Document:

Amended and Restated Shareholder's Agreement

 

EXHIBIT 10.2

 

 

Form of Amended and Restated

Shareholders’ Agreement

by and among

TPG BK Holdco LLC

GS Capital Partners 2000, L.P.

GS Capital Partners 2000 Offshore, L.P.

GS Capital Partners 2000 GmbH& Co. Beteiligungs KG

GS Capital Partners 2000 Employee Fund, L.P.

Stone Street Fund 2000, L.P.

Bridge Street Special Opportunities Fund 2000, L.P.

Goldman Sachs Direct Investment Fund 2000, L.P.

GS Private Equity Partners 2000, L.P.

GS Private Equity Partners 2000 Offshore Holdings, L.P.

GS Private Equity Partners 2000 — Direct Investment Fund, L.P.

Bain Capital Integral Investors, LLC

Bain Capital VII Coinvestment Fund, LLC

BCIP TCV, LLC

Burger King Holdings, Inc.

and

Burger King Corporation

dated as of [                    ], 2006

 

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page	 
	 	 	 	 	Article I

DEFINITIONS
	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Section 1.1	 	Definitions
	 	 	1	 
	Section 1.2	 	Other Interpretive Provisions
	 	 	7	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Article II

REPRESENTATIONS AND WARRANTIES
	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Section 2.1	 	Existence; Authority; Enforceability
	 	 	7	 
	Section 2.2	 	Absence of Conflicts
	 	 	7	 
	Section 2.3	 	Consents
	 	 	7	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Article III

GOVERNANCE
	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Section 3.1	 	Board of Directors
	 	 	8	 
	Section 3.2	 	Additional Management Provisions
	 	 	9	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Article IV

TRANSFERS OF SHARES
	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Section 4.1	 	Limitations on Transfer
	 	 	10	 
	Section 4.2	 	Transfer to Permitted Transferees
	 	 	11	 
	Section 4.3	 	Tag Along Rights
	 	 	11	 
	Section 4.4	 	Drag Along Rights
	 	 	12	 
	Section 4.5	 	Rights and Obligations of Transferees
	 	 	14	 
	Section 4.6	 	Termination of Transfer Restrictions
	 	 	14	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Article V

REGISTRATION RIGHTS
	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Section 5.1	 	Shelf Registration
	 	 	15	 
	Section 5.2	 	Demand Registration
	 	 	16	 
	Section 5.3	 	Piggyback Registration
	 	 	19	 
	Section 5.4	 	Black-out Periods
	 	 	20	 
	Section 5.5	 	Registration Procedures
	 	 	21	 
	Section 5.6	 	Underwritten Offerings
	 	 	26	 
	Section 5.7	 	No Inconsistent Agreements; Additional Rights
	 	 	28	 
	Section 5.8	 	Registration Expenses
	 	 	28	 
	Section 5.9	 	Indemnification
	 	 	28	 

 i 

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page	 
	Section 5.10	 	Rules 144 and 144A and Regulation S
	 	 	31	 
	Section 5.11	 	Termination
	 	 	31	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Article VI

GENERAL PROVISIONS
	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Section 6.1	 	Merger with Burger King
	 	 	32	 
	Section 6.2	 	Waiver by Shareholders
	 	 	32	 
	Section 6.3	 	Assignment; Benefit
	 	 	32	 
	Section 6.4	 	Freedom to Pursue Opportunities
	 	 	32	 
	Section 6.5	 	Termination
	 	 	33	 
	Section 6.6	 	Severability
	 	 	33	 
	Section 6.7	 	Entire Agreement; Amendment
	 	 	33	 
	Section 6.8	 	Counterparts
	 	 	33	 
	Section 6.9	 	Notices
	 	 	33	 
	Section 6.10	 	Independent Auditers; Books and Records; Inspection
	 	 	36	 
	Section 6.11	 	Governing Law
	 	 	36	 
	Section 6.12	 	Jurisdiction
	 	 	36	 
	Section 6.13	 	Waiver of Jury Trial
	 	 	36	 
	Section 6.14	 	Specific Performance
	 	 	37	 
	Section 6.15	 	Burger King Liability
	 	 	37	 
	Section 6.16	 	Subsequent Acquisition of Shares
	 	 	37	 

* * *

 ii 

 

     THIS AMENDED AND RESTATED SHAREHOLDERS’ AGREEMENT (as it may be amended from time to time in
accordance with the terms hereof, the “Agreement”), dated as of [ ], 2006, is made by and
among TPG, Goldman and Bain (each as defined herein) (collectively, the “Shareholders”),
Burger King Holdings, Inc., a Delaware corporation (the “Company”) and Burger King
Corporation, a Florida corporation (“Burger King”).

RECITALS

     WHEREAS, the Company beneficially owns one hundred percent (100%) of the issued and
outstanding common stock of Burger King;

     WHEREAS, each of the Shareholders, the Company and Burger King are parties to a Shareholders’
Agreement, dated as of June 27, 2003, as amended by a First Amendment, dated as of October 3, 2003,
and a Second Amendment, dated as of August 30, 2005 (the “Original Agreement”);

     WHEREAS, the Company is proposing to sell common shares, par value $0.01 per share, to the
public in an Initial Public Offering (the “IPO”);

     WHEREAS, immediately after the completion of the Company’s IPO, it is expected that the
Shareholders will own approximately 77.1% (74.3% if the underwriters exercise their option to
purchase additional shares from the Company) of the issued and outstanding shares of the Company’s
common stock (the “Company Shares”); and

     WHEREAS, the Shareholders, the Company and Burger King desire to amend and restate the
Original Agreement as set forth herein to provide for the management of the Company and Burger King
and to set forth the respective rights and obligations of the Shareholders upon the consummation of
the IPO.

     NOW, THEREFORE, in consideration of the foregoing and the mutual promises, covenants and
agreements of the parties hereto, and for other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties hereto agree as follows:

ARTICLE I

DEFINITIONS

     Section 1.1 Definitions. As used in this Agreement, the following terms shall have
the following meanings:

          “Adverse Disclosure” means public disclosure of material non-public information which,
in the Board of Directors’ good faith judgment, after consultation with independent outside counsel
to the Company, (i) would be required to be made in any Registration Statement filed with the SEC
by the Company so that such Registration Statement would not be materially misleading; (ii) would
not be required to be made at such time but for the filing of such Registration Statement; and
(iii) the Company has a bona fide business purpose for not disclosing publicly.

 

 

          “Affiliate” means, with respect to any Person, any other Person that directly or
indirectly controls, is controlled by, or is under common control with, such Person. For these
purposes, “control” shall mean the possession, direct or indirect, of the power to direct or cause
the direction of the management and policies of such Person, whether through the ownership of
voting securities, by contract or otherwise. Without limiting the generality of the foregoing, (i)
each of Bain Capital Integral Investors, LLC, BCIP TCV, LLC, Bain Coinvest Fund and each member
thereof, including Bain Capital Fund VII, LLC, BCIP Associates II, BCIP Associates II-B, BCIP Trust
Associates II and BCIP Trust Associates II-B shall be deemed to be Affiliates with respect to each
other; (ii) each of GS Capital Partners 2000, L.P., GS Capital Partners 2000 Offshore, L.P., GS
Capital Partners 2000 GmbH& Co. Beteiligungs KG, GS Capital Partners 2000 Employee Fund, L.P.,
Bridge Street Special Opportunities Fund 2000, L.P., Stone Street Fund 2000, L.P., Goldman Sachs
Direct Investment Fund 2000, L.P., GS Private Equity Partners 2000, L.P., GS Private Equity
Partners 2000 Offshore Holdings, L.P., and GS Private Equity Partners 2000 — Direct Investment
Fund, L.P. shall be deemed to be Affiliates with respect to each other; and (iii) each of TPG
Partners III, L.P., TPG Parallel III, L.P., TPG Investors III, L.P., FOF Partners III, L.P., FOF
Partners III-B, L.P., TPG Dutch Parallel III, C.V. and any other entity controlled by any of David
Bonderman, James Coulter and William Price shall be deemed to be Affiliates with respect to each
other, in each case solely for purposes of this Agreement.

          “Affiliated Officer” means an officer of the Company affiliated with of TPG, Bain or
Goldman.

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

          “Articles” means the articles of incorporation and by-laws of the Company.

          “Bain” means, collectively, Bain Coinvest Fund, Bain Capital Integral Investors, LLC
and BCIP TCV, LLC and any Affiliates of the foregoing to whom Company Shares are Transferred after
the date hereof.

          “Bain Coinvest Fund” means Bain Capital VII Coinvestment Fund, LLC.

          “Board of Directors” means the board of directors of the Company.

          “Breaching Drag-Along Shareholder” has the meaning set forth in Section 4.4(d).

          “Breaching Shareholder” has the meaning set forth in Section 3.1(h).

          “Burger King” has the meaning set forth in the preamble.

          “Business Day” means any day other than a Saturday, Sunday or day on which banking
institutions in New York, New York are authorized or obligated by law or executive order to close.

          “Company” has the meaning set forth in the preamble.

          “Company Shares” has the meaning set forth in the recitals.

2

 

          “Company Public Sale” has the meaning set forth in Section 5.3(a).

          “Cure Period” has the meaning set forth in Section 3.1(j).

          “Demand Notice” has the meaning set forth in Section 5.2(e).

          “Demand Period” has the meaning set forth in Section 5.2(d).

          “Demand Registration” has the meaning set forth in Section 5.2(a).

          “Demand Registration Statement” has the meaning set forth in Section 5.2(a).

          “Demand Suspension” has the meaning set forth in Section 5.2(g).

          “De Minimis Transfer” has the meaning set forth in Section 4.1(b).

          “Drag-Along Buyer” has the meaning set forth in Section 4.4(a).

          “Drag-Along Notice” has the meaning set forth in Section 4.4(a).

          “Drag-Along Proxy Holder” has the meaning set forth in Section 4.4(d).

          “Drag-Along Shareholders” has the meaning set forth in Section 4.4(a).

          “Equity Incentive Plans” means the Burger King Holdings, Inc. Equity Incentive Plan
and the Burger King Holdings, Inc. 2006 Omnibus Incentive Plan.

          “Escrow Agent” has the meaning set forth in Section 4.4(e).

          “Exchange Act” means the Securities Exchange Act of 1934, as amended, and any
successor thereto, and any rules and regulations promulgated thereunder, all as the same shall be
in effect from time to time.

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

          “Goldman” means, collectively, GS Capital Partners 2000, L.P., GS Capital Partners
2000 Offshore, L.P., GS Capital Partners 2000 GmbH& Co. Beteiligungs KG, GS Capital Partners 2000
Employee Fund, L.P., Bridge Street Special Opportunities Fund 2000, L.P., Stone Street Fund 2000,
L.P., Goldman Sachs Direct Investment Fund 2000, L.P., GS Private Equity Partners 2000, L.P., GS
Private Equity Partners 2000 Offshore Holdings, L.P. and GS Private Equity Partners 2000 — Direct
Investment Fund, L.P. and any Affiliates of the foregoing to whom Company Shares are Transferred
after the date hereof.

          “Holder” means any holder of Registrable Securities who is a party hereto.

          “Initial
Post-IPO Share Ownership” means, with respect to TPG,
37,689,385 Company Shares,
and with respect to each of Goldman and Bain, 33,501,675 Company Shares, as adjusted pursuant to any
stock splits, dividends, recapitalizations or other similar events.

3

 

          “IPO” has the meaning set forth in the recitals.

          “Loss” has the meaning set forth in Section 5.9(a).

          “Material Adverse Change” means (i) any general suspension of trading in, or
limitation on prices for, securities on any national securities exchange or in the over-the-counter
market in the United States; (ii) the declaration of a banking moratorium or any suspension of
payments in respect of banks in the United States; (iii) a material outbreak or escalation of armed
hostilities or other international or national calamity involving the United States or the
declaration by the United States of a national emergency or war or a material change in national or
international financial, political or economic conditions; and (iv) any event, change, circumstance
or effect that is or is reasonably likely to be materially adverse to the business, properties,
assets, liabilities, condition (financial or otherwise), operations, results of operations or
prospects of the Company and its subsidiaries taken as a whole.

          “NASD” means the National Association of Securities Dealers, Inc.

          “Necessary Action” means, with respect to a specified result, all actions (to the
extent such actions are permitted by law) necessary to cause such result, including (i) voting or
providing a written consent or proxy with respect to the Company Shares, (ii) causing the adoption
of shareholders’ resolutions and amendments to the Articles, (iii) causing members of the Board of
Directors (to the extent such members were nominated or designated by the Person obligated to
undertake the Necessary Action, and subject to any fiduciary duties that such members may have as
directors of the Company) to act in a certain manner or causing them to be removed in the event
they do not act in such a manner, (iv) executing agreements and instruments, and (v) making, or
causing to be made, with governmental, administrative or regulatory authorities, all filings,
registrations or similar actions that are required to achieve such result.

          “NYSE” means the New York Stock Exchange.

          “Original Agreement” has the meaning set forth in the recitals.

          “Ownership Interest” means the percentage of the outstanding Company Shares owned by a
Person on a fully diluted basis.

          “Permitted Transferee” means (i) in the case of any Shareholder that is a partnership
or limited liability company, any Affiliate of such Shareholder, (ii) in the case of any
Shareholder that is a corporation, any Person that owns a majority of the voting stock of such
Shareholder, or any Person that is a direct or indirect wholly-owned subsidiary of such
Shareholder, (iii) in the case of any Shareholder that is an individual, any successor by death or
divorce, or (iv) in the case of any Shareholder that is a trust whose sole beneficiaries are
individuals, such individuals or their spouses or lineal descendants.

          “Person” means an individual, partnership, limited liability company, corporation,
trust, association, estate, unincorporated organization or a government or any agency or political
subdivision thereof.

4

 

          “Piggyback Registration” has the meaning set forth in Section 5.3(a).

          “Preemption Notice” has the meaning set forth in Section 5.2(f).

          “Proposed Transfer” has the meaning set forth in Section 4.3(a).

          “Proposed Transferee” has the meaning set forth in Section 4.3(a).

          “Prospectus” means the prospectus included in any Registration Statement, all
amendments and supplements to such prospectus, including post-effective amendments, and all other
material incorporated by reference in such prospectus.

          “Proxy Holder” has the meaning set forth in Section 3.1(h).

          “Qualifying Shareholder” means each of TPG, Bain and Goldman, so long as such
Shareholder beneficially owns at least 2.0% or more of the outstanding Common Shares.

          “Registrable Securities” means any Company Shares and any securities that may be
issued or distributed or be issuable in respect of Company Shares by way of conversion, dividend,
stock split or other distribution, merger, consolidation, exchange, recapitalization or
reclassification or similar transaction; provided, however, that (x) any such
Registrable Securities shall cease to be Registrable Securities to the extent (i) a Registration
Statement with respect to the sale of such Registrable Securities has been declared effective under
the Securities Act and such Registrable Securities have been disposed of in accordance with the
plan of distribution set forth in such Registration Statement, (ii) such Registrable Securities
have been sold to the public pursuant to Rule 144 (or any similar provisions then in force) under
the Securities Act or (iii) such Registrable Securities shall have been otherwise transferred and
new certificates for them not bearing a legend restricting transfer under the Securities Act shall
have been delivered by the Company and such securities may be publicly resold without Registration
under the Securities Act without volume limitations or any other restrictions and (y) Company
Shares issued pursuant to the Equity Incentive Plans shall not constitute Registrable Securities.

          “Registration” means a registration with the SEC of the Company’s securities for offer
and sale to the public under a Registration Statement. The term “Register” shall have a
correlative meaning.

          “Registration Expenses” has the meaning set forth in Section 5.8.

          “Registration Statement” means any registration statement of the Company filed with,
or to be filed with, the SEC under the rules and regulations promulgated under the Securities Act,
including the related Prospectus, amendments and supplements to such registration statement,
including post-effective amendments, and all exhibits and all material incorporated by reference in
such registration statement other than a registration statement (and related Prospectus) filed on
Form S-8 or any successor form thereto.

          “Representatives” means, with respect to any Person, any of such Person’s officers,
directors, employees, agents, attorneys, accountants, actuaries, consultants, equity

5

 

financing partners or financial advisors or other Person associated with, or acting on behalf
of, such Person.

          “SEC” means the Securities and Exchange Commission.

          “Securities Act” means the United States Securities Act of 1933, as amended, and any
successor thereto, and any rules and regulations promulgated thereunder, all as the same shall be
in effect from time to time.

          “Selling Shareholders” has the meaning set forth in Section 4.4(a).

          “Shareholders” has the meaning set forth in the preamble.

          “Shelf Period” has the meaning set forth in Section 5.1(b).

          “Shelf Registration” means a Registration effected pursuant to Section 5.1.

          “Shelf Registration Statement” means a Registration Statement of the Company filed
with the SEC on either (i) Form S-3 (or any successor form or other appropriate form under the
Securities Act) or (ii) if the Company is not permitted to file a Registration Statement on Form
S-3, an evergreen Registration Statement on Form S-1 (or any successor form or other appropriate
form under the Securities Act), in each case for an offering to be made on a continuous basis
pursuant to Rule 415 under the Securities Act (or any similar rule that may be adopted by the SEC)
covering the Registrable Securities, as applicable.

          “Shelf Suspension” has the meaning set forth in Section 5.1(c).

          “Sponsor Director” means any director appointed by TPG, Bain or Goldman.

          “Tagging Shareholder” has the meaning set forth in Section 4.3(a).

          “TPG” means TPG BK Holdco LLC, a Delaware limited liability company and any of its
Affiliates to whom Company Shares are Transferred after the date hereof.

