Document:

EX-10.2

 Exhibit 10.2 

Certain identified confidential information contained in this document, marked by brackets, has been excluded from this exhibit because it is
both (i) not material and (ii) would be competitively harmful if publicly disclosed. 
 Execution Copy

 UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE THE DATE THAT IS 4
MONTHS AND A DAY AFTER THE LATER OF (I) EFFECTIVE DATE, AND (II) THE DATE THE ISSUER BECAME A REPORTING ISSUER IN ANY PROVINCE OR TERRITORY 

THIS DEBENTURE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE
SECURITIES LAW AND MAY NOT BE SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF UNLESS REGISTERED UNDER THE SECURITIES ACT AND UNDER APPLICABLE STATE SECURITIES LAWS OR THE ISSUER SHALL HAVE RECEIVED AN OPINION OF ITS COUNSEL THAT REGISTRATION OF SUCH
SECURITIES UNDER THE SECURITIES ACT AND UNDER THE PROVISIONS OF APPLICABLE STATE SECURITIES LAWS IS NOT REQUIRED. 
 11065220 CANADA
INC. 
 - and - 

UNIVERSAL HEMP, LLC 
 AS
OF SEPTEMBER 23, 2020 
  
  

DEBENTURE 
  

 

 DEBENTURE 

USD$100,000,000            Effective as of September 23,
2020 (the “Effective Date”) 
 ARTICLE ONE 

INTERPRETATION 
  

	1.1	 Definitions. 

As used in this Debenture, including the Schedules hereto (if any), unless otherwise defined or unless the context otherwise requires the
following terms have the following respective meanings: 
  

	(a)	 “90 Day Period” has the meaning ascribed to such term in Section 4.2(a);

  

	(b)	 “Affiliates” means, with respect to any Person, another Person that directly, or indirectly
through one or more intermediaries, Controls or is Controlled by or is under common Control with, such Person; 

  

	(c)	 “Amendment” means by the second amendment to the Arrangement Agreement to be entered into
between the Creditor and the Parent in the form attached as Schedule B to the proposal agreement between the Creditor and the Parent dated September 23, 2020, as may be amended, restated, amended and restated, revised or supplemented from time
to time; 

  

	(d)	 “Anti-Corruption Laws” has the meaning ascribed to such term in Section 3.3(z)(iii);

  

	(e)	 “Applicable Law” means (i) (A) any domestic or foreign statute, law (including common
and civil law), treaty, code, ordinance, rule, regulation or by-law (zoning or otherwise); (B) any judgment, order, writ, injunction, decision, ruling, decree or award; (C) any regulatory policy,
practice, protocol, guideline or directive; or (D) any franchise, licence, qualification, authorization, consent, exemption, waiver, right, permit or other approval, in each case, of any Governmental Authority and having the force of law,
binding on or affecting the Party referred to in the context in which the term is used or binding on or affecting the property of such Party; and (ii) the CSA, and other U.S. federal law the violation of which is predicated upon a violation of
the CSA, and any statute, law, rule or regulation of any applicable state in the United States; in each case as all of the foregoing may exist as of the Effective Date or as may be implemented, revised or modified from time to time after the
Effective Date; 

  

	(f)	 “Arrangement Agreement” means the arrangement agreement between the Creditor and the Parent
dated April 18, 2019, as amended on May 15, 2019, and as further amended by the Amendment; 

  

	(g)	 “Benefit Plan” means any employee benefit plan as defined in Section 3(3) of ERISA
(whether governed by the laws of the United States or otherwise) maintained, sponsored, 

	 	 
or contributed to, or required to be contributed to by the Company or with respect to which any such party otherwise has any liabilities; 

 

	(h)	 “Business” means the business of cultivating, manufacturing, distributing and selling Hemp
in the U.S. in compliance with all Applicable Laws. 

  

	(i)	 “Business Day” means any day of the year, other than a Saturday, Sunday, legal holiday or
any day on which banking institutions are closed in New York, New York or Toronto, Ontario; 

  

	(j)	 “Cannabis” means “marihuana” as defined in 21 U.S.C 802; 

 

	(k)	 “Change of Control” means (i) any Person or group of Persons shall acquire, directly
or indirectly, outstanding equity interests of the Company which have or represent 50% or more of the votes that may be cast to elect the directors of the Company or other Persons charged with the management and direction of the Company,
(ii) any Person or group of Persons shall acquire the power to direct, or cause the direction of, management, business or policies of the Company, whether through the ability to exercise voting power, by contract or otherwise,
(iii) Acreage Holdings Inc. shall cease to indirectly own or control 100% of each class of outstanding equity interests of the Company, (iv) any Person or group of Persons shall succeed in having a sufficient number of nominees elected to
the board of directors of the Company that such nominees, when added to any existing director remaining on the board of directors of the Company after such election who is also a nominee of such Person or group of Persons, will constitute a majority
of the board of directors of the Company, (v) if, at any time, the Company sells or otherwise disposes of all or substantially all of its assets, (vi) the Company amalgamates or otherwise merges its business and property with or into any
other Person if that amalgamation or merger is not otherwise expressly permitted by the other provisions of this Debenture, or (vii) a liquidation, dissolution or winding up of the Company; 

 

	(l)	 “Claim” means any claim or liability of any nature whatsoever, including any demand,
obligation, liability, debt, cause of action, suit, proceeding, judgment, award, assessment or reassessment; 

  

	(m)	 “Code” means the United States Internal Revenue Code of 1986, as amended;

  

	(n)	 “Company” means UNIVERSAL HEMP, LLC, a corporation, limited liability company or
unlimited liability corporation formed under the laws of the State of Delaware, and its successors and permitted assigns (by amalgamation, merger or otherwise); 

 

	(o)	 “Company Intellectual Property” has the meaning ascribed to such term in
Section 3.3(u)(i); 

  

	(p)	 “Compliance Programs” means the Company’s internal compliance programs that
(i) meet or exceed international best practice standards for similar businesses or assets, (ii) are designed to detect and prevent violations of Applicable Law, and (iii) provide for the monitoring and supervision of compliance with
the terms and requirements of such compliance programs; 

  
 - 3 - 

	(q)	 “Confidential Information” means information and intellectual property concerning any
matters affecting or relating to the business, operations, assets, results or prospects of the Parties or any Affiliate thereof, including information regarding plans, budgets, costs, processes and other data, except to the extent that such
information has already been publicly released by a Party as allowed herein or that the Party providing such information can demonstrate was previously publicly released by a Person who did not do so in violation or contravention of any duty or
agreement; 

  

	(r)	 “Control” means, in respect of a particular Person, the possession, directly or indirectly,
of the power to direct or cause the direction of the management or policies of such Person, whether through the ability to exercise voting power, by contract or otherwise. “Controlling” and “Controlled” have
meanings correlative thereto; 

  

	(s)	 “Corporate Records” means the corporate records of the Company, including in each case
(i) all constating documents, articles, by-laws, notice of articles, any shareholders’ agreements and any amendments thereto, and (ii) all minutes of meetings and resolutions of shareholders and
the board of directors (and any committee thereof); 

  

	(t)	 “Creditor” means 11065220 CANADA INC. and its successors and assigns;

  

	(u)	 “CSA” means the Controlled Substances Act of the United States, 21 U.S.C. s. 801 et seq.
(including any implementing regulations and schedules); 

  

	(v)	 “Debenture” means this debenture issued on the date hereof due on the Maturity Date in an
aggregate principal amount of up to $100,000,000, as may be amended, supplemented, otherwise modified, restated or replaced from time to time; 

  

	(w)	 “Debenture Transaction Documents” means, collectively, this Debenture, the Security
Agreements, guarantees from Subsidiaries of the Company (if any) and all other documents executed and delivered to the Creditor relating to or in connection with this Debenture but for certainty excluding the Arrangement Agreement, the Amendment,
the Amended Plan of Arrangement (as defined in the Amendment) and all other documents executed and delivered to the Creditor by the Company or any Affiliate of the Company in connection with the Arrangement Agreement; 

 

	(x)	 “Dollars”, “$” or “USD” means the lawful money of the
United States; 

  

	(y)	 “EBITDA” means, in respect of any fiscal period, the consolidated net income (loss) of the
Company in such fiscal period plus without duplication and to the extent deducted in determining consolidated net income (loss) for such period, the sum of (i) interest expense for such period, (ii) income tax expense for such period, and
(iii) all amounts attributable to depreciation and amortization expense for such period but excluding, in respect of the fiscal period, the following: (i) income or loss from investments; (ii) security-based compensation; (iii) non-cash impairment losses; (iv) costs associated with the Arrangement Agreement; and (v) other non-recurring expenses as mutually determined by the
Company and the Creditor, acting reasonably, provided that in the event of a disagreement, such amount of non-recurring expenses shall be determined by a nationally recognized chartered accounting firm who is
independent of the Company and the Creditor. 

  
 - 4 - 

	(z)	 “Effective Date” has the meaning ascribed to such term on page 1 herein;

  

	(aa)	 “Encumbrance” means any lien, charge, hypothec, pledge, mortgage, title retention
agreement, covenant, condition, lease, license, security interest of any nature, claim, exception, reservation, easement, encroachment, right of occupation,
right-of-way, right-of-entry, matter capable of registration against title, option,
assignment, right of pre-emption, royalty, right, pledge, privilege or any other encumbrance or title defect of any nature whatsoever, and any other right of third parties relating to, attaching to or
affecting any asset, regardless of form (excluding ordinary course payables), whether or not registered or registrable and whether or not consensual or arising by any Applicable Law, and includes any contract to create any of the foregoing;

  

	(bb)	 “Environmental Laws” means all Applicable Laws relating to the protection of human health
and the environment, including all Applicable Laws pertaining to the reporting, licensing, permitting, transportation, storage, disposal, investigation or remediation of Releases, or threatened Releases, of Hazardous Substances into the air, surface
water, groundwater, or land, or relating to the manufacture, processing, distribution, use, treatment, storage, disposal, transportation or handling of Hazardous Substances; 

 

	(cc)	 “ERISA” means the Employee Retirement Income Security Act of 1974; 

 

	(dd)	 “ERISA Affiliate” means the Company and any entity required to be aggregated with the
Company under Section 414 of the Code or any entity under common control with the Company within the meaning of Section 4001 of ERISA; 

  

	(ee)	 “ERISA Event” means any of the following: (i) a reportable event described in
Section 4043(c) of ERISA (other than those events as to which the thirty day notice period is waived) with respect to a Title IV Plan; (ii) the withdrawal of any ERISA Affiliate from a Title IV Plan subject to Section 4063 of ERISA
during a plan year in which it was a substantial employer, as defined in Section 4001(a)(2) of ERISA; (iii) the complete or partial withdrawal of any ERISA Affiliate from any Multiemployer Plan; (iv) with respect to any Multiemployer
Plan, the filing of a notice of reorganization, insolvency or termination, or treatment of a plan amendment as termination, under Section 4041A of ERISA; (v) the filing of a notice of intent to terminate a Title IV Plan, or treatment of a
plan amendment as termination, under Section 4041 of ERISA; (vi) the institution of proceedings to terminate a Title IV Plan or Multiemployer Plan by the PBGC; (vii) the failure to make any required contribution to any Title IV
Plan or Multiemployer Plan when due; (viii) the imposition of an Encumbrance under Section 412 or 430(k) of the Code or Section 303 or 4068 of ERISA on any property (or rights to property, whether real or personal) of any ERISA
Affiliate; (ix) the failure of a Benefit Plan or any trust thereunder intended to qualify for tax exempt status under Section 401 or 501 of the Code to qualify thereunder; (x) a Title IV plan is in “at risk” status within
the meaning of Code Section 430(i); (xi) a Multiemployer Plan is in “endangered status” or “critical status” within the meaning of Section 432(b) of the Code; and (xii) any other event or condition that constitutes
grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Title IV Plan or Multiemployer Plan or for the imposition of any liability upon any ERISA Affiliate under Title IV of ERISA other
than 

  
 - 5 - 

	 	 
for contributions to Title IV Plans and Multiemployer Plans in the ordinary course and PBGC premiums due but not delinquent; 

 

	(ff)	 “Event of Default” has the meaning ascribed to such term in Section 5.1 hereof;

  

	(gg)	 “Excluded Taxes” means any of the following Taxes imposed on or with respect to the
Creditor or required to be withheld or deducted from an actual or deemed payment to the Creditor relating to, in connection with, or under the Debenture: (i) Taxes imposed on or measured by its net income (however denominated), franchise Taxes
and branch profits Taxes, in each case, imposed as a result of the Creditor being organized under the laws of, or having its principal office or its applicable lending office located in the jurisdiction imposing the Tax (or any political subdivision
of the jurisdiction), or that are Other Connection Taxes; (ii) any Taxes required to be deducted or withheld under the Income Tax Act (Canada) from any payment under the Debenture as a result of: (1) the recipient (or beneficial
holder of the Debenture) not dealing at arm’s length (within the meaning of the Income Tax Act (Canada)) with the Company, or (2) the recipient being a “specified non-resident
shareholder” of the Company or not dealing at arm’s length with a “specified shareholder” of the Company (in each case within the meaning of the Income Tax Act (Canada)) (other than where the
non-arm’s length relationship arises, or where the recipient is a “specified non-resident shareholder”, or does not deal at arm’s length with a
“specified shareholder”, as a result of such Person having become a party to, received or perfected a security interest under, or received or enforced any rights under, the Debenture); (iii) any Taxes imposed as a result of the
Creditor’s failure (other than as a result of a change in law) to comply with Section 2.6(f); (iv) U.S. federal withholding or income Taxes imposed on or with respect to original issue discount, if any, imputed into amounts advanced by the
Creditor under this Debenture for any reason whatsoever pursuant to a final determination by a Governmental Authority; or (v) any withholding Taxes imposed under FATCA. 

 

	(hh)	 “FATCA” means 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 or implementing legislation enacted by any jurisdiction with respect to such intergovernmental agreements. 

 

	(ii)	 “Governmental Authorities” means any municipal, regional, provincial, state or federal
governments and their agencies, authorities, branches, departments, commissions or boards, having or claiming jurisdiction over the Company and/or the Company’s assets, and “Governmental Authority” shall mean any one of the
Governmental Authorities as the context requires; 

  

	(jj)	 “Guarantee” means any agreement by which any Person assumes, guarantees, endorses,
contingently agrees to purchase or provide funds for the payment of, or otherwise becomes liable upon, the obligation of any other Person, or agrees to maintain the net worth or working capital or other financial condition of any other Person or
otherwise assures any creditor of such Person against loss, and shall include any contingent liability under any 

  
 - 6 - 

	 	 
letter of credit or similar document or instrument, but shall exclude liability arising as a result of the endorsement of cheques in the ordinary course of business; 

 

	(kk)	 “Hazardous Substances” means: 

 

	 	(i)	 any radioactive material; 

 

	 	(ii)	 any explosive; 

  

	 	(iii)	 any substance that, if added to any water, would degrade or alter or form part of a process of degradation
or alteration of the quality of that water to the extent that it will adversely affect its use by man or by any animal, fish or plant; 

  

	 	(iv)	 any solid, liquid, gas or odour or combination of any of them that, if emitted into the air, would create or
contribute to the creation of a condition of the air that: 

  

	 	A.	 endangers the health, safety or welfare of individual Persons or the health of animal life;

  

	 	B.	 interferes with normal enjoyment of life or property; or 

 

	 	C.	 causes damage to plant life or to property; 

 

	 	(v)	 any petroleum or petroleum product regulated by Environmental Laws; 

 

	 	(vi)	 any toxic substance or other contaminant; 

 

	 	(vii)	 any substance declared to be hazardous or toxic under any Applicable Law now or hereafter enacted or
promulgated by any Governmental Authority having jurisdiction over the Company or its property, assets or interests, including any substance which would be considered a hazardous substance under any Environmental Law; and 

 

	 	(viii)	 any other substance which is or may become hazardous, dangerous or toxic to individual Persons or property,
including any asbestos or asbestos-containing material; 

  

	(ll)	 “Hemp” means hemp and derivatives thereof, including, without limitation, cannabidiol
(CBD), to the extent such products are not considered a controlled substance pursuant to the CSA; 

  

	(mm)	 “Indemnified Taxes” means (a) Taxes, other than Excluded Taxes, imposed on or with
respect to any payment made by or on account of any Obligation of the Company under the Debenture Transaction Documents, and (b) to the extent not otherwise described in (a), Other Taxes. 

 

	(nn)	 “Initial Advance” has the meaning ascribed to such term in Section 2.2(i);

  
 - 7 - 

	(oo)	 “Intellectual Property” means all intellectual property which is recognized under the law
of any jurisdiction anywhere in the world, whether under common law, by statute or otherwise, whether registered or not, including the following: 

  

	 	(i)	 patents, reissues, divisions, continuations,
continuations-in-part, re-examinations, renewals and substitutes thereof, foreign counterparts of the foregoing, term
restorations or other extensions of the term of any issued or granted patents anywhere in the world and extensions of the monopoly right covering a product or service previously covered by any issued or granted patent anywhere in the world for the
limited purpose of extending the holder’s exclusive right to make, use or sell a particular product or service covered by such patent (such as supplemental protection certificates or the like); 

 

	 	(ii)	 trade names, trademarks, service names, service marks, business names, product names, brands, logos, and
other distinctive indicia of origin, and the goodwill associated with any of the foregoing; 

  

	 	(iii)	 industrial designs and design patents; 

 

	 	(iv)	 copyright, and any renewals, extensions and reversions of copyright; 

 

	 	(v)	 software and fixations thereof; 

 

	 	(vi)	 uniform resource locators, website addresses, and domain names; 

 

	 	(vii)	 database rights; and 

 

	 	(viii)	 any other intangible property and any other intellectual or industrial design or other intangible property
rights, whether registered or not, anywhere in the world, and all derivatives of any of the foregoing; and 

  

	 	(ix)	 applications for registration, registrations and renewals of items (i) through (viii);

  

	(pp)	 “Interest Coverage Ratio” is calculated as EBITDA for the reporting period divided by the
interest expense during the same reporting period; 

  

	(qq)	 “Licensed Intellectual Property” has the meaning ascribed to such term in
Section 3.3(u)(iii); 

  

	(rr)	 “Margin Stock” means “margin stock” as such term is defined in Regulation T, U or
X of the Board of Governors of the Federal Reserve System, or any entity succeeding to any of its principal functions; 

  

	(ss)	 “Material Adverse Change” means any change or event which constitutes a material adverse
change in (i) the business, operations, condition (financial or otherwise), assets or properties of the Company or any of its Subsidiaries, (ii) the enforceability of this Debenture or any of the other Transaction Documents against the
Company, (iii) the Company’s ability to timely and fully perform its obligations hereunder or under any of the 

  
 - 8 - 

	 	 
other Transaction Documents, or (iv) the ability of the Creditor to enforce its rights and remedies hereunder or under any of the other Transaction Documents; 

 

	(tt)	 “Material Subsidiary” means, at any time, any Subsidiary of the Parent (i) the value
of whose property, assets and undertaking account for 5% or more of the consolidated property, assets and undertaking of the Parent and its Subsidiaries, or (ii) the EBITDA of which is 5% or more of the consolidated EBITDA of the Parent and its
Subsidiaries; 

  

	(uu)	 “Maturity Date” means the earlier of (i) September 23, 2030, and (ii) the
date that all amounts owing hereunder may become due and payable in accordance with the terms hereof; 

  

	(vv)	 “Multiemployer Plan” means any multiemployer plan, as defined in Section 3(37) or
4001(a)(3) of ERISA, as to which any ERISA Affiliate has any obligation to make regular contributions or otherwise has any liabilities; 

  

	(ww)	 “Obligations” means all monies and obligations now or at any time and from time to time
hereafter owing or payable by the Company to the Creditor, including pursuant to this Debenture; 

  

	(xx)	 “Other Connection Taxes” means, with respect to the Creditor, Taxes imposed as a result of
a present or former connection between the Creditor and the jurisdiction imposing such Tax (other than connections arising from the Creditor 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 Debenture Transaction Document, or sold or assigned an interest in any Debenture Transaction Document). 

