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Exhibit 10.4  

 
 

FORM OF AGREEMENT FOR AIRCRAFT JOINT OWNERSHIP
  AND MANAGEMENT    
    

        This Agreement for Joint Ownership and Management ("Agreement") is effective as of May 21, 2004 by and
between Liberty Media Corporation with an address of 12300 Liberty Boulevard, Englewood, Co 80112 ("LMC"), and Liberty Media International, Inc.
with an address of 12300 Liberty Boulevard, Englewood, Co 80112 ("LMI") (collectively, LMC and LMI are referred to as
"Owners" or singularly as "Owner"). 

        WHEREAS,
Owners own an undivided interest as tenants in common set forth on Exhibit A attached hereto and incorporated herein, in
the aircraft described on Exhibit A, attached hereto and incorporated herein ("Aircraft"); 

        WHEREAS,
each of the parties hereto desires to have LMC ("Managing Owner") or its designee undertake the duties and responsibilities of
operating and managing the Aircraft; and 

        WHEREAS,
the Managing Owner and LMI desire to enter into an agreement providing for the operation of the Aircraft, with flight crew, under a joint ownership agreement as defined in the
Federal Aviation Regulations ("FAR") Part 91. 

        NOW
THEREFORE, in consideration of the above and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 

1.     Purpose of Agreement  

	1.1
	The
Owners each agree to operate the Aircraft for their own interests in accordance with FAR Part 91. The parties agree to promptly execute, deliver and file such bills of
sale, applications and other documents as may be necessary to reflect ownership of the Aircraft and agree that all aircraft operations will be in compliance with FARs. Each Owner will exercise
possession, command and control over the Aircraft when such Owner uses the Aircraft. 

2.     Relationship  

	2.1
	Tenants-in-Common. Owners own an undivided interest in the Aircraft as tenants in common. Each of the Owners
hereby acknowledges and agrees that its interest is subject to the terms and conditions of this Agreement, and any other documents that the Owners designate as governing documents (collectively, the
"Governing Documents"). Notwithstanding the foregoing, each Owner waives any right it may have to demand the partition, or sale for partition, of the
Aircraft under the laws of the State of Colorado or any other jurisdiction, and hereby agrees that the sole means by which an Owner may divest itself of its interest in the Aircraft will be as set
forth in this Agreement. The parties hereto do not intend to create and this Agreement will not be considered as creating a joint venture, partnership,
any business organization of any kind or any relationship whereby any party is held liable for the omissions or commissions of any other party. 

3.     Transfer of Aircraft  

	3.1
	No Transfer. Neither Owner may assign or transfer its interest in the Aircraft except as mutually agreed or as otherwise provided in
this Agreement.

	3.2
	Sell Option. Either Owner may, at any time and for any reason, advise the other Owner that such first Owner
("Notifying Owner") desires to sell its interest in the Aircraft and is electing to require the other Owner ("Receiving
Owner") to either purchase the Notifying Owner's 

 

entire
interest in the Aircraft or, if Receiving Owner does not so elect to purchase, the Owners hereby agree that they will sell the entire Aircraft to a third party as provided below and the Owners
will each receive their proportionate share of the net proceeds from such sale. 

	3.3
	Contents of Notice by Notifying Owner. Notifying Owner shall give Receiving Owner written notice of its intent to exercise its rights
under this Section. Such written notice shall set forth the imputed price for the entire Aircraft (the "Aircraft Price"), the price for the Notifying Owner's interest in the Aircraft and any other
terms which Notifying Owner is establishing for the sale of its interest in the Aircraft (the "Offer Terms").

	3.4
	Response by Other Owner. Within thirty (30) days after receipt of written notice from Notifying Owner, Receiving Owner may, by
written notice to Notifying Owner, elect to (i) purchase on the Offer Terms all, but not less than all, of the interest in the Aircraft owned by Notifying Owner; or (ii) notify the
Notifying Owner that it does not elect to so purchase. The election by Receiving Owner to purchase the interest in the Aircraft owned by Notifying Owner shall specify a date for the closing of the
purchase, which date shall not be more than sixty (60) days after the date of Notifying Owner's notice. If the Receiving Owner does not respond to the notice, it will be deemed to have elected
not to purchase the Notifying Owner's interest in the Aircraft.

	3.5
	Sale of Aircraft. If Receiving Owner does not elect to purchase the interest in the Aircraft owned by Notifying Owner for the Offer
Terms, the Owners shall be deemed to have conclusively elected to sell the entire Aircraft to a third party at a price not less than the Aircraft Price or as the Owners may otherwise mutually agree.
The Owners shall cooperate with each other to sell the Aircraft at a price equal to or greater than the Aircraft Price, or such other price as the Owners may agree, as soon as possible. The Notifying
Owner may, at any time after the Receiving Party has elected not to purchase, restart this process at a lower price or different terms. If the Owners receive an offer to purchase the Aircraft from a
third party at a price that is less than the Aircraft Price (a "Lower Aircraft Price"), which the Notifying Owner desires to accept but the Receiving
Owner does not desire to accept, the Receiving Owner shall have five (5) days after receipt of the written offer containing the Lower Aircraft Price to notify the Notifying Owner that the
Receiving Owner desires to purchase the Notifying Owner's interest in the Aircraft for a purchase price equal to the Lower Aircraft Price multiplied by the Notifying Owner's percentage ownership
interest in the Aircraft. If the Receiving Owner elects to purchase the Notifying Owner's interest in the Aircraft based on the Lower Aircraft Price, the Receiving Owner shall specify a date for the
closing of the purchase, which shall be not later than thirty (30) days after receipt of the written offer containing the Lower Aircraft Price. If the Receiving Owner does not elect to purchase
the Notifying Owner's interest in the Aircraft based on the Lower Aircraft Price, the Owners shall proceed to sell the Aircraft to the third party that made the offer to purchase at the Lower Aircraft
Price. 

4.     Term  

	4.1
	This
Agreement will commence on the date first above written and continue for as long as the Owners own the Aircraft. 

 

5.     Duties of Managing Owner and Owner Decisions  

	5.1
	The
duties of the Managing Owner will include, but are not limited to, the following:

	5.1.1
	Flight Crew. Managing Owner agrees to employ or otherwise provide for qualified flight crew familiar with and certificated to operate
the Aircraft, for all operations of the Aircraft during the term of this Agreement. Each Owner may request Managing Owner to employ and furnish a particular fully qualified flight crew with respect to
a particular flight taken by such Owner, and Managing Owner will use its commercially reasonable efforts to comply with such request, provided such flight crew or member of a flight crew meets the
requirements of the FARs, the applicable insurance policies and other safety standards established by Managing Owner in its reasonable discretion.

	5.1.2
	Consulting with Owners.    Managing Owner will oversee and the other Owner will provide assistance on matters regarding
the Aircraft, including but not limited to:

	5.1.2.1
	Federal
Aviation Administration ("FAA") and manufacturer's correspondence and directives;

	5.1.2.2
	Administration
and enforcement of warranty claims;

	5.1.2.3
	Administration
and enforcement of insurance matters;

	5.1.2.4
	Parts
replacement services and maintenance arrangements; and

	5.1.2.5
	Preparation
and filing of FAA and other mandatory reports and registrations.

	5.1.3
	Scheduling. Managing Owner will schedule the Aircraft pursuant to the guidelines set forth under the "Scheduling"
Section below.

	5.1.4
	Inspections and Maintenance. Managing Owner will arrange for the Aircraft to be inspected, maintained, serviced, repaired, overhauled
and tested by duly competent personnel, in accordance with approved maintenance and preventive repair programs, including the standards and guidelines established by the FAA and manufacturer's
recommended maintenance, and will keep and maintain the Aircraft in good operating condition, ordinary wear and tear excepted, and in such condition as may be necessary to maintain in good standing
the airworthiness certification of the Aircraft. No period of maintenance, preventive maintenance, or inspection will be delayed or postponed for the purpose of scheduling the Aircraft for flight,
unless the maintenance or inspection can be safely conducted at a later time in compliance with all applicable laws and regulations, and within the sound discretion of the assigned pilot in command.

	5.1.5
	Documents. Copies of registration certificates, bills of sale, or any other evidence of ownership of the Aircraft will be maintained
by Managing Owner at its offices and will be open for inspection and copying by Owners during normal business hours.

	5.2
	Managing
Owner will act in accordance with the decision of the Majority Owners. Each Owner agrees that decisions relating to the Aircraft and not otherwise governed by the terms of
this Agreement will be made by the Majority Owners. For purposes of this Agreement, the term "Majority Owners" means Owner(s) owning a majority of the
ownership interests in the Aircraft. 

6.     Allocation and Payment of Expenses  

	6.1
	Responsibility and Invoices

 

	6.1.1
	Each
Owner will be responsible for its proportionate share, as provided in this Agreement, of all fees, costs and expenses connected with the ownership, operation and maintenance of
the Aircraft (the "Costs"). Managing Owner will be responsible for paying all expenses associated with maintaining, operating, storing and insuring the Aircraft and will bill the other Owner for its
proportionate share as provided below.

	6.1.2
	Within
ten (10) business days after the end of each calendar quarter, the Managing Owner will determine each Owner's proportionate share of the Costs and deliver an
invoice to the other Owner setting out the allocation in reasonable detail. Fixed Expenses (described in Section 6.2) will be allocated based upon the Owners' relative ownership interests in
the Aircraft. Variable Expenses (described in Section 6.3 will be allocated based upon the number of hours that the Aircraft was flown during the preceding calendar quarter for each Owner. Trip
Specific Expenses (described in Section 6.4) will be invoiced directly to the applicable Owner. To the extent information regarding Costs or flight hours is not available as of the invoice
date, the Managing Owner will estimate the Costs and true-up the estimate on the next invoice. The invoice will be payable within thirty (30) days after receipt.

	6.1.3
	The
Owners will review and evaluate the methodology for allocating Costs annually and will negotiate in good faith to reach agreement on any appropriate adjustment based on such
review and evaluation, including determination of hangar rent and adjustments to the allocation of Fixed Expenses if the percentage of flight hours used by each Owner differs from its
percentage ownership interest. The initial review and adjustment will take place effective as of January 1, 2005.