          “Transfer” means, with respect to any Company Shares, a direct or indirect transfer,
sale, exchange, assignment, pledge, hypothecation or other encumbrance or other disposition of such
Company Shares, including the grant of an option or other right, whether directly or indirectly,
whether voluntarily, involuntarily or by operation of law; and “Transferred”,
“Transferee” and “Transferability” shall each have a correlative meaning. For the
avoidance of doubt, a transfer, sale, exchange, assignment, pledge, hypothecation or other
encumbrance or other disposition of an interest in any Shareholder, or direct or indirect parent
thereof, all or substantially all of whose assets are Company Shares shall constitute a “Transfer”
of Company Shares for purposes of this Agreement.

          “Underwritten Offering” means a Registration in which securities of the Company are
sold to an underwriter or underwriters on a firm commitment basis for reoffering to the public.

6

 

     Section 1.2 Other Interpretive Provisions. (a) The meanings of defined terms are
equally applicable to the singular and plural forms of the defined terms.

          (b) The words “hereof”, “herein”, “hereunder” and similar words refer
to this Agreement as a whole and not to any particular provision of this Agreement; and any
subsection and Section references are to this Agreement unless otherwise specified.

          (c) The term “including” is not limiting and means “including without
limitation.”

          (d) The captions and headings of this Agreement are for convenience of reference only and
shall not affect the interpretation of this Agreement.

          (e) Whenever the context requires, any pronouns used herein shall include the corresponding
masculine, feminine or neuter forms.

ARTICLE II

REPRESENTATIONS AND WARRANTIES

     Each of the parties to this Agreement hereby represents and warrants to each other party to
this Agreement that as of the date such party executes this Agreement:

     Section 2.1 Existence; Authority; Enforceability. Such party has the power and
authority to enter into this Agreement and to carry out its obligations hereunder. Such party is
duly organized and validly existing under the laws of its jurisdiction of organization, and the
execution of this Agreement, and the consummation of the transactions contemplated herein, have
been authorized by all necessary action, and no other act or proceeding on its part is necessary to
authorize the execution of this Agreement or the consummation of any of the transactions
contemplated hereby. This Agreement has been duly executed by it and constitutes its legal, valid
and binding obligations, enforceable against it in accordance with its terms.

     Section 2.2 Absence of Conflicts. The execution and delivery by such party of this
Agreement and the performance of its obligations hereunder does not and will not (a) conflict with,
or result in the breach of any provision of the constitutive documents of such party; (b) result in
any violation, breach, conflict, default or event of default (or an event which with notice, lapse
of time, or both, would constitute a default or event of default), or give rise to any right of
acceleration or termination or any additional payment obligation, under the terms of any contract,
agreement or permit to which such party is a party or by which such party’s assets or operations
are bound or affected; or (c) violate any law applicable to such party.

     Section 2.3 Consents. Other than any consents which have already been obtained, no
consent, waiver, approval, authorization, exemption, registration, license or declaration is
required to be made or obtained by such party in connection with (a) the execution, delivery or
performance of this Agreement or (b) the consummation of any of the transactions contemplated
herein.

7

 

ARTICLE III

GOVERNANCE

     Section 3.1 Board of Directors.

          (a) The Shareholders and the Company shall take all Necessary Action to cause the Board of
Directors to be comprised of no more than fifteen (15) directors, two (2) of whom shall be
designated by TPG, two (2) of whom shall be designated by Bain, two (2) of whom shall be designated
by Goldman, one (1) of whom shall be the Chief Executive Officer (or equivalent) of Burger King,
and the remainder of whom shall be independent directors; provided that:

          (i) if any of TPG, Bain or Goldman ceases to beneficially own 10% or more of the
outstanding Common Shares, then such Shareholder shall only be entitled to designate one (1)
director for election to the Board of Directors; and provided, further, that
if any of TPG, Bain or Goldman ceases to beneficially own 2% or more of the outstanding
Common Shares, then such Shareholder shall not be entitled to designate any directors for
election to the Board of Directors; and

          (ii) within one year after the Company ceases to qualify as a “controlled company”
under NYSE rules, TPG, Bain and Goldman shall cause a sufficient number of their designees
to qualify as “independent directors” under NYSE rules to ensure that the Board of Directors
complies with applicable NYSE independence rules.

          (b) Except as provided above, each Shareholder shall have the exclusive right to appoint and
remove its respective designees to the Board of Directors, as well as the exclusive right to fill
vacancies created by reason of death, removal or resignation of such designees, and the
Shareholders and the Company shall take all Necessary Action to cause the Board to be so
constituted.

          (c) The initial directors designated by TPG pursuant to Section 3.1(a) shall be David
Bonderman and Richard W. Boyce. The initial directors designated by Bain pursuant to Section
3.1(a) shall be Andrew B. Balson and Stephen G. Pagliuca. The initial directors designated by
Goldman pursuant to Section 3.1(a) shall be Adrian Jones and Sanjeev K. Mehra.

          (d) Decisions of the Board of Directors shall require the approval of a majority of the
directors. The Board of Directors shall designate a chairman.

          (e) The Company shall reimburse the directors for all reasonable out-of-pocket expenses
incurred in connection with their attendance at meetings of the Board of Directors and any
committees thereof, including without limitation travel, lodging and meal expenses. For the
avoidance of doubt, Sponsor Directors shall receive compensation for serving on the Board of
Directors and on any committees thereof equivalent to the compensation paid to other non-management
directors for such service.

          (f) The Company shall obtain customary director and officer indemnity insurance on
commercially reasonable terms.

8

 

          (g) Solely for purposes of Section 3.1(a), and in order to secure the performance of each
Shareholder’s obligations under Section 3.1(a), each Shareholder hereby irrevocably appoints each
other Shareholder that qualifies as a Proxy Holder (as defined below) the attorney-in-fact and
proxy of such Shareholder (with full power of substitution) to vote or provide a written consent
with respect to its Company Shares as described in this paragraph if, and only in the event that,
such Shareholder fails to vote or provide a written consent with respect to its Company Shares in
accordance with the terms of Section 3.1(a) (each such Shareholder, a “Breaching
Shareholder”). Each Breaching Shareholder shall have five (5) Business Days from the date of a
request for such vote or written consent (the “Cure Period”) to cure such failure. If
after the Cure Period the Breaching Shareholder has not cured such failure, any Shareholder whose
designees to the Board were required to be approved by the Breaching Shareholder pursuant to
Section 3.1(a) but were not approved by the Breaching Shareholder, shall have and is hereby
irrevocably granted a proxy to vote or provide a written consent with respect to each such
Breaching Shareholder’s Company Shares for the purposes of taking the actions required by Section
3.1(a) (such Shareholder, a “Proxy Holder”), and of removing from office any directors
elected to the Board in lieu of the designees of the Proxy Holder who should have been elected
pursuant to Section 3.1(a). Each Shareholder intends this proxy to be, and it shall be,
irrevocable and coupled with an interest, and each Shareholder will take such further action and
execute such other instruments as may be necessary to effectuate the intent of this proxy and
hereby revoke any proxy previously granted by it with respect to the matters set forth in Section
3.1(a) with respect to the Company Shares owned by such Shareholder. Notwithstanding the
foregoing, the conditional proxy granted by this Section 3.1(h) shall be deemed to be revoked upon
the termination of Article III in accordance with its terms.

     Section 3.2 Additional Management Provisions.

          (a) For so long as TPG, Bain and Goldman collectively beneficially own 30% or more of the
outstanding Common Shares, (i) each such Shareholder that is entitled to designate any directors
for election to the Board of Directors also shall have the right to have at least one (1) of its
designated directors on any committee (with the exception of the Audit Committee) of the boards of
directors of the Company, to the extent such directors are permitted to serve on such committees
under SEC and NYSE rules applicable to the Company, (ii) Sponsor Directors shall constitute the
majority of each such committee, and (iii) the Chairman of each such committee shall be a Sponsor
Director. In the event that SEC or NYSE rules applicable to the Company limit the number of
Sponsor Directors that can serve on any committee (other than the Audit Committee), the parties
shall allocate committee membership among Sponsor Directors in as equitable a manner as possible,
taking into account the relative level of ownership by such Sponsor in considering committee
preferences.

          (b) Each Shareholder agrees and acknowledges that the directors designated by TPG, Bain and
Goldman may share confidential, non-public information about the Company and Burger King with TPG,
Bain and Goldman, respectively.

          (c) The Shareholders hereby agree, notwithstanding anything to the contrary in any other
agreement or at law or in equity, that when any Qualifying Shareholder takes any action under this
Agreement to give or withhold its consent, or when TPG, Bain and/or Goldman takes any action under
this Agreement to give or withhold its consent, such Qualifying

9

 

Shareholder and/or TPG, Bain and/or Goldman, as applicable, shall have no duty (fiduciary or
other) to consider the interests of the Company or the other Shareholders and may act exclusively
in its own interest and shall have only the duty to act in good faith; provided,
however, that the foregoing shall in no way affect the obligations of the parties hereto to
comply with the provisions of this Agreement.

ARTICLE IV

TRANSFERS OF SHARES

     Section 4.1 Limitations on Transfer.

          (a) No Shareholder shall be entitled to Transfer its Company Shares at any time if such
Transfer would:

          (i) violate the Securities Act, or any state (or other jurisdiction) securities or
“Blue Sky” laws applicable to the Company or the Company Shares;

          (ii) cause the Company to become subject to the registration requirements of the U.S.
Investment Company Act of 1940, as amended from time to time; or

          (iii) be a “prohibited transaction” under ERISA or the Code or cause all or any portion
of the assets of the Company to constitute “plan assets” under ERISA or Section 4975 of the
Code; or

          (b) In addition, for such time as there is more than one Qualifying Shareholder, none of TPG,
Bain or Goldman may Transfer any Company Shares if such transfer would result in TPG, Bain or
Goldman, as the case may be, individually having transferred in excess of 2% (a “De Minimis
Transfer”) of the outstanding Company Shares in any 180-day period except upon the prior
written consent of at least one other Qualifying Shareholder.

          (c) In the event of a purported Transfer by a Shareholder of any Company Shares in violation
of the provisions of this Agreement, such purported Transfer will be void and of no effect, and the
Company will not give effect to such Transfer.

          (d) Each certificate evidencing the Company Shares shall bear the following restrictive
legend, either as an endorsement or on the face thereof:

THE SALE, ASSIGNMENT, TRANSFER OR OTHER DISPOSITION OF THE SECURITIES EVIDENCED BY
THIS CERTIFICATE IS RESTRICTED BY THE TERMS OF A SHAREHOLDERS’ AGREEMENT, DATED AS
OF [           ], 2006 COPIES OF WHICH ARE ON FILE WITH THE ISSUER OF THIS CERTIFICATE. NO
SALE, ASSIGNMENT, TRANSFER OR OTHER DISPOSITION SHALL BE EFFECTIVE UNLESS AND UNTIL
THE TERMS AND CONDITIONS OF SUCH SHAREHOLDERS’ AGREEMENT HAVE BEEN COMPLIED WITH IN
FULL.

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THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR UNDER THE SECURITIES LAWS OF
ANY OTHER JURISDICTION AND MAY NOT BE SOLD OR TRANSFERRED OTHER THAN IN ACCORDANCE
WITH THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OF 1933, AS AMENDED (OR
OTHER APPLICABLE LAW), OR AN EXEMPTION THEREFROM.

          (e) In the event that the restrictive legend set forth in Section 4.1(d) has ceased to be
applicable, or upon request by a Shareholder proposing to Transfer Company Shares pursuant to a De
Minimis Transfer or any other Transfer approved in accordance with Section 4.1(b), the Company
shall provide such Shareholder, or its transferees, at their request, without any expense to such
Persons (other than applicable transfer taxes and similar governmental charges, if any), with new
certificates for such securities of like tenor not bearing the legend with respect to which the
restriction has ceased and terminated (it being understood that the restriction referred to in the
first paragraph of the legend in Section 4.1(d) shall cease and terminate upon the termination of
this Article IV).

     Section 4.2 Transfer to Permitted Transferees. Subject to the provisions of Section
4.1(a) and Section 4.6, a Shareholder may Transfer its Company Shares to a Permitted Transferee of
such Shareholder; provided that each Permitted Transferee of any Shareholder to which
Company Shares are Transferred shall, and such Shareholder shall cause such Permitted Transferee
to, Transfer back to such Shareholder (or to another Permitted Transferee of such Shareholder) any
Company Shares it owns if such Permitted Transferee ceases to be a Permitted Transferee of such
Shareholder.

     Section 4.3 Tag Along Rights.

          (a) In the case of a proposed Transfer by a Shareholder (a “Transferring Shareholder”)
of any or all of its Company Shares, other than (i) to the Company, (ii) to a Permitted Transferee,
(iii) a De Minimis Transfer or any other Transfer to the public under a Registration Statement or
Rule 144 under the Securities Act that is approved pursuant to Section 4.1(b) or (iv) pursuant to
or consequent upon the exercise of the drag along rights set forth in Section 4.4 or pursuant to an
underwritten offering under Article V (a “Proposed Transfer”), each other Shareholder who
exercises its rights under this Section 4.3(a) (a “Tagging Shareholder”) shall have the
right to require the Transferring Shareholder to cause the proposed Transferee (a “Proposed
Transferee”) to purchase from such Tagging Shareholder up to a number of its Company Shares
equal to the product of (A) the total number of Company Shares proposed to be Transferred by the
Transferring Shareholder multiplied by (B) a fraction, the numerator of which is the
aggregate number of Company Shares owned by such Tagging Shareholder and the denominator of which
is the aggregate number of Company Shares owned by all of the Shareholders.

          (b) The Transferring Shareholder shall give notice to each other Shareholder of a Proposed
Transfer not later than five (5) Business Days prior to the closing of the Proposed Transfer,
setting forth the number of Company Shares proposed to be so Transferred, the name and address of
the Proposed Transferee, the proposed amount and form of consideration (and, if

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such consideration consists in part or in whole of property other than cash, the Transferring
Shareholder shall provide such information, to the extent reasonably available to the Transferring
Shareholder, relating to such non-cash consideration as the other Shareholders may reasonably
request in order to evaluate such non-cash consideration), and other terms and conditions of
payment offered by the Proposed Transferee. The Transferring Shareholder shall deliver or cause to
be delivered to each Tagging Shareholder copies of all transaction documents relating to the
Proposed Transfer as the same become available. The tag-along rights provided by this Section 4.3
must be exercised by a Shareholder within three (3) Business Days following receipt of the notice
required by the first sentence of this Section 4.3(b), by delivery of a written notice to the
Transferring Shareholder indicating its desire to exercise its rights and specifying the number of
Company Shares it desires to Transfer.

          (c) Any Transfer of Company Shares by a Tagging Shareholder to a Proposed Transferee pursuant
to this Section 4.3 shall be on the same terms and conditions (including, without limitation,
price, time of payment and form of consideration) as to be paid to the Transferring Shareholder;
provided that in order to be entitled to exercise its tag along right pursuant to this
Section 4.3, each Tagging Shareholder must agree to make to the Proposed Transferee
representations, warranties, covenants, indemnities and agreements the same mutatis mutandis as
those made by the Transferring Shareholder in connection with the Proposed Transfer (other than any
non-competition or similar agreements or covenants that would bind the Tagging Shareholder or its
Affiliates), and agree to the same conditions to the Proposed Transfer as the Transferring
Shareholder agrees, it being understood that all such representations, warranties, covenants,
indemnities and agreements shall be made by the Transferring Shareholder and each Tagging
Shareholder severally and not jointly and that, except with respect to individual representations,
warranties, covenants, indemnities and other agreements of the Tagging Shareholder as to the
unencumbered title to its Company Shares and the power, authority and legal right to Transfer such
Company Shares, the aggregate amount of the liability of the Tagging Shareholder shall not exceed
either (i) such Tagging Shareholder’s pro rata portion of any such liability to be determined in
accordance with such Tagging Shareholder’s portion of the total number of Company Shares included
in such Transfer or (ii) the proceeds to such Tagging Shareholder in connection with such Transfer.
Each Tagging Shareholder shall be responsible for its proportionate share of the costs of the
Proposed Transfer to the extent not paid or reimbursed by the Proposed Transferee or the Company.

     Section 4.4 Drag Along Rights.

          (a) If Shareholders holding, in the aggregate, at least sixty percent (60%) of the Company
Shares owned by the Shareholders from time to time (the “Selling Shareholders”) agree to
enter into a transaction which would result in the Transfer of at least fifty-one percent (51%) of
the aggregate Company Shares (including any Company Shares held by other holders of Company Shares,
including any Drag-Along Shareholders) to a non-Affiliate third party (the “Drag-Along
Buyer”), the Selling Shareholders may deliver written notice (a “Drag-Along Notice”) to
each other Shareholder (the “Drag-Along Shareholders”), stating that such Selling
Shareholders wish to exercise their rights under this Section 4.4 with respect to such Transfer,
and setting forth the name and address of the Drag-Along Buyer, the number of Company Shares
proposed to be Transferred, the proposed amount and form of the consideration, and all other
material terms and conditions offered by the Drag-Along Buyer.

