Document:

Exhibit 10.1

 Exhibit 10.1 

 
 

 
 April 25, 2013 
 Re: Accelerated Share Repurchase 
 Ladies and Gentlemen: 

This letter (the “Letter Agreement”) sets forth the agreement we have reached with respect to a transaction between
Citibank, N.A. (“Dealer”), and Lear Corporation (the “Company”) in relation to shares of the Company’s common stock, par value USD 0.01 (the “Common Stock”). 

I. Definitions 
 As used
in this Letter Agreement, the following terms shall have the following meanings: 
 “Applicable Percentage”
means for purposes of determining whether a tender or exchange offer constitutes (i) a Cash Tender Offer within the meaning of Section VIII(a) or a Non-Cash Tender Offer within the meaning of Section VIII(c), 25% or (ii) a potential Cash
Tender Offer or Non-Cash Tender Offer within the meaning of Section VIII(f), 50%. 
 “Applicable Threshold”
means (i) with respect to Dealer, 3% of its shareholders’ equity and (ii) with respect to the Company, $100,000,000. 
 “Available Share Number” has the meaning specified in Section XIII(a). 
 “Bankruptcy Code” has the meaning specified in Section XV. 

“Borrow Cost” means, with respect to any borrowing by Dealer of shares of Common Stock, (i) the excess of the
applicable floating rate over any rebate rate that is paid by the relevant share lender to Dealer on cash collateral posted in connection therewith plus (ii) any stock loan borrow fee paid by Dealer to the relevant share lender. 

“Borrow Cost Increase Notice” has the meaning specified in Section VI(a). 

“Cash Settlement Election” has the meaning specified in Section III(b). 

“Cash Tender Offer” has the meaning specified in Section VIII(a). 

“Cash Tender Termination” has the meaning specified in Section VIII(a). 

“Change in Law” has the meaning specified in Section VIII(e). 

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

“Corporate Event Termination” has the meaning specified in Section VIII(c). 

“Defaulting Party” has the meaning specified in Section IX. 

“Delisting Termination” has the meaning specified in Section VIII(d). 

“Discount Per Share” means an amount per share equal to **********% multiplied by the closing price per share of
Common Stock on the Exchange on the Trading Day immediately preceding the Pricing Period Commencement Date, as determined by Dealer. 

 

 
  

 “Disrupted Day” means a scheduled Trading Day on which (x) a
Market Disruption Event occurs or (y) the Pricing Period is suspended pursuant to Section IV(c). 
 “Dividend Event
Termination” has the meaning specified in Section VII(b). 
 “Exchange” means New York Stock Exchange
or any successor exchange. 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Expected Dividend Amount” means, with respect to any calendar quarter, the amount per share of Common Stock specified
as such in Annex C in respect of such calendar quarter, subject to adjustment in accordance with Sections VI and VIII. 

“Extraordinary Dividend” has the meaning specified in Section VIII(c). 

“Indemnified Party” has the meaning specified in Section XIV. 

“Initial Pricing Period Termination Date” means **********. 

“Interim Delivery Shares” has the meaning specified in Section XV(g). 

“Loss” has the meaning specified in Section X(a). 

“Loss Determination Period” means, with respect to any Termination Event or Event of Default with respect to which the
Company is the Defaulting Party or Terminating Party, the period over which Dealer determines the amount of its Loss in a commercially reasonable manner. 
 “Loss Notice” has the meaning specified in Section X(a). 

“Loss of Borrow Termination” has the meaning specified in Section VI(b). 

“Market Disruption Event” means any (i) suspension of or limitation imposed on trading by, or any failure to open
or closure prior to its scheduled closing time of, any exchange or market on which the Common Stock is listed for trading, or (ii) event that disrupts or impairs (in the reasonable business judgment of Dealer) the ability of market participants
in general to effect transactions in, or obtain market values for, the shares of Common Stock or futures or options contracts relating to the Common Stock, that, in the case of clause (i) or (ii), in the commercially reasonable business
judgment of Dealer is material to its contemplated hedging activity on the relevant scheduled Trading Day. 
 “Maximum
Borrow Cost” means 25 basis points per annum based on the closing price per share of Common Stock on the Trading Day immediately preceding the relevant day. 
 “Merger Events” has the meaning specified in Section VIII(c). 

“Nationalization Termination” has the meaning specified in Section VIII(g). 

“Non-Cash Tender Offer” has the meaning specified in Section VIII(c). 

“Non-Defaulting Party” has the meaning specified in Section IX. 

“Non-Terminating Party” means, with respect to any Termination Event, any party identified as such in the relevant
Section. 
 “Number of Initial Shares” has the meaning specified in Section II(a). 

  
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 “Original Delivery Date” has the meaning specified in Section XV(g).

 “Payment Amount” has the meaning specified in Section III(b). 

“Pricing Period” means the period of consecutive Trading Days commencing on the Pricing Period Commencement Date and
ending on the Pricing Period Termination Date. 
 “Pricing Period Commencement Date” means April 29, 2013.

 “Pricing Period Termination Date” means the earlier of (a) the Scheduled Pricing Period Termination
Date, or (b) any Trading Day occurring on or following the Initial Pricing Period Termination Date, as long as Dealer notifies the Company, no later than 5:00 p.m. New York time on the immediately following Trading Day, of its intention to
terminate the Pricing Period on such Trading Day. 
 “Private Placement Agreement” has the meaning set forth in
Annex B hereto. 
 “Private Placement Determination Period” has the meaning set forth in Annex B hereto.

 “Private Placement Price” has the meaning set forth in Annex B hereto. 

“Private Securities” has the meaning set forth in Annex B hereto. 

“Private Settlement” has the meaning set forth in Section III(b). 

“Prospectus” has the meaning specified in Annex A hereto. 

“Purchase Date” means April 25, 2013. 
 “Purchase Price” has the meaning specified in Section II(a). 

“Registered Settlement” has the meaning set forth in Section III(b). 

“Registered Settlement Election” has the meaning set forth in Section III(b). 

“Registration Backstop Date” means the 30th Trading Day immediately following the Pricing Period Termination Date.

 “Registration Statement” has the meaning specified in Annex A hereto. 

“Regulation M” means Regulation M under the Exchange Act. 

“Regulatory Suspension” has the meaning specified in Section IV(c). 

“Remaining Share Amount” for any Trading Day equals (i) the Number of Initial Shares, minus (ii) the
cumulative number of shares of Common Stock that Dealer has repurchased (on a net basis) to cover its short position in respect of this Transaction. For the avoidance of doubt, such shares shall be considered repurchased by Dealer as of the Trading
Day on which such transactions settle. 
 “Rule 10b-18” means Rule 10b-18 under the Exchange Act. 

“Rule 10b-18 VWAP” means, for any Trading Day, subject to Section III(f), the volume-weighted average price at which the
Common Stock trades as reported in the composite transactions for U.S. securities exchanges and quotation systems on which such Common Stock is then listed or traded on such Trading Day, excluding (i) trades that do not settle regular way,
(ii) opening (regular way) reported trades in the consolidated system on such Trading Day, (iii) trades that occur in the last ten minutes before the scheduled close of trading on the Exchange on such Trading Day and ten minutes before the
scheduled 

  
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close of the primary trading in the market where the trade is effected, and (iv) trades on such Trading Day that do not satisfy the requirements of Rule 10b-18(b)(3) of the Exchange Act, as
determined in good faith by Dealer. The Company acknowledges that Dealer may refer to the Bloomberg Page “LEA <Equity> AQR SEC” (or any successor thereto), in its judgment, for such Trading Day to determine the Rule 10b-18 VWAP.

 “SEC” has the meaning specified in Annex A hereto. 

“Scheduled Ex-Date” means, with respect to the ordinary cash dividend for any calendar quarter occurring during the
Pricing Period, the date specified as such in Annex C hereto in respect of such calendar quarter. 
 “Scheduled Pricing
Period Termination Date” means, subject to Section III(f), March 31, 2014. 
 “Securities Act”
means the Securities Act of 1933, as amended. 
 “Settlement Date” means (i) with respect to a Registered
Settlement pursuant to Annex A or a private placement pursuant to Annex B, the date on which such Registered Settlement or private placement is consummated in accordance with Annex A or B, as the case may be, and (ii) otherwise, the fourth
Trading Day immediately following the last day of the Pricing Period. 
 “Settlement Number” means (a) the
Purchase Price divided by the Settlement Price, minus (b) the Number of Initial Shares, minus (c) the aggregate number of all Interim Delivery Shares. 

“Settlement Price” means, subject to Section III(f), (i) the arithmetic average of the Rule 10b-18 VWAP prices for
all Trading Days during the Pricing Period minus (ii) the Discount Per Share. 
 “Share Cap” means,
as of any date of determination, two (2) times the Number of Initial Shares minus the number of shares of Common Stock delivered by the Company to Dealer on or prior to such date hereunder, in each case subject to adjustment pursuant to
Section VI(a) and VIII; provided that, notwithstanding anything to the contrary herein, in no event shall the Share Cap exceed the Available Share Number on account of any adjustment resulting from actions or events outside of the
Company’s control. 
 “Share Termination Period” has the meaning specified in Section X(c). 

“Significant Spin-off” has the meaning specified in Section VIII(c). 

“Termination Event” means any of the events identified as such in Section VI(a), VI(b), VII(b) or VIII(a), (c), (d),
(e), (g) or (h). 
 “Termination Price” means $25.00. 

“Terminating Party” means, with respect to any Termination Event, any party identified as such in the relevant Section.

 “Trading Day” means any day (i) other than a Saturday, a Sunday or a Disrupted Day in full and
(ii) on which the Exchange is open or is scheduled to be open for trading during its regular trading session, but excluding any day on which the Exchange is scheduled, as of the date hereof, to close prior to its normal weekday scheduled
closing time. 
 “Transaction” means the transaction contemplated by this Letter Agreement. 

“Transfer Agreement” has the meaning specified in Annex A hereto. 

“Valuation Period” means a commercially reasonable period of time determined in good faith by Dealer taking into account
then-existing liquidity conditions and applicable legal and regulatory 

  
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considerations, commencing on the first Trading Day immediately following (i) the Registration Backstop Date or (ii) such earlier date following the Pricing Period Termination Date on
which Company notifies Dealer no later than 5:00 p.m. New York time that it will forgo any Registered Settlement Election. 
 II. Initial
Shares 
 (a) Purchase. Subject to the terms and conditions of this Letter Agreement, the Company agrees to purchase
from Dealer, and Dealer will sell to the Company, on the Purchase Date, for a single aggregate price of $800 million (the “Purchase Price”), 11,862,836 shares of Common Stock (“Number of Initial Shares”) and, if the
Settlement Number is greater than zero, an additional number of shares of Common Stock equal to such Settlement Number. Such purchase and sale shall be effected in accordance with Dealer’s customary procedures. 

