and the other Security Documents, deposit in a cash
collateral account opened by the Administrative Agent an amount equal to the aggregate then undrawn and unexpired amount of such Letters of Credit. Amounts held in such cash collateral account shall be applied to the payment of drafts drawn under
such Letters of Credit, and the unused portion thereof after all such Letters of Credit shall have expired or been fully drawn upon, if any (to the extent received in accordance with Section 4.1 of the Collateral Agency Agreement), shall be
applied to repay other obligations of the Borrower hereunder and under the other Credit Documents. After all such Letters of Credit shall have expired or been fully drawn upon, all Reimbursement Obligations shall have been satisfied and all other
obligations of the Borrower hereunder and under the other Credit Documents shall have been paid in full, the balance, if any, in such cash collateral account shall be returned to the Borrower (or such other Person as may be lawfully entitled
thereto) in accordance with the terms of the Collateral Agency Agreement. Except as expressly provided above in this Section, presentment, demand, protest and all other notices of any kind are hereby expressly waived by the Borrower. 

SECTION 10 DEFINITIONS. 

10.1. Defined Terms. As used herein, the following terms shall have the meanings herein specified unless the context otherwise
requires. Defined terms in this Agreement shall include in the singular number the plural and in the plural the singular: 
 “2009
Financing Documents” shall mean, collectively, the 2009 Note Purchase Agreement, the 2029 Notes. 
 “2009 Note Purchase
Agreement” shall mean the Note Purchase Agreement, dated December 31, 2009, among the Borrower and the holders of the Borrower’s 2029 Notes issued thereunder, as the same may be amended, restated, supplemented or otherwise
modified from time to time. 
 “2010 Financing Documents” shall mean, collectively, the 2010 Note Purchase Agreement, the
2030 Notes. 
 “2010 Note Purchase Agreement” shall mean the Note Purchase Agreement, dated as of the Original Closing
Date, among the Borrower and purchasers listed therein, as the same may be amended, restated, supplemented or otherwise modified from time to time. 

“2029 Notes” shall mean 7.25% Senior Notes due December 30, 2029 of the Borrower. 

“2030 Notes” shall mean 6.47% Senior Notes due December 30, 2030 of the Borrower. 

  
 49 

 “ABR” shall mean, for any day, a rate per annum equal to the greatest of
(a) the Prime Rate in effect on such day, (b) the Federal Funds Effective Rate in effect on such day plus  1⁄2 of 1% and (c) the
Eurodollar Rate for a one month Interest Period in effect on such day plus 1%. If for any reason the Administrative Agent shall have determined (which determination shall be conclusive absent manifest error) that it is unable to ascertain the
Federal Funds Effective Rate, for any reason, including the inability or failure of the Administrative Agent to obtain sufficient quotations in accordance with the terms hereof, ABR shall be determined without regard to clause (b) of the first
sentence of this definition, as appropriate, until the circumstances giving rise to such inability no longer exist. Any change in ABR due to a change in the Prime Rate or the Federal Funds Effective Rate shall be effective on the effective day of
such change in the Prime Rate or the Federal Funds Effective Rate, respectively. 
 “ABR Loans” shall mean Loans the rate
of interest applicable to which is based upon ABR. 
 “Act” shall have the meaning provided in Section 12.9. 

“Additional Financial Covenant” shall have the meaning provided in Section 8.19. 

“Administrative Agent” shall mean Royal Bank of Canada (“RBC”), together with its affiliates, as the arranger of
the Commitments and as the administrative agent for the Lenders under this Agreement and the other Credit Documents, together with any of its successors. 

“Affected Loan” shall have the meaning provided in Section 4.2(b). 

“Affiliate” shall mean, at any time, and with respect to any Person, any other Person that at such time directly or
indirectly through one or more intermediaries Controls, or is Controlled by, or is under common Control with, such first Person. 

“Agreement” shall have the meaning provided in the recitals. 

“Applicable Fee Rate” shall mean (i) from the Restatement Date until the third Business Day that immediately follows the
date on which an officer’s certificate is delivered pursuant to Section 7.1(e) in respect of the first full fiscal quarter ending after the Restatement Date, 0.375% per annum, and (ii) thereafter, the applicable percentage
per annum set forth below, as determined by reference to the Total Debt to Capitalization Ratio as set forth in the most recent officer’s certificate received by the Administrative Agent pursuant to Section 7.1(e). 

 

							
	 Fee Level
	  	Total Debt to Capitalization Ratio	  	Applicable Fee Rate	 
	 1
	  	£0.50:1.00	  	 	0.375	% 
	 2
	  	>0.50:1.00	  	 	0.500	% 

 Any increase or decrease in the Applicable Fee Rate resulting from a change in the Total Debt to
Capitalization Ratio shall become effective as of the third Business Day immediately following the date an officer’s certificate is delivered pursuant to Section 7.1(e); provided, however, that “Fee Level 2” shall apply
(x) as of the first Business Day at any time after the date on which an officer’s certificate was required to have been delivered but was not delivered (or was delivered but did not contain the calculations of the Total Debt to
Capitalization Ratio) until the first Business Day immediately following the date on which such officer’s certificate (which includes calculations of the Total Debt to Capitalization Ratio) is delivered and (y) at all times during the
existence of an Event of Default. 

  
 50 

 “Applicable Law” shall mean as to any Person, any local, state or federal law,
regulation, rule, ordinances or determination, interpretation or order of an arbitrator or a court or other Governmental Authority, and any Required Permit, in each case applicable to or binding upon such Person or any of its properties or its
business or to which such Person or any of its properties or its business is subject. 
 “Applicable Margin” shall mean
(i) from the Restatement Date until the third Business Day that immediately follows the date on which an officer’s certificate is delivered pursuant to Section 7.1(e) in respect of the first full fiscal quarter ending after the
Restatement Date, 0.75%, in the case of ABR Loans, and 1.75%, in the case of Eurodollar Loans, and (ii) thereafter, the applicable percentage set forth below, as determined by reference to the Total Debt to Capitalization Ratio as set forth in
the most recent officer’s certificate received by the Administrative Agent pursuant to Section 7.1(e). 
  

											
	 Applicable Margin
	 
	 Pricing Level
	  	Total Debt to Capitalization Ratio	  	ABR Loans	 	 	Eurodollar Loans	 
	 1
	  	£0.50:1.00	  	 	0.75	% 	 	 	1.75	% 
	 2
	  	>0.50:1.00	  	 	1.00	% 	 	 	2.00	% 

 Any increase or decrease in the Applicable Margin resulting from a change in the Total Debt to Capitalization
Ratio shall become effective as of the third Business Day immediately following the date an officer’s certificate is delivered pursuant to Section 7.1(e); provided, however, that “Pricing Level 2” shall apply (x) as of the
first Business Day at any time after the date on which an officer’s certificate was required to have been delivered but was not delivered (or was delivered but did not contain the calculations of the Total Debt to Capitalization Ratio) until
the first Business Day immediately following the date on which such officer’s certificate (which includes calculations of the Total Debt to Capitalization Ratio) is delivered and (y) at all times during the existence of an Event of
Default. 
 “Application” shall mean an application, in such form as the Issuing Lender may specify from time to time,
requesting the Issuing Lender to open a Letter of Credit. 
 “Approved Lease Amendments” shall mean the CREZ Lease
Amendment and Restatement, the McAllen Lease Amendment and Restatement, the Stanton/Brady/Celeste Lease Amendment and Restatement and, to the extent the FERC Merger has been completed, the FERC Lease Amendment and Restatement. 

“Arranger” shall mean RBC Capital Markets. 

“Asset Sale” shall have the meaning set forth in Section 8.10. 

“Authorized Officer” shall mean any senior officer of the Borrower designated as such in writing to the Administrative Agent
by the Borrower, in each case to the extent reasonably acceptable to the Administrative Agent. 

  
 51 

 “Bankruptcy Event” shall mean, with respect to any Person, such Person becomes
the subject of a bankruptcy or insolvency proceeding, or has had a receiver, conservator, trustee, administrator, custodian, assignee for the benefit of creditors or similar Person charged with the reorganization or liquidation of its business
appointed for it, or, in the good faith determination of the Administrative Agent, has taken any action in furtherance of, or indicating its consent to, approval of, or acquiescence in, any such proceeding or appointment, provided that a Bankruptcy
Event shall not result solely by virtue of any ownership interest, or the acquisition of any ownership interest, in such Person by a Governmental Authority or instrumentality thereof, provided, further, that such ownership interest does not result
in or provide such Person with immunity from the jurisdiction of courts within the United States of America or from the enforcement of judgments or writs of attachment on its assets or permit such Person (or such Governmental Authority or
instrumentality) to reject, repudiate, disavow or disaffirm any contracts or agreements made by such Person. 
 “Borrower”
shall have the meaning provided in the first paragraph of this Agreement. 
 “Borrower Materials” shall have the meaning
specified in Section 7.1. 
 “Borrower Party” shall mean the Borrower and each Subsidiary Guarantor. 

“Borrowing” shall mean the incurrence of a Loan under the Revolving Facility by the Borrower from all of the Lenders having
Commitments thereunder on a pro rata basis on a given date (or resulting from conversions on a given date), having, in the case of Eurodollar Loans, the same Interest Period; provided that ABR Loans incurred pursuant to Section 1.10 shall be
considered part of any related Borrowing of Eurodollar Loans. 
 “Borrowing Date” shall mean any Business Day specified by
the Borrower as a date on which the Borrower requests the relevant Lenders to make Loans hereunder. 
 “Business Day” shall
mean (i) for all purposes other than as covered by clause (ii) below, any day excluding Saturday, Sunday and any day which shall be in the City of New York a legal holiday or a day on which banking institutions are authorized by law or
other governmental actions to close and (ii) with respect to all notices and determinations in connection with, and payments of principal and interest on, Eurodollar Loans, any day which is a Business Day described in clause (i) and which
is also a day for trading by and between banks in Dollar deposits in the interbank Eurodollar market. 
 “Capital Lease”
shall mean, at any time, a lease with respect to which the lessee is required concurrently to recognize the acquisition of an asset and the incurrence of a liability in accordance with GAAP. 

“Capital Stock” of any Person shall mean any and all shares, interests, rights to purchase, warrants, options, participation,
patronage capital or other equivalents of or interests in (however designated) equity of such Person, including any preferred stock, any limited or general partnership interest and any limited liability company membership interest. 

“Cash Equivalents” shall mean (i) securities issued or directly and fully guaranteed or insured by the United States of
America or any agency or instrumentality thereof (provided that the full faith and credit of the United States of America is pledged in support thereof) having maturities of not more than six months from the date of acquisition,
(ii) Dollar denominated demand or time deposits, certificates of deposit and bankers’ acceptances of (x) any domestic commercial bank of recognized standing having capital and surplus in excess of $500,000,000 or (y) any bank
whose short-term commercial paper rating from Standard & Poor’s Ratings Service or its successor or assign which remains 

  
 52 

 
in the business of rating creditworthiness of commercial paper (“S&P”) is at least A-1 or the equivalent thereof or from Moody’s Investors Service or its successor or
assign which remains in the business of rating creditworthiness of commercial paper (“Moody’s”) is at least P-1 or the equivalent thereof, in each case with maturities of not more than six months from the date of acquisition,
(iii) commercial paper issued by any Lender or by the parent company of any Lender and commercial paper issued by, or guaranteed by, any industrial or financial company with a short-term commercial paper rating of at least A-1 or the equivalent
thereof by S&P or at least P-1 or the equivalent thereof by Moody’s, or guaranteed by any industrial company with a long term unsecured debt rating of at least A or A2, or the equivalent of each thereof, from S&P or Moody’s, as the
case may be, and in each case maturing within six months after the date of acquisition and (iv) money market funds that (x) comply with the criteria set forth in SEC Rule 2a-7 under the ICA, (y) are rated at least AA+ by S&P
and at least, Aa1 by Moody’s and (z) have portfolio assets of at least $5,000,000,000. 
 “Cash Flow” shall mean,
for any period, the sum of the following (without duplication): (i) all cash paid to the Borrower during such period under the System Leases, (ii) all cash distributions received by the Borrower from Project Finance Subsidiaries of the
Borrower during such period, (iii) all interest and investment earnings, if any, paid to the Borrower during such period on amounts on deposit in the account created under the Deposit Agreement, (iv) revenues, if any, received by or on
behalf of the Borrower during such period under any insurance policy as business interruption insurance proceeds, and (v) direct cash equity investments made by Holdings in the Borrower (excluding equity contributed to a Project Finance
Subsidiary) in an amount not greater than the amount necessary to cause the Borrower to be in compliance with the financial covenants set forth in Section 7.11(b) for such period (each such an investment, an “Equity Cure”);
provided, however, that during any period of four consecutive fiscal quarters, “Cash Flow” shall include an Equity Cure in no more than two of such quarters. 

“Cash Flow Available for Debt Service” for any period, shall mean (i) Cash Flow received during such period minus
(ii) (A) all O&M Costs paid during such period and (B) if an Equity Cure has been made with respect to any fiscal quarter for which Cash Flow Available for Debt Service is calculated, the lesser of (x) the aggregate amount of such
Equity Cure for such period and (y) the aggregate amount of cash distributions paid by the Borrower during such period. 

“Code” shall mean the Internal Revenue Code of 1986, as amended from time to time, and the rules and regulations promulgated
thereunder from time to time. 
 “Collateral” shall mean all of the Collateral as defined in each of the Security
Documents. 
 “Collateral Agency Agreement” shall mean the Second Amended and Restated Collateral Agency Agreement, dated
as of the Restatement Date, among the Collateral Agent, the Borrower and the holders (or agents thereof) of Permitted Secured Indebtedness from time to time party thereto (as may be amended, restated, amended and restated, supplemented, joined or
otherwise modified from time to time). 
 “Collateral Agent” shall mean The Bank of New York Mellon Trust Company, N.A., a
national association, acting in its capacity as collateral agent for itself and the other Secured Parties, or its successors in such capacity appointed pursuant to the terms of the Collateral Agency Agreement. 

“Commitment” shall mean with respect to each Lender, such Lender’s Revolving Commitment and in the case of the Swingline
Lender, the Swingline Commitment. 
 “Commitment Fee” shall have the meaning provided in Section 3(a). 

  
 53 

 “Connection Income Taxes” shall mean Other Connection Taxes that are imposed on
or measured by net income (however denominated) or that are franchise Taxes or branch profits Taxes. 
 “Consolidated Net
Plant” shall mean, with respect to any Person, as of the date of determination, the net plant set forth on the face of the consolidated balance sheet of such Person or absent such amount on the consolidated balance sheet, the total plant of
such Person on a consolidated basis minus accumulated depreciation as set forth in the footnotes of the consolidated financial statements, in each case, for the fiscal quarter ended on the date of the last financial statements delivered pursuant to
Section 7.1. 
 “Consolidated Net Worth” shall mean at any date, the sum of all amounts that would, in conformity with
GAAP, be included on a consolidated balance sheet of the Borrower and its consolidated Subsidiaries (and, if positive, of Sharyland and its consolidated Subsidiaries) under stockholders’ equity at such date, plus minority interests, as
determined in accordance with GAAP minus any stockholders equity attributable to any Project Finance Subsidiary, provided, however, that any effects resulting from SFAS 158 shall be excluded for purposes of the calculation of
Consolidated Net Worth. 
 “Consolidated Qualified Lessee” shall mean any Qualified Lessee that is consolidated into the
financial statements of another Qualified Lessee. 
 “Contractual Obligation” shall mean as to any Person, any provision of
any security issued by such Person or of any agreement, instrument or other undertaking to which such Person is a party or by which it or any of its property is bound. 