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          (b) Upon delivery of a Drag-Along Notice, each Drag-Along Shareholder shall be required to
Transfer that percentage of its Company Shares equal to the percentage of the Company Shares held
by the Selling Shareholders which are being Transferred to the Drag-Along Buyer, upon the same
terms and conditions (including, without limitation, as to price, time of payment and form of
consideration) as agreed by the Selling Shareholders and the Drag-Along Buyer, and shall make to
the Drag-Along Buyer representations, warranties, covenants, indemnities and agreements comparable
to those made by the Selling Shareholders in connection with the Transfer (other than any
non-competition or similar agreements or covenants that would bind the Drag-Along Shareholder or
its Affiliates), and shall agree to the same conditions to the Transfer as the Selling Shareholders
agree, it being understood that all such representations, warranties, covenants, indemnities and
agreements shall be made by each Selling Shareholder and each Drag-Along Shareholder severally and
not jointly and that, except with respect to individual representations, warranties, covenants,
indemnities and other agreements of the Drag-Along Shareholder as to the unencumbered title to its
Company Shares and the power, authority and legal right to Transfer such Company Shares, the
aggregate amount of the liability of the Drag-Along Shareholder shall not exceed either (i) such
Drag-Along Shareholder’s pro rata portion of any such liability, to be determined in accordance
with such Drag-Along Shareholder’s portion of the total number of Company Shares included in such
Transfer or (ii) the proceeds to such Drag-Along Shareholder in connection with such Transfer.

          (c) In the event that any such Transfer is structured as a merger, consolidation, or similar
business combination, each Drag-Along Shareholder agrees to (i) vote in favor of the transaction,
(ii) take such other action as may be required to effect such transaction (subject to Section
4.4(b)) and (iii) take all action to waive any dissenters, appraisal or other similar rights with
respect thereto.

          (d) Solely for purposes of Section 4.4(c)(i) and in order to secure the performance of each
Shareholder’s obligations under Section 4.4(c)(i), each Shareholder hereby irrevocably appoints
each other Shareholder that qualifies as a Drag-Along Proxy Holder (as defined below) the
attorney-in-fact and proxy of such Shareholder (with full power of substitution) to vote or provide
a written consent with respect to its Company Shares as described in this paragraph if, and only in
the event that, such Shareholder fails to vote or provide a written consent with respect to its
Company Shares in accordance with the terms of Section 4.4(c)(i) (each such Shareholder, a
“Breaching Drag-Along Shareholder”) within three (3) days of a request for such vote or
written consent. Upon such failure, the Selling Shareholders shall have and are hereby irrevocably
granted a proxy to vote or provide a written consent with respect to each such Breaching Drag-along
Shareholder’s Company Shares for the purposes of taking the actions required by Section 4.4(c)(i)
(such Selling Shareholders, a “Drag-Along Proxy Holder”). Each Shareholder intends this
proxy to be, and it shall be, irrevocable and coupled with an interest, and each Shareholder will
take such further action and execute such other instruments as may be necessary to effectuate the
intent of this proxy and hereby revoke any proxy previously granted by it with respect to the
matters set forth in Section 4.4(c)(i) with respect to the Company Shares owned by such
Shareholder. Notwithstanding the foregoing, the conditional proxy granted by this Section 4.4(d)
shall be deemed to be revoked upon the termination of this Article IV in accordance with its terms.

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          (e) If any Drag-Along Shareholder fails to deliver to the Drag-Along Buyer the certificate or
certificates evidencing Company Shares to be sold pursuant to this Section 4.4, the Selling
Shareholders may, at their option, in addition to all other remedies they may have, deposit the
purchase price (including any promissory note constituting all or any portion thereof) for such
Company Shares with any national bank or trust company having combined capital, surplus and
undivided profits in excess of $100 million (the “Escrow Agent”), and the Company shall
cancel on its books the certificate or certificates representing such Company Shares and thereupon
all of such Drag-Along Shareholder’s rights in and to such Company Shares shall terminate.
Thereafter, upon delivery to the Company by such Drag-Along Shareholder of the certificate or
certificates evidencing such Company Shares (duly endorsed, or with stock powers duly endorsed, for
transfer, with signature guaranteed, free and clear of any liens or encumbrances, and with any
stock transfer tax stamps affixed), the Selling Shareholders shall instruct the Escrow Agent to
deliver the purchase price (without any interest from the date of the closing to the date of such
delivery, any such interest to accrue to the Company) to such Drag-Along Shareholder.

     Section 4.5 Rights and Obligations of Transferees.

          (a) Any Transfer of Company Shares to any Person other than a Shareholder, which Transfer is
otherwise in compliance herewith, shall be permitted hereunder only if the transferee of such
Company Shares agrees in writing that it shall, upon such Transfer, assume with respect to such
Company Shares the transferor’s obligations under this Agreement and become a party to this
Agreement for such purpose, and any other agreement or instrument executed and delivered by such
transferor in respect of the Company Shares.

          (b) Upon any Transfer of Company Shares to any Person other than a Shareholder, which Transfer
is otherwise in compliance herewith, the transferee shall, upon such Transfer, assume all rights
held by the transferor at the time of the Transfer with respect to such Company Shares,
provided that no Transferee (other than any Affiliate of a Shareholder) shall acquire any
of the rights provided in Article III hereof by reason of such Transfer, and provided
further that no Transferee (other than any Affiliate of a Shareholder) shall be permitted
to acquire any of the rights provided in Section 5.1 or 5.2 hereof unless such Transferee acquires
at least 33 1/3% of the Initial Post-IPO Share Ownership of a Shareholder.

          (c) Notwithstanding the foregoing, Sections 4.5(a) and (b) shall not apply to any Transfer to
(i) the public under a Registration Statement or Rule 144 under the Securities Act or (ii) any
general or limited partner, member or stockholder of any Shareholder.

     Section 4.6 Termination of Transfer Restrictions. The provisions of this Article IV
(other than Section 4.4) shall terminate and be of no further force and effect upon the earlier of
(i) the fifth anniversary of the IPO or (ii) the date on which the Shareholders cease to hold
collectively 25% of their Initial Post-IPO Share Ownership. The provisions of Section 4.4 shall
terminate upon the date on which the Shareholders cease to hold collectively the majority of the
outstanding Company Shares.

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ARTICLE V

REGISTRATION RIGHTS

     Section 5.1 Shelf Registration.

          (a) Filing. Immediately following the first anniversary of the IPO, the Company shall
file with the SEC a Shelf Registration Statement relating to the offer and sale of all Registrable
Securities by any Holders thereof from time to time in accordance with the methods of distribution
elected by such Holders and set forth in the Shelf Registration Statement and, as promptly as
practicable thereafter, shall use its reasonable best efforts to cause such Shelf Registration
Statement to be declared effective under the Securities Act.

          (b) Continued Effectiveness. The Company shall use its reasonable best efforts to
keep such Shelf Registration Statement (or a replacement Shelf Registration Statement) continuously
effective under the Securities Act in order to permit the Prospectus forming a part thereof to be
usable by Holders until the earlier of (i) the date as of which all Registrable Securities have
been sold pursuant to the Shelf Registration Statement (but in no event prior to the applicable
period referred to in Section 4(3) of the Securities Act and Rule 174 thereunder) and (ii) the date
as of which each of the Holders is permitted to sell its Registrable Securities without
Registration pursuant to Rule 144 under the Securities Act without volume limitations or other
restrictions on transfer thereunder (such period of effectiveness, the “Shelf Period”).
Subject to Section 5.1(c), the Company shall not be deemed to have used its reasonable best efforts
to keep the Shelf Registration Statement effective during the Shelf Period if the Company
voluntarily takes any action or omits to take any action that would result in Holders of the
Registrable Securities covered thereby not being able to offer and sell any Registrable Securities
pursuant to such Shelf Registration Statement (or a replacement Shelf Registration Statement)
during the Shelf Period, unless such action or omission is required by applicable law.

          (c) Suspension of Registration. If the continued use of such Shelf Registration
Statement at any time would require the Company to make an Adverse Disclosure, the Company may,
upon giving at least 10 days’ prior written notice of such action to the holders, suspend use of
the Shelf Registration Statement (a “Shelf Suspension”); provided, however,
that, the Company shall not be permitted to exercise a Shelf Suspension (i) more than one time
during any 12-month period unless the Company receives the written advice of its outside counsel to
the effect that an additional Shelf Suspension during such period is reasonably necessary to avoid
an Adverse Disclosure unrelated to the circumstances underlying the initial Shelf Suspension (and,
in any event, no more than three times during any 24-month period), or (ii) for a period exceeding
30 days on any one occasion. In the case of a Shelf Suspension, the Holders agree to suspend use
of the applicable Prospectus in connection with any sale or purchase of, or offer to sell or
purchase, Registrable Securities, upon receipt of the notice referred to above. The Company shall
immediately notify the Holders upon the termination of any Shelf Suspension, amend or supplement
the Prospectus, if necessary, so it does not contain any untrue statement or omission and furnish
to the Holders such numbers of copies of the Prospectus as so amended or supplemented as the
Holders may reasonably request. The Company agrees, if necessary, to supplement or make amendments
to the Shelf Registration Statement, if required by the registration form used by the Company for
the Shelf Registration or

15

 

by the instructions applicable to such registration form or by the Securities Act or the rules
or regulations promulgated thereunder or as may reasonably be requested by the Holders of a
majority of the Registrable Securities then outstanding.

          (d) Underwritten Offering. If the Holders of not less than a majority of any
Registrable Securities included in any offering pursuant to such Shelf Registration Statement so
elect, such offering of Registrable Securities shall be in the form of an Underwritten Offering,
and the Company shall amend or supplement the Shelf Registration Statement for such purpose. The
Holders of a majority of such Registrable Securities included in such Underwritten Offering shall
have the right to select the managing underwriter or underwriters to administer such offering;
provided that such managing underwriter or underwriters shall be reasonably acceptable to
the Company. If the managing underwriter or underwriters of such proposed Underwritten Offering
advise the Holders in writing that, in its or their opinion, the number of securities requested to
be included in such Underwritten Offering exceeds the number which can be sold in such offering
without being likely to have a significant adverse effect on the price, timing or distribution of
the securities offered or the market for the securities offered, the number of Registrable
Securities to be included in such Underwritten Offering shall be allocated pro rata
among the Holders that have requested to participate in such Underwritten Offering on the basis of
the relative number of Registrable Securities requested to be included therein, to the extent
necessary to reduce the total number of Registrable Securities to be included in such offering to
the number recommended by the managing underwriter or underwriters or such Holders.

     Section 5.2 Demand Registration.

          (a) Demand by Holders. Any of TPG, Bain and Goldman may make a written request to the
Company for Registration of Registrable Securities held by such Holders and any other Holders of
Registrable Securities (i) on or at any time after the 180th day following the IPO and
prior the first anniversary of the IPO and (ii) if there is no then-currently effective Shelf
Registration Statement on file with the SEC, on or at any time after the first anniversary of the
IPO. Any such requested Registration shall hereinafter be referred to as a “Demand
Registration.” Each request for a Demand Registration shall specify the kind and aggregate
amount of Registrable Securities to be Registered and the intended methods of disposition thereof.
Within 30 days of a request for a Demand Registration (unless the Registration Statement relating
to such Demand Registration would be required to include audited financial statements of the
Company that are not currently available, in which case, promptly after such audited financial
statements of the Company are prepared and ready to be filed with the SEC), the Company shall file
a Registration Statement relating to such Demand Registration (a “Demand Registration
Statement”), and shall use its reasonable best efforts to cause such Demand Registration
Statement to promptly be declared effective under (i) the Securities Act and (ii) the “Blue Sky”
laws of such jurisdictions as any Holder of Registrable Securities being registered under such
Registration or any underwriter, if any, reasonably requests.

          (b) Limitation on Demand Registrations. Each of TPG, Bain and Goldman shall have the
right to request up to two Demand Registrations during the period beginning on the 180th
day following the IPO and ending immediately prior to the first anniversary of the IPO and the
amount of the expected proceeds of each such Demand Registration shall be no less than $100
million. Subject to Section 5.2(a) and (i), from and after the first anniversary of the IPO,

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each of TPG, Bain and Goldman shall have the right to request an unlimited number of Demand
Registrations.

          (c) Demand Withdrawal. A Holder may withdraw its Registrable Securities from a Demand
Registration at any time prior to the effectiveness of the applicable Demand Registration
Statement. Upon receipt of notices from all Holders to such effect, the Company shall cease all
efforts to secure effectiveness of the applicable Demand Registration Statement and such
Registration nonetheless shall be deemed a Demand Registration (charged against the initiating
Holder) for purposes of Section 5.2(b) unless (i) the withdrawing Holders shall have paid or
reimbursed the Company for their pro rata portion of all of the reasonable and documented
out-of-pocket fees and expenses incurred by the Company in connection with the Registration of such
withdrawn Registrable Securities or (ii) the withdrawal is made following the occurrence of a
Material Adverse Change or having been notified that the Registration would require the Company to
make an Adverse Disclosure.

          (d) Effective Registration. The Company shall be deemed to have effected a Demand
Registration if the Demand Registration Statement is declared effective by the SEC and remains
effective for not less than 60 days (or such shorter period as will terminate when all Registrable
Securities covered by such Demand Registration Statement have been sold or withdrawn), or if such
Registration Statement relates to an Underwritten Offering, such longer period as in the opinion of
counsel for the underwriter or underwriters a Prospectus is required by law to be delivered in
connection with sales of Registrable Securities by an underwriter or dealer (the applicable period,
the “Demand Period”). No Demand Registration shall be deemed to have been effected if (i)
during the Demand Period such Registration is interfered with by any stop order, injunction or
other order or requirement of the SEC or other governmental agency or court or (ii) the conditions
to closing specified in the underwriting agreement, if any, entered into in connection with such
Registration are not satisfied other than by reason of a wrongful act, misrepresentation or breach
of such applicable underwriting agreement by a participating Holder.

          (e) Demand Notice. Promptly upon receipt of any request for a Demand Registration
pursuant to Section 5.2(a) (but in no event more than 5 Business Days thereafter), the Company
shall deliver a written notice (a “Demand Notice”) of any such Registration request to all
other Holders of Registrable Securities, and the Company shall include in such Demand Registration
all such Registrable Securities with respect to which the Company has received written requests for
inclusion therein within 10 Business Days after the date that the Demand Notice has been delivered.
All requests made pursuant to this Section 5.2(e) shall specify the aggregate amount of
Registrable Securities to be registered and the intended method of distribution of such securities.

          (f) Preemption. If not more than 30 days prior to receipt of any request for a Demand
Registration pursuant to Section 5.2(a) the Company shall have (i) circulated to prospective
underwriters and their counsel a draft of a Registration Statement for a primary offering of equity
securities on behalf of the Company, (ii) solicited bids for a primary offering of shares of
Company Shares, or (iii) otherwise reached an understanding with an underwriter with respect to a
primary offering of shares of Company Shares, the Company may preempt the Demand Registration with
such primary offering by delivering written notice of such intention (the “Preemption
Notice”) to the Holders making a request for a Demand Registration within

17

 

five days after the Company has received the request. The period of preemption may be up to
45 days following the date of the Preemption Notice. Notwithstanding anything to the contrary
herein, the Company shall not be entitled to exercise its right to preempt a Demand Registration
pursuant to this Section 5.2(f) more than once during any 12-month period.

          (g) Delay in Filing; Suspension of Registration. If the filing, initial effectiveness
or continued use of a Demand Registration Statement at any time would require the Company to make
an Adverse Disclosure, the Company may, upon giving prompt written notice of such action to the
Holders, delay the filing or initial effectiveness of, or suspend use of, the Demand Registration
Statement (a “Demand Suspension”); provided, however, that the Company
shall not be permitted to exercise a Demand Suspension (i) more than once during any 12-month
period unless the Company receives the written advice of its outside counsel to the effect that an
additional Demand Suspension during such period is reasonably necessary to avoid an Adverse
Disclosure unrelated to the circumstances underlying the initial Demand Suspension (and, in any
event, no more than three times during any 24-month period), or (ii) for a period exceeding 30 days
on any one occasion. In the case of a Demand Suspension, the holders agree to suspend use of the
applicable Prospectus in connection with any sale or purchase, or offer to sell or purchase,
Registrable Securities, upon receipt of the notice referred to above. The Company shall
immediately notify the Holders upon the termination of any Demand Suspension, amend or supplement
the Prospectus, if necessary, so it does not contain any untrue statement or omission and furnish
to the Holders such numbers of copies of the Prospectus as so amended or supplemented as the
holders may reasonably request. The Company agrees, if necessary, to supplement or make amendments
to the Demand Registration Statement, if required by the registration form used by the Company for
the Demand Registration or by the instructions applicable to such registration form or by the
Securities Act or the rules or regulations promulgated thereunder or as may reasonably be requested
by the holders of a majority of the Registrable Securities that are included in such Demand
Registration Statement.

          (h) Underwritten Offering. If the Holders of not less than a majority of the
Registrable Securities requesting a Demand Registration so elect, such offering of Registrable
Securities shall be in the form of an Underwritten Offering. The Holders of a majority of such
Registrable Securities included in such Underwritten Offering shall have the right to select the
managing underwriter or underwriters to administer the offering; provided that such
managing underwriter or underwriters shall be reasonably acceptable to the Company.

          (i) Priority of Securities Registered Pursuant to Demand Registrations. If the
managing underwriter or underwriters of a proposed Underwritten Offering of the Registrable
Securities included in a Demand Registration (or, in the case of a Demand Registration not being
underwritten, the holders of a majority of the Registrable Securities included therein), advise the
Board of Directors in writing that, in its or their opinion, the number of securities requested to
be included in such Demand Registration exceeds the number which can be sold in such offering
without being likely to have a significant adverse effect on the price, timing or distribution of
the securities offered or the market for the securities offered, the number of Registrable
Securities to be included in such Demand Registration shall be allocated pro rata
among the Holders that have requested to participate in such Demand Registration on the basis of
the relative number of Registrable Securities requested to be included therein, to the extent
necessary to reduce the total number of Registrable Securities to be included in such offering to
the number recommended by

18

 

the managing underwriter or underwriters or such Holders. To the extent that Registrable
Securities so requested to be registered are excluded from the offering, then the Holder of such
Registrable Securities that initiated such request for a Demand Registration shall have the right
to one additional Demand Registration under this Section 5.2.