(b) Initial Settlement. On the first Trading Day immediately following the Pricing Period Commencement Date, Dealer shall deliver
the Number of Initial Shares to the Company, upon payment by the Company of the Purchase Price in U.S. dollars. 
 III. Settlement

 (a) Dealer Settlement Obligation. If, following the expiration of the Pricing Period, the Settlement Number is greater
than zero, on the Settlement Date, Dealer shall transfer to the Company through its agent, for no additional consideration, a number of shares of Common Stock equal to the Settlement Number. 

(b) Company Settlement Obligation. If, following the expiration of the Pricing Period, the Settlement Number is less than zero,
prior to the commencement of the Valuation Period, the Company may elect by notice to Dealer to transfer to Dealer through its agent, for no additional consideration, a number of shares of Common Stock equal to the absolute value of the Settlement
Number in accordance with the terms of Annex A (“Registered Settlement”) (such election, a “Registered Settlement Election”). If the Company does not timely notify Dealer of its Registered Settlement Election, then
at any time prior to 5:00 p.m. New York time on the last day of the Valuation Period, the Company may elect by notice to Dealer to make a cash payment to Dealer (a “Cash Settlement Election”) in an amount equal to the absolute value
of the Settlement Number multiplied by the weighted average purchase price at which Dealer purchases shares of Common Stock equal to the absolute value of the Settlement Number during the Valuation Period (the “Payment
Amount”), to be paid on the third Trading Day immediately following the last day of the Valuation Period. Dealer shall deliver notice to the Company of the Payment Amount on the last Trading Day of the Valuation Period. In the absence of a
timely Registered Settlement Election, on each Trading Day during the Valuation Period, Dealer agrees to purchase the lesser of (x) the maximum number of shares that the Company would be permitted to purchase under Rule 10b-18(b)(4) and
(y) the maximum number of shares that can be purchased by Dealer in a commercially reasonable manner in light of then-existing liquidity conditions or legal or regulatory considerations (based on advice of counsel), as reasonably determined by
Dealer. If the Company fails to timely notify Dealer of its Cash Settlement Election, the Company shall be deemed to have made an irrevocable election to effect delivery to Dealer through its agent, for no additional consideration, of the number of
Private Securities determined pursuant to Annex B (“Private Settlement”). 
 (c) Delivery Limitation.
Notwithstanding anything to the contrary in this Letter Agreement, each party acknowledges and agrees that, on any day, Dealer (or its agent or affiliate) shall not be entitled to receive any shares of Common Stock from the Company if such receipt
would result in Dealer directly or indirectly beneficially owning (as such term is defined for purposes of Section 13(d) of the Exchange Act) at any time in excess of 4.9% of the outstanding shares of Common Stock, as notified by Dealer to
Company in writing no later than the scheduled Trading Day immediately preceding the relevant delivery date. Any purported receipt of shares of Common Stock shall be void and have no effect to the extent (but only to the extent) that any receipt of
such shares of Common Stock would result in Dealer directly or indirectly so beneficially owning in excess of 4.9% of the outstanding shares of Common Stock. If, on any day, any delivery of shares of Common Stock by the Company is not effected, in
whole or in part, as a 

  
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result of this provision, the Company’s obligations to make such delivery shall not be extinguished and such delivery shall be effected on one or more dates that, in each case, fall no
earlier than the third scheduled Trading Day following Dealer’s delivery of written notice to the Company that receipt of the relevant shares would not result in Dealer directly or indirectly beneficially owning in excess of 4.9% of the
outstanding shares of Common Stock. For the avoidance of doubt, Company shall not have any obligation to pay cash pursuant to, or on account of, this Section III(c). 
 (d) Company Settlement Representations. If the Company makes the Registered Settlement Election or notifies Dealer, pursuant to clause (ii) in the definition of “Valuation Period”,
that it will forgo any Registered Settlement Election, the Company shall be deemed to represent and warrant, as of the date of the Registered Settlement Election or such notice, as the case may be, that each of its filings under the Securities Act,
the Exchange Act or other applicable securities laws that are required to be filed have been filed and that, as of the date of this representation, there is no misstatement of material fact contained therein or omission of a material fact required
to be stated therein or necessary to make the statements therein not misleading in the circumstances under which they were made (with such filings being considered as a whole and with later filings being deemed to amend inconsistent statements in
earlier filings). 
 (e) Fractional Shares. If any fractional share would otherwise be deliverable pursuant to clause
(a) or (b) above or Section X(c) below, the Company or Dealer, as the case may be, shall pay cash in lieu thereof based on the Rule 10b-18 VWAP on the Trading Day immediately preceding the relevant settlement date. 

(f) Disrupted Days. To the extent that any Disrupted Day occurs during the Pricing Period, the Dealer may postpone the Scheduled
Pricing Period Termination Date by one scheduled Trading Day for each such Disrupted Day. In addition, Dealer may determine that any such Disrupted Day is a Disrupted Day only in part, in which case the Rule 10b-18 VWAP for such Disrupted Day shall
be determined by Dealer based on Rule 10b-18 eligible transactions in the shares of Common Stock on such Disrupted Day taking into account the nature and duration of the relevant Market Disruption Event or Regulatory Suspension, as the case may be,
and the weighting of the Rule 10b-18 VWAP for the relevant Trading Days during the Pricing Period shall be adjusted in a commercially reasonable manner by Dealer for purposes of determining the Settlement Price, with such adjustments based on, among
other factors, the nature and duration of the relevant Market Disruption Event or Regulatory Suspension, as the case may be, and the volume, historical trading patterns and price of the Common Stock. 

IV. Dealer Purchases 

(a) Manner of Purchases. During the Pricing Period, any Valuation Period, any Loss Determination Period, any Private Placement
Determination Period or any Share Termination Period, Dealer (or its agent or affiliate) may purchase shares of Common Stock in connection with this Transaction. The timing of such purchases by Dealer, the price paid per share of Common Stock
pursuant to such purchases and the manner in which such purchases are made, including without limitation whether such purchases are made on any securities exchange or privately, shall be within the sole judgment of Dealer; provided that,
during any Valuation Period, any Loss Determination Period, any Private Placement Determination Period or any Share Termination Period, Dealer will, if (x) the safe harbor of Rule 10b-18 is available to the Company at the time and (y) in
the case of a Loss Determination Period, Dealer determines its Loss (in a commercially reasonable manner) based on, among other factors, its (or its agent’s or affiliate’s) actual purchases of Common Stock during such period, use (or cause
its agent or affiliate to use) commercially reasonable efforts to make all purchases of Common Stock in connection with this Transaction in a manner that would comply with the limitations set forth in clauses (b)(2), (b)(3), (b)(4) and (c) of
Rule 10b-18 as if such rule were applicable to such purchases. 
 (b) 10b5-1 Plan. The Company acknowledges and agrees
that (i) all purchases pursuant to this Section IV hereunder shall be made in Dealer’s sole discretion and for Dealer’s own account and (ii) the Company does not have, and shall not attempt to exercise, any influence over how,
when or whether to make such purchases, including, without limitation, the price paid per share of Common Stock pursuant to 

  
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such purchases whether such purchases are made on any securities exchange or privately. It is the intent of the Company and Dealer that this Transaction comply with the requirements of Rule
10b5-1(c) of the Exchange Act and that this Letter Agreement shall be interpreted to comply with the requirements of Rule 10b5-1(c)(1)(i)(B) and the Company shall take no action that results in the transaction not so complying with such
requirements. 
 (c) Regulatory Suspension. In the event that Dealer reasonably concludes, based on advice of counsel and
in good faith, that it is appropriate with respect to any legal, regulatory or self-regulatory requirements or related policies and procedures, which are generally applicable to transactions of this type and consistently applied (whether or not such
requirements, policies or procedures are imposed by law or have been voluntarily adopted by Dealer), for it to refrain from conducting any market activity relating to the Common Stock that it reasonably determines is necessary to hedge its exposure
under the Transaction on any Trading Day during the Pricing Period, the Pricing Period shall be suspended for such day (any such suspension, a “Regulatory Suspension”). Dealer shall promptly notify the Company upon exercising its
rights pursuant to this Section IV(c) and shall subsequently notify the Company in writing on the day Dealer believes that it may resume conducting such market activity relating to the Common Stock it reasonably determines is necessary to hedge its
exposure under the Transaction. 
 V. Company Purchases 
 The Company (including its “affiliated purchasers”, as defined in Rule 10b-18) shall not, without a prior written consent of Dealer, purchase any shares of Common Stock (or an equivalent
interest, or any security convertible into or exchangeable for such shares) on the open market, or enter into any accelerated share repurchase program, or any derivative share repurchase transaction, or other similar transaction, that, in each case,
is reasonably likely to result in open market purchases by any party to such transaction or their respective hedging counterparties during the Pricing Period, any Valuation Period, any Loss Determination Period, any Private Placement Determination
Period or any Share Termination Period. During such time, any purchases of Common Stock by the Company shall be made through Dealer or its affiliates, subject to such reasonable conditions as Dealer or such affiliate shall impose, and in compliance
with Rule 10b-18 or otherwise in a manner that the Company and Dealer believe is in compliance with applicable requirements. However, the foregoing shall not limit Company’s ability (or the ability of any “agent independent of the
issuer” (as defined in Rule 10b-18)), pursuant to any “plan” (as defined in Rule 10b-18) of Company, to re-acquire shares of Common Stock from plan participants in connection with any equity transaction related to such plan or to
limit Company’s ability to withhold shares of Common Stock to cover tax liabilities associated with such equity transactions or otherwise restrict Company’s ability to repurchase shares of Common Stock under privately negotiated or
off-market transactions (including, without limitation, transactions with any of Company’s employees, officers, directors or affiliates), so long as any such re-acquisition, withholding or repurchase does not constitute a “Rule 10b-18
purchase” (as defined in Rule 10b-18) and is not reasonably expected to result in any purchases in the open market.
 VI. Borrow
Events 
 (a) Borrow Cost Increase. If at any time during this Transaction, Dealer does not, after using
commercially reasonable efforts, successfully borrow Common Stock (up to a number equal to the Remaining Share Amount) at a Borrow Cost less than or equal to the Maximum Borrow Cost, then Dealer shall notify the Company in writing of the amount by
which such Borrow Cost exceeds the Maximum Borrow Cost and of the adjustment that it would propose pursuant to clause (ii) below (any such notice, a “Borrow Cost Increase Notice”), in which case (as long as such Borrow Cost is
commercially reasonable) the Company will elect within five scheduled Trading Days of receiving such notice that: 
 (i) the Company shall reimburse Dealer for such excess of the Borrow Cost over the Maximum Borrow Cost; 
 (ii) Dealer will act in good faith and in a commercially reasonable manner (and in consultation with the Company) to (a) make the corresponding adjustment(s), if any, to any variable relevant to the
exercise, valuation, settlement or payment terms as Dealer determines appropriate to account for such excess of the Borrow Cost over the Maximum Borrow Cost and (b) determine the effective date(s) of the adjustment(s); or 