 

	(yy)	 “Other Taxes” means 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
Debenture Transaction Document. 

  

	(zz)	 “Parent” means Acreage Holdings, Inc., a company existing pursuant to the laws of
the Province of British Columbia, or any successor thereto including by way of amalgamation; 

  

	(aaa)	 “Parties” means the Company and the Creditor; and “Party” means either one
of them; 

  

	(bbb)	 “Permit” has the meaning assigned to such term in Section 3.3(m);

  

	(ccc)	 “Permitted Debt” means: 

 

	 	(i)	 indebtedness in favour of the Creditor; 

 

	 	(ii)	 secured indebtedness permitted under Section (x) of the definition of Permitted Encumbrances;

  
 - 9 - 

	 	(iii)	 intercompany Indebtedness owing to and held by the Company or any of its Affiliates related to services or
costs incurred on behalf of the Business; 

  

	 	(iv)	 indebtedness arising from the honoring by a bank or other financial institution of a check, draft or other
similar instrument drawn against insufficient funds in the ordinary course of business; 

  

	 	(v)	 unsecured indebtedness up to the maximum aggregate amount of $250,000; and 

 

	 	(vi)	 indebtedness consented to by the Creditor in writing; 

 

	(ddd)	 “Permitted Encumbrances” means: 

 

	 	(i)	 statutory encumbrances not at the time overdue, or which are overdue but the validity of which is being
contested in good faith and in respect of which appropriate reserves have been established; 

  

	 	(ii)	 Encumbrances for Taxes, duties and assessments which may be overdue but the validity of which is being
contested in good faith and in respect of which appropriate reserves have been established; 

  

	 	(iii)	 Encumbrances or rights of distress reserved in or exercisable under any lease for rent or for compliance
with the terms of such lease; 

  

	 	(iv)	 any obligations or duties affecting any lands due to any public utility or Governmental Authority with
respect to any franchise, grant, licence or permit and any defects in title to structures or other facilities arising solely from the fact that such structures or facilities are constructed or installed on lands under government permits, leases or
other grants; which obligations, duties and defects in the aggregate do not materially impair the use of such property, structures or facilities for the purpose for which they are held; 

 

	 	(v)	 Encumbrances incurred or deposits made in connection with contracts, bids, tenders or expropriation
proceedings, or to secure workers’ compensation, unemployment insurance or other social security obligations, surety or appeal bonds, costs of litigation when required by law, public and statutory obligations, warehousemen’s,
carriers’ and other similar Encumbrances and deposits; 

  

	 	(vi)	 Encumbrances given to a public utility or Governmental Authority to secure obligations incurred to such
utility, municipality, government or other authority in the ordinary course of business; 

  

	 	(vii)	 Encumbrances and privileges arising out of judgments or awards in respect of which: an appeal or proceeding
for review has been commenced; a stay of execution pending such appeal or proceedings for review has been obtained; and appropriate reserves have been established; 

  
 - 10 - 

	 	(viii)	 any mechanic’s, labourer’s, materialman’s statutory or other similar Encumbrance arising in
the ordinary course of business or out of the construction or improvement of any lands or arising out of the furnishing of materials or supplies therefor, the action to enforce which has not proceeded to a final judgment; 

 

	 	(ix)	 undetermined or inchoate Encumbrances incidental to the normal business operations of a company not at the
time overdue, or which are overdue but have not been filed against such company or any of its properties pursuant to Applicable Law and the validity of which is being contested in good faith and appropriate reserves have been established;

  

	 	(x)	 any interest or title of a licensor, sublicensor, lessor or sublessor with respect to any assets under any
license or lease agreement entered into in the ordinary course of business, provided that the same do not in any material respect interfere with the business of the Company or their Affiliates or materially detract from the value of the
relevant assets of the Company or its Affiliates; 

  

	 	(xi)	 customary rights of set off, bankers’ liens, refunds or charge backs, under deposit agreements, of
banks or other financial institutions where Company or any of Affiliates maintains deposits (other than deposits intended as cash collateral) in the ordinary course of business; 

 

	 	(xii)	 Encumbrances in favor of customs and revenue authorities arising in the ordinary course of business as a
matter of law to secure payment of customs duties in connection with the importation of goods; 

  

	 	(xiii)	 Encumbrances incurred in the ordinary course of business imposed by law in connection with the purchase or
shipping of goods or assets (or the related assets and proceeds thereof), which Liens are in favor of the seller or shipper of such goods or assets and only attach to such goods or assets; 

 

	 	(xiv)	 PMSIs and capital leases up to the maximum aggregate amount of $250,000 incurred in connection with the
purchase or leasing of capital equipment by the Company; and 

  

	 	(xv)	 Encumbrances consented to in writing by the Creditor; 

 

	(eee)	 “Person” means any natural person, corporation, limited liability company, trust, joint
venture, association, company, partnership or other entity; 

  

	(fff)	 “PMSI” means purchase-money security interests or purchase-money liens;

  

	(ggg)	 “Release” includes releasing, spilling, leaking, pumping, pouring, emitting, emptying,
discharging, injecting, escaping, leaching, disposing or dumping, or permitting any of the foregoing to occur; 

  
 - 11 - 

	(hhh)	 “Restricted Payment” means any payment, directly or indirectly, by the Company (whether in
cash or in kind, and whether by way of actual payment, set-off, counterclaim or otherwise): 

  

	 	(i)	 of any dividend, distribution or return of capital with respect to its equity securities;

  

	 	(ii)	 on account of the purchase, redemption, retirement or other acquisition of any of its equity securities or
any warrants, options or similar rights with respect to its equity securities; 

  

	 	(iii)	 of any principal of, or interest or premium on, any indebtedness of the Company that, by its terms or
contractual postponement, ranks in right of payment subordinate to any liability of the Company under the Transaction Documents; 

  

	 	(iv)	 of any principal of or interest or premium on any indebtedness of the Company to a holder of equity
securities of the Company or to an Affiliate of a holder of equity securities of the Company; 

  

	 	(v)	 of any management, consulting or similar fee or any bonus payment or comparable payment, or by way of gift
or other gratuity, to any director or officer of the Company (but excluding ordinary course wages, bonuses and payments made in connection with long-term incentive plans, in each case paid in the ordinary course of business); 

 

	 	(vi)	 for the purpose of setting apart any property for a sinking, defeasance or other analogous fund for any of
the payments referenced above; or 

  

	 	(vii)	 of any kind whatsoever and for any purpose whatsoever to any of its Affiliates, [COMMERCIALLY SENSITIVE
INFORMATION REDACTED]; 

  

	(iii)	 “Sanctions” has the meaning ascribed to such term in Section 3.3(z)(i);

  

	(jjj)	 “Security Agreements” means, collectively, each general security agreement by the Company
and each of its Subsidiaries in favour of the Creditor, as each may be amended, supplemented, otherwise modified, restated or replaced from time to time; 

  

	(kkk)	 “Security Interest” means the pledges, assignments, mortgages, charges, and hypothecations
of and the security interests in the assets and property of the Company and each of its Subsidiaries created in favour of the Creditor; 

  

	(lll)	 “Subsidiary” means, as to any particular parent corporation or organization (i) any
other corporation or organization more than 50% of the outstanding voting stock of which is at the time directly or indirectly owned by such parent corporation or organization or by any one or more other entities that are themselves subsidiaries of
such parent corporation or organization or (ii) any other corporation or organization that is otherwise Controlled by such parent corporation or organization. Unless otherwise expressly noted herein, the term “Subsidiary” means
a Subsidiary of the Company; 

  
 - 12 - 

	(mmm)	 “Tax Distributions” means for so long as (i) High Street Capital Partners, LLC, a
Delaware limited liability company (“High Street”) is treated as a partnership for U.S. federal income tax purposes and (ii) the taxable income of the Company and its Subsidiaries from their operation of the Business is
reported on the U.S. federal income tax return of High Street and allocated amongst its members, any payment by the Company to a Governmental Authority in an amount necessary to satisfy and solely for the purpose of satisfying, a beneficial owner of
High Street’s payment obligation to such Governmental Authority of any U.S. federal, state and local income tax liabilities then due and payable in respect of such beneficial owner’s proportionate share of the Company’s and its
Subsidiaries’ taxable income of the Business for the relevant taxation period, in accordance with the terms of the operating agreement of High Street; provided that, such payment is permissible under Applicable Law [COMMERCIALLY SENSITIVE
INFORMATION REDACTED]; 

  

	(nnn)	 “Taxes” means all taxes, levies, duties, assessments, reassessments and other similar
charges and impositions together with all related penalties, interest and fines or additional amounts with respect thereto, due and payable by the Company to any domestic or foreign government (federal, provincial, state, municipal or otherwise) or
to any regulatory authority, agency, commission, board or court of competent jurisdiction of any domestic or foreign government; 

  

	(ooo)	 “Title IV Plan” means a pension plan subject to Title IV of ERISA, other than a
Multiemployer Plan, to which any ERISA Affiliate has any obligation to make regular contributions or otherwise has any liabilities; 

  

	(ppp)	 “Tranche 2 Advance” has the meaning ascribed to such term in Section 2.2(ii);

  

	(qqq)	 “Tranche 2 Conditions” has the meaning ascribed to such term in Section 4.2;

  

	(rrr)	 “Transaction Documents” means, collectively, (i) the Debenture Transaction Documents
and (ii) the Arrangement Agreement and all other documents executed and delivered to the Creditor or an Affiliate of the Creditor by the Company or any Affiliate of the Company in connection with the Arrangement Agreement.

  

	(sss)	 “United States” means the United States of America; and 

 

	(ttt)	 “U.S. GAAP” means generally accepted accounting principles in the United States, as in
effect from time to time, set forth in the opinions and pronouncements of the Accounting Principles Board and the American Institute of Certified Public Accountants, in the statements and pronouncements of the Financial Accounting Standards Board
(or agencies with similar functions and comparable stature and authority within the accounting profession) that are applicable to the circumstances as of the date of determination. Subject to Section 1.9, all references to “U.S. GAAP”
shall be to U.S. GAAP applied consistently with the principles used in the preparation of the Parent’s December 31, 2019 financial statements. 

  
 - 13 - 

	1.2	 Gender and Number. 

Any reference in this Debenture to gender shall include all genders, and words importing the singular number only shall include the plural and
vice versa. 
  

	1.3	 Headings, Etc. 

The division of this Debenture into Articles, Sections, Subsections, and other subdivisions and the insertion of headings are for convenience
of reference only and shall not affect or be utilized in the construction or interpretation of this Debenture. 
  

	1.4	 Currency. 

All references in this Debenture to dollars, unless otherwise specifically indicated, are expressed in the currency of the United States. 

 

	1.5	 Severability. 

Any article, section, subsection or other subdivision of this Debenture or any other provision of this Debenture which is, or becomes, illegal,
invalid or unenforceable shall be severed from this Debenture and be ineffective to the extent of such illegality, invalidity or unenforceability and shall not affect or impair the remaining provisions hereof or thereof. 

 

	1.6	 Governing Law. 

This Debenture shall be governed by and interpreted and enforced in accordance with the laws of the Province of Ontario and the federal laws of
Canada applicable therein. For the purpose of legal proceedings, this Debenture shall be deemed to have been made in the said Province and to be performed therein and the courts of that Province shall have jurisdiction over all disputes which may
arise under this Debenture. The Parties hereby irrevocably and unconditionally submit to the non-exclusive jurisdiction of such courts. 
  

	1.7	 Waiver of Jury Trial. 

EACH OF THE PARTIES HERETO IRRECOVABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEEMENT OR ANY OTHER
LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED THEREBY AND FOR ANY COUNTERCLAIM THEREIN. 
  

	1.8	 Interpretation. 

Unless otherwise expressly provided in this Debenture, if any matter in this Debenture is subject to the determination, consent or approval of
the Creditor or is to be acceptable to the Creditor, such determination, consent, approval or determination of acceptability will be in the sole discretion of the Creditor, which means the Creditor shall have sole and unfettered discretion, without
any obligation to act reasonably. If any provision in this Debenture refers to any action taken or to be taken by the Company, or which the Company is prohibited from taking, such provision will be interpreted to include any and all means, direct or
indirect, of taking, or not taking, such action. 

  
 - 14 - 

 
When used in the context of a general statement followed by a reference to one or more specific items or matters, the term “including” shall mean “including, without
limitation” and the use of the term “includes” shall mean “includes, without limitation”. All certificates and other required submissions made by specified officers of the Company or any of its Affiliates shall be deemed for
all purposes as made by such Person solely in such Person’s capacity as such officer and not in such Person’s individual capacity. 
  

	1.9	 Accounting Terms and Principles 

All accounting determinations required to be made pursuant hereto shall, unless expressly otherwise provided herein, be made in accordance with
U.S. GAAP. No change in the accounting principles used in the preparation of any financial statement hereafter adopted by the Parent shall be given effect for purposes of measuring compliance with any provision hereof or otherwise determining any
relevant ratios and baskets which govern whether any action is permitted hereunder unless the Company and the Creditor agree to modify such provisions to reflect such changes in U.S. GAAP and, unless such provisions are modified, all financial
statements and similar documents provided hereunder shall be provided together with a reconciliation between the calculations and amounts set forth therein before and after giving effect to such change in U.S. GAAP. Notwithstanding any other
provision contained herein, all terms of an accounting or financial nature used herein shall be construed, and all computations of EBITDA shall be made without giving effect to any change to U.S. GAAP occurring after the Effective Date as a result
of the adoption of any proposals set forth in the Proposed Accounting Standards Update, Leases (Topic 840), issued by the Financial Accounting Standards Board on August 17, 2010, or any other proposals issued by the Financial Accounting
Standards Board in connection therewith, in each case if such change would require treating any lease (or similar arrangement conveying the right to use) as a capital lease where such lease (or similar arrangement) would not have been required to be
so treated under U.S. GAAP as in effect on the Effective Date. 
 ARTICLE TWO 

PROMISE TO PAY 
  

	2.1	 Principal Sum. 

For value received, the Company hereby promises to pay to or to the order of the Creditor at the address of the Creditor set forth in
Section 6.8(a) hereof (or such other address of the Creditor as may be indicated by the Creditor pursuant to Section 6.8(a) hereof) on the Maturity Date the lesser of: 

 

	 	(i)	 the principal sum of $100,000,000; and 

 

	 	(ii)	 the amount of the unpaid principal balance from time to time owing by the Company to the Creditor as
recorded by or on behalf of the Creditor on the grid attached hereto as Schedule A and any further grids attached hereto, all of which grids form part of this Debenture; 

and the Company promises to pay interest thereon pursuant to Section 2.3 hereof. 

  
 - 15 - 

	2.2	 Advances. 

The Company shall be entitled to two drawdowns under this Debenture as follows: 

 

	 	(i)	 $50,000,000 on the Effective Date (the “Initial Advance”); and 

 

	 	(ii)	 $50,000,000 upon satisfaction of the Tranche 2 Conditions (the “Tranche 2 Advance”).

  

	2.3	 Interest. 

  

	(a)	 Interest shall accrue on the principal sum outstanding from the Effective Date both before and after the
Maturity Date, default and judgment until actual payment in full at a rate of 6.10% per annum, calculated and compounded annually and payable in cash in arrears on each anniversary of the Effective Date and on the Maturity Date.

  

	(b)	 Upon the occurrence of an Event of Default and for so long as such Event of Default shall be continuing,
interest shall accrue on the principal sum outstanding at a rate per annum equal to 15% calculated and payable as aforesaid. 

  

	(c)	 In the event that a court of competent jurisdiction determines that any provision of this Debenture
obligates the Company to make any payment of interest, or other amount payable to the Creditor, in an amount, or calculated at a rate, which would be prohibited by Applicable Law or would result in receipt by the Creditor of interest at a rate in
excess of the maximum rate permissible under Applicable Law then, notwithstanding such provision, such amount or rate shall be deemed to have been adjusted, with retroactive effect, to the maximum amount or rate of interest, as the case may be, as
would not be so prohibited by Applicable Law or so result in receipt by the Creditor of interest at a rate in excess of the maximum rate permissible. Any amount or rate of interest referred to in this Section 2.3 shall be determined in
accordance with generally accepted actuarial practices and principles as an effective annual rate of interest over the term that the Debenture remains outstanding, on the assumption that any charges, fees or expenses that fall within the meaning of
interest shall, if they relate to a specific period of time, be pro-rated over that period of time and otherwise be pro-rated over the period from the Effective Date to
the Maturity Date, and, in the event of a dispute, a certificate of an accredited actuary appointed by the Creditor shall be conclusive for the purposes of such determination. 

 

	2.4	 Use of Funds. 

The Creditor has agreed to advance to the Company the principal sum hereunder exclusively for use by the Company in connection with the
operation of the Business and on the express condition that such amount shall not be used, directly or indirectly, in connection with or for the operation or benefit of any of its Affiliates other than the Company’s Subsidiaries exclusively
engaged in the Business. 

  
 - 16 - 

	2.5	 Voluntary Prepayment 

The Company may from time to time, upon three (3) Business Days’ prior written notice to the Creditor, make a prepayment in respect
of all or any portion of the principal sum outstanding hereunder, together with any and all accrued interest thereon. This Debenture is non-revolving. For greater certainty, any repayment made on account of
the principal sum outstanding hereunder may not be reborrowed. 
  

	2.6	 Taxes 

  

	(a)	 Any and all payments by or on account of any Obligation of the Company under this Debenture (or any of the
other Debenture Transaction Documents) shall be made without deduction or withholding for any Taxes, except as required by Applicable Law. If any Applicable Law requires the deduction or withholding of any Tax from any such payment by the Company,
then the Company shall be entitled to make the deduction or withholding and shall timely pay the full amount required to be deducted or withheld to the relevant Governmental Authority in accordance with Applicable Law and, if such Tax is an
Indemnified Tax, then the sum payable by the Company shall be increased as necessary so that after the deduction or withholding has been made (including deductions and withholdings applicable to additional amounts payable under this Section) the
Creditor receives an amount equal to the sum it would have received had no such deduction or withholding been made. The Company shall indemnify the Creditor, within 10 days after demand therefor, for the full amount of any Indemnified Taxes
(including Taxes imposed or asserted on or attributable to amounts payable under this Section) payable or paid by the Creditor or required to be withheld or deducted from a payment to the Creditor 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 Authority; provided, however, that at the Company’s election, the parties shall use commercially reasonable
efforts (at the Company’s cost) to cooperate to contest, recover or avoid any Indemnified Taxes that the Company believes are incorrectly imposed. A certificate as to the amount of such payment or liability delivered to the Company by the
Creditor shall be conclusive, subject to the consent of the Company, which consent shall not be unreasonably withheld or delayed. 