     Section 5.3 Piggyback Registration.

          (a) Participation. If the Company at any time proposes to file a Registration
Statement under the Securities Act with respect to any offering of its securities for its own
account or for the account of any other Persons (other than (i) a Registration under Section 5.1 or
5.2, (ii) a Registration on Form S-4 or S-8 or any successor form to such Forms or (iii) a
Registration solely relating to an offering and sale to employees or directors of the Company
pursuant to any employee stock plan or other employee benefit plan arrangement) (a “Company
Public Sale”), then, as soon as practicable (but in no event less than 45 days prior to the
proposed date of filing such Registration Statement), the Company shall give written notice of such
proposed filing to all Holders, and such notice shall offer such Holders the opportunity to
Register under such Registration Statement such number of Registrable Securities as each such
Holder may request in writing (a “Piggyback Registration”). Subject to Section 5.3(b), the
Company shall include in such Registration Statement all such Registrable Securities which are
requested to be included therein within 15 days after the receipt by such Holder of any such
notice; provided, however, that if at any time after giving written notice of its
intention to Register any securities and prior to the effective date of the Registration Statement
filed in connection with such Registration, the Company shall determine for any reason not to
Register or to delay Registration of such securities, the Company shall give written notice of such
determination to each Holder and, thereupon, (i) in the case of a determination not to Register,
shall be relieved of its obligation to Register any Registrable Securities in connection with such
Registration (but not from its obligation to pay the Registration Expenses in connection
therewith), without prejudice, however, to the rights of any holders of Registrable Securities
entitled to request that such Registration be effected as a Demand Registration under Section 5.2,
and (ii) in the case of a determination to delay Registering, in the absence of a request for a
Demand Registration, shall be permitted to delay Registering any Registrable Securities, for the
same period as the delay in Registering such other securities. If the offering pursuant to such
Registration Statement is to be underwritten, then each Holder making a request for a Piggyback
Registration pursuant to this Section 5.3(a) must, and the Company shall make such arrangements
with the managing underwriter or underwriters so that each such Holder may, participate in such
Underwritten Offering. If the offering pursuant to such Registration Statement is to be on any
other basis, then each Holder making a request for a Piggyback Registration pursuant to this
Section 5.3(a) must, and the Company shall make such arrangements so that each such Holder may,
participate in such offering on such basis. Each Holder of Registrable Securities shall be
permitted to withdraw all or part of such Holder’s Registrable Securities from a Piggyback
Registration at any time. If any Registrable Securities requested by Holders to be included in a
Registration Statement pursuant to this Section 5.3(a) are Registered under an effective Shelf
Registration Statement, the Company shall file with the SEC immediately prior to the effectiveness
of the new Registration Statement an amendment to the prior Shelf Registration Statement
deregistering any previously Registered Registrable Securities proposed to be included under the
new Registration Statement.

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          (b) Priority of Piggyback Registration. If the managing underwriter or underwriters
of any proposed Underwritten Offering of Registrable Securities included in a Piggyback
Registration informs the Company and the Holders of Registrable Securities in writing that, in its
or their opinion, the number of securities which such Holders and any other Persons intend to
include in such offering exceeds the number which can be sold in such offering without being likely
to have a significant adverse effect on the price, timing or distribution of the securities offered
or the market for the securities offered, then the securities to be included in such Registration
shall be (i) first, 100% of the securities that the Company or (subject to Section 5.7) any Person
(other than a Holder of Registrable Securities) exercising a contractual right to demand
Registration, as the case may be, proposes to sell, and (ii) second, and only if all the securities
referred to in clause (i) have been included, the number of Registrable Securities that, in the
opinion of such managing underwriter or underwriters, can be sold without having such adverse
effect, with such number to be allocated pro rata among the Holders that have
requested to participate in such Registration based on the relative number of Registrable
Securities requested to be included therein then held by each such Holder and (iii) third, and only
if all of the Registrable Securities referred to in clause (ii) have been included in such
Registration, any other securities eligible for inclusion in such Registration.

          (c) No Effect on Demand Registrations. No Registration of Registrable Securities
effected pursuant to a request under this Section 5.3 shall be deemed to have been effected
pursuant to Sections 5.1 and 5.2 or shall relieve the Company of its obligations under Sections 5.1
or 5.2.

     Section 5.4 Black-out Periods.

          (a) Black-out Periods for Holders. In the event of a Company Public Sale of the
Company’s equity securities in an Underwritten Offering, the Holders of Registrable Securities
agree, if requested by the managing underwriter or underwriters in such Underwritten Offering, not
to effect any public sale or distribution of any securities (except, in each case, as part of the
applicable Registration, if permitted) that are the same as or similar to those being Registered in
connection with such Company Public Sale, or any securities convertible into or exchangeable or
exercisable for such securities, during the period beginning seven days before and ending 180 days
(in the event of the IPO) or 90 days (in the event of any other Company Public Sale) (or, in either
case, such lesser period as may be permitted by the Company or such managing underwriter or
underwriters) after, the effective date of the Registration Statement filed in connection with such
Registration, to the extent timely notified in writing by the Company or the managing underwriter
or underwriters; provided, however, such restrictions shall not apply to (i)
securities acquired in the public market subsequent to the IPO, (ii) distributions-in-kind to a
Shareholder’s limited partners and (iii) transfers to Affiliates but only if such Affiliates agree
to be bound by the restrictions herein.

          (b) Black-out Period for the Company and Others. In the case of a Registration of
Registrable Securities pursuant to Section 5.1 or 5.2 for an Underwritten Offering, the Company and
each Holder of Registrable Securities agrees, if requested by the Holders of a majority of
Registrable Securities to be included in such Registration or the managing underwriter or
underwriters, not to effect any public sale or distribution of any securities which are the same as
or similar to those being Registered, or any securities

20

 

convertible into or exchangeable or exercisable for such securities, during the period
beginning seven days before, and ending 90 days (or such lesser period as may be permitted by such
Holders or such managing underwriter or underwriters) after, the effective date of the Registration
Statement filed in connection with such Registration (or, in the case of an offering under a Shelf
Registration Statement, the date of the closing under the underwriting agreement in connection
therewith), to the extent timely notified in writing by a Holder of Registrable Securities covered
by such Registration Statement or the managing underwriter or underwriters. Notwithstanding the
foregoing, the Company may effect a public sale or distribution of securities of the type described
above and during the periods described above if such sale or distribution is made pursuant to
Registrations on Form S-4 or S-8 or any successor form to such Forms or as part of any Registration
of securities for offering and sale to employees or directors of the Company pursuant to any
employee stock plan or other employee benefit plan arrangement. The Company agrees to use its
reasonable best efforts to obtain from each Holder of restricted securities of the Company which
securities are the same as or similar to the Registrable Securities being Registered, or any
restricted securities convertible into or exchangeable or exercisable for any of such securities,
an agreement not to effect any public sale or distribution of such securities during any such
period referred to in this paragraph, except as part of any such Registration, if permitted.
Without limiting the foregoing (but subject to Section 5.7), if after the date hereof the Company
grants any Person (other than a Holder of Registrable Securities) any rights to demand or
participate in a Registration, the Company agrees that the agreement with respect thereto shall
include such Person’s agreement to comply with any black-out period required by this Section as if
it were the Company hereunder.

     Section 5.5 Registration Procedures.

          (a) In connection with the Company’s Registration obligations under Sections 5.1, 5.2 and 5.3,
the Company shall use its reasonable best efforts to effect such Registration to permit the sale of
such Registrable Securities in accordance with the intended method or methods of distribution
thereof as expeditiously as reasonably practicable, and in connection therewith the Company shall:

          (i) prepare the required Registration Statement including all exhibits and financial
statements required under the Securities Act to be filed therewith, and before filing a
Registration Statement or Prospectus, or any amendments or supplements thereto, (x) furnish
to the underwriters, if any, and to the Holders of the Registrable Securities covered by
such Registration Statement, copies of all documents prepared to be filed, which documents
shall be subject to the review of such underwriters and such Holders and their respective
counsel and (y) except in the case of a Registration under Section 5.3, not file any
Registration Statement or Prospectus or amendments or supplements thereto to which the
Holders of a majority of Registrable Securities covered by such Registration Statement or
the underwriters, if any, shall reasonably object;

          (ii) as soon as possible (in the case of a Demand Registration, no later than 30 days
after a request for a Demand Registration (unless the Registration Statement relating to
such Demand Registration would be required to include audited financial statements of the
Company that are not currently available, in which case, promptly after such audited
financial statements of the Company are prepared and ready to be filed with the SEC))

21

 

file with the SEC a Registration Statement relating to the Registrable Securities
including all exhibits and financial statements required by the SEC to be filed therewith,
and use its reasonable best efforts to cause such Registration Statement to become effective
under the Securities Act as soon as practicable;

          (iii) prepare and file with the SEC such amendments and post-effective amendments to
such Registration Statement and supplements to the Prospectus as may be (x) reasonably
requested by the Holders of a majority of participating Registrable Securities, (y)
reasonably requested by any participating Holder (to the extent such request relates to
information relating to such Holder), or (z) necessary to keep such Registration effective
for the period of time required by this Agreement, and comply with provisions of the
applicable securities laws with respect to the sale or other disposition of all securities
covered by such Registration Statement during such period in accordance with the intended
method or methods of disposition by the sellers thereof set forth in such Registration
Statement;

          (iv) notify the participating Holders of Registrable Securities and the managing
underwriter or underwriters, if any, and (if requested) confirm such advice in writing and
provide copies of the relevant documents, as soon as reasonably practicable after notice
thereof is received by the Company (a) when the applicable Registration Statement or any
amendment thereto has been filed or becomes effective, and when the applicable Prospectus or
any amendment or supplement to such Prospectus has been filed, (b) of any written comments
by the SEC or any request by the SEC or any other federal or state governmental authority
for amendments or supplements to such Registration Statement or such Prospectus or for
additional information, (c) of the issuance by the SEC of any stop order suspending the
effectiveness of such Registration Statement or any order by the SEC or any other regulatory
authority preventing or suspending the use of any preliminary or final Prospectus or the
initiation or threatening of any proceedings for such purposes, (d) if, at any time, the
representations and warranties of the Company in any applicable underwriting agreement cease
to be true and correct in all material respects, and (e) of the receipt by the Company of
any notification with respect to the suspension of the qualification of the Registrable
Securities for offering or sale in any jurisdiction or the initiation or threatening of any
proceeding for such purpose;

          (v) promptly notify each selling Holder of Registrable Securities and the managing
underwriter or underwriters, if any, when the Company becomes aware of the happening of any
event as a result of which the applicable Registration Statement or the Prospectus included
in such Registration Statement (as then in effect) contains any untrue statement of a
material fact or omits to state a material fact necessary to make the statements therein (in
the case of such Prospectus and any preliminary Prospectus, in light of the circumstances
under which they were made) not misleading or, if for any other reason it shall be necessary
during such time period to amend or supplement such Registration Statement or Prospectus in
order to comply with the Securities Act and, in either case as promptly as reasonably
practicable thereafter, prepare and file with the SEC, and furnish without charge to the
selling Holders and the managing underwriter or

22

 

underwriters, if any, an amendment or supplement to such Registration Statement or
Prospectus which shall correct such misstatement or omission or effect such compliance;

          (vi) use its reasonable best efforts to prevent or obtain the withdrawal of any stop
order or other order suspending the use of any preliminary or final Prospectus;

          (vii) promptly incorporate in a Prospectus supplement or post-effective amendment such
information as the managing underwriter or underwriters and the Holders of a majority of
Registrable Securities being sold agree should be included therein relating to the plan of
distribution with respect to such Registrable Securities; and make all required filings of
such Prospectus supplement or post-effective amendment as soon as reasonably practicable
after being notified of the matters to be incorporated in such Prospectus supplement or
post-effective amendment;

          (viii) furnish to each selling Holder of Registrable Securities and each underwriter,
if any, without charge, as many conformed copies as such Holder or underwriter may
reasonably request of the applicable Registration Statement and any amendment or
post-effective amendment thereto, including financial statements and schedules, all
documents incorporated therein by reference and all exhibits (including those incorporated
by reference);

          (ix) deliver to each selling Holder of Registrable Securities and each underwriter, if
any, without charge, as many copies of the applicable Prospectus (including each preliminary
prospectus) and any amendment or supplement thereto as such Holder or underwriter may
reasonably request (it being understood that the Company consents to the use of such
Prospectus or any amendment or supplement thereto by each of the selling Holders of
Registrable Securities and the underwriters, if any, in connection with the offering and
sale of the Registrable Securities covered by such Prospectus or any amendment or supplement
thereto) and such other documents as such selling Holder or underwriter may reasonably
request in order to facilitate the disposition of the Registrable Securities by such Holder
or underwriter;

          (x) on or prior to the date on which the applicable Registration Statement is declared
effective, use its reasonable best efforts to register or qualify, and cooperate with the
selling Holders of Registrable Securities, the managing underwriter or underwriters, if any,
and their respective counsel, in connection with the registration or qualification of such
Registrable Securities for offer and sale under the securities or “Blue Sky” laws of each
state and other jurisdiction of the United States as any such selling Holder or managing
underwriter or underwriters, if any, or their respective counsel reasonably request in
writing and do any and all other acts or things reasonably necessary or advisable to keep
such registration or qualification in effect for such period as required by Section 5.1(b)
or Section 5.2(d), whichever is applicable, provided that the Company shall not be
required to qualify generally to do business in any jurisdiction where it is not then so
qualified or to take any action which would subject it to taxation or general service of
process in any such jurisdiction where it is not then so subject;

23

 

          (xi) co-operate with the selling Holders of Registrable Securities and the managing
underwriter or underwriters, if any, to facilitate the timely preparation and delivery of
certificates representing Registrable Securities to be sold and not bearing any restrictive
legends; and enable such Registrable Securities to be in such denominations and registered
in such names as the managing underwriters may request at least two business days prior to
any sale of Registrable Securities to the underwriters;

          (xii) use its reasonable best efforts to cause the Registrable Securities covered by
the applicable Registration Statement to be registered with or approved by such other
governmental agencies or authorities as may be necessary to enable the seller or sellers
thereof or the underwriter or underwriters, if any, to consummate the disposition of such
Registrable Securities;

          (xiii) not later than the effective date of the applicable Registration Statement,
provide a CUSIP number for all Registrable Securities and provide the applicable transfer
agent with printed certificates for the Registrable Securities which are in a form eligible
for deposit with The Depository Trust Company;

          (xiv) make such representations and warranties to the Holders of Registrable Securities
being registered, and the underwriters or agents, if any, in form, substance and scope as
are customarily made by issuers in secondary underwritten public offerings;

          (xv) enter into such customary agreements (including underwriting and indemnification
agreements) and take all such other actions as the Holders of at least a majority of any
Registrable Securities being sold or the managing underwriter or underwriters, if any,
reasonably request in order to expedite or facilitate the registration and disposition of
such Registrable Securities;

          (xvi) obtain for delivery to the Holders of Registrable Securities being registered and
to the underwriter or underwriters, if any, an opinion or opinions from counsel for the
Company dated the effective date of the Registration Statement or, in the event of an
Underwritten Offering, the date of the closing under the underwriting agreement, in
customary form, scope and substance, which opinions shall be reasonably satisfactory to such
holders or underwriters, as the case may be, and their respective counsel;

          (xvii) in the case of an Underwritten Offering, obtain for delivery to the Company and
the managing underwriter or underwriters, with copies to the Holders of Registrable
Securities included in such Registration, a cold comfort letter from the Company’s
independent certified public accountants in customary form and covering such matters of the
type customarily covered by cold comfort letters as the managing underwriter or underwriters
reasonably request, dated the date of execution of the underwriting agreement and brought
down to the closing under the underwriting agreement;

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          (xviii) cooperate with each seller of Registrable Securities and each underwriter, if
any, participating in the disposition of such Registrable Securities and their respective
counsel in connection with any filings required to be made with the NASD;

          (xix) use its reasonable best efforts to comply with all applicable securities laws and
make available to its security holders, as soon as reasonably practicable, an earnings
statement satisfying the provisions of Section 11(a) of the Securities Act and the rules and
regulations promulgated thereunder;

          (xx) provide and cause to be maintained a transfer agent and registrar for all
Registrable Securities covered by the applicable Registration Statement from and after a
date not later than the effective date of such Registration Statement;

          (xxi) use its best efforts to cause all Registrable Securities covered by the
applicable Registration Statement to be listed on each securities exchange on which any of
the Company’s securities are then listed or quoted and on each inter-dealer quotation system
on which any of the Company’s securities are then quoted;

          (xxii) make available upon reasonable notice at reasonable times and for reasonable
periods for inspection by a representative appointed by the majority of the Holders of
Registrable Securities covered by the applicable Registration Statement, by any underwriter
participating in any disposition to be effected pursuant to such Registration Statement and
by any attorney, accountant or other agent retained by such Holders or any such underwriter,
all pertinent financial and other records, pertinent corporate documents and properties of
the Company, and cause all of the Company’s officers, directors and employees and the
independent public accountants who have certified its financial statements to make
themselves available to discuss the business of the Company and to supply all information
reasonably requested by any such Person in connection with such Registration Statement as
shall be necessary to enable them to exercise their due diligence responsibility;
provided, however, that any such Person gaining access to information
regarding the Company pursuant to this Section 5.5(a)(xxii) shall agree to hold in strict
confidence and shall not make any disclosure or use any information regarding the Company
which the Company determines in good faith to be confidential, and of which determination
such Person is notified, unless (w) the release of such information is requested or required
(by deposition, interrogatory, requests for information or documents by a governmental
entity, subpoena or similar process), (x) such information is or becomes publicly known
without a breach of this or any other agreement of which such Person has knowledge, (y) such
information is or becomes available to such Person on a non-confidential basis from a source
other than the Company or (z) such information is independently developed by such Person;
and

          (xxiii) in the case of an Underwritten Offering, cause the chief executive officer and
chief financial officer of the Company to participate in the customary “road show”
presentations that may be reasonably requested by the managing underwriter or underwriters
in any such Underwritten Offering and otherwise to facilitate, cooperate with, and
participate in each proposed offering contemplated herein and customary selling efforts
related thereto.