“Control” shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management
or policies of a Person, whether through the ability to exercise voting power, by contract or otherwise. 
 “Credit
Documents” shall mean this Agreement, the Promissory Notes, the Security Documents, the Subsidiary Guaranties and the Fee Letter and any amendment, waiver, supplement or other modification to any of the foregoing. 

“Credit Event” shall mean and include the making of a Loan or the issuance of a Letter of Credit. 

“Credit Party” shall mean the Administrative Agent, the Issuing Lender, the Swingline Lender or any other Lender, as
applicable. 
 “CREZ Lease” shall mean (A) prior to the effectiveness of the CREZ Lease Amendment and Restatement, the
Amended and Restated Lease Agreement (CREZ Assets) dated as of April 30, 2013, between SP, as lessor, and Sharyland, as lessee, and (B) upon the effectiveness of the CREZ Lease Amendment and Restatement, the CREZ Lease Amendment and
Restatement, as such lease may be amended, restated, supplemented or otherwise modified from time to time, or any new lease entered into in replacement thereof, in accordance with Section 7.10(b) and/or 8.16 of this Agreement, as applicable. 

“CREZ Lease Amendment and Restatement” shall mean the Second Amended and Restated Lease Agreement (CREZ Assets), between SP,
as lessor, and Sharyland, as lessee, with respect to the CREZ Project. 

  
 54 

 “CREZ Project” shall mean the five transmission lines, four substations and
other facilities in Texas identified and awarded to Sharyland by the Public Utility Commission of Texas (the “PUCT”) in Docket Number 37902. 

“Cross Valley Project” shall mean the approximately 49 mile transmission line in South Texas near the Mexican border, known
as the “North Edinburg to Loma Alta 345 kV single-circuit transmission line” project, subsequently, renamed as the “North Edinburg to Palmito 345 kV double-circuit transmission line” project, which is built on double-circuit
capable structures and the Palmito substation located on the eastern terminus of the Cross Valley Project. The Cross Valley Project is part of a 100 mile transmission line, which is jointly developed and permitted by Sharyland and Electric
Transmission Texas. 
 “Cross Valley Project Transfer” shall mean the sale and Transfer of all of the Capital Stock of CV
Project Entity, L.L.C., a Project Finance Subsidiary of the Borrower, to Cross Valley Partnership, L.P., a Person Controlled by one or more Hunt Family Members, for a purchase price at least equal to the Cross Valley Project’s rate base cost at
such time. 
 “Debt Service” shall mean, for any period, the aggregate (without duplication) of (i) all amounts of
interest on the Loans and in respect of other Indebtedness of the Borrower required to be paid during such period, plus (ii) all amounts of principal on the Loans and in respect of other Indebtedness of the Borrower or required to be
paid during such period, excluding any optional prepayments of principal during such period, plus (iii) all other premiums, fees, costs, charges, expenses and indemnities due and payable to the Administrative Agent or the other Secured
Parties and holders of other Indebtedness of the Borrower or and agents acting on their behalf during such period; provided, however, that for purposes of calculating the Debt Service Coverage Ratio, the Debt Service shall exclude
Non-Recourse Debt of a Project Finance Subsidiary. 
 “Debt Service Coverage Ratio” shall mean, for each
period of four most recent consecutive fiscal quarters, the quotient of (i) Cash Flow Available for Debt Service for such period to (ii) Debt Service for such period. 

“Deed of Trust” shall mean (i) the Amended and Restated First Lien Deed of Trust, Security Agreement and Fixture Filing
(Texas) and each First Lien Deed of Trust, Security Agreement, Assignment of Rents and Leases and Fixture Filing (Texas) by and from the Borrower, as grantor, to Peter M. Oxman, as trustee, for the benefit of the Collateral Agent and the other
Secured Parties, dated as of July 13, 2010, in each case as the same may be amended, restated, supplemented or otherwise modified from time to time and (ii) each other deed of trust by and from the Borrower, as grantor, for the benefit of
the Collateral Agent and the other Secured Parties entered into from time to time. 
 “Default” shall mean any event or
condition which would, with lapse of time or giving of notice or both, become an Event of Default. 
 “Defaulting Lender”
shall mean any Lender that (a) has failed, within two Business Days of the date required to be funded or paid, to (i) fund any portion of its Revolving Loans, (ii) fund any portion of its participations in Letters of Credit or
Swingline Loans or (iii) pay over to any Credit Party any other amount required to be paid by it hereunder, unless, in the case of clause (i) above, such Lender notifies the Administrative Agent in writing that such failure is the result
of such Lender’s good faith determination that a condition precedent to funding (specifically identified and including the particular default, if any) has not been satisfied, (b) has notified the Borrower or any Credit Party in writing, or
has made a public statement to the effect, that it does not intend or expect to comply with any of its funding obligations under this Agreement (unless such writing or public statement indicates that such position is

  
 55 

 
based on such Lender’s good faith determination that a condition precedent (specifically identified and including the particular default, if any) to funding a loan under this Agreement
cannot be satisfied) or generally under other agreements in which it commits to extend credit, (c) has failed, within three Business Days after request by a Credit Party, acting in good faith, to provide a certification in writing from an
authorized officer of such Lender that it will comply with its obligations (and is financially able to meet such obligations) to fund prospective Revolving Loans and participations in then outstanding Letters of Credit and Swingline Loans under this
Agreement, provided that such Lender shall cease to be a Defaulting Lender pursuant to this clause (c) upon such Credit Party’s receipt of such certification in form and substance satisfactory to it and the Administrative Agent, or
(d) has become the subject of a Bankruptcy Event. 
 “Deposit Agreement” shall mean that certain Amended and Restated
Deposit Account Control Agreement, dated as of the Restatement Date, by and among the Borrower, The Bank of New York Mellon Trust Company, N.A. and Bank of America, N.A. 

“Depositary” shall mean Bank of America, N.A. 

“Designated Jurisdiction” shall mean any country or territory to the extent that such country or territory itself is the
subject of any Sanction. 
 “Development Agreement” shall mean that certain Development Agreement to be entered into among
Hunt Transmission Services, L.L.C., Sharyland, InfraREIT and/or InfraREIT Partners in connection with one or more New Projects, a copy of which has been provided to the Lenders, pursuant to which Hunt Transmission Services, L.L.C. has granted
InfraREIT a right of first offer related to the New Projects identified therein, as amended from time to time in accordance with its terms. 

“Distribution” shall mean any dividend or other distribution (whether in cash, securities or other property) with respect to
any Capital Stock of any Person, or any payment (whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase, redemption, retirement, defeasance, acquisition, cancellation or termination
of any such Capital Stock or on account of any return of capital to such Person’s stockholders, partners or members (or the equivalent Person thereof), or any option, warrant or other right to acquire any such dividend or other distribution or
payment. 
 “Dollars” and “$” shall mean dollars in lawful currency of the United States. 

“Eligible Assignee” shall mean any Person that meets the requirements to be an assignee under Section 12.4. 

“Environmental Law” shall mean any federal, state, foreign or local statute, law, rule, regulation, ordinance, code and rule
of common law formerly, now or hereafter in effect and in each case as amended, including, without limitation, any judicial or administrative order, consent decree or judgment, relating to the environment, including but not limited to Hazardous
Materials. 
 “ERCOT” shall mean Electric Reliability Council of Texas or any successor thereto. 

“ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended from time to time, and the regulations
promulgated and rulings issued thereunder. Section references to ERISA are to ERISA, as in effect at the Restatement Date and any subsequent provisions of ERISA, amendatory thereof, supplemental thereto or substituted therefor. 

  
 56 

 “ERISA Affiliate” shall mean (a) any entity, whether or not incorporated,
that is under common control with a Loan Party within the meaning of Section 4001(a)(14) of ERISA; (b) any corporation which is a member of a controlled group of corporations within the meaning of Section 414(b) of the Code of which a
Loan Party is a member; (c) any trade or business (whether or not incorporated) which is a member of a group of trades or businesses under common control within the meaning of Section 414(c) of the Code of which a Loan Party is a member;
and (d) with respect to any Loan Party, any member of an affiliated service group within the meaning of Section 414 (m) or (o) of the Code of which that Loan Party, any corporation described in clause (a) above or any trade
or business described in clause (b) above is a member. 
 “Eurocurrency Reserve Requirements” shall mean, for any day
as applied to a Eurodollar Loan, the aggregate (without duplication) of the rates (expressed as a decimal) of the maximum reserve requirements in effect on such day (including, without limitation, basic, supplemental, marginal and emergency reserves
under any regulations of the Board of Governors of the Federal Reserve System or other Governmental Authority having jurisdiction with respect thereto) dealing with reserve requirements prescribed for eurocurrency funding (currently referred to as
“Eurocurrency Liabilities” in Regulation D of such Board) maintained by a member bank of such Federal Reserve System. 

“Eurodollar Loans” shall mean Loans the rate of interest applicable to which is based upon the Eurodollar Rate. 

“Eurodollar Rate” shall mean, for any Interest Period for all Eurodollar Loans comprising part of the same Borrowing
(a) the rate of interest per annum expressed on the basis of a year of 360 days, determined by the Administrative Agent, which is equal to the offered rate that appears on the page of the Reuters LIBOR01 screen (or any successor thereto as may
be selected by the Administrative Agent) that displays an average ICE Benchmark Administration Interest Settlement Rate for deposits in Dollars with a term equivalent to such Interest Period, determined as of approximately 11:00 a.m. (London time)
two (2) Business Days prior to the first day of such Interest Period or (b) if the rates referenced in the preceding clause (a) are not available, the rate per annum determined by the Administrative Agent as the rate of interest,
expressed on a basis of a year of 360 days, at which deposits in Dollars for delivery on the first day of such Interest Period in same day funds in the approximate amount of the Eurodollar Loan being made, continued or converted by the
Administrative Agent and with a term and amount comparable to such Interest Period and principal amount of such Eurodollar Loan as would be offered by the Administrative Agent’s London Branch to major banks in the offshore Dollar market at
their request at approximately 11:00 a.m. (London time) two (2) Business Days prior to the first day of such Interest Period; provided that if the rate determined pursuant to either clause (a) or clause (b) above, as
applicable, is below zero, the Eurodollar Rate shall be deemed to be zero. 
 “Eurodollar Tranche” shall mean the
collective reference to Eurodollar Loans under a particular Facility the then current Interest Periods with respect to all of which begin on the same date and end on the same later date (whether or not such Loans shall originally have been made on
the same day). 
 “Event of Default” shall have the meaning provided in Section 9. 

“Excluded Taxes” shall mean any of the following Taxes imposed on or with respect to a Credit Party or required to be
withheld or deducted from a payment to a Credit Party, (a) Taxes imposed on or measured by net income (however denominated), franchise Taxes, and branch profits Taxes, in each case, (i) imposed as a result of such Credit Party being
organized under the laws of, or having its principal office or, in the case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (ii) that are Other Connection
Taxes, (b) in the case of a Lender, U.S. federal withholding Taxes imposed on amounts payable to or for the account of such Lender 

  
 57 

 
with respect to an applicable interest in a Loan or Commitment (including, for the avoidance of doubt, an interest in a Letter of Credit) pursuant to a law in effect on the date on which
(i) such Lender acquires such interest in the Loan or Commitment, including, for the avoidance of doubt, an interest in a Letter of Credit (other than pursuant to an assignment request by the Borrower under Section 1.15) or (ii) such
Lender changes its lending office, except in each case to the extent that, pursuant to Section 4.3, amounts with respect to such Taxes were payable either to such Lender’s assignor immediately before such Lender acquired the applicable interest
in a Loan or Commitment, including, for the avoidance of doubt, an interest in a Letter of Credit, or to such Lender immediately before it changed its lending office, (c) Taxes attributable to such Credit Party’s failure to comply with
Section 4.3(f) and (d) any U.S. federal withholding Taxes imposed under FATCA. 
 “Existing Lenders” shall have the
meaning provided in the recitals. 
 “Facility” shall mean any of the credit facilities established under this Agreement,
i.e., the Revolving Facility. 
 “FATCA” shall mean Sections 1471 through 1474 of the Code, as of the date of this
Agreement (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof, any agreements entered into pursuant to
Section 1471(b)(1) of the Code, and any intergovernmental agreements between the United States and another country which modify the provisions of the foregoing. 

“Federal Funds Effective Rate” shall mean, for any day, the weighted average of the rates on overnight Federal Funds
transactions with members of the Federal Reserve System arranged by Federal Funds brokers, as published on the next succeeding Business Day by the Federal Reserve Bank of New York, or, if such rate is not so published for any day which is a Business
Day, the average of the quotations for the day of such transactions received by the Administrative Agent from three Federal Funds brokers of recognized standing selected by it. 

“Fee Letter” shall mean the Fee Letter, dated November 7, 2014, between the Borrower and Royal Bank of Canada. 

“Fees” shall mean all amounts payable pursuant to, or referred to in, Section 3. 

“FERC” shall mean the Federal Energy Regulatory Commission, or any successor agency to its duties and responsibilities. 

“FERC Lease” shall mean (A) prior to the effectiveness of the FERC Lease Amendment and Restatement, the Second Amended
and Restated Lease Agreement, dated as of July 1, 2012, between FERC Owner and FERC Operator and (B) upon the effectiveness of the FERC Lease Amendment and Restatement, the FERC Lease Amendment and Restatement, as such lease may be
amended, restated, supplemented or otherwise modified from time to time, or any new lease entered into in replacement thereof, in accordance with Section 7.10(b) and/or 8.16 of this Agreement, as applicable. 

“FERC Lease Amendment and Restatement” shall mean the Third Amended and Restated Lease Agreement (Stanton Transmission Loop
Assets) between FERC Owner, as lessor, and FERC Operator, as lessee. 
 “FERC Merger” shall mean the anticipated
transaction or series of transactions pursuant to which SDTS FERC L.L.C. will merge into the Borrower and SU FERC L.L.C. will merge into Sharyland. 

  
 58 

 “FERC Operator” shall mean (A) prior to the FERC Merger, SU FERC, L.L.C., a
Subsidiary of Sharyland, and (B) upon the completion of the FERC Merger, Sharyland. 
 “FERC Owner” shall mean
(A) prior to the FERC Merger, SDTS FERC, L.L.C., a Subsidiary of the Borrower, and (B) upon the completion of the FERC Merger, the Borrower. 

“Financing Documents” shall mean, collectively, the Credit Documents and the Note Purchase Agreements. 

“Force Majeure Event” shall mean any claim of force majeure by any Person under any Material Project Document, which would
allow such Person to avoid all or any material part of its obligations thereunder and any other fire, explosion, accident, strike, slowdown or stoppage, lockout or other labor dispute (whether pending or, to the Borrower’s knowledge
threatened), drought, storm, hail, earthquake, embargo, act of God or of the public enemy, or other casualty (whether or not covered by insurance), that could reasonably be expected to result in a Material Adverse Effect. 

“Foreign Subsidiary” shall mean any Subsidiary of the Borrower that is not organized under the laws of the United States, any
state thereof or the District of Columbia. 
 “FPA” shall mean the Federal Power Act, 16 U.S.C. §§791 et seq., as
amended, and the regulations of the FERC thereunder. 
 “Fronting Fee” shall have the meaning provided in
Section 3(c). 
 “Funding Office” shall mean the office of the Administrative Agent specified in Section 12.3 or such
other office as may be specified from time to time by the Administrative Agent as its funding office by written notice to the Borrower and the Lenders. 

