Document:

Document

Exhibit 10.35

EMPLOYMENT AGREEMENT

THIS EMPLOYMENT AGREEMENT (this “Agreement”) is made and entered into on November 3, 2020 by and between Veoneer Inc., a Delaware corporation (the “Company”), and Raymond Pekar (Born on December 5, 1962) (the “Executive”), to be effective as of the Effective Date, as defined in Section 1.  References herein to the “Company” shall, as applicable, be deemed to include the Company’s affiliates.
BACKGROUND
The Company desires to engage the Executive as the Executive Vice President, Finance and Chief Financial Officer of the Company from and after the Effective Date, in accordance with the terms of this Agreement.  The Executive is willing to serve as such in accordance with the terms and conditions of this Agreement.
NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements set forth herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
1.Effective Date The effective date of this Agreement (the “Effective Date”) shall be March 1, 2021, or such other date to which the parties agree. 
2.Employment.  The Executive is hereby employed on the Effective Date as the Executive Vice President, Finance and Chief Financial Officer of the Company.  In this capacity, the Executive shall have the duties, responsibilities and authority commensurate with such position as shall be assigned to him by the Chief Executive Officer of the Company (the “Chief Executive Officer”). The principal workplace for the Executive shall be Stockholm, Sweden. 
3.Employment Period.  The Company hereby agrees to employ the Executive and the Executive hereby agrees to serve the Company from the Effective Date and thereafter unless and until terminated by the Company or the Executive (the “Employment Period”); provided, however, that (i) the Company must give the Executive written notice of termination of the Executive’s employment not less than six (6) calendar months prior to such date of termination, and (ii) the Executive must give the Company written notice of termination of his employment not less than six (6) calendar months prior to such date of termination; provided, further, however, that in the event of a termination by the Company for Cause pursuant to Section 10(b) hereof, the 6-month notice requirement provided in clause (i) of the foregoing provision shall not apply and the Executive’s termination of employment shall be effective immediately.  Notwithstanding the foregoing, the Executive’s employment shall automatically terminate on the earlier occurrence of the end of notice period or the last day of the month preceding the Executive’s 65th birthday (“Retirement”).
4.Extent of Service.  During the Employment Period, the Executive shall use his best efforts to promote the interests of the Company and those of any parent, subsidiary and associated company of the Company, and shall devote his full time and attention during normal business hours 