  
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 (iii) a Termination Event shall occur with the Company as the
Terminating Party and Dealer as the Non-Terminating Party. 
 If the Company does not timely make any such election, the Company
shall be deemed to have elected clause (iii). 
 (b) Loss of Borrow Termination. On any Trading Day during the Pricing
Period, Dealer may elect to terminate (“Loss of Borrow Termination”) this Transaction, in whole or in part, as the case may be, in the event and pro rata (x) to the extent it is no longer able, after commercially
reasonable efforts, to borrow (or maintain a borrowing of) shares of Common Stock in an amount equal to the Remaining Share Amount or (y) with respect to any shares as to which Company, after receiving a Borrow Cost Increase Notice, asserts
that Dealer’s Borrow Cost is not “commercially reasonable” (within the meaning of clause (a) above). Upon the occurrence of a Loss of Borrow Termination, a Termination Event shall be deemed to have occurred with the Company
deemed the Terminating Party and Dealer, the Non-Terminating Party. In the case of a termination of the Transaction in part, a Loss amount will be calculated with respect to the portion of the Transaction so terminated, and the remainder of the
Transaction shall remain in full force and effect. 
 VII. Dividend Event 

(a) Dividend Event. If (i) 100% of the aggregate gross cash dividends per share of Common Stock (including any cash
extraordinary dividends) declared by the Company and for which the ex-dates are scheduled to occur during any calendar quarter in the Pricing Period exceeds the relevant Expected Dividend Amount or (ii) an ex-date occurs for any ordinary cash
dividend prior to the Scheduled Ex-Date therefor, a Dividend Event shall be deemed to have occurred. The Company shall notify Dealer within one scheduled Trading Day of the occurrence of each Dividend Event. 

(b) Dividend Event Termination. Upon the occurrence of a Dividend Event, which, in the case of a Dividend Event of the type set
forth in clause (ii) of Section VII(a), Dealer reasonably determines has a material economic effect on the Transaction, within five Trading Days of Dealer first becoming aware of the occurrence of such Dividend Event, Dealer may elect to
terminate this Transaction (a “Dividend Event Termination”). Upon the occurrence of a Dividend Event Termination, a Termination Event shall be deemed to have occurred with the Company deemed the Terminating Party and Dealer, the
Non-Terminating Party. For the avoidance of doubt, no adjustment for such Dividend Event will be included in the Loss amount. 
 VIII.
Extraordinary Events  
 (a) Tender Offers. In the event that an offer is made to the holders of Common Stock that
results in the purchase of more than the Applicable Percentage of the outstanding shares of Common Stock solely for cash (a “Cash Tender Offer”), Dealer shall, promptly following the consummation thereof, (i) adjust the terms
of the Transaction as Dealer determines appropriate to account for the economic effect on the Transaction of such Cash Tender Offer (it being understood that any such adjustment shall be made without duplication of, and take into account, any
earlier adjustment made in respect of the announcement of such Cash Tender Offer pursuant to clause (f) below) or (ii) if Dealer determines that no adjustment that it could make under clause (i) will produce a commercially reasonable
result, terminate this Transaction (a “Cash Tender Termination”). Upon the occurrence of a Cash Tender Termination, a Termination Event shall be deemed to have occurred with the Company deemed the Terminating Party and Dealer, the
Non-Terminating Party. 
 (b) Potential Adjustment Events. In the event of (1) any Regulatory Suspension or
(2) any corporate event involving the Company or the Common Stock that, in the case of clause (2), (x) is within the Company’s control, (y) is not a merger, consolidation or similar transaction, tender or exchange offer, cash
dividend, Significant Spin-off or Extraordinary Dividend and (z) has a dilutive or concentrative effect 

  
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on the Common Stock (including, without limitation, the announcement of a non-cash dividend that does not constitute an Extraordinary Dividend, a stock split, a rights offering, a
recapitalization or a spin-off that does not constitute a Significant Spin-off), Dealer shall adjust the terms of this Transaction as it determines appropriate to account for the dilutive or concentrative effect of such event (or, in the case of
clause (1), the economic effect on the Transaction of the suspension of the Pricing Period); provided that no such adjustments will be made to account for changes in volatility, expected dividends or stock loan rate. Notwithstanding anything
to the contrary herein, no adjustment shall be made to the terms of the Transaction on account of any ordinary dividend (as stated in Section VII(a)(i)). 
 (c) Merger Events; Non –Cash Tender Offers; Extraordinary Dividends; Significant Spin-offs. In the event of (1) any merger, consolidation or similar transaction that (x) results in
the Common Stock being converted into, or exchanged for, cash, property and/or other securities or (y) results in the outstanding shares of Common Stock immediately prior to such event collectively representing less than 50% of the outstanding
shares of Common Stock immediately following such event (a “Merger Event”), (2) any tender or exchange offer that results in the purchase of more than the Applicable Percentage of the outstanding shares of Common Stock for
consideration that does not consist solely of cash (a “Non-Cash Tender Offer”), (3) any dividend or distribution paid or delivered to holders of the Common Stock that does not constitute a spin-off or a rights offering, as long
as the securities or property so distributed does not consist solely of cash and/or shares of Common Stock and the amount of such securities or property distributed with respect to one share of Common Stock has a value, as reasonably determined by
Dealer, that exceeds 25% of the closing price per share of Common Stock on the Exchange, in each case as of the Trading Day immediately preceding the relevant announcement date (an “Extraordinary Dividend”) or (4) any spin-off
by the Company if the value of shares distributed therein per share of Common Stock, as reasonably determined by Dealer, exceeds 25% of the closing price per share of Common Stock on the Exchange, in each case as of the Trading Day immediately
preceding the relevant announcement date (a “Significant Spin-off”), Dealer shall, promptly following the consummation thereof, (i) adjust the terms of this Transaction as it determines appropriate to account for the economic
effect on the Transaction of such event (it being understood that any such adjustment shall be made without duplication of, and take into account, any earlier adjustment made in respect of the announcement of such event pursuant to clause
(f) below), or (ii) if it determines that no adjustment it could make under clause (i) will produce a commercially reasonable result, terminate this Transaction (a “Corporate Event Termination”). Upon the occurrence
of a Corporate Event Termination, a Termination Event shall be deemed to have occurred with the Company deemed the Terminating Party and Dealer, the Non-Terminating Party. 
 (d) Delisting. In the event that the Exchange announces that pursuant to the rules of such Exchange, the Common Stock ceases (or will cease) to be listed, traded or publicly quoted on the Exchange
for any reason (other than the occurrence of an event addressed in subsections (a), (b) or (c) of this Section VIII) and are not immediately re-listed, re-traded or re-quoted on the New York Stock Exchange, The NASDAQ Global Select Market
or The NASDAQ Global Market, Dealer shall (i) adjust the terms of this Transaction to account for the economic effect on the Transaction of such delisting or (ii) if it determines that no adjustment it could make under clause (i) will
produce a commercially reasonable result, terminate this Transaction (a “Delisting Termination”). Upon the occurrence of a Delisting Termination, a Termination Event shall be deemed to have occurred with the Company deemed the
Terminating Party and Dealer, the Non-Terminating Party. 
 (e) Change in Law. In the event that, on or after the date
hereof (A) due to the adoption of or any change in any applicable law or regulation (including, for the avoidance of doubt and without limitation, (x) any tax law or (y) adoption or promulgation of new regulations authorized or
mandated by existing statute), or (B) due to the promulgation of or any change in, or announcement or statement of, the interpretation by any court, tribunal or regulatory authority with competent jurisdiction of any applicable law or
regulation (including any action taken by a taxing authority), Dealer determines in good faith that (X) it has become illegal to hold, acquire or dispose of shares of Common Stock relating to the Transaction or (Y) it will incur a
materially increased cost in performing its obligations under the Transaction (including, without limitation, due to any increase in tax liability, decrease in tax benefit or other adverse effect on its tax position) (a “Change in
Law”), Dealer shall promptly notify the Company either (1) that clause (Y) applies, and of the adjustment that Dealer proposes to make to the terms of the Transaction to 

  
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account for the economic effect on the Transaction of the Change in Law, in which case the Company shall notify Dealer within five scheduled Trading Days of receiving such notice whether it
accepts such adjustment, or (2) that clause (X) applies or it has determined that no such adjustment in respect of a Change in Law described in clause (Y) could produce a commercially reasonable result. If Dealer notifies the Company
pursuant to clause (2) or if the Company does not timely notify Dealer that it accepts the adjustment pursuant to clause (1), the Transaction shall be terminated, in which case a Termination Event shall be deemed to have occurred with the
Company deemed the Terminating Party and Dealer, the Non-Terminating Party. 
 (f) Announcement Events. If a formal,
public announcement of a potential Cash Tender Offer, Non-Cash Tender Offer or Merger Event is made by the acquiring party on a Schedule TO or similar report filed with the SEC under the Exchange Act (in the case of a Cash Tender Offer or a Non-Cash
Tender Offer) or a party to the potential transaction (in the case of a Merger Event), and, in the case of an announcement by any person other than the Company, Dealer determines such event is reasonably likely to be consummated, Dealer shall adjust
the terms of the Transaction, promptly following the date of such announcement, as it determines appropriate to account for the economic effect on the Transaction of such announcement. 