  

	(b)	 The Company shall timely pay any Other Taxes to the relevant Governmental Authority in accordance with
Applicable Law. 

  

	(c)	 If the Company receives a written notice issued by a Governmental Authority demanding payment from the
Company of any Taxes described in clause (iv) of the definition of “Excluded Taxes”, then, following delivery of such written demand to the Creditor, the Creditor shall pay over to the Company an amount equal to any such Taxes
specified in such written demand at least five (5) Business Days prior to the due date of such payment by the Company if the Company has given the Creditor a minimum of thirty (30) days’ written notice of such payment, or if thirty
(30) days’ notice has not been so provided, within twenty (20) Business Days following the Company’s delivery of such written demand; provided, however, that if the Creditor chooses, in its sole discretion, to contest the
validity of such Governmental Authority’s demand for such Taxes (at the Creditor’s 

  
 - 17 - 

	 	 
cost), then Creditor shall not be obligated to make any payment to the Company described in this Section 2.6(c) unless and until there is a final determination that such Taxes have been
validly imposed and, the parties shall use commercially reasonable efforts to cooperate to contest, recover or avoid any such Excluded Taxes. 

  

	(d)	 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 2.6 (including the payment of additional amounts pursuant to this Section), it shall pay to the indemnifying Party an amount equal to the refund (but only to the extent of
the amount of such indemnification), net of all out of pocket expenses of the Creditor and without interest (other than any net after Tax interest paid by the relevant Governmental Authority with respect to any such refund). The indemnifying Party,
upon the request of the indemnified Party, shall repay to the indemnified Party the amount paid over pursuant to this Section 2.6(d) (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) if the
indemnified Party is required to repay the refund or reduction to the Governmental Authority. Notwithstanding anything to the contrary in this Section 2.6(d), in no event will the indemnified Party be required to pay any amount to an
indemnifying Party pursuant to this Section 2.6(d) 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 subject to indemnification and giving rise to such refund or reduction 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 Section 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, to arrange its affairs in any particular
manner or to claim any available refund or reduction. 

  

	(e)	 If the Creditor is entitled to an exemption from or reduction of withholding Tax with respect to payments
made under this Debenture, it shall deliver to the Company at the time or times reasonably requested by the Company, such properly completed and executed documentation reasonably requested by the Company as will permit such payments to be made
without withholding or at a reduced rate of withholding. In addition, the Creditor, if reasonably requested by the Company, shall deliver such other documentation prescribed by Applicable Law or reasonably requested by the Company as will enable the
Company to determine whether or not the Creditor is subject to backup withholding or information reporting requirements. The Company agrees that if the Creditor provides a properly completed and duly executed Internal Revenue Service Form W-8BEN-E certifying that the Creditor is eligible for benefits under the tax treaty between the United States and Canada (the “Tax Treaty”), the Company shall
act in accordance with such Form W-8BEN-E unless there has been a final determination by a Governmental Authority that the Creditor is not entitled to such benefits
under the Tax Treaty. Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentation shall not be required if in the Creditor’s reasonable judgment such completion,
execution or submission would subject the Creditor to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position of the Creditor. 

  
 - 18 - 

	(f)	 Each Party’s obligations under this Section 2.6 shall survive the termination of the Debenture and
the repayment, satisfaction or discharge of all Obligations under any Debenture Transaction Document. 

 ARTICLE
THREE 
 COVENANTS, REPRESENTATIONS AND WARRANTIES 

 

	3.1	 Positive Covenants.  

So long as this Debenture remains outstanding, the Company covenants and agrees that it will: 

 

	(a)	 Payment and Performance of Obligations. Duly and punctually pay all sums of money due by it under the
terms of this Debenture at the times and places and in the manner provided for by this Debenture and shall duly and punctually perform and observe all other obligations on its part to be performed or observed hereunder at the times and in the manner
provided for herein; 

  

	(b)	 Observation of Covenants. Duly observe and perform each and every of its covenants and agreements set
forth in this Debenture; 

  

	(c)	 Notice. Provide the Creditor with prompt written notice of: (i) any event which constitutes, or
which, with notice, lapse of time, or both, would constitute an Event of Default hereunder; (ii) the commencement by or against the Company or any of its Affiliates of any litigation or legal proceedings which if determined adversely to its
interest would not be fully covered by insurance or which in the aggregate exceed $500,000 in claims; (iii) the occurrence of any event which would constitute, or would be reasonably expected to constitute, a Material Adverse Change;
(iv) the commencement by or against the Company or any of its Subsidiaries of any legal proceedings or actions, which if determined adversely to its interest would constitute, or in the Creditor’s reasonable judgment would be reasonably
expected to constitute, a Material Adverse Change; (v) any default by the Company under a contract to which it is a party with a value in excess of $500,000; and (vi) claims or threatened claims by a Governmental Authority that the Company
is violating Applicable Law in any material respect or the federal laws of the United States or the laws of any state of the United States in any respect; 

  

	(d)	 Maintenance of Existence & Business Practices. Do or cause to be done all
things necessary to preserve and keep in full force and effect its corporate existence and its rights and franchises in all material respects. Without limiting the generality of the foregoing, the Company shall (i) use, operate and maintain all
of its property and assets in a good and workman like manner and in accordance with good business practice and in a manner which is not adverse to the interests of the Creditor or the ability of the Company to fulfill its obligations under this
Debenture; and (ii) continue to collect all accounts receivable in the ordinary course of its business consistent with past practice; 

  

	(e)	 Compliance with Compliance Programs. Beginning on the Effective Date and through and until the 90th day following the Effective Date, the Company will use commercially reasonable efforts to develop and approve Compliance Programs. Following such 90 day period, the Company shall comply in all
material respects with all such Compliance 

  
 - 19 - 

	 	 
Programs and provide and continue to provide sufficient training to all signing authorities, directors and officers of the Company responsible for the Compliance Programs, including informing
them of all Applicable Laws relating to the business of the Company, the Creditor and their respective Affiliates, including any changes thereto. The Company shall, on at least an annual basis, provide the Creditor with a list of all signing
authorities, directors and officers of the Company responsible for the Company’s Compliance Programs and processes and controls related thereto, including details regarding the qualifications of such signing authorities, directors and officers
and third-party consultants and, if requested by the Creditor, such further information as may be reasonably requested by the Creditor from time to time to demonstrate that such signing authorities are properly trained and fully familiar with:
(i) the Applicable Laws which are applicable to business of the Company, the Creditor and their respective Affiliates; and (ii) the Company’s and its Affiliates’ Compliance Programs and processes and controls related thereto, in
each case, so as to permit the Creditor to demonstrate due diligence and compliance with its obligations under Applicable Law; 

  

	(f)	 Compliance with Laws. Comply with all Applicable Laws and promptly notify and consult the Creditor in
connection with: (i) any and all matters relating to any potential, actual or alleged violation of, or non-compliance with, Applicable Laws by the Company or any of its Subsidiaries; (ii) any
investigation or audit of the Company or any of its Subsidiaries by any Governmental Authority; and (iii) any and all matters relating to any violations of, or non-compliance with, any Applicable Laws,
and, for greater certainty, consultation for these purposes shall include the right of the Creditor to participate in all decisions to be made by the Company and its Subsidiaries relating to whether purported or alleged violations or instances of non-compliance will be challenged and how such violations or instances of non-compliance will be remediated, provided that, for greater certainty, the Company and its
Subsidiaries shall make all such decisions in its discretion, acting reasonably, after having received any input provided by the Creditor in a timely fashion; 

 

	(g)	 Approvals. Use commercially reasonable efforts to obtain all necessary waivers, consents, Permits and
approvals required to be obtained by the Company to operate its business, own its assets, and to complete the transactions contemplated by each of the Transaction Documents, except where the failure to do so, individually or in the aggregate, could
not reasonably be expected to result in a Material Adverse Change. Without in any way limiting the foregoing, the Company shall obtain the written approval of the Creditor prior to (i) making, finalizing or amending its business plan(s) or
budgets or the business plan(s) or budgets of any of its Subsidiaries, and (ii) the appointment of any officers or directors of the Company or any of its Subsidiaries; 

 

	(h)	 Taxes. Pay all Taxes imposed on it, or on its income or profits or its assets, when due and payable,
except for any Taxes assessed against the Company which it is in good faith contesting pursuant to a bona fide dispute process and for which adequate reserves have been made in accordance with US GAAP; 

 

	(i)	 Insurance. Maintain insurance coverage with responsible insurers, in amounts and against risks
normally insured by owners of similar businesses or assets. Promptly on the 

  
 - 20 - 

	 	 
happening of any loss or damage, the Company will furnish or cause to be furnished at its own expense all necessary proofs and will do all necessary acts to enable the Creditor to obtain payment
of the insurance monies, which, in the sole discretion of the Creditor, may be applied in reinstating the insured property or be paid to the Company or be applied in payment of the Obligations, whether due or not then due, or paid partly in one way
and partly in another; 

  

	(j)	 Carry on Business. 

 

	 	(i)	 Continue to carry on and conduct in all material respects, and cause any of its Subsidiaries to continue to
carry on and conduct in all material respects, the Business in a proper and efficient manner, maintain proper books and records (in which full and correct entries shall be made of all financial transactions and the assets and the business of the
Company and any such Subsidiary in accordance with U.S. GAAP); and 

  

	 	(ii)	 Only carry on, and cause any of its Subsidiaries to only carry on, the Business; 

 

	(k)	 Ownership. Defend the Company’s right, title and interest in and to its material property and
assets against the claims of all other Persons, at its own expense, as well as maintain corporate ownership and Control, direct or indirect, of all of its Subsidiaries; 

 

	(l)	 Good Accounting Practice. At all times keep proper books of record and account which, in all material
respects, are kept, where applicable, in accordance with US GAAP, consistently applied; 

  

	(m)	 Reporting. 

 

	 	(i)	 Deliver to the Creditor monthly, on the first Business Day of each month, a cash balance statement executed
by a senior officer of the Company; and 

  

	 	(ii)	 Deliver to the Creditor monthly, as promptly as practicable following the end of each month, a compliance
certificate certified by an executive officer of the Company, in the form of Exhibit A hereto; 

  

	(n)	 [COMMERCIALLY SENSITIVE INFORMATION REDACTED]; 

 

	(o)	 Inspection. Permit, and cause each of its Subsidiaries to permit, the Creditor and its employees and
agents to enter upon, inspect and audit each of their respective properties, assets, books and records from time to time, (i) prior to an Event of Default which is continuing, at reasonable times during normal business hours and upon reasonable
notice not more than once per year; provided that any such inspection shall be at the sole expense of the Company, and (ii) following an Event of Default and for so long as it is continuing, at any time with or without notice and at the sole
expense of the Company; and to permit the Creditor and its employees and agents to examine all computer and other electronic records with respect thereto and to make copies of all books and account and other records; 

  
 - 21 - 

	(p)	 Use of Proceeds. Use the proceeds of the funds advanced hereunder (i) only for the purposes set
out in Section 2.4, (ii) [COMMERCIALLY SENSITIVE INFORMATION REDACTED]; 

  

	(q)	 Retail Stores. With respect to the Company’s retail stores, the Company shall use its
commercially reasonable efforts to enter into direct agreements with third party services providers (including, without limitation, for rent or utilities, even if such retail stores are shared with the Company’s Parent or its Affiliates);
[COMMERCIALLY SENSITIVE INFORMATION REDACTED]. 

  

	(r)	 Subsidiary Guarantees and Security. The Company agrees to cause each of its Subsidiaries to provide
to the Creditor: (i) a guarantee in respect of all present and future obligations of the Company to the Creditor hereunder (each such guarantee to be in an unlimited amount); and (ii) security of the same nature required to be provided by
the Company hereunder. Such guarantees and security shall be provided by those Subsidiaries in existence on the date of this Debenture concurrently with the execution and delivery of this Debenture; and the Company agrees that it shall, concurrently
with the formation or acquisition of any new Subsidiary cause such Subsidiary to execute and deliver such guarantees and security; and the Company shall also deliver to the Creditor, or cause such Subsidiary to deliver to the Creditor, at the
Company’s cost and expense, such other instruments, documents and certificates reasonably required by the Creditor in connection therewith; and 

  

	(s)	 Further Assurances. Provide the Creditor with such other documents, consents, acknowledgements and
agreements as are reasonably necessary to implement this Debenture and the other Transaction Documents. 

  

	3.2	 Negative Covenants. 

At all times, for so long as this Debenture remains outstanding, the Company hereby covenants and agrees, that, without the prior written
consent of the Creditor, the Company shall not, and shall not allow any Subsidiary to: 
  

	(a)	 Amalgamations. Directly or indirectly, by operation of law or otherwise, amalgamate with, merge with,
consolidate with or otherwise combine with, any Person; 

  

	(b)	 Indebtedness. 

 

	 	(i)	 Create, incur, assume or permit to exist any indebtedness, other than Permitted Debt; or

  

	 	(ii)	 Guarantee, give financial assistance to, or render itself liable in any manner whatsoever, directly or
indirectly, for any debt or obligation whatsoever, of any other Person other than Permitted Debt; 

  

	(c)	 Encumbrances. Create, incur, assume or permit to exist any Encumbrance on or with respect to any of
its property or assets (whether now owned or hereafter acquired) except for Permitted Encumbrances; 

  
 - 22 - 

	(d)	 Non-Arm’s Length Transactions. Enter into, amend or be a
party to any agreement or transaction with, or make any payment to, any Person not acting at arm’s length (as defined in the Income Tax Act (Canada)) other than agreements, transactions and payments on terms and conditions which are no
less favourable to the Company than would be usual and customary in similar agreements, transactions or payments between Persons acting at arm’s length with each other; 

 

	(e)	 Compliance with ERISA. Cause or suffer to exist (a) any event that could result in the
imposition of an Encumbrance on any asset of the Company with respect to any Title IV Plan or Multiemployer Plan or (b) any other ERISA Event, that would, in the aggregate, reasonably be expected to result in a Material Adverse Change.

  

	(f)	 OFAC; USA Patriot Act; Anti-Corruption Laws. (i) Fail to comply with the laws, regulations and
executive orders referred to in Section 3.3(z), (ii) directly or indirectly, use or permit any director, officer, agent, employee, or other person acting on behalf of the Company, to directly or indirectly use the proceeds of any advance
hereunder, directly or indirectly, for any payments to any Person, including any government 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, or otherwise take any action, directly or indirectly, that would result in a violation of any Anti-Corruption Laws, or (iii), directly or indirectly, use the proceeds of any
advance hereunder, the transaction, or lend, contribute or otherwise make available such proceeds to any Subsidiary, Affiliate, joint venture partner or other Person, to fund any activities of or business with any Person, or in any country or
territory, 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 Person participating in the transaction of any Sanctions. 

 

	(g)	 Change of Corporate Name or Location. Change its corporate name or change or move its chief executive
office, tax residence, principal place of business, corporate offices, warehouses or other locations at which its property and assets are held or stored and/or the location of its records concerning such property and assets, without:

  

	 	(i)	 providing the Creditor with at least thirty (30) days’ prior written notice of its intention to do
same; and 

  

	 	(ii)	 having received the Creditor’s written acknowledgement that any reasonable action requested by the
Creditor in connection therewith (including to continue the perfection of any Encumbrance in favour of the Creditor in the Company’s property and assets) has been completed or taken; 

 

	(h)	 No Sale of Assets. Directly or indirectly sell, lease, assign, transfer, convey or otherwise dispose
of (whether in one or a series of transactions) its property and assets except for sales (i) of equipment, fixtures or materials that are worn-out or obsolete or have been replaced and are not required
for the conduct by the Company of its business, (ii) of inventory made in the ordinary course and as part of the normal operation of the Company’s business, (iii) any trade in of equipment in exchange for other equipment in the
ordinary course of business, (iv) the abandonment, cancellation or lapse of issued patents, registered 

  
 - 23 - 

	 	 
trademarks and other registered intellectual property to the extent, in the Company’s reasonable business judgment, not economically desirable in the conduct of such the Company’s or
its Subsidiary’s business or so long as such lapse is not materially adverse to the interests of the Lenders and the expiration of patents in accordance with their statutory terms or (v) otherwise with the prior written consent of the
Creditor; 

  

	(i)	 Constating Documents. Amend its articles or constating documents in any manner which is reasonably
likely to result in a Material Adverse Change; 

  

	(j)	 Nature of Business. Carry on, or permit any Subsidiary to carry on, any business other than the
Business, nor discontinue its business or any material part thereof; 

  

	(k)	 Dissolution. Liquidate, wind-up, dissolve (or suffer any
liquidation or dissolution), reorganize, make an assignment for the benefit of the Company’s creditors or file a petition, answer or consent to seeking a reorganization, take part in a plan of arrangement, or undergo a change of control or
similar transaction to any of the foregoing; 

  

	(l)	 No Sale-Leasebacks. Directly, or indirectly, enter into any arrangement providing for the sale,
assignment, transfer or disposition of any property used in the ordinary course of its business and thereafter rent or lease such property; 

  

	(m)	 Restricted Payments. Declare, pay or make, or agree to pay or make, directly or indirectly, any
Restricted Payment, except declaring, paying or making any Tax Distribution; 

  

	(n)	 Investments. Make any direct or indirect investment in any Person, whether by acquisition of shares,
indebtedness or other securities, or by loan, guarantee, advance, capital contribution or otherwise, except (i) investments in cash equivalents; (ii) investments in any Subsidiary; (iii) accounts receivable created, acquired or made
and trade credit extended in the ordinary course of business and payable or dischargeable in accordance with customary trade terms; and (iv) investments constituting deposits made in connection with the purchase of goods or services in the
ordinary course of business. 

  

	(o)	 Cannabis Related Prohibitions. 

 

	 	(i)	 Invest (whether by acquisition of shares, indebtedness or other securities, or by loan, guarantee, advance,
capital contribution or otherwise), engage (directly or indirectly) in, carry on or maintain any business, activity, affairs or operations that (directly or indirectly) serves the Cannabis market; and 

 

	 	(ii)	 Derive (or reasonably expect to derive) or accept revenues or funds from Parent or any of its Affiliates, or
from any of the prohibited activities described in paragraph (i) above, unless and until such time that all such activities become legal under all Applicable Laws; 

 

	(p)	 Margin Regulation. Engage in the business of purchasing or selling Margin Stock or extending credit
for the purpose of purchasing or carrying Margin Stock; 

  

	(q)	 [COMMERCIALLY SENSITIVE INFORMATION REDACTED]; and 

  
 - 24 - 

	(r)	 Subsidiaries. Form any Subsidiary without the prior written consent of the Creditor.

  

	3.3	 Representations and Warranties 

The Company hereby represents and warrants to the Creditor that as of the date hereof and as of the date of the Tranche 2 Advance (if made):

  

	(a)	 No Default. No default has occurred and is continuing under any material agreement to which the
Company is a party or by which its property is bound. 

  

	(b)	 Location. Schedule B is a list of all addresses at which the Company, (i) has its chief
executive office, head office, registered office and principal place of business, (ii) carries on business, and (iii) stores any tangible personal property (except for goods in transit in the ordinary course of business).