to the business and affairs of the Company and any parent, subsidiary and associated company.  In addition, the Executive shall devote as much time outside normal business hours to the performance of his duties as may in the interests of the Company be reasonably necessary; provided, however, that the Executive shall not receive any remuneration in addition to that set out in Section 5 hereof in respect of his work during such time.  During the Employment Period, the Executive shall not, without the consent of the Chief Executive Officer, directly or indirectly, either alone or jointly with or as a director, manager, agent or servant of any other person, firm or company, be engaged, concerned or interested in any business in a manner that would conflict with the Executive’s duties under this Section 4 (including holding any shares, loan, stock or any other ownership interest in any competitor of the Company), provided that nothing in this Section 4 shall preclude the Executive from holding shares, loan, stock or any other ownership interest in an entity other than a competitor of the Company as an investment.
5.Compensation and Benefits.
(a)Base Salary.  During the Employment Period, the Executive shall receive a gross salary at the rate of USD 400,000 per year (“Base Salary”), less normal withholdings, payable in equal bi-weekly or other installments as are or become customary under the Company’s payroll practices for its employees from time to time.  The Compensation Committee of the Board of Directors of the Company (the “Compensation Committee”) shall review the Executive’s Base Salary annually during the Employment Period.  Any adjustments to the Executive’s annual base salary shall become the Executive’s Base Salary for purposes of this Agreement.  
(b)Bonus.  During the Employment Period, the Executive shall be eligible to participate in the Company’s bonus plan for executive officers, if any, pursuant to which he will have an opportunity to receive an annual bonus based upon the achievement of performance goals established from year to year by the Compensation Committee (such bonus earned at the stated “target” level of achievement being referred to herein as the “Target Bonus”).  Until otherwise changed by the Compensation Committee, the Executive’s Target Bonus shall be forty-five percent (45%) of his Base Salary.
(c)Equity Incentive Compensation.  During the Employment Period, the Executive shall be eligible for equity grants under the Veoneer, Inc. 2018 Stock Incentive Plan (the “Veoneer Plan”), or any successor plan or plans, having such terms and conditions as awards to other peer executives of the Company, as determined by the Compensation Committee in its sole discretion, unless the Executive consents to a different type of award or different terms of such award than are applicable to other peer executives of the Company.  Nothing herein requires the Compensation Committee to grant the Executive equity awards or other long-term incentive awards in any year. 
(d)Automobile.  The Company shall provide the Executive with a company car or, if consistent with local policies where the Executive is based, a car allowance.  If a company car is provided, the Executive and his immediate family may also use the company car for personal purposes and the Company shall bear all petrol, maintenance and repair costs, as well as insurance costs and vehicle tax related to the Company car.  If a car allowance is provided, the Company shall also bear all petrol, maintenance and repair cost. but no other costs for the automobile in addition to 
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the allowance.  Whether a company car or a car allowance is provided, the Executive shall be liable for the payment of tax on the car allowance or on the taxable benefit resulting from the right to use the company car for personal purposes.
(e)Expenses.  The Executive shall be entitled to receive payment or reimbursement for all reasonable traveling, hotel and other expenses incurred by him in the performance of his duties under this Agreement, in accordance with the policies, practices and procedures of the Company as in effect from time to time.  The Executive shall provide the Company with receipts, vouchers or other evidence of actual payment of the expenses to be reimbursed, as requested by the Company.
(f)Conditions of Employment.  Normal conditions of employment as issued by the Company apply to the receipt of benefits under this Section 5.
6.Vacation.  The Executive shall be entitled to yearly vacation amounting to 30 days.
7.Pension and benefits. During the employment period, the Company shall pay a gross cash retirement replacement allowance equal to five point six per-cent (5.6%) of the Executive’s Base Salary applicable from time to time. The retirement replacement allowance will be paid out through the ordinary payroll less normal withholdings, payable in equal bi-weekly or other installments as are or become customary under the Company’s payroll practices for its employees from time to time. Payed in advance for the year, in January.
Upon the transfer to Stockholm, Sweden the Company shall pay or reimburse the Executive for verified removal expenses including freight insurance and any custom duty for normal household goods.
The Company will not pay any removal expenses, custom duty, etc. for cars, boats, motorcycles, caravan/trailers, animals, liquor, etc. Antiquities and other special and expensive items are not included in the normal household goods and will not be moved at the expense of the Company.
Accommodation costs, as agreed between the Executive and the Company, plus cost for utilities such as heating and electricity, shall be paid by the Company until the end of 2023. 
The Company will pay for one round-trip, economy class air tickets, between Sweden and the U.S.A. annually for the Executive and the accompanying family member until the end of 2023.
The Veoneer Group Expatriate Medical plan and private health insurance shall cover the Executive and the accompanying family member until the end of 2023.
The Executive will be tax equalized between Sweden and the current tax position in U.S.A. and Canada according to then applicable practices of the Company 
The Company will cover any tax and social security contributions on the moving expenses and temporary benefits of Accommodation, Home Leave and Expatriate Medical Plan.
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During the employment period, if requested by the Executive, the Company shall provide assistance in the preparation and filing of the Executive’s annual tax return in his home country of U.S.A., Canada and Sweden. The tax advisor shall be selected by the Company.
8.Business or Trade Information.  The Executive shall not during or after the termination of his employment hereunder disclose to any person, firm of company whatsoever or use for his own purpose or for any purposes other than those of the Company any information relating to the Company (including any parent, subsidiary or associated company of the Company) or its business or trade secrets of which he has or shall hereafter become possessed.  These restrictions shall cease to apply to any information which may come into the public domain (other than by breach of the provisions hereof).  In the event that the Executive does not comply with this Section 8, the Company shall be entitled to damages equal to six (6) times the average monthly Base Salary that the Executive received during the preceding twelve (12) months, if the Executive continues to be employed, or during the last twelve (12) months prior to his Date of Termination, if the Executive’s employment has terminated; provided, however, that nothing in this Section 8 shall preclude the Company from pursuing arbitration in accordance with Section 16 herein and seeking additional damages from the Executive in the event that the Company is able to demonstrate to the arbitrators that the value of the damages incurred by the Company due to the Executive’s violation of this Section 8 exceed the aggregate value of the damages paid by the Executive to the Company pursuant to the foregoing provision.
9.Company Property.  The Executive shall upon the termination of his employment hereunder for whatever reason immediately deliver to the Company all designs, specifications, correspondence and other documents, papers, the car provided hereunder and all other property belonging to the Company or any of its affiliated companies or which may have been prepared by him or have come into his possession in the course of his employment.
10.Termination of Employment.
(a)Death; Retirement.  The Executive’s employment shall terminate automatically upon his death or Retirement.
(b)Termination by the Company.  The Company may terminate the Executive’s employment during the Employment Period with or without Cause.  “Cause” for termination by the Company of the Executive’s employment shall mean (i) willful and continued failure by the Executive to substantially perform the Executive’s duties with the Company (other than any such failure resulting from the Executive’s incapacity due to physical or mental illness) after a written demand for substantial performance is delivered to the Executive by the Board of Directors of the Company (the “Board”), which demand specifically identifies the manner in which the Board believes that the Executive has not substantially performed the Executive’s duties, or (ii) the willful engaging by the Executive in conduct which is demonstrably and materially injurious to the Company, monetarily or otherwise.  For purposes of clauses (i) and (ii) of this definition, (x) no act, or failure to act, on the Executive’s part shall be deemed “willful” unless done, or omitted to be done, by the Executive not in good faith and without reasonable belief that the Executive’s act, or failure to act, was in the best interest of the Company and (y) in the event of a dispute concerning the application of this provision, no claim by the Company that Cause exists shall be given effect 
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unless the Chief Executive Officer and the Executive Vice President of Human Resources of the Company establish to the Board by clear and convincing evidence that Cause exists, subject to Section 10(f) hereof.
(c)Termination by the Executive.  The Executive may terminate his employment during the Employment Period with Good Reason or without Good Reason.  “Good Reason” shall mean the occurrence, without the Executive’s express written consent, of any of the following “Good Reason Events”:
(i)the assignment to the Executive of any duties inconsistent with the Executive’s status as an executive officer of the Company or a substantial adverse alteration in the nature or status of the Executive’s responsibilities from those in effect on the Effective Date other than any such alteration primarily attributable to the fact that the Company may no longer be a public company;
(ii)a reduction by the Company in the Executive’s annual base salary as in effect on the Effective Date or as the same may be increased from time to time;
(iii)the relocation of the Executive’s principal place of employment to location more than 45 kilometers from the Executive’s principal place of employment on the Effective Date or the Company’s requiring the Executive to be based anywhere other than such principal place of employment (or permitted relocation thereof) except for required travel on the Company’s business to an extent substantially consistent with the Executive’s present business travel obligations;
(iv)the failure by the Company to pay to the Executive any portion of the Executive’s current compensation within seven (7) days of the date such compensation is due;
(v)the failure by the Company to continue in effect any compensation plan in which the Executive participates on the Effective Date which is material to the Executive’s total compensation, unless an equitable arrangement (embodied in an ongoing substitute or alternative plan) has been made with respect to such plan, or the failure by the Company to continue the Executive’s participation therein (or in such substitute or alternative plan) on a basis not materially less favorable, both in terms of the amount or timing of payment of benefits provided and the level of the Executive’s participation relative to other participants, as existed on the Effective Date; or
(vi)the failure by any successor to the business of the Company (whether direct or indirect, by purchase, merger, consolidation or otherwise) to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place.
A termination by the Executive shall not constitute termination for Good Reason unless the Executive shall first have delivered to the Company written notice setting forth with specificity the occurrence deemed to give rise to a right to terminate for Good Reason (which notice must be given no later than 90 days after the initial occurrence of such event), 
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and there shall have passed a reasonable time (not less than 30 days) within which the Company may take action to correct, rescind or otherwise substantially reverse the occurrence supporting termination for Good Reason as identified by the Executive.  The Executive’s termination for Good Reason must occur within a period of 160 days after the occurrence of an event of Good Reason.  The Executive’s right to terminate employment for Good Reason shall not be affected by the Executive’s incapacity due to physical or mental illness.  The Executive’s continued employment shall not constitute consent to, or a waiver of rights with respect to, any act or failure to act constituting Good Reason hereunder.  Good Reason shall not include the Executive’s death.  
(d)Notice of Termination.  Any termination by the Company or the Executive of the Executive’s employment (other than by reason of death) shall be communicated by written Notice of Termination from one party hereto to the other party hereto.  For purposes of this Agreement, a “Notice of Termination” shall mean a written notice which shall (i) indicate the specific termination provision in this Agreement relied upon, (ii) set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive’s employment under the provision so indicated, and (iii) specifies the termination date.  Further, a Notice of Termination for Cause is required to include a copy of a resolution duly adopted by the affirmative vote of not less than three-quarters (3/4) of the entire membership of the Board at a meeting of the Board which was called and held for the purpose of considering such termination (after reasonable notice to the Executive and an opportunity for the Executive, together with the Executive’s counsel, to be heard before the Board) finding that, in the good faith opinion of the Board, the Executive was guilty of conduct set forth in clause (i) or (ii) of the definition of Cause herein, and specifying the particulars thereof in detail.  The failure by the Company to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause shall not waive any right of the Company hereunder or preclude the Company from asserting such fact or circumstance in enforcing the Company’s rights hereunder.
(e) Date of Termination.  “Date of Termination” means (i) if the Executive’s employment is terminated other than by reason of death or Retirement, the end of the notice period specified in Section 3 hereof (if applicable), or (ii) if the Executive’s employment is terminated by reason of death, the Date of Termination shall be the date of death of the Executive, or (iii) if the Executive’s employment is terminated by reason of Retirement, the Date of Termination shall be the date of Retirement.
(f) Dispute Concerning Termination.  Any disputes regarding the termination of the Executive’s employment shall be settled in accordance with Section 16 hereof (including, without limitation, the provisions regarding costs and expenses related to arbitration).  If within fifteen (15) days after any Notice of Termination is given, or, if later, prior to the Date of Termination (as determined without regard to this Section 10(f)), the party receiving such Notice of Termination notifies the other party that a dispute exists concerning the termination, the Date of Termination shall be extended until the date on which the dispute is finally resolved, either by mutual written agreement of the parties or by a final judgment, order or decree of the arbitrators (which is not appealable or with respect to which the time for appeal there from has expired and no appeal has been perfected); provided, however, that the Date of Termination shall be extended by a notice of 
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dispute given by the Executive only if such notice is given in good faith and the Executive pursues the resolution of such dispute with reasonable diligence.
(g)     Compensation During Dispute.  If the Date of Termination is extended in accordance with Section 10(f) hereof, the Company shall continue to provide the Executive with the compensation and benefits specified in Section 5 hereof until the Date of Termination, as determined in accordance with Section 10(f) hereof.  Amounts paid under this Section 10(g) are in addition to all other amounts due under this Agreement and shall not be offset against or reduce any other amounts due under this Agreement; provided, however, that in the event that the arbitration results in a determination that the Executive is not entitled to the severance payments set forth in Section 11(a) hereof, then the Executive shall be obligated to promptly repay to the Company the compensation received by the Executive during the extended period pursuant to this Section 10(g).
11.Obligations of the Company Upon Termination of Employment.
(a)Termination by the Company Other Than for Cause; Termination by the Executive for Good Reason.  If, during the Employment Period, the Company shall terminate the Executive’s employment other than for Cause, or the Executive shall terminate employment for Good Reason, then the Executive shall be subject to the covenants set forth in Section 13 herein, and only if within forty-five (45) days after the Date of Termination the Executive shall have executed a separation agreement containing a full general release of claims and covenant not to sue, in the form provided by the Company, and such separation agreement shall not have been revoked within such time period, within sixty (60) days after the Date of Termination (or such later date as may be required pursuant to Section 20(c) herein), the Company shall pay to the Executive a lump sum severance payment, in cash, equal to one and a half times (1.5x) the Executive’s Base Salary as in effect immediately prior to the Date of Termination.  
(b)Death.  If the Executive’s employment is terminated by reason of the Executive’s death during the Employment Period, this Agreement shall terminate without further obligations to the Executive or the Executive’s legal representatives under this Agreement, other than such death benefits he or they would otherwise be entitled to receive under any plan, program, policy or practice or contract or agreement of the Company or its affiliated companies.
(c)Retirement.  If the Executive’s employment is terminated in connection with his Retirement during the Employment Period, this Agreement shall terminate without further obligations to the Executive; provided, however, that the Executive shall nonetheless be subject to the covenants set forth in Section 13 herein.
(d)Cause; Voluntary Resignation.  If the Executive’s employment is terminated by the Company for Cause during the Employment Period, or the Executive voluntarily resigns his employment without Good Reason, this Agreement shall terminate without further obligations to the Executive; provided, however, that the Executive shall nonetheless be subject to the covenants set forth in Section 13 herein.
12.Non-Duplication of Benefits.  Notwithstanding anything to contrary in this Agreement, the aggregate of any amounts payable to the Executive by the Company pursuant to 
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Section 5 (including any compensation and benefits paid pursuant to such section during any applicable termination notice period pursuant to Section 3), Section 10(g) or Section 11 herein shall be offset and reduced to the extent necessary by any other compensation or benefits of the same or similar type, including those payable under local laws of any relevant jurisdiction, so that such other compensation or benefits, if any, do not augment the aggregate of any amounts payable to the Executive by the Company pursuant to Section 5 (including any compensation and benefits paid pursuant to such section during any applicable termination notice period pursuant to Section 3), Section 10(g) or Section 11 herein.  It is intended that this Agreement not duplicate compensation or benefits the Executive is entitled to under country “redundancy” laws, the Company’s severance policy, if any, any related or similar policies, or any other contracts, agreements or arrangements between the Executive and the Company.
13.Non-Competition Covenant; Payment for Non-Competition Covenant.
(a)During the twelve (12) months immediately following the termination of his employment with the Company for any reason, the Executive shall not (i) accept employment with a competitor of the Company in a capacity in which such competitor can make use of the confidential information relating to the Company that the Executive has obtained in his employment with the Company, (ii) engage as a partner or owner in such competitor of the Company, nor (iii) act as an advisor to such competitor (the “Non-Competition Covenant”).
(b)If the Executive does not comply with the Non-Competition Covenant when applicable, then (i) the Executive shall not be entitled to any benefits pursuant to Section 13(c) below during the period in which the Executive is not in compliance with such Non-Competition Covenant, and (ii) the Company shall be entitled to damages equal to six (6) times the average monthly Base Salary that the Executive received during the last twelve (12) months prior to the Date of Termination.
(c)The Company may unilaterally waive the Non-Competition Covenant in its sole discretion.  If the Company waives the Non-Competition Covenant, then the Executive shall not be entitled to any payments pursuant to Section 13(d).
(d)If the Non-Competition Covenant becomes operative, then the Company shall pay to the Executive, as compensation for the inconvenience of such Non-Competition Covenant, up to twelve (12) monthly payments equal to the Executive’s monthly Base Salary as in effect on the Date of Termination, less the monthly salary earned during such month by the Executive in a subsequent employment, if any; provided, however, that the aggregate monthly payments from the Company pursuant to this Section 13(d) shall not exceed sixty percent (60%) of the Executive’s annual Base Salary as in effect on the Date of Termination, and once the 60% aggregate amount has been paid, no further payments will be made under this Section 13(d).  As a condition to the receipt of such payments, the Executive must inform the Company of his base salary in his new employment on a monthly basis.  No payments shall be made under this Section 13 if the Executive’s employment is terminated in connection with his Retirement.
14.Inventions.
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(a)The general nature of any discovery, invention, secret process or improvement made or discovered by the Executive during the period of the Executive’s employment by the Company (hereinafter called “the Executive’s Inventions”) shall be notified by the Executive to the Company forthwith upon it being made or discovered.
(b)The entitlement as between the Company and the Executive to the Executive’s Inventions shall be determined in accordance with the current Act (1949:345) on the Right to Inventions made by Employees and the Executive acknowledges that because of the nature of his duties and the particular responsibilities arising therefrom he has a special obligation to further the interests of the Company’s undertaking.
(c)Where the Executive’s Inventions are to be assigned to the Company, the Executive shall make a full disclosure of the same to the Company and if and whenever required to do so shall at the expense of the Company apply, singly or jointly with the Company or other persons as required by the Company, for letters patent or other equivalent protection in Sweden and in any other part of the world of the Executive’s Inventions.
15.Entire Agreement.  This Agreement supersedes any other previous agreements and arrangements whether written, oral or implied between the Company or Veoneer and the Executive relating to the employment of the Executive, without prejudice to any rights accrued to the Company or the Executive prior to the commencement of his employment under this Agreement.
16.Disputes.  Disputes regarding this Agreement (including, without limitation, disputes regarding the existence of Cause or Good Reason) shall be settled by arbitration in accordance with the Swedish Arbitration Act.  The arbitration shall take place in Stockholm and, unless otherwise agreed to by both parties, there shall be three (3) arbitrators.  The provisions on voting and cumulation of parties and claims in the Swedish Procedural Code shall be applied in the arbitration.  All costs and expenses for the arbitration, whether initiated by the Company or by the Executive, including the Executive’s costs for solicitor, shall be borne by the Company, unless the arbitrators determine the Executive’s claim(s) to be frivolous and in bad faith, in which case the arbitrators may allocate costs as they deem fit.  Any payments due to the Executive pursuant to the preceding sentence shall be made within fifteen (15) business days after delivery of the Executive’s written request for payment accompanied with such evidence of costs and expenses incurred as the Company reasonably may require.
17.Governing Law.  This Agreement shall be governed by and construed in accordance with Swedish law and, where applicable, the laws of any applicable local jurisdictions.
18.Amendment.  No provision of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in writing and signed by the Executive and such officer as may be specifically designated by the Board.
19.Notices.  All notices and other communications hereunder shall be in writing and shall be given by registered or certified mail, return receipt requested, postage prepaid, addressed as follows:    
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If to the Executive:     Raymond Pekar 
    
