Document:

mcz-ex101_6.htm

 

Exhibit 10.1

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

FIRST AMENDMENT TO THAT CERTAIN HARMONIX ROCK BAND 4
MANUFACTURING, PUBLISHING AND DISTRIBUTION AGREEMENT

This First Amendment (“First Amendment”) to that certain agreement entitled “Harmonix Rock Band 4 Manufacturing, Publishing and Distribution Agreement and Software Publishing and Distribution Agreement,” dated October 14, 2015 and effective as of March 4, 2015 (the “Agreement”), is entered into as of this 26th day of April, 2016 (the “Amendment Effective Date”), by and between HARMONIX MUSIC SYSTEMS, INC., a Delaware corporation, with offices at 40 Broad Street, 7th Floor, Boston, MA 02109 (“Harmonix”) on the one hand, and MAD CATZ INTERACTIVE, INC., an Ontario corporation, and MAD CATZ, INC., a Delaware corporation, both with offices at 10680 Treena Street, Suite 500, San Diego, California 92131 (collectively, “Company”) on the other hand.  Harmonix and Company are each referred to as a “Party” and collectively referred to as the “Parties” herein.  Capitalized terms used, but not defined herein, shall have the meanings ascribed to them in the Agreement.

WHEREAS, under Section 8 of the Agreement, Harmonix has various rights to terminate the Agreement;

WHEREAS, the exclusive obligations set forth in Section 2 of the Agreement became non-exclusive no later than January 31, 2016; and

WHEREAS, effective as of the Amendment Effective Date, the Parties agree that the Agreement shall be amended pursuant to Section 12.8 of the Agreement as more fully described herein;

NOW, THEREFORE, in consideration of the promises and mutual covenants herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

	
 
	
1.
	
[***], Company shall pay to Harmonix [***] pursuant to Section 6.1.2.B. set forth below and as consideration for entering into this First Amendment.
	
 

	
 
	
2.
	
Section 1 of the Agreement is hereby amended by adding the following definitions:
	
 

“Amendment Effective Date” means April 26, 2016.”

“Minimum Quantities” means the Minimum Launch Quantities and Minimum Black Friday Quantities.”

	
 
	
3.
	
Section 2 of the Agreement is hereby amended by adding the following as a new Section 2.6.9: 
	
 

“2.6.9. Licensed Products Restrictions.  Company acknowledges and agrees that notwithstanding anything in this Agreement to the contrary: (i) the rights granted under this Agreement apply solely to the specific Licensed Products that exist and have been approved by Harmonix on or prior to the Amendment Effective Date and not any other products or Bundles, except that the Licensed Products may include Guitar straps and Guitar pick guards once such products are approved in writing by Harmonix, (ii) as of the Amendment Effective Date, Company shall have no rights to create, manufacture, distribute and sell any new types of Licensed Products under this Agreement, (iii) Company shall have no right to manufacture any additional Licensed Products beyond what exists as on-hand inventory as of the Amendment Effective Date, provided that Company may package finished goods that exist as of the Amendment Effective Date, pursuant to the terms of this Agreement, (iv) as of the Amendment Effective Date, Company had the on-hand inventory set forth on Schedule 4 attached hereto, (v) any on-hand inventory of Licensed Products located in [***] as of the Amendment Effective Date may only be sold within [***] and may not be used to fulfill any orders outside of [***] (the “[***] Restriction”), and (vi) as of the Amendment Effective Date, Company shall only sell Licensed Software as part of a Band in the Box Bundle or Guitar Bundle, and shall not sell Stand-Alone Licensed Software or Dongle Bundles.”

	
 
	
4.
	
Schedule 4 of this Amendment is hereby added and incorporated into the Agreement as Schedule 4 thereto.
	
 

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

STG_669559.1

 

 

	
 
	
5.
	
Section 2.7.1.1 of the Agreement is hereby deleted and removed in its entirety. 
	
 

	
 
	
6.
	