(g) Nationalization. In the event that all shares of Common Stock or all or substantially all the assets of the Company are
nationalized, expropriated or are otherwise required to be transferred to any governmental agency, authority, entity or instrumentality thereof, Dealer shall (i) adjust the terms of the Transaction to account for the economic effect on the
Transaction of such event or (ii) if it determines that no adjustment it could make under clause (i) will produce a commercially reasonable result, terminate this Transaction (a “Nationalization Termination”). Upon the
occurrence of a Nationalization Termination, a Termination Event shall be deemed to have occurred with the Company deemed the Terminating Party and Dealer, the Non-Terminating Party. 

(h) Additional Termination Event. Notwithstanding anything to the contrary in this Letter Agreement, a Termination Event shall be
deemed to have occurred without any notice or action by Dealer or Company if, as of any determination date, (i) the arithmetic average of Rule 10b-18 VWAP prices for all Trading Days in the Pricing Period through, and including, such
determination date is less than the Termination Price and (ii) Dealer and its affiliates do not have any remaining short position in respect of the Transaction on such determination date, with Company as the Terminating Party, and Dealer, the
Non-Terminating Party. 
 IX. Events of Default 
 The occurrence of any of the following events with respect to a party (such party, the “Defaulting Party” with respect to such event, and the other party, the “Non-Defaulting
Party”) shall be an Event of Default: 
 (a) Payment. The failure to make any payment or any delivery of shares
pursuant to the terms of the Letter Agreement, which such failure shall continue for two business days after written notice of such failure has been sent to the Defaulting Party. 

(b) Breach. Any representation or warranty made in this Letter Agreement shall prove to have been false in any material respect at
the time it was made, given or reaffirmed. 
 (c) Performance. The failure to perform or comply in any material respect
with any other material obligation in this Letter Agreement, which failure shall continue for 10 business days after written notice of such failure has been sent to the Defaulting Party. 

(d) Insolvency. (A) The initiation of any case, proceeding or other action (1) under any existing or future law of any
jurisdiction, domestic or foreign, relating to bankruptcy, insolvency, reorganization or other relief of debtors, seeking to have an order for relief entered with respect to it, or seeking to have itself adjudicated as bankrupt or insolvent, or
seeking reorganization, arrangement, 

  
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adjustment, winding-up, liquidation, dissolution or composition or other relief under bankruptcy or insolvency law with respect to it or its debts or (2) which seeks appointment of a
receiver, trustee, custodian, conservator or other similar official for it or for all or any substantial part of its assets; (B) a general assignment for the benefit of its creditors; (C) the initiation of any case, proceeding or other
action of a nature referred to in clause (A) hereof which (1) results in the entry of an order for relief or any such adjudication or appointment with respect to the party or any of its assets or (2) is not dismissed, stayed,
discharged or bonded for a period of 5 days; (D) the initiation of any case, proceeding or other action seeking issuance of a warrant of attachment, execution, or similar process against all or any substantial part of its assets, which case,
proceeding or other action results in the entry of an order for any such relief which shall not have been vacated, discharged, or stayed or bonded pending appeal within 30 days from the entry thereof; (E) a party shall take any action in
furtherance of, or indicating its consent to, approval of, or acquiescence in, any of the acts set forth in clauses (A) - (D) hereof; or (F) a party shall generally not, or shall admit in writing its inability to, pay its debts as they
become due. 
 (e) Cross-Default. Any loan or other obligation in respect of borrowed money (whether present or future,
contingent or otherwise, as principal or surety or otherwise) of a party in an amount, in excess of the Applicable Threshold shall have become payable before the due date thereof as a result of acceleration of maturity caused by the occurrence of
any event of default thereunder or if any other such loan or obligation shall not be repaid when due, as extended by any applicable grace period specified in the contracts or agreements constituting such loan or obligation. 

X. Loss  
 (a) Loss
Determination. Upon the occurrence and the continuance of a Termination Event or an Event of Default, notwithstanding any other provision to the contrary in this Letter Agreement, the Non-Defaulting Party or Non-Terminating Party, upon notice to
the Defaulting Party or Terminating Party, may, in its sole discretion, immediately terminate this Transaction. In connection with any such termination, the Non-Defaulting Party or Non-Terminating Party shall reasonably determine in good faith and
in a commercially reasonable manner its total losses and costs (or gain, expressed as a negative number) in connection with termination of the Transaction, including any loss of reasonable bargain, cost of funding or, at the election of such party
but without duplication, loss or cost incurred as a result of its terminating, liquidating, obtaining or reestablishing any commercially reasonable hedge or related trading position (or any gain resulting from any of them) (“Loss”).
Loss includes losses and reasonable costs (or gains) in respect of any payment or delivery required to have been made (assuming satisfaction of each applicable condition precedent) on or before the relevant termination date and not made. Loss does
not include the Non-Defaulting Party or Non-Terminating Party’s legal fees and out-of-pocket expenses. Such party will determine its Loss in a commercially reasonable manner as of the relevant termination date or, if that is not reasonably
practicable, as of the earliest date thereafter as is reasonably practicable and, as promptly as reasonably practicable following such determination, notify the Defaulting Party or Terminating Party of the amount of its Loss (such notice, a
“Loss Notice”). Further, such party may (but need not) determine the amount of its Loss based on expected losses assuming a commercially reasonable (including, without limitation, with regard to reasonable legal and regulatory
guidelines) risk bid were used to determine Loss to avoid awaiting the delay associated with closing out any hedge or related trading position in a commercially reasonable manner prior to or promptly following the relevant termination date. Such
party may (but need not) determine its Loss by reference to quotations of relevant rates or prices from one or more leading dealers in the relevant markets. Notwithstanding the foregoing, any determination of Loss shall be made without regard to any
difference between actual dividends declared and expected dividends as of the Purchase Date. 
 (b) Payments. Upon
delivery or receipt of a Loss Notice, as the case may be, (i) if the amount determined in accordance with paragraph (a) above is a positive number, then the Terminating Party or Defaulting Party shall promptly, but in no event later than
three scheduled Trading Days following receipt of such Loss Notice, pay to the Non-Terminating Party or Non-Defaulting Party, the amount of such Loss in cash or (ii) if the amount determined in accordance with paragraph (a) above is a
negative number, then the Non-Terminating Party or Non-Defaulting Party shall promptly, but in no event later than three scheduled Trading Days following delivery of such Loss Notice, pay to the Terminating Party or Defaulting Party, the absolute
value of the amount of such Loss in cash; provided that this paragraph (b) shall be subject to the terms of paragraph (c) below. 

  
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 (c) Loss Settlement Election. Upon delivery or receipt of a Loss Notice to or
from Dealer, in lieu of its obligation to pay to Dealer, or its right to receive payment from Dealer of, the amount of such Loss (or the absolute value thereof, as the case may be) in cash pursuant to Section X(b), (1) in the event the Company
would otherwise be required to make a cash payment to Dealer pursuant to paragraph (b) above, Company may elect by notice to Dealer, within three scheduled Trading Days following the date the Company delivers or receives a Loss Notice, to
deliver to Dealer in accordance with Annex A or B (A) in the case of Annex A, a number of shares of Common Stock such that the aggregate realized proceeds from the sales thereof determined in a commercially reasonable manner pursuant to Annex A
equals the absolute value of the Loss or (B) in the case of Annex B, the number of Private Securities determined pursuant to Annex B or (2) in the event the Company would otherwise have a right to receive a cash payment from Dealer
pursuant to paragraph (b) above, unless Company elects by notice to Dealer, on or before 1:00 p.m. New York time on the Trading Day immediately preceding the start of the Share Termination Period (defined below), to receive such payment in cash
in accordance with paragraph (b) above, Dealer shall deliver to the Company, within two Trading Days following the end of the Share Termination Period, a number of shares of Common Stock equal to (i) the absolute value of such Loss
divided by (ii) the weighted average price per share at which Dealer purchases shares of Common Stock over the Share Termination Period. “Share Termination Period” means, if shares are deliverable by Dealer pursuant to
this Section X(c), a commercially reasonable period of time beginning on the fourth Trading Day following the day upon which the Company receives or delivers such Loss Notice, as determined by Dealer in good faith taking into account then-existing
liquidity conditions and applicable legal and regulatory considerations. On each Trading Day during any Share Termination Period, Dealer agrees to purchase the lesser of (x) the maximum number of shares that the Company would be permitted to
purchase under Rule 10b-18(b)(4) and (y) the maximum number of shares that can be purchased by Dealer in a commercially reasonable manner in light of then-existing liquidity conditions or legal or regulatory considerations (based on advice of
counsel), as reasonably determined by Dealer. 
 XI. Representations of the Parties 

Each party represents to the other party that: 
 (a) Status. It is duly organized and validly existing under the laws of the jurisdiction of its organization or incorporation and, if relevant under such laws, in good standing; 

(b) Powers. It has the corporate or other organizational power to execute and deliver this Letter Agreement and to perform its
obligations under this Letter Agreement and has taken all necessary action to authorize such execution, delivery and performance; 
 (c) No Violation or Conflict. Such execution, delivery and performance do not violate or conflict with any law applicable to it, any provision of its constitutional documents, any order or judgment
of any court or other agency of government applicable to it or any of its assets or any contractual restriction binding on or affecting it or any of its assets; 
 (d) Consents. All governmental and other consents that are required to have been obtained by it with respect to this Letter Agreement have been obtained and are in full force and effect and all
conditions of any such consents have been complied with; 
 (e) Obligations Binding. Its obligations under this Letter
Agreement constitute its legal, valid and binding obligations, enforceable in accordance with its terms (subject to applicable bankruptcy, reorganization, insolvency, moratorium or similar laws affecting creditors’ rights generally and subject,
as to enforceability, to equitable principles of general application (regardless of whether enforcement is sought in a proceeding in equity or at law)); and 

  
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 (f) Absence of Certain Events. No Event of Default or event that, with the giving
of notice or the passage of time or both, would constitute an Event of Default has occurred and is continuing and no such event or circumstance would occur as a result of its entering into or performing its obligations under this Letter Agreement.