If to the Company:    Veoneer Inc.
                WTC, Klarabergsviadukten 70,
            111 64 Stockholm, Sweden

or to such other address as either party shall have furnished to the other in writing in accordance herewith.  Notice and communications shall be effective when actually received by the addressee.
20.U.S. Tax Code Section 409A.  This Section 20 shall apply only in the event that the Executive is or becomes a taxpayer under the laws of the United States at any time during the Employment Period.
(a)General.  This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and applicable Internal Revenue Service guidance and Treasury Regulations issued thereunder.  Nevertheless, the tax treatment of the benefits provided under the Agreement is not warranted or guaranteed.  Neither the Company nor its directors, officers, employees or advisers shall be held liable for any taxes, interest, penalties or other monetary amounts owed by the Executive as a result of the application of Section 409A of the Code.
(b)Definitional Restrictions.  Notwithstanding anything in this Agreement to the contrary, to the extent that any amount or benefit that would constitute non-exempt “deferred compensation” for purposes of Section 409A of the Code (“Non-Exempt Deferred  Compensation”) would otherwise be payable or distributable hereunder, or a different form of payment of such Non-Exempt Deferred Compensation would be effected, by reason of a Change in Control or the Executive’s termination of employment, such Non-Exempt Deferred Compensation will not be payable or distributable to the Executive, and/or such different form of payment will not be effected, by reason of such circumstance unless the circumstances giving rise to such Change in Control or termination of employment, as the case may be, meet any description or definition of “change in control event” or “separation from service,” as the case may be, in Section 409A of the Code and applicable regulations (without giving effect to any elective provisions that may be available under such definition).  This provision does not prohibit the vesting of any Non-Exempt Deferred Compensation upon a Change in Control or termination of employment, however defined.  If this provision prevents the payment or distribution of any Non-Exempt Deferred Compensation, such payment or distribution shall be made on the date, if any, on which an event occurs that constitutes a Section 409A-compliant “change in control event” or “separation from service,” as the case may be, or such later date as may be required by subsection (c) below.  If this provision prevents the application of a different form of payment of any amount or benefit, such payment shall be made in the same form as would have applied absent such designated event or circumstance.
(c)Six-Month Delay in Certain Circumstances.  Notwithstanding anything in this Agreement to the contrary, if any amount or benefit that would constitute Non-Exempt Deferred Compensation would otherwise be payable or distributable under this Agreement by reason of the 
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Executive’s separation from service during a period in which he is a “specified employee” (as defined in Code Section 409A and the final regulations thereunder), then, subject to any permissible acceleration of payment by the Company under Treas. Reg. Section 1.409A3(j)(4)(ii) (domestic relations order), (j)(4)(iii) (conflicts of interest), or (j)(4)(vi) (payment of employment taxes), (i) the amount of such Non-Exempt Deferred Compensation that would otherwise be payable during the six-month period immediately following the Executive’s separation from service will be accumulated through and paid or provided on the first day of the seventh month following the Executive’s separation from service (or, if the Executive dies during such period, within thirty (30) days after the Executive’s death) (in either case, the “Required Delay Period”); and (ii) the normal payment or distribution schedule for any remaining payments or distributions will resume at the end of the Required Delay Period.
(d)Treatment of Installment Payments.  Each payment of termination benefits under this Agreement shall be considered a separate payment, as described in Treas. Reg. Section 1.409A2(b)(2), for purposes of Section 409A of the Code.
(e)Timing of Release of Claims.  Whenever in this Agreement a payment or benefit is conditioned on the Executive’s execution and non-revocation of a release of claims, such as the separation agreement referenced in Section 11(a) hereof, such release must be executed and all revocation periods shall have expired within 60 days after the Date of Termination; failing which such payment or benefit shall be forfeited.  If such payment or benefit constitutes Non-Exempt Deferred Compensation, then, subject to subsection (c) above, such payment or benefit (including any installment payments) that would have otherwise been payable during such 60-day period shall be accumulated and paid on the 60th day after the Date of Termination provided such release shall have been executed and such revocation periods shall have expired.  If such payment or benefit is exempt from Section 409A of the Code, the Company may elect to make or commence payment at any time during such 60-day period.
(f)Timing of Reimbursements and In-kind Benefits.  If the Executive is entitled to be paid or reimbursed for any taxable expenses under this Agreement and if such payments or reimbursements are includible in the Executive’s federal gross taxable income, the amount of such expenses payable or reimbursable in any one calendar year shall not affect the amount payable or reimbursable in any other calendar year, and the reimbursement of an eligible expense must be made no later than December 31 of the year after the year in which the expense was incurred.  The right to any reimbursement for expenses incurred or provision of in-kind benefits is limited to the lifetime of the Executive, or such shorter period of time as is provided with respect to each particular right to reimbursement in-kind benefits pursuant to the preceding provisions of this Agreement.  No right of the Executive to reimbursement of expenses under this Agreement shall be subject to liquidation or exchange for another benefit.
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IN WITNESS whereof this Agreement has been executed the day and year first above written.
/s/ Raymond B. Pekar
Raymond B. Pekar

Veoneer, Inc.

/s/ Jan Carlson
 Jan Carlson
Chairman and CEO, Veoneer, Inc.

Veoneer, Inc.

/s/ Mikael Landberg
 Mikael Landberg
Executive Vice President Human Resources
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 Exhibit 4.1 

BP p.l.c. 
 RULES OF THE REINVENT
BP PLAN 
  

			
	Adoption:	 	9 February 2021
		
	Shareholder approval of Share Award Plan:	 	16 April 2015
		
	Expiry:	 	15 April 2025

  

			
	 	 
	Approved by:	  	Date:
	 	 
	
Bernard Looney, Chief Executive Officer, BP p.l.c.
	  	 

 Linklaters 
 One Silk Street 

Telephone (44-20) 7456 2000 

Facsimile (44-20) 7456 2222 

Ref 01/140 

 Table of Contents 

 

							
	Contents	  	Page	 
			
	 1
	 	Definitions	  	 	1	 
			
	 2
	 	Operation of the Plan	  	 	2	 
			
	 3
	 	Awards	  	 	5	 
			
	 4
	 	Vesting and Release of Awards	  	 	5	 
			
	 5
	 	Malus and clawback	  	 	8	 
			
	 6
	 	Career Breaks	  	 	10	 
			
	 7
	 	Leaving the Group before the end of the Restricted Period	  	 	10	 
			
	 8
	 	Variations in share capital, demergers and special distributions	  	 	11	 
			
	 9
	 	Takeovers and restructurings	  	 	12	 
			
	 10
	 	Exchange of Awards	  	 	13	 
			
	 11
	 	Terms of employment	  	 	14	 
			
	 12
	 	General	  	 	15	 
			
	 13
	 	Changing the Plan and termination	  	 	17	 
			
	 14
	 	Governing law and jurisdiction	  	 	18	 
		
	 Schedule 1 US Schedule
	  	 	19	 
		
	 Schedule 2 Restricted Cash Units
	  	 	23	 

  
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 Rules of the Reinvent bp Plan 

 

	Introduction	 

This Plan has been designated a Sub-Plan of the BP Share Award Plan 2015 as described in rule 13 of that plan in
relation to all Awards. 
  