  

	(c)	 Status; Corporate Power and Qualification. It: 

 

	 	(i)	 is a corporation duly incorporated, organized, validly existing and in good standing under the laws of its
jurisdiction of incorporation; 

  

	 	(ii)	 is duly qualified to conduct business and is in good standing in each other jurisdiction where its ownership
or lease of property or the conduct of its business requires such qualification; 

  

	 	(iii)	 has the requisite corporate power and authority and the legal right to own, pledge, mortgage, hypothecate or
otherwise encumber and operate its properties and assets, to lease the property it operates under lease and to conduct its business as presently conducted in the jurisdictions in which it currently carries on business; 

 

	 	(iv)	 is in compliance with its constating documents and by-laws; and

  

	 	(v)	 is in compliance with all applicable provisions of Applicable Law. 

 

	(d)	 Subsidiaries. As of the Effective Date, the Company does not have any Subsidiaries.

  

	(e)	 Authorization; Execution and Delivery; Approval and Conflict. The execution, delivery and performance
by the Company of this Debenture and the other Transaction Documents: 

  

	 	(i)	 are within the Company’s corporate power; 

 

	 	(ii)	 have been duly authorized by all necessary or proper corporate and shareholder action;

  

	 	(iii)	 do not contravene any provision of the Company’s constating documents or bylaws or any resolutions
passed by the directors (or any committee thereof) or shareholders of the Company; 

  
 - 25 - 

	 	(iv)	 do not result in any breach or violation of any statute or any judgment, decree, order, rule, policy or
regulation of any court, Governmental Authority, arbitrator, stock exchange or securities regulatory authority applicable to the Company or any of its property or assets; 

 

	 	(v)	 do not conflict with or result in the breach or termination of, constitute a default under or accelerate or
permit the acceleration of any performance required by, any indenture, mortgage, deed of trust, lease, agreement or other instrument to which the Company is a party or by which the Company or any of its property or assets are bound; and

  

	 	(vi)	 do not require the consent, approval, authorization, order or agreement of, or registrations or
qualification with any Governmental Authority or any other Person. 

  

	(f)	 Validity of Agreements. Each of the Debenture and the other Transaction Documents has been duly
executed and delivered by the Company and constitutes a legal, valid and binding obligation of the Company enforceable against it in accordance with its terms, subject only to: 

 

	 	(i)	 applicable bankruptcy, insolvency, liquidation, reorganization, reconstruction, moratorium laws or similar
laws affecting creditors’ rights generally; and 

  

	 	(ii)	 the fact that the availability of equitable remedies, such as specific performance and injunctive relief,
are in the discretion of a court and may not be available where damages are considered an equitable remedy. 

  

	(g)	 Taxes and Filings. All material income and other Tax returns, reports and statements, including
information returns, required by any Governmental Authority to be filed by the Company have been timely filed with the appropriate Governmental Authority and all such returns are true, complete and correct in all material respects. All material
Taxes required to have been paid by the Company (whether or not shown on any tax return) have been timely paid prior to the date on which any fine, penalty, interest or late charge may be added thereto for
non-payment thereof (or any such fine, penalty, interest, late charge or loss has been paid). Proper and accurate amounts (in all material respects) have been withheld by the Company from payments to its
employees, customers and other applicable payees for all periods in full in all material respects as required by all Applicable Laws and such withholdings have been timely paid (in all material respects) to the respective Governmental Authorities.
No material audit, action, investigation, deficiencies, litigation, proposed adjustments or other matters in controversy related to Taxes of the Company presently exist or have been asserted or threatened, and the Company is not a party to any
material action or proceeding for assessment or collection of Taxes and no such material event has been asserted or, to the knowledge of the Company, threatened against the Company or any of its assets. There are no currently effective material
elections, agreements or waivers extending the statutory period or providing for an extension of time with respect to the assessment or reassessment of any Taxes, or of the filing of any Tax return or any payment of Taxes by the Company.

  
 - 26 - 

	(h)	 Valid Issuance of Debenture. This Debenture will be duly and validly created and issued, and will be
free of restrictions on transfer other than restrictions on transfer set forth in the Debenture and under applicable securities legislation. 

  

	(i)	 Corporate Records. The Corporate Records of the Company are complete and accurate in all material
respects and all corporate proceedings and actions reflected therein have been conducted in accordance with its constating documents and in material compliance with all Applicable Laws. Without limiting the generality of the foregoing: (i) the
minute books contain, in all material respects, complete and accurate minutes (or drafts thereof) of all meetings of the directors and shareholders of the Company and all such meetings were duly called and held; (ii) the minute books contain
all written resolutions passed by the directors and shareholders of the Company and all such resolutions were duly passed; and (iii) the registers of directors and officers of the Company are complete and accurate and all former and present
directors and officers of the Company were duly elected or appointed, as the case may be. 

  

	(j)	 Restrictive Agreements. The Company is not subject to any restriction under its constating documents,
nor is it party to or subject to any Claim, Encumbrance or contract, instrument or other agreement which would prevent (i) the consummation of the transactions contemplated by this Debenture or the other Transaction Documents,
(ii) compliance by the Company with the terms, conditions and provisions of this Debenture or the other Transaction Documents, as applicable, or (iii) the Company from carrying on its business as currently conducted after the date hereof.

  

	(k)	 Compliance with Contracts. Except for matters that would not, individually or in the aggregate,
reasonably be expected to have a Material Adverse Change, (i) the Company is not, nor to the knowledge of the Company is any third party, in breach or default of any contract, instrument or other agreement to which it is a party and
(ii) no event has occurred which, with notice or lapse of time or both, would constitute such a default or breach. 

  

	(l)	 Accounting Controls. The Company maintains a system of internal accounting controls sufficient to
provide reasonable assurance that in all material respects transactions are executed in accordance with management’s general or specific authorization, transactions are recorded as necessary to permit preparation of financial statements in
conformity with US GAAP and to maintain accountability for assets and access to assets is permitted only in accordance with management’s general or specific authorization. 

 

	(m)	 Compliance with Laws, Licenses and Permits. The Company (i) has conducted and is conducting its
business in compliance (A) in all respects with all Applicable Laws in the United States, including, without limitation, the CSA, and (B) in all material respects with all other Applicable Laws and (ii) possesses or will possess all
material approvals, consents, certificates, registrations, authorizations, permits and licenses issued by the appropriate provincial, state, municipal, federal or other regulatory agency or body necessary to carry on its business as currently
conducted or contemplated to be conducted (collectively, the “Permits”). The Company is in compliance in all material respects with the terms and conditions of all such Permits and the Company has not received any notice of the
material modification, revocation or cancellation of, or any intention to materially 

  
 - 27 - 

	 	 
modify, revoke or cancel or any proceeding relating to the modification, revocation or cancellation of any such Permit. 

 

	(n)	 Environmental. 

 

	 	(i)	 The Company has conducted, and is conducting, its business in compliance in all material respects with
Environmental Laws. 

  

	 	(ii)	 None of the properties owned or leased by the Company has been used to generate, manufacture, refine, treat,
recycle, transport, store, handle, dispose, transfer, produce or process Hazardous Substances except in compliance in all material respects with all Environmental Laws. 

 

	 	(iii)	 The Company has not caused or permitted the release of any Hazardous Substances at, in, on, under or from
any property owned or leased by it except in compliance in all material respects with all Environmental Laws. 

  

	 	(iv)	 All Hazardous Substances handled, recycled, disposed of, treated or stored on or off-site of any of the properties owned or leased by the Company have been handled, recycled, disposed of, treated and stored in material compliance with all Environmental Laws and, to the knowledge of the Company,
there are no Hazardous Substances at, in, on, under or migrating from any of the aforementioned properties except in material compliance with all Environmental Laws. 

 

	 	(v)	 The Company is in possession of all required environmental approvals (all of which are being complied with
in all material respects) required to own, lease, operate, develop and exploit the properties (as and when acquired) and conduct its business as it is now being conducted. 

 

	 	(vi)	 No environmental, reclamation or abandonment obligation or work orders or other liabilities presently exist
with respect to any portion of the properties owned or leased by the Company and, to the knowledge of the Company, there is no basis for any such obligations or liabilities to arise in the future as a result of any activity on any of these
properties owned or leased by the Company. 

  

	 	(vii)	 The Company has not received from any Person or Governmental Authority any notice, formal or informal, of
any proceeding, action or other claim, liability or potential liability arising under any Environmental Law that is pending which would be likely to result in any material action being taken by any Governmental Authority or any other Person.

  

	(o)	 Assets. The Company owns or otherwise holds good and valid legal title to, or holds a valid leasehold
interest in, all material assets and properties that are required to conduct its business and operations as presently conducted, and there are no Encumbrances (other than Permitted Encumbrances) on any such assets or properties that would,
individually or in the aggregate, materially detract from the value of any such assets or properties or materially and adversely impact the normal use and operation thereof by the Company in the ordinary course of business. 

  
 - 28 - 

	(p)	 Employment and Labour Matters. 

 

	 	(i)	 The Company is not a party to or bound or governed by, or subject to, or has any liability with respect to
(i) any collective bargaining or union agreement or other similar arrangement with any labour union or employee associate, or any actual or, to the knowledge of the Company, threatened application for certification or bargaining rights in
respect of the Company or (ii) any labour dispute, work stoppage or slowdown, strike or lock-out relating to or involving any employees of the Company. 

 

	 	(ii)	 The Company has operated in material compliance with all Applicable Laws with respect to employment and
labour in all material respects, including employment and labour standards, occupational health and safety, employment equity, pay equity, workers’ compensation, human rights, labour relations and privacy and, except for proceedings that would
not reasonably be expected to have a Material Adverse Change, there are no current, pending or, to the knowledge of the Company, threatened proceedings by or before any Governmental Authority with respect to any such matters. 

 

	 	(iii)	 Each material plan for retirement, bonus, stock purchase, profit sharing, stock option, deferred
compensation, severance or termination pay, insurance, medical, hospital, dental, vision care, drug, sick leave, disability, salary continuation, legal benefits, unemployment benefits, vacation, pension, incentive or otherwise contributed to, or
required to be contributed to, by the Company for the benefit of any current or former officer, director, employee or consultant of the Company has been maintained in material compliance with the terms thereof and with the requirements prescribed by
any and all statutes, orders, rules, policies and regulations that are applicable to any such plan. 

  

	(q)	 ERISA Compliance. It has no Title IV Plans or Multiemployer Plans. Except for those that would not,
in the aggregate, reasonably be expected to cause a Material Adverse Change, (i) each Benefit Plan, and each trust thereunder, intended to qualify for tax exempt status under Section 401 or 501 of the Code or other Applicable Law so
qualifies, (ii) each Benefit Plan is in compliance with applicable provisions of ERISA, the Code and other Applicable Law, (iii) there are no existing or pending (or to the knowledge of the Company, threatened) claims (other than routine
claims for benefits in the normal course), sanctions, actions, lawsuits or other proceedings or investigation involving any Benefit Plan to which the Company incurs or otherwise has or could reasonably be expected to have an obligation or any
liability and (iv) no ERISA Event has occurred or is reasonably expected to occur. On the Effective Date, no ERISA Event has occurred in connection with which material obligations or material liabilities of the Company remain outstanding.

  

	(r)	 Insolvency. The Company has not admitted in writing that it is, or has been declared to be, insolvent
or unable to pay its debts. The Company has not committed an act of bankruptcy or sought protection from its creditors before any court or pursuant to any legislation, proposed a compromise or arrangement to its creditors generally, taken any
proceeding with respect to a compromise or arrangement, taken any proceeding to be declared 

  
 - 29 - 

	 	 
bankrupt or wound up, taken any proceeding to have a receiver appointed of any of its assets, had any Person holding any Encumbrance, charge, hypothec, pledge, mortgage, title retention agreement
or other security interest or receiver take possession of any of its property, had an execution or distress become enforceable or levied upon any portion of its property or had any petition for a receiving order in bankruptcy filed against it.

  

	(s)	 Legal Proceedings. There is no material action, suit or proceeding, at law or in equity, by any
Person, nor any arbitration, administrative or other proceeding by or before (or to the knowledge of the Company any investigation by) any Governmental Authority pending, or, to the knowledge of the Company, threatened against or affecting the
Company or any of its property or rights and, to the knowledge of the Company, there is no valid basis which would reasonably be expected to result in any such action, suit, proceeding, arbitration or investigation or which would reasonably be
expected to prevent or delay the issuance of this Debenture, the execution and delivery of any of the other Transaction Documents, or have a Material Adverse Change on the Company or its assets. The Company is not subject to any judgment, order or
decree entered in any lawsuit or proceeding. 

  

	(t)	 Insurance. The assets, business and operations of the Company are insured against loss or damage with
responsible insurers on a basis consistent with insurance obtained by reasonably prudent participants in a comparable business in comparable circumstances and such coverage is in full force and effect, and the Company shall not fail to promptly give
any notice or present any material claim thereunder. 

  

	(u)	 Intellectual Property. 

 

	 	(i)	 Ownership. Other than Licensed Intellectual Property, the Company owns all right, title and interest
in and to all Intellectual Property used in and necessary to conduct the business of the Company as currently conducted or contemplated to be conducted by the Company (the “Company Intellectual Property”), free and clear of any
Encumbrances (other than Permitted Encumbrances). The Company Intellectual Property is fully transferable, alienable and licensable by the Company without restriction. No Person, including any employee, former employee or current or former
consultant of the Company has an interest in or right to use any portion of the Company Intellectual Property. Other than Licensed Intellectual Property, the Company’s products and services contain no Intellectual Property in which any third
party may claim superior, joint or common ownership. The Company does not have an obligation to grant any Person any licenses or other rights in or to the Company Intellectual Property. All Persons who have created material Company Intellectual
Property in which copyright subsists have waived their moral rights in favour of the Company. 

  

	 	(ii)	 Registration and Use. All registered Intellectual Property owned by the Company is valid, subsisting,
enforceable and in full force and effect. The Company has not used or enforced, or failed to use or enforce, or taken any other action with respect to any Company Intellectual Property that could limit its validity or enforceability or result in its
invalidity or full or partial cancellation. 

  
 - 30 - 

	 	(iii)	 Licences. The Company has a licence to use any Intellectual Property used in the Company’s
business that is not Company Intellectual Property (the “Licensed Intellectual Property”). To the Company’s knowledge, all Licensed Intellectual Property is valid, subsisting and enforceable. All contracts under which the
Licensed Intellectual Property is licensed to the Company are in full force and effect and the Company is not in breach of any provision of any such contract. 

 

	 	(iv)	 Oppositions, etc. There is no interference, opposition, cancellation,
re-examination or other contest, proceeding, hearing, investigation, charge, complaint, demand, or dispute pending, threatened or previously threatened against the Company Intellectual Property. No
Governmental Authority has disputed, as of the date hereof, the Company’s right to register or maintain registration of any Company Intellectual Property where the Company has applied for such registration, except where such dispute has been
resolved in favour of issuing or continuing such registration. 

  

	 	(v)	 No infringement. The Company has not received written notice of any claim or allegation by any Person
that the Company has infringed, or that the operation of the business (including the use of the Company Intellectual Property and Licensed Intellectual Property), infringes upon, misappropriates, depreciates, or violates, any Intellectual Property
or other rights (including privacy and publicity rights) of any other Person or constitutes unfair competition or trade practices under the laws of Canada or the United States and the Company is not aware of any facts that would be a reasonable
basis therefor. No Person has questioned the right of the Company to unconditionally use, possess, transfer, distribute or otherwise dispose of any Company Intellectual Property. 

 

	 	(vi)	 No infringement by Third Parties. No other Person has infringed, misappropriated, depreciated,
violated or made unauthorized use of the Company Intellectual Property or the Company’s Confidential Information. 

  

	 	(vii)	 Full Rights and Effect of Transactions. The Company’s rights in the Company Intellectual
Property and the Licensed Intellectual Property will not be adversely affected as a result of or in connection with the execution and delivery of this Debenture or any of the other Transaction Documents. 

 

	 	(viii)	 Unregistered rights. To the Company’s knowledge, there is no fact or circumstance which would
prevent the Company’s unregistered copyrights, trade-marks or other source identifiers from being registered in Canada or the United States. 

  

	 	(ix)	 Viruses, etc. The Company has taken all actions which a reasonably prudent Person in a similar
industry would take to protect against the existence of any so-called computer viruses, worms, trap or back doors, Trojan horses or other instructions, codes, programs, data or materials which could
improperly, wrongfully and/or without the authorization of the Company, interfere with the operation or use of the Company’s computer systems. 

  
 - 31 - 

	 	(x)	 Privacy. The Company is in compliance with all Applicable Laws relating to the privacy of individuals
and the protection and disclosure of personal information. 

  

	(v)	 Accuracy of Disclosure. All written and factual information previously or contemporaneously furnished
to the Creditor by or on behalf of the Company for purposes of or in connection with this Debenture, the other Transaction Documents or any transaction contemplated hereby or thereby, is true and accurate in every material respect and such
information is not incomplete by the omission of any material fact necessary to make such information not misleading. 

  

	(w)	 No Withholding of Information. The Company has not withheld from the Creditor any fact or information
relating to itself, its business or to the transactions contemplated by this Debenture or the other Transaction Documents that would, in the reasonable opinion of the Company, be material to the Creditor in deciding whether to enter into this
Debenture and the other Transaction Documents. 

  

	(x)	 Regulated Entities. The Company is not (a) an “investment company” within the meaning
of the Investment Company Act of 1940 or (b) subject to regulation under the Federal Power Act, the Interstate Commerce Act, any state public utilities code, or any other federal or state statute, rule or regulation limiting its ability to
incur indebtedness, pledge its assets or perform its obligations under the Transaction Documents. 

  

	(y)	 Brokers’ Fees; Transaction Fees. The Company does not have any obligation to any Person in
respect of any finder’s, broker’s or investment banker’s fee in connection with the transactions contemplated hereby. 

  

	(z)	 Foreign Assets Control Regulations; Anti-Money Laundering; Anti-Corruption Practices.

  

	 	(i)	 The Company is in compliance with all U.S. economic sanctions laws, Executive Orders and implementing
regulations (“Sanctions”) as administered by the U.S. Treasury Department’s Office of Foreign Assets Control (“OFAC”) and the U.S. State Department. The Company (i) is not a Person on the list of the
Specially Designated Nationals and Blocked Persons (the “SDN List”), (ii) is not a person who is otherwise the target of U.S. economic sanctions laws such that a U.S. person cannot deal or otherwise engage in business
transactions with such person, (iii) is not a Person organized or resident in a country or territory subject to comprehensive Sanctions (a “Sanctioned Country”), and (iv) is not owned or controlled by (including by virtue
of such Person being a director or owning voting shares or interests), or acts, directly or indirectly, for or on behalf of, any Person on the SDN List or a government of a Sanctioned Country such that the entry into, or performance under, this
Debenture or any other Transaction Document would be prohibited by U.S. law. 

  

	 	(ii)	 The Company is in compliance with all laws related to terrorism or money laundering including: (i) all
applicable requirements of the Currency and Foreign Transactions Reporting Act of 1970 (31 U.S.C. 5311 et. seq., (the Bank Secrecy 

  
 - 32 - 

	 	 
Act)), as amended by Title III of the USA Patriot Act, (ii) the Trading with the Enemy Act, (iii) Executive Order No. 13224 on Terrorist Financing, effective September 24,
2001 (66 Fed. Reg. 49079), any other enabling legislation, executive order or regulations issued pursuant or relating thereto and (iv) other applicable federal, provincial or state laws relating to “know your customer” or anti-money
laundering rules and regulations. No action, suit or proceeding by or before any court or Governmental Authority with respect to compliance with such anti-money laundering laws is pending or threatened to the knowledge of the Company.