“GAAP” shall mean generally accepted accounting principles as in effect in the United States of America. In the event that
any “Accounting Change” (as defined below) shall occur and such change results in a change in the method of calculation of financial covenants, ratios, standards or terms in this Agreement, then the Borrower and the Administrative Agent
agree to enter into negotiations in order to amend such provisions of this Agreement so as to reflect equitably such Accounting Changes with the desired result that the criteria for evaluating the Borrower’s financial condition shall be the
same after such Accounting Changes as if such Accounting Changes had not been made. Until such time as such an amendment shall have been executed and delivered by the Borrower and the Administrative Agent, all financial covenants, ratios, standards
and terms in this Agreement shall continue to be calculated or construed as if such Accounting Changes had not occurred. “Accounting Changes” refers to changes in accounting principles required by the promulgation of any rule, regulation,
pronouncement or opinion by the Financial Accounting Standards Board of the American Institute of Certified Public Accountants or, if applicable, the SEC. For purposes of determining compliance with any covenant (including the computation of any
financial covenant) contained herein, Indebtedness of a Person shall be deemed to be carried at 100% of the outstanding principal amount thereof, and the effects of FASB ASC 825 and FASB ASC 470-20 on financial liabilities shall be disregarded. 

“Golden Spread Project” shall mean a new 345 kilovolt transmission line that will be approximately 55 miles long and will
connect the Golden Spread Electric Cooperative, Inc. Antelope-Elk Energy Center in Hale County, approximately 1.6 miles north of the City of Abernathy on County Road P, to the proposed White River Station that will be built by Sharyland in Floyd
County, approximately 9 miles northeast of the City of Floydada and 1.1 miles east of the intersection of County Road 231 and County Road 200 and the Abernathy substation that is located in the western portion of the transmission line. 

  
 59 

 “Golden Spread Project Transfer” shall mean the sale and Transfer of all of the
Capital Stock of the GS Project Entity to a Person Controlled by one or more Hunt Family Members for a purchase price at least equal to the Golden Spread Project’s rate base cost at such time. 

“Governmental Authority” shall mean 

(a) the government of: 
  

	 	(i)	the United States of America or any State or other political subdivision thereof, or 

  

	 	(ii)	any other jurisdiction in which the Borrower conducts all or any part of its business, or which asserts jurisdiction over any properties of the Borrower, or 

(b) any entity exercising executive, legislative, judicial, taxing, regulatory or administrative functions of, or pertaining to, any such
government, or 
 (c) ERCOT, or 

(d) the Texas Regional Entity. 

“Governmental Entity” shall mean the government of the United States of America or any other nation, or of any political
subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or
pertaining to government (including any supra-national bodies such as the European Union or the European Central Bank). 
 “GS
Project Entity” shall mean a Project Finance Subsidiary of the Borrower created to finance and develop the Golden Spread Project. 

“Guaranty” shall mean, with respect to any Person, any obligation (except the endorsement in the ordinary course of business
of negotiable instruments for deposit or collection) of such Person guaranteeing or in effect guaranteeing any Indebtedness of any other Person in any manner, whether directly or indirectly, including (without limitation) obligations incurred
through an agreement, contingent or otherwise, by such Person: 
 (a) to purchase such Indebtedness or any property constituting security
therefor; 
 (b) to advance or supply funds (i) for the purchase or payment of such indebtedness or obligation, or (ii) to
maintain any working capital or other balance sheet condition or any income statement condition of any other Person or otherwise to advance or make available funds for the purchase or payment of such Indebtedness; 

(c) to lease properties or to purchase properties or services primarily for the purpose of assuring the owner of such Indebtedness of the
ability of any other Person to make payment of the Indebtedness; or 
 (d) otherwise to assure the owner of such Indebtedness against loss
in respect thereof. 

  
 60 

 The amount of any Guaranty shall be deemed to be an amount equal to the stated or determinable amount of the
related primary obligation, or portion thereof, in respect of which such Guaranty is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in good faith. In
any computation of the indebtedness or other liabilities of the obligor under any Guaranty, the indebtedness or other obligations that are the subject of such Guaranty shall be assumed to be direct obligations of such obligor. The term
“Guarantee” as a verb has a corresponding meaning. 
 “Hazardous Materials” shall mean any and all pollutants,
toxic or hazardous wastes or other substances that might pose a hazard to health and safety, the removal of which may be required or the generation, manufacture, refining, production, processing, treatment, storage, handling, transportation,
transfer, use, disposal, release, discharge, spillage, seepage or filtration of which is or shall be restricted, prohibited or penalized by any Applicable Law including, but not limited to, asbestos, urea formaldehyde foam insulation, petroleum,
petroleum products, lead based paint, radon gas or similar restricted, prohibited or penalized substances. 
 “Holdings”
shall have the meaning provided in the preamble. 
 “Hunt Family Members” shall mean (i) Ray L. Hunt; (ii) the
spouse of Ray L. Hunt and each of his children and siblings; (iii) the spouse and lineal descendants of any Person identified in the foregoing clause (ii); (iv) any trust or account primarily for the benefit of any Person or Persons
identified in the foregoing clauses (i), (ii) or (iii); (v) any corporation, partnership or other entity in which any of the Persons identified in the foregoing clauses (i), (ii), (iii) or (iv) are the beneficial owners of and
Control substantially all of the shares of capital stock, membership interests, partnership interests or other equity interests and options or warrants to acquire, or securities convertible into, capital stock, membership interests, partnership
interests or other equity securities of an entity; and (vi) the personal representative or guardian of any of the Persons identified in the foregoing clauses (i), (ii) and (iii) upon such Person’s death for purposes of the
administration of such Person’s estate or upon such Person’s disability or incompetency for purposes of the protection and management of the assets of such Person. 

“ICA” shall have the meaning provided in Section 6.17. 

“Immaterial Leases” shall mean Leases pursuant to which the Borrower recognized revenue, in the aggregate, that constituted
10% or less of the total consolidated revenue of the Borrower and its Subsidiaries (other than Project Finance Subsidiaries) as set forth on the face of the consolidated statements of operations for the four consecutive fiscal quarter periods that
ended on the date of the last financial statements delivered pursuant to Section 7.1 prior to the date on which the determination of whether such Lease falls within the scope of this definition is required to be made under the Credit Documents.

 “Increase Effective Date” shall have the meaning specified in Section 1.17(d). 

“Indebtedness” shall mean, with respect to any Person, at any time, without duplication, (a) its liabilities for
borrowed money and its redemption obligations in respect of Preferred Stock that is mandatorily redeemable prior to the date that is 91 days after the Maturity Date; (b) its liabilities for the deferred purchase price of property acquired by
such Person (excluding accounts payable arising in the ordinary course of business but including all liabilities created or arising under any conditional sale or other title retention agreement with respect to any such property);
(c) (i) all liabilities appearing on its 

  
 61 

 
balance sheet in accordance with GAAP in respect of Capital Leases and (ii) all liabilities which would appear on its balance sheet in accordance with GAAP in respect of Synthetic Leases
assuming such Synthetic Leases were accounted for as Capital Leases; provided, however, that for purposes of this definition (including with respect to clauses (i) and (ii) hereof), the System Leases, any other Lease and any
similar lease shall not be treated as a capital lease; (d) all liabilities for borrowed money secured by any Lien with respect to any property owned by such Person (whether or not it has assumed or otherwise become liable for such liabilities);
(e) all its liabilities in respect of letters of credit or instruments serving a similar function issued or accepted for its account by banks and other financial institutions (whether or not representing obligations for borrowed money);
provided, however, that for purposes of this definition, any surety bonds or indemnification agreements entered into by any Qualified Lessee (with respect to which the Borrower or a subsidiary thereof has a reimbursement or backstop
obligation) in connection with condemnation proceedings shall be excluded; (f) the aggregate Swap Termination Value of all Swap Contracts of such Person; and (g) any Guaranty of such Person with respect to liabilities of a type described
in any of clauses (a) through (f) hereof. Indebtedness of any Person shall include all obligations of such Person of the character described in clauses (a) through (g) to the extent such Person remains legally liable in respect
thereof notwithstanding that any such obligation is deemed to be extinguished under GAAP. For all purposes hereof, the Indebtedness of any Person shall include the Indebtedness of any partnership or joint venture (other than a joint venture that is
itself a corporation or limited liability company) in which such Person is a general partner or a joint venturer, unless such Indebtedness is expressly made non-recourse to such Person. The amount of any Capital Lease or Synthetic Lease obligation
(in each case, to the extent the same is considered Indebtedness hereunder) as of any date shall be deemed to be the amount of Attributable Indebtedness in respect thereof as of such date. 

“Indemnified Taxes” shall mean (a) Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by
or on account of any obligation of any Borrower Party under any Credit Document and (b) to the extent not otherwise described in clause (a) above, Other Taxes. 

“Information” shall mean all information other than the financial projections relating to the transactions contemplated
hereby that has been or will be made available to the Lenders. 
 “InfraREIT” shall mean (x) prior to a Qualifying
IPO, InfraREIT, L.L.C., a Delaware limited liability company, and (y) upon and after a Qualifying IPO, InfraREIT, Inc., a Maryland corporation and in both cases, any successors to the foregoing. 

“InfraREIT Partners” shall mean InfraREIT Partners, LP, a Delaware limited partnership. 

“Interest Payment Date” shall mean (a) as to any ABR Loans (other than any Swingline Loan), the last day of each March,
June, September and December to occur while such Loan is outstanding and the final maturity date of such Loan, (b) as to any Eurodollar Loans having an Interest Period of three months or less, the last day of such Interest Period, (c) as
to any Eurodollar Loans having an Interest Period longer than three months, each day that is three months, or a whole multiple thereof, after the first day of such Interest Period and the last day of such Interest Period, (d) as to any Loan
(other than any Revolving Loan that is an ABR Loan and any Swingline Loan), the date of any repayment or prepayment made in respect thereof and (e) as to any Swingline Loan, the day that such Loan is required to be repaid. 

“Interest Period” shall mean as to any Eurodollar Loan, (a) initially, the period commencing on the borrowing or
conversion date, as the case may be, with respect to such Eurodollar Loan and ending one, two, three or six (or, if agreed to by all Lenders under the Revolving Facility twelve) months thereafter, as selected by the Borrower in its notice of
borrowing or notice of conversion, as the case may be, given with respect thereto; and (b) thereafter, each period commencing on the last day 

  
 62 

 
of the next preceding Interest Period applicable to such Eurodollar Loan and ending one, two, three or six (or, if agreed to by all Lenders under the Revolving Facility, twelve) months
thereafter, as selected by the Borrower by irrevocable notice to the Administrative Agent not later than 11:00 A.M., New York City time, on the date that is three Business Days prior to the last day of the then current Interest Period with respect
thereto; provided that, all of the foregoing provisions relating to Interest Periods are subject to the following: 

1. if any Interest Period would otherwise end on a day that is not a Business Day, such Interest Period shall be extended to
the next succeeding Business Day unless the result of such extension would be to carry such Interest Period into another calendar month in which event such Interest Period shall end on the immediately preceding Business Day; 

2. the Borrower may not select an Interest Period under a particular Facility that would extend beyond the Revolving Facility
Final Maturity Date; 
 3. any Interest Period that begins on the last Business Day of a calendar month (or on a day for
which there is no numerically corresponding day in the calendar month at the end of such Interest Period) shall end on the last Business Day of a calendar month; and 

4. the Borrower shall select Interest Periods so as not to require a payment or prepayment of any Eurodollar Loan during an
Interest Period for such Loan; 
 provided, further, that if the Borrower does not make an Interest Period election prior to
the time indicated in the foregoing clause (b), then the Borrower shall be deemed to have elected an Interest Period of one month. 

“Investments” shall have the meaning given to it in Section 8.7. 

“Investment Grade Credit Rating” shall mean with respect to any Person, a rating of the long-term unsecured debt securities
of such Person (or if such rating is unavailable, issuer rating) equal to or higher than (1) “BBB-” (or the equivalent) with a stable or better outlook by Standard & Poor’s Financial Services LLC, or
(2) “Baa3” (or the equivalent) with a stable or better outlook by Moody’s Corporation; provided, that if such Person has a rating from both Standard & Poor’s Financial Services LLC and Moody’s
Corporation, then the applicable rating shall be deemed to be the lower of the two. 
 “IRS” shall mean the United States
Internal Revenue Service. 
 “Issuing Lender” shall mean Royal Bank of Canada or any affiliate of Royal Bank of Canada.

 “L/C Commitment” shall mean $25,000,000. 

“L/C Exposure” shall mean, at any time, the total Letter of Credit Outstandings. The L/C Exposure of any Revolving Lender at
any time shall be its Revolving Percentage of the total L/C Exposure at such time. 
 “L/C Participants” shall mean the
collective reference to all the Revolving Lenders other than the Issuing Lender. 
 “Leased Consolidated Net Plant” shall
mean that portion of the Consolidated Net Plant of the lessor of a Lease between such lessor and a Qualified Lessee that is the subject of such Lease. 

  
 63 

 “Leases” shall mean (i) the System Leases, the CREZ Lease, the FERC Lease
and any other leases of transmission and distribution and related assets to a Qualified Lessee under which the Borrower or any Subsidiary of the Borrower is a party as a lessor, and (ii) any lease of transmission and distribution and related
assets pursuant to which Sharyland is the lessee and a Subsidiary of Sharyland or another Person Controlled by one or more Hunt Family Members is the lessor; provided, no such lease will qualify as a “Lease” hereunder if each of the
three following criteria apply: (x) Sharyland is the lessee, (y) cash rental payments have become due and payable pursuant thereto and (z) none of the Borrower, a Subsidiary of the Borrower or a Subsidiary of Sharyland is the lessor.

 “Leasehold” of any Person, shall mean all of the right, title and interest of such Person as lessee or licensee in, to
and under leases or licenses of land, improvements and/or fixtures. 
 “Lender” shall have the meaning defined in the
preamble hereto. Unless the context otherwise requires, the term “Lender” shall include a Swingline Lender. 
 “Lender
Affiliate” shall mean (a) any Affiliate of any Lender and (b) any Person that is administered or managed by any Lender or any Affiliate of any Lender and that is engaged in making, purchasing, holding or otherwise investing in
commercial loans and similar extensions of credit in the ordinary course of its business and (c) with respect to any Lender which is a fund that invests in commercial loans and similar extensions of credit, any other fund that invests in a
commercial loans and similar extensions of credit and is managed or advised by the same investment advisor as such Lender or by an Affiliate of such Lender or investment advisor. 

“Lender Parent” shall mean, with respect to any Lender, any Person as to which such Lender is, directly or indirectly, a
Subsidiary. 
 “Letter of Credit” shall have the meaning provided in Section 2.1(a). 

“Letter of Credit Fee” shall have the meaning provided in Section 3(b). 

“Letter of Credit Outstandings” shall mean, at any time, an amount equal to the sum of (a) the aggregate then undrawn
and unexpired amount of the then outstanding Letters of Credit and (b) the aggregate amount of drawings under Letters of Credit that have not then been reimbursed pursuant to Section 2.4 at such time. 