	1	 Definitions 

In these rules: 

“Acquiring Company” means a person who obtains Control of the Company; 

“ADS” means an American depositary share representing ordinary shares of the Company; 

“Award” means an award of Restricted Share Units or an Option; 

“Career Break” means an extended period of unpaid leave from normal work, without ceasing to be an employee or director of any
Member of the Group, with the agreement of the Company and which is designated by the Plan Administrator as a Career Break for the purposes of these rules; 

“Company” means BP p.l.c.; 

“Control” has the meaning given to it by section 995 of the Income Tax Act 2007; 

“Dealing Restrictions” means restrictions on dealing imposed by statute, order, regulation, directive or by any policy adopted
by the Company whether pursuant to regulatory requirements or otherwise, as varied from time to time; 
 “Designated Corporate
Officer” means the Group Chief Executive or other appropriate Corporate Officer or such duly authorised person authorised under BP’s System of Internal Control and associated delegations; 

“Final Exercise Date” means the day before the tenth anniversary of the Grant Date of an Option or such earlier date
determined by the Designated Corporate Officer on or before the Grant Date; 
 “Grant Date” means the date which the Plan
Administrator sets for the grant of an Award; 
 “London Stock Exchange” means London Stock Exchange plc; 

“Member of the Group” means: 
  

	 	(i)	 the Company; and 

  

	 	(ii)	 its Subsidiaries from time to time; and 

 

	 	(iii)	 any other company which is associated with the Company and is so designated by the Designated Corporate
Officer; 

 and “Group” shall be construed accordingly; 

“New York Stock Exchange” means New York Stock Exchange LLC; 

“Option” means a conditional right to acquire Shares by the exercise of that right; 

“Option Price” means the amount, if any, payable for each Share on the exercise of an Option; 

  
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 “Participant” means a person who is participating in the Plan or his
personal representative(s); 
 “Plan” means these rules known as “The Reinvent bp Plan” as changed from time to
time; 
 “Plan Administrator” means the person or persons appointed by the Designated Corporate Officer as the plan
administrator for the purposes of this Plan; 
 “Regulatory Information Service” means a service that is approved by the
Financial Conduct Authority as meeting the Primary Information Provider Criteria and is on the list of the Regulatory Information Services maintained by the Financial Conduct Authority; 

“Release” means the conversion of Restricted Share Units into, or the settlement of Options with, Shares and the issue or
transfer (including a transfer out of treasury) of those Shares and “Released” shall be construed accordingly; 

“Restricted Period” means the period notified to the Participant under rule 3.1, which will be determined by the Designated
Corporate Officer at the time of grant; 
 “Restricted Share Unit” means a conditional entitlement to receive Shares for
free; 
 “Share Award Plan” means the BP Share Award Plan 2015 approved by shareholders on 15 April 2015 as amended
from time to time; 
 “Shares” means fully paid ordinary shares in the capital of the Company or where the context requires
ADSs (see rule 4.5); 
 “Sub-Plan” means a
Sub-Plan of the Share Award Plan as contemplated by rule 13 of the rules of that plan; 

“Subsidiary” means a company which is a subsidiary of the Company within the meaning of Section 1159 of the Companies Act
2006; 
 “Vesting” means the satisfaction of conditions such that: 

 

	 	(a)	 in the case of Restricted Share Units, a Participant has an unconditional right to have his Restricted Share
Units Released; and 

  

	 	(b)	 in the case of Options, the Option becomes exercisable, and 

in either case, subject to any malus or clawback under rule 5 and “Vest” or “Vested” shall be construed
accordingly; and 
 “Vesting Date” is the date on which an Award Vests. 

 

	2	 Operation of the Plan 

 

	2.1	 Eligibility 

Awards will be granted to all employees of the Members of the Group (as this definition is modified as set out below) who are employed on a
date determined by the Designated Corporate Officer. However, participation may not be extended to an employee who on the Grant Date is either: 
  

	 	2.1.1	 a director of the Company; or 

 

	 	2.1.2	 an employee whose employment has been terminated, whether or not such termination is lawful unless the
Designated Corporate Officer considers that special circumstances exist. 

  
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 For the purpose of this rule 2.1, the reference to “Subsidiaries” in the
definition of “Member of the Group” shall mean companies which are Subsidiaries wholly owned by the Company. 
  

	2.2	 Grant 

Where an Award is granted in accordance with rule 2.1, the Company will determine: 

 

	 	2.2.1	 subject to rules 2.6 and 2.7, the number of Shares subject to the Award; 

 

	 	2.2.2	 the Restricted Period; 

 

	 	2.2.3	 whether the Award will be an Award of Restricted Share Units, an Option, or a combination;

  

	 	2.2.4	 the Option Price (if relevant) which may be nil; and 

 

	 	2.2.5	 for an Option, the Final Exercise Date. 

Awards and their terms must be approved in advance by the Designated Corporate Officer. 

 

	2.3	 Timing of operation 

Awards may only be granted within 42 days starting on any of the following: 

 

	 	2.3.1	 the date of any general meeting of the Company; 

 

	 	2.3.2	 the day after the announcement of the Company’s results through a Regulatory Information Service
for any period; 

  

	 	2.3.3	 any day on which the Designated Corporate Officer resolves that exceptional circumstances exist which
justify the grant of Awards; 

  

	 	2.3.4	 any day on which changes to the legislation or regulations affecting share plans are announced, effected
or made; or 

  

	 	2.3.5	 the lifting of Dealing Restrictions which prevented the granting of Awards during any period specified
above. 

 No Awards may be granted after 15 April 2025 or such earlier date as the Designated Corporate Officer may
specify. 
  

	2.4	 No payment 

A Participant is not required to pay for the grant of an Award. 
  

	2.5	 Disclaimer of Awards 

Any Participant may disclaim all or part of an Award within 80 days after the Grant Date by notice in writing to any person nominated by the
Company. If this happens, the Award will be deemed never to have been granted under the Plan. A Participant is not required to pay for the disclaimer. 
  

	2.6	 Individual limit 

An Award must not be granted to an individual if it would, at the proposed Grant Date, cause the market value (as at the relevant date of
grant) of Shares subject to Awards and awards or options granted under any other Sub-Plans that have been granted in respect of the same financial year to exceed 550 per cent of their basic salary (the
“Limit”). 

  
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 Where a proposed Award (the “Proposed Award”) would breach the Limit, the
Designated Corporate Officer may determine in their discretion that: 
  

	 	2.6.1	 the Proposed Award will be limited (that is, reduced) to such level as is within the Limit and will
immediately lapse as to the balance; 

  

	 	2.6.2	 the Proposed Award will immediately lapse; or 

 

	 	2.6.3	 the individual will receive two Awards on the following basis: 

 

	 	(i)	 a first Award, representing a proportion of the Proposed Award with a market value as close as practicable to
the Limit, shall be granted on the Grant Date of the Proposed Award; and 

  

	 	(ii)	 a second Award, being the balance of the Proposed Award, shall be granted on a date determined by the
Designated Corporate Officer, being: 

  

	 	(a)	 the first anniversary, or as close as practicable to the first anniversary, of the Grant Date of the first
Award, or 

  

	 	(b)	 the first occasion on which other Awards are made in the financial year following the Grant Date of the
Proposed Award, 

 provided that the individual remains eligible to receive an Award in accordance with rule 2.1. 

If the second Award would breach the Limit for the financial year in which it is granted then it will be limited to such market value so that
the Limit is not exceeded. 
 The following will be excluded from the Limit: 

 

	 	2.6.4	 Shares which may be acquired under any dividend equivalent or comparable facility under this Plan or
another Sub-Plan; 

  

	 	2.6.5	 Awards granted under this Plan, or options or awards granted under another Sub-Plan to a Participant which the Designated Corporate Officer (for the purposes of the Share Award Plan) considers were granted to the Participant: 

 

	 	(i)	 in lieu of any bonus which the Participant might otherwise have been paid in cash; or 

 

	 	(ii)	 to compensate for awards forfeited by the Participant on recruitment. 

For the purposes of this rule 2.6, a person’s “basic salary” is their annual rate of gross salary from all Members of the
Group, not including bonus or other variable remuneration and “market value” will be as determined by the Designated Corporate Officer for the purposes of the Share Award Plan. 

If the Company tries to grant an Award which is inconsistent with this rule 2.6, it will be limited and will take effect from the Grant Date on
a basis consistent with this rule. 
  

	2.7	 Limits on issue of Shares 

 

	 	2.7.1	 Awards must not be granted on any day if the number of Shares committed to be issued under them exceeds
10 per cent of the ordinary share capital of the Company in issue immediately before that day, when added to the number of Shares which have been issued, or committed to be issued, to satisfy Awards, or options or awards under any other
employee share plan operated by the Company, granted in the previous 10 years. 

  
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	 	2.7.2	 When calculating the limits in rule 2.7.1, Shares will be ignored: 

 

	 	(i)	 where the right to acquire them is released or lapses; 

 

	 	(ii)	 which are committed to be issued under any dividend equivalent. 

 

	 	2.7.3	 As long as so required by The Investment Association, Shares transferred from treasury to satisfy Awards
are counted, for the purposes of this rule 2.7, as part of the ordinary share capital of the Company, and as Shares issued by the Company. 

  

	3	 Awards 

  

	3.1	 Terms of Grant 

Awards are subject to the rules of the Plan and/or such other terms as may be determined on or before the Grant Date by the Designated
Corporate Officer. The terms of the grant of an Award, as determined by the Company and approved by the Designated Corporate Officer, must include the number of Shares comprised in the Award, the Restricted Period and, in the case of Options, the
Option Price (which may be nil) and the Final Exercise Date. 
  

	3.2	 Documentation of Restricted Share Units and Options 

The Company may notify a Participant of the terms of his grant of Restricted Share Units and/or Options in such manner as it decides. 

 

	3.3	 Rights 

A Participant will have no rights of a shareholder (e.g. voting or dividends) in respect of Restricted Share Units or Options. 

 

	3.4	 Restriction on disposal of interest and hedging 

A Participant must not sell, transfer, assign, hedge, charge or otherwise dispose of any Restricted Share Units or Options or any interest in
them and must not enter into any transaction which transfers the risk of price movements with regard to the Shares subject to an Award. If he does, then the Designated Corporate Officer may determine that the Award will lapse. This will not apply to
any disposal permitted under rule 4.6 or the issue or transfer of Shares on a Participant’s death to his personal representatives. 
  

	4	 Vesting and Release of Awards 

 

	4.1	 Time of Vesting 

Subject to rules 5 to 7 and rule 9, Awards will Vest at the end of the Restricted Period. 

 

	4.2	 Consequences 

  

	 	4.2.1	 Restricted Share Units 

Subject to rule 5, to the extent that Restricted Share Units Vest under any of rule 4, 7 or 9, the Company will procure the Release of Awards
to the Participant (or as the Participant may direct) as soon as practicable after the Vesting Date. 

  
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 Where Shares are transferred to a Participant, the Participant will be entitled to all
rights attaching to the Shares by reference to a record date on or after the transfer date. The Participant will not be entitled to rights before that date. 
  