  

	 	(iii)	 The Company is in compliance with all applicable anti-corruption laws, including the U.S. Foreign Corrupt
Practices Act of 1977 (“Anti-Corruption Laws”). Neither the Company, nor to the knowledge of the Company, any director, officer, agent, employee, or other person acting on behalf of the Company, has taken any action, directly or
indirectly, that would result in a violation of applicable Anti-Corruption Laws. The Company has instituted and will continue to maintain policies and procedures designed to promote compliance with applicable Anti-Corruption Laws.

  

	3.4	 Survival of Representations and Warranties 

The representations and warranties of the Company contained in this Debenture and in all certificates delivered pursuant to or contemplated by
this Debenture will survive the execution of this Debenture. Each representation and warranty will be deemed to repeat on the date of the Tranche 2 Advance (if made), with reference to the facts and circumstances then subsisting, as if made at such
time (including with respect to any Subsidiary of the Company formed after the Effective Date). 
 ARTICLE FOUR 

CONDITIONS PRECEDENT 
  

	4.1	 Conditions Precedent to Closing and the Initial Advance 

The effectiveness of this Debenture and the obligation of the Creditor to make the Initial Advance under this Debenture will be subject to the
completion of each of the following conditions precedent to the satisfaction of the Creditor: 
  

	(a)	 the execution and delivery of each of the Transaction Documents to which it is a party by the Company in
form and substance satisfactory to the Creditor; 

  

	(b)	 the Company shall have obtained and provided evidence to the Creditor of all necessary corporate approvals;

  

	(c)	 the Company shall have delivered an officer’s certificate attaching certified copies of its constating
documents, a certificate of incumbency and certified directors’ resolutions of the Company authorizing the transactions contemplated hereby; 

  

	(d)	 all required filings and registrations shall have been made which, in the reasonable opinion of the
Creditor’s counsel, are desirable or required to make effective the Security Interest 

  
 - 33 - 

	 	 
created or intended to be created by the Company in favour of the Creditor and to ensure the perfection and priority of the Security Interest; and 

 

	(e)	 confirmation that no default or Event of Default exists under any of the Transaction Documents.

  

	4.2	 Conditions Precedent to the Tranche 2 Advance 

The obligation of the Creditor to make the Tranche 2 Advance under this Debenture will be subject to the completion of each of the following
conditions precedent to the satisfaction of the Creditor (collectively, the “Tranche 2 Conditions”): 
  

	(a)	 the Company’s EBITDA for any 90 day period (the “90 Day Period”) is greater than or
equal to 2.0 times the interest costs associated with the aggregate of the Initial Advance; 

  

	(b)	 the Company’s business plan as delivered to the Creditor for the 12 months following the applicable 90
Day Period supports an Interest Coverage Ratio of at least 2.00:1; 

  

	(c)	 the Company shall have delivered a notice in writing to the Creditor at least 30 days prior to the date of
advance, which notice must (i) request the Creditor to make the Tranche 2 Advance, (ii) set out the date the Company wishes to receive the Tranche 2 Advance (which date must be at least 30 days following the date of such notice) and
(iii) confirm that each of the Tranche 2 Conditions have been met; 

  

	(d)	 the Company shall have delivered to the Creditor an officer’s certificate certifying that, as of the
date of the Tranche 2 Advance (i) each representation and warranty set forth in Section 3.3 of this Debenture remains true and correct in all material respects (except that such materiality qualifier shall not be applicable to (x) the
representation and warranty set out in Section 3.3(m) and (y) any representation and warranty that is already qualified or modified by materiality in the text thereof) (unless such representation and warranty is made as of a specific date
in which event it will be true and correct as of such date) and (ii) no Event of Default has occurred and is continuing under any of the Transaction Documents; and 

 

	(e)	 such other documents, information and deliveries as may be reasonably required by the Creditor.

 ARTICLE FIVE 

EVENTS OF DEFAULT 
  

	5.1	 Events of Default.  

The occurrence of any of the following events shall constitute an “Event of Default” under this Debenture: 

 

	(a)	 if the Company fails to pay (i) any principal amount owing under this Debenture when due, or
(ii) any interest or any other amounts payable under this Debenture or any other 

  
 - 34 - 

	 	 
Transaction Document within ten (10) Business Days after the date such interest or other amount is due; 

 

	(b)	 if a default occurs, which continues after the passage of any applicable cure period, under any agreement or
instrument evidencing indebtedness of the Company; 

  

	(c)	 if any representation or warranty contained in this Debenture or any other Transaction Document is or
becomes false or incorrect in any material respect (except that such materiality qualifier shall not be applicable to (x) the representation and warranty set out in Section 3.3(m) and (y) any representation and warranty that is
already qualified or modified by materiality in the text thereof) subject in the case of representations and warranties that are capable of being cured (which for certainty, shall not include the representation and warranty set out in
Section 3.3(m)), to a grace period of thirty (30) days following the Company becoming aware of or receiving notice of the inaccuracy of the representation or warranty; 

 

	(d)	 if any representation or warranty contained in the Arrangement Agreement is or becomes false or incorrect in
any material respect subject in the case of representations and warranties that are capable of being cured, to a grace period of thirty (30) days following the Company becoming aware of or receiving notice of the inaccuracy of the
representation or warranty; 

  

	(e)	 if the Company fails to perform or comply with any covenant or obligations contained in this Debenture or
any other Transaction Document which, in the case of covenants that are capable of being cured (which for certainty, shall not include the covenants set out in Sections 3.1(j)(ii), 3.1(p), 3.1(q), 3.2(j), 3.2(m) and 3.2(o)), is not remedied within
thirty (30) days after the Company becoming aware of or receiving written notice of such failure to perform or comply; 

  

	(f)	 (i) if the Parent fails to perform or comply with any covenant or obligations contained in the Arrangement
Agreement which is not remedied within thirty (30) days after written notice thereof is given to the Company by the Creditor, including for greater certainty, a material deviation from the Approved Business Plan (as defined in the Amendment) or (ii)
in the event that the Parent or its Affiliates are operating outside of the Identified States (as defined in the Amendment) at any time following the date that is eighteen (18) months from the date of this Debenture; 

 

	(g)	 if the Company, any Subsidiary of the Company or any Material Subsidiary commits an act of bankruptcy or
institutes or consents to the institution of any bankruptcy proceeding or a petition or other process for the bankruptcy of the Company, any Subsidiary of the Company or any Material Subsidiary is filed or instituted without consent of the Company
and remains undismissed or unstayed for a period of forty-five (45) days or any of the relief sought in such proceeding (including the appointment of a receiver, trustee, custodian or other similar official for it or any substantial part of its
property) shall occur; 

  

	(h)	 the admission in writing by the Company, any Subsidiary of the Company or any Material Subsidiary of its
inability to pay its debts generally as they become due; 

  
 - 35 - 

	(i)	 the making by the Company, any Subsidiary of the Company or any Material Subsidiary of a general assignment
for the benefit of its creditors; 

  

	(j)	 if any action or proceeding is launched or taken to terminate the corporate existence of the Company, any
Subsidiary of the Company or any Material Subsidiary, whether by winding-up, surrender of charter or otherwise; 

  

	(k)	 if any proposal is made or any petition is filed by or against the Company, any Subsidiary of the Company or
any Material Subsidiary under any law having for its purpose the extension of time for payment, composition or compromise of the liabilities of the Company, any Subsidiary of the Company or any Material Subsidiary, as applicable, or other
reorganization or arrangement respecting its liabilities and such proposal or petition is not stayed or dismissed within forty-five (45) days or if the Company, any Subsidiary of the Company or any Material Subsidiary gives notice of its
intention to make or file any such proposal or petition including an application to any court to stay or suspend any proceedings of creditors pending the making or filing of any such proposal or petition; 

 

	(l)	 if any receiver, administrator, or manager of the property, assets or undertaking of the Company, any
Subsidiary of the Company or any Material Subsidiary or a substantial part thereof is appointed, whether privately, pursuant to any statute, or by or under any judgment or order of any court; 

 

	(m)	 if the Company, any Subsidiary of the Company or any Material Subsidiary ceases to carry on its business or
makes or proposes to make any sale of its assets in bulk or any sale of its assets out of the usual course of its business, other than sales made in order to comply with the prohibition against operating outside of the Identified States pursuant to
Section 5.1(f)(ii); 

  

	(n)	 if (i) any judgment or judgments for the payment of money in the aggregate amount exceeding
$[COMMERCIALLY SENSITIVE INFORMATION REDACTED] (to the extent not covered by independent third-party insurance) is obtained or entered against the Parent or any of its Subsidiaries (other than the Company and its Subsidiaries) and remains
unpaid or unstayed for forty-five (45) days after the imposition of such judgment, or (ii) any judgment or judgments for the payment of money in the aggregate amount exceeding $[COMMERCIALLY SENSITIVE INFORMATION REDACTED] (to the
extent not covered by independent third-party insurance) is obtained or entered against the Company or any of its Subsidiaries and remains unpaid or unstayed for forty-five (45) days after the imposition of such judgment; 

 

	(o)	 if there is a Change of Control; 

 

	(p)	 if the Company is required to pay, repay, prepay or otherwise retire any of its indebtedness (after the
passage of any applicable cure period); 

  

	(q)	 if a default occurs in respect of any material agreement to which the Company is a party to and any
applicable cure period in respect thereof expires; or 

  
 - 36 - 

	(r)	 if any proceedings are taken to enforce any Encumbrance affecting the assets of the Company or if a distress
or any similar process be levied or enforced against such assets and such proceedings are not dismissed or stayed within forty-five (45) days after the commencement thereof and such proceedings, distress or similar process materially and
adversely affects the Company or its financial condition, business or operations; and without limiting the generality of the foregoing, an item or items of property having a value in excess of $[COMMERCIALLY SENSITIVE INFORMATION REDACTED] in
the aggregate shall be deemed to be material. 

 Upon the occurrence and during the continuance of an Event of Default,
following written notice from the Creditor to the Company, all Obligations shall become forthwith due and payable. 
  

	5.2	 Rights of the Creditor 

The Creditor, without exonerating in whole or in part the Company, may grant time, renewals, extensions, indulgences, releases and discharges
to, may take securities from and give the same and any or all existing securities up to, may abstain from taking securities from or from perfecting securities of, may accept compositions from, and may otherwise deal with the Company and all other
Persons and securities as the Creditor may see fit. 
 Following the occurrence of an Event of Default, and for so long as such event shall
persist, if the Company shall fail to perform any of its covenants or agreements in this Debenture or any other applicable Debenture Transaction Document, the Creditor may (but shall have no obligation to) perform any or all such covenants or
agreements in any manner deemed fit by the Creditor without thereby waiving any rights to enforce the applicable Debenture Transaction Documents. 

Nothing herein shall obligate the Creditor to extend or amend any credit to the Company or to any other Person. 

No failure to exercise and no delay in exercising, on the part of the Creditor, any right, remedy, power or privilege hereunder or under the
other Transaction Documents shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy,
power or privilege. 
 ARTICLE SIX 

GENERAL 
  

	6.1	 Indemnity.  

 

	(a)	 The Company shall indemnify the Creditor, any receiver appointed by the Creditor, and their respective
officers, directors, advisors, legal counsel, employees and representatives (each, an “Indemnified Party”) in connection with all claims, losses, Taxes (but with respect to Taxes, solely in the case of clauses (b) or (c) below)
and expenses that an Indemnified Party may suffer or incur in connection with (a) the exercise by the Creditor or any receiver of any of its rights under this Debenture and the other Transaction Documents, (b) any breach by the Company of
the representations or warranties of the Company contained in this Debenture, or (c) any breach by the Company of, or any failure 

  
 - 37 - 

	 	 
by the Company to observe or perform, any of the Obligations, except that the Company will not be obliged to indemnify any Indemnified Party to the extent those claims, losses and expenses are
determined by a final judgment to have directly resulted from the wilful misconduct or gross negligence of the Indemnified Party. 

  

	(b)	 The Creditor will be constituted as the trustee of each Indemnified Party, other than itself, and shall hold
and enforce each of the rights of the other Indemnified Parties under this section for their respective benefits. 

  

	6.2	 Waiver.  

No act or omission by the Creditor in any manner whatever shall extend to or be taken to affect any provision hereof or any subsequent breach
or default or the rights resulting therefrom save only an express waiver in writing. No waiver of any of the provisions of this Debenture shall be deemed to constitute a waiver of any other provisions (whether or not similar), nor shall such waiver
constitute a waiver or continuing waiver unless expressly provided in writing duly executed by the party to be bound thereby. A waiver of default shall not extend to, or be taken in any manner whatsoever to affect the rights of the Creditor with
respect to any subsequent default, whether similar or not. The Company waives every defence based upon any or all indulgences that may be granted to the Creditor. 
  

	6.3	 No Merger or Novation.  

Neither the taking of any judgment nor the exercise of any power of seizure or sale shall operate to extinguish the liability of the Company to
pay the moneys owing hereby nor shall the same operate as a merger of any covenant herein contained or of any other Obligation, nor shall the acceptance of any payment or security constitute or create any novation. 

 

	6.4	 Confidentiality. 

 

	(a)	 All Confidential Information shall be treated as confidential by the Parties and shall not be disclosed to
any other Person other than in circumstances where a Party has an obligation to disclose such information in accordance with Applicable Law, in which case, such disclosure shall only be made after consultation with the other Parties (if reasonably
practicable and permitted by Applicable Law). 

  

	(b)	 In the event that a Party hereto determines that a public announcement or other disclosure of the
transactions contemplated hereby (each an “Announcement”) becomes necessary under Applicable Law, it will provide notice to the other Party as soon as reasonably possible, and shall not release such Announcement until the form and
content of the Announcement is approved by the other Party acting reasonably. If either of the Parties determines that it is required to publish or disclose the text of this Debenture in accordance with Applicable Law, it shall provide the other
Party with an opportunity to propose appropriate additional redactions to the text of this Debenture, and the disclosing Party hereby agrees to accept any such suggested redactions to the extent permitted by Applicable Law. If a Party does not
respond to a request for comments within 48 hours (excluding days that are not Business Days) or such shorter period of time as the requesting Party has determined is necessary in the circumstances, acting reasonably and in good faith,

  
 - 38 - 

	 	 
the Party making the disclosure shall be entitled to issue the disclosure without the input of the other Party. 

 

	(c)	 Notwithstanding the foregoing, each of the Parties acknowledges and agrees that: 

 

	 	(i)	 the Creditor shall be permitted to disclose all required information in connection with the Transaction
Documents as may be required under applicable securities laws; 

  

	 	(ii)	 each of the Creditor and the Company may disclose Confidential Information to: 

 

	 	A.	 a Person providing financing or funding to the Company or the Creditor, as applicable, together with such
prospective financier’s consultants and advisors (financial and legal); and 

  

	 	B.	 any prospective purchaser of the Creditor’s interest under this Debenture and the other Transaction
Documents, together with such prospective purchaser’s financiers, consultants and advisors (financial and legal), 

so long as, in each case, prior to receiving any such information the recipient enters into a confidentiality agreement with
the disclosing Party pursuant to which the recipient provides a confidentiality undertaking in favour of the Company and the Creditor to maintain the confidentiality of the Confidential Information in a manner consistent with this Debenture; and

  

	 	(iii)	 each of the Parties may disclose Confidential Information to their respective directors, officers and
employees (and the directors, officers and employees of their respective Affiliates) and the directors, officers, partners or employees of any financial, accounting, legal and professional advisors of such Party and its Affiliates, as well as any
contractors and subcontractors of such Party, provided that each of such individuals to whom Confidential Information is disclosed is advised of the confidentiality of such information and is directed to abide by the terms and conditions of this
Section 6.4. 

 The provisions of this Section 6.4 shall apply indefinitely. 

 

	6.5	 Amalgamation or Merger.  

The Company acknowledges that if it amalgamates or merges (as applicable) with any other corporation or corporations (a) the term
“Company”, where used herein shall extend to and include each of the amalgamating or merging corporations and the amalgamated or merged corporation or surviving corporation of such merger, and (b) the term, “Obligations”,
where used herein shall extend to and include the Obligations of each of the amalgamating or merging corporations and the amalgamated or merged corporation. 

  
 - 39 - 

	6.6	 Creditor May Remedy Default.  

If the Company fails to do anything hereby required to be done by it, the Creditor may, but shall not be obliged to, do all or any such things,
and all sums thereby expended by the Creditor shall be payable forthwith by the Company, shall be secured by the Security Agreements and shall form part of the Obligations, but no such performance by the Creditor shall be deemed to relieve the
Company from any default or Event of Default hereunder. 
  

	6.7	 Discharge and Satisfaction.  

Upon payment or satisfaction in full by the Company to the Creditor of all moneys owing hereunder, these presents shall cease and become null
and void, but the Creditor shall upon the request of the Company, execute and deliver to the Company a full release and discharge. 
  

	6.8	 Notices. 

All notices, requests, demands or other communications (collectively, “Notices”) by the terms hereof required or permitted to
be given by one Party to the other Party, or to any other Person shall be given by e-mail as the primary and required form of notice with return receipt confirmed and, as a supplemental form of notice only, in
writing by personal delivery or by registered mail, postage prepaid, or by facsimile transmission to such other party at: 
  

	 	(a)	 to the Creditor at: 

11065220 CANADA INC. 

c/o Canopy Growth Company 

1 Hershey Drive 

Smiths Falls, Ontario 

K7A 0A8 

Attention:    Phil Shaer 

Email:          [PERSONAL INFORMATION REDACTED] 

with a copy to: 

Cassels Brock & Blackwell LLP 

40 King Street West, Suite 2100 

Toronto, Ontario 

M5H 3C2 

Attention:    Jonathan Sherman 

Email:          jsherman@cassels.com 

 

	 	(b)	 to the Company at: 

UNIVERSAL HEMP, LLC 

366 Madison Avenue, 11th Floor 

  
 - 40 - 

 New York, NY 10017 

Attention:    James Doherty, General Counsel 

Email:          [PERSONAL INFORMATION REDACTED] 

with copies (which shall not constitute notice) to: 

DLA Piper (Canada) LLP 

Suite 6000, 1 First Canadian Place 

Toronto, Ontario M5X 1E2 

Attention:    Robert Fonn 

Email:          robert.fonn@dlapiper.com 

and 

Attention:     Russel W. Drew 

Email:           russel.drew@dlapiper.com 

and 

Cozen O’Connor 

One Liberty Place, 1650 Market Street, Suite 2800 

Philadelphia, Pennsylvania 19103 

Attention:    Joseph C. Bedwick 

Email:          JBedwick@cozen.com 

or at such other address as may be given by such Party to the other Party hereto in writing from time to time. All such Notices shall be
deemed to have been received when delivered or transmitted, or, if mailed, seventy-two (72) hours after 12:01 a.m. on the day following the day of the mailing thereof. If any Notice shall have been mailed
and if regular mail service shall be interrupted by strikes or other irregularities, such Notice shall be deemed to have been received seventy-two (72) hours after 12:01 a.m. on the day following the
resumption of normal mail service, provided that during the period that regular mail service shall be interrupted, all Notices shall be given by personal delivery, by facsimile transmission or by e-mail. 

 

	6.9	 Invalidity of any Provisions. 

Any provision of this Debenture which is prohibited by the laws of any jurisdiction shall, as to such jurisdiction, be ineffective to the
extent of such prohibition without invalidating the remaining terms and provisions hereof or thereof and no such invalidity shall affect the obligation of the Company to repay the Obligations. This Debenture and all its provisions shall enure to the
benefit of the Creditor, its successors and assigns and shall be binding upon the Company, its successors and assigns. Presentment, notice of dishonour, protest and notice of protest hereof are hereby waived. 