 XII. Representations of the Company 
 The Company additionally hereby represents and covenants, as of the close of business on the Purchase Date, to Dealer that: 
 (a) Liquidity. Its financial condition is such that it has no need for liquidity with respect to its investment in the transactions contemplated by this Letter Agreement and no need to dispose of
any portion thereof to satisfy any existing or contemplated undertaking or indebtedness. Its investments in and liabilities in respect of such transactions, which it understands are not readily marketable, is not disproportionate to its net worth,
and it is able to bear any loss in connection with such transactions, including the loss of its entire investment in such transactions; 
 (b) Private Placement. It acknowledges that the offer and sale of this Transaction to it is intended to be exempt from registration under the Securities Act, by virtue of Section 4(a)(2)
thereof. Accordingly, the Company represents and warrants to Dealer that (i) it is an “accredited investor” as that term is defined in Regulation D as promulgated under the Securities Act, (ii) it is entering into this
Transaction for its own account and without a view to the distribution or resale thereof, and (iii) it understands that Dealer has no obligation or intention to register the transactions contemplated by this Letter Agreement under the
Securities Act or any state securities law or other applicable federal securities law; 
 (c) No Deposit Insurance. It
understands that no obligations of Dealer to it hereunder will be entitled to the benefit of deposit insurance and that such obligations will not be guaranteed by any affiliate of Dealer or any governmental agency; 

(d) Assumption of Risk. IT UNDERSTANDS THAT THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT ARE SUBJECT TO COMPLEX RISKS THAT MAY
ARISE WITHOUT WARNING AND MAY AT TIMES BE VOLATILE AND THAT LOSSES MAY OCCUR QUICKLY AND IN UNANTICIPATED MAGNITUDE AND IS WILLING TO ACCEPT SUCH TERMS AND CONDITIONS AND ASSUME (FINANCIALLY AND OTHERWISE) SUCH RISKS; 

(e) Compliance with Filing Requirements. Each of its filings under the Securities Act, the Exchange Act, or other applicable
securities laws that are required to be filed have been filed and that, as of the respective dates thereof, there is no misstatement of material fact contained therein or omission of a material fact required to be stated therein or necessary to make
the statements therein not misleading in the circumstances under which they were made; 
 (f) Material Non-Public
Information. It is not entering into this Letter Agreement on the basis of, and is not aware of, any material non-public information with respect to the Common Stock or the Company; 

(g) No Manipulation. It is not entering into this Letter Agreement, and will not make any election hereunder, to create, and will
not engage in any other securities or derivatives transactions to create, actual or apparent trading activity in the Common Stock (or any security convertible into or exchangeable for Common Stock) or to raise or depress or to manipulate the price
of the Common Stock (or any security convertible into or exchangeable for Common Stock); 
 (h) Required Company
Approvals. The transactions contemplated by this Letter Agreement and any repurchase of Common Stock by the Company in connection with such transactions are pursuant to a publicly announced share repurchase program that has been approved by its
board of directors and any such repurchase has been or will when so required be publicly disclosed in its periodic filings under the Exchange Act and its financial statements and notes thereto and, at the time of making this representation, such
transactions are not subject to any internal policy or procedure of the Company which would prohibit the Company from effecting any transactions in the shares of Common Stock at such time; 

  
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 (i) Recent Company Purchases. Neither the Company nor any agent acting for the
Company has, within the four calendar weeks prior to the Purchase Date, entered into a purchase by or for itself or for any of its Affiliated Purchasers of a block of Common Stock (“Affiliated Purchaser” and “blocks” each as
defined in Rule 10b-18); 
 (j) Regulation M. The Company is not on the date hereof, and will not be during the term of
the transactions contemplated by this Letter Agreement, engaged in a distribution, as such term is used in Regulation M under the Exchange Act, that would preclude purchases by the Company of the Common Stock or cause the Company to violate any law,
rule or regulation with respect to such purchases, unless the Company notifies Dealer of such distribution no later than the Trading Day immediately preceding the start of the applicable “restricted period” (as defined under Regulation M)
(it being understood that delivery of any such notice may lead to a suspension of the Pricing Period pursuant to Section IV(c)); 
 (k) Non-Reliance. It is not relying, and has not relied upon, Dealer or any of its affiliates with respect to the legal, accounting, tax or other implications of this Letter Agreement and that it
has conducted its own analyses of the legal, accounting, tax and other implications of this Letter Agreement. Further, it acknowledges and agrees that neither Dealer nor any affiliate of Dealer has acted as its advisor in any capacity in connection
with this Letter Agreement or the transactions contemplated hereby. The Company is entering into this Letter Agreement with a full understanding of all of the terms and risks hereof (economic and otherwise), has adequate expertise in financial
matters to evaluate those terms and risks and is capable of assuming (financially and otherwise) those risks; 
 (l)
Acknowledgements. It understands and acknowledges that (i) Dealer and its affiliates may from time to time effect transactions for their own account or the account of customers and hold positions in securities or options on securities of
the Company and that Dealer and its affiliates may continue to conduct such transactions during the Pricing Period, any Valuation Period, any Loss Determination Period, any Private Placement Determination Period and any Share Termination Period;
(ii) during the term of the Transaction, Dealer and its affiliates may buy or sell shares of Common Stock or other securities or buy or sell options or futures contracts or enter into swaps or other derivative securities in order to establish,
adjust or unwind its hedge position with respect to the Transaction; (iii) Dealer and its affiliates may also be active in the market for the shares of Common Stock and Common Stock-linked transactions other than in connection with hedging
activities in relation to the Transaction; (iv) Dealer shall make its own determination as to whether, when or in what manner any hedging or market activities in Company’s securities shall be conducted and shall do so in a manner that it
deems appropriate to hedge its price and market risk with respect to the Settlement Price and the Rule 10b-18 VWAP; (v) any market activities of Dealer and its affiliates with respect to the shares of Common Stock may affect the market price
and volatility of the shares of Common Stock, as well as the Settlement Price and Rule 10b-18 VWAP, each in a manner that may be adverse to Company; and (vi) the Transaction is a derivatives transaction in which it has granted Dealer an option;
Dealer may purchase shares of Common Stock for its own account at an average price that may be greater than, or less than, the price paid by Company under the terms of the Transaction; 

(m) Evaluation of Risks, Independent Judgment, Company Assets. Company (i) is capable of evaluating investment risks
independently, both in general and with regard to all transactions and investment strategies involving a security or securities; (ii) will exercise independent judgment in evaluating the recommendations of any broker-dealer or its associated
persons, unless it has otherwise notified the broker-dealer in writing; and (iii) has total assets of at least USD 50,000,000 as of the date hereof; 
 (n) Investment Company Act of 1940. Company is not, and after giving effect to the Transaction will not be, required to register as an “investment company” as such term is defined in the
Investment Company Act of 1940, as amended; and 

  
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 (o) Accounting. Company acknowledges that Dealer is not making any
representations or warranties with respect to the treatment of the Transaction under any accounting standards, including ASC Topic 260, Earnings Per Share, ASC Topic 815, Derivatives and Hedging, ASC Topic 480, Distinguishing Liabilities from Equity
and ASC 815-40, Derivatives and Hedging – Contracts in Entity’s Own Equity (or any successor issue statements) or under FASB’s Liabilities & Equity Project. 
 XIII. Agreements of the Company 
 (a) Authorized Shares; Share Cap.

 (i) The Company agrees that while this Letter Agreement is in effect, it shall cause (i) the number of
authorized shares of Common Stock minus (ii) the number of outstanding shares of Common Stock minus (iii) the number of shares of Common Stock reserved for other purposes minus (iv) without duplication of clause
(iii), the aggregate maximum number of shares of Common Stock deliverable under warrants, options, swaps, forwards, convertible or exchangeable securities or other similar transactions, agreements or instruments issued by the Company or to which the
Company is a party that provide for physical or net share settlement or otherwise may require the issuance of shares of Common Stock by the Company (such net number of shares, the “Available Share Number”), to exceed the then
applicable Share Cap. At the conclusion of the Pricing Period, the Company will have a sufficient number of treasury shares or duly authorized but unissued shares of Common Stock available to satisfy its obligations with respect to this Transaction,
such shares of Common Stock to be fully paid and nonassessable and free of preemptive and other rights. The Company agrees that a failure by the Company to comply with the preceding sentence shall be an Event of Default hereunder with respect to the
Company without regard to any grace period that would otherwise be applicable. 
 (ii) Notwithstanding anything
to the contrary herein, in no event shall the Company be required to deliver a number of shares of Common Stock, pursuant to Section III(b) or X(c) or otherwise, that exceeds the then applicable Share Cap. 

(b) Nature of Rights. The Company acknowledges and agrees that this Letter Agreement is not intended to convey to Dealer rights
against the Company hereunder that are senior to the claims of common stockholders in any U.S. bankruptcy proceedings of the Company; provided, however, that nothing herein shall limit or shall be deemed to limit Dealer’s right to pursue
remedies in the event of a breach by the Company of its obligations and agreements with respect to this Letter Agreement; and provided further that in pursuing a claim against the Company in the event of a bankruptcy, insolvency or dissolution with
respect to Company, Dealer’s rights hereunder shall rank on a parity with the rights of a holder of shares of Common Stock enforcing similar rights under a contract involving shares of Common Stock. 

(c) Disclosure. The Company agrees that the material terms of this Transaction (and any other similar transactions), and the
consequences of such transactions on the financial condition and results of operations of the Company, will be disclosed by the Company in accordance with all rules, regulations, accounting principles (including ASC 815-40, Derivatives and
Hedging – Contracts in Entity’s Own Equity,) and laws applicable to the Company in its periodic filings under the Exchange Act and its financial statements and notes thereto. 