Effective as of February 5, 2016, Darren Richardson is replaced with Karen McGinnis as the Company’s primary interface with Harmonix in Section 4.2.9 of the Agreement.
	
 

	
 
	
7.
	
Section 4.3.5 of the Agreement is hereby amended and supplemented with the following:
	
 

“Notwithstanding the above, the Company agrees that, without Harmonix’s prior written consent, the Company shall not sell in [***] (i) any Band in the Box Bundle below a wholesale price of $[***] per Bundle or (ii) any Guitar Bundle below a wholesale price of $[***] per Bundle.  The Company may, however, sell in [***] up to [***] total refurbished or reconditioned Band in the Box Bundles and/or Guitar Bundles, considered collectively, at a price below the authorized wholesale prices set by this Section 4.3.5 for new Bundles, respectively, and without Harmonix’s prior written consent.”

	
 
	
8.
	
Section 6 of the Agreement is hereby amended as follows:
	
 

		
	
Section 6.1.2
	
The first sentence of Section 6.1.2 is hereby deleted and removed in its entirety and replaced with the following:

“Subject to Sections 2.6.9, 4.3.5 and 6.2, Forty-Five (45) days after the end of each calendar month in which Licensed Software was sold, Company shall pay to Harmonix a royalty of (i) $[***] for Licensed Software sold outside a Bundle, (ii) $[***] for Licensed Software sold in a Dongle Bundle, (iii) $[***] for Licensed Software sold in any other Bundle as part of the Minimum Quantities, (iv) $[***] for Licensed Software sold in [***] on or after the Amendment Effective Date that is beyond the Minimum Quantities, and (v) $[***] for Licensed Software sold outside of [***] on or after the Amendment Effective Date (subject to the [***] Restriction).  For the avoidance of doubt, any Licensed Products sold shall first be counted towards the Minimum Quantities, as applicable.” 

	
Section 6.1.2.B. 
	
Section 6.1.2.B. is hereby deleted and removed in its entirety and replaced with the following:

“For [***] Bundles and the [***]Stand-Alone Licensed Software included in the Minimum [***] Quantities, Company shall pay Harmonix [***], representing [***]% of the Software Royalty for such Bundles (calculated as [***]) and Licensed Software (calculated as [***]), on the following payment schedule:  

(i)On or before the [***]: $[***];

(ii)On the [***]: $[***];

(iii)Beginning on the [***]and continuing on or before each [***]:

(a) $[***]; or

(b) [***].”

	
 
	
9.
	
Section 8 of the Agreement is hereby amended as follows:
	
 

		
	
Section 8.4
	
Section 8.4 is hereby deleted and removed in its entirety and replaced with the following:

“8.4 Termination for Convenience. In addition to any other rights Harmonix has to terminate this Agreement, at any time during the Term, Harmonix may, in its sole and absolute discretion, terminate this Agreement for any reason upon three (3) business days’ notice to Company.” 

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

2

STG_669559.1

 

 

		
	
Section 8.5
	
Section 8.5 is hereby deleted and removed in its entirety and replaced with the following:

“8.5 Effect of Termination.  Except as explicitly provided for during the Wind-Down Period, if any, set forth in Section 8.6 below, upon any termination or expiration of this Agreement, (a) all rights and licenses granted to Company shall terminate, (b) any and all payments due or to become due including, without limitation, any 

Royalties, shall be immediately due and payable and (c) Company shall no longer manufacture, advertise, distribute or sell the Licensed Products or any product which may infringe upon Harmonix’s proprietary rights, including without limitation, the Harmonix Intellectual Property, or use any name, logo or design which is substantially or confusingly similar to the Harmonix Designs on any product in any place whatsoever.  In the event of such termination or expiration, Company shall promptly deliver to Harmonix a statement indicating the on hand inventory of finished Licensed Products.  Harmonix shall have the right to conduct a physical inventory in order to ascertain or verify such inventory and statement.  Except as provided for during the Wind-Down Period, if any, set forth in Section 8.6 below, such inventory shall at Harmonix’s option, be destroyed by Company, at Company’s cost, or purchased by Harmonix at [***] for such Licensed Products.  Disposition pursuant to a sale by Company to Harmonix of any plates, molds, forms, lithographs or other materials relating to the Licensed Products shall be subject to notice from Harmonix to Company to deliver same to Harmonix or its designee.”  