	 	4.2.2	 Options 

Subject to rule 5, to the extent that Options Vest under any of rule 4, 7 or 9: 

 

	 	(i)	 an Option can be exercised by the Participant giving notice in the prescribed form to the Company or any person
nominated by the Company and comply with such arrangements as the Designated Corporate Officer may determine for the payment of the Option Price (if any) including, without limitation, the sale of sufficient Shares to procure the payment of the
Option Price; 

  

	 	(ii)	 the Designated Corporate Officer may decide at any time that the exercise of an Option may be satisfied by the
Company: 

  

	 	(a)	 arranging for the transfer (including out of treasury) or issue to the Participant of Shares with a market
value equal to the Gain on the date of exercise of the Option (rounded down to the nearest whole Share). The Participant will not be required to make any payment for those Shares; and/or 

 

	 	(b)	 making a cash payment to the Participant equal to the Gain on the date of exercise of the Option.

 Where an Option is satisfied in the manner described in rule 4.2.2(ii), this will be in full and final satisfaction of
the Participant’s rights under their Option. 
 For the purposes of this rule: 

“Gain” means the difference between (i) the market value of a Share on the date of exercise of an Option and
(ii) the Option Price, multiplied by the number of Shares in respect of which the Option is being exercised; and 
 “market
value” means such value as the Designated Corporate Officer reasonably determines in their sole and absolute discretion; 
  

	 	(iii)	 subject to a valid exercise of the Option, the Company will arrange subject to rule 4.6 for the transfer
(including a transfer out of treasury) or issue to, or to the order of, the Participant, of the number of Shares in respect of which the Option is exercised; 

  

	 	(iv)	 unless the Designated Corporate Officer determines otherwise, to the extent that an Option has not been
exercised by the close of business on the Final Exercise Date, the Company will, unless it has received notice in writing to the contrary and subject to the condition set out below being satisfied, be deemed to have received a valid exercise notice
immediately preceding the close of business on the Final Exercise Date, together with a direction to sell sufficient of the Shares issued or transferred on the exercise of the Option to fund any Option Price and any taxation or social security
contributions payable. The remaining Shares subject to the Option will be transferred to the Participant in accordance with this rule. 

  
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 The condition referred to above is that A—B is greater than C, calculated as follows:
A equals the expected sale proceeds of the Shares resulting from the exercise of the Option. B equals any costs of any sale (including any Option Price, any actual or estimated liability to taxation, social security contributions and any other
related costs in respect of the Option) and C equals the Option Price; 
  

	 	(v)	 the Option will lapse to the extent not validly exercised, at the latest, on the close of business on the Final
Exercise Date; and 

  

	 	(vi)	 if an Option lapses under more than one provision of the rules of the Plan, the provision resulting in the
shortest exercise period will prevail. 

  

	4.3	 Lapse 

If any Restricted Share Units or Options lapse under the Plan, they will not be Released and a Participant will have no rights in respect of
them. 
  

	4.4	 Cash alternative 

The Company in its absolute discretion may decide to satisfy the Release of Awards, in part or in whole, by paying an equivalent amount in cash
(subject to the withholding provisions in rule 4.6). Equivalency will be determined in the sole discretion of the Plan Administrator. In the case of an Option, only the Gain (as defined in rule 4.2.2(ii) above) will be satisfied by paying an
equivalent amount in cash. 
  

	4.5	 ADSs 

The Plan Administrator may determine that certain Restricted Share Units and/or Options and their Release will be in respect of ADSs and
references in these rules to Shares, Awards and dividends shall be construed accordingly. 
  

	4.6	 Withholding, deductions and offsets 

The Company, any employing company or other Member of the Group or trustee of any employee benefit trust may withhold such amount and make such
arrangements as it considers necessary to meet any liability to taxation or social security contributions in respect of Awards or their Release or the issue or transfer of Shares or any change in the rights attaching to them. These arrangements may
include the sale of any Shares on behalf of the Participant or the reduction in the number of Shares in respect of which the Award Vests. 

In addition, it shall be a condition of the Vesting and/or Release of an Award that the Company, any employing Company or other Member of the
Group may deduct from and set off against the Shares (whether payable in cash or Shares and whenever payable) any debt, obligation, liability, or other amount owed by the Participant to a Member of the Group, including but not limited to amounts
under an expatriate tax policy (as currently in effect or as amended from time to time), or amounts advanced on behalf of the Participant with respect to employment taxes, as determined in the sole discretion of the Plan Administrator. 

  
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	5	 Malus and clawback 

 

	5.1	 Application of malus and clawback 

Notwithstanding any other rules of the Plan (including, without limitation, rules 7.2, 7.3 and 7.4), the Designated Corporate Officer may
decide that malus and/or clawback will apply to an Award if the Designated Corporate Officer has determined that one or more of the following circumstances below (or, in the case of clawback, the circumstances described in rule 5.1.1, 5.1.4, 5.1.6
or 5.1.7) have arisen. 
 The circumstances are: 
  

	 	5.1.1	 the Participant has engaged in conduct (including, but not limited to, a violation of the BP Code of Conduct)
which the Designated Corporate Officer considers was contrary to the legitimate expectations of the Company for an employee in the Participant’s position (or the position occupied by the Participant before he left the Group);

  

	 	5.1.2	 results announced for any period have been restated or subsequently appeared materially financially
inaccurate or misleading as determined by the Designated Corporate Officer; 

  

	 	5.1.3	 a business unit or profit centre in which the Participant worked has made a material financial loss as a
result of circumstances that could reasonably have been risk-managed and which leads to or is likely to create reputational damage to the Group; 

  

	 	5.1.4	 any team, business area, Member of the Group or profit centre in which the Participant works has been the
subject of any regulatory investigation or has been in breach of any laws, rules or codes of conduct applicable to it or the standards reasonably expected of it; 

 

	 	5.1.5	 the Designated Corporate Officer determines that material reputational damage has been caused to the
Group or any Member of the Group for which the Participant is responsible or accountable and which could have been reasonably avoided or mitigated; 

  

	 	5.1.6	 an exceptional event or events occur that have had or may have a material effect on the value or reputation of
any Member of the Group (excluding an exceptional event or events which have a material adverse effect on global macroeconomic conditions); 

  

	 	5.1.7	 the Company or entities representing a material proportion of the Group become insolvent or otherwise suffer a
corporate failure so that Shares in the Company cease to have material value, provided that the Designated Corporate Officer determines, following an appropriate review of accountability, that the Participant should be held responsible (in whole or
in part) for that insolvency or failure; and 

  

	 	5.1.8	 any other event as a result of which the directors consider that the application of this rule is
appropriate. 

  

	5.2	 Malus 

Where the Designated Corporate Officer decides that malus will apply to a Participant: 

  
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	 	5.2.1	 the Award will lapse or, in the case of owned Shares, will be forfeited, wholly or in part as they may
determine; and/or 

  

	 	5.2.2	 the Restricted Period for any Award will be extended by such period as he may determine; and/or

  

	 	5.2.3	 if the Award has already Vested but Shares have not yet been Released (because of, for example, any
Dealing Restrictions), a reduced number of Shares as determined by the Designated Corporate Officer will be Released to the Participant. 

  

	5.3	 Clawback 

Where the Designated Corporate Officer decides that clawback will apply, the Designated Corporate Officer may decide that the Participant must:

  

	 	5.3.1	 transfer to or to the order of the Company a number of Shares which is equal to (or less than) the
number of Shares issued or transferred to them pursuant to the Award; and/or 

  

	 	5.3.2	 pay to or to the order of the Company an amount representing the value of the Shares acquired under the
Award; and/or 

  

	 	5.3.3	 pay to or to the order of the Company an amount equal to any cash payment made to them pursuant to the
Award. 

 In addition, the Designated Corporate Officer may decide that any Award, bonus or other benefit which might have
been granted, Vested or paid to the Participant under this or any other arrangement will be reduced, not awarded or not Vest. 
  

	5.4	 General 

  

	 	5.4.1	 For the avoidance of doubt, circumstances described in rule 5.1 can arise even if the Participant was
not responsible for the event in question or if it happened before or after the Vesting or grant of the Award. 

  

	 	5.4.2	 Malus and/or clawback may be applied differently for different Participants or for different Awards held
by the same Participant in relation to the same event. 

  

	 	5.4.3	 The Designated Corporate Officer will notify the Participant of any application of malus or clawback.

  

	 	5.4.4	 Without limiting rule 11, the Participant will not be entitled to any compensation in respect of any
application of malus or clawback. 

  

	5.5	 Joining a Competitor Organisation 

Where a Participant has ceased to be an employee but has retained his Award as a consequence of rule 7.2 or 7.3 the directors retain the right
to lapse his Award or forfeit his owned Shares if, prior to acquiring the Shares, the Participant joins a Competitor Organisation of any Member of the Group within 12 months of ceasing to be an employee. The directors will have the sole discretion
to determine the definition of “Competitor Organisation”. 

  
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	6	 Career Breaks 

 

	 	6.1.1	 If a Participant is on a Career Break on the date that his Awards would ordinarily Vest under the Plan,
then unless the Plan Administrator determines otherwise in any particular case, the Awards will Vest and be Released in accordance with rules 4.1 to 4.6 as soon as practicable after the Plan Administrator determines that the Participant has returned
to normal employment at the end of the Career Break and has continued to be in his normal employment for a period of three months from the date of return, and in that period has not given or received notice of termination of employment.

  

	 	6.1.2	 Unless any of the reasons set out in rules 7.2.1, 7.4, 9.1, 9.2 or 9.5 apply, if the Participant ceases
to be an employee or director of any Member of the Group before having returned to normal employment at the end of the Career Break or during the three-month period referred to in rule 6.1.1, then the Awards will lapse on cessation of employment. If
any of the reasons set out in rules 7.2.1 or 7.4 apply, the Awards will Vest and be Released in accordance with rules 4.1 to 4.6 as soon as practicable after cessation of employment. If any of the reasons set out in rules 9.1, 9.2 or 9.5 apply,
Awards will Vest and be Released in accordance with those rules. 