“Lien” shall mean, with respect to any Person, any mortgage, lien, pledge, charge, security interest, or other encumbrance,
or any interest or title of any vendor, lessor, lender or other secured party to or of such Person under any conditional sale or other title retention agreement or Capital Lease, upon or with respect to any property or asset of such Person, in each
case in the nature of a security interest of any kind whatsoever. 
 “Loan” shall mean a loan made by the Lenders to the
Borrower pursuant to this Agreement. 
 “Loan Party” shall mean the Borrower and each Subsidiary that is a party to a
Credit Document, as applicable. 
 “Material Adverse Effect” shall mean a material adverse effect upon and/or material
adverse developments with respect to (a) the operations, business, assets, properties, liabilities or financial condition of the Borrower and its Subsidiaries (taken as a whole), (b) the ability of the Borrower and the Guarantors (taken as
a whole) to perform their obligations under the Credit Documents, (c) the legality, 

  
 64 

 
validity or enforceability of any material provision of this Agreement or any other Credit Document, (d) the rights or remedies of the Administrative Agent or the Lenders under the Credit
Documents or (e) the validity, perfection or priority of the Collateral Agent’s Liens on any material Collateral. 

“Material Project Document” shall mean (i) any contract or agreement that is related to the ownership, operation,
management service, maintenance, repair or use of the System entered into by the Borrower or any Subsidiary subsequent to the Restatement Date that involves full payments or obligations of Borrower or any Subsidiary in excess of $5,000,000 in any
calendar year, and (ii) System Leases, but shall exclude any documents subject to Section 8.12 herein. 
 “McAllen
Lease” shall mean (A) prior to the effectiveness of the McAllen Lease Amendment and Restatement, the Second Amended and Restated Master System Lease Agreement, dated as of July 1, 2012, between the Borrower, as lessor, and
Sharyland, as lessee, and (B) upon the effectiveness of the McAllen Lease Amendment and Restatement, the McAllen Lease Amendment and Restatement, as such lease may be amended, restated, supplemented or otherwise modified from time to time, or
any new lease entered into in replacement thereof, in accordance with Section 7.10(b) and/or 8.16 of this Agreement, as applicable. 

“McAllen Lease Amendment and Restatement” shall mean the Third Amended and Restated Master System Lease Agreement (McAllen
System), between the Borrower, as lessor, and Sharyland, as lessee. 
 “Minimum Borrowing Amount” shall mean $500,000 or a
whole multiple of $100,000 in excess thereof. 
 “Multiemployer Plan” shall mean a multiemployer plan as defined in
Section 4001(a)(3) of ERISA. 
 “Negative Pledge Agreement” shall mean the Amended and Restated Negative Pledge
Agreement, dated as of the Restatement Date among FERC Owner and the Collateral Agent. 
 “New Project” shall mean any
transmission or distribution project, including any such project acquired or built by a Project Finance Subsidiary, any “New Project” or “Footprint Project” (as defined in the Leases) that the Borrower or a Subsidiary of the
Borrower funds pursuant to a Lease and any such project that InfraREIT or a Subsidiary thereof acquires pursuant to the Development Agreement. 

“Non-Defaulting Lender” shall mean each Lender other than a Defaulting Lender. 

“Non-Recourse Debt” shall mean Indebtedness of a Project Finance Subsidiary or a Subsidiary of Sharyland, as the case may be,
that, if secured, is secured solely by a pledge of collateral owned by such Project Finance Subsidiary or such Subsidiary of Sharyland, as the case may be, and the Capital Stock in such Project Finance Subsidiary or such Subsidiary of Sharyland, as
the case may be, and for which no Person other than such Project Finance Subsidiary or such Subsidiary of Sharyland, as the case may be, is personally liable. 

“Non-U.S. Lender” shall mean a Lender that is not a U.S. Person. 

“Note Purchase Agreements” shall mean, collectively, the 2009 Note Purchase Agreement and the 2010 Note Purchase Agreement.

  
 65 

 “Notice Office” shall mean the office of the Administrative Agent at 4th Floor,
20 King Street West, Toronto, Ontario M5H 1C4 or such other office as the Administrative Agent may designate to the Borrower from time to time. 

“Obligations” shall mean the unpaid principal of and interest on (including interest accruing after the maturity of the
Loans, including Revolving Loans, and Reimbursement Obligations and interest accruing after the filing of any petition in bankruptcy, or the commencement of any insolvency, reorganization or like proceeding, relating to the Borrower, whether or not
a claim for post-filing or post-petition interest is allowed in such proceeding) the Loans and all other obligations and liabilities of the Borrower to the Administrative Agent or to any Lender (or, in the case of Specified Swap Contracts or
Specified Cash Management Contracts, any affiliate of any Lender), whether direct or indirect, absolute or contingent, due or to become due, or now existing or hereafter incurred, which may arise under, out of, or in connection with, this Agreement,
any other Credit Document, the Letters of Credit, any Specified Swap Contracts or any Specified Cash Management Contracts whether on account of principal, interest, reimbursement obligations, fees, indemnities, costs, expenses (including all fees,
charges and disbursements of counsel to the Administrative Agent or to any Lender that are required to be paid by the Borrower pursuant hereto) or otherwise. 

“Original Closing Date” shall mean July 13, 2010. 

“Original Credit Agreement” shall have the meaning provided in the recitals. 

“Other Connection Taxes” shall mean with respect to any Credit Party, Taxes imposed as a result of a present or former
connection between such Credit Party and the jurisdiction imposing such Tax (other than connections arising from such Credit Party having executed, delivered, become a party to, performed its obligations under, received payments under, received or
perfected a security interest under, engaged in any other transaction pursuant to, or enforced, any Credit Document, or sold or assigned an interest in any Loan or Credit Document). 

“Other Taxes” shall mean all present or future stamp, court, or documentary, intangible, recording, filing or similar Taxes
that arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, any Credit Document, except any such Taxes
that are Other Connection Taxes imposed with respect to an assignment (other than an assignment made pursuant to Section 1.15). 

“O&M Costs” shall mean actual cash management and operation costs of the Borrower, taxes payable by the Borrower,
insurance premiums, consumables, fees and expenses of, and other amounts owing to, the Administrative Agent, the Collateral Agent and the Depositary, and other costs and expenses in connection with the management or operation of the Borrower, but
exclusive in all cases of (a) non-cash charges, including depreciation or obsolescence charges or reserves therefor, amortization of intangibles or other bookkeeping entries of a similar nature, (b) all other payments of Debt Service,
(c) costs of repair or replacement paid with insurance proceeds and (d) development costs related to any Project Finance Subsidiary. 

“Participant Register” shall have the meaning provided in Section 12.4(a). 

“PBGC” shall mean the Pension Benefit Guaranty Corporation established pursuant to Section 4002 of ERISA, or any
successor thereto. 

  
 66 

 “Permit” shall mean any action, approval, consent, waiver, exemption, variance,
franchise, order, permit, authorization, right or license of or from a Governmental Authority, provided that interests or estates in real property, shall not be considered Permits. 

“Permitted Investments” shall mean any (a) marketable direct obligation of the United States of America,
(b) marketable obligation directly and fully guaranteed as to interest and principal by the United States of America, (c) demand deposit with Depositary, or time deposit, certificate of deposit and banker’s acceptance issued by any
member bank of the Federal Reserve System which is organized under the laws of the United States of America or any state thereof or any United States branch of a foreign bank, in each case whose equity capital is in excess of $500,000,000 and whose
long-term debt securities are rated “A” or better by S&P and “A2” or better by Moody’s, (d) commercial paper or tax exempt obligations given the highest rating by Moody’s and S&P, (e) obligations of a
commercial bank described in clause (c) above, in respect of the repurchase of obligations of the type as described in clauses (a) and (b) hereof, provided that such repurchase obligation shall be fully secured by obligations of the
type described in said clauses (a) and (b) and the possession of such obligation shall be transferred to, and segregated from other obligations owned by, any such bank, (f) instrument rated “AAA” by S&P and
“Aaa” by Moody’s issued by investment companies and having an original maturity of 180 days or less, (g) eurodollar certificates of deposit issued by any bank described in clause (c) above, and (h) marketable security
rated not less than “A-1” by S&P or not less than “Prime-1” by Moody’s. In no event shall Permitted Investments include any obligation, certificate of deposit, acceptance, commercial paper or instrument which by its
terms matures (A) more than 180 days after the date of investment, unless a bank meeting the requirements of clause (c) above shall have agreed to repurchase such obligation, certificate of deposit, acceptance, commercial paper or
instrument at its purchase price plus earned interest within no more than 90 days after its purchase thereunder or (B) after the next payment date. 

“Permitted Liens” shall mean all Liens permitted pursuant to Section 8.5. 

“Permitted Secured Indebtedness” shall have the meaning given to it in the Collateral Agency Agreement. 

“Person” shall mean any individual, partnership, joint venture, firm, cooperative corporation, association, trust or other
enterprise or any government or political subdivision or any agency, department or instrumentality thereof. 
 “Plan” shall
mean any single-employer plan as defined in Section 4001 of ERISA, which is maintained or contributed to by (or to which there is an obligation to contribute of) a Loan Party, a Subsidiary of a Loan Party or an ERISA Affiliate, and each such
plan for the five year period immediately following the latest date on which a Loan Party, a Subsidiary of a Loan Party or an ERISA Affiliate maintained, contributed to or had an obligation to contribute to such plan. 

“Pledge Agreement” shall mean the Amended and Restated Assignment of Membership Interests and Pledge Agreement, dated as of
the Restatement Date, by TDC, with respect to its membership interests in the Borrower, to the Collateral Agent. 
 “Pledge
Agreement (FERC)” shall mean the Amended and Restated Assignment of Membership Interests and Pledge Agreement, dated as of the Restatement Date, by the Borrower, with respect to its membership interests in the FERC Owner, to the Collateral
Agent. 
 “Preferred Stock” shall mean any class of capital stock of a Person that is preferred over any other class of
capital stock (or similar equity interests) of such Person as to the payment of dividends or the payment of any amount upon liquidation or dissolution of such Person. 

  
 67 

 “Prime Rate” shall mean the rate of interest per annum publicly announced from
time to time by the Administrative Agent as its prime rate in effect at its principal office in New York City. 
 “Project Finance
Subsidiary” shall mean a special purpose Subsidiary of a Person created to develop a New Project and to finance such New Project solely with Non-Recourse Debt and equity (including, for the avoidance of doubt, CV Project Entity, L.L.C. and
GS Project Entity). 
 “Promissory Notes” shall mean the collective reference to any promissory note evidencing Loans. 

“Public Lender” shall have the meaning specified in Section 7.1. 

“Qualified Lessee” shall mean Sharyland and/or any other utility that is (x) approved or authorized by the applicable
public utility commission or similar regulatory authority to operate and/or lease the transmission and/or distribution assets of Borrower or any Subsidiary and (y) a party to a then-effective lease agreement with the Borrower or a Subsidiary
thereof pursuant to which such utility leases and operates such entity’s transmission and/or distribution assets. 
 “Qualified
Lessee Affiliate Loan” shall mean loans made by InfraREIT Partners or a Subsidiary thereof to Qualified Lessees from time to time in an aggregate principal amount not to exceed $10,000,000 at any time outstanding as long as the use of
proceeds of such loans is limited to the acquisition or financing of equipment or other assets used in the Qualified Lessee’s operation or lease of transmission or distribution assets from the Borrower or a Subsidiary thereof pursuant to a
Lease. 
 “Qualifying IPO” shall mean an initial public offering of the Capital Stock of InfraREIT pursuant to a
registration statement filed with the SEC. 
 “Real Property Collateral” shall mean (i) any fee owned material real
property (other than easements and rights of way) and (ii) any material lease of real property (other than easements and rights of way) which lease relates to or arises in connection with any transmission and distribution assets, excluding
(x) leases otherwise prohibiting the transfer or granting of a Lien on or security interest in such leasehold interest pursuant to the terms of any agreement permitted under Section 8.20 and (y) leases with respect to which the
Borrower is unable, after commercially reasonable efforts, to obtain such landlord consents as may be reasonably required so as to enable the Borrower to comply with the requirements of Section 7.9(c). 

“Refunded Swingline Loans” shall have the meaning provided in Section 1.4(b). 

“Register” shall have the meaning set forth in Section 12.4(c). 

“Regulation D” shall mean Regulation D of the Board of Governors of the Federal Reserve System as from time to time
in effect and any successor to all or a portion thereof establishing reserve requirements. 
 “Reimbursement Obligation”
shall mean the obligation of the Borrower to reimburse the Issuing Lender pursuant to Section 2.4 for amounts drawn under Letters of Credit. 

“Required Lenders” shall mean Non-Defaulting Lenders whose outstanding Revolving Commitments (or, if after the Total
Revolving Commitment has been terminated, Revolving Extensions of Credit) constitute more than 50% of the total outstanding Revolving Commitments of Non-Defaulting Lenders (or, if after the Total Revolving Commitment has been terminated, the total
Revolving Extensions of Credit of Non-Defaulting Lenders). 

  
 68 

 “Required Permit” shall have the meaning provided in Section 6.12. 

“Required Secured Parties” shall have the meaning provided in the Collateral Agency Agreement. 

“Requirement of Law” shall mean as to any Person, the certificate of incorporation or formation and by-laws or partnership or
operating agreement or other organizational or governing documents of such Person, and any local, state or federal law, regulation, rule, ordinances or determination, interpretation or order of an arbitrator or a court or other Governmental
Authority, and any Required Permit, in each case applicable to or binding upon such Person or any of its properties or its business or to which such Person or any of its properties or its business is subject. 

“Responsible Officer” shall mean any Senior Financial Officer and any other officer of the Borrower with responsibility for
the administration of the relevant portion of this Agreement. 
 “Restatement Date” shall mean the date on which the
conditions precedent set forth in Section 5.1 shall have been satisfied, which date is December 10, 2014. 
 “Revolving
Commitment” shall mean, as to any Lender, the obligation of such Lender, if any, to make Revolving Loans and participate in Swingline Loans and Letters of Credit in an aggregate principal and/or face amount not to exceed the amount set
forth under the heading “Revolving Commitment” opposite such Lender’s name on Annex 1.1A, as the same may be adjusted from time to time as a result of assignments to or from each Lender pursuant to Section 12.4. 

“Revolving Commitment Period” shall mean the period from and including the Restatement Date to the Revolving Facility Final
Maturity Date. 
 “Revolving Extensions of Credit” shall mean as to any Revolving Lender at any time, an amount equal to
the sum of (a) the aggregate principal amount of all Revolving Loans held by such Lender then outstanding, (b) such Lender’s Revolving Percentage of the Letter of Credit Outstandings then outstanding and (c) such Lender’s
Revolving Percentage of the aggregate principal amount of Swingline Loans then outstanding. 
 “Revolving Facility” shall
mean the Facility evidenced by the Total Revolving Commitment and the Swingline Facility. 
 “Revolving Facility Final Maturity
Date” shall mean the fifth anniversary of the Restatement Date or, if earlier, the date on which the Revolving Commitments are terminated pursuant to Section 9 hereof. 

“Revolving Lender” shall mean each Lender that has a Revolving Commitment or that holds Revolving Loans. 

“Revolving Loan” shall have the meaning provided in Section 1.1(a). 

“Revolving Percentage” shall mean as to any Revolving Lender at any time, the percentage which such Lender’s Revolving
Commitment then constitutes of the Total Revolving Commitments or, at any time after the Revolving Commitments shall have expired or terminated, the 

  
 69 

 
percentage which the aggregate principal amount of such Lender’s Revolving Loans then outstanding constitutes of the aggregate principal amount of the Revolving Loans then outstanding.
Notwithstanding the foregoing, in the case of Section 1.16 when a Defaulting Lender shall exist, Revolving Percentages shall be determined without regard to any Defaulting Lender’s Revolving Commitment. 