(d) Corporate Event Notification. During the Pricing Period, any Private Placement Determination Period, any Valuation Period, any
Loss Determination Period or any Share Termination Period, the Company shall (i) notify Dealer prior to the opening of trading in the Common Stock on any day on which the Company makes, or expects to be made, any public announcement (as defined
in Rule 165(f) under the Securities Act) of any merger, acquisition, or similar transaction involving a recapitalization relating to the Company (other than any such transaction in which the consideration consists solely of cash and there is no
valuation period), (ii) promptly notify Dealer following any such 

  
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announcement that such announcement has been made, and (iii) promptly deliver to Dealer following the making of any such announcement a certificate indicating (A) the Company’s
average daily Rule 10b-18 purchases (as defined in Rule 10b-18) during the three full calendar months preceding the date of the announcement of such transaction and (B) the Company’s block purchases (as defined in Rule 10b-18) effected
pursuant to paragraph (b)(4) of Rule 10b-18 during the three full calendar months preceding the date of the announcement of such transaction. In addition, the Company shall promptly notify Dealer of the earlier to occur of the completion of such
transaction and the completion of the vote by target shareholders. The Company acknowledges that any such public announcement may cause the Pricing Period to be suspended pursuant to Section IV(c). Accordingly, the Company acknowledges that its
actions in relation to any such announcement or transaction must comply with the standards set forth in Section IV(b). 
 XIV. [Reserved]

 XV. Miscellaneous 
 (a) No Collateral. Notwithstanding any provision of this Letter Agreement, or any other agreement between the parties, to the contrary (including, for the avoidance of doubt and without limitation,
the Amended and Restated Credit Agreement, dated January 30, 2013, among the Company, certain foreign subsidiaries of the Company, Barclays Bank Plc and UBS Securities LLC as Co-Documentation Agents, Citibank, N.A. and Royal Bank of Canada, as
Co-Syndication Agents, and JPMorgan Chase Bank, N.A., as Administrative Agent and Collateral Agent, and certain other lenders party thereto, and the “Security Documents” (as defined therein)), the obligations of the Company under this
Letter Agreement are not secured by any collateral. 
 (b) Waiver of Trial by Jury. EACH OF THE COMPANY AND DEALER HEREBY
IRREVOCABLY WAIVES (ON ITS OWN BEHALF AND, TO THE EXTENT PERMITTED BY APPLICABLE LAW, ON BEHALF OF ITS STOCKHOLDERS) ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF
OR RELATING TO THIS LETTER AGREEMENT OR THE ACTIONS OF DEALER OR ITS AFFILIATES IN THE NEGOTIATION, PERFORMANCE OR ENFORCEMENT HEREOF. 
 (c) Governing Law. THIS LETTER AGREEMENT SHALL BE GOVERNED BY THE LAW OF THE STATE OF NEW YORK WITHOUT REFERENCE TO THE CHOICE OF LAW RULES THEREOF. 

(d) Submission to Jurisdiction. THE PARTIES HERETO IRREVOCABLY SUBMIT TO THE EXCLUSIVE JURISDICTION OF THE COURTS OF THE STATE OF
NEW YORK AND THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK IN CONNECTION WITH ALL MATTERS RELATING HERETO AND WAIVE ANY OBJECTION TO THE LAYING OF VENUE IN, AND ANY CLAIM OF INCONVENIENT FORUM WITH RESPECT TO, THESE COURTS.

 (e) Non-Confidentiality. Notwithstanding anything to the contrary herein, (i) Dealer acknowledges that this
Letter Agreement may be intended to produce U.S. federal income tax benefits for the Company and (ii) the Company and Dealer hereby agree that (A) the Company is not obligated to Dealer to keep confidential from any and all persons or
otherwise limit the use of any aspect of this Letter Agreement relating to the structure or tax aspects thereof, and (B) Dealer does not assert any claim of proprietary ownership in respect of any such aspect of this Letter Agreement.

 (f) Bankruptcy Code. The parties hereto intend for (i) the Transaction hereunder to be a “securities
contract” as defined in the Bankruptcy Code (Title 11 of the United States Code) (the “Bankruptcy Code”), and the parties hereto are entitled to the protections afforded by, among other Sections, Sections 362(b)(6), 362(o),
546, 555 and 561 of the Bankruptcy Code; (ii) a party’s right to liquidate, terminate or accelerate the Transaction and to exercise any other remedies upon the occurrence of 

  
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any Event of Default, a Loss of Borrow Termination, a Dividend Event Termination, a Cash Tender Termination, a Corporate Event Termination, a Delisting Termination or any other Termination Event
under this Letter Agreement with respect to the other party to constitute a “contractual right” within the meaning of the Bankruptcy Code; (iii) all transfers of cash, securities or other property under or in connection with the
Transaction are “transfers” made “by or to (or for the benefit of)” a “financial institution” or a “financial participant” (each as defined in the Bankruptcy Code) within the meaning of Sections 546(e) and
546(j) of the Bankruptcy Code; (iv) all obligations under or in connection with the Transaction represent obligations in respect of “termination values”, “payment amounts” or “other transfer obligations” within the
meaning of Section 362 and 561 of the Bankruptcy Code; and (v) Dealer is a “financial participant” within the meaning of Section 101(22A) of the Bankruptcy Code. 

(g) Delivery of Shares. 
 (i) Notwithstanding anything to the contrary herein, Dealer may, by prior notice to the Company, satisfy its obligation or potential obligation to deliver any shares of Common Stock on any date due (an
“Original Delivery Date”) by making separate deliveries of shares of Common Stock at more than one time on or prior to such Original Delivery Date (the shares of Common Stock so delivered after the completion of the delivery of the
Number of Initial Shares and before the Settlement Date, the “Interim Delivery Shares”), so long as the aggregate number of shares of Common Stock so delivered on or prior to such Original Delivery Date is at least equal to the
number required to be delivered on such Original Delivery Date. 
 (ii) Dealer represents that it is not on
the date hereof, and shall exercise reasonable efforts to avoid becoming, directly or indirectly during the term of the Transaction, a “beneficial owner” of more than 5% of the outstanding shares of the Company (as such term is defined for
purposes of Section 13(d) of the Exchange Act). In addition, Dealer shall promptly notify the Company if, at any time, it has actual knowledge that Dealer or any of its affiliates is treated for purposes of Section 13(d) of the Exchange
Act as the “beneficial owner” of 4.0% of the shares of Common Stock of the Company, including as a result of transactions entered into in connection with this Letter Agreement. Dealer also represents that it has in place appropriate
policies and procedures to ensure the accuracy of its representation and undertaking contained in this Section XV(g)(ii) and, to the extent necessary to ensure Dealer’s compliance with such undertaking (and upon providing notice pursuant to the
immediately preceding sentence), Dealer shall satisfy its obligation or potential obligation to deliver any shares of Common Stock on any Original Delivery Date by separately delivering such shares of Common Stock at one or more times on or prior to
such Original Delivery Date in accordance with clause (i) above. 
 (h) Assignment and Transfer; Designation of
Affiliates. The rights and duties under this Letter Agreement may not be assigned or transferred by either party hereto without the prior written consent of the other party hereto. However, without the prior written consent of the Company,
Dealer may (i) designate any of its affiliates to deliver or receive delivery of Common Stock hereunder; provided that Dealer’s obligations to the Company shall only be discharged to the extent of such performance or
(ii) assign to any subsidiary of Dealer’s ultimate parent any of Dealer’s rights or obligations hereunder, as long as such subsidiary’s obligations are guaranteed by Dealer. Notwithstanding the foregoing, prior to any such
designation or assignment, such affiliate shall provide the Company with Internal Revenue Service Form W-8ECI or W9, as appropriate, or any successor form prescribed by the Internal Revenue Service, certifying that such affiliate is exempt from
withholding under the Code on any amounts paid under this Agreement. 
 (i) Delivery of Cash or Other Assets. For the
avoidance of doubt, nothing in this Letter Agreement shall be interpreted as requiring the Company to deliver cash or transfer assets (other than, for the avoidance of doubt, the Common Stock) in respect of the settlement of the Transaction
contemplated by this Letter Agreement, including in relation to Section III(c), following payment by 

  
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Company of the relevant Purchase Price, except in circumstances where the delivery or transfer is permitted for classification of the contract as equity by ASC 815-40, Derivatives and Hedging
– Contracts in Entity’s Own Equity, as in effect on the date hereof (including, without limitation, where the Company so elects to deliver cash or fails timely to elect to deliver Common Stock respect of the settlement of the
Transaction). 
 (j) Calculations. Notwithstanding anything to the contrary herein, to the extent any calculation,
adjustment or determination is required to be made by Dealer hereunder, Dealer shall make any such calculation, adjustment, or determination in good faith and in a commercially reasonable manner. For the avoidance of doubt, whenever Dealer is called
upon to make any adjustment, or any other determination relating to the amount of cash or number of shares that may be owed by either party (including, without limitation, the determination of any Loss or the length of any Loss Determination Period,
any Private Placement Determination Period or Share Termination Period), pursuant to the terms of this Letter Agreement to take into account the effect of an event, Dealer shall make such adjustment or determination to preserve the economic intent
of the parties, assuming that Dealer maintains a commercially reasonable hedge position. In the event that Dealer makes any determination or calculation hereunder in any capacity, upon request by the Company, Dealer shall promptly provide an
explanation in reasonable detail of the basis for such determination or calculation, it being understood that Dealer shall not be obligated to disclose any proprietary models used by it for such determination or calculation. In addition, upon
request by the Company from time to time, Dealer shall promptly provide its determination of the then-current fair value to Dealer of the Transaction along with an explanation in reasonable detail of the basis therefor, it being understood that
Dealer shall not be obligated to disclose any proprietary models used by it for such calculation. 
 (k) [Reserved]

 (l) Notices. Unless otherwise specified, notices under this Letter Agreement may be made by telephone, to be confirmed
in writing to the address below. Changes to the Notices must be made in writing. 
 (i) If to the Company:

 Lear Corporation 
 21557 Telegraph Road 
 Southfield, Michigan 48033 

Attention: Shari L. Burgess 
 Telecopy: 
 Telephone: 

Email: 
 With a copy to: 
 Lear Corporation 

21557 Telegraph Road 
 Southfield, Michigan 48033 
 Attention: Terrence B. Larkin

 Telecopy: 
 Telephone: 
 Email: 

(ii) If to Dealer: 
 Citibank, N.A. 
 390 Greenwich Street,
5th Floor 

New York, NY 10013 
 Attn: Equity Derivatives 
 Telephone: 

Facsimile: 
 Email: 

  
 18 

 

 
  

 Please confirm your agreement to the foregoing by signing and returning to us the
enclosed duplicate of this Letter Agreement. 
  

	
	 Very truly yours,

	
	 CITIBANK, N.A.