  

	7	 Leaving the Group before the end of the Restricted Period 

 

	7.1	 General rule on leaving employment 

Unless rule 7.2 or 7.4 applies, if a Participant ceases to be an employee or director of a Member of the Group, then all his Awards (whether
Vested or not) shall lapse on the date of cessation and he shall not be entitled to any Shares. 
  

	7.2	 Leaving in exceptional circumstances 

Other than when rule 6.1.2 applies, if a Participant ceases to be an employee or director of any Member of the Group before the end of the
Restricted Period for any of the reasons set out below, then his Awards do not lapse and will Vest subject to rules 7.2.3 and 7.2.4 below and be Released to the Participant at the end of the Restricted Period in accordance with rules 4 and 7.2.3
unless the Plan Administrator decides that his Awards Vest and be Released before the end of the Restricted Period. 
  

	 	7.2.1	 The reasons are: 

 

	 	(i)	 termination by the Participant’s employing company as a result of
ill-health, injury or disability; 

  

	 	(ii)	 the Participant’s employing company ceasing to be under the Control of the Company; 

 

	 	(iii)	 a transfer of the undertaking, or the part of the undertaking, in which the Participant works to a person which
is not under the Control of either the Company or a Member of the Group; 

  

	 	(iv)	 redundancy; or 

  

	 	(v)	 any other reason, if the Designated Corporate Officer so decides in any particular case. 

  
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	 	7.2.2	 The Designated Corporate Officer must exercise any discretion provided for in rule 7.2.1(v) within 80
days after he/she becomes aware of the cessation of the relevant Participant’s employment or office and where the discretion is not exercised in favour of the Participant the Awards will be treated as having lapsed on the date of cessation.

  

	 	7.2.3	 The number of Shares in respect of which an Award Vests under rule 7.2.1 will, unless the Designated
Corporate Officer decides otherwise, either be reduced on a pro rata basis to reflect the portion of the Restricted Period which had not elapsed on the date the Participant ceased to be an employee or director of any Member of the Group or on any
other basis as determined by the Designated Corporate Officer. 

  

	 	7.2.4	 Rule 7.2.3 will not apply (and so there will be no pro rata reduction) unless the Designated Corporate
Officer decides otherwise where the Participant has ceased to be an employee as a result of ill-health, injury or disability. 

 

	 	7.2.5	 An Option which does not lapse when the Participant leaves employment will be exercisable for a period
of 12 months from the date of leaving or, if later, the date on which it Vests. 

  

	7.3	 Leaving after the end of the Restricted Period but before the Release of Awards 

Subject to rule 5, if a Participant ceases to be an employee or director of any Member of the Group after the end of the Restricted Period but
before the Release of Awards (because of, for example, any Dealing Restrictions), then his Awards will not lapse. In these circumstances, the Awards will still Vest in accordance with rule 4. 

 

	7.4	 Death 

If a Participant dies, his Awards do not lapse but will Vest on the date of death. An Option which Vests under this rule 7.4 will lapse 12
months after the date of Vesting. The Awards will be Released to his personal representative(s) as soon as possible after the date of death. The Designated Corporate Officer will determine the number of Shares to be Released in respect of Awards.
For the avoidance of doubt, the Plan Administrator may decide to satisfy such Release in cash calculated in accordance with rule 4.4. 
  

	7.5	 Meaning of “ceasing to be an employee or director” 

For the purposes of this rule 7, a Participant will not be treated as ceasing to be an employee or director of a Member of the Group until he
ceases to be an employee or director of any Member of the Group or if he recommences employment with a Member of the Group within seven days of cessation. 
  

	8	 Variations in share capital, demergers and special distributions 

If there is: 
  

	 	(a)	 a variation in the equity share capital of the Company, including a capitalisation or rights issue, sub-division, consolidation or reduction of share capital; or 

  

	 	(b)	 a demerger (in whatever form) or exempt distribution by virtue of Section 213 of the Income and
Corporation Taxes Act 1988; or 

  

	 	(c)	 a special dividend or distribution, 

  
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 the number or class of Shares or securities subject to the Award and (in the case of an
Option) the Option Price shall be adjusted in such manner as the Designated Corporate Officer may determine. 
  

	9	 Takeovers and restructurings 

 

	9.1	 Takeovers 

Where, before the end of the Restricted Period, a person (or a group of persons acting in concert) obtains Control of the Company as a result
of making an offer to acquire Shares, Awards will Vest, subject to rules 2.4 and 9.4, on the date the person obtains Control and will be Released to a Participant as soon as practicable thereafter (in the case of Options, subject to valid exercise
and payment of any Option Price). The Designated Corporate Officer will determine the number of Shares to be Released in respect of Awards. 
  

	9.2	 Schemes of arrangement 

When, before the end of the Restricted Period, a court sanctions a compromise or arrangement in connection with the acquisition of Shares,
Awards will Vest, subject to rules 2.4 and 9.4, on the date of court sanction and will be Released as soon as practicable thereafter (in the case of Options, subject to valid exercise and payment of any Option Price). This rule applies to a court
sanction under Section 899 of the Companies Act 2006 or equivalent procedure under local legislation. The Designated Corporate Officer will determine the number of Shares to be Released in respect of Awards. 

 

	9.3	 Lapse of Options 

An Option will be exercisable under rules 9.1 and 9.2 for a period of two months or, if earlier, for a period of six weeks after the date on
which a notice to acquire Shares under section 979 of the Companies Act 2006 is first served and will lapse at the end of that period to the extent it has not been exercised or exchanged. 

 

	9.4	 Exchange 

Awards will not Vest under either rule 9.1 or 9.2 but Awards will be exchanged under rule 10 to the extent that: 

 

	 	9.4.1	 an offer to exchange the Awards is made and accepted by a Participant; or 

 

	 	9.4.2	 the Designated Corporate Officer, with the consent of the Acquiring Company, decides before the person
obtains Control (where rule 9.1 applies) or court sanction (where rule 9.2 applies) that the Awards will be automatically exchanged. 

  

	9.5	 Demergers or other corporate events 

 

	 	9.5.1	 If the Designated Corporate Officer becomes aware that the Company is or is expected to be affected by
any demerger, distribution (other than an ordinary dividend) or other transaction not falling within rules 9.1 or 9.2 which, in the opinion of the Designated Corporate Officer would affect the current or future value of any Awards, the Designated
Corporate Officer may determine that Awards will Vest. The Designated Corporate Officer will determine the number of Shares to be Released and when (in the case of Options, subject to rule 4.2.2). 

  
 12 

	 	9.5.2	 The Company will notify any Participant who is affected by the Designated Corporate Officer exercising
their discretion under this rule. 

  

	 	9.5.3	 An Option will be exercisable for a period of two months following Vesting under rule 9.5.1 and will
lapse at the end of that period to the extent it has not been exercised. 

  

	9.6	 Designated Corporate Officer 

In this rule 9, “Designated Corporate Officer” means the person who was the Designated Corporate Officer immediately before
the change of Control. 
  

	9.7	 Overseas transfer 

If a Participant is transferred to work in another country and, as a result of that transfer he would: 

 

	 	9.7.1	 suffer a tax disadvantage in relation to his Awards and/or their Vesting or Release (this being shown to
the satisfaction of the Designated Corporate Officer); or 

  

	 	9.7.2	 become subject to restrictions on his ability to receive or to hold or deal in the Shares or the
proceeds of the sale of the Shares because of the security laws or exchange control laws of the country to which he is transferred, 

then if the Participant continues to hold an office or employment with a Member of the Group, the Designated Corporate Officer may in
exceptional circumstances decide that Awards will Vest and be Released on a date the Designated Corporate Officer chooses before or after the transfer takes effect (in the case of Options, subject to rule 4.2.2). The Vesting and Release of those
Shares will be made in respect of the number of Awards the Designated Corporate Officer permits. 
 An Option will be exercisable for a
period of two months following Vesting under this rule 9.7 and will lapse at the end of that period to the extent it has not been exercised. 
  

	10	 Exchange of Awards 

 

	10.1	 Timing of exchange 

Where Awards are to be exchanged under rules 9.1 and 9.2, the exchange will take place as soon as practicable after the relevant event. 

 

	10.2	 Exchange terms 

Where a Participant is granted new Awards in exchange for existing Awards, the new Awards: 

 

	 	10.2.1	 must be equivalent to the existing Awards; 

 

	 	10.2.2	 are treated as having been acquired at the same time as the existing Awards and will Vest and be
Released in the same manner and at the same time; 

  

	 	10.2.3	 are governed by the Plan as if references to Shares were references to the shares in respect of which
the new Awards are granted and references to the Company were references to the Acquiring Company; 

  

	 	10.2.4	 may provide (at the discretion of the Designated Corporate Officer) that the Vesting and Release of
Shares is subject to conditions. 

  
 13 

	11	 Terms of employment 

 

	 	11.1.1	 For the purposes of this rule 11, “Employee” means any person who was, is or will be eligible
to be a Participant, or contends such eligibility. 

  

	 	11.1.2	 This rule applies: 

 

	 	(i)	 whether the Company has full discretion in the operation of the Plan, or whether the Company could be regarded
as being subject to any obligations in the operation of the Plan; 

  

	 	(ii)	 during an Employee’s employment or employment relationship with any Member of the Group; and

  

	 	(iii)	 after the termination of an Employee’s employment or employment relationship, whether the termination is
lawful or unlawful. 

  

	 	11.1.3	 Nothing in the rules or the operation of the Plan forms part of the contract of employment or employment
relationship of an Employee. The rights and obligations arising from the employment relationship between the Employee and the Company or any Member of the Group are separate from, and are not affected by, the Plan. Participation in the Plan does not
create any right to, or expectation of, continued employment or a continued employment relationship. 

  

	 	11.1.4	 The grant of Awards on a particular basis in any year does not create any right to or expectation of the
grant of Awards on the same basis, or at all, in any future year. 

  

	 	11.1.5	 The benefit to an Employee of participating in the Plan shall not form any contractual right and shall
not be pensionable or benefit-bearing. 

  

	 	11.1.6	 No Employee has a right to participate in the Plan, or be considered for participation in it, at a
particular level or at all. Participation in one operation of the Plan does not imply any right to participate, or to be considered for participation in any later operation of the Plan. 