	6.2
	Fixed Expenses.

	6.2.1
	Insurance;

	6.2.2
	Costs
for compliance with Airworthiness Directives;

	6.2.3
	Costs
for compliance with Service Bulletins;

	6.2.4
	Hangar
rental (see Section 6.6 below);

	6.2.5
	Engine
overhauls and rebuilds;

	6.2.6
	Property
taxes and other similar fees and charges;

	6.2.7
	Crew
salaries, benefits and training;

	6.2.8
	Communications,
flight planning and weather services; and

	6.2.9
	Supplies.

	6.3
	Variable Expenses.

	6.3.1
	Airframe
and systems maintenance and inspections

	6.3.2
	Oil,
lubricants, and other additives

	6.3.3.
	Engine
reserve allowances.

	6.4
	Trip Specific Expenses.

	6.4.1
	Tie
down expenses;

	6.4.2
	Catering
expenses and passenger amenities;

	6.4.3
	Customs
fees, immigration charges and international handling fees; 

 

	6.4.4
	Landing
fees, ramp fees and parking fees;

	6.4.5
	Security
fees and similar charges;

	6.4.6
	Ground
transportation;

	6.4.7
	Charges
for use of in-flight telephone service;

	6.4.8
	Transient
hangar expenses;

	6.4.9
	De-icing
and related expenses;

	6.4.10
	Aircraft
and interior cleaning and lavatory services;

	6.4.11
	Crew
travel expenses; and

	6.4.12
	Fuel.

	6.5
	Depreciation. For each calendar year, each Owner will be allocated its allocable share of depreciation based on that Owner's
depreciable basis in the Aircraft.

	6.6
	Hangar Costs. The hangar where the Aircraft is currently housed at home base is owned by a subsidiary of the Managing Owner (the "Home
Base Hangar"). The Managing Owner houses planes other than the Aircraft in the Home Base Hangar. So long as the Managing Owner permits the storage of the Aircraft at the Home Base Hangar, the other
Owner will be charged its proportionate share (based upon its ownership interest in the Aircraft) of the fair market rental (excluding any profit component) of hangar space at the home base comparable
to the Home Base Hangar. On an annual basis, the Managing Owner will determine the fair market rental cost (excluding any profit component) of hangar space at the home base comparable to the Home Base
Hangar. This amount will be allocated equally among all of the aircraft housed at the Home Base Hangar. The amount allocated to the Aircraft will then be allocated proportionately to the Owners based
upon their respective ownership interests in the Aircraft. The Owners agree that the monthly Hangar Rent to be allocated between the Owners as of the date of this Agreement is $6,700.

	6.7
	Books and Records. Managing Owner will maintain the books and records for the operation and use of the Aircraft, including records
relating to the calculation of all charges and all records, logs and other materials required by the FAA to be maintained in respect of the Aircraft. Such books and records will be open to inspection
and copying by the Owners during normal business hours. 

7.     Aircraft Insurance  

	7.1
	Throughout
the term of this Agreement, Managing Owner will maintain in full force and effect, liability insurance in the amount of not less than $250,000,000 per occurrence combined
single limit, including war risk and insurance against physical damage to the Aircraft in an amount not less than the actual cash value of the Aircraft, including war risk. Managing Owner will provide
a Certificate of Insurance to Owners upon execution of this Agreement and upon request thereafter. Upon request, Managing Owner will provide Owners with copies of all policies relating to the
Aircraft. Managing Owner will be entitled to vary the terms or amounts of hull insurance coverage relating to the Aircraft as it deems necessary or appropriate in its sole discretion, and it will
provide Owners with reasonable advance notice of any material modifications to insurance coverage relating to the Aircraft. All such insurance will name the Managing Owner as the insured and the other
Owner as an additional insured and may not be canceled by the insurer without thirty (30) days prior written notice (except in the case of war-risk insurance, without seven
(7) days prior written notice) to all Owners. Such 

 

insurance
will be primary insurance up to and including the stated policy limits. The coverage will be primary and non-contributory with any other insurance. 

8.     Damage and Indemnification

	8.1.1
	Damage. All damage to the Aircraft will be allocated to the Owners in proportion to their ownership interests, except as may be paid
by insurance on the Aircraft or as provided in the next sentence. Damage caused by the gross negligence or recklessness of an Owner or an Owner's invitee, not covered by insurance (such as a
deductible), will be repaired at that Owner's sole expense and in an expeditious manner so as to permit the operations of the Aircraft to continue without undue delay or inconvenience. Each Owner
assumes liability for, and hereby agrees to indemnify, defend, protect, save, keep and hold harmless the other Owner, its directors, officers, agents, employees and stockholders and their respective
successors, agents, counsel, affiliates and assigns ("Indemnified Parties") from and against any and all third-party claims, liabilities, demands,
obligations, losses, damages, penalties, claims (including without limitation, claims involving strict or absolute liability in tort, (but excluding claims involving loss of use, special, indirect and
consequential damages), actions, suits, costs, expenses and disbursements (including, without limitation, reasonable legal fees and expenses) of any kind and nature whatsoever
("Claims") which may be imposed on or asserted against any Indemnified Party, in any way relating to or arising out of the operation of the Aircraft by
that Owner or anyone else that Owner may allow to operate the Aircraft, whether or not in violation of this Agreement, the insurance policies, applicable FARs or any other federal, state local or
municipal statute, regulation or ordinance. Whether the indemnity granted by each Owner to each Indemnified Party herein is deemed subordinate or primary to any other indemnity to which each
Indemnified Party may be entitled, the Indemnified Party may look solely to that Owner and need not pursue any Claims against any third person prior to or subsequent to seeking the indemnity from the
other Owner hereunder.

	8.2
	Liens and Penalties. Each Owner also hereby indemnifies and will hold the other harmless against any loss sustained or reasonable
expense incurred as the direct result of or arising out of the imposition on the Aircraft of any federal or other tax lien or the foreclosure thereof by virtue of the failure to pay or underpayment by
the indemnifying party of the any taxes, fees or assessments payable by such indemnifying party. Fines, penalties and other charges levied against any Owner or the Aircraft for acts in violation of
any law or regulation governing the operation of the Aircraft will be borne solely by the Owner causing the violation.

	8.3
	Indemnification Procedures.

	(a)
	In
connection with any indemnification provided for in this Section 8, the party seeking indemnification (the "Indemnitee") will give the party from which indemnification is
sought (the "Indemnitor") prompt notice whenever it comes to the Indemnitee's attention that the Indemnitee has suffered or incurred, or may suffer or incur, any Losses for which it is entitled to
indemnification under this Section 8, and, when known, the facts constituting the basis for such claim (in reasonable detail). Failure by the Indemnitee to so notify the Indemnitor will not
relieve the Indemnitor of any liability under this Agreement except to the extent that such failure prejudices the Indemnitor in any material respect.

	(b)
	After
receipt of a notice pursuant to Section 8.3(a), the Indemnitor will be entitled, if it so elects, to take control of the defense and investigation with respect to such
claim and 

 

to
employ and engage attorneys reasonably satisfactory to the Indemnitee to handle and defend such claim, at the Indemnitor's cost, risk, and expense, upon written notice to the Indemnitee of such
election, which notice acknowledges the Indemnitor's obligation to provide indemnification under this Agreement. The Indemnitor will not settle any third-party claim that is the subject of
indemnification without the written consent of the Indemnitee, which consent will not be unreasonably withheld, delayed or conditioned; provided, however, that the Indemnitor may settle a claim
without the Indemnitee's consent if such settlement (i) makes no admission or acknowledgment of liability or culpability with respect to the Indemnitee, (ii) includes a complete release
of the Indemnitee, and (iii) does not require the Indemnitee to make any payment not covered by indemnification by the Indemnitor hereunder or forego or take any action. The Indemnitee will
cooperate in all reasonable respects with the Indemnitor and its attorneys in the investigation, trial, and defense of any lawsuit or action with respect to such claim and any appeal arising therefrom
(including the filing in the Indemnitee's name of appropriate cross claims and counterclaims). The Indemnitee may, at its own cost, participate in any investigation, trial, and defense of such lawsuit
or action controlled by the Indemnitor and any appeal arising therefrom. If there are one or more legal defenses available to the Indemnitee that conflict with those available to, or that are not
available to, the Indemnitor, the Indemnitee will have the right, at the expense of the Indemnitor, to engage separate counsel reasonably acceptable to the Indemnitor and to participate in the defense
of the lawsuit or action. 

	(c)
	If,
after receipt of a notice pursuant to Section 8.3(a), the Indemnitor does not undertake to defend any such claim, the Indemnitee may, but will have no obligation to,
contest any lawsuit or action with respect to such claim, and the Indemnitor will be bound by the result obtained with respect thereto by the Indemnitee. The Indemnitee may not settle any lawsuit or
action with respect to which the Indemnitee is entitled to indemnification hereunder without the consent of the Indemnitor, which consent will not be unreasonably withheld, delayed, or conditioned.

	(d)
	At
any time after the commencement of defense of any lawsuit or action, the Indemnitor may request the Indemnitee to agree in writing to the abandonment of such contest or to the
payment or compromise by the Indemnitor of such claim, whereupon such action will be taken unless the Indemnitee determines that the contest should be continued and so notifies the Indemnitor in
writing within 15 days of such request from the Indemnitor. Any request from the Indemnitor that any contest be abandoned will specify the amount that the other party or parties to the
contested claim have agreed to accept in payment or compromise of the claim. If the Indemnitee determines that the contest should be continued, the Indemnitor will be liable under this Agreement only
to the extent of the lesser of (i) the amount that the other party or parties to the contested claim had agreed to accept in payment or compromise as of the time the Indemnitor made its request
therefor to the Indemnitee, as specified in the Indemnitor's request, or (ii) the amount for which the Indemnitor may be liable with respect to such claim by reason of the provisions of this
Agreement.

	8.4
	Limitation on Liability. Owners agree that the proceeds of any insurance to which they are entitled will be deemed to be their sole
recourse against Managing Owner for any Claim by Owners for loss or damage to the Aircraft due to the management actions of Managing Owner. In no event will an Owner be liable to an Indemnified Party
for any indirect, special, incidental, or consequential damages with respect to any matter relating to this Agreement. 

 

9.     Scheduling  

	9.1
	Scheduling. For purposes of this Agreement, the Aircraft will be available for use by the Owners generally based on their respective
percentage ownership interests in the Aircraft. Each Owner will be allowed usage of the Aircraft on a "first-come, first-served" basis and will schedule flights through the Flight
Department. 

Managing
Owner will advise the other Owner at least one week in advance of any scheduled maintenance and repair and will advise the other Owner as to the projected
back-in-service time and date for all unscheduled repairs. 