“ROFO Transfer” shall mean the sale and Transfer to Persons Controlled by one or more Hunt Family Members of any assets
located in the Texas Panhandle related to the CREZ Project that are categorized as ROFO projects under the Development Agreement with an aggregate fair market value not to exceed $5,000,000. 

“Sanction(s)” shall mean any international economic sanction administered or enforced by the United States Government
(including without limitation, OFAC), the United Nations Security Council, the European Union, Her Majesty’s Treasury or other relevant sanctions authority. 

“SEC” shall have the meaning provided in Section 7.1(g). 

“Secured Parties” shall mean the Collateral Agent, Administrative Agent, the Lenders, the Issuing Lender and any other
Persons that become parties to the Collateral Agency Agreement. 
 “Security Agreement” shall mean the Security Agreement,
dated as of the Restatement Date, among the Collateral Agent and the Borrower. 
 “Security Documents” shall mean
(i) the Collateral Agency Agreement, the Deeds of Trust, the Pledge Agreement, the Deposit Agreement, the Security Agreement, (ii) prior to the completion of the FERC Merger, the Pledge Agreement (FERC) and the Negative Pledge Agreement
and (iii) other security documents entered into pursuant to Section 7.9 and any other security documents, financing statements and the like filed or recorded in connection with the foregoing. 

“Senior Financial Officer” shall mean means the chief financial officer, principal accounting officer, treasurer or
comptroller of the Borrower or a Qualified Lessee, as applicable. 
 “Sharyland” shall mean Sharyland Utilities, L.P., a
Texas limited partnership. 
 “SP” shall mean Sharyland Projects, L.L.C., a Project Finance Subsidiary. 

“Specified Account” shall mean deposit account number 4426868026 maintained with Bank of America, N.A. in the name of the
Borrower, or such other account designated by the Borrower from time to time. 
 “Specified Cash Management Contracts”
shall mean any cash management service agreements entered into by the Borrower and any Person that is a Lender or an affiliate of a Lender at the time such agreement is entered into. 

“Specified Swap Contracts” shall mean any Swap Contracts entered into by the Borrower and any Person that is a Lender or an
affiliate of a Lender at the time such Swap Contract is entered into. 
 “Specified Qualified Lessee” shall mean Sharyland
and any Qualified Lessee (a) (i) without an Investment Grade Credit Rating or (ii) whose obligations under the applicable Leases are not guaranteed by an entity with an Investment Grade Rating and (b) whose business is limited to
the leasing of transmission and/or distribution assets from the Borrower or any of its Subsidiaries or Affiliates. 

  
 70 

 “Stanton/Brady/Celeste Lease” shall mean (A) prior to the effectiveness of
the Stanton/Brady/Celeste Lease Amendment and Restatement, the Amended and Restated Lease Agreement (Stanton/Brady/Celeste Assets), dated as of July 1, 2012, between the Borrower, as lessor, and Sharyland, as lessee, and (B) upon the
effectiveness of the Stanton/Brady/Celeste Lease Amendment and Restatement, the Stanton/Brady/Celeste Lease Amendment and Restatement, as such lease may be amended, restated, supplemented or otherwise modified from time to time, or any new lease
entered into in replacement thereof, in accordance with Section 7.10(b) and/or 8.16 of this Agreement, as applicable. 

“Stanton/Brady/Celeste Lease Amendment and Restatement” shall mean the Second Amended and Restated Lease Agreement
(Stanton/Brady/Celeste Assets), between the Borrower, as lessor, and Sharyland, as lessee. 
 “Stated Amount” of each
Letter of Credit shall mean the maximum available to be drawn thereunder (regardless of whether any conditions for drawing could then be met). 

“Subsidiary” shall mean, as to any Person, any other Person in which such first Person or one or more of its Subsidiaries or
such first Person and one or more of its Subsidiaries owns sufficient equity or voting interests to enable it or them (as a group) ordinarily, in the absence of contingencies, to elect a majority of the directors (or Persons performing similar
functions) or such second Person and any partnership or joint venture if more than a 50% interest in the profits or capital thereof is owned by such first Person or one or more of its Subsidiaries or such first Person and one or more of its
Subsidiaries (unless such partnership or joint venture can and does ordinarily take major business actions without the prior approval of such Person or one or more of its Subsidiaries). Unless otherwise expressly provided, all references herein to a
“Subsidiary” shall mean a Subsidiary of the Borrower and, prior to the completion of the FERC Merger, shall include the FERC Owner. Prior to the completion of the FERC Merger, all references herein to a Subsidiary of Sharyland shall
include the FERC Operator. 
 “Subsidiary Guaranties” shall mean, collectively or individually, depending on the context,
the guaranties provided by the Subsidiary Guarantors pursuant to Section 7.9, if any, substantially in the form of Exhibit H attached hereto. 

“Subsidiary Guarantor” shall mean any Subsidiary of the Borrower that is a guarantor under a guaranty pursuant to
Section 7.9. 
 “Swap Contract” shall mean (a) any and all interest rate swap transactions, basis swap
transactions, basis swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or
forward foreign exchange transactions, cap transactions, floor transactions, currency options, spot contracts or any other similar transactions or any of the foregoing (including, but without limitation, any options to enter into any of the
foregoing), and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives
Association, Inc., or any International Foreign Exchange Master Agreement. 
 “Swap Termination Value” shall mean, in
respect of any one or more Swap Contracts, after taking into account the effect of any legally enforceable netting agreement relating to such Swap Contracts, (a) for any date on or after the date such Swap Contracts have been closed out and
termination value(s) determined in accordance therewith, such termination value(s), and (b) for any date prior to the date referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for such Swap Contracts, as determined
based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such Swap Contracts (which may include a Lender or any Affiliate of a Lender). 

  
 71 

 “Swingline Commitment” shall mean the obligation of the Swingline Lender to make
Swingline Loans pursuant to Section 1.3 in an aggregate principal amount at any one time outstanding not to exceed $5,000,000. 

“Swingline Exposure” shall mean, at any time, the sum of the aggregate amount of all outstanding Swingline Loans at such
time. The Swingline Exposure of any Revolving Lender at any time shall be its Revolving Percentage of the total Swingline Exposure at such time. 

“Swingline Facility” shall mean the Facility evidenced by the Swingline Commitment. 

“Swingline Lender” shall mean Royal Bank of Canada. 

“Swingline Loans” shall have the meaning provided in Section 1.3(a). 

“Swingline Participation Amount” shall have the meaning provided in Section 1.4(c). 

“Synthetic Lease” shall mean, at any time, any lease (including leases that may be terminated by the lessee at any time) of
any property (a) that is accounted for as an operating lease under GAAP and (b) in respect of which the lessee retains or obtains ownership of the property so leased for U.S. federal income tax purposes, other than any such lease under
which such Person is the lessor. 
 “System” shall mean the Borrower’s and/or any Subsidiary’s (other than a
Project Finance Subsidiary’s) integrated electrical transmission and distribution facilities located primarily in the State of Texas and the systems and other property necessary to operate the transmission and distribution facilities, and all
improvements to and expansions of such facilities, and each New Project (upon its completion) owned by the Borrower or a Subsidiary thereof; provided that, for purposes hereof, “System” shall not be deemed to include any easements
held by the Borrower or any Subsidiary. 
 “System Leases” shall mean (1) the McAllen Lease, (2) the
Stanton/Brady/Celeste Lease, (3) upon the effectiveness thereof, the Lease Agreement (ERCOT Transmission Assets), between the Borrower, as lessor, and Sharyland, as lessee, (4) upon the completion of the FERC Merger, the FERC Lease and
(5) any and all other leases and supplements thereto in connection with the System and the transmission and distribution facilities ancillary thereto and any easements associated therewith, each as amended, restated, supplemented or otherwise
modified from time to time, or any new lease entered into in replacement thereof, in accordance with Section 7.10(b) and/or 8.16 of this Agreement, as applicable. 

“Taxes” shall mean all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup
withholding), assessments, fees or other charges imposed by any Governmental Entity, including any interest, additions to tax or penalties applicable thereto. 

“TDC” shall mean Transmission and Distribution Company, L.L.C., a Texas limited liability company. 

“Texas Regional Entity” shall mean the division of ERCOT authorized to develop, monitor, assess and enforce compliance with
NERC Reliability Standards within the geographic boundaries of ERCOT and any successor thereto. 

  
 72 

 “Threshold Amount” shall mean (a) $10,000,000 with respect to the Borrower,
(b) $2,000,000 with respect to any Specified Qualified Lessee and (c) with respect to any Qualified Lessee (other than a Specified Qualified Lessee), an amount that could reasonably be expected to result in a Material Adverse Effect. 

“Total Debt” shall mean, at any date, with respect to the Borrower, all Indebtedness of the Borrower on a consolidated basis;
provided, however, that for purposes of calculating the Borrowers’ Total Debt to Capitalization Ratio, the Borrower’s Total Debt shall (i) exclude Non-Recourse Debt of a Project Finance Subsidiary of the Borrower and
that portion of the Swap Termination Value defined in clause (b) of the definition of “Swap Termination Value” and (ii) include Indebtedness of Sharyland on a consolidated basis (excluding, for the avoidance of doubt,
Non-Recourse Debt of a Project Finance Subsidiary of Sharyland). 
 “Total Debt to Capitalization Ratio” shall mean the
Borrower’s Total Debt, divided by the sum of Total Debt plus the Borrower’s Consolidated Net Worth. 
 “Total Revolving
Commitment” shall mean the sum of the Revolving Commitments of the Lenders. The amount of the Total Revolving Commitments as of the Restatement Date is $250,000,000, as the same may be reduced from time to time pursuant to Section 1.5
and/or Section 9 and increased from time to time pursuant to Section 1.17. 
 “Total Revolving Commitment Excess
Amount” shall have the meaning provided in Section 4.2(a). 
 “Total Revolving Extensions of Credit” shall
mean at any time, the aggregate amount of the Revolving Extensions of Credit of the Revolving Lenders outstanding at such time. 

“Total Unutilized Revolving Commitment” shall mean, at any time, (i) the Total Revolving Commitment at such time
less (ii) the sum of the aggregate principal amount of all Revolving Loans and Swingline Loans at such time plus the Letter of Credit Outstandings at such time. 

“Transaction Documents” shall mean, collectively the Financing Documents and the Leases to which the Borrower or a Subsidiary
thereof is a party. 
 “Transfer” shall mean, with respect to any item, the sale, exchange, conveyance, lease, transfer or
other disposition of such item. 
 “Type” shall mean any type of Loan determined with respect to the interest option
applicable thereto, i.e., an ABR Loan or Eurodollar Loan. 
 “UCC” shall mean, with respect to any jurisdiction, the
Uniform Commercial Code as in effect in such jurisdiction. 
 “UCC Collateral” shall mean Collateral that is of a type in
which a valid security interest can be created under Article 9 of the New York UCC. 
 “Unpaid Drawing” shall mean any
payment or disbursement made by the Issuing Lender under any Letter of Credit that has not been reimbursed by the Borrower. 

“Unutilized Commitment” for any Lender at any time shall mean the excess of (i) the Commitment of such Lender over
(ii) the sum of (x) the aggregate outstanding principal amount of Loans 

  
 73 

 
made by such Lender plus (y) an amount equal to such Lender’s Revolving Percentage, if any, of the Letter of Credit Outstandings at such time, provided that solely for purposes
of calculating the Commitment Fee pursuant to Section 3(a) Swingline Loans shall be deemed not to be outstanding and the Swingline Commitment shall not constitute a “Commitment”. 

“USA PATRIOT Act” shall mean United States Public Law 107-56, Uniting and Strengthening America by Providing Appropriate
Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT ACT) Act of 2001, as amended from time to time, and the rules and regulations promulgated thereunder from time to time in effect. 

“U.S. Person” shall mean a “United States person” within the meaning of Section 7701(a)(30) of the Code. 

“U.S. Tax Compliance Certificate” shall have the meaning provided in Section 4.3(f)(ii)(B)(3). 

“Wholly-Owned Subsidiary” shall mean, at any time, any Subsidiary one hundred percent of all of the voting interests of which
are owned by any one or more of the Borrower and the Borrower’s other Wholly-Owned Subsidiaries at such time. 
 “Withdrawal
Liability” shall mean a liability to a Multiemployer Plan as a result of a complete or partial withdrawal from such Multiemployer Plan, as such terms are defined in Part I of Subtitle E of Title IV of ERISA. 

“Withholding Agent” shall mean any Borrower Party and the Administrative Agent. 

“Written” or “in writing” shall mean any form of written communication or a communication by means of telex,
facsimile transmission, telegraph or cable. 
 10.2. Other Definitional Provisions. 

(a) Unless otherwise specified therein, all terms defined in this Agreement shall have the defined meanings set forth herein when used in the
other Credit Documents or any certificate or other document made or delivered pursuant hereto or thereto. 
 (b) As used herein and in the
other Credit Documents, and any certificate or other document made or delivered pursuant hereto or thereto, (i) accounting terms relating to any Loan Party not defined in Section 10.1 and accounting terms partly defined in
Section 10.1, to the extent not defined, shall have the respective meanings given to them under GAAP (provided that all terms of an accounting or financial nature used herein shall be construed, and all computations of amounts and ratios
referred to herein shall be made, without giving effect to (A) any election under Accounting Standards Codification 825-10-25 (previously referred to as Statement of Financial Accounting Standards 159) (or any other Accounting Standards
Codification or Financial Accounting Standard having a similar result or effect) to value any Indebtedness or other liabilities of the Borrower or any Subsidiary at “fair value”, as defined therein and (B) any treatment of
Indebtedness in respect of convertible debt instruments under Accounting Standards Codification 470-20 (or any other Accounting Standards Codification or Financial Accounting Standard having a similar result or effect) to value any such Indebtedness
in a reduced or bifurcated manner as described therein, and such Indebtedness shall at all times be valued at the full stated principal amount thereof), (ii) the words “include”, “includes” and “including” shall be
deemed to be followed by the phrase “without limitation”, (iii) the word “incur” shall be construed to mean incur, create, issue, assume, become liable in respect of or suffer to

  
 74 

 
exist (and the words “incurred” and “incurrence” shall have correlative meanings), (iv) the words “asset” and “property” shall be construed to have
the same meaning and effect and to refer to any and all tangible and intangible assets and properties, including cash, Capital Stock, securities, revenues, accounts, Leasehold interests and contract rights, and (v) references to agreements or
other Contractual Obligations shall, unless otherwise specified, be deemed to refer to such agreements or Contractual Obligations as amended, supplemented, restated or otherwise modified from time to time. 

(c) The words “hereof”, “herein” and “hereunder” and words of similar import, when used in this Agreement, shall
refer to this Agreement as a whole and not to any particular provision of this Agreement, and Section, Annex and Exhibit references are to this Agreement unless otherwise specified. 

SECTION 11 THE ADMINISTRATIVE AGENT 

11.1. Appointment. Each Lender hereby irrevocably designates and appoints the Administrative Agent as the agent of such Lender under
this Agreement and the other Credit Documents, and each such Lender irrevocably authorizes the Administrative Agent, in such capacity, to take such action on its behalf under the provisions of this Agreement and the other Credit Documents and to
exercise such powers and perform such duties as are expressly delegated to the Administrative Agent by the terms of this Agreement and the other Credit Documents, together with such other powers as are reasonably incidental thereto. Notwithstanding
any provision to the contrary elsewhere in this Agreement, the Administrative Agent shall not have any duties or responsibilities, except those expressly set forth herein, or any fiduciary relationship with any Lender, and no implied covenants,
functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or any other Credit Document or otherwise exist against the Administrative Agent. 