	
	 By:  /s/ Herman
Hirsch                            

	 Name:

	 Authorized Representative

  

	
	 Acknowledged and agreed to as of

	 the date first above written,

	
	 LEAR CORPORATION

	
	 By: /s/ Jeffrey H.
Vanneste                         

	 Name: Jeffrey H. Vanneste

	 Title: Senior Vice President and

Chief Financial Officer

  

 

 
  

 ANNEX A 
 REGISTRATION PROCEDURES 
 In accordance with Section III(b) or X(c) of the Letter
Agreement, if the Company elects “Registered Settlement”, then the Company shall effect such delivery in compliance with the following: 
 (a) The Company agrees to take all commercially reasonable actions within its control, including, without limitation, the procedures set forth in subsection (f) below, to make available to Dealer and
its affiliates an effective registration statement under the Securities Act and one or more prospectuses as necessary or desirable (in the reasonable discretion of Dealer), and in form and substance reasonably satisfactory to Dealer, to allow Dealer
and its affiliates to comply with the applicable prospectus delivery requirements (the “Prospectus”) for the sale by Dealer and its affiliates of the shares of Common Stock delivered by the Company hereunder (the
“Registration Statement”), such Registration Statement to be effective and Prospectus to be current during a period beginning on a date specified by the Company, which shall be no later than (x) in the case of Section III(b),
the Registration Backstop Date or (y) in the case of Section X(c), 30 Trading Days following its election of Registration Settlement, and ending on the first date that all such sales by Dealer (or its affiliates) have been settled. Dealer shall
use commercially reasonable efforts to effect such sales as promptly as reasonably practicable. It is understood that the Registration Statement and Prospectus may cover a number of shares of Common Stock equal to all shares to be delivered by the
Company hereunder (the “Shares”). Dealer shall provide, by a reasonable time in advance, such information regarding Dealer and its affiliates as shall be required to be included in the Prospectus. The Company shall pay the
applicable registration fee and all reasonable costs in connection with the preparation of the Registration Statement and the Prospectus including, without limitation, the reasonable cost of printing the Prospectus. In addition, the Company agrees
to take all actions reasonably requested by Dealer to facilitate the disposition of the Shares, including all actions set forth in subsection (f) below. 
 (b) The Company represents, on each day during the period described in subsection (a), that each of its filings under the Securities Act, the Exchange Act or other applicable securities laws that are
required to be filed have been filed and that there is no misstatement of material fact contained therein or omission of a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the
circumstances under which they were made (with such filings being considered as a whole and with later filings being deemed to amend inconsistent statements in earlier filings). 

(c) The Company agrees to provide to Dealer and its affiliates on the date any sale by Dealer is consummated under this Annex A, opinions
of counsel, comfort letters, officers’ certificates and such other documents, in each case customary for offerings of similar size, as may be reasonably requested by Dealer. The Company also agrees that Dealer and its affiliates shall be
entitled to perform such diligence as Dealer may reasonably request in advance of such date and the results thereof must be reasonably satisfactory to Dealer. The Company agrees to reimburse Dealer for all reasonable out-of-pocket expenses it incurs
in connection with such diligence and otherwise in connection with the preparation of the Registration Statement and Prospectus (or any offering document for sales on a private placement basis pursuant to subsection (e) below), including,
without limitation, the reasonable fees and expenses of one outside counsel to Dealer incurred in connection therewith. 
 (d)
The Company shall on or before the commencement of the period referred to in subsection (a) enter into an agreement (the “Transfer Agreement”) with Dealer in connection with the public sale of the Shares by Dealer or its
affiliates substantially similar to underwriting agreements entered into by Dealer with respect to equity securities for offerings of similar size; the Transfer Agreement shall include, without limitation, provisions substantially similar to those
contained in such underwriting agreements relating to the indemnification of, and contribution in connection with the liability of, Dealer and its affiliates. For the avoidance of doubt, the Company shall not be required to pay any underwriting fee
or commission pursuant to the Transfer Agreement or otherwise in connection therewith. 

  
 20 

 

 
  

 (e) If on any date during the period referred to in subsection (a) the requirements
of subsection (a), (c) or (d) are not satisfied (determined without regard to whether the cause is within the control of the Company) or the representations and warranties contained herein with respect to the Company (including, without
limitation, in subsection (b)) are not true and correct, 
  

	 	(i)	the Company shall immediately notify Dealer thereof; 

  

	 	(ii)	(A) Dealer shall be entitled to cease or not start selling shares of Common Stock pursuant to the Registration Statement; and (B) if the Registration Statement is
not effective on such date or a stop order suspending the effectiveness of the Registration Statement has been issued or proceedings for that purpose have been instituted or threatened, or if the representations and warranties contained in
subsection (b) are not true and correct, and in any such case the Company so requests, Dealer shall cease selling shares of Common Stock pursuant to the Registration Statement as soon as reasonably practicable; and 

 

	 	(iii)	if Dealer ceases or does not start selling shares of Common Stock pursuant to clause (ii), the Company shall direct Dealer and its affiliates, in a commercially
reasonable manner, to sell Shares received from the Company hereunder as otherwise provided hereunder on a private placement basis in compliance with the Securities Act under Annex B hereto and shall, subject to the Share Cap, deliver to Dealer the
excess (if any) of the number of Private Securities, determined pursuant to Annex B, over the number of shares of Common Stock delivered to Dealer pursuant to this Annex A that were not sold in the Registered Settlement. 

 

	 	(f)	The procedures for registration are as follows: 

  

	 	(i)	The Company shall use commercially reasonable efforts to cause that the Registration Statement be effective for the period set forth in subsection (a). If filed after
the date hereof and relating to the Shares, the Company shall furnish to Dealer a copy of the Registration Statement and each amendment or supplement thereto prior to their filing with the SEC, shall provide Dealer the opportunity to participate in
the preparation thereof and shall consider such comments as Dealer and its affiliates may propose. 

  

	 	(ii)	The Company will immediately notify Dealer: 

  

	 	(A)	when the Registration Statement or any amendment or post-effective amendment thereto shall have become effective, or any supplement to the Prospectus or any amended
Prospectus shall have been filed; 

  

	 	(B)	of any request by the SEC (or any other federal or state governmental authority) to amend the Registration Statement or amend or supplement the Prospectus or for
additional information after the Registration Statement shall have become effective; 

  

	 	(C)	of the issuance by the SEC of any stop order suspending the effectiveness of the Registration Statement, or of any order preventing or suspending the use of any
preliminary or final Prospectus, or the institution or threat of any proceedings for any such purposes; and 

  

	 	(D)	of the existence of any fact or circumstance that results in the Registration Statement, the Prospectus or any document incorporated therein by reference containing a
misstatement of material fact or omitting to state a material fact required to be stated therein or necessary to make any statement therein not misleading. 

  
 21 

 

 
  

	 	(iii)	The Company will use commercially reasonable efforts to prevent the issuance of any stop order suspending the effectiveness of the Registration Statement or of any
order preventing or suspending the use of any Prospectus and, if any such order is issued, to obtain the lifting thereof as soon thereafter as is reasonably possible. If the Registration Statement, the Prospectus or any document incorporated therein
by reference contains a misstatement of a material fact or omits to state a material fact required to be stated therein or necessary to make any statement therein not misleading, the Company will as promptly as reasonably practicable file any
required document and prepare and furnish to Dealer a reasonable number of copies of such supplement or amendment thereto as may be necessary so that the Prospectus, as thereafter delivered to the purchasers in connection with resales of shares of
Common Stock hereunder, will not contain any misstatement of a material fact or omit to state a material fact required to be stated therein or necessary to make any statement therein not misleading. 

 

	 	(iv)	The Company will furnish to Dealer and its affiliates, without charge, as many signed copies of the Registration Statement (as originally filed) and of all amendments
thereto, whether filed before or after the Registration Statement becomes effective, copies of all exhibits and documents filed therewith, including documents incorporated by reference into the Prospectus, prospectus supplements, and signed copies
of all consents and certificates of experts, as Dealer may reasonably request. The Company will deliver to Dealer and its affiliates, without charge, as many copies of each preliminary prospectus as Dealer may reasonably request, and the Company
hereby consents to the use of such copies for purposes permitted by the Securities Act. The Company will deliver to Dealer and its affiliates, without charge, from time to time during the period during which the Prospectus is required to be
delivered under the Securities Act in connection with resales of Common Stock hereunder, such number of copies of the Prospectus (as supplemented or amended) as Dealer may reasonably request. 

 

	 	(v)	The Company will take all commercially reasonable actions within its control so that all shares of Common Stock covered by the Registration Statement are eligible for
sale on the Exchange. 

  

	 	(vi)	The Company will use commercially reasonable efforts to qualify Common Stock for offering and sale under the applicable securities laws of such states and other
jurisdictions as Dealer may designate; provided, however, that the Company shall not be obligated under this provision to qualify Common Stock for offering and sale under the applicable securities laws of such states and other
jurisdictions where the Company would be required to file any general consent to service of process or to qualify as a foreign corporation or as a broker or dealer in securities in any jurisdiction where the Company is not so qualified or to subject
itself to taxation in respect of doing business in any jurisdiction in which it is not otherwise so subject. The Company will file such statements and reports as may be required by the laws of each jurisdiction in which Common Stock has been
qualified as above provided. The Company will immediately notify Dealer of the suspension of the qualification of Common Stock for offering or sale in any jurisdiction, or of the institution or threat of any proceedings for such purpose.

  

	 	(vii)	The Company will cooperate with Dealer, its affiliates and each such underwriter or agent participating in the disposition of such Common Stock and their respective
counsel in connection with any filings required to be made with the Financial Industry Regulatory Authority Inc. or the Exchange. 

  

	 	(viii)	The Company will comply with the Securities Act and the Exchange Act so as to permit the completion of the distribution of Common Stock in accordance with the intended
method or methods of distribution contemplated in the Prospectus, as indicated by Dealer. The Company will use commercially reasonable efforts to make generally available to its security holders, as soon as reasonably practicable (but not more than
fifteen months) after the effective date of the Registration Statement, an earnings statement satisfying the provisions of Section 11(a) of the Securities Act and the rules and regulations promulgated thereunder. 