	9.2
	Repositioning Flight and Deadhead Flights. Repositioning flights will be charged to the Owner responsible for the flight away from the
home base. In the event the Aircraft will be away from home base for greater than five (5) business days and the other Owner elects to use the Aircraft during that time, the Owner which
utilized the Aircraft away from home base shall be responsible for all variable costs in returning the Aircraft to Home Base and in returning to the destination to retrieve the Owner. If the Aircraft
is away from home base for less than five (5) business days and the other Owner elects to use the Aircraft during that time, such Owner shall be responsible for all variable costs in
returning the Aircraft to home base and in returning it to the destination to retrieve the first Owner. The flight hours incurred for such repositioning and deadhead flights shall be deemed
flown by the Owner which utilized the Aircraft as provided above.

	9.3
	Information Required. Requests for flight time will be in a form, whether oral or written, mutually convenient to, and agreed upon by,
the parties. An Owner will provide the following scheduling and flight time information for each proposed flight, to the flight department:

	9.3.1
	Proposed
departure point;

	9.3.2
	Destination
airport;

	9.3.3
	Date
and time of departure or arrival;

	9.3.4
	Number
of anticipated passengers;

	9.3.5
	Nature
and extent of luggage and/or cargo to be carried;

	9.3.6
	Date
and time of a return flight, if any; and

	9.3.7
	Any
other information which is pertinent or required by the flight crew.

	9.4
	Personal Use. Each Owner may allow its employees to use the Aircraft for personal use provided the Aircraft is not required by either
Owner for business use. The flight hours incurred by John Malone or Robert Bennett for personal use will be deemed flown by LMC. The flight hours incurred by any other person for
personal use will be deemed flown by the Owner authorizing the personal use. 

10.   Aircraft Use Restrictions  

	10.1
	No Transportation for Hire by Owners. Owners will not use the Aircraft for the purpose of providing transportation for passengers or
cargo in air commerce for compensation or hire, for any illegal purposes or for any use prohibited by the insurance maintained pursuant to this Agreement. The Owners may operate the Aircraft only for
the purposes and within the geographical limits set forth in the insurance policy or policies obtained pursuant to this Agreement and in compliance with all FAA Regulations. Each party hereto will
abide by and conform to all such laws, governmental and airport orders, rules and regulations, as will from 

 

time
to time be in effect relating in any way to the operation and use of the Aircraft under this Agreement. 

	10.2
	Home Base. The Aircraft's primary operating base will be Centennial Airport (KAPA). 

11.   Flight Crew  

	11.1
	Authority. In accordance with the applicable FARs, the pilot in command will have full authority to exercise all of his duties and
responsibilities in regard to the safety of each flight conducted hereunder. Each Owner specifically agrees that the pilot in command, in his sole discretion, may terminate any flight, refuse to
commence any flight, or take any other such action which, in the considered judgment of the assigned pilot in command, is necessitated by safety considerations. No such action by the pilot in command
will create or support any liability for loss, injury, damage or delay to any Owner or any other person. The Owners further agree that no Owner will be liable for delay or failure to furnish or return
the Aircraft or flight crew pursuant to this Agreement when such failure is caused by government regulation or authority, mechanical difficulty, war, civil commotion, strikes or labor disputes,
weather conditions or acts of God.

	11.2
	Pilots. A pilot will be authorized to operate the Aircraft if that pilot has the experience level required by the FAA and the approval
of the underwriter for the insurance policy then in force, except for flights and operation by authorized personnel incidental to testing after maintenance and repair at an FAA authorized repair
station. Pilots shall hold an aircraft type rating appropriate to the make and model of the Aircraft. 

12.   International Flights  

	12.1
	Insurance
necessary to comply with all applicable foreign laws and regulations must be arranged at the sole expense of the Owner using the Aircraft prior to entering the airspace of
any country. 

13. Default. The occurrence of any of the following will constitute a default by an Owner under this Agreement: 

	13.1
	The
failure of an Owner to pay when due any amounts owed under this Agreement within thirty (30) days after written notice of nonpayment;

	13.2
	The
causing or permitting by an Owner, through its own acts or failure to act, of any lien, claim or encumbrance to attach to the Aircraft;

	13.3
	The
material breach by an Owner of any other provision of this Agreement, which material breach continues for thirty (30) days after written notice to such Owner; 

14.   Remedies

	14.1
	Specific Performance. If either party threatens to take any action in violation of the terms of this Agreement, the other party may
apply to any court of competent jurisdiction for an injunctive order prohibiting such proposed action. Either party may institute and maintain any action or proceeding against the other party to
compel the specific performance of this Agreement. The party against which such action or proceeding is brought hereby waives the claim or defense that an adequate remedy at law exists, and such party
will not urge in any such action or proceeding the claim or defense that such remedy at law exists.

	14.2
	Arbitration. Except as provided in Section 14.1, all disputes arising under this Agreement that are not settled by the parties
will be submitted to binding arbitration under the then existing 

 

Commercial
Arbitration Rules of the American Arbitration Association. Arbitration proceedings will be held in Denver, Colorado, or such other location agreed to by the parties. The parties to
the arbitration may agree on an arbitrator; otherwise, there will be a panel of three arbitrators, one named in writing by each party within 20 days after any party serves a notice of
arbitration and the third arbitrator named by the two arbitrators named by the parties. No person financially interested in this Agreement or any party may serve as an arbitrator. The costs of the
arbitration and the fees of the arbitrator or arbitrators will be borne by the parties equally. The decision of the arbitrator or arbitrators will be final and conclusive and binding on all the
parties, and judgment thereon may be entered in any Colorado court of competent jurisdiction. 

	14.3
	Disputed invoices. If a portion of an invoice is in dispute, the disputing Owner must pay the undisputed portion. 

15. Representations and Warranties. The parties hereto represent and warrant to, and agree with, one another as follows: 

	15.1
	The
parties are each duly and validly organized and existing in good standing under the laws of the state of their incorporation/organization;

	15.2
	The
parties each have the power and the authority to enter into this Agreement, and to carry out the transactions contemplated hereunder;

	15.3
	The
execution and delivery of this Agreement by the parties and the performance of their obligations hereunder have been duly authorized by all necessary action of the parties and do
not violate or conflict with:

	15.3.1
	Any
provision of any of the parties' Certificates of Incorporation/Organization or By-Laws; or

	15.3.2
	Any
law or any order, writ, injunction, decree, rule or regulation of any court, administrative agency or any other governmental authority;

	15.4
	There
is no action, suit or proceeding pending or threatened against any of the parties before any court, administrative agency or other governmental authority which brings into
question the validity of, or might in any way impair, the execution, delivery or performance by the parties of this Agreement;

	15.5
	The
parties are not subject to any restriction or agreement which, with or without the giving of notice, the passage of time, or both, prohibits or would be violated by the
execution, delivery and consummation of this Agreement and the transactions herein referred to other than restrictions and agreements as to which they have obtained the necessary consents for such
execution, delivery and consummation by the parties; and

	15.6
	The
Aircraft will be registered in the United States throughout the term of this Agreement and each Owner is and for as long as this Agreement remains in effect will be eligible to
register aircraft with the FAA. 

16.   Notices  

	16.1
	All
notices, consents, waivers, and other communications under this Agreement must be in writing and will be deemed to have been duly given when:

	16.1.1
	Delivered
by hand (with written confirmation of receipt), 

 

	16.1.2
	Sent
by electronic facsimile transmission equipment, which equipment shall furnish written confirmation of successful and completed transmission of all pages without error
in transmission, or

	16.1.3
	When
received by the addressee, if sent by a nationally recognized overnight delivery service; 

in
each case to the appropriate addresses and facsimile numbers set forth on Exhibit Aattached hereto (or to such other addresses and facsimile
numbers as a party may designate by written notice to the other party from time to time). 

17.   Waiver  

	17.1
	The
rights and remedies of the parties to this Agreement are cumulative and not alternative. Neither the failure nor any delay by any party in exercising any right, power, or
privilege under this Agreement will operate as a waiver of such right, power, or privilege. To the maximum extent permitted by applicable law:

	17.1.1
	No
claim or right arising out of this Agreement can be discharged by a party, in whole or in part, by a waiver or renunciation of the claim or right unless in writing signed by the
other parties;

	17.1.2
	No
waiver that may be given by a party will be applicable except in the specific instance for which it is given; and

	17.1.3
	No
notice to or demand on one party will be deemed to be a waiver of any obligation of such party or of the right of the party giving such notice or demand to take further action
without notice or demand as provided in this Agreement with respect to its subject matter. 

18.   Entire Agreement and Modification

	18.1
	This
Agreement supersedes any prior agreements between the parties with respect to its subject matter and constitutes a complete and exclusive statement of the terms of the Agreement
between the parties with respect to its subject matter. This Agreement may not be amended except by a written agreement signed by all parties. 

19.   No Assignment; Successors, and No Third Party Rights

	19.1
	No
Owner may assign any of its rights under this Agreement or sell, donate, assign, transfer, pledge, hypothecate, convey, lease or in any other manner dispose of or encumber any of
its right, title or interest in and to the Aircraft without the consent of the other and except as set forth in this Agreement. No Owner may lend or lease the Aircraft to any third party without the
prior consent of the other Owner. Each Owner will refrain from incurring any mechanic's or other lien in connection with inspection, preventative maintenance, maintenance or storage of the Aircraft,
and will not convey, mortgage, assign, lease, encumber or alienate the Aircraft or create any kind of lien or security interest involving the Aircraft or do anything or take any action that might
mature into a lien. Unless expressly permitted under this Agreement, a purported complete or partial transfer or other disposition or encumbrance of any interest in the Aircraft shall be null and void  ab initio and shall not be binding upon or recognized by the Owners.

	19.2
	Subject
to this Section, this Agreement will apply to, be binding in all respects upon, and inure to the benefit of the successors and permitted assigns of the parties. Nothing
expressed 

 

or
referred to in this Agreement will be construed to give any person other than the parties to this Agreement any legal or equitable right, remedy, or claim under or with respect to this Agreement or
any provision of this Agreement. This Agreement and all of its provisions and conditions are for the sole and exclusive benefit of the parties of this Agreement, their successors and permitted
assigns. 

20.   Severability  

	20.1
	If
any provision of this Agreement is held invalid or unenforceable by any court of competent jurisdiction, the other provisions of this Agreement will remain in full force and
effect. Any provision of this Agreement held invalid or unenforceable only in part or degree will remain in full force and effect to the extent not held invalid or unenforceable. 

21.   Section Headings, Construction  

	21.1
	The
headings in this Agreement are provided for convenience only and will not affect its construction or interpretation. All references to "Sections" refer to the corresponding
sections of this Agreement. All words used in this Agreement will be construed to be of such gender or number as the circumstances require. 

22.   Governing Law  

	22.1
	This
Agreement will be governed by and construed under the laws of the State of Colorado without regard to conflicts of laws principles. 