  
 - 41 - 

	6.10	 Amendments. 

This Debenture may only be amended by written agreement signed by each of the Parties hereto. 

 

	6.11	 Entire Agreement. 

This Debenture sets forth the entire understanding of the Parties with respect to the subject matter hereof and supersedes all existing
agreements between them concerning such subject matter. 
  

	6.12	 Assignments. 

The Creditor may, subject to Applicable Law, assign, transfer or deliver all or any portion of the Debenture, the other Debenture Transaction
Documents and its rights and obligations hereunder and thereunder to any Affiliate without the consent of the Company; provided, however, the Creditor may not assign, transfer or deliver any of its aforementioned rights without the consent of the
Company if such assignment, transfer or delivery would have a material adverse impact with respect to any of the Company’s obligations under Section 2.6. The Company may not assign, transfer or deliver all or any portion of the Debenture,
the other Debenture Transaction Documents or its rights and obligations hereunder or thereunder without the prior written consent of the Creditor. 
  

	6.13	 No Notice of Trust. 

The Creditor or its legal representative will be regarded as exclusively entitled to the benefit of this Debenture and all Persons may act
accordingly and the Company shall not be bound to enter in the register notice of any trust or, except as by some court of competent jurisdiction ordered, to recognize any trust or equity affecting the title to this Debenture. 

 

	6.14	 Judgment Currency. 

 

	(a)	 If, for the purposes of obtaining judgment in any court, it is necessary to convert a sum due to the
Creditor in any currency (the “Original Currency”) into another currency (the “Other Currency”), the Parties agree, to the fullest extent that they may effectively do so, that the rate of exchange used shall
be that at which, in accordance with normal banking procedures, the Creditor could purchase the Original Currency with the Other Currency on the Business Day preceding the day on which final judgment is given or, if permitted by Applicable Law, on
the day on which the judgment is paid or satisfied. 

  

	(b)	 The Obligations of the Company in respect of any sum due in the Original Currency from it to the Creditor
under this Debenture shall, notwithstanding any judgment in any Other Currency, be discharged only to the extent that on the Business Day following receipt by the Creditor of any sum adjudged to be so due in the Other Currency, the Creditor may, in
accordance with normal banking procedures, purchase the Original Currency with such Other Currency. If the amount of the Original Currency so-purchased is less than the sum originally due to the Creditor in
the Original Currency, the Company agrees, as a separate obligation and notwithstanding the judgment, to indemnify the Creditor, against any loss, and, if the amount of the Original Currency so purchased exceeds the sum originally due

  
 - 42 - 

	 	 
to the Creditor in the Original Currency, the Creditor shall remit such excess to the Company. 

  

	6.15	 Further Assurances. 

The Company shall, at the Company’s expense and upon request of the Creditor, duly execute and deliver, or cause to be duly executed and
delivered, to the Creditor such further instruments and do and cause to be done such further acts as may be necessary or proper in the reasonable opinion of the Creditor to carry out more effectively the provisions and purposes of this Debenture and
the other Debenture Transaction Documents. 
  

	6.16	 Expenses. 

Whether or not the transactions contemplated by this Debenture shall be consummated, each Party agrees that it shall bear its own costs and
expenses incurred in connection with the preparation, negotiation and execution of the Debenture, and any amendment, modification, administration, interpretation or waiver of any of the provisions thereof. The Company shall pay all documented
costs and expenses (including legal fees) incurred by the Creditor, or its agents on its behalf, in connection with the protection and enforcement of the rights of the Creditor provided for in this Debenture and the other Debenture Transaction
Documents. All statements, reports, certificates, opinions, appraisals and other documents or information required to be furnished from time to time to the Creditor by the Company under this Debenture shall be supplied by the Company without cost to
the Creditor. 
  

	6.17	 Legal Holidays.  

If any payment date is not a Business Day, the applicable payment due on such day shall be made on the next Business Day, and interest shall
continue to accrue on the said principal amount during such stub period and shall also be paid on such next Business Day. 
  

	6.18	 Payments without Deduction. 

All payments to be made by the Company under this Debenture (whether on account of principal, interest, fees, costs or any other amount) shall
be made in Dollars and shall be made in freely transferable, immediately available funds and without set-off, withholding or deduction of any kind whatsoever, except to the extent required by Applicable Law.

  

	6.19	 Execution; Counterparts. 

This Debenture may be executed (including by way of electronic signature) in counterparts (and, to the extent applicable, by different parties
hereto in different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Debenture and the other Transaction Documents constitute the entire contract among the
Parties relating to the subject matter hereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof. Delivery of an executed counterpart of a signature page of this Debenture by
telecopy, DocuSign or by sending a scanned copy by electronic mail shall be effective as delivery of a manually executed counterpart of this Debenture. 

  
 - 43 - 

 [SIGNATURE PAGE TO FOLLOW] 

  
 - 44 - 

 IN WITNESS WHEREOF the Company has caused this Debenture to be executed as of the
date first written above. 
  

			
	 UNIVERSAL HEMP, LLC

		
	 Per:
	 	 /s/ Robert Daino

	 Name:
	 	 Robert Daino

	 Title:
	 	 President

		
	 Per:
	 	 /s/ James Doherty

	 Name:
	 	 James Doherty

	 Title:
	 	 Vice President and Secretary

	
	 I/we have authority to bind the Company.

 Debenture 

 SCHEDULE A 

GRID 
  

									
	 Date
	  	Amount of
Advance	  	Amount of
Repayment	  	Unpaid
Principal
Balance	  	Notation
Made By
	 September 23, 2020
	  	USD$50,000,000	  	Nil	  	USD$50,000,000	  	Creditor

 SCHEDULE B 

LOCATION OF ASSETS AND BUSINESS 
  

	 	1.	 Chief Executive Office: 366 Madison Avenue, 11th Floor, New York, NY 10017 USA, to be moved in October 2020
to 450 Lexington Avenue, #3308, New York, New York 10163 USA. 

  

	 	2.	 Registered Office: Corporation Service Company 251 Little Falls Drive, Wilmington, DE 19808.

  
 - 2 - 

 EXHIBIT A 

COMPLIANCE CERTIFICATE 

To:    11065220 CANADA INC. (the “Creditor”) 

Reference is made to that debenture issued by UNIVERSAL HEMP, LLC to the Creditor on September 23, 2020, in an aggregate principal
amount of USD$100,000,000 (the “Debenture”). All capitalized terms used and not otherwise defined herein have the meaning given to such terms in the Debenture. 

This Compliance Certificate is delivered pursuant to Subsection 3.1(m)(ii) of the Debenture. 

The undersigned responsible officer of the Company hereby certifies as of the date hereof that he/she is the duly appointed ● of the
Company, and is authorized to execute and deliver this Compliance Certificate to the Creditor on behalf of the Company, and that: 
  

	 	1.	 The Company is in compliance: 

 

	 	i.	 in all respects, with all Applicable Laws in the United States, including the CSA; and

  

	 	ii.	 in all material respects, with all other Applicable Laws. 

 

	 	2.	 The Company is in compliance with its Compliance Programs in all material respects. Such internal compliance
programs have been periodically reviewed and updated to account for any changes in the laws and regulations applicable to the business, affairs and operations of the Company. 

 

	 	3.	 The Company has not received any communication from any Governmental Authority since the date of the last
Compliance Certificate. If the Company has received any communication from any Governmental Authority, it has notified the Creditor and provided written copies of all such correspondence and any responses by the Company thereto.

  

	 	4.	 The Company has not received any communication in connection with: (i) any potential, actual or alleged
violation of, or non-compliance with, Applicable Law; (ii) any investigation or audit by any Governmental Authority; or (iii) any violations of, or
non-compliance with, any Applicable Law which could reasonably be expected to result in fines or penalties or otherwise result in a material adverse effect on the business, affairs or operations of the Company
or its Affiliates. 

  

	 	5.	 The Company has performed and observed, in all material respects (except that such materiality qualifier
shall not be applicable to (x) the covenants set out in Sections 3.1(j)(ii), 3.1(p), 3.1(q), 3.2(j), 3.2(m) and 3.2(o) of the Debenture and (y) any covenant that is already qualified or modified by materiality in the text thereof) , each
covenant and 

	 	 
condition of the Debenture, applicable to it, and, since the date of the last Compliance Certificate has not been in and is not currently in breach of any such covenant or condition.

  

	 	6.	 Each representation and warranty of the Company set forth in Section 3.3 of the Debenture is true and
correct as of the date hereof with the same force and effect as if made on and as of the date hereof. 

 IN WITNESS
WHEREOF, the undersigned has executed this Compliance Certificate as of, ● 20●. 
  

			
	 UNIVERSAL HEMP, LLC

		
	 By:
	 	  

		 	 Name:

		 	 Title:

  
 - 2 -EX-10.2

 Exhibit 10.2 

CALIBER HOME LOANS, INC. 

2020 STOCK INCENTIVE PLAN 
  

	1.	 Purpose 

The purpose of this Caliber Home Loans, Inc. 2020 Stock Incentive Plan (the “Plan”) is to promote and closely align the interests of
employees, officers, non-employee directors and other service providers of Caliber Home Loans, Inc. (the “Company”) and its stockholders by providing stock-based compensation and other
performance-based compensation. The objectives of the Plan are to attract and retain the best available employees for positions of substantial responsibility and to motivate Participants to optimize the profitability and growth of the Company
through incentives that are consistent with the Company’s goals and that link the personal interests of Participants to those of the Company’s stockholders. The Plan provides for the grant of Options, Stock Appreciation Rights, Restricted
Stock Units and Restricted Stock, any of which may be performance-based, and for Incentive Bonuses, which may be paid in cash or stock or a combination thereof, as determined by the Committee. 

 

	2.	 Definitions 

As used in the Plan, the following terms shall have the meanings set forth below: 

(a) “Affiliate” means any entity in which the Company has a substantial direct or indirect equity interest, as
determined by the Committee from time to time. 
 (b) “Act” means the Securities Exchange Act of 1934, as amended,
or any successor thereto. 
 (c) “Award” means an Option, Stock Appreciation Right, Restricted Stock Unit,
Restricted Stock or Incentive Bonus granted to a Participant pursuant to the provisions of the Plan, any of which may be subject to performance conditions. 

(d) “Award Agreement” means a written or electronic agreement or other instrument as may be approved from time to time
by the Committee and designated as such implementing the grant of each Award. An Award Agreement may be in the form of an agreement to be executed by both the Participant and the Company (or an authorized representative of the Company) or
certificates, notices or similar instruments as approved by the Committee and designated as such. 
 (e) “Beneficial
Owner” shall have the meaning set forth in Rule 13d-3 under the Act. 
 (f)
“Board” means the board of directors of the Company. 
 (g) “Cause” has the meaning set
forth in an Award Agreement or other written employment or services agreement between the Participant and the Company or an Affiliate, or if no such meaning applies, means a Participant’s Termination of Employment by the Company or an Affiliate
by reason of the Participant’s (i) material breach of his or her obligations under any agreement, including any employment agreement, that the Participant has entered into with the Company or an Affiliate; (ii) intentional misconduct
as an officer, employee, director, consultant 

 
or advisor of the Company or a material violation by the Participant of written policies of the Company; (iii) breach of any fiduciary duty which the Participant owes to the Company;
(iv) commission by the Participant of (A) a felony, (B) fraud, embezzlement or dishonesty, or (C) a crime involving moral turpitude; (v) the habitual use of illicit drugs or other illicit substances; or (vi) unexplained
absence from work or service for more than 10 days in any 12-month period (vacation, reasonable personal leave, reasonable sick leave and disability excepted). A Participant’s employment or service will
be deemed to have been terminated for Cause if it is determined subsequent to such Participant’s Termination of Employment that grounds for a Termination of Employment for Cause existed at the time of such Termination of Employment. 

(h) “Change in Control” means the occurrence of any one of the following: 

(i) any Person, other than any Lone Star Affiliates (as defined below), is or becomes the Beneficial Owner, directly or
indirectly, of securities of the Company (not including in the securities beneficially owned by such Person or any securities acquired directly from the Company or its Affiliates) representing 35% or more of the combined voting power of the
Company’s then outstanding securities, excluding any Person who becomes such a Beneficial Owner in connection with a transaction described in Section 2(h)(iii)(A) below; 

(ii) the following individuals cease for any reason to constitute a majority of the number of directors then serving:
(A) individuals who, on the Effective Date (as defined below), constitute the Board and (B) any new director (other than a director whose initial assumption of office is in connection with an actual or threatened election contest,
including a consent solicitation, relating to the election of directors of the Company) whose appointment or election by the Board or nomination for election by the Company’s stockholders was approved or recommended by a vote of at least a
majority of the directors then still in office who were either directors on the Effective Date or whose appointment, election or nomination for election was previously so approved or recommended; 

(iii) there is consummated a merger or consolidation of the Company or any direct or indirect subsidiary of the Company with
any other corporation, other than (A) a merger or consolidation which would result in the holders of the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining
outstanding or by being converted into voting securities of the surviving entity or any parent thereof) at least 50% of the combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately
after such merger or consolidation; or 
 (iv) the implementation of a plan of complete liquidation or dissolution of the
Company; or 
 (v) there is consummated a sale or disposition by the Company of all or substantially all of the
Company’s assets, other than a sale or disposition by the Company of all or substantially all of the Company’s assets to (A) an entity, at least 50% of the combined voting power of the voting securities of which is owned by
stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale, or (B) any Lone Star Affiliates. 

  
 2 

 (i) “Code” means the Internal Revenue Code of 1986, as amended from
time to time, and the rulings and regulations issued thereunder. 
 (j) “Committee” means the Compensation Committee
of the Board (or any successor committee) or such other committee as designated by the Board to administer the Plan under Section 6. 

(k) “Common Stock” means the common stock of the Company, $[0.0001] par value per share, or such other class or kind
of shares or other securities as may be applicable under Section 15. 
 (l) “Company” means Caliber Home Loans,
Inc., a Delaware corporation, and except as utilized in the definition of Change in Control, any successor corporation. 
 (m)
“Disability” means, as determined by the Committee in its discretion exercised in good faith, a physical or mental condition of a Participant that would entitle him or her to payment of disability income payments under the
Company’s long-term disability insurance policy or plan for employees as then in effect; or in the event that a Participant is not covered, for whatever reason under the Company’s long-term disability insurance policy or plan for employees
or in the event the Company does not maintain such a long-term disability insurance policy, “Disability” means a permanent and total disability as defined in section 22(e)(3) of the Code. A determination of Disability may be
made by a physician selected or approved by the Committee and, in this respect, Participants shall submit to an examination by such physician upon request by the Committee. 

(n) “Dividend Equivalents” mean an amount payable in cash or Common Stock, as determined by the Committee, with
respect to a Restricted Stock Unit Award equal to the dividends that would have been paid to the Participant if the shares underlying the Award had been owned by the Participant. 

(o) “Effective Date” means the date on which the Plan takes effect, as defined pursuant to Section 4 of the Plan.

 (p) “Eligible Person” any current or prospective employee, officer,
non-employee director or other service provider of the Company or any of its Subsidiaries; provided however that Incentive Stock Options may only be granted to employees. 

(q) “Fair Market Value” means as of any date, the value of the Common Stock determined as follows: (i) if the
Common Stock is listed on any established stock exchange, system or market, its Fair Market Value shall be the closing price for the Common Stock as quoted on such exchange, system or market as reported in the Wall Street Journal or such other
source as the Committee deems reliable (or, if no sale of Common Stock is reported for such date, on the next preceding date on which any sale shall have been reported); and (ii) in the absence of an established market for the Common Stock, the
Fair Market Value thereof shall be determined in good faith by the Committee by the reasonable application of a reasonable valuation method, taking into account factors consistent with Treas. Reg. §
409A-1(b)(5)(iv)(B) as the Committee deems appropriate. 

  
 3 

 (r) “Incentive Bonus” means a bonus opportunity awarded under
Section 11 pursuant to which a Participant may become entitled to receive an amount based on satisfaction of such performance criteria established for a specified performance period as specified in the Award Agreement. 

(s) “Incentive Stock Option” means a stock option that is intended to qualify as an “incentive stock option”
within the meaning of Section 422 of the Code. 
 (t) “Lone Star Affiliates” means Lone Star Fund V (U.S.),
L.P., Lone Star Fund VI (U.S.), L.P., and any entity in which such entity has a substantial direct or indirect equity interest or which is otherwise under common control with such entity, as determined by the Committee from time to time. 

(u) “Nonqualified Stock Option” means a stock option that is not intended to qualify as an “incentive stock
option” within the meaning of Section 422 of the Code. 
 (v) “Option” means a right to purchase a number
of shares of Common Stock at such exercise price, at such times and on such other terms and conditions as are specified in or determined pursuant to an Award Agreement. Options granted pursuant to the Plan may be Incentive Stock Options or
Nonqualified Stock Options. 
 (w) “Participant” means any Eligible Person to whom Awards have been granted from
time to time by the Committee and any authorized transferee of such individual. 
 (x) “Person” shall have the
meaning given in Section 3(a)(9) of the Act, as modified and used in Sections 13(d) and 14(d) thereof, except that such term shall not include (i) the Company or any of its Affiliates, (ii) a trustee or other fiduciary holding
securities under an employee benefit plan of the Company or any of its Subsidiaries, (iii) an underwriter temporarily holding securities pursuant to an offering of such securities or (iv) a corporation owned, directly or indirectly, by the
stockholders of the Company in substantially the same proportions as their ownership of stock of the Company. 
 (y)
“Plan” means the Caliber Home Loans, Inc. 2020 Stock Incentive Plan as set forth herein and as amended from time to time. 

(z) “Restricted Stock” means an Award or issuance of Common Stock the grant, issuance, vesting and/or transferability
of which is subject during specified periods of time to such conditions (including continued employment or engagement or performance conditions) and terms as the Committee deems appropriate. 

(aa) “Restricted Stock Unit” means an Award denominated in units of Common Stock under which the issuance of shares of
Common Stock (or cash payment in lieu thereof) is subject to such conditions (including continued employment or engagement or performance conditions) and terms as the Committee deems appropriate. 

(bb) “Separation from Service” or “Separates from Service” means a Termination of Employment
that constitutes a “separation from service” within the meaning of Section 409A of the Code. 

  
 4 

 (cc) “Stock Appreciation Right” means a right granted that entitles
the Participant to receive, in cash or Common Stock or a combination thereof, as determined by the Committee, value equal to the excess of (i) the Fair Market Value of a specified number of shares of Common Stock at the time of exercise over
(ii) the exercise price of the right, as established by the Committee on the date of grant. 
 (dd)
“Subsidiary” means any business association (including a corporation or a partnership, other than the Company) in an unbroken chain of such associations beginning with the Company if each of the associations other than the
last association in the unbroken chain owns equity interests (including stock or partnership interests) possessing 50% or more of the total combined voting power of all classes of equity interests in one of the other associations in such chain. 

(ee) “Substitute Awards” means Awards granted or Common Stock issued by the Company in assumption of, or in
substitution or exchange for, awards previously granted, or the right or obligation to make future awards, by a company acquired by the Company or any Subsidiary or with which the Company or any Subsidiary combines. 