	
Section 8.6
	
Section 8.6 is hereby deleted and removed in its entirety and replaced with the following:

“8.6 Wind-Down Period.  Upon expiration of this Agreement or termination for convenience by Harmonix pursuant to Section 8.4, Company may continue to sell Licensed Products, previously manufactured and on hand in Company’s inventory as of the effective date of expiration, on a non-exclusive basis for a maximum period of One Hundred Twenty (120) days following the effective date of such expiration (“Wind-Down Period”), subject to all of the terms and conditions contained in this Agreement, including, without limitation, Company’s obligations to continue to remit Royalties to Harmonix under this Agreement (including, but not limited to, the Royalties set forth in Section 6.1.2.B, to the extent unpaid), provided, however that (a) the Licensed Products shall be sold in the ordinary course of business at prices not lower than the prevailing wholesale price or prices charged by Company during the 60-day period immediately preceding the expiration of this Agreement and in any event no lower than the thresholds set forth in Section 4.3.5 and (b) no new Licensed Products are manufactured during the Wind-Down Period. Upon the occurrence of any of the events set forth in Section 8.2, including, but not limited to, Company’s failure to make a Royalty payment, Company’s breach of Section 4.3.5, or any other material breach by Company, in each case that is not cured by Company within [***] days, the Wind-Down Period shall immediately terminate.  Upon the expiration or termination of the Wind-Down Period, the terms of Section 8.5 shall govern. Company acknowledges and agrees that nothing herein shall be deemed to restrict or limit Harmonix’s rights in and to the Harmonix Intellectual Property during the Wind-Down Period, including, without limitation, the right to enter into any agreements with third parties in connection with the manufacture and distribution of peripherals, controllers and other devices for use with the Licensed Software.”

	
Section 8.7
	
The following is added as a new Section 8.7 of the Agreement:

“The Parties acknowledge and agree that, notwithstanding any term or provision of this Agreement to the contrary, the rights and licenses granted to Company under this Agreement are personal to the Company and within the scope of 11 U.S.C. section 365(c)(1) and 11 U.S.C. section 365(e)(2), and may not be assumed or assigned by Company, and may be terminated by Harmonix, in any bankruptcy or similar proceeding of Company, and any purported assumption or assignment by Company, and any change of control of Company, including without limitation through the appointment of a trustee or similar representative for Company, shall result in an automatic termination of this Agreement and all rights of Company hereunder and thereunder.”

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

3

STG_669559.1

 

 

	
 
	
10.
	
Effective as of February 5, 2016, the Company’s notice addresses and contact information are replaced with the following: 
	
 

“Company: Mad Catz Interactive, Inc.

Attention: Karen McGinnis

Address: 10680 Treena Street, Suite 500

San Diego, California 92131

Telephone: 858-790-5008

Telecopy: 858-790-5018

Email: kmcginnis@madcatz.com

 

With a copy to:

 

Company: Mad Catz, Inc.

Attention: Tyson Marshall

Address: 10680 Treena Street, Suite 500

San Diego, California 92131

Telephone: 858-790-5008

Telecopy: 858-790-5018

Email: tmarshall@madcatz.com”

	
 
	
11.
	
No Waiver. This First Amendment shall not be construed as a waiver by Harmonix of any rights, claims, remedies, or defenses under or in respect of the Agreement or applicable law, and does not constitute any election among rights or remedies.  Harmonix reserves all rights, claims, remedies, and defenses it may have under the Agreement or applicable law, and all elections among rights and remedies, with respect to any matter.
	
 

	
 
	
12.
	