23.   Counterparts  

	23.1
	This
Agreement may be executed in two or more identical counterparts, each of which will be deemed to be an original copy of this Agreement and all of which, when taken together,
will be deemed to constitute one and the same Agreement. 

        IN
WITNESS WHEREOF, the parties have caused this Agreement to be executed by duly authorized officers, to be effective as of the date first written above. 

	

Liberty Media Corporation	
 	

 
	

By:	
 	

/s/  ELIZABETH M. MARKOWSKI      
 Elizabeth M. Markowski

Senior Vice President	
 	

 
	

Liberty Media International, Inc.	
 	

 
	

By:	
 	

/s/  ELIZABETH M. MARKOWSKI      
 Elizabeth M. Markowski

Senior Vice President	
 	

 

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Exhibit 10.5  

 
 

FORM OF TAX SHARING AGREEMENT
  BETWEEN
  LIBERTY MEDIA CORPORATION
  AND
  LIBERTY MEDIA INTERNATIONAL, INC.    
    

   TABLE OF CONTENTS  

	 
	 	 
	 	Page

	SECTION 1. Definition of Terms	 	3
	
SECTION 2. Allocation of Income Tax Liabilities	
 	
7
	

2.1	
 	

Federal Income Taxes	
 	

7
	2.2	 	State Income Taxes	 	7
	2.3	 	Foreign Income Taxes	 	7
	2.4	 	Other Taxes	 	8
	2.5	 	Special Rules	 	8
	2.6	 	Tax Payments	 	9
	
SECTION 3. Preparation and Filing of Tax Returns.	
 	
9
	3.1	 	Combined Returns and Consolidated Returns	 	9
	3.2	 	Separate Returns and Other Returns	 	10
	3.3	 	Special Rules Relating to the Preparation of Tax Returns	 	11
	3.4	 	Reliance on Exchanged Information	 	11
	
SECTION 4. Tax Benefits, Refunds, and Carrybacks	
 	
11
	

4.1	
 	

Tax Benefits Resulting from Carrybacks	
 	

11
	4.2	 	Other Tax Benefits	 	11
	
SECTION 5. Tax Payments	
 	
11
	

5.1	
 	

Indemnification Payments	
 	

11
	5.2	 	Payment of Refunds.	 	11
	5.3	 	Interest on Late Payments	 	12
	5.4	 	Initial Determinations and Subsequent Adjustments	 	12
	5.5	 	Tax Consequences of Payments	 	12
	
SECTION 6. Assistance and Cooperation	
 	
13
	
 SECTION 7. Tax Records.	
 	
13
	7.1	 	Retention of Tax Records	 	13
	7.2	 	Access to Tax Records	 	13
	
 SECTION 8. Tax Contests	
 	
13
	

8.1	
 	

Notices	
 	

13
	8.2	 	Control of Tax Contests	 	14
	8.3	 	Cooperation	 	14
	
 SECTION 9. Restriction on Certain Actions of LMI; Indemnity	
 	
14
	

9.1	
 	

Restrictive Covenant	
 	

14
	9.2	 	Indemnity	 	14
	9.3	 	Indemnification Procedures	 	15
	
 SECTION 10. General Provisions	
 	
15
	10.1	 	Termination	 	15
	10.2	 	Expenses	 	15
	10.3	 	Breach of Agreement	 	15
	10.4	 	Disputes and Jurisdiction	 	15
	10.5	 	Waiver of Jury Trial	 	16

 

	10.6	 	Notices	 	16
	10.7	 	Counterparts	 	17
	10.8	 	Binding Effect; Assignment	 	17
	10.9	 	Severability	 	17
	10.10	 	Amendment	 	17
	10.11	 	Effective Time	 	17
	10.12	 	Change in Law	 	17
	10.13	 	Authorization, Etc.	 	17
	10.14	 	No Third Party Beneficiaries	 	17
	10.15	 	Entire Agreement	 	17

   TAX SHARING AGREEMENT  

        THIS TAX SHARING AGREEMENT (this "Agreement") is entered into as of June     , 2004, between Liberty Media Corporation, a Delaware corporation
("LMC"), and Liberty Media International, Inc. ("LMI"), a Delaware corporation. Capitalized terms used in this Agreement are defined herein. Unless otherwise indicated, all "Section" references
in this Agreement are to sections of this Agreement. 

RECITALS  

        WHEREAS, LMI is a direct wholly owned subsidiary of LMC; and 

        WHEREAS,
the Board of Directors of LMC has determined that it would be appropriate and desirable for LMC to separate the LMI Group from the LMC Group; and 

        WHEREAS,
the Board of Directors of LMI has also approved such transaction; and 

        WHEREAS,
LMC intends to distribute its entire interest in the stock of LMI to LMC's shareholders, pro rata, in a tax-free distribution under Section 355 of the Code or
any corresponding provision of any successor statute and that as a result of such distribution (referred to herein as the "Distribution") LMI and its eligible Subsidiaries will cease to be members of
the LMC Consolidated Group; and 

        WHEREAS,
the parties set forth in a Reorganization Agreement the principal arrangements between them regarding the separation of the LMI Group from the LMC Group; and 

        WHEREAS,
the parties desire to provide for and agree upon the allocation between the parties of liabilities for Taxes arising prior to, as a result of, and subsequent to the
Distribution, and to provide for and agree upon other matters relating to Taxes. 

        NOW,
THEREFORE, in consideration of the foregoing and the covenants and agreements set forth below, the parties hereto agree as follows: 

        SECTION 1. Definition of Terms. For purposes of this Agreement (including the recitals hereof), the following terms have the following
meanings: 

        "Adjustment"
means the deemed increase in a Tax, determined using the assumptions set forth in the next sentence, resulting from an adjustment made with respect to any amount reflected
or required to be reflected on any Tax Return relating to such Tax. For purposes of determining such deemed increase in Tax, the following assumptions will be used: (a) the relevant party is,
in the case of any Income Tax, subject to the highest applicable marginal Tax rate or, in the case of any other Tax, subject to the highest applicable Tax rate, in each case in effect with respect to
that Tax for the Tax period to which the adjustment relates; (b) such determination shall be made without regard to whether any actual increase in such Tax will in fact be realized with respect
to the Tax Return to which such adjustment relates (as a result, for example, of losses, credits, or other offsets against Tax); and (c) such determination shall take into account any actual
increase in Tax comprising interest or penalties. 

        "Agreement"
has the meaning set forth in the first paragraph hereof. 

        "AT&T
Tax Sharing Agreement" means the Tax Sharing Agreement dated as of March 9, 1999, as amended, by and among AT&T Corp., LMC, for itself and each member of the Liberty Group
(as defined therein), Tele-Communications, Inc., Liberty Ventures Group LLC, Liberty Media Group LLC, TCI Starz, Inc., TCI CT Holdings, Inc., each Covered Entity (as
defined therein) listed on the signature pages thereof, and any entities which became parties thereto pursuant to Section 23 thereof.

 

        "AT&T
TSA Liabilities" means any obligation or liability to make any payment to AT&T Corp. or any member of the Common Stock Group (as defined in the AT&T Tax Sharing Agreement) or to
any Tax Authority pursuant to the terms of the AT&T Tax Sharing Agreement. 

        "Carryback"
means any net operating loss, net capital loss, tax credit or other similar Tax Item which may or must be carried from one Tax Year to a prior Tax Year under applicable Tax
Law. 

        "Code"
means the U.S. Internal Revenue Code of 1986, as amended from time to time, or any successor law. 

        "Combined
Return" means any State or Foreign Income Tax Return that includes one or more members of the LMC Group and one or more members of the LMI Group or in which income, deductions,
or credits of any member of the LMC Group may be combined with, or offset against, income, deductions, or credits of any member of the LMI Group. 

        "Combined
Year" means, with respect to any State Income Tax or Foreign Income Tax, as applicable, any Tax Year for which a Combined Return is filed; provided,
however, that Combined Year means only that portion of such Tax Year in which one or more members of the LMI Group are included in the Combined Return. 

        "Company"
means LMC or LMI or one of their Subsidiaries, as the context requires. 

        "Consolidated
Return" means any Federal Income Tax Return that is filed on a consolidated basis and includes one or more members of the LMC Group and one or more members of the LMI
Group. 

        "Consolidated
Year" means, with respect to any Federal Income Tax, any Tax Year for which a Consolidated Return is filed; provided,
however, that Consolidated Year means only that portion of such Tax Year in which one or more members of the LMI Group are included in the Consolidated Return. 

        "Distribution"
means the distribution by LMC, pro rata, to its Series A common stockholders of all of its LMI Series A common stock, and to its Series B common
stockholders of all of its LMI Series B common stock, in what is intended to qualify as a tax-free distribution under Section 355 of the Code (or any corresponding provision
of any successor statute). 

        "Distribution
Date" means the date on which the Distribution occurs. 

        "Federal
Income Tax" means any Income Tax imposed by the United States federal government (including, without limitation, the Taxes imposed by Sections 11, 55, 59A and
1201(a) of the Code). 

        "Federal
Income Tax Return" means any report of Federal Income Taxes due, any claims for refund of Federal Income Taxes paid, any information return with respect to Federal Income Taxes,
or any other similar report, statement, declaration, or document required to be filed under U.S. federal income Tax
Law, including any attachments, exhibits, or other materials submitted with any of the foregoing, and including any amendments or supplements to any of the foregoing. 

        "Foreign
Country" means any country other than the United States. 

        "Foreign
Income Tax" means any Income Tax imposed by any Foreign Country or any possession of the United States or by any political subdivision of any Foreign Country or possession of
the United States. 

        "Gain
Recognition Agreements" has the meaning set forth in Section 2.5(b)(i). 

        "Group"
means the LMC Group or the LMI Group, as the context requires. 

        "Income
Tax" means all Taxes (i) based upon, measured by, or calculated with respect to, net income, net profits or deemed net profits (including, without limitation, any capital
gains Tax, minimum Tax based upon, measured by, or calculated with respect to, net income, net profits or deemed net profits, any Tax on items of Tax preference and depreciation recapture or clawback,
but not including

 
sales, use, real or personal property, gross or net receipts, gross profits, transfer and similar Taxes), (ii) imposed by a Foreign Country which qualify under Section 903 of the Code or
(iii) based upon, measured by, or calculated with respect to multiple bases (including, but not limited to, corporate franchise and occupation Taxes) if such Taxes may be based upon, measured
by, or calculated with respect to one or more bases described in clause (i) above. Notwithstanding the above, the Taxes described in clause (iii) shall be considered Income
Taxes only to the extent that such Taxes exceed the hypothetical amount of such Taxes that would have been imposed had all of the bases described in clause (i) on which such Taxes are
based, measured, or calculated been equal to zero. 