25

 

          (b) The Company may require each seller of Registrable Securities as to which any Registration
is being effected to furnish to the Company such information regarding the distribution of such
securities and such other information relating to such Holder and its ownership of Registrable
Securities as the Company may from time to time reasonably request in writing. Each Holder of
Registrable Securities agrees to furnish such information to the Company and to cooperate with the
Company as reasonably necessary to enable the Company to comply with the provisions of this
Agreement.

          (c) Each Holder of Registrable Securities agrees that, upon receipt of any notice from the
Company of the happening of any event of the kind described in Section 5.5(a)(v), such holder will
forthwith discontinue disposition of Registrable Securities pursuant to such Registration Statement
until such Holder’s receipt of the copies of the supplemented or amended Prospectus contemplated by
Section 5.5(a)(v), or until such Holder is advised in writing by the Company that the use of the
Prospectus may be resumed, and if so directed by the Company, such Holder shall deliver to the
Company (at the Company’s expense) all copies, other than permanent file copies then in such
Holder’s possession, of the Prospectus covering such Registrable Securities current at the time of
receipt of such notice. In the event the Company shall give any such notice, the period during
which the applicable Registration Statement is required to be maintained effective shall be
extended by the number of days during the period from and including the date of the giving of such
notice to and including the date when each seller of Registrable Securities covered by such
Registration Statement either receives the copies of the supplemented or amended Prospectus
contemplated by Section 5.5(a)(v) or is advised in writing by the Company that the use of the
Prospectus may be resumed.

          (d) Holders may seek to register different types of Registrable Securities simultaneously and
the Company shall use its reasonable best efforts to effect such Registration and sale in
accordance with the intended method or methods of disposition specified by such holders.

     Section 5.6 Underwritten Offerings.

          (a) Shelf and Demand Registrations. If requested by the underwriters for any
Underwritten Offering requested by Holders of Registrable Securities pursuant to a Registration
under Section 5.1 or Section 5.2, the Company shall enter into an underwriting agreement with such
underwriters for such offering, such agreement to be reasonably satisfactory in substance and form
to the Company, Holders of a majority of the Registrable Securities to be included in such
underwriting, and the underwriters, and to contain such representations and warranties by the
Company and such other terms as are generally prevailing in agreements of that type, including
indemnities no less favorable to the recipient thereof than those provided in Section 5.9. The
Holders of the Registrable Securities proposed to be distributed by such underwriters shall
cooperate with the Company in the negotiation of the underwriting agreement and shall give
consideration to the reasonable suggestions of the Company regarding the form thereof. Such
Holders of Registrable Securities to be distributed by such underwriters shall be parties to such
underwriting agreement, which underwriting agreement shall (i) contain such representations and
warranties by, and the other agreements on the part of, the Company to and for the benefit of such
Holders of Registrable Securities as are customarily made by issuers to selling stockholders in
secondary underwritten public offerings and (ii) provide that any or all of

26

 

the conditions precedent to the obligations of such underwriters under such underwriting
agreement also shall be conditions precedent to the obligations of such Holders of Registrable
Securities. Any such Holder of Registrable Securities shall not be required to make any
representations or warranties to or agreements with the Company or the underwriters other than
representations, warranties or agreements regarding such Holder, such Holder’s title to the
Registrable Securities, such Holder’s intended method of distribution and any other representations
required to be made by the Holder under applicable law, and the aggregate amount of the liability
of such Holder shall not exceed such Holder’s net proceeds from such Underwritten Offering.

          (b) Piggyback Registrations. If the Company proposes to register any of its
securities under the Securities Act as contemplated by Section 5.3 and such securities are to be
distributed in an Underwritten Offering through one or more underwriters, the Company shall, if
requested by any Holder of Registrable Securities pursuant to Section 5.3 and subject to the
provisions of Section 5.3(b), use its reasonable best efforts to arrange for such underwriters to
include on the same terms and conditions that apply to the other sellers in such Registration all
the Registrable Securities to be offered and sold by such Holder among the securities of the
Company to be distributed by such underwriters in such Registration. The Holders of Registrable
Securities to be distributed by such underwriters shall be parties to the underwriting agreement
between the Company and such underwriters, which underwriting agreement shall (i) contain such
representations and warranties by, and the other agreements on the part of, the Company to and for
the benefit of such Holders of Registrable Securities as are customarily made by issuers to selling
stockholders in secondary underwritten public offerings and (ii) provide that any or all of the
conditions precedent to the obligations of such underwriters under such underwriting agreement also
shall be conditions precedent to the obligations of such Holders of Registrable Securities. Any
such Holder of Registrable Securities shall not be required to make any representations or
warranties to or agreements with the Company or the underwriters other than representations,
warranties or agreements regarding such Holder, such Holder’s title to the Registrable Securities
and such Holder’s intended method of distribution or any other representations required to be made
by the Holder under applicable law, and the aggregate amount of the liability of such Holder shall
not exceed such Holder’s net proceeds from such Underwritten Offering.

          (c) Participation in Underwritten Registrations. Subject to the provisions of Section
5.6(a) and (b) above, no Person may participate in any Underwritten Offering hereunder unless such
Person (i) agrees to sell such Person’s securities on the basis provided in any underwriting
arrangements approved by the Persons entitled to approve such arrangements and (ii) completes and
executes all questionnaires, powers of attorney, indemnities, underwriting agreements and other
documents required under the terms of such underwriting arrangements.

          (d) Price and Underwriting Discounts. In the case of an Underwritten Offering under
Section 5.1 or 5.2, the price, underwriting discount and other financial terms for the Registrable
Securities shall be determined by the Holders of a majority of the Registrable Securities included
in the Underwritten Offering. In addition, in the case of any Underwritten Offering, each of the
Holders may withdraw their request to participate in the registration pursuant to Section 5.1, 5.2
or 5.3 after being advised of such price, discount and other terms and

27

 

shall not be required to enter into any agreements or documentation that would require
otherwise.

     Section 5.7 No Inconsistent Agreements; Additional Rights. The Company shall not
hereafter enter into, and is not currently a party to, any agreement with respect to its securities
which is inconsistent with the rights granted to the Holders of Registrable Securities by this
Agreement. Without the consent of the Qualifying Shareholders, the Company shall not enter into
any agreement granting registration or similar rights to any Person.

     Section 5.8 Registration Expenses. All expenses incident to the Company’s performance
of or compliance with this Agreement shall be paid by the Company, including (i) all registration
and filing fees, and any other fees and expenses associated with filings required to be made with
the SEC, the NASD or the NYSE, (ii) all fees and expenses in connection with compliance with any
securities or “Blue Sky” laws, (iii) all printing, duplicating, word processing, messenger,
telephone, facsimile and delivery expenses (including expenses of printing certificates for the
Registrable Securities in a form eligible for deposit with The Depository Trust Company and of
printing prospectuses), (iv) all fees and disbursements of counsel for the Company and of all
independent certified public accountants of the Company (including the expenses of any special
audit and cold comfort letters required by or incident to such performance), (v) Securities Act
liability insurance or similar insurance if the Company so desires or the underwriters so require
in accordance with then-customary underwriting practice, (vi) all fees and expenses incurred in
connection with the listing of the Registrable Securities on any securities exchange or quotation
of the Registrable Securities on any inter-dealer quotation system, (vii) all applicable rating
agency fees with respect to the Registrable Securities, (viii) all reasonable fees and
disbursements of one law firm or other counsel selected by the Holders of a majority of the
Registrable Securities being registered, (ix) all fees and expenses of any special experts or other
Persons retained by the Company in connection with any Registration, (x) all of the Company’s
internal expenses (including all salaries and expenses of its officers and employees performing
legal or accounting duties) and (xi) all expenses related to the “road-show” for any underwritten
offering, including all travel, meals and lodging. All such expenses are referred to herein as
“Registration Expenses.” The Company shall not be required to pay any fees and
disbursements to underwriters not customarily paid by the issuers of securities in a secondary
offering, including underwriting discounts and commissions and transfer taxes, if any, attributable
to the sale of Registrable Securities.

     Section 5.9 Indemnification.

          (a) Indemnification by the Company. The Company agrees to indemnify and hold
harmless, to the full extent permitted by law, each Holder of Registrable Securities, each member,
limited or general partner thereof, each member, limited or general partner of each such member,
limited or general partner, each of their respective Affiliates, officers, directors, shareholders,
employees, advisors, and agents and each Person who controls (within the meaning of the Securities
Act or the Exchange Act) such Persons and each of their respective Representatives from and against
any and all losses, penalties, judgments, suits, costs, claims, damages, liabilities and expenses,
joint or several (including reasonable costs of investigation and legal expenses) (each, a
“Loss” and collectively “Losses”) arising out of or based upon (i) any untrue or
alleged untrue statement of a material fact contained in any Registration Statement

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under which such Registrable Securities were Registered under the Securities Act (including
any final, preliminary or summary Prospectus contained therein or any amendment thereof or
supplement thereto or any documents incorporated by reference therein), or any other disclosure
document produced by or on behalf of the Company or any of its subsidiaries including, without
limitation, reports and other documents filed under the Exchange Act, (ii) any omission or alleged
omission to state therein a material fact required to be stated therein or necessary to make the
statements therein (in the case of a Prospectus or preliminary Prospectus, in light of the
circumstances under which they were made) not misleading or (iii) any actions or inactions or
proceedings in respect of the foregoing whether or not such indemnified party is a party thereto;
provided, however, that the Company shall not be liable to any particular
indemnified party (x) to the extent that any such Loss arises out of or is based upon an untrue
statement or alleged untrue statement or omission or alleged omission made in any such Registration
Statement or other document in reliance upon and in conformity with written information furnished
to the Company by such indemnified party expressly for use in the preparation thereof or (y) to the
extent that any such Loss arises out of or is based upon an untrue statement or omission in a
preliminary Prospectus relating to Registrable Securities, if a Prospectus (as then amended or
supplemented) that would have cured the defect was furnished to the indemnified party from whom the
Person asserting the claim giving rise to such Loss purchased Registrable Securities at least 5
days prior to the written confirmation of the sale of the Registrable Securities to such Person and
a copy of such Prospectus (as amended and supplemented) was not sent or given by or on behalf of
such indemnified party to such Person at or prior to the written confirmation of the sale of the
Registrable Securities to such Person. This indemnity shall be in addition to any liability the
Company may otherwise have. Such indemnity shall remain in full force and effect regardless of any
investigation made by or on behalf of such Holder or any indemnified party and shall survive the
transfer of such securities by such Holder. The Company shall also indemnify underwriters, selling
brokers, dealer managers and similar securities industry professionals participating in the
distribution, their officers and directors and each Person who controls such Persons (within the
meaning of the Securities Act and the Exchange Act) to the same extent as provided above with
respect to the indemnification of the indemnified parties.

          (b) Indemnification by the Selling Holder of Registrable Securities. Each selling
Holder of Registrable Securities agrees (severally and not jointly) to indemnify and hold harmless,
to the fullest extent permitted by law, the Company, its directors and officers and each Person who
controls the Company (within the meaning of the Securities Act or the Exchange Act) from and
against any Losses resulting from (i) any untrue statement of a material fact in any Registration
Statement under which such Registrable Securities were Registered under the Securities Act
(including any final, preliminary or summary Prospectus contained therein or any amendment thereof
or supplement thereto or any documents incorporated by reference therein), or (ii) any omission to
state therein a material fact required to be stated therein or necessary to make the statements
therein (in the case of a Prospectus or preliminary Prospectus, in light of the circumstances under
which they were made) not misleading, to the extent, but only to the extent, that such untrue
statement or omission is contained in any information furnished in writing by such selling holder
to the Company specifically for inclusion in such Registration Statement and has not been corrected
in a subsequent writing prior to or concurrently with the sale of the Registrable Securities to the
Person asserting the claim. In no event shall the liability of any selling Holder of Registrable
Securities hereunder be greater in amount than the dollar amount of the net proceeds received by
such Holder under the sale of Registrable Securities giving rise to

29

 

such indemnification obligation. The Company shall be entitled to receive indemnities from
underwriters, selling brokers, dealer managers and similar securities industry professionals
participating in the distribution, to the same extent as provided above with respect to information
furnished in writing by such Persons specifically for inclusion in any Prospectus or Registration
Statement.

          (c) Conduct of Indemnification Proceedings. Any Person entitled to indemnification
hereunder shall (i) give prompt written notice to the indemnifying party of any claim with respect
to which it seeks indemnification (provided that any delay or failure to so notify the
indemnifying party shall relieve the indemnifying party of its obligations hereunder only to the
extent, if at all, that it is actually and materially prejudiced by reason of such delay or
failure) and (ii) permit such indemnifying party to assume the defense of such claim with counsel
reasonably satisfactory to the indemnified party; provided, however, that any
Person entitled to indemnification hereunder shall have the right to select and employ separate
counsel and to participate in the defense of such claim, but the fees and expenses of such counsel
shall be at the expense of such Person unless (i) the indemnifying party has agreed in writing to
pay such fees or expenses, (ii) the indemnifying party shall have failed to assume the defense of
such claim within a reasonable time after receipt of notice of such claim from the Person entitled
to indemnification hereunder and employ counsel reasonably satisfactory to such Person, (iii) the
indemnified party has reasonably concluded (based upon advice of its counsel) that there may be
legal defenses available to it or other indemnified parties that are different from or in addition
to those available to the indemnifying party, or (iv) in the reasonable judgment of any such Person
(based upon advice of its counsel) a conflict of interest may exist between such Person and the
indemnifying party with respect to such claims (in which case, if the Person notifies the
indemnifying party in writing that such Person elects to employ separate counsel at the expense of
the indemnifying party, the indemnifying party shall not have the right to assume the defense of
such claim on behalf of such Person). If the indemnifying party assumes the defense, the
indemnifying party shall not have the right to settle such action without the consent of the
indemnified party. No indemnifying party shall consent to entry of any judgment or enter into any
settlement which does not include as an unconditional term thereof the giving by the claimant or
plaintiff to such indemnified party of an unconditional release from all liability in respect to
such claim or litigation. If such defense is not assumed by the indemnifying party, the
indemnifying party will not be subject to any liability for any settlement made without its prior
written consent, but such consent may not be unreasonably withheld. It is understood that the
indemnifying party or parties shall not, in connection with any proceeding or related proceedings
in the same jurisdiction, be liable for the reasonable fees, disbursements or other charges of more
than one separate firm admitted to practice in such jurisdiction at any one time unless (x) the
employment of more than one counsel has been authorized in writing by the indemnifying party or
parties, (y) an indemnified party has reasonably concluded (based on the advice of counsel) that
there may be legal defenses available to it that are different from or in addition to those
available to the other indemnified parties or (z) a conflict or potential conflict exists or may
exist (based upon advice of counsel to an indemnified party) between such indemnified party and the
other indemnified parties, in each of which cases the indemnifying party shall be obligated to pay
the reasonable fees and expenses of such additional counsel or counsels.

          (d) Contribution. If for any reason the indemnification provided for in paragraphs
(a) and (b) of this Section 5.9 is unavailable to an indemnified party or insufficient in

30

 

respect of any Losses referred to therein, then the indemnifying party shall contribute to the
amount paid or payable by the indemnified party as a result of such Loss (i) in such proportion as
is appropriate to reflect the relative fault of the indemnifying party on the one hand and the
indemnified party or parties on the other hand in connection with the acts, statements or omissions
that resulted in such losses, as well as any other relevant equitable considerations. In
connection with any Registration Statement filed with the SEC by the Company, the relative fault of
the indemnifying party on the one hand and the indemnified party on the other hand shall be
determined by reference to, among other things, whether any untrue or alleged untrue statement of a
material fact or the omission or alleged omission to state a material fact relates to information
supplied by the indemnifying party or by the indemnified party and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission.
The parties hereto agree that it would not be just or equitable if contribution pursuant to this
Section 5.9(d) were determined by pro rata allocation or by any other method of
allocation that does not take account of the equitable considerations referred to in the
immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any Person
who was not guilty of such fraudulent misrepresentation. The amount paid or payable by an
indemnified party as a result of the Losses referred to in Sections 5.9(a) and 5.9(b) shall be
deemed to include, subject to the limitations set forth above, any legal or other expenses
reasonably incurred by such indemnified party in connection with investigating or defending any
such action or claim. Notwithstanding the provisions of this Section 5.9(d), in connection with
any Registration Statement filed by the Company, a selling Holder of Registrable Securities shall
not be required to contribute any amount in excess of the dollar amount of the net proceeds
received by such holder under the sale of Registrable Securities giving rise to such contribution
obligation. If indemnification is available under this Section 5.9, the indemnifying parties shall
indemnify each indemnified party to the full extent provided in Sections 5.9(a) and 5.9(b) hereof
without regard to the provisions of this Section 5.9(c). The remedies provided for in this Section
5.9 are not exclusive and shall not limit any rights or remedies which may otherwise be available
to any indemnified party at law or in equity.