Miscellaneous. The Parties agree that this First Amendment will be fully incorporated into the Agreement and, except as specifically provided for in this First Amendment, all of the terms and conditions of the Agreement shall remain in full force and effect.  This First Amendment may be executed in one or more counterparts and by facsimile or electronic copy, each of which, when executed, shall be deemed to be an original, but all of which when taken together shall constitute one and the same agreement.
	
 

 

[Signature page follows]

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

4

STG_669559.1

 

 

IN WITNESS WHEREOF, the Parties have caused this First Amendment to be executed and delivered by their duly authorized officers as of the Amendment Effective Date.

					
	
HARMONIX MUSIC SYSTEMS, INC.
	
 
	
 
	
MAD CATZ INTERACTIVE, INC.

	
 
	
 
	
 
	
 
	
 

	
By:
	
/s/ Steve Janiak
	
 
	
By:
	
/s/ Karen McGinnis

	
 
	
 
	
 
	
 
	
 

	
Name:
	
Steve Janiak
	
 
	
Name:
	
Karen McGinnis

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 

	
Title:
	
CEO
	
 
	
Title:
	
President & CEO

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
MAD CATZ, INC.

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
By:
	
/s/ Karen McGinnis

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Name:
	
Karen McGinnis

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Title:
	
President & CEO

	
 
	
 
	
 
	
 
	
 

 

 

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

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STG_669559.1

 

Schedule 4

[***]

CERTAIN INFORMATION INDICATED BY [***] HAS BEEN DELETED FROM THIS EXHIBIT AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT UNDER RULE 24B-2.

STG_669559.1EX-4.1

 Exhibit 4.1 
  

 
 ASHLAND INC. 

INDUCEMENT RESTRICTED STOCK AWARD AGREEMENT 
  

			
	Name of Grantee:	  	Mary Meixelsperger
		
	 Total Number of Shares
 of Restricted
Stock:
	  	4,500
		
	Vesting Schedule:	  	Subject to the terms and conditions of this Agreement and subject to the Grantee’s continuous employment with Ashland or its Subsidiaries through the applicable vesting date, 25% of the Award shall vest on the second
anniversary of the Grant Date and the remainder shall vest on the third anniversary of the Grant Date
		
	Grant Date:	  	June     , 2016

 As an inducement material to the decision by the grantee listed above (the “Grantee”) to accept employment
with Ashland Inc., a Kentucky corporation (“Ashland”), as the Chief Financial Officer for Valvoline, and pursuant to that certain letter agreement entered into by and between the Grantee and Ashland, dated as of May 31, 2016,
Ashland hereby awards to the Grantee 4,500 shares of Ashland Common Stock, par value $0.01 per share, subject to certain restrictions specified herein (the “Restricted Stock”). This award of Restricted Stock (the
“Award”) is subject to all of the terms and conditions set forth in this Inducement Restricted Stock Award Agreement (this “Agreement”). 

TERMS AND CONDITIONS OF AWARD  

ARTICLE I. 
 GENERAL

 1.1. Non-Plan Grant; Incorporation of Certain Terms of Plan. The Award is made and granted as a stand-alone award, separate and apart from,
and outside of, the Amended and Restated 2015 Ashland Inc. Incentive Plan (the “Plan”), and shall not constitute an award granted under or pursuant to the Plan. However, except as otherwise expressly stated herein, the Award is
governed by terms and conditions identical to those of the Plan (including Section 14 (Adjustments Upon Changes in Capitalization) and Section 16(h) (Forfeiture Provision)), which are incorporated herein by reference. In the event of any
conflict between the terms and conditions of this Agreement and the terms and conditions of the Plan, the terms and conditions of this Agreement shall govern. Capitalized terms used herein and not otherwise defined shall have the meanings set forth
in the Plan. 
 1.2. Employment Inducement Grant. The Award is intended to constitute an “employment inducement award” under Rule 303A.08
of the New York Stock Exchange Listed 

 

 
 Company Manual, and consequently is intended to be exempt from the New York Stock Exchange rules regarding shareholder
approval of equity compensation plans. This Agreement and the terms and conditions of the Award shall be interpreted in accordance and consistent with such exemption. 