        "LMC"
has the meaning set forth in the first paragraph hereof and includes any successor entity. 

        "LMC
Consolidated Group" means LMC and its eligible Subsidiaries (as determined under Section 1504(a) of the Code or any successor provision) that file a Federal
Income Tax Return on a consolidated basis. 

        "LMC
Group" means LMC, all Persons that are Subsidiaries of LMC immediately after the Distribution, and Persons that become Subsidiaries of LMC thereafter;  provided, however, 

	(a)
	if
any Person that is a member of the LMC Group becomes a Subsidiary of LMI at any time after the Distribution, such Person will not be treated as a member of the LMC Group with
respect to any Tax Year or portion thereof beginning after the date such Subsidiary becomes a Subsidiary of LMI; and

	(b)
	if
any Person that is a member of the LMI Group becomes a Subsidiary of LMC at any time after the Distribution, such Subsidiary will only be treated as a member of the LMC Group with
respect to any Tax Year or portion thereof beginning after the date such Subsidiary becomes a Subsidiary of LMC; and

	(c)
	during
any Tax Year or portion thereof beginning immediately after the Distribution that any Person listed on Exhibit A or any other Person is both a Subsidiary of LMC and a
Subsidiary of LMI, such Person shall not be a member of the LMC Group. 

        "LMC
Indemnitees" has the meaning set forth in Section 9.2. 

        "LMI"
has the meaning set forth in the first paragraph hereof and includes any successor entity. 

        "LMI
Group" means LMI, all Persons that are Subsidiaries of LMI immediately after the Distribution, and Persons that become Subsidiaries of LMI thereafter;  provided, however, 

        (a)   if
any Person that is a member of the LMI Group becomes a Subsidiary of LMC at any time after the Distribution, such Person will not be treated as a member of the LMI
Group with respect to any Tax Year or portion thereof beginning after the date such Subsidiary becomes a Subsidiary of LMC; and 

        (b)   if
any Person that is a member of the LMC Group becomes a Subsidiary of LMI at any time after the Distribution, such Subsidiary will only be treated as a member of the
LMI Group with respect to any Tax Year or portion thereof beginning after the date such Subsidiary becomes a Subsidiary of LMI; and 

        (c)   during
any Tax Year or portion thereof beginning immediately after the Distribution that any Person listed on Exhibit A or any other Person is both a Subsidiary
of LMC and a Subsidiary of LMI, such Person shall be a member of the LMI Group. 

        "LMI
Indemnitees" has the meaning set forth in Section 10.3. 

        "Losses"
means any and all damages, losses, deficiencies, liabilities, obligations, penalties, judgments, settlements, claims, payments, fines, interest, costs and expenses (including,
without limitation, the costs and expenses of any and all actions and demands, assessments, judgments,

 
settlements and compromises relating thereto and the costs and expenses of attorneys', accountants', consultants' and other professionals' fees and expenses incurred in the investigation or defense
thereof or the enforcement of rights hereunder), including direct and consequential damages. 

        "Other
Return" means any Tax Return which is not a Federal, State, or Foreign Income Tax Return. 

        "Other
Tax" means any Tax that is not an Income Tax. 

        "Payment
Date" means (x) with respect to any Consolidated Return, the due date for any required installment of estimated taxes determined under Code Section 6655, the due
date (determined without regard to extensions) for filing the return determined under Code Section 6072, and the date the return is filed, and (y) with respect to any Combined Return,
Separate Return, or Other Return the corresponding dates determined under the applicable Tax Law. 

        "Payment
Period" has the meaning set forth in Section 5.3. 

        "Person"
means any individual, corporation, company, partnership, trust, incorporated or unincorporated association, joint venture or other entity of any kind. 

        "Reorganization
Agreement" means the Reorganization Agreement dated May 21, 2004, between LMC and LMI. 

        "Separate
Return" means any Federal, State, or Foreign Income Tax Return which is not a Consolidated Return or Combined Return. 

        "Separate
Return Year" means, with respect to any Federal Income Tax, State Income Tax or Foreign Income Tax, as applicable, a Tax Year or portion thereof which is not a Consolidated
Year or Combined Year. 

        "State
Income Tax" means any Income Tax imposed by any State of the United States (or the District of Columbia) or by any political subdivision of any such State (or the District of
Columbia). 

        "Subsidiary"
means, as to any Person, any other Person of which at least (i) 50 percent of the total voting power or (ii) 50 percent of the total value of the
equity of such other Person is owned, directly or by attribution under the principles of Section 318 of the Code, by such first Person. 

        "Tax"
or "Taxes" means any income, gross income, gross receipts, profits, capital stock, franchise, withholding, payroll, social security, workers compensation, unemployment, disability,
property, ad valorem, stamp, excise, severance, occupation, service, sales, use, license, lease, transfer, import, export, value added, alternative minimum, estimated or other similar tax (including
any fee, assessment, or other charge in the nature of or in lieu of any tax) imposed by any Tax Authority and any interest, penalties, additions to tax, or additional amounts in respect of the
foregoing. 

        "Tax
Authority" means, with respect to any Tax, the governmental entity or political subdivision, agency, commission or authority thereof that imposes such Tax, and the agency,
commission or authority (if any) charged with the assessment, determination or collection of such Tax for such entity or subdivision. 

        "Tax
Benefit" means a reduction in the Tax liability of a taxpayer, including a refund of Taxes previously paid. 

        "Tax
Contest" means an audit, review, examination, or any other administrative or judicial proceeding with the purpose or effect of redetermining Taxes of any member of either Group
(including any administrative or judicial review of any claim for refund). 

        "Tax
Item" means, with respect to any Income Tax, any item of income, gain, loss, deduction, credit or other attribute that may have the effect of increasing or decreasing any Tax.

 

        "Tax
Law" means the law of any governmental entity or political subdivision thereof, and any controlling judicial or administrative interpretations of such law, relating to any Tax. 

        "Tax
Records" means Tax Returns, Tax Return work papers, documentation relating to any Tax Contests, and any other books of account or records required to be maintained under applicable
Tax Laws (including but not limited to Section 6001 of the Code) or under any record retention agreement with any Tax Authority. 

        "Tax
Return" means any report of Taxes due, any claims for refund of Taxes paid, any information return with respect to Taxes, or any other similar report, statement, declaration, or
document required to be filed under any applicable Tax Law, including any attachments, exhibits, or other materials submitted with any of the foregoing, and including any amendments or supplements to
any of the foregoing. 

        "Tax
Year" means, with respect to any Tax, the year, or shorter period, if applicable, for which the Tax is reported as provided under applicable Tax Law. 

        "Third
Party Claim" has the meaning set forth in Section 9.3(a). 

        "Treasury
Regulations" means the regulations promulgated from time to time under the Code as in effect for the relevant Tax Year. 

        "Unrecaptured
LMI DCL" has the meaning set forth in Section 2.5(a). 

        SECTION 2. Allocation of Income Tax Liabilities.

        2.1
Federal Income Taxes. Except as provided in Section 2.5, liability for Federal Income Taxes shall be allocated as follows: 

        (a)   Taxes Reported on Consolidated Returns. The LMC Group shall be liable for, and LMC shall pay, or cause the appropriate
member of the LMC Group to pay, all Federal Income Taxes that are attributable to members of the LMC Group and the LMI Group and reported on, or required to be reported on, a Consolidated Return. 

        (b)   Taxes Reported on Separate Returns. The LMI Group shall be liable for, and LMI shall pay, or cause the appropriate member
of the LMI Group to pay, all Federal Income Taxes that are attributable to members of the LMI Group and reported on, or required to be reported on, a Separate Return, and the LMC Group shall be liable
for, and LMC shall pay, or cause the appropriate member of the LMC Group to pay, all Federal Income Taxes that are attributable to members of the LMC Group and reported on, or required to be reported
on, a Separate Return. 

        2.2  State Income Taxes. Except as provided in Section 2.5, liability for State Income Taxes shall be allocated as follows:

        (a)   Taxes Reported on Combined Returns. The LMC Group shall be liable for, and LMC shall pay, or cause the appropriate member
of the LMC Group to pay, all State Income Taxes that are attributable to members of the LMC Group and the LMI Group and reported on, or required to be reported on, a Combined Return. 

        (b)   Taxes Reported on Separate Returns. The LMI Group shall be liable for, and LMI shall pay, or cause the appropriate member
of the LMI Group to pay, all State Income Taxes that are attributable to members of the LMI Group and reported on, or required to be reported on, a Separate Return, and the LMC Group shall be liable
for, and LMC shall pay, or cause the appropriate member of the LMC Group to pay, all State Income Taxes that are attributable to members of the LMC Group and reported on, or required to be reported
on, a Separate Return. 

        2.3
Foreign Income Taxes. Except as provided in Section 2.5, liability for Foreign Income Taxes shall be allocated as follows:

 

        (a)   Taxes Reported on Combined Returns. The LMC Group shall be liable for, and LMC shall pay, or cause the appropriate member
of the LMC Group to pay, all Foreign Income Taxes that are attributable to members of the LMC Group and the LMI Group and reported on, or required to be reported on, a Combined Return. 

        (b)   Taxes Reported on Separate Returns. The LMI Group shall be liable for, and LMI shall pay, or cause the appropriate member
of the LMI Group to pay, all Foreign Income Taxes that are attributable to members of the LMI Group and reported on, or required to be reported on, a Separate Return, and the LMC Group shall be liable
for, and LMC shall pay, or cause the appropriate member of the LMC Group to pay, all Foreign Income Taxes that are attributable to members of the LMC Group and reported on, or required to be reported
on, a Separate Return. 

        2.4
Other Taxes. The LMI Group shall be liable for, and LMI shall pay, or cause the appropriate member of the LMI Group to pay, any Other
Tax attributable to members of the LMI Group, and the LMC Group shall be liable for, and LMC shall pay, or cause the appropriate member of the LMC Group to pay, any Other Tax attributable to members
of the LMC Group. 

        2.5
Special Rules. 

        (a)   Dual Consolidated Losses. 

        (i)    Unrecaptured LMI DCL. For purposes of this Agreement, an "Unrecaptured LMI DCL" is any dual consolidated
loss (as defined in Treasury Regulations Section 1.1503-2(c)(5)) of any member of the LMI Group, 

	(w)
	arising
before the Distribution Date,

	(x)
	for
which relief under current or former Treasury Regulations Sections 1.1503-2(g)(2) or 1.1503-2T(g)(2) has been elected,

	(y)
	for
which there has not, prior to the Distribution Date, been a triggering event under Treasury Regulations Section 1.1503-2(g)(2)(iii) requiring the
recapture of such loss under Treasury Regulations Section 1.1503-2(g)(2)(vii), and

	(z)
	for
which the Distribution would have, but for LMI and LMC entering into a closing agreement described in Section 2.5(a)(ii) of this Agreement, constituted a triggering
event under Treasury Regulations Section 1.1503-2(g)(2)(iii) requiring the recapture of such loss under Treasury Regulations Section 1.1503-2(g)(2)(vii). 