(ff) “Termination of Employment” means ceasing to serve as an employee of the Company and its Subsidiaries or, with
respect to a non-employee director or other service provider, ceasing to serve as such for the Company and its Subsidiaries, except that with respect to all or any Awards held by a Participant (i) the
Committee may determine that a leave of absence or employment on a less than full-time basis is considered a “Termination of Employment,” (ii) the Committee may determine that a transition from employment to service with a partnership,
joint venture or corporation not meeting the requirements of a Subsidiary in which the Company or a Subsidiary is a party is not considered a “Termination of Employment,” (iii) service as a member of the Board shall constitute continued
employment with respect to Awards granted to a Participant while he or she served as an employee, and (iv) service as an employee of the Company or a Subsidiary shall constitute continued employment with respect to Awards granted to a
Participant while he or she served as a member of the Board or other service provider. The Committee shall determine whether any corporate transaction, such as a sale or spin-off of a division or Subsidiary
that employs or engages a Participant, shall be deemed to result in a Termination of Employment with the Company and its Subsidiaries for purposes of any affected Participant’s Awards, and the Committee’s decision shall be final and
binding. 
  

	3.	 Eligibility 

Any Eligible Person is eligible for selection by the Committee to receive an Award. 
  

	4.	 Effective Date and Termination of Plan 

This Plan became effective on                (the “Effective
Date”). The Plan shall remain available for the grant of Awards until the 10th anniversary of the Effective Date. Notwithstanding the foregoing, the Plan may be terminated at such earlier time as the Board may determine. Termination of
the Plan will not affect the rights and obligations of the Participants and the Company arising under Awards theretofore granted. 

  
 5 

	5.	 Shares Subject to the Plan and to Awards 

(a) Aggregate Limits. The aggregate number of shares of Common Stock issuable under the Plan shall not exceed
                (the “Share Reserve”) plus any shares of Common Stock added as a result of the following sentence.
The Share Reserve will automatically increase on January 1st of each year beginning in 2022 and ending with a final increase on January 1, 2030, in an amount equal
to                % of the total number of shares of Common Stock outstanding on December 31st of the preceding calendar year. The Committee may provide that there will
be no January 1st increase in the Share Reserve for any such year or that the increase in the Share Reserve for any such year will be a smaller number of shares of Common Stock than would otherwise occur pursuant to the preceding sentence. The
aggregate number of shares of Common Stock available for grant under this Plan and the number of shares of Common Stock subject to Awards outstanding at the time of any event described in Section 15 shall be subject to adjustment as provided in
Section 15. The shares of Common Stock issued pursuant to Awards granted under this Plan may be shares that are authorized and unissued or shares that were reacquired by the Company, including shares purchased in the open market. 

(b) Issuance of Shares. For purposes of Section 5(a), the aggregate number of shares of Common Stock issued under this Plan at any
time shall equal only the number of shares of Common Stock actually issued upon exercise or settlement of an Award. Shares of Common Stock subject to Awards that have been canceled, expired, forfeited or otherwise not issued under an Award and
shares of Common Stock subject to Awards settled in cash shall not count as shares of Common Stock issued under this Plan. The aggregate number of shares available for issuance under this Plan at any time shall not be reduced by (i) shares
subject to Awards that have been terminated, expired unexercised, forfeited or settled in cash, (ii) shares subject to Awards that have been retained or withheld by the Company in payment or satisfaction of the exercise price, purchase price or
tax withholding obligation of an Award, or (iii) shares subject to Awards that otherwise do not result in the issuance of shares in connection with payment or settlement thereof. In addition, shares that have been delivered (either actually or
by attestation) to the Company in payment or satisfaction of the exercise price, purchase price or tax withholding obligation of an Award shall be available for issuance under this Plan. 

(c) Substitute Awards. Substitute Awards shall not reduce the shares of Common Stock authorized for issuance under the Plan or
authorized for grant to a Participant in any calendar year. Additionally, in the event that a company acquired by the Company or any Subsidiary, or with which the Company or any Subsidiary combines, has shares available under a pre-existing plan approved by stockholders and not adopted in contemplation of such acquisition or combination, the shares available for grant pursuant to the terms of such
pre-existing plan (as adjusted, to the extent appropriate, using the exchange ratio or other adjustment or valuation ratio or formula used in such acquisition or combination to determine the consideration
payable to the holders of common stock of the entities party to such acquisition or combination) may be used for Awards under the Plan and shall not reduce the shares of Common Stock authorized for issuance under the Plan; provided that, Awards
using such available shares (i) shall not be made after the date awards or grants could have been made under the terms of the pre-existing plan, absent the acquisition or combination, (ii) shall only
be made to individuals who were employees of such acquired or combined company before such acquisition or combination, and (iii) shall comply with the requirements of any stock exchange or market or quotation system on which the Common Stock is
traded, listed or quoted. 

  
 6 

 (d) Tax Code Limits. The aggregate number of shares of Common Stock that may be
issued pursuant to the exercise of Incentive Stock Options granted under this Plan shall be equal to                , which number shall be calculated and adjusted
pursuant to Section 15 only to the extent that such calculation or adjustment will not affect the status of any option intended to qualify as an Incentive Stock Option under Section 422 of the Code. 

(e) Limits on Awards to Non-Employee Directors. The aggregate dollar value of equity-based
(based on the grant date Fair Market Value of equity-based Awards) and cash compensation granted under this Plan or otherwise during any calendar year to any non-employee director shall not exceed $400,000;
provided, however, that in the calendar year in which a non-employee director first joins the Board or is designated as Chairman of the Board or Lead Director, the maximum aggregate dollar value of
equity-based and cash compensation granted to the non-employee director may be up to $800,000. 
  

	6.	 Administration of the Plan 

(a) Administrator of the Plan. The Plan shall be administered by the Committee. The Board shall fill vacancies on, and from time to time
may remove or add members to, the Committee. The Committee shall act pursuant to a majority vote or unanimous written consent. Any power of the Committee may also be exercised by the Board, except to the extent that the grant or exercise of such
authority would cause any Award or transaction to become subject to (or lose an exemption under) the short-swing profit recovery provisions of Section 16 of the Act. To the extent that any permitted action taken by the Board conflicts with
action taken by the Committee, the Board action shall control. To the maximum extent permissible under applicable law, the Committee (or any successor) may by resolution delegate any or all of its authority to one or more subcommittees composed of
one or more directors and/or officers of the Company, and any such subcommittee shall be treated as the Committee for all purposes under this Plan. Notwithstanding the foregoing, if the Board or the Committee (or any successor) delegates to a
subcommittee comprised of one or more officers of the Company (who are not also directors) the authority to grant Awards, the resolution so authorizing such subcommittee shall specify the total number of shares of Common Stock such subcommittee may
award pursuant to such delegated authority, and no such subcommittee shall designate any officer serving thereon or any officer (within the meaning of Section 16 of the Act) or non-employee director of
the Company as a recipient of any Awards granted under such delegated authority. The Committee hereby delegates to and designates the General Counsel of the Company and Chief Human Resources Officer (or such other officer with similar authority),
and to his or her delegates or designees, the authority to assist the Committee in the day-to-day administration of the Plan and of Awards granted under the Plan,
including those powers set forth in Section 6(b)(iv) through (ix) and to execute Award Agreements or other documents entered into under this Plan on behalf of the Committee or the Company. The Committee may further designate and delegate
to one or more additional officers or employees of the Company or any Subsidiary, and/or one or more agents, authority to assist the Committee in any or all aspects of the
day-to-day administration of the Plan and/or of Awards granted under the Plan. 

  
 7 

 (b) Powers of Committee. Subject to the express provisions of this Plan, the
Committee shall be authorized and empowered to do all things that it determines to be necessary or appropriate in connection with the administration of this Plan, including: 

(i) to prescribe, amend and rescind rules and regulations relating to this Plan and to define terms not otherwise defined
herein; 
 (ii) to determine which persons are Eligible Persons, to which of such Eligible Persons, if any, Awards shall be
granted hereunder and the timing of any such Awards; 
 (iii) to prescribe and amend the terms of the Award Agreements, to
grant Awards and determine the terms and conditions thereof; 
 (iv) to establish and verify the extent of satisfaction of
any performance goals or other conditions applicable to the grant, issuance, retention, vesting, exercisability or settlement of any Award; 

(v) to prescribe and amend the terms of or form of any document or notice required to be delivered to the Company by
Participants under this Plan; 
 (vi) to determine the extent to which adjustments are required pursuant to Section 15;

 (vii) to interpret and construe this Plan, any rules and regulations under this Plan and the terms and conditions of any
Award granted hereunder, and to make exceptions to any such provisions if the Committee, in good faith, determines that it is appropriate to do so; 

(viii) to approve corrections in the documentation or administration of any Award; and 

(ix) to make all other determinations deemed necessary or advisable for the administration of this Plan. 

Notwithstanding anything in this Plan to the contrary, with respect to any Award that is “deferred compensation” under Section 409A of the
Code, the Committee shall exercise its discretion in a manner that causes such Awards to be compliant with or exempt from the requirements of such Code section. Without limiting the foregoing, unless expressly agreed to in writing by the Participant
holding such Award, the Committee shall not take any action with respect to any Award which constitutes (i) a modification of a stock right within the meaning of Treas. Reg. § 1.409A-1(b)(5)(v)(B) so
as to constitute the grant of a new stock right, (ii) an extension of a stock right, including the addition of a feature for the deferral of compensation within the meaning of Treas. Reg. § 1.409A-1
(b)(5)(v)(C), or (iii) an impermissible acceleration of a payment date or a subsequent deferral of a stock right subject to Section 409A of the Code within the meaning of Treas. Reg. §
1.409A-1(b)(5)(v)(E). 
 The Committee may, in its sole and absolute discretion, without amendment to the Plan but
subject to the limitations otherwise set forth in Section 19, waive or amend the operation of Plan provisions 

  
 8 

 
respecting exercise after Termination of Employment. The Committee or any member thereof may, in its sole and absolute discretion, except as otherwise provided in Section 19, waive, settle
or adjust any of the terms of any Award so as to avoid unanticipated consequences or address unanticipated events (including any temporary closure of an applicable stock exchange, disruption of communications or natural catastrophe). 

(c) Determinations by the Committee. All decisions, determinations and interpretations by the Committee regarding the Plan, any rules
and regulations under the Plan and the terms and conditions of, or operation of, any Award granted hereunder, shall be final and binding on all Participants, beneficiaries, heirs, assigns or other persons holding or claiming rights under the Plan or
any Award. The Committee shall consider such factors as it deems relevant, in its sole and absolute discretion, to making such decisions, determinations and interpretations, including the recommendations or advice of any officer or other employee of
the Company and such attorneys, consultants and accountants as it may select. Members of the Board and members of the Committee acting under the Plan shall be fully protected in relying in good faith upon the advice of counsel and shall incur no
liability except for as a result of gross negligence or willful misconduct in the performance of their duties. 
 (d) Subsidiary
Awards. In the case of a grant of an Award to any Participant employed by a Subsidiary, such grant may, if the Committee so directs, be implemented by the Company issuing any subject shares of Common Stock to the Subsidiary, for such lawful
consideration as the Committee may determine, upon the condition or understanding that the Subsidiary will transfer the shares of Common Stock to the Participant in accordance with the terms of the Award specified by the Committee pursuant to the
provisions of the Plan. Notwithstanding any other provision hereof, such Award may be issued by and in the name of the Subsidiary and shall be deemed granted on such date as the Committee shall determine. 

 

	7.	 Plan Awards 

(a) Terms Set Forth in Award Agreement. Awards may be granted to Eligible Persons as determined by the Committee at any time and from
time to time prior to the termination of the Plan. The terms and conditions of each Award shall be set forth in an Award Agreement in a form approved by the Committee for such Award, which Award Agreement may contain such terms and conditions as
specified from time to time by the Committee, provided such terms and conditions do not conflict with the Plan. The Award Agreement for any Award (other than Restricted Stock awards) shall include the time or times at or within which and the
consideration, if any, for which any shares of Common Stock may be acquired from the Company. The terms of Awards may vary among Participants, and the Plan does not impose upon the Committee any requirement to make Awards subject to uniform terms.
Accordingly, the terms of individual Award Agreements may vary. 
 (b) Termination of Employment. Subject to the express provisions
of the Plan, the Committee shall specify before, at, or after the time of grant of an Award the provisions governing the effect(s) upon an Award of a Participant’s Termination of Employment. 

(c) Rights of a Stockholder. A Participant shall have no rights as a stockholder with respect to shares of Common Stock covered by an
Award (including voting rights) until the date 

  
 9 

 
the Participant becomes the holder of record of such shares of Common Stock. No adjustment shall be made for dividends or other rights for which the record date is prior to such date, except as
provided in Section 10(b) or Section 15 of this Plan or as otherwise provided by the Committee. 
  

	8.	 Options 

(a) Grant, Term and Price. The grant, issuance, retention, vesting and/or settlement of any Option shall occur at such time and be
subject to such terms and conditions as determined by the Committee or under criteria established by the Committee, which may include conditions based on continued employment or engagement, passage of time, attainment of age and/or service
requirements, and/or satisfaction of performance conditions. The term of an Option shall in no event be greater than 10 years; provided, however, the term of an Option (other than an Incentive Stock Option) shall be automatically extended if, at the
time of its scheduled expiration, the Participant holding such Option is prohibited by law or the Company’s insider trading policy from exercising the Option, which extension shall expire on the 30th day following the date such prohibition no
longer applies. The Committee will establish the price at which Common Stock may be purchased upon exercise of an Option, which in no event will be less than the Fair Market Value of such shares on the date of grant; provided, however, that the
exercise price per share of Common Stock with respect to an Option that is granted as a Substitute Award may be less than the Fair Market Value of the shares of Common Stock on the date such Option is granted if such exercise price is based on a
formula set forth in the terms of the options held by such optionees or in the terms of the agreement providing for such merger or other acquisition that satisfies the requirements of (i) Section 409A of the Code, if such options held by
such optionees are not intended to qualify as “incentive stock options” within the meaning of Section 422 of the Code, and (ii) Section 424(a) of the Code, if such options held by such optionees are intended to qualify as
“incentive stock options” within the meaning of Section 422 of the Code. The exercise price of any Option may be paid in cash or such other method as determined by the Committee, including an irrevocable commitment by a broker to pay
over such amount from a sale of the shares of Common Stock issuable under an Option, the delivery of previously owned shares of Common Stock or withholding of shares of Common Stock deliverable upon exercise. 

(b) No Repricing without Stockholder Approval. Other than in connection with a change in the Company’s capitalization (as
described in Section 15), the Committee shall not, without stockholder approval, reduce the exercise price of a previously awarded Option, and at any time when the exercise price of a previously awarded Option is above the Fair Market Value of
a share of Common Stock, the Committee shall not, without stockholder approval, cancel and re-grant or exchange such Option for cash or a new Award with a lower (or no) exercise price. 

(c) No Reload Grants. Options shall not be granted under the Plan in consideration for, and shall not be conditioned upon the delivery
of, shares of Common Stock to the Company in payment of the exercise price and/or tax withholding obligation under any other employee stock option. 

(d) Incentive Stock Options. Notwithstanding anything to the contrary in this Section 8, in the case of the grant of an Incentive
Stock Option, if the Participant owns stock possessing more than 10% of the combined voting power of all classes of stock of the Company (a “10% Stockholder”), the exercise price of such Option must be at least 110% of the Fair Market
Value 

  
 10 

 
of the shares of Common Stock on the date of grant and the Option must expire within a period of not more than five years from the date of grant. Notwithstanding anything in this Section 8
to the contrary, options designated as Incentive Stock Options shall not be eligible for treatment under the Code as Incentive Stock Options (and will be deemed to be Nonqualified Stock Options) to the extent that either (i) the aggregate Fair
Market Value of shares of Common Stock (determined as of the time of grant) with respect to which such Options are exercisable for the first time by the Participant during any calendar year (under all plans of the Company and any Subsidiary) exceeds
$100,000, taking Options into account in the order in which they were granted, or (ii) such Options otherwise remain exercisable but are not exercised within three months (or such other period of time provided in Section 422 of the Code)
of separation of service (as determined in accordance with Section 3401(c) of the Code and the regulations promulgated thereunder). 

(e) No Stockholder Rights. Participants shall have no voting rights and will have no rights to receive dividends or Dividend
Equivalents in respect of an Option or any shares of Common Stock subject to an Option until the Participant has become the holder of record of such shares. 
  

	9.	 Stock Appreciation Rights 

(a) General Terms. The grant, issuance, retention, vesting and/or settlement of any Stock Appreciation Right shall occur at such time
and be subject to such terms and conditions as determined by the Committee or under criteria established by the Committee, which may include conditions based on continued employment or engagement, passage of time, attainment of age and/or service
requirements, and/or satisfaction of performance conditions. Stock Appreciation Rights may be granted to Participants from time to time either in tandem with or as a component of Options granted under the Plan (“tandem SARs”)
or not in conjunction with other Awards (“freestanding SARs”). Upon exercise of a tandem SAR as to some or all of the shares covered by the grant, the related Option shall be canceled automatically to the extent of the number
of shares covered by such exercise. Conversely, if the related Option is exercised as to some or all of the shares covered by the grant, the related tandem SAR, if any, shall be canceled automatically to the extent of the number of shares covered by
the Option exercise. Any Stock Appreciation Right granted in tandem with an Option may be granted at the same time such Option is granted or at any time thereafter before exercise or expiration of such Option, provided that the Fair Market Value of
Common Stock on the date of the SAR’s grant is not greater than the exercise price of the related Option. All freestanding SARs shall be granted subject to the same terms and conditions applicable to Options as set forth in Section 8 and
all tandem SARs shall have the same exercise price as the Option to which they relate. Subject to the provisions of Section 8 and the immediately preceding sentence, the Committee may impose such other conditions or restrictions on any Stock
Appreciation Right as it shall deem appropriate. Stock Appreciation Rights may be settled in Common Stock, cash, Restricted Stock or a combination thereof, as determined by the Committee and set forth in the applicable Award Agreement. 

(b) No Repricing without Stockholder Approval. Other than in connection with a change in the Company’s capitalization (as
described in Section 15), the Committee shall not, without stockholder approval, reduce the exercise price of a previously awarded Stock Appreciation Right, and at any time when the exercise price of a previously awarded Stock Appreciation
Right is above the Fair Market Value of a share of Common Stock, the Committee shall not, without stockholder approval, cancel and re-grant or exchange such Stock Appreciation Right for cash or a new Award
with a lower (or no) exercise price. 

  
 11 

 (c) No Stockholder Rights. Participants shall have no voting rights and will have no
rights to receive dividends or Dividend Equivalents in respect of an Award of Stock Appreciation Rights or any shares of Common Stock subject to an Award of Stock Appreciation Rights until the Participant has become the holder of record of such
shares. 
  