ARTICLE II. 
 TERMS AND
CONDITIONS OF RESTRICTED STOCK 
 2.1. Grant of Restricted Stock. Upon the terms and conditions set forth in this Agreement, effective as of the
Grant Date set forth above, Ashland hereby grants to the Grantee the Award in consideration of the Grantee’s future services and for other good and valuable consideration. The shares of Restricted Stock shall be fully paid and nonassessable. In
consideration of this Award, the Grantee agrees to render faithful and efficient services to Ashland and its Subsidiaries. The Award shall be evidenced by entry on the books of Ashland’s transfer agent. If any certificate is issued, the Grantee
shall be required to execute and deliver to Ashland a stock power provided by Ashland relating to the shares of Restricted Stock, as a condition to the receipt of the Award. Only whole shares of Common Stock shall be issued pursuant to this
Agreement, and any fractional shares shall be canceled for no consideration. Each entry in respect of shares of Restricted Stock shall be designated in the name of the Grantee and shall bear the following legend: 

“The transferability of this certificate and the shares of stock represented hereby are subject to the terms and conditions (including forfeitures)
contained in the Inducement Restricted Stock Award Agreement entered into between the registered owner and Ashland Inc.” 
 2.2. Vesting of
Restricted Stock. The shares of Restricted Stock shall vest and become nonforfeitable, if at all, in accordance with the vesting schedule set forth above and the terms and conditions of this Agreement. The shares of Restricted Stock may not be
sold, assigned, transferred, pledged, or otherwise encumbered (except to the extent such shares shall have vested) until the applicable vesting dates. The Award (and any shares of Common Stock that become vested hereunder) shall be subject to the
requirements of Ashland’s stock ownership guidelines. Notwithstanding the foregoing, the P&C Committee may, in its sole discretion, provide for accelerated vesting of the Award at any time and for any reason. 

2.3. Forfeiture of Restricted Stock. If the Grantee’s employment with Ashland and its Subsidiaries terminates for any reason prior to a vesting
date, all shares of Restricted Stock that have not become vested on or prior to the date of such termination of employment shall be forfeited automatically and canceled for no consideration without further action by Ashland or the Grantee.
Notwithstanding the foregoing, if the Transaction (as defined below) is not consummated within 18 months following the commencement of the Grantee’s employment with Ashland or its Subsidiaries (the “Start Date”) and the
Grantee, at her election, chooses to terminate her employment within 60 days following such 18-month anniversary of the Start Date, then the Grantee shall be paid an amount in cash equal to the product of (1) the Fair 

  
 -2- 

 

 
 Market Value of Common Stock as of the Grant Date and (2) the number of shares of Restricted Stock that are forfeited
on the date of such termination of employment (excluding any additional shares of Restricted Stock credited to the Grantee pursuant to Section 2.4 of this Agreement), less applicable withholdings. Any cash payment pursuant to the immediately
preceding sentence shall be made within 30 days after the date of termination of the Grantee’s employment, without interest. 
 2.4. Dividends on
Restricted Stock. While the shares of Restricted Stock granted under this Award remain unvested, on each date that cash dividends are paid to holders of Common Stock, Ashland shall credit the Grantee with a whole number of additional shares of
Restricted Stock on the unvested portion of the Award, determined as the quotient of (1) the product of (A) the number of unvested shares of Restricted Stock held by the Grantee as of the date of record for such dividend multiplied by
(B) the per share cash dividend amount, divided by (2) the Fair Market Value of Common Stock on the dividend payment date (with all fractional shares, if any, resulting from such calculation being cancelled as of such date for no
consideration). Such additional shares of Restricted Stock shall be subject to the same vesting conditions and restrictions as the underlying Restricted Stock. 