        (ii)   Closing and Other Agreements. LMI agrees (x) to enter into a closing agreement with LMC and the Internal Revenue
Service, pursuant to Treasury Regulations Section 1.1503-2(g)(2)(iv)(B)(3), providing that LMC and LMI will be jointly and severally
liable for the total amount of the recapture of any Unrecaptured LMI DCL and interest charge required under Treasury Regulations Section 1.1503-2(g)(2)(vii) if there is a
triggering event described in Treasury Regulations Section 1.1503-2(g)(2)(iii), (y) to treat any such potential recapture amount under Treasury Regulations
Section 1.1503-2(g)(2)(vii) as unrealized built-in gain for purposes of Section 384(a) of the Code, subject to any applicable exceptions thereunder,
and (z) to file, pursuant to Treasury Regulations
Section 1.1503-2T(g)(2)(iv)(B)(3)(iii), a "new (g)(2)(i) agreement" with
respect to each Unrecaptured LMI DCL. 

        (iii)  Indemnification. LMI shall be liable for, and shall indemnify and hold harmless each member of the LMC Group from and
against, any Adjustments and any AT&T TSA Liabilities resulting from the recapture of any Unrecaptured LMI DCL under Treasury Regulations Section 1.1503-2(g)(2)(vii). 

	(b)
	Gain Recognition Agreements. 

 

        (i)    Gain Recognition. Except as provided in clause (ii) of this Section 2.5(b), LMI shall be liable for, and
shall indemnify and hold harmless each member of the LMC Group from and against, any Adjustments and any AT&T TSA Liabilities resulting from the recognition of gain pursuant to a gain recognition
agreement entered into by LMC (or any other parent of a consolidated group of which any member of the LMI Group was a member at any time prior to the Distribution Date) in accordance with Treasury
Regulations Section 1.367(a)-8(b) ("Gain Recognition Agreements"), if the recognition of such gain results in an adjustment, pursuant to Treasury Regulations
Section 1.367(a)-8(b)(3)(iv), to the basis of any property held by any member of the LMI Group. 

        (ii)   Indemnity Offset. The amount that LMI is required to indemnify the LMC Group pursuant to clause (i) of
this Section 2.5(b) shall be reduced by any amounts that any member of the LMC Group receives pursuant to any indemnification arrangements with any other Person arising from or relating
to the recognition of gain under such Gain Recognition Agreements for which the indemnity under clause (i) of this Section 2.5(b) is provided. 

        (iii)  Nonrecognition Transactions. LMI agrees to enter into a new gain recognition agreement pursuant to Treasury Regulations
Section 1.367(a)-8(g) (relating to nonrecognition transfers), if entering into such agreement would preclude the recognition of gain described above in
clause (i) of this Section 2.5(b). 

        (iv)  Annual Certification. To the extent that any member of the LMI Group was a "U.S. transferor" (within the meaning of
Treasury Regulations Section 1.367(a)-8(b)(5)(ii)) with respect to property for which a Gain Recognition Agreement was entered into, LMI agrees to comply with the annual
certification requirements of Treasury Regulations Section 1.367(a)-8(b)(5)(ii) during that portion of the term of such Gain Recognition Agreement occurring after the
Distribution and to promptly provide copies of such annual certifications to LMC. 

        (c)   AT&T Tax Sharing Agreement. Notwithstanding any other provision in this Section 2, LMC shall be liable for, and
shall indemnify and hold harmless each member of the LMI Group from and against, any AT&T TSA Liabilities other than any AT&T TSA Liabilities arising from any Unrecaptured LMI DCL or any Gain
Recognition Agreements for which LMI is required to provide indemnification to the LMC Group pursuant to Sections 2.5(a) or 2.5(b). 

        (d)   Taxes Resulting from the Distribution. Notwithstanding any other provision in this Section 2, LMI shall be liable
for, and shall indemnify and hold harmless each member of the LMC Group from and against, any Adjustments resulting from (i) any breach by any member of the LMI Group of the covenant set forth
in Section 9.1 hereof that precludes the Distribution from qualifying as a tax-free distribution under Section 355 of the Code (or any corresponding provision of any
successor statute) to LMC or the LMC shareholders, or (ii) any breach of any representation or covenant given by any member of the LMI Group in connection with the tax opinions delivered by
Skadden, Arps, Slate, Meagher & Flom LLP and KPMG LLP to LMC relating to the qualification of the Distribution as a distribution described in Section 355 of the Code. 

        2.6
Tax Payments. Each party shall pay the Taxes or Adjustments allocated to it by this Section 2 either to the applicable Tax
Authority or to the other appropriate party in accordance with Section 5. 

        SECTION 3. Preparation and Filing of Tax Returns. 

        3.1
Combined Returns and Consolidated Returns. 

        (a)   Preparation by LMC. LMC shall be responsible for preparing and filing (or causing to be prepared and filed) all
Consolidated Returns and Combined Returns (other than any Consolidated

 
Returns or Combined Returns which are prepared by AT&T in accordance with the AT&T Tax Sharing Agreement). 

        (b)   Provision of Information and Assistance by LMI. 

        (i)    Information with Respect to Final Returns. LMI shall provide LMC with all information necessary for the LMC Group to
properly and timely file all Consolidated Returns and Combined Returns. In the event that LMI fails to provide information in the form and within the time period reasonably requested by LMC to permit
the timely filing of any Consolidated Return or Combined Return, then notwithstanding any other provision of this Agreement, LMI shall be liable for, and shall indemnify and hold harmless each member
of the LMC Group from and against, any penalties, interest, or other payment obligation assessed against any member of the LMC Group or the LMI Group by reason of a delay in filing such return. If LMI
provides information in the form and within the time period reasonably requested by LMC to permit the timely filing of a particular Consolidated Return or Combined Return, then notwithstanding any
other provision of this Agreement, the LMC Group shall be liable for, and LMC shall indemnify and hold harmless each member of the LMI Group from and against, any penalties, interest, or other
payments assessed against any member of the LMC Group or the LMI Group by reason of delay in filing such return. 

        (ii)   Information with Respect to Estimated Payments and Extension Payments. LMI shall provide LMC with all information
relating to members of the LMI Group which LMC needs to determine the amount of Taxes due on any Payment Date. The indemnification principles of Section 3.1(b)(i) shall apply with
respect to any penalties, interest, or other payments assessed against any member of the LMC Group or the LMI Group by reason of a delay in paying the Taxes due on any Payment Date. 

        (iii)  Assistance. At the request of LMC, LMI shall take (at its own cost and expense), and shall cause the members of the LMI
Group to take (at their own cost and expense), any reasonable action (e.g., filing a ruling request with the relevant Tax Authority or executing a power
of attorney) that is reasonably necessary in order for LMC, or any other member of the LMC Group, to prepare, file, amend or take any other action with respect to any Consolidated Return or Combined
Return. 

        3.2  Separate Returns and Other Returns. 

        (a)   Tax Returns to be Prepared by LMC. LMC shall be responsible for preparing and filing (or causing to be prepared and
filed) all Separate Returns and Other Returns which relate solely to one or more members of the LMC Group for any Tax Year. 

        (b)   Tax Returns to be Prepared by LMI. LMI shall be responsible for preparing and filing (or causing to be prepared and
filed) all Separate Returns and Other Returns which relate solely to one or more members of the LMI Group for any Tax Year. In preparing such Separate Returns and Other Returns, 

        (i)    LMI
may not take (and shall cause the members of the LMI Group not to take) any positions that it knows, or reasonably should know, would adversely affect any member of
the LMC Group; and 

        (ii)   LMI
and the other members of the LMI Group must (x) allocate Tax Items between a Separate Return Year and any related Consolidated Year or Combined Year that is
part of the same Tax Year in a manner that is consistent with the reporting of such Tax Items on the related Consolidated Return or Combined Return and (y) make any applicable elections
required under Treasury Regulations Section 1.1502-76(b)(2), or any other applicable Tax Law, necessary to effect such allocation.

 

        (c)   Provision of Information. LMC shall provide to LMI, and LMI shall provide to LMC, any information about members of the
LMC Group or the LMI Group, respectively, which the party receiving such information needs to properly and timely file all Separate Returns and Other Returns pursuant to
Section 3.2(a) or (b). 

        3.3
Special Rules Relating to the Preparation of Tax Returns. 

        (a)   General Rule. Except as otherwise provided in this Agreement, the party responsible for filing (or causing to be filed) a
Tax Return pursuant to Sections 3.1 or 3.2 shall have the exclusive right, in its sole discretion, with respect to such Tax Return to determine (1) the manner in which such Tax Return
shall be prepared and filed, including the elections, methods of accounting, positions, conventions and principles of taxation to be used and the manner in which any Tax Item shall be reported,
(2) whether any extensions may be requested, (3) whether an amended Tax Return shall be filed, (4) whether any claims for refund shall be made, (5) whether any refunds
shall be paid by way of refund or credited against any liability for the related Tax and (6) whether to retain outside firms to prepare or review such Tax Return. 

        (b)   Election to File Consolidated Returns or Combined Returns. LMC shall have the sole discretion of filing any Consolidated
Return or Combined Return, if the filing of such return is elective under the relevant Tax Law. 

        3.4  Reliance on Exchanged Information. If a member of the LMI Group supplies information to a member of the LMC Group, or a member of the
LMC Group supplies information to a member of the LMI Group, and an officer of the requesting member intends to sign a statement or other document under penalties of perjury in reliance upon the
accuracy of such information, then a duly authorized officer of the member supplying such information shall certify, to the best of such officer's knowledge, the accuracy and completeness of the
information so supplied. 

        SECTION 4. Tax Benefits, Refunds, and Carrybacks. 

        4.1  Tax Benefits Resulting from Carrybacks. 

        (a)   Filing Claims and Making Payments for Carrybacks. If the LMI Group generates a Carryback to a Consolidated Year or
Combined Year, then, upon the request of LMI, LMC may, in its sole discretion, file a claim for refund arising from such Carryback and pay such refund to LMI in accordance with
Section 5.2(a). 