11.2. Delegation of Duties. The Administrative Agent may execute any of its duties under this Agreement and the other Credit Documents
by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. The Administrative Agent shall not
be responsible for the negligence or misconduct of any agents or attorneys in-fact selected by it with reasonable care. 

11.3. Exculpatory Provisions. Neither the Administrative Agent nor any of its respective officers, directors, employees, agents,
advisors, attorneys-in-fact or affiliates shall be (i) liable for any action lawfully taken or omitted to be taken by it or such Person under or in connection with
this Agreement or any other Credit Document (except to the extent that any of the foregoing are found by a final and nonappealable decision of a court of competent jurisdiction to have resulted from its or such Person’s own gross negligence or
willful misconduct) or (ii) responsible in any manner to any of the Lenders for any recitals, statements, representations or warranties made by the Borrower or any Subsidiary or any officer thereof contained in this Agreement or any other
Credit Document or in any certificate, report, statement or other document referred to or provided for in, or received by the Administrative Agent under or in connection with, this Agreement or any other Credit Document or for the value, validity,
effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other Credit Document or for any failure of any Borrower a party thereto to perform its obligations hereunder or thereunder. The Administrative Agent shall not be
under any obligation to any Lender to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions of, this Agreement or any other Credit Document, or to inspect the properties, books or records of
any Borrower. 
 11.4. Reliance by Administrative Agent. The Administrative Agent shall be entitled to rely, and shall be fully
protected in relying, upon any instrument, writing, resolution, notice, consent, 

  
 75 

 
certificate, affidavit, letter, telecopy or email message, statement, order or other document or conversation believed by it to be genuine and correct and to have been signed, sent or made by the
proper Person or Persons and upon advice and statements of legal counsel (including counsel to the Borrower), independent accountants and other experts selected by the Administrative Agent. The Administrative Agent may deem and treat the payee of
any Promissory Note as the owner thereof for all purposes unless a written notice of assignment, negotiation or transfer thereof shall have been filed with the Administrative Agent. The Administrative Agent shall be fully justified in failing or
refusing to take any action under this Agreement or any other Credit Document unless it shall first receive such advice or concurrence of the Required Lenders (or, if so specified by this Agreement, all Lenders) as it deems appropriate or it shall
first be indemnified to its satisfaction by the Lenders against any and all liability and expense that may be incurred by it by reason of taking or continuing to take any such action. The Administrative Agent shall in all cases be fully protected in
acting, or in refraining from acting, under this Agreement and the other Credit Documents in accordance with a request of the Required Lenders (or, if so specified by this Agreement, all Lenders), and such request and any action taken or failure to
act pursuant thereto shall be binding upon all the Lenders and all future holders of the Loans. 
 11.5. Notice of Default. The
Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default unless the Administrative Agent has received notice from a Lender or the Borrower referring to this Agreement, describing such
Default or Event of Default and stating that such notice is a “notice of default”. In the event that the Administrative Agent receives such a notice, the Administrative Agent shall give notice thereof to the Lenders. The Administrative
Agent shall take such action with respect to such Default or Event of Default as shall be reasonably directed by the Required Lenders (or, if so specified by this Agreement, all Lenders); provided that unless and until the Administrative
Agent shall have received such directions, the Administrative Agent may (but shall not be obligated to) take such action, or refrain from taking such action, with respect to such Default or Event of Default as it shall deem advisable in the best
interests of the Lenders. 
 11.6. Non-Reliance on Administrative Agent and Other Lenders. Each Lender expressly acknowledges that
neither the Administrative Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or affiliates have made any representations or warranties to it and that no act by the Administrative Agent hereinafter taken, including any
review of the affairs of the Borrower or any Subsidiary, shall be deemed to constitute any representation or warranty by the Administrative Agent to any Lender. Each Lender represents to the Administrative Agent that it has, independently and
without reliance upon the Administrative Agent or any other Lender, and based on such documents and information as it has deemed appropriate, made its own appraisal of and investigation into the business, assets, operations, property, financial and
other conditions, prospects and creditworthiness of the Borrower and its Subsidiaries and made its own decision to make its Loans hereunder and enter into this Agreement. Each Lender also represents that it will, independently and without reliance
upon the Administrative Agent or any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit analysis, appraisals and decisions in taking or not taking action under this
Agreement, and to make such investigation as it deems necessary to inform itself as to the business, assets, operations, property, financial and other conditions, prospects and creditworthiness of the Borrower and its Subsidiaries. The
Administrative Agent shall not have any duty or responsibility to provide any Lender with any credit or other information concerning the business, operations, assets, property, financial and other conditions, prospects or creditworthiness of the
Borrower or any Subsidiary which may come into the possession of the Administrative Agent or any of its officers, directors, employees, agents, attorneys-in-fact or affiliates. 

11.7. Indemnification. The Lenders agree to indemnify the Administrative Agent and its affiliates and their respective officers,
directors, employees, affiliates, agents, advisors and controlling persons (each, an “Agent Indemnitee”) (to the extent not reimbursed by the Borrower and without 

  
 76 

 
limiting the obligation of the Borrower to do so), ratably according to their respective Revolving Percentages in effect on the date on which indemnification is sought under this Section (or, if
indemnification is sought after the date upon which the Commitments shall have terminated and the Loans shall have been paid in full, ratably in accordance with such Aggregate Exposure Percentages immediately prior to such date), from and against
any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind whatsoever that may at any time (whether before or after the payment of the Loans) be imposed on, incurred by
or asserted against such Agent Indemnitee in any way relating to or arising out of, the Commitments, this Agreement, any of the other Credit Documents or any documents contemplated by or referred to herein or therein or the transactions contemplated
hereby or thereby or any action taken or omitted by such Agent Indemnitee under or in connection with any of the foregoing; provided that no Lender shall be liable for the payment of any portion of such liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements that are found by a final and nonappealable decision of a court of competent jurisdiction to have resulted from such Agent Indemnitee’s gross negligence or willful
misconduct. The agreements in this Section shall survive the termination of this Agreement and the payment of the Loans and all other amounts payable hereunder. 

11.8. The Administrative Agent in Its Individual Capacity. The Administrative Agent and its affiliates may make loans to, accept
deposits from and generally engage in any kind of business with the Borrower and its Subsidiaries as though the Administrative Agent were not the Administrative Agent hereunder. With respect to the Loans made by it and all Obligations owing to it,
the Administrative Agent shall have the same rights and powers under this Agreement as any Lender and may exercise the same as though it were not the Administrative Agent, and the terms “Lender” and “Lenders” shall include the
Administrative Agent in their individual capacity. 
 11.9. Successor Administrative Agent. The Administrative Agent may resign as
Administrative Agent upon 10 days’ notice to the Lenders and the Borrower. If the Administrative Agent shall resign as Administrative Agent under this Agreement and the other Credit Documents, then the Required Lenders shall appoint from among
the Lenders a successor agent for the Lenders, which successor agent shall (unless an Event of Default under Section 9(a) or Section 9(f) with respect to the Borrower shall have occurred and be continuing) be subject to approval by the
Borrower (which approval shall not be unreasonably withheld or delayed), whereupon such successor agent shall succeed to the rights, powers and duties of the Administrative Agent, and the term “Administrative Agent” shall mean such
successor agent effective upon such appointment and approval, and the former Administrative Agent’s rights, powers and duties as Administrative Agent shall be terminated, without any other or further act or deed on the part of such former
Administrative Agent or any of the parties to this Agreement or any holders of the Loans. If no successor agent has accepted appointment as Administrative Agent by the date that is 10 days following a retiring Administrative Agent’s notice of
resignation, the retiring Administrative Agent’s resignation shall nevertheless thereupon become effective, and the Lenders shall assume and perform all of the duties of the Administrative Agent hereunder until such time, if any, as the
Required Lenders appoint a successor agent as provided for above. After any retiring Administrative Agent’s resignation as Administrative Agent, the provisions of this Section 11.9 and of Section 12.1 shall continue to inure to its
benefit. 
 11.10. Arranger. The Arranger shall have no duties or responsibilities hereunder in their respective capacities as such.

 11.11. Credit Bidding. In each case, subject to the provisions of the Collateral Agency Agreement, the Lenders hereby irrevocably
authorize the Administrative Agent, at the direction of the Required Lenders, to credit bid all or any portion of the Obligations (including accepting some or all of the Collateral in satisfaction of some or all of the Obligations pursuant to a deed
in lieu of foreclosure or 

  
 77 

 
otherwise) and in such manner purchase (either directly or through one or more acquisition vehicles) all or any portion of the Collateral (a) at any sale thereof conducted under the
provisions of the Bankruptcy Code of the United States, including under Sections 363, 1123 or 1129 of the Bankruptcy Code of the United States, or any similar Laws in any other jurisdictions to which a Loan Party is subject, (b) at any other
sale or foreclosure or acceptance of collateral in lieu of debt conducted by (or with the consent or at the direction of) the Administrative Agent (whether by judicial action or otherwise) in accordance with any applicable Law. In connection with
any such credit bid and purchase, the Obligations owed to the Secured Parties shall be entitled to be, and shall be, credit bid on a ratable basis (with Obligations with respect to contingent or unliquidated claims receiving contingent interests in
the acquired assets on a ratable basis that would vest upon the liquidation of such claims in an amount proportional to the liquidated portion of the contingent claim amount used in allocating the contingent interests) in the asset or assets so
purchased (or in the Capital Stock or debt instruments of the acquisition vehicle or vehicles that are used to consummate such purchase). In connection with any such bid (i) the Administrative Agent shall be authorized to form one or more
acquisition vehicles to make a bid, (ii) to adopt documents providing for the governance of the acquisition vehicle or vehicles (provided that any actions by the Administrative Agent with respect to such acquisition vehicle or vehicles,
including any disposition of the assets or Capital Stock thereof shall be governed, directly or indirectly, by the vote of the Required Lenders, irrespective of the termination of this Agreement and without giving effect to the limitations on
actions by the Required Lenders contained in clauses (a) through (g) of Section 12.12 of this Agreement), (iii) the Administrative Agent shall be authorized to assign the relevant Obligations to any such acquisition vehicle pro
rata by the Lenders, as a result of which each of the Lenders shall be deemed to have received a pro rata portion of any Capital Stock and/or debt instruments issued by such an acquisition vehicle on account of the assignment of the Obligations to
be credit bid, all without the need for any Secured Party or acquisition vehicle to take any further action, and (iv) to the extent that Obligations that are assigned to an acquisition vehicle are not used to acquire Collateral for any reason
(as a result of another bid being higher or better, because the amount of Obligations assigned to the acquisition vehicle exceeds the amount of debt credit bid by the acquisition vehicle or otherwise), such Obligations shall automatically be
reassigned to the Lenders pro rata and the Capital Stock and/or debt instruments issued by any acquisition vehicle on account of the Obligations that had been assigned to the acquisition vehicle shall automatically be cancelled, without the need for
any Secured Party or any acquisition vehicle to take any further action. 
 SECTION 12 MISCELLANEOUS. 

12.1. Payment of Expenses, etc. The Borrower agrees to: (i) pay all reasonable out-of-pocket costs and expenses of the
Administrative Agent and Arranger in connection with the syndication of the facilities, negotiation, preparation, execution and delivery of the Credit Documents and the documents and instruments referred to therein and any amendment, waiver or
consent relating thereto (including, without limitation, the reasonable fees and disbursements of Simpson Thacher & Bartlett LLP, counsel to the Administrative Agent and the Arranger); (ii) pay all reasonable out-of-pocket costs and
expenses of the Administrative Agent, the Arranger and each of the Lenders in connection with the enforcement (including pursuant to the administration of any bankruptcy proceeding relating to the Borrower) or preservation of any rights under the
Credit Documents and the documents and instruments referred to therein (including, without limitation, the reasonable fees and disbursements of counsel for the Administrative Agent, the Issuing Lender and for each of the Lenders);
(iii) indemnify the Administrative Agent, each Lender, the Issuing Lender, any of their respective Affiliates and its respective officers, directors, employees, advisors, trustees, representatives and agents (collectively, the
“Indemnitees”) from and hold each of them harmless against any and all losses, costs, liabilities, claims, damages or expenses, including without limitation, those incurred under Environmental Law, incurred by any of them relating
in any way to any Loan, Credit Document, Letter of Credit, or any transaction contemplated under any Credit Document including, without limitation, any and all losses, costs, liabilities, claims, damages or 

  
 78 

 
expenses as a result of, or arising out of, or in any way related to, or by reason of, any investigation, litigation or other proceeding (whether or not any Lender or the Issuing Lender is a
party thereto and whether or not such investigation, litigation or other proceeding is brought by the Borrower, any Loan Party or any other Person) related to the entering into and/or performance of any Credit Document or the use of the proceeds of
any Loans or Letters of Credit hereunder, the consummation of any transactions contemplated in any Credit Document, including, without limitation, the reasonable fees, charges and disbursements of counsel incurred in connection with any such
investigation, litigation or other proceeding (but excluding any such losses, costs, liabilities, claims, damages or expenses to the extent incurred by reason of the gross negligence or willful misconduct, found by a final and nonappealable decision
of a court of competent jurisdiction, of the Person to be indemnified or of any other Indemnitee who is such Person or an affiliate, agent or representative of such Person). No Indemnitee shall be liable for any indirect, special, exemplary,
punitive or consequential damages in connection with this Agreement or the other Credit Documents or the transactions contemplated hereby or thereby. Section 12.1(iii) shall not apply with respect to Taxes other than any Taxes that represent
losses or damages arising from any non-Tax claim. No Indemnitee shall be liable for any damages arising from the use of unintended recipients of any information or other materials distributed by it through telecommunications, electronic or other
information transmission systems in connection with this Agreement or the other Credit Documents or the transactions contemplated hereby or thereby other than for direct or actual damages resulting from the gross negligence or willful misconduct of
such Indemnitee as determined by a final and nonappealable judgment of a court of competent jurisdiction. 
 12.2. Right of
Setoff. In addition to any rights now or hereafter granted under Applicable Law or otherwise, and not by way of limitation of any such rights, during the continuance of an Event of Default, the Administrative Agent and each Lender is hereby
authorized at any time or from time to time, without presentment, demand, protest or other notice of any kind to any Loan Party or to any other Person, any such notice being hereby expressly waived, to set off and to appropriate and apply any and
all deposits (general or special) and any liabilities at any time held or owing by the Administrative Agent or such Lender (including, without limitation, by branches and agencies of the Administrative Agent or such Lender wherever located) to or
for the credit or the account of any Loan Party against and on account of the Obligations and liabilities of such Loan Party then due and payable to the Administrative Agent or such Lender under this Agreement or under any of the other Credit
Documents, including, without limitation, all interests in Obligations of such Loan Party purchased by such Lender pursuant to Section 12.4, and all other claims of any nature or description then due and payable arising out of or connected with
this Agreement or any other Credit Document, irrespective of whether or not the Administrative Agent or such Lender shall have made any demand hereunder and although said deposits or liabilities owing by the Administrative Agent or such Lender, or
any of them, shall be contingent or unmatured. Each Lender hereby agrees to hold any such setoff or appropriation amounts to the extent constituting Collateral under the Collateral Agency Agreement or proceeds thereof in trust for the Administrative
Agent to be turned over to the Collateral Agent to be applied in accordance with the terms of the Collateral Agency Agreement. 
 12.3.
Notices. (a) Except as otherwise expressly provided herein, all notices and other communications provided for hereunder shall be in writing (including telecopier or email communication) and mailed, telecopied or delivered, if to the
Borrower, at the address specified opposite its signature below; if to any Lender, at its address specified in the administrative questionnaire; or, at such other address as shall be designated by any party in a written notice to the other parties
hereto. All such notices and communications shall be mailed, telecopied or (subject to Section 12.3(b)) electronically communicated or sent by overnight courier, and shall be effective when received. 