2.5. Rights as Shareholder. Except as otherwise provided in this Agreement, the Grantee shall have all rights of a shareholder with respect to the
shares of Restricted Stock. 
 2.6. Change in Control. Notwithstanding any provision of Section 12(A) of the Plan to the contrary, the Award
shall be treated as follows in the event of a Change in Control prior to an applicable vesting date and while the Grantee remains employed by Ashland or its Subsidiaries: 

2.6.1. If the Award is assumed, continued, converted or replaced by the surviving or resulting entity in connection with the Change in Control, then the Award
shall continue to vest subject to the Grantee’s continued employment with Ashland or its Subsidiaries through the applicable vesting date; provided that any outstanding unvested shares of Restricted Stock shall immediately vest upon the
termination of the Grantee’s employment by Ashland without “Cause” (as defined below), and not as a result of the Grantee’s Disability or death, during the one-year period commencing on the date of the Change in Control. For
purposes of this Agreement, “Cause” shall mean (i) the willful and continued failure of the Grantee to substantially perform her duties with Ashland or its Subsidiaries (other than such failure resulting from the Grantee’s
incapacity due to physical or mental illness), (ii) willful engaging by the Grantee in gross misconduct materially injurious to Ashland or its Subsidiaries, or (iii) the Grantee’s conviction of or the entering of a plea of nolo
contendre (or similar plea under the law of a jurisdiction outside the United States) to the commission of a felony (or a similar crime or offense under the law of a jurisdiction outside the United States). 

2.6.2. If the Award is not assumed, continued, converted or replaced by the surviving or resulting entity in connection with the Change in Control, then any
outstanding unvested shares of Restricted Stock subject to the Award shall immediately vest upon the date of the Change in Control. 

  
 -3- 

 

 
 For purposes of this Agreement, the Award shall not be considered to be assumed, continued, converted or replaced by the
surviving or resulting entity in connection with the Change in Control unless (i) the Award is adjusted to prevent dilution of the Grantee’s rights hereunder as a result of the Change in Control, and (ii) immediately after the Change
in Control, the Award relates to shares of stock in the surviving or resulting entity which are publicly traded and listed on a national securities exchange, in each case as determined by the P&C Committee in its sole discretion prior to such
Change in Control. 
 For the avoidance of doubt, the transaction, or series of transactions, initially approved by the Ashland Board of Directors on
September 16, 2015, intended to separate the Valvoline business from Ashland’s specialty chemical businesses and create two independent, publicly traded companies (the “Transaction”), shall not constitute a “Change in
Control” for purposes of this Award. It is anticipated that the Award will be converted into shares of Restricted Stock of Valvoline in connection with the Transaction, in accordance with Section 14 of the Plan (Adjustments Upon Changes in
Capitalization), in which case, all references to Ashland in this Agreement shall become references to Valvoline, unless the context clearly requires otherwise. 

ARTICLE III. 
 GRANTEE
COVENANTS 
 3.1. Grantee Covenants. In consideration of this Award, the Grantee agrees that, without the written consent of Ashland, the Grantee
shall not (i) engage directly or indirectly in any manner or capacity as principal, agent, partner, officer, director, employee or otherwise in any business or activity competitive with the business conducted by Ashland or any of its
Subsidiaries; or (ii) perform any act or engage in any activity that is detrimental to the best interests of Ashland or any of its Subsidiaries, including, without limitation, (aa) solicit or encourage any existing or former employee, director,
contractor, consultant, customer or supplier of Ashland or any of its Subsidiaries to terminate his, her or its relationship with Ashland or any of its Subsidiaries for any reason, or (bb) disclose proprietary or confidential information of Ashland
or any of its Subsidiaries to third parties or use any such proprietary or confidential information for the benefit of anyone other than Ashland and its Subsidiaries (the “Grantee Covenants”); provided, however, that
section (ii) above shall not be breached in the event that (x) the Grantee discloses proprietary or confidential information to the Securities and Exchange Commission to the extent necessary to report suspected or actual violations of U.S.
securities laws, or (y) the Grantee’s disclosure of proprietary or confidential information is protected under the whistleblower provisions of any applicable law or regulation. The Grantee understands that if she makes a disclosure of
proprietary or confidential information that is covered by sub-clauses (x) and (y) above, she is not required to inform Ashland, in advance or otherwise, that such disclosure has been made. 