     Section 5.10 Rules 144 and 144A and Regulation S. The Company covenants that it will
file the reports required to be filed by it under the Securities Act and the Exchange Act and the
rules and regulations adopted by the SEC thereunder (or, if the Company is not required to file
such reports, it will, upon the request of any holder of Registrable Securities, make publicly
available such necessary information for so long as necessary to permit sales pursuant to Rules
144, 144A or Regulation S under the Securities Act), and it will take such further action as any
holder of Registrable Securities may reasonably request, all to the extent required from time to
time to enable such holder to sell Registrable Securities without Registration under the Securities
Act within the limitation of the exemptions provided by (i) Rules 144, 144A or Regulation S under
the Securities Act, as such Rules may be amended from time to time, or (ii) any similar rule or
regulation hereafter adopted by the SEC. Upon the request of any Holder of Registrable Securities,
the Company will deliver to such Holder a written statement as to whether it has complied with such
requirements and, if not, the specifics thereof.

     Section 5.11 Termination. The registration rights provided for in this Article V
shall terminate upon the expiration of the Shelf Period, except for the provisions of Sections 5.9
and 5.10, which shall survive any such termination.

31

 

ARTICLE VI

GENERAL PROVISIONS

     Section 6.1 Merger with Burger King. In the event of any merger, statutory share
exchange or other business combination of the Company with Burger King or any of Burger King’s
subsidiaries, (i) each of the Shareholders and Burger King (or, if different, the surviving entity
of the merger) shall execute a shareholders’ agreement with terms that are substantially
equivalent, in the view of each Shareholder, to this Agreement (including the registration rights
provided for in Article V hereof); provided that such shareholders’ agreement shall
terminate upon the same terms and conditions as provided herein, (ii) the Company shall distribute
any securities issued to the Company pursuant to such merger to the Shareholders pro
rata in accordance with their respective Ownership Interests, and (iii) the Company shall
cause any registration rights held by the Company in respect of any securities of Burger King (or,
if different, the surviving entity of the merger) distributed by the Company to be assigned to the
Shareholders pro rata in accordance with their respective Ownership Interests.

     Section 6.2 Waiver by Shareholders. The rights and obligations contained in this
Agreement are in addition to the relevant provisions of the Articles in force from time to time and
shall be construed to comply with such provisions. To the extent that this Agreement is determined
to be in contravention of the Articles, this Agreement shall constitute a waiver by each
Shareholder, to the fullest extent permissible under applicable laws, of any right such Shareholder
may have pursuant to the Articles that is inconsistent with this Agreement.

     Section 6.3 Assignment; Benefit.

          (a) The rights and obligations hereunder shall not be assignable without the prior written
consent of the other parties hereto except as provided under Article IV. Any assignment of rights
or obligations in violation of this Section 6.3 shall be null and void.

          (b) This Agreement shall be binding upon and shall inure to the benefit of the parties hereto,
and their respective successors and permitted assigns, and there shall be no third-party
beneficiaries to this Agreement other than the indemnitees under Section 5.9.

     Section 6.4 Freedom to Pursue Opportunities. The parties expressly acknowledge and
agree that: (i) each Shareholder, Sponsor Director and Affiliated Officer of the Company has the
right to, and shall have no duty (contractual or otherwise) not to, directly or indirectly engage
in the same or similar business activities or lines of business as the Company or Burger King,
including those deemed to be competing with the Company or Burger King; and (ii) in the event that
a Shareholder, Sponsor Director or Affiliated Officer of the Company acquires knowledge of a
potential transaction or matter that may be a corporate opportunity for both the Company or Burger
King and such Shareholder or any other person, the Shareholder, Sponsor Director and Affiliated
Officer of the Company shall have no duty (contractual or otherwise) to communicate or present such
corporate opportunity to the Company or Burger King, as the case may be, and, notwithstanding any
provision of this Agreement to the contrary, shall not be liable to the Company or Burger King or
their respective Affiliates or Shareholders for breach of any duty (contractual or otherwise) by
reason of the fact that such Shareholder, Sponsor Director or

32

 

Affiliated Officer, directly or indirectly, pursues or acquires such opportunity for itself,
directs such opportunity to another person, or does not present such opportunity to the Company or
Burger King.

     Section 6.5 Termination.

          (a) Article III of this Agreement shall terminate as set forth in such Article. Article IV of
this Agreement shall terminate as set forth in Section 4.6. Article V of this Agreement shall
terminate as set forth in Section 5.11. The remainder of this Agreement shall terminate after each
Shareholder shall have transferred all Company Shares owned by it.

          (b) Upon termination of this Agreement, unless otherwise agreed, the parties hereto shall take
all Necessary Action to amend the Articles to remove any provisions that are in such documents
solely due to the existence of this Agreement.

     Section 6.6 Severability. In the event that any provision of this Agreement shall be
invalid, illegal or unenforceable such provision shall be construed by limiting it so as to be
valid, legal and enforceable to the maximum extent provided by law and the validity, legality and
enforceability of the remaining provisions shall not in any way be affected or impaired thereby.

     Section 6.7 Entire Agreement; Amendment. (a) This Agreement sets forth the entire
understanding and agreement between the parties with respect to the transactions contemplated
herein and supersedes and replaces any prior understanding, agreement or statement of intent, in
each case written or oral, of any kind and every nature with respect hereto. No provision of this
Agreement may be amended, modified or waived in whole or in part at any time without an agreement
in writing executed by each of the parties hereto. There are no other agreements between any
Shareholders or any of their Affiliates relating to the Company.

          (b) No waiver of any breach of any of the terms of this Agreement shall be effective unless
such waiver is expressly made in writing and executed and delivered by the party against whom such
waiver is claimed. The waiver by any party hereto of a breach of any provision of this Agreement
shall not operate or be construed as a further or continuing waiver of such breach or as a waiver
of any other or subsequent breach. Except as otherwise expressly provided herein, no failure on
the part of any party to exercise, and no delay in exercising, any right, power or remedy
hereunder, or otherwise available in respect hereof at law or in equity, shall operate as a waiver
thereof, nor shall any single or partial exercise of such right, power or remedy by such party
preclude any other or further exercise thereof or the exercise of any other right, power or remedy.

     Section 6.8 Counterparts. This Agreement may be executed in any number of separate
counterparts each of which when so executed shall be deemed to be an original and all of which
together shall constitute one and the same agreement.

     Section 6.9 Notices. Unless otherwise specified herein, all notices, consents,
approvals, reports, designations, requests, waivers, elections and other communications authorized
or required to be given pursuant to this Agreement shall be in writing and shall be given, made or
delivered (and shall be deemed to have been duly given, made or delivered upon receipt) by personal
hand-delivery, by facsimile transmission, by electronic mail, by mailing the

33

 

same in a sealed envelope, registered first-class mail, postage prepaid, return receipt
requested, or by air courier guaranteeing overnight delivery, addressed to the Shareholder at the
following addresses (or at such other address for a Shareholder as shall be specified by like
notice):

     if to TPG, to:

			
	               	 	Texas Pacific Group

301 Commerce Street

Suite 3300

Fort Worth, Texas 76102

Attention: Richard A. Ekleberry, Esq.

Telephone: 817-871-4080

Fax: 817-871-4088

E-mail: rekleberry@texpac.com

with a copy (which shall not constitute notice) to:

Cleary, Gottlieb, Steen & Hamilton

One Liberty Plaza

New York, NY 10006

Attention: Michael L. Ryan, Esq.

                  Michael A. Gerstenzang, Esq.

Telephone: 212-225-2000

Fax: 212-225-3999

E-mail: mryan@cgsh.com

             mgerstenzang@cgsh.com

     if to Goldman, to:

			
	               	 	GS Private Equity Partners

c/o Goldman Sachs & Co.

85 Broad Street

New York, NY 10004

Attention: Adrian Jones

                  Ben Adler

Telephone: 212-902-1000

Fax: 212-902-3000

E-mail: Adrian.Jones@gs.com

             Ben.Adler@gs.com

34

 

     with a copy to:

			
	               	 	GS Private Equity Partners

c/o Goldman, Sachs & Co.

32 Old Slip, 9th Floor

New York, NY 10005

Attention: Jennifer Barbetta

Telephone: (212) 902-1000

E-mail: peg-reporting@gs.com

with a copy (which shall not constitute notice) to:

Fried, Frank, Harris, Shriver & Jacobson

One New York Plaza

New York, NY 10004

Attention: Christopher Ewan

Telephone: (212) 859-8000

Fax: (212) 859-4000

E-mail: ewanch@ffhsj.com

     if to Bain:

			
	               	 	Bain

c/o Bain Capital Partners, LLC

111 Huntington Avenue

Boston, MA 02199

Attention: Phil Loughlin

Telephone: 617-516-2000

Fax: 617-516-2010

E-mail: ploughlin@baincapital.com

with a copy (which shall not constitute notice) to:

Ropes & Gray LLP

One International Place

Boston, MA 02110

Attention: R. Newcomb Stillwell, Esq.

Telephone: 617-951-7000

Fax: 617-951-7050

E-mail: nstillwell@ropesgray.com

35

 

     if to the Company or Burger King:

			
	               	 	Burger King Holdings Inc.

5505 Blue Lagoon Drive

Miami, FL 33126

Attention: Anne Chwat, General Counsel

Telephone: 305-378-3000

Fax: 305-378-7112

E-mail: achwat@whopper.com

     Section 6.10 Independent Auditers; Books and Records; Inspection.

          (a) The books of account and records of the Company shall be audited as of the end of each
fiscal year by a firm of independent public accountants selected by the Board of Directors.

          (b) The books and records of the Company shall be available for inspection by the Shareholders
at the principal office and place of business of the Company.

          (c) The Company shall use reasonable efforts to cause each Shareholder to receive, within a
reasonable time after the close of each fiscal year and quarter, the financial statements for such
fiscal year and quarter and such other information as may be reasonably requested by a Shareholder
or as is otherwise required by law.

          (d) The Shareholders shall have the right to receive audited annual consolidated financial
statements of the Company and such other information as may be reasonably requested by a
Shareholder relating to the Company or Burger King which the Company is permitted to disclose.

     Section 6.11 Governing Law. THIS AGREEMENT AND ANY RELATED DISPUTE SHALL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE.

     Section 6.12 Jurisdiction. ANY ACTION OR PROCEEDING AGAINST THE PARTIES RELATING IN
ANY WAY TO THIS AGREEMENT MAY BE BROUGHT EXCLUSIVELY IN THE COURTS OF THE STATE OF DELAWARE OR (TO
THE EXTENT SUBJECT MATTER JURISDICTION EXISTS THEREFORE) THE UNITED STATES DISTRICT COURT FOR THE
DISTRICT OF DELAWARE, AND THE PARTIES IRREVOCABLY SUBMIT TO THE JURISDICTION OF BOTH SUCH COURTS IN
RESPECT OF ANY SUCH ACTION OR PROCEEDING. ANY ACTIONS OR PROCEEDINGS TO ENFORCE A JUDGMENT ISSUED
BY ONE OF THE FOREGOING COURTS MAY BE ENFORCED IN ANY JURISDICTION.

     Section 6.13 Waiver of Jury Trial. TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW
THAT CANNOT BE WAIVED, EACH SHAREHOLDER WAIVES, AND COVENANTS THAT SUCH PARTY WILL NOT ASSERT
(WHETHER AS PLAINTIFF, DEFENDANT OR OTHERWISE), ANY RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT
OF ANY ISSUE, CLAIM OR PROCEEDING ARISING OUT OF THIS

36

 

AGREEMENT OR THE SUBJECT MATTER HEREOF OR IN ANY WAY CONNECTED WITH THE DEALINGS OF ANY
SHAREHOLDER OR THE COMPANY IN CONNECTION WITH ANY OF THE ABOVE, IN EACH CASE WHETHER NOW EXISTING
OR HEREAFTER ARISING AND WHETHER IN CONTRACT, TORT OR OTHERWISE. The Company or any Shareholder
may file an original counterpart or a copy of this Section 6.13 with any court as written evidence
of the consent of the Members to the waiver of their rights to trial by jury.

     Section 6.14 Specific Performance. It is hereby agreed and acknowledged that it will
be impossible to measure in money the damages that would be suffered if the parties fail to comply
with any of the obligations herein imposed on them by this Agreement and that, in the event of any
such failure, an aggrieved party will be irreparably damaged and will not have an adequate remedy
at law. Any such party shall, therefore, be entitled (in addition to any other remedy to which
such party may be entitled at law or in equity) to injunctive relief, including specific
performance, to enforce such obligations, without the posting of any bond, and if any action should
be brought in equity to enforce any of the provisions of this Agreement, none of the parties hereto
shall raise the defense that there is an adequate remedy at law.

     Section 6.15 Burger King Liability. Burger King agrees that it shall be jointly and
severally liable with the Company with respect to all of the Company’s payment and other
obligations hereunder, including any payments for any breach by the Company of the provisions
hereof and any indemnification obligations hereunder.

     Section 6.16 Subsequent Acquisition of Shares. Any securities of the Company acquired
subsequent to the date hereof by a Shareholder shall be subject to the terms and conditions of this
Agreement and such shares shall be considered to be “Company Shares” as such term is used herein
for purposes of this Agreement.

37

 

     IN WITNESS WHEREOF, the parties have duly executed this Agreement as of the day and year first
above written.

	 	 	 	 	 
	 	BURGER KING HOLDINGS, INC.

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

38

 

	 	 	 	 	 

	 	 	 	 	 
	 	BURGER KING CORPORATION

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

39

 

	 	 	 	 	 

	 	 	 	 	 
	 	TPG BK HOLDCO LLC

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

40

 

	 	 	 	 	 

	 	 	 	 	 
	 	BAIN CAPITAL INTEGRAL INVESTORS, LLC

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 

	 
	 	 BAIN CAPITAL VII COINVESTMENT FUND, LLC

BY: Bain Capital VII Coinvestment Fund, L.P.

its Sole Member

 	 
	 	 	 
	 	BY: Bain Capital Partners VII, L.P.

its General Partner

 	 
	 	 	 
	 	BY: Bain Capital Investors, LLC

its General Partner

 	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 
	 
	 	BCIP TCV, LLC

BY: Bain Capital Investors, LLC

 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

41

 

	 	 	 	 	 

	 	 	 	 	 
	 	GS CAPITAL PARTNERS 2000, L.P.

BY: GS Advisors 2000, L.L.C.

its General Partner

 	 
	 	 	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 	 	 
	 	 	 
	 
	 	GS CAPITAL PARTNERS 2000 OFFSHORE, L.P.

BY: GS Advisors 2000, L.L.C.

its General Partner

 	 
	 	 	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	 	 
	 	GS CAPITAL PARTNERS 2000 GmbH& CO.

BETEILIGUNGS KG

BY: Goldman Sachs Management GP GmbH

its General Partner

 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	 	 
	 	 	 
	 	GS CAPITAL PARTNERS 2000 EMPLOYEE FUND, L.P.

BY: GS Employee Funds 2000 GP, L.L.C.

its General Partner

 	 
	 	 	 
	 	 	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

42

 

	 	 	 	 	 

	 	 	 	 	 
	 	BRIDGE STREET SPECIAL 

OPPORTUNITIES FUND 2000, L.P.

BY: Bridge Street Special Opportunities 2000,

L.L.C.

its General Partner

 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	 	 
	 	 	 
	 	STONE STREET FUND 2000, L.P.

BY: Stone Street 2000, L.L.C.

its General Partner

 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	 	 
	 	 	 
	 	GOLDMAN SACHS DIRECT INVESTMENT FUND 2000, L.P.

BY: GS Employee Funds 2000 GP, L.L.C.

its General Partner

 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 	 	 
	 	 	 
	 
	 	GS PRIVATE EQUITY PARTNERS 2000, L.P.

BY: GS PEP 2000 Advisors, L.L.C.

its General Partner

 	 
	 
	 	BY: GSAM Gen-Par, L.L.C.

its Managing Partner

 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

43

 

	 	 	 	 	 
	 	GS PRIVATE EQUITY PARTNERS 2000 OFFSHORE

HOLDINGS, L.P.

BY: GS PEP 2000 Offshore Holdings Advisors, Inc.

its General Partner

 	 
	 	 	 
	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 
	 
	 
	 	GS PRIVATE EQUITY PARTNERS 2000 —

DIRECT INVESTMENT FUND, L.P.

 	 
	 
	 	BY: GS PEP 2000 Direct Investment Advisors,

L.L.C.

its General Partner

 	 
	 
	 	BY: GSAM Gen-Par, L.L.C.

its Managing Partner

 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

44Special Management Restricted Unit Agreement

 

EXHIBIT 10.16

SPECIAL MANAGEMENT

RESTRICTED UNIT AGREEMENT

     THIS SPECIAL MANAGEMENT RESTRICTED UNIT AGREEMENT (as it may be amended and in effect from
time to time in accordance with the terms hereof, the “Agreement”), dated as December 1,
2003, is made by and among Burger King Holdings, Inc., a Delaware corporation (or any Successor
thereto, the “Company”), Burger King Corporation, a Florida corporation (or any Successor
thereto, “Burger King”), and the individual whose name appears on the signature page hereof
(the “Grantee”).