        (b)   Adjustment of Tax Items. In the event that a Carryback by the LMI Group to a Consolidated Year or Combined Year increases
the amount of Taxes for which LMC is otherwise liable under this Agreement, the amount of the refund to which the LMI Group shall be entitled to receive, in accordance with Section 5.2(a),
shall be net of LMC's increased liability. 

        4.2
Other Tax Benefits. Except as provided in this Section 4 or in Section 5, neither LMC nor LMI shall be obligated to
reimburse the other for any Tax Benefit received either before or after the Distribution. 

        SECTION 5. Tax Payments. 

        5.1
Indemnification Payments. If any member of one Group is required to make a payment to a Tax Authority for Taxes for which a Company
belonging to the other Group is wholly or partially liable under this Agreement, the Company which is liable for such Taxes under this Agreement will remit the amount for which it is liable to the
appropriate other Company within thirty days after receiving notification requesting such amount. 

        5.2  Payment of Refunds.

 

        (a)   Refund Received by LMC Group. If a member of the LMC Group receives a Tax refund with respect to Taxes for which a member
of the LMI Group is liable hereunder or receives a Tax Benefit for which LMI is entitled to reimbursement hereunder, LMC shall pay to LMI, within thirty days following the receipt of the Tax
refund or Tax Benefit, an amount equal to such Tax refund or Tax Benefit. Unless specified otherwise in this Agreement, a Tax Benefit will be considered received at the time the Tax Return or claim
for refund, as the case may be, is filed with respect to such Tax Benefit. 

        (b)   Refund Received by LMI Group. If a member of the LMI Group receives a Tax refund with respect to Taxes for which a member
of the LMC Group is liable hereunder, LMI shall pay to LMC, within thirty days after the receipt of the Tax refund, an amount equal to such Tax refund. 

        5.3  Interest on Late Payments. Payments pursuant to this Agreement that are not made within the period prescribed in this Agreement or, if
no period is prescribed, within fifteen business days after demand for payment is made (the "Payment Period") shall bear interest for the period from and including the date immediately
following the last date of the Payment Period through and including the date of payment at a per annum rate equal to the "annualized six month LIBOR rate" plus seventy-five basis points.
Unless the parties otherwise agree, the annualized six month LIBOR rate used shall be the per annum rate for deposits in U.S. dollars for a six-month period that appears on Bridge's
Telerate Service display at page 3750 (or such other page as may replace such page) as of 11:00 A.M. London time on the last day of the Payment Period. Such interest will be
payable at the same time as the payment to which it relates and shall be calculated on the basis of a year of 365 days and the actual number of days for which due. 

        5.4
Initial Determinations and Subsequent Adjustments. The initial determination of the amount of any payment that one Company is required
to make to another under this Agreement shall be made on the basis of the Tax Return as filed, or, if the Tax to which the payment relates is not reported in a Tax Return, on the basis of the amount
of Tax initially paid to the Tax Authority. Payments will be made, as appropriate, if as a result of an audit by a Tax Authority or for any other reason (x) additional Taxes to which such
determination relates are subsequently paid, (y) a refund of such Taxes or a Tax Benefit relating to such Taxes is received, or (z) the amount or character of any Tax Item is adjusted or
redetermined. Each payment required by the immediately preceding sentence (i) as a result of a payment of additional Taxes will be due thirty days after the date on which the additional
Taxes were paid or, if later, fifteen days after the date of a request from the other Company for the payment, (ii) as a result of the receipt of a refund or Tax Benefit will be due
thirty days after the refund or Tax Benefit was received, or (iii) as a result of an adjustment or redetermination of the amount or character of a Tax Item will be due thirty days after
the date on which the final action resulting in such adjustment or redetermination is taken by a Tax Authority or either Company. If a payment is made as a result of an audit by a Tax Authority which
does not conclude the matter, further adjusting payments will be made, as appropriate, to reflect the outcome of subsequent administrative or judicial proceedings. Nothing in
this Agreement shall obligate LMC to compensate LMI with respect to an adjustment to any Tax Item on any Separate Return of any members of the LMI Group or LMC Group that results from an adjustment to
any Tax Item on a Consolidated Return or Combined Return. 

        5.5
Tax Consequences of Payments. For all Tax purposes and to the extent permitted by applicable Tax Law, the parties hereto shall treat
any payment made pursuant to this Agreement as a capital contribution or a distribution, as the case may be, immediately prior to the Distribution Date and, accordingly, as not includible in the
taxable income of the recipient (or any of the members of its Group). Notwithstanding the immediately preceding sentence, if any such payment (or portion thereof) causes, directly or indirectly, an
increase in the taxable income of the recipient (or any of the members of its Group) under one or more applicable Tax Laws, the payor's payment obligation (or portion thereof) under this Agreement
shall be grossed up to take into account the deemed Taxes owed by the recipient (or any of the members of its Group). For purposes of the immediately preceding sentence,

 
the grossed-up amount equals a fraction, the numerator of which is the original payment obligation (or portion thereof), and the denominator of which is 1.0 minus the sum of the highest
marginal tax rates of each applicable Tax Law under which such payment causes an increase in the taxable income of the recipient (or any of the members of its Group). 

        SECTION 6. Assistance and Cooperation. The parties will cooperate (and cause their respective affiliates to cooperate) with each other and
with each other's agents, including accounting firms and legal counsel, in connection with Tax matters, including provision of relevant documents and information in their possession and making
available to each other, as reasonably requested and available, personnel (including officers, directors, employees and agents of the Companies or their affiliates) responsible for preparing,
maintaining, and interpreting information and documents relevant to Taxes, and personnel reasonably required as witnesses or for purposes of providing information or documents in connection with any
administrative or judicial proceedings relating to Taxes. Any information or documents provided under this Agreement shall be kept confidential by the Company receiving the information or documents,
except as may otherwise be necessary in connection with the filing of Tax Returns or in connection with any administrative or judicial proceedings relating to Taxes. However, the preceding sentence
shall not be construed to prevent the sharing of information by the parties with their respective legal advisors. 

        SECTION 7. Tax Records. 

        7.1  Retention of Tax Records. Each of the parties shall preserve, and shall cause its affiliates to preserve, all Tax Records that are in
their possession, and that could affect the liability of any member of the other Group for Taxes, for so long as the contents thereof may become material in the administration of any matter under
applicable Tax Law, but in any event until the later of (x) the expiration of any applicable statutes of limitation, as extended, and (y) seven years after the Distribution Date. 

        7.2
Access to Tax Records. LMI shall make available, and cause its Subsidiaries to make available, to members of the LMC Group for
inspection and copying all Tax Records in their possession that relate to Tax Years beginning on or before the Distribution Date. LMC shall make available, and cause its Subsidiaries to make
available, to members of the LMI Group for inspection and copying that portion of any Tax Record in their possession that relates to Tax Years beginning on or before the Distribution Date and which is
reasonably necessary for the preparation of a Separate Return or Other Return of a member of the LMI Group or with respect to an audit or litigation by a Tax Authority of such return. 

        SECTION 8. Tax Contests. 

        8.1
Notices. Each of the parties shall provide prompt notice to the other party of any pending or threatened Tax audit, assessment or
proceeding or other Tax Contest of which it becomes aware relating to Taxes or Adjustments for which it is or may be indemnified by the other party hereunder. Such notice shall contain factual
information (to the extent known) describing any asserted Tax liability or Adjustment in reasonable detail and shall be accompanied by copies of any notice and other documents received from any Tax
Authority in respect of any such matters. If (1) an indemnified party has knowledge of an asserted Tax liability or Adjustment with respect to a matter for which it is to be indemnified
hereunder, (2) such party fails to give the indemnifying party prompt notice of such asserted Tax liability or Adjustment, and (3) the indemnifying party has the right, pursuant to
Section 8.2(a), to control the Tax Contest relating to such Tax liability or Adjustment, then (x) if the indemnifying party is precluded from contesting the asserted Tax liability or
Adjustment in any forum as a result of the failure to give prompt notice, the indemnifying party shall have no obligation to indemnify the indemnified party for any Taxes or Adjustments arising out of
such asserted Tax liability or Adjustment, and (y) if the indemnifying party is not precluded from contesting the asserted Tax liability or Adjustment in any forum, but such failure to give
prompt notice results in a monetary

 
detriment to the indemnifying party, then any amount which the indemnifying party is otherwise required to pay the indemnified party pursuant to this Agreement shall be reduced by the amount of such
detriment. 

        8.2  Control of Tax Contests. 

        (a)   General Rule. Except as provided in Section 8.2(b), each party (or the appropriate member of their Group) shall
have full responsibility and discretion in handling, settling or contesting any Tax Contest involving a Tax or Adjustment reported on a Tax Return for which it is responsible for preparing and filing
(or causing to be prepared and filed) pursuant to Section 3 of this Agreement. LMC shall have full responsibility and discretion in handling, settling or contesting any Tax Contest involving
any AT&T TSA Liabilities. 

        (b)   LMI Participation Rights. With respect to a Tax Contest of any Consolidated Return or Combined Return which involves a
Tax or Adjustment for which LMI is liable pursuant to this Agreement, and with respect to a Tax Contest involving any AT&T TSA Liabilities for which LMI is liable pursuant to this Agreement,
(i) LMI shall, at its own cost and expense, be entitled to participate in such Tax Contest, (ii) LMC shall keep LMI updated and informed, and shall consult with LMI, and (iii) LMC
shall act in good faith with a view to the merits in connection with the Tax Contest. 

        8.3  Cooperation. The indemnified party shall provide the party controlling any Tax Contest pursuant to Section 8.2 with all
information relating to the indemnified party and its Subsidiaries which the party controlling the Tax Contest needs to handle, settle or contest the Tax Contest. At the request of the party
controlling the Tax Contest, the indemnified party shall take any action (e.g., executing a power of attorney) that is reasonably necessary in order for
the party controlling the Tax Contest to handle, settle or contest the Tax Contest. LMI shall assist LMC, and LMC shall assist LMI, in taking any remedial actions which are necessary or desirable to
minimize the effects of any adjustment made by a Tax Authority. The indemnifying party shall reimburse the indemnified party for any reasonable out-of-pocket costs and expenses
incurred in complying with this Section 8.3. 

        SECTION 9. Restriction on Certain Actions of LMI; Indemnity.

        9.1
Restrictive Covenant. LMI agrees that it will not take or fail to take, or permit any member of the LMI Group to take or fail to take,
any action where such action or failure to act would be inconsistent with or prohibit the Distribution from qualifying as a tax-free distribution under Section 355 of the Code (or
any corresponding provision of any successor statute) to LMC and the LMC shareholders. 