 

	 	11.1.7	 Without prejudice to an Employee’s right in respect of Awards, including their Vesting or Release,
subject to and in accordance with the express terms of the Plan, no Employee has any rights in respect of the exercise or omission to exercise any discretion, or the making or omission to make any decision, relating to the Awards or their Vesting or
Release. Any and all discretions, decisions or omissions relating to the Awards or their Vesting or Release may operate to the disadvantage of the Employee, even if this could be regarded as capricious or unreasonable, or could be regarded as in
breach of any implied term between the Employee and his employer, including any implied duty of trust and confidence. Any such implied term is excluded and overridden by this rule. 

 

	 	11.1.8	 No Employee has any right to compensation for any loss in relation to the Plan, including:

  

	 	(i)	 any loss or reduction of any rights or expectations under the Plan in any circumstances or for any reason
(including lawful or unlawful termination of employment or the employment relationship); 

  

	 	(ii)	 any exercise of a discretion or a decision taken in relation to Awards or to the Plan, or any failure to
exercise a discretion or take a decision; 

  
 14 

	 	(iii)	 the operation, suspension, termination or amendment of the Plan, or any grant of Awards or their Vesting or
Release. 

  

	 	11.1.9	 Participation in the Plan is permitted only on the basis that the Participant accepts all the provisions
of its rules, including in particular this rule. By participating in the Plan, an Employee waives all rights under the Plan, other than the right to acquire Shares subject to and in accordance with the express terms of the Plan in consideration for,
and as a condition of, the grant of Awards under the Plan. 

  

	 	11.1.10	 Nothing in this Plan confers any benefit, right or expectation on a person who is not an Employee. No
such third party has any rights under the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this Plan. This does not affect any other right or remedy of a third party which may exist. 

 

	 	11.1.11	 Each of the provisions of this rule is entirely separate and independent from each of the other
provisions. If any provision is found to be invalid then it will be deemed never to have been part of these rules and to the extent that it is possible to do so, this will not affect the validity or enforceability of any of the remaining provisions.

  

	12	 General 

  

	12.1	 Decisions are final and binding 

The decision of the Designated Corporate Officer and where relevant the Plan Administrator on the interpretation of the Plan or in any dispute
relating to Awards, including their grant, Vesting and Release, or any matter relating to the Plan will be final and conclusive. 
  

	12.2	 Documents sent to shareholders 

The Company may, if it considers it appropriate, send to Participants copies of any documents or notices normally sent to the holders of its
Shares at or around the same time as issuing them to the holders of its Shares. 
  

	12.3	 Costs 

The Company may ask a Participant’s employer to bear the costs in respect of Awards, including their grant, Vesting and Release to that
Participant. 
  

	12.4	 Regulations 

The Designated Corporate Officer has the power from time to time to make or vary regulations for the administration and operation of the Plan
but these must be consistent with its rules. 
  

	12.5	 Employee trust 

Any Member of the Group may provide money to the trustee of any trust or any other person to enable them or him to acquire Shares to be held
for the purposes of the Plan, or enter into any guarantee or indemnity for those purposes, to the extent permitted by Section 682 of the Companies Act 2006. 

  
 15 

	12.6	 Use of information 

By participating in the Plan and accepting an Award, the Participant consents to the holding and processing of personal information the
Participant provides for all purposes relating to the operation of the Plan in accordance with the applicable privacy statement and the Company’s Fair Processing Notice, as updated from time to time. These purposes include, but are not limited
to: 
  

	 	12.6.1	 administering and maintaining Participant records; 

 

	 	12.6.2	 providing information to Members of the Group, trustees of any employee benefit trust, registrars,
brokers, tax advisors appointed by the Company or third-party administrators of the Plan; and 

  

	 	12.6.3	 providing information to future purchasers or merger partners of the Company, the Participant’s
employing company, or the business in which the Participant works. 

 The basis for any processing of personal information
about the Participant under the EU’s General Data Protection Regulation (2016/679) (or any successor laws, including its incorporation into UK law as the UK GDPR) is set out in the applicable privacy statement and the Company’s Fair
Processing Notice and is not the consent given under rule 12.6. 
 The applicable privacy statement and the Company’s Fair Processing
Notice also contain details about how the Participant’s personal information is processed and the Participant’s rights in relation to that information. The Participant has a right to review the applicable privacy statement and the
Company’s Fair Processing Notice. 
  

	12.7	 Consents 

All allotments and transfers of Shares will be subject to any necessary consents under any relevant enactments or regulations for the time
being in force in the United Kingdom or elsewhere. The Participant will be responsible for complying with any requirements he needs to fulfil in order to obtain or avoid the necessity for any such consent. 

 

	12.8	 Share rights 

Shares issued to satisfy Awards will rank equally in all respects with the Shares in issue on the date of allotment. 

 

	12.9	 Articles of association 

Any Shares acquired under the Plan are subject to the articles of association of the Company from time to time in force. 

 

	12.10	 Notices 

  

	 	12.10.1	 Any notice or other document which has to be given to a person who is or will be eligible to be a
Participant under or in connection with the Plan may be: 

  

	 	(i)	 delivered or sent by post to him at his home address according to the records of his employing company; or

  

	 	(ii)	 sent by e-mail to any e-mail
address which according to the records of his employing company is used by him; or 

  

	 	(iii)	 posted on the Company’s website; 

  
 16 

 or in the case of rules 12.10.1(i) or 12.10.1(ii) such other address, for example, work
address, which the Plan Administrator considers appropriate. 
  

	 	12.10.2	 Any notice or other document which has to be given to the Plan Administrator or other duly appointed
agent under or in connection with the Plan may be delivered or sent by post to it at its registered office (or such other place as the Designated Corporate Officer or duly appointed agent may from time to time decide and notify to Participants) or
sent by e-mail to any e-mail address notified to the Participant. 

Notices sent by post will be deemed to have been given on the second day after the date of posting. However, notices sent by or to a
Participant who is working overseas will be deemed to have been given on the seventh day after the date of posting. Notices sent by e-mail, in the absence of evidence to the contrary, will be deemed to have
been received on the day after sending. 
  

	13	 Changing the Plan and termination 

 

	13.1	 Designated Corporate Officer’s powers 

Subject to rule 13.2, the Designated Corporate Officer may at any time change the Plan in any way. 

 

	13.2	 Shareholder approval 

 

	 	13.2.1	 Except as described in rule 13.2.2, the Company in a general meeting must approve in advance by ordinary
resolution any proposed change to the Plan to the advantage of present or future Participants, which relates to: 

  

	 	(i)	 eligibility; 

  

	 	(ii)	 the limits on the number of Shares which may be issued under the Plan; 

 

	 	(iii)	 the individual limit for each Participant under the Plan; 

 

	 	(iv)	 the basis for determining a Participant’s entitlement to, and the terms of, securities, cash or other
benefit to be provided and for the adjustment thereof (if any) if there is a capitalisation issue, rights issue or open offer, sub-division or consolidation of shares or reduction of capital or any other
variation of capital; or 

  

	 	(v)	 the terms of this rule 13.2.1. 

 

	 	13.2.2	 The Designated Corporate Officer can change the Plan and need not obtain the approval of the Company in
general meeting for any minor changes: 

  

	 	(i)	 to benefit the administration of the Plan; 

 

	 	(ii)	 to comply with or take account of the provisions of any proposed or existing legislation; or

  

	 	(iii)	 to obtain or maintain favourable tax, exchange control or regulatory treatment of the Company, any Subsidiary
or any present or future Participant. 

  
 17 

	13.3	 Notice 

The Plan Administrator may give written notice of any changes made to any Participant affected. 

 

	13.4	 National provisions 

Notwithstanding any other provision of the Plan, but subject always to rules 13.1 and 13.2, the Company may amend or add to the provisions of
the Plan it considers necessary or desirable to take account of, or to mitigate, or to comply with relevant overseas laws including but not limited to taxation, securities or exchange control laws, provided that the terms of Awards granted to such
Participants are not more favourable overall than the terms of Awards granted to other Participants. 
  

	13.5	 Termination 

The Designated Corporate Officer may terminate the Plan at any time. However, Awards granted before such termination will continue to be valid
and will Vest and be Released as described in these rules. 
  

	14	 Governing law and jurisdiction 

English law governs the Plan. The English courts have exclusive jurisdiction in respect of disputes arising under or in connection with the
Plan and Awards, including their grant, Vesting and Release unless the Designated Corporate Officer determines otherwise, in which case proceedings may be taken in any other court of competent jurisdiction. 

  
 18 

 Schedule 1 

US Schedule 
 This United States
(“US”) Schedule has been adopted by the Company pursuant to rule 13.4 of the Plan and shall vary the terms of the Plan (including Schedule 2) (and any other related documents) accordingly for all US Participants. For the purposes of
this Schedule 1, a “US Participant” means a Participant who is: 
  

	(i)	 a US citizen; 

  

	(ii)	 a US permanent resident (as may be evidenced by a so-called “green
card” and/or participation in a US tax-qualified pension plan sponsored by a Member of the Group); 

  

	(iii)	 a non-US citizen who is posted to the United States as of a Vesting
Date and who is (or expected to become) subject to US taxation as a resident alien; or 

  

	(iv)	 a non-US citizen to the extent that he or she is or becomes subject to
Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), with regard to a grant, Vesting or Release of Awards, including a non-resident alien taxpayer, with respect to
some portion of a grant, Vesting or Release of Awards that is deemed to be income from a US source. 

 Rule 1, definition of
“Career Break”, shall be varied by adding the following: 
 For US Participants, a Career Break shall only be recognized for purposes of this
Plan if the Participant is reasonably expected to return to work with the Company after the expiration of the break and such break is approved by the Company in advance of the break’s onset. The maximum recognized period for a Career Break for
US Participants will be six (6) months (or such longer period if the Participant has a legal or contractual right to return to work with the company immediately following the expiration of the break), with a voluntary termination of employment
considered to have taken place for purposes of the Plan for any such longer period, as determined in accordance with Section 409A of the Code. 