  
 79 

 (b) Notices and other communications to the Administrative Agent and the Lenders hereunder may be
delivered or furnished by electronic communications pursuant to procedures approved by the Administrative Agent; provided that the foregoing shall not apply to notices pursuant to Section 1 unless otherwise agreed by the Administrative
Agent and the applicable Lender. The Administrative Agent or the Borrower may, in its discretion, agree to accept notices and other communications to it hereunder by electronic communications pursuant to procedures approved by it; provided
that approval of such procedures may be limited to particular notices or communications. 
 12.4. Benefit of Agreement. (a) This
Agreement shall be binding upon and inure to the benefit of and be enforceable by the respective successors and assigns of the parties hereto, provided that the Borrower may not assign or transfer any of its rights or obligations hereunder without
the prior written consent of all the Lenders. Each Lender may, in accordance with Applicable Law, at any time grant participations in any of its rights hereunder or under any of the Promissory Notes to another financial institution, provided that in
the case of any such participation, the participant shall not have any rights under this Agreement or any of the other Credit Documents (the participant’s rights against such Lender in respect of such participation to be those set forth in the
agreement executed by such Lender in favor of the participant relating thereto) and all amounts payable by the Borrower hereunder shall be determined as if such Lender had not sold such participation, except that the participant shall be entitled to
the benefits of Sections 1.12, 1.14 and 4.3 of this Agreement (subject to the requirements and limitations therein, including the requirements under Section 4.3(f) (it being understood that the documentation required under
Section 4.3(f) shall be delivered to the participating Lender)) to the same extent as if it were a Lender and had acquired its interest by assignment pursuant to paragraph (b) of this section; provided that such participant (i) agrees
to be subject to the provisions of Sections 1.12, 1.14 and 4.3 as if it were an assignee under paragraph (b) of this Section and (ii) shall not be entitled to receive any greater payment under Sections 1.12, 1.14 and 4.3, with respect to
any participation, than its participating Lender would have been entitled to receive, except to the extent such entitlement to receive a greater payment results from an adoption of or any change in any Requirement of Law or in the interpretation or
application thereof or compliance by any Lender with any request or directive (whether or not having the force of law) from any central bank or other Governmental Authority made subsequent to the date hereof that occurs after the participant
acquired the applicable participation. Each Lender that sells a participation agrees, at the Borrower’s request and expense, to use reasonable efforts to cooperate with the Borrower to effectuate the provisions of Section 1.15 with respect
to any participant. The participant shall, to the maximum extent permitted by Applicable Law, be deemed to have the right of setoff in respect of its participation in amounts owing under this Agreement to the same extent as if the amount of its
participation were owing directly to it as a Lender under this Agreement provided that, in purchasing such participation, such participant shall be deemed to have agreed to share with the Lenders the proceeds thereof as provided in
Section 12.6(b) as fully as if it were a Lender hereunder, and, provided, further, that no Lender shall transfer, grant or assign any participation under which the participant shall have rights to approve any amendment to or waiver of this
Agreement or any other Credit Document except to the extent such amendment or waiver would (i) extend the final scheduled maturity of any Loan or Promissory Note in which such participant is participating, or reduce the rate or extend the time
of payment of interest or Fees thereon (except in connection with a waiver of the applicability of any post-default increase in interest rates), or reduce the principal amount thereof, or increase such participant’s participating interest in
any Commitment over the amount thereof then in effect (it being understood that a waiver of any Default or Event of Default or of a mandatory reduction in the Total Revolving Commitment, or a mandatory prepayment, shall not constitute a change in
the terms of any Commitment), (ii) release all or substantially all of the Collateral except in accordance with the Credit Documents or (iii) consent to the assignment or transfer by the Borrower of any of its rights and obligations under
this Agreement or any other Credit Document. Each Lender that sells a participation shall, acting solely for this purpose as a nonfiduciary agent of the Borrower, maintain a register on which it enters the name and address of each participant and
the 

  
 80 

 
principal amounts (and stated interest) of each participant’s interest in the Loans or other obligations under the Credit Documents (the “Participant Register”); provided
that no Lender shall have any obligation to disclose all or any portion of the Participant Register to any Person (including the identity of any participant or any information relating to a participant’s interest in any Commitments, Loans,
Letters of Credit or its other obligations under any Credit Document) except to the extent that such disclosure is necessary to establish that such Commitment, Loan, Letter of Credit or other obligation is in registered form under
Section 5f.103-1(c) of the United States Treasury Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and such Lender shall treat each Person whose name is recorded in the Participant Register as the
owner of such participation for all purposes of this Agreement notwithstanding any notice to the contrary. For the avoidance of doubt, the Administrative Agent (in its capacity as Administrative Agent) shall have no responsibility for maintaining a
Participant Register. 
 (b) Notwithstanding the foregoing, in accordance with Applicable Law at any time and from time to time, any Lender
may assign all or a portion of its Loans and/or Commitments and its rights and obligations under this Agreement to one or more other Persons with the prior written consent (such consent not to be unreasonably withheld or delayed) of: 

(i) the Borrower, provided that, no consent of the Borrower shall be required in either case for an assignment to a
Lender, an Affiliate of a Lender or, if an Event of Default under Section 9(a), 9(b), 9(j) or 9(k) has occurred and is continuing, any other assignee; 

(ii) the Administrative Agent, provided that no consent of the Administrative Agent shall be required for an assignment of any
Revolving Commitment to an assignee that is a Lender with a Revolving Commitment immediately prior to giving effect to such assignment; and 

(iii) in the case of any assignment of any Revolving Commitment only, the Issuing Lender (such consent not to be reasonably
withheld or delayed); 
 and, provided further, that no such assignment shall be made (A) to the Borrower or any of the
Borrower’s Affiliates or Subsidiaries (including, without limitation, any Hunt Family Member), (B) to any Defaulting Lender or any of its Subsidiaries, or any Person who, upon becoming a Lender hereunder, would constitute any of the
foregoing Persons described in this clause (B), or (C) to a natural Person. 
 Any assignment pursuant to this Section 12.4(b)
need not be ratable as among the Revolving Commitments of the assigning Lender. Unless the Borrower and the Administrative Agent otherwise agree, no assignment pursuant to this Section 12.4(b) shall, to the extent such assignment represents an
assignment to an institution other than one or more Lenders hereunder, be in an aggregate amount less than $5,000,000 unless the entire Commitment and Loans and other interests of the assigning Lender are so assigned. If any Lender so sells or
assigns all or a part of its interests hereunder or under the Promissory Notes, any reference in this Agreement or the Promissory Notes to such assigning Lender shall thereafter refer to such Lender and to the respective assignee to the extent of
their respective interests, and the assignee shall have, to the extent of such assignment (unless otherwise provided therein), the same rights and benefits as it would if it were such assigning Lender and the assignee shall be treated as a Lender
and a party to this Agreement. Each assignment pursuant to this Section 12.4(b) shall be effected by the assigning Lender and the assignee Lender executing an Assignment Agreement substantially in the form of Exhibit A (appropriately
completed), subject to acceptance and recording thereof by the Administrative Agent. In the event of any such assignment to a Person not previously a Lender hereunder, either the assigning or the assignee Lender shall pay to the Administrative Agent
a nonrefundable assignment fee of $3,500 which may, in the Administrative Agent’s sole discretion, be 

  
 81 

 
waived (and shall deliver any information, to be provided by the assignee, requested by the Administrative Agent), and at the time of any assignment pursuant to this Section 12.4(b),
(i) Annex 1.1A shall be deemed to be amended to reflect the Commitment of the respective assignee (which shall result in a direct reduction to the Commitment of the assigning Lender) and of the other Lenders, and (ii) if any such
assignment occurs after the Restatement Date, the Borrower will, if requested by the assignee or assignor, issue new Promissory Notes to the respective assignee and, if applicable, to the assigning Lender. Each Lender and the Borrower agree to
execute such documents (including, without limitation, amendments to this Agreement) as shall be necessary to effect the foregoing. Nothing in this clause (b) shall prevent or prohibit any Lender from pledging its Promissory Notes or Loans,
including, without limitation, to a Federal Reserve Bank in support of borrowings made by such Lender from such Federal Reserve Bank. 
 (c)
The Administrative Agent acting on behalf of the Borrower shall maintain at one of its offices a copy of each Assignment Agreement delivered to it (as required hereby) and a register (the “Register”) for the recordation of the names
and addresses of the Lenders and the Commitment of, and principal amount (and stated interest) of the Loans owing to, each Lender from time to time (whether or not evidenced by a Promissory Note). The entries in the Register shall be conclusive, in
the absence of manifest error, and the Borrower, the Administrative Agent and the Lenders may treat each Person whose name is recorded in the Register as the owner of the Loan recorded therein for all purposes of this Agreement, notwithstanding any
notice to the contrary. Any assignment of any Loan whether or not evidenced by a Promissory Note shall be effective only upon appropriate entries with respect thereto being made in the Register (and each Promissory Note shall expressly so provide).
The Register shall be available for inspection by the Borrower or any Lender at any reasonable time and from time to time upon reasonable prior notice. 

(d) Any Lender may at any time pledge or assign a security interest in all or any portion of its rights under this Agreement (including under
a note, if any) to secure obligations of such Lender, including any pledge or assignment to secure obligations to a Federal Reserve Bank; provided that no such pledge or assignment shall release such Lender from any of its obligations
hereunder or substitute any such pledgee or assignee for such Lender as a party hereto. 
 12.5. No Waiver; Remedies
Cumulative. No failure or delay on the part of the Administrative Agent or any Lender in exercising any right, power or privilege hereunder or under any other Credit Document and no course of dealing between any Loan Party and the
Administrative Agent or any Lender shall operate as a waiver thereof; nor shall any single or partial exercise of any right, power or privilege hereunder or under any other Credit Document preclude any other or further exercise thereof or the
exercise of any other right, power or privilege hereunder or thereunder. The rights and remedies herein expressly provided are cumulative and not exclusive of any rights or remedies which the Administrative Agent or any Lender would otherwise have.
No notice to or demand on any Loan Party in any case shall entitle any Loan Party to any other or further notice or demand in similar or other circumstances or constitute a waiver of the rights of the Administrative Agent or the Lenders to any other
or further action in any circumstances without notice or demand. 
 12.6. Payments Pro Rata. (a) The Administrative Agent
agrees that promptly after its receipt of each payment from or on behalf of any Loan Party in respect of any Obligations of such Loan Party hereunder, it shall distribute such payment to the Lenders (other than any Lender that has expressly waived
its right to receive its pro rata share thereof) pro rata based upon their respective shares, if any, of the Obligations with respect to which such payment was received. 

(b) Each of the Lenders agrees that, if it should receive any amount hereunder (whether by voluntary payment, by realization upon security, by
the exercise of the right of setoff or 

  
 82 

 
banker’s lien, by counterclaim or cross action, by the enforcement of any right under the Credit Documents, or otherwise but excluding any amounts received pursuant to Section 1.15 or
12.4) which is applicable to the payment of the principal of, or interest on, the Loans, Fees or reimbursement obligations in respect of the Letters of Credit, of a sum which with respect to the related sum or sums received by other Lenders is in a
greater proportion than the total of such Obligation then owed and due to such Lender bears to the total of such Obligation then owed and due to all of the Lenders immediately prior to such receipt, then such Lender receiving such excess payment
shall purchase for cash without recourse or warranty from the other Lenders an interest in the Obligations of the respective Loan Party to such Lenders in such amount as shall result in a proportional participation by all of the Lenders in such
amount, provided that if all or any portion of such excess amount is thereafter recovered from such Lender, such purchase shall be rescinded and the purchase price restored to the extent of such recovery, but without interest. 

12.7. Calculations; Computations. The financial statements to be furnished to the Lenders pursuant hereto shall be made and
prepared in accordance with GAAP consistently applied throughout the periods involved (except for the absence of notes and normal year-end adjustments in the case of unaudited financial statements and except as set forth in the notes thereto or as
otherwise disclosed in writing by the Borrower to the Lenders), provided that, except as otherwise specifically provided herein, all computations determining compliance with Section 8, including definitions used therein, shall utilize
accounting principles and policies in effect at the time of the preparation of, and in conformity with those used to prepare, the December 31, 2013 historical financial statements of the Borrower delivered to the Administrative Agent pursuant
to Section 6.5. 
 12.8. Governing Law; Submission to Jurisdiction; Venue; Waiver of Jury Trial. (a) THIS AGREEMENT
AND THE OTHER CREDIT DOCUMENTS AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER AND THEREUNDER AND ANY CLAIM OR CONTROVERSY RELATED TO THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE STATE OF NEW YORK.
Any legal action or proceeding with respect to this Agreement or any other Credit Documents may be brought in the courts of the State of New York sitting in New York County or of the United States for the Southern District of New York, and, by
execution and delivery of this Agreement, the Borrower hereby irrevocably accepts for itself and in respect of its property, generally and unconditionally, the jurisdiction of the aforesaid courts. The Borrower further irrevocably consents to the
service of process out of any of the aforementioned courts in any such action or proceeding by the mailing of copies thereof by registered or certified mail, postage prepaid, to it at its address for notices pursuant to Section 12.3, such
service to become effective 30 days after such mailing. Nothing herein shall affect the right of the Administrative Agent or any Lender to serve process in any other manner permitted by law or to commence legal proceedings or otherwise proceed
against any Loan Party in any other jurisdiction. 
 (b) The Borrower hereby irrevocably waives any objection which it may now or hereafter
have to the laying of venue of any of the aforesaid actions or proceedings arising out of or in connection with this Agreement or any other Credit Document brought in the courts referred to in clause (a) above and hereby further irrevocably
waives and agrees not to plead or claim in any such court that any such action or proceeding brought in any such court has been brought in an inconvenient forum. 

(c) EACH OF THE PARTIES TO THIS AGREEMENT HEREBY IRREVOCABLY WAIVES ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM
ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE OTHER CREDIT DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. 
 (d) The
Borrower hereby irrevocably waives, to the maximum extent not prohibited by law, any right it may have to claim or recover in any legal action or proceeding referred to in this Section any indirect, special, exemplary, punitive or consequential
damages. 

  
 83 

 12.9. USA PATRIOT Act. Each Lender, which is subject to Section 326 of the USA
PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Act”), hereby notifies the Borrower that, pursuant to the requirements of the Act, it is required to obtain, verify and record information that
identifies the Borrower, which information includes the name and address of the Borrower and other information that will allow such Lender to identify the Borrower in accordance with the Act. 

12.10. Counterparts. This Agreement may be executed in any number of counterparts and by the different parties hereto on separate
counterparts, each of which when so executed and delivered shall be an original, but all of which shall together constitute one and the same instrument. A set of counterparts executed by all the parties hereto shall be lodged with the Borrower and
the Administrative Agent. Delivery of an executed counterpart of a signature page of this Agreement by telecopy or electronic transmission shall be effective as delivery of a manually executed counterpart of this Agreement. 