        9.2  Indemnity. LMI agrees to indemnify and hold harmless each member of the LMC Group and their respective directors, officers, employees,
affiliates, agents, successors and assigns (the "LMC Indemnitees") from and against any and all Losses, other than any Adjustments for which indemnification is provided pursuant to
Section 2.5(d), resulting from, based upon, arising out of or otherwise in respect of, and all claims, actions, suits, proceedings, demands, judgments, assessments, fines, interest, penalties,
costs and expenses (including without limitation attorneys' fees and expenses) incident or relating to or resulting from, (i) any breach by any member of the LMI Group of the covenant set forth
in Section 9.1 that precludes the Distribution from qualifying as a tax-free distribution under Section 355 of the Code (or any corresponding provision of any successor
statute) to LMC or the LMC shareholders, or (ii) any breach of any representation or covenant given by any member of the LMI Group in connection with the tax opinions delivered by Skadden,
Arps, Slate, Meagher & Flom LLP and KPMG LLP to LMC relating to the qualification of the Distribution as a distribution described in Section 355 of the Code.

 

        9.3   Indemnification Procedures. The procedure for indemnification shall be as follows: 

        (a)   The
LMC Indemnitee (or LMC on behalf of all LMC Indemnitees) claiming indemnification under this Section 9 shall promptly give written notice to LMI of any
pending or threatened claim, action, suit, investigation or proceeding brought by a third party (a "Third Party Claim"), specifying (i) the factual basis for such claim, including copies of any
documents relating to the claim, and (ii) the amount of the claim. Such notice shall be given by such LMC Indemnitee (or by LMC on behalf of all LMC Indemnitees) within a reasonable period of
time after notice thereof was received by such LMC Indemnitee, but any failure to give timely notice shall not affect the indemnities given hereunder. The LMC Indemnitee (or LMC on behalf of all LMC
Indemnitees) shall have the right to control any Third Party Claim; provided however, that (x) LMI shall, at its own cost and expense, be
entitled to participate in such Third Party Claim, (y) the LMC Indemnitee (or LMC on behalf of all LMC Indemnitees) shall keep LMI updated and informed, and shall consult with LMI, and
(z) the LMC Indemnitee (or LMC on behalf of all LMC Indemnitees) shall act in good faith with a view to the merits in connection with such Third Party Claim. 

        (b)   In
the event any LMC Indemnitee should have a claim against LMI under this Section 9 that does not involve a third party action, such LMC Indemnitee (or LMC on
behalf of all LMC Indemnitees) shall as promptly as practical notify LMI of such claim, describing such claim and the factual basis thereof, the amount of such claim (if known) and the method of
computation of such amount, all with reasonable particularity. Any failure to give such timely notice shall not affect the indemnities given hereunder. 

        (c)   The
provisions of this Section 9 are intended to be for the benefit of, and shall be enforceable by, each LMC Indemnitee and its successors in interest. 

        SECTION 10. General Provisions. 

        10.1 Termination. This Agreement shall terminate at such time as all obligations and liabilities of the parties hereto have
been satisfied. The obligations and liabilities of the parties arising under this Agreement shall continue in full force and effect until all such obligations have been met and such liabilities have
been paid in full, whether by expiration of time, operation of law, or otherwise. The obligations and liabilities of each party are made for the benefit of, and shall be enforceable by, the other
parties and their successors and permitted assigns. 

        10.2 Expenses. Except as otherwise expressly provided for herein, each party and its affiliates shall bear their own expenses
incurred in connection with preparation of Tax Returns and other matters related to Taxes under the provisions of this Agreement for which they are liable. 

        10.3 Breach of Agreement. LMC shall indemnify and hold harmless each member of the LMI Group and their respective directors,
officers, employees, affiliates, agents, successors and assigns (the "LMI Indemnitees") from and against any Losses incurred by the LMI Indemnitees by reason of a breach by any member of the LMC Group
of its obligations or covenants hereunder, and LMI shall indemnify and hold harmless each of the LMC Indemnitees from and against any Losses incurred by the LMC Indemnitees by reason of a breach by
any member of the LMI Group of its obligations or covenants hereunder; in each case including, without limitation, the costs and expenses of any and all actions relating to, and the costs and expenses
of attorneys', accountants', consultants' and other professionals' fees and expenses incurred in, the enforcement of rights hereunder and/or any investigation relating thereto. 

        10.4 Disputes and Jurisdiction. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF
COLORADO APPLIED TO CONTRACTS MADE AND WHOLLY PERFORMED IN SUCH STATE. Each of the parties hereto (i) will submit itself to the exclusive jurisdiction of any United States federal court

 
located in the State of Colorado or any Colorado State court having subject matter jurisdiction in the event any dispute arises out of this Agreement, (ii) agrees that venue will be proper as
to proceedings brought in any such court with respect to such a dispute, (iii) will not attempt to deny or defeat such personal jurisdiction or venue by motion or other request for leave from
any such court and (iv) agrees to accept service of process at its address for notices pursuant to this Agreement in any such action or proceeding brought in any such court. 

        10.5 Waiver of Jury Trial. EACH PARTY HERETO HEREBY WAIVES ITS RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED
UPON OR ARISING OUT OF THIS AGREEMENT. THE SCOPE OF THIS WAIVER IS INTENDED TO BE ALL-ENCOMPASSING OF ANY AND ALL DISPUTES THAT MAY BE FILED IN ANY COURT AND THAT RELATE TO THE
SUBJECT MATTER OF THIS AGREEMENT. THIS SECTION 10.5 HAS BEEN FULLY DISCUSSED BY EACH OF THE PARTIES HERETO AND THESE PROVISIONS SHALL NOT BE SUBJECT TO ANY EXCEPTIONS. EACH PARTY HERETO HEREBY FURTHER
WARRANTS AND REPRESENTS THAT SUCH PARTY HAS REVIEWED THIS WAIVER WITH ITS LEGAL COUNSEL, AND THAT SUCH PARTY KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL
COUNSEL. THIS WAIVER IS IRREVOCABLE, MEANING THAT IT MAY NOT BE MODIFIED EITHER ORALLY OR IN WRITING, AND THIS WAIVER SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS, SUPPLEMENTS OR MODIFICATIONS TO
(OR ASSIGNMENTS OF) THIS AGREEMENT. IN THE EVENT OF LITIGATION, THIS AGREEMENT MAY BE FILED AS A WRITTEN CONSENT TO A TRIAL (WITHOUT A JURY) BY THE COURT. 

        10.6 Notices. All notices and other communications hereunder shall be in writing and shall be delivered in person, by
telecopy, by express or overnight mail delivered by a nationally recognized air courier (delivery charges prepaid), or by registered or certified mail (postage prepaid, return receipt requested) to
the respective parties as follows: 

	(a)
	If
to LMC to: 

Liberty
Media Corporation

12300 Liberty Boulevard

Englewood, Colorado 80112 

Attn:
Albert Rosenthaler

Facsimile: (720) 875-5320 

	(b)
	If
to LMI to: 

Liberty
Media International, Inc.

12300 Liberty Boulevard

Englewood, Colorado 80112 

Attn:
Dave Nosler

Facsimile: (720) 875-5333 

or
to such other address as the party to whom notice is given may have previously furnished to the others in writing in the manner set forth above. Any notice or communication delivered in person
shall be deemed effective on delivery or when delivery is refused. Any notice or communication sent by telecopy or by air courier shall be deemed effective on the first business day at the place at
which such notice or communication is received following the day on which such notice or communication was sent.

 

        10.7 Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed to be an
original, but all of which together shall constitute one and the same agreement. The Agreement may be delivered by facsimile transmission of a signed copy thereof. 

        10.8 Binding Effect; Assignment. This Agreement and all of the provisions hereof shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and permitted assigns. Except with respect to a merger of a party, neither this Agreement nor any of the rights, interests or obligations
hereunder shall be assigned by any party hereto without the prior written consent of the other parties, which consent shall not be unreasonably withheld or delayed; provided,
however, that LMC and LMI may assign their respective rights, interests, duties, liabilities and obligations under this Agreement to any other member of their Group, but such
assignment shall not relieve LMC or LMI, as the assignor, of its obligations hereunder. 

        10.9 Severability. Any provision of this Agreement which is prohibited or unenforceable in any jurisdiction shall, as to such
jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof. Any such prohibition or unenforceability in any jurisdiction
shall not invalidate or render unenforceable such provision in any other jurisdiction. 

        10.10 Amendment. This Agreement may not be amended or modified in any respect except by a written agreement signed by all of
the parties hereto. 

        10.11 Effective Time. This Agreement shall become effective on the date recited above on which the parties entered into this
Agreement. 

        10.12 Change in Law. Any reference to a provision of the Code or any other Tax Law shall include a reference to any
applicable successor provision or law. 

        10.13 Authorization, Etc. Each of the parties hereto hereby represents and warrants that it has the power and authority to
execute, deliver and perform this Agreement, that this Agreement has been duly authorized by all necessary corporate action on the part of such party, that this Agreement constitutes a legal, valid
and binding obligation of each such party and that the execution, delivery and performance of this Agreement by such party does not contravene or conflict with any provision of law or of its charter
or bylaws or any agreement, instrument or order binding such party. 

        10.14 No Third Party Beneficiaries. Except as provided in Sections 9.2 and 10.3 of this Agreement, this Agreement is
solely for the benefit of LMC, LMI and their Subsidiaries and is not intended to confer upon any other Person any rights or remedies hereunder. Notwithstanding anything in this Agreement to the
contrary, this Agreement is not intended to confer upon any LMI Indemnitees any rights or remedies against LMI hereunder, and this Agreement is not intended to confer upon any LMC Indemnitees any
rights or remedies against LMC hereunder. 

        10.15 Entire Agreement. This Agreement embodies the entire understanding among the parties relating to its subject matter and
supersedes and terminates any prior agreements and understandings among the parties with respect to such subject matter, and no party to this Agreement shall have any right, responsibility, obligation
or liability under any such prior agreement or understanding. Any and all prior correspondence, conversations and memoranda are merged herein and shall be without effect hereon. No promises, covenants
or representations of any kind, other than those expressly stated herein, have been made to induce either party to enter into this Agreement.

 

        IN
WITNESS WHEREOF, the parties have caused this Agreement to be executed by the respective officers as of the date set forth above. 

	

 	
 	

LIBERTY MEDIA CORPORATION
	

 	
 	

By:	
 	

 Name:

Title:
	

 	
 	

LIBERTY MEDIA INTERNATIONAL, INC.
	

 	
 	

By:	
 	

 Name:

Title:

QuickLinks

FORM OF TAX SHARING AGREEMENT BETWEEN LIBERTY MEDIA CORPORATION AND LIBERTY MEDIA INTERNATIONAL, INC.

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