W I T N E S S E T H:

     WHEREAS, the Board has adopted the Burger King Holdings, Inc. Equity Incentive Plan (as the
same may be amended and in effect from time to time, the “Equity Incentive Plan”) pursuant
to which the Company may grant awards with respect to the Common Stock to select key employees of
the Company Group and members of the Board who are serving as independent directors to motivate
such participants to continue in the service of the Company Group and to perform their duties and
responsibilities to the best of their professional ability by aligning the interests of
participants with those of the shareholders of the Company in increasing shareholder value;

     WHEREAS, concurrent with the execution of this Agreement, Burger King and the Grantee are
entering into and executing an Employment Agreement, dated as of the date hereof (as the same may
be amended from time to time, the “Employment Agreement”), pursuant to which Burger King
has agreed that the Grantee shall receive a special award of restricted units covering shares of
Common Stock under the Equity Incentive Plan;

     WHEREAS, the Board has authorized the Company to grant to the Grantee the number of restricted
units set forth on the signature page hereof (each, a “Restricted Unit” and, collectively,
the “Restricted Units”) in satisfaction of the obligations of Burger King under the
Employment Agreement; and

     WHEREAS, the Company, Burger King and the Grantee desire to enter into this Agreement to
evidence and confirm the grant of the Restricted Units to the Grantee on the terms and subject to
the conditions set forth herein.

 

 

     NOW, THEREFORE, to evidence the grant of the Restricted Units described herein to the Grantee,
and to set forth the terms and conditions governing such Restricted Units, the Company, Burger King
and the Grantee hereby agree as follows:

ARTICLE I

CERTAIN DEFINITIONS

     Section 1.1 Certain Definitions. As used in the Agreement, the following terms shall
have the following meanings.

     “Board” means the Board of Directors of the Company.

     “Burger King” has the meaning assigned thereto in the preamble to this Agreement.

     “Cause” means the Grantee’s (i) material breach of any provision of this Agreement or
the Employment Agreement; (ii) failure to reasonably and substantially perform his duties under the
Employment Agreement (other than as a result of physical or mental illness or injury); (iii)
willful misconduct or gross negligence that has caused or is reasonably expected to result in
material injury to the business, reputation or prospects of the Company or any of its Affiliates;
(iv) fraud or misappropriation of funds; or (v) commission of a felony or other serious crime
involving moral turpitude. If, subsequent to the Grantee’s termination of employment Without
Cause, it is determined in good faith by the Board that the Grantee’s employment could have been
terminated for Cause, the Grantee’s employment shall, at the election of the Board, be deemed to
have been terminated for Cause, effective as of the date the events giving rise to Cause occurred.

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

     “Committee” means the committee of the Board designated by the Board to administer the
Equity Incentive Plan or, at any time that no committee has been designated, the Board.

     “Common Stock” means the common stock of the Company, par value $0.01 per share, or
any equity securities into or for which such common stock may be converted or exchanged in
connection with an Adjustment Event.

     “Company” has the meaning assigned thereto in the preamble to this Agreement.

     “Company Group” means, collectively, Burger King, its direct and indirect Subsidiaries
and any Affiliate of Burger King specifically designated as a member of the Company Group by the
Committee.

     “Disability” means (i) a physical or mental condition entitling the Grantee to
benefits under the long-term disability policy of the Company Group covering the

2

 

Grantee or (ii) in
the absence of any such plan, a physical or mental condition of the Grantee rendering him unable to
perform his duties for the Company Group for a period of six (6) consecutive months or longer,
provided that if the Grantee is party to an employment agreement with a member of the Company Group
at the time of his termination of employment and such agreement
contains a different definition of “disability” (or any derivation thereof), the definition in such employment agreement will
control for purposes of this Agreement. The Grantee’s employment shall be deemed to have
terminated as a result of Disability on the date as of which he is first entitled to receive
disability benefits under such policy or the date the Committee determines the Grantee has become
disabled under the foregoing clause (ii), subject to any disability provisions of the Grantee’s
employment agreement.

     “Employment Agreement” has the meaning assigned thereto in the preamble to this
Agreement.

     “Equity Incentive Plan” has the meaning assigned thereto in the preamble to this
Agreement.

     “Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended.

     “Good Reason” means the Grantee’s Termination of Active Service by reason of the
Grantee’s resignation from his employment with the Company Group within 30 days following the
occurrence, without the Grantee’s consent, of any of the following events: (i) a material
diminution in the Grantee’s position, authority or responsibilities as Chief Human Resources
Officer of Burger King; (ii) a material decrease in the Grantee’s base pay or incentive
compensation opportunities or (iii) any other material breach by Burger King of a material
provision of the Employment Agreement; provided that the Grantee shall have given Burger
King notice of the event or events constituting Good Reason and Burger King shall have failed to
cure such event or events within 30 business days after receipt of such notice.

     “Grant Date” means the Commencement Date, as such term is defined in the Employment
Agreement, which shall constitute the effective date on which the Restricted Units evidenced hereby
are granted to the Grantee, as provided in Article II.

     “Initial Public Offering” or “IPO” means the effective date of a registration
statement (other than a registration statement on Form S-4 or S-B, or any successor form) filed in
connection with a registered public offering of equity securities of the Company following which at
least 15% of the equity securities of the Company have been publicly distributed or sold or are
being actively traded on a national securities exchange or quoted on an interdealer quotation
system.

     “Lock-Up Period” means the 20 days prior and the 180 days (or such longer period as
the applicable underwriters may specify) following the effective date of any

3

 

registration statement
filed by the Company or Burger King in connection with an underwritten public offering of any
capital stock of the Company or Burger King.

     “Management Shareholders Agreement” means a management subscription and shareholders’
agreement entered or to be entered into by the Company, Burger King and the Grantee, as the same
may be amended and in effect from time to time, setting forth the terms and conditions applicable
to any shares of Common Stock acquired by the Grantee prior to an Initial Public Offering,
including any shares of Common Stock received in settlement of Restricted Units granted under the Equity Incentive Plan, which
agreement shall be in such form as the Committee shall approve.

     “Market Value” means, as of the applicable date of determination, the fair market
value of a share of Common Stock, as determined by the Board, in good faith, based on such factors
as the Board deems appropriate; provided that, following an Initial Public Offering, the
Market Value of a share of Common Stock shall be the closing price for a share (or the average of
the last bid and ask prices for a Share, if applicable) on the last trading day prior to the day as
of which Market Value is determined on the principal securities exchange on which the Common Stock
is then listed for trading or the principal interdealer quotation system on which the Common Stock
is then quoted for trading (or, if the Common Stock is not traded or quoted on such day, on the
last day the Common Stock is traded on such exchange or quoted on such interdealer system).

     “Post-IPO Settlement Date” has the meaning assigned thereto in Section 4.2.

     “Restricted Unit” has the meaning assigned thereto in the preamble to this Agreement.
Each Restricted Unit provides the Grantee the right to receive one Settlement Share (subject to
adjustment in accordance with the Equity Incentive Plan and this Agreement) on the terms and
subject to the conditions in this Agreement and the Equity Incentive Plan.

     “Retirement” means the Grantee’s Termination of Active Service at or after the later
of (i) his 65th birthday and (ii) his completion of five years of employment with the Company
Group.

     “Securities Act” means the U.S. Securities Act of 1933, as amended.

     “Settlement Share” means a share of Common Stock to be transferred to the Grantee in
settlement of a Vested Restricted Unit granted hereunder, subject to all applicable terms and
conditions of, and as may be adjusted in accordance with, this Agreement and the Equity Incentive
Plan.

     “Termination of Active Service” means the termination of the Grantee’s active
employment with the Company Group for any reason, including the Grantee’s resignation, death,
Disability or Retirement or termination by the member of the Company Group that employs the Grantee
Without Cause or for Cause.

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     “Termination Date” means the date of the Grantee’s Termination of Active Service.

     “Transfer” means any direct or indirect transfer, sale, exchange, assignment, pledge,
hypothecation, gift, testamentary transfer or other encumbrance or other disposition of any
interest, including the grant of an option or other right in respect of such interest, whether
directly or indirectly, whether voluntarily, involuntarily or by operation of law; and
“Transferred”, “Transferee” and “Transferability” shall each have a
correlative meaning.

     “Vested” means, with respect to a Restricted Unit and the Settlement Share covered
thereby, that the Grantee’s right to receive one Settlement Share in settlement of such Restricted
Unit in accordance with the Equity Incentive Plan and Article III is no longer subject to
forfeiture, other than in connection with a Termination of the Active Service of the Grantee for
Cause; provided that (x) the Grantee’s right to Transfer Settlement Shares may continue to be
subject to restriction during any period prior to an Initial Public Offering and (y) the Grantee
shall not be permitted to Transfer any Settlement Shares during any Lock-Up Period. The terms
“Vesting”, “Vest” and other derivations of the term vested shall have correlative meanings.

     “Vesting Date” means, with respect to a Restricted Unit, the date specified in Section
3.3 of this Agreement as of which the Grantee’s rights in respect of such Restricted Unit become
Vested.

     “Without Cause” means the Grantee’s Termination of Active Service by the member of the
Company Group that employs the Grantee, other than any such termination by such member of the
Company Group for Cause or due to the Grantee’s death, Disability or Retirement.

     Section 1.2 Other Capitalized Terms. All capitalized terms used herein and not
defined shall have the meanings set forth in the Equity Incentive Plan.

     Section 1.3 Other Interpretive Provisions.

     (a) The meanings of defined terms are equally applicable to the singular and plural forms of
the defined terms.

     (b) The words “hereof”, “herein”, “hereunder” and similar words refer
to this Agreement as a whole and not to any particular provision of this Agreement; and any
subsection and Section references are to this Agreement unless otherwise specified.

     (c) The term “including” is not limiting and means “including without
limitation.”

     (d) The captions and headings of this Agreement are for convenience of reference only and
shall not affect the interpretation of this Agreement.

5

 

     (e) Whenever the context requires, any pronouns used herein shall include the corresponding
masculine, feminine or neuter forms.

ARTICLE II

CONFIRMATION OF GRANT OF RESTRICTED UNITS

     The Company hereby evidences and confirms its grant to the Grantee, effective as of the Grant
Date, of the number of Restricted Units set forth on the signature page hereof, each such
Restricted Unit providing the Grantee the right to receive one Settlement Share, on and subject to
the terms and conditions of, and as may be adjusted in accordance with, this Agreement and the Equity Incentive Plan. This Agreement is
subordinate to, and the terms and conditions of the Restricted Units granted hereunder and the
Settlement Shares are subject to, the terms and conditions of the Equity Incentive Plan. If there
is any inconsistency between the terms hereof and the terms of the Equity Incentive Plan, the terms
of the Equity Incentive Plan shall govern.

ARTICLE III

VESTING OF RESTRICTED UNITS

     Section 3.1 Vesting Schedule. The Restricted Units shall become Vested in one lump
sum on the second anniversary of the Grant Date provided that the Grantee continues in the active
employment of the Company Group from the Grant Date to the second anniversary thereof

     Section 3.2 Discretion. The Committee may accelerate the Vesting or exercisability of
any Restricted Unit, all Restricted Units or any class of Restricted Units, at any time and from
time to time.

ARTICLE IV

SETTLEMENT OF RESTRICTED UNITS; TERMINATION OF SERVICE

     Section 4.1 Settlement Prior to an IPO. Prior to an IPO, Restricted Units shall be
settled, to the extent Vested on and as of the Grantee’s Termination Date, following the Grantee’s
Termination of Active Service and any then outstanding Restricted Units that are not Vested shall
be immediately forfeited and shall terminate and expire on and as of such Termination Date. As
soon as reasonably practicable following the Grantee’s Termination of Active Service as of a
Termination Date that occurs prior to an Initial Public Offering, subject to Sections 4.3, 4.4, 4.5
and 4.6, the Company shall transfer to the Grantee, in fill and complete satisfaction of all of the
obligations of the Company and the Company Group and the rights of the Grantee in respect of all of
the Restricted Units granted hereunder, a stock certificate, registered in the name of the Grantee,
for a number

6

 

of Settlement Shares equal to the number of such Restricted Units that are Vested and
outstanding on and as of the Grantee’s Termination Date.

     Section 4.2 Settlement From and After an IPO. From and after an IPO, Restricted
Units, to the extent Vested on the Post-IPO Settlement Date, shall be settled following such date
and any then outstanding Restricted Units that are not Vested shall be immediately forfeited and
shall terminate and expire on and as of the Post-IPO Settlement Date. As soon as reasonably
practicable following the Post-IPO Settlement Date, subject to Sections 4.4, 4.5 and 4.6, the
Company shall transfer to the Grantee, in full and complete satisfaction of all of the obligations
of the Company and the Company Group and the rights of the Grantee in respect of all Restricted
Units granted hereunder, a stock certificate, registered in the name of the Grantee, for a number
of Settlement Shares equal to the number of Restricted Units that are Vested and outstanding on and
as of the Post-IPO Settlement Date.

     For purposes of this Section 4.2, the term “Post-IPO Settlement Date” means the earlier of (i)
in the event of the Grantee’s Termination of Active Service as of a Termination Date that occurs on
or after an IPO, the Termination Date and (ii) the later of (x) the date all of the Restricted
Units granted hereunder become Vested and (y) the expiration of any Lock-Up Period applicable to an
Initial Public Offering.

     Section 4.3 Conditions to Settlement Prior to an IPO; Repurchase of Settlement Shares.
On or before the transfer of any Settlement Shares in settlement of Vested Restricted Units prior
to an Initial Public Offering and as a condition to the Grantee’s right to receive any Settlement
Shares or other consideration in settlement thereof, the Company and the Grantee shall enter into
(or shall have previously entered into) a Management Shareholders Agreement with respect to the
Settlement Shares to be transferred upon such settlement, which shall provide, among other things,
for restrictions on Transfer of the Settlement Shares and the right of the Company to repurchase
Settlement Shares on election by the Company or to require the Grantee to sell the Settlement
Shares in the event of certain sales of Common Stock by the other shareholders of the Company.

     Section 4.4 Termination for Cause. Notwithstanding any other provision herein, in the
event of the Grantee’s Termination of Active Service for Cause, all of the Restricted Units granted
hereunder (whether or not then Vested) shall terminate and be canceled and forfeited automatically
and immediately upon the delivery of written notice of such termination to the Grantee without the
Transfer of any Settlement Shares or payment of any other consideration to the Grantee.

     Section 4.5 Condition to Settlement; Satisfaction of Withholding Taxes. (a) In
General. Whenever Settlement Shares are to be issued and Transferred to the Grantee in settlement
of Vested Restricted Units, the Company may require the Grantee to remit to the Company an amount
in cash sufficient to satisfy any applicable U.S. federal, state and

7

 

local and non-U.S. tax
withholding requirements as a condition to the issuance and Transfer of such Settlement Shares.

     (b) Alternative Methods to Satisfy Withholding Taxes. The Grantee may pay up to the minimum
statutory tax withholding amount due in respect of any settlement of Vested Restricted Units either
(i) in cash, by certified check, bank cashier’s check or wire transfer or (ii) subject to the prior
written approval of the Committee, (x) in shares of Common Stock that have been owned by the
Grantee on an unconditional basis for at least six months prior to the effective date of settlement
or (y) by requesting the Company withhold Settlement Shares that would otherwise be issued and
Transferred to the Grantee in connection with such settlement of Vested Restricted Units; provided
that the aggregate amount of such cash, the Market Value of any shares of Common Stock tendered
and/or the Market Value of any Settlement Shares withheld, in either case, as of the date of
settlement of the Restricted Units, is equal to the full minimum statutory tax withholding amount
payable by the Grantee in connection with such settlement.

     (c) Conditions: Holding Period and Committee Approval. The Grantee’s right to tender
previously owned shares of Common Stock or to have the Company
withhold Settlement Shares that would otherwise be issued and Transferred to the Grantee in
settlement of any Vested Restricted Units, in any such case, to satisfy all or any portion of the
Grantee’s minimum statutory tax withholding obligations is subject to the following conditions.

     (i) The Grantee’s receipt of the prior written approval of the Committee, which
approval may be withheld for any reason or no reason and may be withheld from the Grantee
without regard to the Committee’s treatment of other requests. The Committee’s approval
with respect to the settlement of any Vested Restricted Units of the Grantee at one time
will not constitute approval with respect to settlement of any other Vested Restricted
Units of the Grantee.

     (ii) Previously owned shares of Common Stock may be tendered only if the Grantee has
owned such shares on an unconditional basis for at least six months prior to the date of
his request to the Committee to tender such shares.

     (iii) No tax amount in excess of the minimum amount required to be withheld by the
Company Group under the applicable statutory tax provisions then in effect may be satisfied
by the Grantee by tendering previously owned shares and/or having Settlement Shares
withheld.

     (d) Grantee’s Request for Approval. If the Grantee wishes to satisfy all or any portion of
his minimum statutory tax withholding obligations with respect to the settlement of his Vested
Restricted Units hereunder (i) by tendering shares of Common Stock that have been owned by the
Grantee for at least six months prior to the effective date of settlement and/or (ii) by having the
Company withhold Settlement Shares that would otherwise be issued and Transferred upon such
settlement, the Grantee shall

8

 

submit a written request to the Committee prior to any proposed date
for settlement of Vested Restricted Units hereunder for the Committee’s approval to tender such
shares and/or have such Settlement Shares withheld, as the case may be. Such written request shall
(i) specify the percentage or dollar amount of such minimum statutory tax withholding that the
Grantee wishes to satisfy by tendering previously owned shares of Common Stock and/or having
Settlement Shares withheld, as the case may be, (ii) include the Grantee’s representation to the
effect that, as of the date of such request, the Grantee has unconditionally owned any shares of
Common Stock that he proposes to tender for at least six months and (iii) include such supporting
documentation or other evidence as the Committee may request to evidence the Grantee’s
unconditional ownership of any such shares of Common Stock as of the date of such request and for
the six month period preceding such date.