	10.	 Restricted Stock and Restricted Stock Units 

(a) Vesting and Performance Criteria. The grant, issuance, vesting and/or settlement of any Award of Restricted Stock or Restricted
Stock Units shall occur at such time and be subject to such terms and conditions as determined by the Committee or under criteria established by the Committee, which may include conditions based on continued employment or engagement, passage of
time, attainment of age and/or service requirements, and/or satisfaction of performance conditions. In addition, the Committee shall have the right to grant Restricted Stock or Restricted Stock Unit Awards as the form of payment for grants or rights
earned or due under other stockholder-approved compensation plans or arrangements of the Company. 
 (b) Dividends and Distributions.
Participants in whose name Restricted Stock is granted shall be entitled to receive all dividends and other distributions paid with respect to those shares of Common Stock, unless determined otherwise by the Committee. The Committee will determine
whether any such dividends or distributions will be automatically reinvested in additional shares of Restricted Stock and/or subject to the same restrictions on transferability as the Restricted Stock with respect to which they were distributed or
whether such dividends or distributions will be paid in cash. Shares underlying Restricted Stock Units shall be entitled to dividends or distributions only to the extent provided by the Committee. Notwithstanding anything herein to the contrary, in
no event will dividends or Dividend Equivalents be paid during the performance period with respect to unearned Awards of Restricted Stock or Restricted Stock Units that are subject to performance-based vesting criteria. Dividends or Dividend
Equivalents accrued on such shares shall become payable no earlier than the date the performance-based vesting criteria have been achieved and the underlying shares or Restricted Stock Units have been earned. 

 

	11.	 Incentive Bonuses 

(a) Performance Criteria. The Committee shall establish the performance criteria and level of achievement versus such criteria that
shall determine the amount payable under an Incentive Bonus, which may include a target, threshold and/or maximum amount payable and any formula for determining such achievement, and which criteria may be based on performance conditions. 

(b) Timing and Form of Payment. The Committee shall determine the timing of payment of any Incentive Bonus. Payment of the amount due
under an Incentive Bonus may be made in cash or in Common Stock, as determined by the Committee. 
 (c) Discretionary Adjustments.
Notwithstanding satisfaction of any performance goals and, the amount paid under an Incentive Bonus on account of either financial performance or personal performance evaluations may be adjusted by the Committee on the basis of such further
considerations as the Committee shall determine. 

  
 12 

	12.	 Performance Awards 

The Committee may establish performance criteria and level of achievement versus such criteria that shall determine the number of shares of Common Stock,
Restricted Stock Units, or cash to be granted, retained, vested, issued or issuable under or in settlement of or the amount payable pursuant to an Award (any such Award, a “Performance Award”). A Performance Award may be
identified as “Performance Share,” “Performance Equity,” “Performance Unit” or other such term as chosen by the Committee. 
  

	13.	 Deferral of Payment 

The Committee may, in an Award Agreement or otherwise, provide for the deferred delivery of Common Stock or cash upon settlement, vesting or other events with
respect to Restricted Stock Units, or in payment or satisfaction of an Incentive Bonus. Notwithstanding anything herein to the contrary, in no event will any election to defer the delivery of Common Stock or any other payment with respect to any
Award be allowed if the Committee determines, in its sole discretion, that the deferral would result in the imposition of the additional tax under Section 409A(a)(1)(B) of the Code. No Award shall provide for deferral of compensation that does
not comply with Section 409A of the Code. The Company, any Subsidiary or Affiliate which is in existence or hereafter comes into existence, the Board and the Committee shall have no liability to a Participant, or any other party, if an Award
that is intended to be exempt from, or compliant with, Section 409A of the Code is not so exempt or compliant or for any action taken by the Board or the Committee. 
  

	14.	 Conditions and Restrictions Upon Securities Subject to Awards 

The Committee may provide that the Common Stock issued upon exercise of an Option or Stock Appreciation Right or otherwise subject to or issued under an Award
shall be subject to such further agreements, restrictions, conditions or limitations as the Committee in its discretion may specify prior to the exercise of such Option or Stock Appreciation Right or the grant, vesting or settlement of such Award,
including conditions on vesting or transferability, forfeiture or repurchase provisions and method of payment for the Common Stock issued upon exercise, vesting or settlement of such Award (including the actual or constructive surrender of Common
Stock already owned by the Participant) or payment of taxes arising in connection with an Award. Without limiting the foregoing, such restrictions may address the timing and manner of any resales by the Participant or other subsequent transfers by
the Participant of any shares of Common Stock issued under an Award, including (i) restrictions under an insider trading policy or pursuant to applicable law, (ii) restrictions designed to delay and/or coordinate the timing and manner of
sales by the Participant and holders of other Company equity compensation arrangements, (iii) restrictions as to the use of a specified brokerage firm for such resales or other transfers and (iv) provisions requiring Common Stock be sold
on the open market or to the Company in order to satisfy tax withholding or other obligations. 

  
 13 

	15.	 Adjustment of and Changes in the Stock 

(a) The number and kind of shares of Common Stock available for issuance under this Plan (including under any Awards then outstanding), and the
number and kind of shares of Common Stock subject to the limits set forth in Section 5 of this Plan, shall be equitably adjusted by the Committee to reflect any reorganization, reclassification, combination of shares, stock split, reverse stock
split, spin-off, dividend or distribution of securities, property or cash (other than regular, quarterly cash dividends), or any other event or transaction that affects the number or kind of shares of Common
Stock outstanding. Such adjustment may be designed to comply with Section 424 of the Code or may be designed to treat the shares of Common Stock available under the Plan and subject to Awards as if they were all outstanding on the record date
for such event or transaction or to increase the number of such shares of Common Stock to reflect a deemed reinvestment in shares of Common Stock of the amount distributed to the Company’s securityholders. The terms of any outstanding Award
shall also be equitably adjusted by the Committee as to price, number or kind of shares of Common Stock subject to such Award, vesting, and other terms to reflect the foregoing events, which adjustments need not be uniform as between different
Awards or different types of Awards. No fractional shares of Common Stock shall be issued or issuable pursuant to such an adjustment. 
 (b)
In the event there shall be any other change in the number or kind of outstanding shares of Common Stock, or any stock or other securities into which such Common Stock shall have been changed, or for which it shall have been exchanged, by reason of
a Change in Control, other merger, consolidation or otherwise, then the Committee shall determine the appropriate and equitable adjustment to be effected, which adjustments need not be uniform between different Awards or different types of Awards.
In addition, in the event of such change described in this paragraph, the Committee may accelerate the time or times at which any Award may be exercised, consistent with and as otherwise permitted under Section 409A of the Code, and may provide
for cancellation of such accelerated Awards that are not exercised within a time prescribed by the Committee in its sole discretion. 
 (c)
Unless otherwise expressly provided in the Award Agreement or another contract, including an employment or services agreement, or under the terms of a transaction constituting a Change in Control, the Committee may provide that any or all of the
following shall occur upon a Participant’s Termination of Employment without Cause within 12 months following a Change in Control: (i) in the case of an Option or Stock Appreciation Right, the Participant shall have the ability to exercise
any portion of the Option or Stock Appreciation Right not previously exercisable, (ii) in the case of any Award the vesting of which is in whole or in part subject to performance criteria or an Incentive Bonus, all conditions to the grant,
issuance, retention, vesting or transferability of, or any other restrictions applicable to, such Award shall immediately lapse and the Participant shall have the right to receive a payment based on target level achievement or actual performance
through a date determined by the Committee, and (iii) in the case of outstanding Restricted Stock and/or Restricted Stock Units (other than those referenced in subsection (ii)), all conditions to the grant, issuance, retention, vesting or
transferability of, or any other restrictions applicable to, such Award shall immediately lapse. Notwithstanding anything herein to the contrary, in the event of a Change in Control in which the acquiring or surviving company in the transaction does
not assume or continue outstanding Awards upon the Change in Control, immediately prior to the Change in Control, all Awards that are not assumed or continued 

  
 14 

 
shall be treated as follows effective immediately prior to the Change in Control: (A) in the case of an Option or Stock Appreciation Right, the Participant shall have the ability to exercise
such Option or Stock Appreciation Right, including any portion of the Option or Stock Appreciation Right not previously exercisable, (B) in the case of any Award the vesting of which is in whole or in part subject to performance criteria or an
Incentive Bonus, all conditions to the grant, issuance, retention, vesting or transferability of, or any other restrictions applicable to, such Award shall immediately lapse and the Participant shall have the right to receive a payment based on
target level achievement or actual performance through a date determined by the Committee, as determined by the Committee, and (C) in the case of outstanding Restricted Stock and/or Restricted Stock Units (other than those referenced in
subsection (B)), all conditions to the grant, issuance, retention, vesting or transferability of, or any other restrictions applicable to, such Award shall immediately lapse. In no event shall any action be taken pursuant to this Section 15(c)
that would change the payment or settlement date of an Award in a manner that would result in the imposition of any additional taxes or penalties pursuant to Section 409A of the Code. 

(d) Notwithstanding anything in this Section 15 to the contrary, in the event of a Change in Control, the Committee may provide for the
cancellation and cash settlement of all outstanding Awards upon such Change in Control. 
 (e) The Company shall notify Participants holding
Awards subject to any adjustments pursuant to this Section 15 of such adjustment, but (whether or not notice is given) such adjustment shall be effective and binding for all purposes of the Plan. 

(f) Notwithstanding anything in this Section 15 to the contrary, an adjustment to an Option or Stock Appreciation Right under this
Section 15 shall be made in a manner that will not result in the grant of a new Option or Stock Appreciation Right under Section 409A of the Code. 
  

	16.	 Transferability 

Each Award may not be sold, transferred for value, pledged, assigned, or otherwise alienated or hypothecated by a Participant other than by will or the laws of
descent and distribution, and each Option or Stock Appreciation Right shall be exercisable only by the Participant during his or her lifetime. Notwithstanding the foregoing, (a) outstanding Options may be exercised following the
Participant’s death by the Participant’s beneficiaries or as permitted by the Committee and (b) a Participant may transfer or assign an Award as a gift to an entity wholly owned by such Participant (an “Assignee
Entity”), provided that such Assignee Entity shall be entitled to exercise assigned Options and Stock Appreciation Rights only during the lifetime of the assigning Participant (or following the assigning Participant’s death, by the
Participant’s beneficiaries or as otherwise permitted by the Committee) and provided further that such Assignee Entity shall not further sell, pledge, transfer, assign or otherwise alienate or hypothecate such Award. 

 

	17.	 Compliance with Laws and Regulations 

(a) This Plan, the grant, issuance, vesting, exercise and settlement of Awards hereunder, and the obligation of the Company to sell, issue or
deliver shares of Common Stock under such Awards, shall be subject to all applicable foreign, federal, state and local laws, rules and regulations, stock exchange rules and regulations, and to such approvals by any governmental

  
 15 

 
or regulatory agency as may be required. The Company shall not be required to register in a Participant’s name or deliver Common Stock prior to the completion of any registration or
qualification of such shares under any foreign, federal, state or local law or any ruling or regulation of any government body which the Committee shall determine to be necessary or advisable. To the extent the Company is unable to or the Committee
deems it infeasible to obtain authority from any regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any shares of Common Stock hereunder, the Company and
its Subsidiaries shall be relieved of any liability with respect to the failure to issue or sell such shares of Common Stock as to which such requisite authority shall not have been obtained. No Option shall be exercisable and no Common Stock shall
be issued and/or transferable under any other Award unless a registration statement with respect to the Common Stock underlying such Option is effective and current or the Company has determined, in its sole and absolute discretion, that such
registration is unnecessary. 
 (b) In the event an Award is granted to or held by a Participant who is employed or providing services
outside the United States, the Committee may, in its sole discretion, modify the provisions of the Plan or of such Award as they pertain to such individual to comply with applicable foreign law or to recognize differences in local law, currency or
tax policy. The Committee may also impose conditions on the grant, issuance, exercise, vesting, settlement or retention of Awards in order to comply with such foreign law and/or to minimize the Company’s obligations with respect to tax
equalization for Participants employed outside their home country. 
  

	18.	 Withholding 

To the extent required by applicable federal, state, local or foreign law, the Committee may, and/or a Participant shall, make arrangements satisfactory to the
Company for the satisfaction of any withholding tax obligations that arise with respect to any Award or the issuance or sale of any shares of Common Stock. The Company shall not be required to recognize any Participant rights under an Award, to
issue shares of Common Stock or to recognize the disposition of such shares of Common Stock until such obligations are satisfied. To the extent permitted or required by the Committee, these obligations may or shall be satisfied by the Company
withholding cash from any compensation otherwise payable to or for the benefit of a Participant, the Company withholding a portion of the shares of Common Stock that otherwise would be issued to a Participant under such Award or any other Award held
by the Participant, or by the Participant tendering to the Company cash or, if allowed by the Committee, shares of Common Stock. 
  

	19.	 Amendment of the Plan or Awards 

The Board may amend, alter or discontinue this Plan, and the Committee may amend or alter any Award Agreement or other document evidencing an Award made under
this Plan; however, except as provided pursuant to the provisions of Section 15, no such amendment shall, without the approval of the stockholders of the Company: 

(a) increase the maximum number of shares of Common Stock for which Awards may be granted under this Plan; 

  
 16 

 (b) reduce the price at which Options may be granted below the price provided for in
Section 8(a); 
 (c) reprice outstanding Options or SARs as described in 8(b) and 9(b); 

(d) extend the term of this Plan; 

(e) change the class of persons eligible to be Participants; 

(f) increase the individual maximum limits in Section 5(e); or 

(g) otherwise amend the Plan in any manner requiring stockholder approval by law or the rules of any stock exchange or market or quotation
system on which the Common Stock is traded, listed or quoted. 
 No amendment or alteration to the Plan or an Award or Award Agreement shall be made which
would materially impair the rights of the holder of an Award without such holder’s consent; provided that no such consent shall be required if the Committee determines in its sole discretion and prior to the date of any Change in Control that
such amendment or alteration either (i) is required or advisable in order for the Company, the Plan or the Award to satisfy any law or regulation or to meet the requirements of, or avoid adverse financial accounting consequences under, any
accounting standard, or (ii) is not reasonably likely to significantly diminish the benefits provided under such Award, or that any such diminishment has been adequately compensated. 

 

	20.	 No Liability of Company 

The Company, any Subsidiary or Affiliate which is in existence or hereafter comes into existence, the Board and the Committee shall not be liable to a
Participant or any other person as to: (a) the non-issuance or sale of shares of Common Stock as to which the Company has been unable to obtain from any regulatory body having jurisdiction the authority
deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any shares of Common Stock hereunder; and (b) any tax consequence expected, but not realized, by any Participant or other person due to the receipt,
vesting, exercise or settlement of any Award granted hereunder. 
  

	21.	 Non-Exclusivity of Plan 

Neither the adoption of this Plan by the Board nor the submission of this Plan to the stockholders of the Company for approval shall be construed as creating
any limitations on the power of the Board or the Committee to adopt such other incentive arrangements as either may deem desirable, including the granting of Restricted Stock or stock options otherwise than under this Plan, and such arrangements may
be either generally applicable or applicable only in specific cases. 
  

	22.	 Governing Law 

This Plan and any agreements or other documents hereunder shall be interpreted and construed in accordance with the laws of the State of Delaware and
applicable federal law. Any reference in this Plan or in the agreement or other document evidencing any Awards to a provision of law or to a rule or regulation shall be deemed to include any successor law, rule or regulation of similar effect or
applicability. 

  
 17 

	23.	 No Right to Employment, Reelection or Continued Service 

Nothing in this Plan or an Award Agreement shall interfere with or limit in any way the right of the Company, its Subsidiaries and/or its Affiliates to
terminate any Participant’s employment, service on the Board or service at any time or for any reason not prohibited by law, nor shall this Plan or an Award itself confer upon any Participant any right to continue his or her employment or
service for any specified period of time. Neither an Award nor any benefits arising under this Plan shall constitute an employment contract with the Company, any Subsidiary and/or its Affiliates. Subject to Sections 4 and 19, this Plan and the
benefits hereunder may be terminated at any time in the sole and exclusive discretion of the Board without giving rise to any liability on the part of the Company, its Subsidiaries and/or its Affiliates. 

 

	24.	 Specified Employee Delay 

To the extent any payment under this Plan is considered deferred compensation subject to the restrictions contained in Section 409A of the Code, such
payment may not be made to a specified employee (as determined in accordance with a uniform policy adopted by the Company with respect to all arrangements subject to Section 409A of the Code) upon Separation from Service before the date that is
six months after the specified employee’s Separation form Service (or, if earlier, the specified employee’s death). Any payment that would otherwise be made during this period of delay shall be accumulated and paid on the sixth month plus
one day following the specified employee’s Separation from Service (or, if earlier, as soon as administratively practicable after the specified employee’s death). 
  

	25.	 No Liability of Committee Members 

No member of the Committee shall be personally liable by reason of any contract or other instrument executed by such member or on his or her behalf in his or
her capacity as a member of the Committee nor for any mistake of judgment made in good faith, and the Company shall indemnify and hold harmless each member of the Committee and each other employee, officer or director of the Company to whom any duty
or power relating to the administration or interpretation of the Plan may be allocated or delegated, against any cost or expense (including counsel fees) or liability (including any sum paid in settlement of a claim) arising out of any act or
omission to act in connection with the Plan, unless arising out of such person’s own fraud or willful bad faith; provided, however, that approval of the Board shall be required for the payment of any amount in settlement of a claim against any
such person. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such persons may be entitled under the Company’s Certificate of Incorporation and Bylaws (as each may be amended from
time to time), as a matter of law, or otherwise, or any power that the Company may have to indemnify them or hold them harmless. 
  

	26.	 Severability 

If any provision of the Plan or any Award is or becomes or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or as to any Person or Award,
or would disqualify the Plan or 

  
 18 

 
any Award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to the applicable laws, or if it cannot be construed or deemed amended
without, in the determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, Person or Award, and the remainder of the Plan and any such Award shall remain in full
force and effect. 
  

	27.	 Unfunded Plan 

The Plan is intended to be an unfunded plan. Participants are and shall at all times be general creditors of the Company with respect to their Awards. If the
Committee or the Company chooses to set aside funds in a trust or otherwise for the payment of Awards under the Plan, such funds shall at all times be subject to the claims of the creditors of the Company in the event of its bankruptcy or
insolvency. 
  

	28.	 Clawback/Recoupment 

Awards granted under this Plan will be subject to recoupment in accordance with any clawback policy that the Company adopts or is required to adopt pursuant to
the listing standards of any national securities exchange or association on which the Company’s securities are listed or as is otherwise required by the Dodd-Frank Wall Street Reform and Consumer Protection Act or other applicable law. In
addition, the Committee may impose such other clawback, recovery or recoupment provisions in an Award Agreement as the Committee determines necessary or appropriate, including a reacquisition right in respect of previously acquired shares of Common
Stock or other cash or property upon the occurrence of misconduct. No recovery of compensation under such a clawback policy will be an event giving rise to a right to resign for “good reason” or be deemed a “constructive
termination” (or any similar term) as such terms are used in any agreement between any Participant and the Company. 
  

	29.	 Interpretation 

Headings are given to the Sections and subsections of the Plan solely as a convenience to facilitate reference and shall not be deemed in any way material or
relevant to the construction or interpretation of the Plan or any provision thereof. Words in the masculine gender shall include the feminine gender, and where appropriate, the plural shall include the singular and the singular shall include the
plural. The use herein of the word “including” following any general statement, term or matter shall not be construed to limit such statement, term or matter to the specific items or matters set forth immediately following such word or to
similar items or matters, whether or not non-limiting language (such as “without limitation”, “but not limited to”, or words of similar import) is used with reference thereto, but rather
shall be deemed to refer to all other items or matters that could reasonably fall within the broadest possible scope of such general statement, term or matter. References herein to any agreement, instrument or other document means such agreement,
instrument or other document as amended, supplemented and modified from time to time to the extent permitted by the provisions thereof and not prohibited by the Plan. 

  
 19

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00314-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00314-of-00352.parquet"}]]