Rule 1 shall be varied by deleting the definition of “Control” and adding the following definition of “Change of Control”: 

“Change of Control” for US Participants shall mean a change in the ownership of the Company, change in effective control of the Company or
change in the ownership of a substantial portion of the Company’s assets, as such phrases are specifically defined by United States Treasury Regulations Section 1.409A-3(i)(5)(v), (vi) and (vii), as
applicable to the terms herein and as may hereafter be amended. 
 Rule 1 shall be varied by deleting the definition of “Option Price” and
adding the following definition of “Option Price”: 
 “Option Price” means the amount payable for each Share on the exercise
of an Option, which shall not be any less than the fair market value of the option on the Grant Date. 
 Rule 3 shall be varied by adding the following
as Rule 3.5: 
 Notwithstanding anything in the Plan rules to the contrary, and consistent with rule 15.1 of this US Schedule, this Plan shall not be
considered a “funded” plan within the meaning of Section 409A of the Code, and any procurement of Shares to accomplish a transfer of Shares to US Participants shall be done in such a manner consistent with rule 15.1 below. 

  
 19 

 Rule 4.2.2(ii) shall be varied by adding the following: 

Rule 4.2.2(ii) is not intended to be applied to a US Participant. If applicable non-US law requires the general
application of rule 4.2.2(ii) to a US Participant, it will be applied in manner consistent with Section 409A of the Code. 
 Rule 4.4 shall be
varied by adding the following: 
 Rule 4.4 is not intended to be applied to a US Participant. If applicable
non-US law requires the general application of rule 4.4 to a US Participant, it will be applied in manner consistent with Section 409A of the Code. 

Rule 4.6 shall be varied by adding the following: 

Notwithstanding anything in the Plan rules to the contrary, any right of the Company, the Plan Administrator, the Designated Corporate Officer, any employing
Company or any other entity to deduct from and set off against the Award any debt, obligation, liability or other amount owed by the US Participant to a Member of the Group, shall be subject to limitations imposed by Section 409A of the Code.

 Rule 4 shall be varied by adding the following as rule 4.7: 

Notwithstanding anything contained in the Plan rules to the contrary, no issue or transfer of Shares or payment pursuant to this Plan may be made later than 21⁄2 (two and a half) months after the end of the Restricted Period. 

Rule 6 shall be varied by adding the following: 
 Rule 6
is not intended to be applied to a Participant who is considered a US Participant based on his status as a US citizen or a US permanent resident and who is employed by a Member of the Group located in the United States. If applicable non-US law requires the general application of rule 6 to any US Participant, rule 6 will be applied in a manner consistent with the provisions of rule 7.2 of this US Schedule. 

Rule 7.2 shall be replaced in its entirety to read as follows: 
  

	7.2	 Leaving in exceptional circumstances 

If a US Participant ceases to be employed by any Member of the Group before the end of the Restricted Period for any of the reasons set out
below, his Awards do not lapse and will Vest and be Released after the end of the Restricted Period. The reasons are: 
 (1) Disability. For
the purposes of this rule, a US Participant will be considered disabled if he is (A) unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in
death or can be expected to last for a continuous period of not less than 12 months; or (B) by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a
continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than 3 (three) months under an accident and health plan covering employees of a Member of the Group; or (C) otherwise disabled within
the meaning of the Code; or 

  
 20 

 (2) A US Participant’s involuntary termination of employment with any Member of the
Group, other than due to such Participant’s conduct or performance. For avoidance of doubt, the following circumstances will be considered an involuntary termination of employment: (A) termination of a US Participant’s employment by
his or her employer, or a termination considered by the Designated Corporate Officer to have been initiated by the US Participant’s employer, in both cases where the termination is not based on the US Participant’s conduct or performance;
(B) a US Participant’s employing Member of the Group ceasing to be under the Control of the Company or (C) a sale of assets or other transaction resulting in the loss of the US Participant’s employment with any Member of the
Group. In no event will a resignation be considered an involuntary termination of employment, regardless of whether the US Participant experienced a change in duties or work location resulting in his resignation. 

(3) If a US Participant’s termination of employment occurs by mutual agreement between the Participant and the Company to an agreed and
planned exit, the Designated Corporate Officer may in his sole discretion permit the Award to continue to Vest according to its original terms. 

Rules 7.2.3 and 7.2.5 shall remain as stated in the Plan rules. 

Rule 7.4 shall be varied by replacing the final sentence with the following: 

Unless the grant document states otherwise, the Shares will in all circumstances be delivered within 90 days after the date of the Participant’s death.

 Rule 8 shall be varied by adding the following phrase at the end: 

“..., which shall not be less than the applicable fair market price.” 

Rule 9.1 shall be varied by adding the following: 
 Rule
9.1 will only apply when the Change of Control or corporate event described therein constitutes a Change of Control as defined in this US Schedule. As well, and notwithstanding anything in the Plan rules to the contrary, the issue or transfer of
Shares upon Vesting shall be accomplished no later than 90 days after such corporate event. 
 Rule 9.4 shall be varied by adding the following: 

Rule 9.4 is not intended to be applied to a US Participant. 

Rule 9.6 shall be varied by adding the following: 
 The
use of the term “change of Control” shall be changed to read “Change of Control”, as defined in this US Schedule. 
 Rule 9.7 shall
be varied by adding the following: 
 Rule 9.7 is not intended to be applied to a US Participant. 

  
 21 

 The following shall be added as rule 15 

 

	15	 US Tax Compliance and Deferrals 

 

	15.1	 Compliance with Section 409A and Other Applicable Laws 

Notwithstanding any provision of the Plan to the contrary, the Plan is intended to comply with the requirements of Section 409A of the
Code with respect to US Participants. Accordingly, all provisions herein, or incorporated by reference, shall be construed and interpreted to comply with Section 409A of the Code to the extent required. Notwithstanding any provision of the Plan
to the contrary, if a US Participant is a “specified employee” within the meaning of Section 409A of the Code at the time of separation from service, to the extent necessary to comply with Section 409A of the Code, any payment
required under this Plan shall be held for delayed payment and shall be distributed on or immediately after the date which is 6 (six) months after the date of the Participant’s separation from service, or death if earlier. In no event may the
US Participant, directly or indirectly, designate the calendar year of a payment. Notwithstanding any provision of this Plan to the contrary, this Plan shall also be unfunded for the purposes of Section 409A of the Code. 

Notwithstanding any provision of this Plan to the contrary, the Designated Corporate Officer may amend or terminate the grant, Vesting and/or
Release of Awards under this Plan at any time and without prior notice if the Designated Corporate Officer determines in its sole discretion that such action is necessary or advisable to avoid or mitigate potential
non-compliance with applicable law or if compliance would create unreasonable administrative burdens. If the terms of a grant, Vesting or Release of an Award are amended or terminated, the Company is under no
obligation to provide any consideration or remuneration in lieu of the grant, Vesting and/or Release of the Award. 
 All taxes, penalties,
or interest imposed on any Participant due to any failure to comply with Section 409A of the Code or other tax rule shall be the Participant’s responsibility and no Member of the Group shall have any obligation to keep the Participant
whole. 

  
 22 

 Schedule 2 

Restricted Cash Units 
  

	1	 Rules 

The rules of the Reinvent bp Plan (the “Plan”) will apply to grants made under this Schedule 2, as modified by the terms of
this Schedule 2 and (to the extent necessary) as modified by Schedule 1. 
  

	2	 Definitions 

“Restricted Cash Units” means a conditional entitlement to a payment of cash as described in paragraph 3 of this Schedule 2;

 “Unrestricted Cash Units” means an unconditional entitlement to a payment of cash as described in paragraph 6 of this
Schedule 2. 
  

	3	 Restricted Cash Units 

Restricted Share Units will be referred to for the purposes of this Schedule 2 as Restricted Cash Units. Any Restricted Cash Units granted
under this Schedule 2 will give Participants a right to receive a cash sum only. No Shares may be issued or transferred in satisfaction of grants under this Schedule 2 and references to Restricted Share Units, Vesting and Release shall be construed
accordingly. 
  

	4	 No rights as shareholders 

As a result only of their participation under this Schedule 2, Participants will have no rights as shareholders of the Company and no rights to
acquire Shares. 
  

	5	 Payments of cash 

Subject to paragraph 6 of this Schedule 2, after the end of the Restricted Period for grants made under this Schedule 2 (and once any
determinations are made under rule 4.2 of the Plan, if applicable) the Plan Administrator will determine the number of Shares which would have Vested had a grant of Restricted Share Units been made rather than a grant of Restricted Cash Units and
shall make a cash payment to the Participant in accordance with rule 4.4 of the Plan. 
  

	6	 Grant of Unrestricted Cash Units 

 

	6.1	 The Plan Administrator may decide at any time after the end of the Restricted Period for grants made
under this Schedule 2 (and once any determinations are made under rule 4.2 of the Plan, if applicable) that a Participant will be granted Unrestricted Cash Units rather than made a cash payment in accordance with paragraph 5 of this Schedule 2.

  

	6.2	 A grant of Unrestricted Cash Units will represent the number of Shares which would have Vested had a
grant of Restricted Share Units been made rather than a grant of Restricted Cash Units. Unrestricted Cash Units will give Participants a right to receive a cash sum only. 

  
 23 

	6.3	 Where a dividend is paid on a Share, the Plan Administrator may, in his absolute discretion, adjust the
number of Unrestricted Cash Units held by a Participant or take any other such action which it deems appropriate. 

  

	6.4	 A Participant may at any time direct the Company to make him a cash payment in respect of all or part of
his Unrestricted Cash Units. The direction will be in such form as the Company may decide. The payment will be made as soon as practicable after receipt of the direction. 

 

	6.5	 The cash payment to be made under paragraph 6.4 of this Schedule 2 will be calculated by multiplying the
number of Unrestricted Cash Units in respect of which the direction is made by the market value of a Share (as determined by the Designated Corporate Officer) on a date to be determined by the Plan Administrator on the basis of one Share for each
Unrestricted Cash Unit. 

  

	6.6	 The Plan Administrator may determine a minimum number of Unrestricted Cash Units that a direction may be
made in respect of. 

  

	6.7	 Where a Participant ceases to be employed by a Member of the Group, he shall be treated as having made a
direction as set out in paragraph 6.4 of this Schedule 2 on the date on which he ceases to be an employee. 

  

	6.8	 Rule 4.6 of the Plan will apply in relation to any payments made under paragraph 6 of this Schedule 2.

  
 24

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