12.11. Headings. The headings of the several sections and subsections of this Agreement are inserted for convenience only and
shall not in any way affect the meaning or construction of any provision of this Agreement. 
 12.12. Amendment or
Waiver. Neither this Agreement, any other Credit Document, nor any terms hereof or thereof may be amended or modified except in accordance with the provisions of this Section 12.12. The Required Lenders (or, with the written consent of
the Required Lenders, the Administrative Agent) and each Loan Party party to the relevant Credit Document may, from time to time (i) enter into written amendments, supplements or modifications hereto and to the other Credit Documents for the
purpose of adding any provisions to this Agreement or the other Credit Documents or changing in any manner the rights of the Lenders or of the Loan Parties hereunder or thereunder; provided that with respect to any amendment or supplement that
adversely affects the Collateral Agent, the written consent of the Collateral Agent shall be required and with respect to any amendment or supplement that adversely affects the Issuing Lender or Swingline Lender, the written consent of the Issuing
Lender or the Swingline Lender, as applicable, shall be required or (ii) waive, on such terms and conditions as the Required Lenders or the Administrative Agent, as the case may be, may specify in such instrument, any of the requirements of
this Agreement or the other Credit Documents or any Default or Event of Default and its consequences; provided, however, that no such waiver and no such amendment, supplement or modification shall: 

(a) extend the final scheduled date of maturity of any Loan, reduce the principal, stated rate of any interest or fee payable hereunder
(except in connection with the waiver of applicability of any post-default increase in interest rates (which waiver shall be effective with the consent of the Required Lenders)), or extend the scheduled date of any payment thereof, or increase the
amount or extend the expiration date of any Lender’s Commitment, in each case without the consent of each Lender directly affected thereby; 

(b) eliminate or reduce the voting rights of any Lender under this Section 12.12 without the written consent of such Lender; 

  
 84 

 (c) release all or substantially all of the Subsidiary Guarantors or all or substantially all of
the Collateral in any transaction or series of related transactions without the consent of each Lender; 
 (d) consent to the assignment or
transfer by the Borrower of any of its rights and obligations under this Agreement and the other Credit Documents; 
 (e) amend, modify or
waive any provision affecting the rights or duties of an Issuing Lender or Swingline Lender hereunder without the written consent of the Issuing Lender or Swingline Lender, as relevant; 

(f) change any provision of this Section or the definition of “Required Lenders” or any other provision hereof specifying the number
or percentage of Lenders required to amend, waive or otherwise modify any rights hereunder or make any determination or grant any consent hereunder, without the written consent of each Lender; 

(g) amend, modify or waive any provision of Section 1.11 or Section 12.6 without the written consent of each Lender; or 

(h) amend, modify or waive any provision of Article 11 or any other provision of any Credit Document that affects the Administrative Agent
without the written consent of the Administrative Agent. 
 Notwithstanding anything to the contrary contained in this Section 12.12,
(i) any Credit Document, this Agreement or any related document may be amended, supplemented or waived with the consent of the Administrative Agent at the request of the Borrower without the need to obtain the consent of any other Lender if
such amendment, supplement or waiver is delivered in order (x) to comply with local law or advice of local counsel, (y) to cure ambiguities, omissions, mistakes or defects or (z) to cause such Credit Document or other document to be
consistent with this Agreement and the other Credit Documents, (ii) the Administrative Agent may direct the Collateral Agent to (x) release any Subsidiary Guarantor from its Guaranty of the Obligations if, in compliance with this
Agreement, such Subsidiary Guarantor ceases to be a Wholly-Owned Subsidiary or becomes a Foreign Subsidiary, a Project Finance Subsidiary or any other Subsidiary that is prohibited from providing a Guaranty of the Obligations by any Applicable Law
and (y) release the liens on or security interests in any Collateral that is sold, transferred, or otherwise disposed of in accordance with this Agreement and (iii) the Credit Parties hereto hereby direct the Collateral Agent, upon the
completion of the FERC Merger, to terminate the Pledge Agreement (FERC) and the Negative Pledge Agreement. 
 12.13.
Survival. All indemnities set forth herein including, without limitation, in Section 1.14, 4.3 or 12.1 shall survive the execution and delivery of this Agreement and the making and repayment or assignment of the Loans. 

12.14. Domicile of Loans. Each Lender may transfer and carry its Loans at, to or for the account of any branch office, subsidiary
or affiliate of such Lender, provided that the Borrower shall not be responsible for costs arising under Sections 1.12 or 1.14 resulting from any such transfer to the extent not otherwise applicable to such Lender prior to such transfer. 

12.15. Confidentiality. The Administrative Agent and each Lender agrees to keep confidential all non-public information provided
to it by any Loan Party pursuant to this Agreement that is designated by such Loan Party as confidential; provided that nothing herein shall prevent the Administrative Agent or any Lender from disclosing any such information (a) to the
Administrative 

  
 85 

 
Agent, any other Lender or, subject to an agreement to comply with the provisions of this Section, any Lender Affiliate (b) subject to an agreement to comply with the provisions of this
Section, to any assignee or participant or prospective assignee or participant or any actual or prospective direct or indirect counterparty to any Specified Swap Contracts or Specified Cash Management Contracts (or any professional advisor to such
counterparty), (c) on a need-to-know basis, to its employees involved in the administration of this Agreement or any other Credit Document, directors, agents, attorneys, accountants, consultants and other professional advisors or those of any
of its Affiliates (each of whom shall be instructed to hold the same in confidence), (d) upon the request or demand of any Governmental Entity having jurisdiction over such Lender, (e) in response to any order of any court or other
Governmental Entity or as may otherwise be required pursuant to any Requirement of Law, (f) that has been publicly disclosed other than in breach of this Agreement, or becomes available to the Administrative Agent, any Lender, the Issuing
Lender or any of their respective Affiliates on a nonconfidential basis from a source other than the Borrower, (g) to the National Association of Insurance Commissioners or any similar organization or any nationally recognized rating agency
that requires access to information about a Lender’s investment portfolio in connection with ratings issued with respect to such Lender, (h) in connection with the exercise of any remedy hereunder or under any other Credit Document,
(i) subject to an agreement to comply with the provisions of this Section, any actual or prospective party (or its related parties) to any swap, derivative or other transaction under which payments are to be made by reference to the Borrower
and its obligations, this Agreement or payments hereunder, or (j) on a confidential basis to (i) any rating agency in connection with rating the Borrower or its Subsidiaries or the credit facilities provided hereunder or (ii) the
CUSIP Service Bureau or any similar agency in connection with the issuance and monitoring of CUSIP numbers or other market identifiers with respect to the credit facilities provided hereunder. For purposes of this Section, “information”
means all information received from the Borrower or any Subsidiary relating to the Borrower or any Subsidiary or any of their respective businesses, other than any such information that is available to the Administrative Agent, any Lender or the
Issuing Lender on a nonconfidential basis prior to disclosure by the Borrower or any Subsidiary, provided that, in the case of information received from the Borrower or any Subsidiary after the date hereof, such information is not designated
as “Public Side Information” or is clearly identified at the time of delivery as confidential. Any Person required to maintain the confidentiality of information as provided in this Section shall be considered to have complied with its
obligation to do so if such Person has exercised the same degree of care to maintain the confidentiality of such Information as such Person would accord to its own confidential information. 

12.16. Integration. This Agreement and the other Credit Documents represent the agreement of the Borrower, the other Loan Parties,
the Administrative Agent and the other Credit Parties with respect to the subject matter hereof, and there are no promises, undertakings, representations or warranties by the Borrower, any of its Affiliates, the Administrative Agent or any Lender
relative to the subject matter hereof not expressly set forth or referred to herein or in the other Credit Documents. 
 12.17.
Acknowledgments. The Borrower hereby acknowledges that: 
 (a) it has been advised by counsel in the negotiation, execution and
delivery of this Agreement and the other Credit Documents; 
 (b) neither the Administrative Agent nor any Lender has any fiduciary
relationship with or duty to the Borrower arising out of or in connection with this Agreement or any of the other Credit Documents, and the relationship between the Administrative Agent and Lenders, on one hand, and the Borrower, on the other hand,
in connection herewith or therewith is solely that of debtor and creditor; and 
 (c) no joint venture is created hereby or by the other
Credit Documents or otherwise exists by virtue of the transactions contemplated hereby among the Lenders or among the Borrower and the Lenders. 

  
 86 

 12.18. Severability. If any provision of this Agreement or the other Credit Documents is
held to be illegal, invalid or unenforceable, (a) the legality, validity and enforceability of the remaining provisions of this Agreement and the other Credit Documents shall not be affected or impaired thereby and (b) the parties shall
endeavor in good faith negotiations to replace the illegal, invalid or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the illegal, invalid or unenforceable provisions. The invalidity
of a provision in a particular jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. Without limiting the foregoing provisions of this Section 12.18, if and to the extent that the enforceability of
any provisions in this Agreement relating to Defaulting Lenders shall be limited by Bankruptcy Event, as determined in good faith by the Administrative Agent or the Issuing Lender, then such provisions shall be deemed to be in effect only to the
extent not so limited. 
 12.19. Amendment and Restatement. This Agreement amends and restates the Original Credit Agreement. All
indebtedness, obligations, liabilities and liens created by the Original Credit Agreement and the Credit Documents referred to therein owing to Lenders under this Agreement shall continue unimpaired and in full force and effect, as amended and
described in this Agreement and the other Credit Documents. All references made to the Original Credit Agreement in any Credit Document or in any other instrument or document shall, without more, be deemed to refer to this Agreement. This Agreement
amends and restates the Original Credit Agreement and is not intended to be or operate as a novation or an accord and satisfaction of the Original Credit Agreement or the indebtedness, obligations and liabilities of the Borrower or any Loan Party
evidenced or provided for thereunder. 
 [signature page follows] 

  
 87 

 IN WITNESS WHEREOF, each of the parties hereto has caused a counterpart of this Agreement to be
duly executed and delivered as of the date first above written. 
  

							
	Address:	 		 		 	
	 1807 Ross Avenue, 4th Floor

Dallas, Texas 75201
	 		 	SHARYLAND DISTRIBUTION & TRANSMISSION SERVICES, L.L.C.
				
	Attention: Brant Meleski	 		 		 	
	E-mail: bmeleski@huntutility.com	 		 		 	
	cc: Greg Imhoff	 		 	By:	 	 /s/ Brant Meleski

		 		 	Name:	 	 Brant Meleski

		 		 	Title:	 	 Senior Vice President and Chief Financial Officer

							
	 Address:
 Royal Bank of Canada

20 King Street West, 4th Floor

Toronto, Ontario M5H 1C4
	 		 	  
 ROYAL BANK OF CANADA, as Administrative Agent

	Attention: Manager, Agency Services Group	 		 		 	
	Email: ann.hurley@rbccm.com	 		 		 	
	Telecopy: 416-842-4023	 		 		 	
		 		 	By:	 	 /s/ Ann Hurley

		 		 	Name:	 	 Ann Hurley

		 		 	Title:	 	 Manager, Agency

				
	with a copy to:	 		 		 	
	  
 RBC Capital Markets
	 		 	ROYAL BANK OF CANADA, as Swingline Lender, Issuing Lender and a Lender
	200 Vesey Street	 		 		 	
	New York, NY 10281	 		 		 	
	Attention: Frank Lambrinos	 		 		 	
	Email: frank.lambrinos@rbccm.com	 		 	By:	 	 /s/ Frank Lambrinos

	Telecopy: 212-428-6270	 		 	Name:	 	 Frank Lambrinos

		 		 	Title:	 	 Authorized Signatory

  
 [Signature Page - SDTS Credit Agreement]

  
 89 

 
					
	AMEGY BANK NA,
	
	as a Lender
		
	By:	 	 /s/ Claire Harrison

		 	Name:	 	 Claire Harrison

		 	Title:	 	 Vice President

  
 [Signature Page - SDTS Credit
Agreement] 

  
 90 

 
					
	BANK OF AMERICA, N.A.,
	
	as a Lender
		
	By:	 	 /s/ Jerry Wells

			
	Name:	 		 	 Jerry Wells

			
	Title:	 		 	 Vice President

  
 [Signature Page - SDTS Credit
Agreement] 

  
 91 

 
					
	CANADIAN IMPERIAL BANK OF COMMERCE, NEW YORK BRANCH,
	as a Lender
		
	By:	 	 /s/ Anju Abraham

		 	Name:	 	 Anju Abraham

		 	Title:	 	 Authorized Signatory

		
	By:	 	 /s/ Robert Casey

		 	Name:	 	 Robert Casey

		 	Title:	 	 Authorized Signatory

  
 [Signature Page - SDTS Credit
Agreement] 

  
 92 

 
					
	CITIBANK, NA.,
	as a Lender
		
	By:	 	 /s/ Sandip Sen

		 	Name:	 	 Sandip Sen

		 	Title:	 	 Vice President

  
 [Signature Page - SDTS Credit
Agreement] 

  
 93 

 
					
	DNB CAPITAL LLC,
	as a Lender
		
	By:	 	 /s/ Einar Gulstad

		 	Name:	 	 Einar Gulstad

		 	Title:	 	 Senior Vice President

		
	By:	 	 /s/ Joe Hykle

		 	Name:	 	 Joe Hykle

		 	Title:	 	 Senior Vice President

  
 [Signature Page - SDTS Credit
Agreement] 

  
 94 

 
					
	MIZUHO BANK, LTD
	as a Lender
		
	By:	 	 /s/ Leon Mo

		 	Name:	 	 Leon Mo

		 	Title:	 	 Authorized Signatory

  
 [Signature Page - SDTS Credit
Agreement] 

  
 95 

 
					
	SOCIETE GENERALE,
	as a Lender
		
	By:	 	 /s/ Yao Wang

		 	Name:	 	 Yao Wang

		 	Title:	 	 Director

  
 [Signature Page - SDTS Credit
Agreement] 

  
 96 

 
					
	THE BANK OF NOVA SCOTIA,
	as a Lender
		
	By:	 	 /s/ Thane Rattew

		 	Name:	 	 Thane Rattew

		 	Title:	 	 Managing Director

 
					
	WELLS FARGO BANK, NATIONAL ASSOCIATION
	as a Lender
		
	By:	 	 /s/ Yann Blindert

		 	Name:	 	 Yann Blindert

		 	Title:	 	 Director

  
 [Signature Page - SDTS Credit
Agreement] 

  
 98 

 
					
	MORGAN STANLEY BANK, N.A.,
	as a Lender
		
	By:	 	 /s/ Michael King

		 	Name:	 	 Michael King

		 	Title:	 	 Authorized Signatory

  
 [Signature Page - SDTS Credit
Agreement] 

  
 99 

 
					
	SUMITOMO MITSUI BANKING CORPORATION,
	as a Lender
		
	By:	 	 /s/ James D. Weinstein

		 	Name:	 	 James D. Weinstein

		 	Title:	 	 Managing Director

  
 [Signature Page - SDTS Credit
Agreement] 

  
 100 

 
					
	UBS AG, STAMFORD BRANCH,
	as a Lender
		
	By:	 	 /s/ Lana Gifas

		 	Name:	 	 Lana Gifas

		 	Title:	 	 Director

		
	By:	 	 /s/ Jennifer Anderson

		 	Name:	 	 Jennifer Anderson

		 	Title:	 	 Associate Director

  
 [Signature Page - SDTS Credit
Agreement] 

  
 101

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00239-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00239-of-00352.parquet"}]]