Notwithstanding any other provision this Agreement to the contrary, but subject to any applicable laws to the contrary, the Grantee agrees that in the event
the Grantee fails to comply or otherwise breaches any of the Grantee Covenants either during the Grantee’s employment or within twenty-four (24) months following the Grantee’s termination of employment with Ashland 

  
 -4- 

 

 
 or its Subsidiaries for any reason: (i) Ashland may eliminate or reduce the amount of any compensation, benefit, or
payment otherwise payable by Ashland or any of its Subsidiaries (either directly or under any employee benefit or compensation plan, agreement, or arrangement), except to the extent such compensation, benefit or payment constitutes deferred
compensation under Section 409A of the Code and such elimination or reduction would trigger a tax or penalty under Section 409A of the Code, to or on behalf of the Grantee in an amount up to the total amount of the closing stock price of
Common Stock on the applicable vesting date multiplied by the number of shares of Common Stock delivered to the Grantee under this Agreement (or, in the event the Grantee received a cash payment in connection with her termination of employment
pursuant to Section 2.3 of this Agreement, an amount up to the amount of such cash payment); and/or (ii) Ashland may require the Grantee to pay Ashland an amount up to the closing stock price of Common Stock on the applicable vesting date
multiplied by the number of shares of Common Stock delivered to the Grantee under this Agreement (or, in the event the Grantee received a cash payment in connection with her termination of employment pursuant to Section 2.3 of this Agreement,
an amount up to the amount of such cash payment), in each case together with the amount of Ashland’s court costs, attorney fees, and other costs and expenses incurred in connection therewith. 

ARTICLE IV. 

MISCELLANEOUS 
 4.1. Miscellaneous.
As the shares of Restricted Stock vest, the Grantee shall owe applicable federal income and employment taxes and state and local income and employment taxes. The amount of taxes due in each instance is based on the fair market value of the Common
Stock delivered on the applicable vesting date. 
 Nothing contained in this Agreement shall confer upon the Grantee any right to continue in the employment
of, or remain in the service of, Ashland or its Subsidiaries. 
 The Grantee consents and agrees to electronic delivery of any documents that Ashland may
elect to deliver (including, but not limited to, prospectuses, prospectus supplements, grant or award notifications and agreements, account statements, annual and quarterly reports, and all other forms of communications) in connection with this
Award. The Grantee understands that, unless earlier revoked by the Grantee by giving written notice to Ashland at 50 E. RiverCenter Blvd., Covington, KY 41011 Attention: Shea Blackburn, this consent shall be effective for the duration of the Award.
The Grantee also understands that the Grantee shall have the right at any time to request that Ashland deliver written copies of any and all materials referred to above at no charge. 

Copies of the Plan and related Prospectus are available for the Grantee’s review on Fidelity’s website. 

This grant of Restricted Stock is subject to the Grantee’s on-line acceptance of the terms and conditions of this Agreement through the Fidelity
website. By accepting the terms and 

  
 -5- 

 

 
 conditions of this Agreement, the Grantee acknowledges receipt of a copy of the Plan, Prospectus, and Ashland’s most
recent Annual Report and Proxy Statement (the “Prospectus Information”). The Grantee represents that she is familiar with the terms and provisions of the Prospectus Information and hereby accepts this Award on the terms and
conditions set forth herein, and acknowledges that she had the opportunity to obtain independent legal advice at her expense prior to accepting this Award. 

[Remainder of this page intentionally left blank] 

  
 -6- 

 

 
 IN WITNESS WHEREOF, ASHLAND has caused this instrument to be executed and delivered effective as of the day and year first
above written. 
  

			
	ASHLAND INC.
		
	By:	 	  

	Name:	 	  

	Title:	 	  

		
		 	GRANTEE
		 	  

		 	Name: Mary Meixelsperger

  
 -7-

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