     (e) Payment in Shares. Any payment in satisfaction of minimum statutory withholding taxes to
be made in shares of Common Stock shall be effected by delivery by the Grantee of the
certificate(s) for such shares to the Vice President of Total Rewards of the Company, duly endorsed
in blank or accompanied by stock powers duly executed in blank, together with any other documents
and evidences as the Vice President of Total Rewards of the Company shall require from time to
time.

     (f) Value of Tendered/Withheld Shares. Any shares of Common Stock tendered or Settlement
Shares withheld to satisfy the Grantee’s minimum statutory tax withholding obligations will be
valued at the Market Value of such shares on the effective date of the corresponding settlement of
Vested Restricted Units.

     Section 4.6 Discretionary Termination or Settlement of Restricted Units pursuant to the
Equity Incentive Plan. Notwithstanding any other provision of this Agreement, all or any
portion of the Restricted Units may be terminated or otherwise settled upon or in connection with a
Change in Control in accordance with the Equity Incentive Plan.

ARTICLE V

NO TRANSFER OF RESTRICTED UNITS

     Section 5.1 Restrictions on Transfer. During the Grantee’s lifetime, the Grantee may
not Transfer any Restricted Units or any rights in respect thereof. Transfer of Settlement Shares
transferred to the Grantee in settlement of Restricted Units will be subject to the Management
Shareholders Agreement. Upon the death of the Grantee, all of the Restricted Units that are Vested
as of the Grantee’s date of death will be settled by transfer of Settlement Shares to the executors
or administrators of the Grantee’s estate or to any person or persons who shall have acquired the
right to receive a transfer of such Settlement Shares by will or by the laws of descent and
distribution. No such Transfer to any executor or administrator of the Grantee’s estate or to any
person or persons by will or the laws of descent and distribution shall be effective to bind the
Company unless the

9

 

Committee shall have been furnished with (a) written notice thereof and with a
copy of the will and/or such evidence as the Committee may deem necessary to establish the validity
of the Transfer and (b) the written agreement of the Transferee (x) to comply with all the terms
and conditions applicable to the Vested Restricted Units and any Settlement Shares transferred in
settlement of such Vested Restricted Units that are or would have been applicable to the Grantee
and (y) to enter into a Management Shareholders Agreement as a condition to the Transfer of any
Settlement Shares in settlement of Vested Restricted Units.

     Section 5.2 Share Certificates. Certificates for Settlement Shares Transferred to the
Grantee in settlement of Vested Restricted Units prior to an Initial Public Offering shall bear
such legends as the Committee shall determine, including the following:

“THE TRANSFERABILITY OF THIS CERTIFICATE AND THE SHARES OF STOCK REPRESENTED HEREBY
ARE SUBJECT TO THE RESTRICTIONS, TERMS AND CONDITIONS (INCLUDING FORFEITURE
PROVISIONS, RESTRICTIONS AGAINST TRANSFER AND REPURCHASE RIGHTS) CONTAINED IN THE
BURGER KING HOLDINGS, INC. EQUITY INCENTIVE PLAN AND A MANAGEMENT SUBSCRIPTION AND
SHAREHOLDERS AGREEMENT ENTERED INTO BETWEEN THE REGISTERED OWNER OF SUCH SHARES,
BURGER KING CORPORATION AND BURGER KING HOLDINGS, INC. COPIES OF THE PLAN AND AGREEMENT ARE ON FILE IN THE OFFICE OF THE SECRETARY OF BURGER
KING HOLDINGS, INC., AT [ADDRESS].

THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR
QUALIFIED UNDER ANY STATE OR NON-U.S. SECURITIES LAWS AND MAY NOT BE TRANSFERRED,
SOLD, PLEDGED, HYPOTHECATED OR OTHERWISE DISPOSED OF UNLESS (I)(A) SUCH DISPOSITION IS
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, (B) THE HOLDER HEREOF SHALL HAVE DELIVERED TO THE COMPANY AN OPINION OF
COUNSEL, WHICH OPINION AND COUNSEL SHALL BE REASONABLY SATISFACTORY TO THE COMPANY, TO
THE EFFECT THAT SUCH DISPOSITION IS EXEMPT FROM THE PROVISIONS OF SECTION 5 OF SUCH
ACT OR (C) A NO-ACTION LETTER FROM THE SECURITIES AND EXCHANGE COMMISSION, REASONABLY
SATISFACTORY TO COUNSEL FOR THE COMPANY, SHALL HAVE BEEN OBTAINED WITH RESPECT TO SUCH
DISPOSITION AND (II) SUCH DISPOSITION IS PURSUANT TO REGISTRATION UNDER ANY APPLICABLE
STATE AND NON-U.S. SECURITIES LAWS OR AN EXEMPTION THEREFROM.”

10

 

ARTICLE VI

GRANTEE’S REPRESENTATIONS, WARRANTIES AND COVENANTS

     Section 6.1 Investment Intention. The Grantee represents and warrants that the
Restricted Units have been, and any Settlement Shares will be, acquired by him solely for the
Grantee’s own account for investment and not with a view to or for sale in connection with any
distribution thereof. The Grantee agrees that the Grantee will not, directly or indirectly,
Transfer or otherwise dispose of all or any of the Restricted Units or any of the Settlement Shares
(or solicit any offers to buy, purchase or otherwise acquire or take a pledge of all or any of the
Restricted Units or any of the Settlement Shares), except, in the case of the Settlement Shares, in
compliance with the Securities Act and the rules and regulations of the Commission thereunder, and
in compliance with applicable state securities or “blue sky” laws and non-U.S. securities laws.
The Grantee further understands, acknowledges and agrees that none of the Settlement Shares may be
Transferred or otherwise disposed of unless the provisions of the related Management Shareholders
Agreement shall have been complied with or have expired.

     Section 6.2 Securities Law Matters. The Grantee acknowledges receipt of advice from
the Company that (i) the Settlement Shares have not been registered under the Securities Act or
qualified under any state securities or “blue sky” or non-U.S. securities laws, (ii) it is not
anticipated that there will be any public market for the Settlement Shares, (iii) the Settlement
Shares must be held indefinitely and the Grantee must continue to bear the economic risk of the investment in the Settlement Shares unless the
Settlement Shares are subsequently registered under the Securities Act and such state laws or an
exemption from registration is available, (iv) Rule 144 is not presently available with respect to
sales of securities of the Company and the Company has made no covenant to the Grantee to make Rule
144 available, (v) when and if the Settlement Shares may be disposed of without registration in
reliance upon Rule 144, such disposition can be made only in limited amounts in accordance with the
terms and conditions of such Rule, (vi) the Company does not plan to file reports with the
Commission or make public information concerning the Company available, (vii) if the exemption
afforded by Rule 144 is not available, sales of the Settlement Shares may be difficult to effect
because of the absence of public information concerning the Company and a public market for
securities of the Company, (viii) a restrictive legend in the form heretofore set forth shall be
placed on the certificates representing the Settlement Shares and (ix) a notation shall be made in
the appropriate records of the Company indicating that the Settlement Shares are subject to
restrictions on transfer set forth in this Agreement and the Management Shareholders Agreement and,
if the Company should in the future engage the services of a stock transfer agent, appropriate
stop-transfer restrictions will be issued to such transfer agent with respect to the Settlement
Shares.

     Section 6.3 Ability to Bear Risk. The Grantee covenants that (i) the financial
situation of the Grantee is such that the Grantee can afford to bear the economic risk of holding
the Restricted Units and Settlement Shares for an indefinite period and (ii) the

11

 

Grantee can afford
to suffer the complete loss of the Grantee’s investment in the Restricted Units and Settlement
Shares.

     Section 6.4 Restrictions on Sale upon Public Offering. The Grantee agrees that, in
the event that the Company or Burger King files a registration statement under the Securities Act
with respect to an underwritten public offering of any shares of its capital stock, the Grantee
will not effect any public sale or distribution of any shares of Common Stock, including but not
limited to, pursuant to Rule 144 or Rule 144A under the Securities Act, during the 20 days prior to
and the 180 days (or such longer period as may be specified by the underwriters) after the
effective date of such registration statement. The Grantee further understands and acknowledges
that any sale, transfer or other disposition of the Settlement Shares by him following a public
offering will be subject to compliance with, and may be limited under, the federal securities laws
and/or state “blue sky” and/or non-U.S. securities laws.

     Section 6.5 Section 83(b) Election. The Grantee agrees that, within 20 days following
the date on which any Vested Restricted Units are settled by Transfer to the Grantee of Settlement
Shares that occurs prior to an Initial Public Offering, the Grantee shall give notice to the
Company as to whether the Grantee has made or intends to make an election pursuant to Section 83(b)
of the Code with respect to the Settlement Shares so Transferred on such date, and acknowledges
that the Grantee will be solely responsible for any and all U.S., state, local and non-U.S. income
and other tax liabilities payable by the Grantee in connection with the settlement of any
Restricted Units or the Transfer or receipt of any Settlement Shares or attributable to the
Grantee’s making or falling to make such an election.

     Section 6.6 Withholding. Whenever Settlement Shares are to be issued or any other
consideration is to be paid on settlement of Vested Restricted Units or otherwise, the Company may
require the Grantee to remit to the Company an amount in cash sufficient to satisfy applicable U.S.
federal, state and local and non-U.S. tax withholding requirements as a condition to the issuance
of such Settlement Shares or payment of other consideration.

ARTICLE VII

CAPITAL ADJUSTMENTS

     If the event of any change in the number, class or type of shares of Common Stock outstanding
or other change in the capitalization of the Company by reason of an Adjustment Event, the
Committee may make such adjustments as it determines are appropriate to the number of Restricted
Units and/or Settlement Shares and/or the class or type of shares of capital stock or other equity
securities covered by then outstanding Restricted Units.

12

 

     In the event of any adjustment to the class or type of shares or other equity securities
subject to outstanding Restricted Units or Settlement Shares, references herein will be deemed to
refer to such different class or type of shares of capital stock or other equity securities.

ARTICLE VIII

MISCELLANEOUS

     Section 8.1 Notices. Unless otherwise specified herein, all notices, consents,
approvals, reports, designations, requests, waivers, elections and other communications authorized
or required to be given pursuant to this Agreement shall be in writing and shall be given, made or
delivered (and shall be deemed to have been duly given, made or delivered upon receipt) by personal
hand-delivery, by facsimile transmission, by electronic mail, by mailing the same in a sealed
envelope, registered first-class mail, postage prepaid, return receipt requested, or by air courier
guaranteeing overnight delivery, addressed to the parties at the following addresses (or at such
other address for the parties as shall be specified by like notice):

     if to the Company:

			
	                    	 	Burger King Holdings, Inc.

301 Commerce Street

Suite 3300

Fort Worth, Texas 76102

Attention: Richard A. Ekleberry, Esq.

Telephone: 817-871-4080

Fax: 817-871-4088

E-mail: rekleberry@texpac.com

     with a copy (which shall not constitute notice) to:

			
	                    	 	Cleary, Gottlieb, Steen & Hamilton

One Liberty Plaza

New York, NY 10006

Attention: Michael L. Ryan, Esq.

                 Michael A. Gerstenzang, Esq.

Telephone: 212-225-2000

Fax: 212-225-3999

E-mail: mryan@cgsh.com

             mgerstenzang@cgsh.com

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     if to Burger King:

			
	                    	 	Burger King Corporation

One Whopper Way

Miami, FL 33126

Attention: Executive Vice President-Human Resources

                  General Counsel

Telephone:  305-378-7515

                    305-378-7213

Fax:             305-378-7112

                    305-378-3330

E-mail: eromero@whopper.eom

     if to the Grantee, to the address set forth on the signature page hereof.

     Section 8.2 No Rights as Stockholder. The Grantee shall have no voting or other
rights as a stockholder of the Company with respect to any Settlement Shares covered by the
Restricted Units until the settlement of the Restricted Units and the issuance of a certificate or
certificates to the Grantee for such Settlement Shares. No adjustment shall be made for dividends
or other rights for which the record date is prior to the issuance of such certificate or
certificates.

     Section 8.3 Binding Effect; Benefits. This Agreement shall be binding upon and inure
to the benefit of the parties to this Agreement and their respective successors and assigns.
Nothing in this Agreement, express or implied, is intended or shall be construed to give any person
other than the parties to this Agreement or their respective successors or assigns any legal or
equitable right, remedy or claim under or in respect of any agreement or any provision contained
herein.

     Section 8.4 Waiver; Amendment.

     (a) Waiver. Any party hereto may by written notice to the other parties (A) extend the time
for the performance of any of the obligations or other actions of the other parties under this
Agreement, (B) waive compliance with any of the conditions or covenants of the other parties
contained in this Agreement and (C) waive or modify performance of any of the obligations of the
other parties under this Agreement. Except
as provided in the preceding sentence, no action taken pursuant to this Agreement, including,
without limitation, any investigation by or on behalf of any party, shall be deemed to constitute a
waiver by the party taking such action of compliance with any representations, warranties,
covenants or agreements contained herein. The waiver by any party hereto of a breach of any
provision of this Agreement shall not operate or be construed as a waiver of any preceding or
succeeding breach and no failure by a party to exercise any right or privilege hereunder shall be
deemed a waiver of such party’s rights or privileges hereunder or shall be deemed a waiver or such
party’s or beneficiary’s rights to exercise the same at any subsequent time or times hereunder.

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     (b) Amendment. This Agreement may not be amended, modified or supplemented orally, but only
by a written instrument executed by the Grantee, the Company and Burger King.

     Section 8.5 Assignability. Neither this Agreement nor any right, remedy, obligation
or liability arising hereunder or by reason hereof shall be assignable by the Company, Burger King
or the Grantee without the prior written consent of the other parties.

     Section 8.6 Governing Law. THIS AGREEMENT AND ANY RELATED DISPUTE SHALL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE.

     Section 8.7 Jurisdiction. ANY ACTION OR PROCEEDING AGAINST THE PARTIES RELATING IN
ANY WAY TO THIS AGREEMENT MAY BE BROUGHT EXCLUSIVELY IN THE COURTS OF THE STATE OF FLORIDA (TO THE
EXTENT SUBJECT MATTER JURISDICTION EXISTS THEREFORE) THE UNITED STATES DISTRICT COURT FOR THE
DISTRICT OF FLORIDA, AND THE PARTIES IRREVOCABLY SUBMIT TO THE JURISDICTION OF BOTH SUCH COURTS IN
RESPECT OF ANY SUCH ACTION OR PROCEEDING. ANY ACTIONS OR PROCEEDINGS TO ENFORCE A JUDGMENT ISSUED
BY ONE OF THE FOREGOING COURTS MAY BE ENFORCED IN ANY JURISDICTION.

     Section 8.8 Waiver of Jury Trial. TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW THAT
CANNOT BE WAIVED, THE GRANTEE WAIVES, AND COVENANTS THAT THE GRANTEE WILL NOT ASSERT (WHETHER AS
PLAINTIFF, DEFENDANT OR OTHERWISE), ANY RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT OF ANY
ISSUE, CLAIM OR PROCEEDING ARISING OUT OF THIS AGREEMENT OR THE SUBJECT MATTER HEREOF OR IN ANY WAY
CONNECTED WITH THE DEALINGS OF THE GRANTEE, THE COMPANY OR BURGER KING IN CONNECTION WITH ANY OF
THE ABOVE, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING AND WHETHER IN CONTRACT, TORT OR
OTHERWISE. The Company and Burger King may file an original counterpart or a copy of this Section
9.8 with any court as written evidence of the consent of the Grantee to the waiver of his right to
trial by jury.

     Section 8.9 Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original and all of which together shall
constitute one and the same instrument.

     Section 8.10 Grantee’s Acknowledgement. The Grantee hereby acknowledges receipt of a
copy of the Equity Incentive Plan. The Grantee hereby acknowledges that all decisions,
determinations and interpretations of the Committee in respect of this Agreement, the Equity
Incentive Plan and the Management Shareholders Agreement shall be final and conclusive.

15

 

     Section 8.11 Severability. The provisions in this Agreement are severable and if any
provision is determined to be prohibited or unenforceable in any jurisdiction, the remaining
provisions shall nevertheless be binding and enforceable.

     IN WITNESS WHEREOF, the Company, Burger King and the Grantee have executed this Agreement as
of the date first above written.

	 	 	 	 	 
	 	BURGER KING HOLDINGS, INC.

 	 
	 	By:  	/s/ Elsie Romero
 	 
	 	 	Name:  	Elsie Romero 	 
	 	 	Title:  	Vice President,
Corporate Counsel 	 
	 
	 	BURGER KING CORPORATION

 	 
	 	By:  	/s/ Elsie Romero
 	 
	 	 	Name:  	Elsie Romero 	 
	 	 	Title:  	Vice President,
Corporate Counsel 	 
	 
	 	THE GRANTEE

 	 
	 	By:  	/s/ Peter Smith
 	 
	Number of Restricted Units: 400 	 	Peter Smith 	 
	 	 	 	 
	 

	 	 	 
	ADDRESS:

	 	4528 Prairie Avenue
	 

	 	Miami Beach, Florida 33140

16

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