  
 22 

 

 
  

 ANNEX B 
 PRIVATE PLACEMENT PROCEDURES 
 In accordance with Section III(b) or X(c) of the Letter
Agreement or paragraph (e) of Annex A, if the Company elects or is otherwise obligated to deliver shares pursuant to this Annex B, then the Company shall effect such delivery in compliance with the following: 

(a) The Company shall afford Dealer a reasonable opportunity to conduct a due diligence investigation with respect to the Company
customary in scope for private offerings of such type of securities and of similar size (including, without limitation, the availability of senior management to respond to questions regarding the business and financial condition of the Company and
the right to have made available to them for inspection all financial and other records, pertinent corporate documents and other information reasonably requested by them), and Dealer (or any such potential buyer) shall be satisfied in all material
respects with such opportunity and with the resolution of any disclosure issues arising from such due diligence investigation of the Company. 
 (b) Prior to or contemporaneously with the determination of the Private Placement Price (as described below), the Company shall enter into an agreement (a “Private Placement Agreement”)
with Dealer (or any affiliate of Dealer designated by Dealer) providing for the sale by Dealer (or such affiliate) in a private placement (or other transaction exempt from registration under the Securities Act) of the Private Securities, which
agreement shall be on commercially reasonable terms and in form and substance reasonably satisfactory to Dealer (or such affiliate) (it being understood that the Company shall not be required to pay any placement agency or similar fee to Dealer or
any such affiliate) and (without limitation of the foregoing) shall: 
  

	 	(i)	contain customary conditions, and customary undertakings, representations and warranties for offerings of similar size (to Dealer or such affiliate, and if requested by
Dealer or such affiliate, to potential purchasers of the Private Securities); 

  

	 	(ii)	contain indemnification and contribution provisions customary for offerings of similar size in connection with the potential liability of Dealer and its affiliates
relating to the sale by Dealer (or such affiliate) of the Private Securities; 

  

	 	(iii)	provide for the delivery of related certificates and representations, warranties and agreements of the Company, including those necessary or advisable to establish and
maintain the availability of an exemption from the registration requirements of the Securities Act for Dealer and sales of the Private Securities by Dealer (or such affiliate); and 

 

	 	(iv)	provide for the delivery to Dealer (or such affiliate) of customary opinions for offerings of similar size (including, without limitation, opinions relating to the due
authorization, valid issuance and fully paid and non-assessable nature of the Private Securities, the availability of an exemption from the Securities Act for Dealer and sales of the Private Securities by Dealer (or such affiliate)).

 (c) Dealer shall determine the private placement price (the “Private Placement Price”) of the
Private Securities based on the realizable market value thereof (which value shall take into account an illiquidity discount resulting from the fact that the shares will not be registered for resale), as determined by Dealer in good faith and in a
commercially reasonable manner. The number of “Private Securities” shall be equal to: 
 (A) in
the case of a Private Settlement pursuant to Section III(b), (i) the Payment Amount, divided by (ii) the Private Placement Price; 

  
 23 

 

 
  

 (B) in the case of a private placement settlement pursuant to Section
X(c), (i) the absolute value of the Loss amount, divided by (ii) the Private Placement Price; 

(C) in the case of a private placement settlement pursuant to paragraph (e) of Annex A where Company’s
settlement obligation arose under Section III(b), (i) the aggregate price paid by Dealer, over a commercially reasonable period of time following the date on which Dealer ceases selling shares pursuant to Annex A, as determined by Dealer taking
into account then-existing liquidity conditions and applicable legal and regulatory considerations (such period, the “Private Placement Determination Period”), to purchase a number of shares of Common Stock equal to (x) the
absolute value of the Settlement Number less (y) the number of shares of Common Stock that were sold in the Registered Settlement, divided by (ii) the Private Placement Price; or 

(D) in the case of a private placement settlement pursuant to paragraph (e) of Annex A where Company’s
settlement obligation arose under Section X(c) , (i) the absolute value of the Loss amount less the aggregate amount of proceeds realized in the Registered Settlement, divided by (ii) the Private Placement Price. 

On each Trading Day during any Private Placement Determination Period, Dealer agrees to purchase the lesser of (x) the maximum
number of shares that the Company would be permitted to purchase under Rule 10b-18(b)(4) and (y) the maximum number of shares that can be purchased by Dealer in a commercially reasonable manner in light of then-existing liquidity conditions or
legal or regulatory considerations (based on advice of counsel), as reasonably determined by Dealer. 
 (d) Dealer shall notify
the Company of the number of Private Securities required to be delivered by the Company and the Private Placement Price by 6:00 p.m. on the day such price is determined. 
 (e) The Company agrees not to take or cause to be taken any action that would make unavailable either (i) the exemption set forth in Section 4(a)(2) of the Securities Act, for the sale of any
Private Securities by the Company to Dealer or (ii) an exemption from the registration requirements of the Securities Act reasonably acceptable to Dealer for resales of Private Securities by Dealer. 

(f) The Company agrees to use its commercially reasonable efforts to make any filings required to be made by it with the SEC, any
securities exchange or any other regulatory body with respect to the transaction contemplated hereby and the issuance of the Private Securities. 

  
 24EX-4.1

 Exhibit 4.1 
 AUTOZONE, INC. 
 $500,000,000 3.125% Senior Notes due 2023 

OFFICERS’ CERTIFICATE 
 PURSUANT TO SECTION 3.2 OF THE INDENTURE 
 A. Pursuant to resolutions of the Board
of Directors of AutoZone, Inc., a Nevada corporation (the “Company”), adopted at a meeting held on March 4, 2013 (the “Resolutions”), the undersigned, Brian L. Campbell, Vice President and Treasurer of the Company, and
William T. Giles, Executive Vice President and Chief Financial Officer of the Company certify that pursuant to the Resolutions and Section 3.2 of the Indenture, dated as of August 8, 2003 (the “Indenture”), between the Company
and The Bank of New York Mellon Trust Company, N.A., as successor in interest to Bank One Trust Company, N.A., as trustee (the “Trustee”), there is hereby established a series of Securities (as that term is defined in the Indenture), the
terms and form of which shall be as follows (capitalized terms not defined herein shall have the meanings assigned to them in the Indenture): 
 (a) The title of the series of the Securities shall be “3.125% Senior Notes due 2023” (the “Notes”). 
 (b) The Notes shall be issued at a price of 99.447% of the principal amount thereof. 
 (c) The aggregate principal amount of the Notes that may be authenticated and delivered under the Indenture (except for Notes authenticated and delivered upon registration of, transfer of, or in exchange
for, or in lieu of, other Notes pursuant to Sections 3.7, 3.8, 3.11, 4.7 or 10.6 of the Indenture) initially shall be $500,000,000. The Company may, without the consent of the Holders of the Notes, create and issue additional Notes ranking equally
and ratably with the Notes and otherwise identical to the Notes in all respects, except for the payment of interest accruing prior to the issue date of such additional Notes and, in some cases, the first payment of interest following the issue date
of such additional Notes and the initial interest accrual date thereof, so that such further Notes shall form a single series with the Notes. 
 (d) The principal amount of the Notes shall be payable in full on July 15, 2023, subject to and in accordance with the provisions of the Indenture. 

(e) The Notes shall bear interest at the rate of 3.125% per annum from April 29, 2013, or from the most recent Interest Payment
Date to which interest has been paid or duly provided for, payable semiannually on January 15 and July 15 of each year (each an “Interest Payment Date”), commencing on January 15, 2014 until the principal amount of the Notes
has been paid or duly provided for. The January 1 and July 1 (whether or not a Business Day), as the case may be, next preceding an Interest Payment Date, shall be a “Regular Record Date” for the interest payable on such Interest
Payment Date. 
 (f) The principal of and interest on the Notes shall be payable at the Corporate Trust Office of the Trustee in
New York, New York. 
 (g) The Notes will be redeemable at the option of the Company, at any time in whole or from time to time
in part. If the Notes are redeemed before April 15, 2023, the redemption price will equal accrued and unpaid interest on the principal amount being redeemed to the redemption date plus the greater of (i) 100% of the principal amount of
such Notes to be redeemed; and (ii) the sum of the present values of the remaining scheduled payments of principal and interest on such Notes (not including any 

  
 1 

 
portion of such payments of interest accrued to the date of redemption) discounted to the date of redemption on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at
the Adjusted Treasury Rate, plus 25 basis points, as determined in good faith by the Company. 
 If the Notes are redeemed on or
after April 15, 2023, the redemption price for the Notes will equal accrued and unpaid interest on the principal amount being redeemed plus 100% of the principal amount of the Notes. 

Notice of any redemption will be mailed at least 30 days but not more than 60 days before the redemption date to each holder of the Notes
to be redeemed. Notwithstanding anything to the contrary in Section 4.4 of the Indenture, notice of any redemption of Notes before April 15, 2023 need not set forth the redemption price but only the manner of calculation thereof. The
Company shall give the Trustee notice of the amount of the redemption price for any such redemption promptly after the calculation thereof and the Trustee shall have no responsibility for such calculation. Unless the Company defaults in payment of
the redemption price, on and after the date of redemption, interest will cease to accrue on the Notes or portions of the Notes called for redemption. 
 “Adjusted Treasury Rate” means, with respect to any date of redemption, the rate per year equal to the semiannual equivalent yield to maturity of the Comparable Treasury Issue, assuming a price
for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for that date of redemption. 
 “Comparable Treasury Issue” means the United States Treasury security selected by the Quotation Agent as having a maturity comparable to the remaining term of the Notes to be redeemed that would
be used, at the time of selection and under customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of such Notes. 

“Comparable Treasury Price” means, with respect to any date of redemption, the average of the Reference Treasury
Dealer Quotations for such date of redemption, after excluding the highest and lowest of such Reference Treasury Dealer Quotations, or if the Quotation Agent obtains fewer than four such Reference Treasury Dealer Quotations, the average of all
Reference Treasury Dealer Quotations. 
 “Quotation Agent” means one of the Reference Treasury Dealers
appointed by the Company. 
 “Reference Treasury Dealer” means each of Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Barclays Capital, Inc. and their respective successors and a primary U.S. government securities dealer in New York City (a “Primary Treasury Dealer”) selected by SunTrust Robinson Humphrey, Inc.,
and any other Primary Treasury Dealer selected by the Company. If any of the foregoing ceases to be a Primary Treasury Dealer, the Company must substitute another Primary Treasury Dealer. 

“Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any date of
redemption, the average, as determined by the Quotation Agent, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Quotation Agent by such Reference
Treasury Dealer at 5:00 p.m., New York City time, on the third Business Day preceding such date of redemption. 

  
 2 

 (h) The Notes will be issued only in registered form in minimum denominations of $2,000 and
integral multiples of $1,000 in excess thereof. 
 (i) The Notes shall be issuable in whole or in part in the form of one or
more Global Securities. Such Global Securities may be exchanged in whole or in part for individual Securities in definitive form only on the terms and conditions set forth in the Indenture. The initial Depository for such Global Securities shall be
The Depository Trust Company. 
 (j) The Notes shall be denominated in Dollars and the payment of the principal of and interest
on the Notes shall be in Dollars. 
 (k) The Notes shall be defeasible as provided in Article IX of the Indenture. 

(l) The Notes shall not be subject to any mandatory sinking fund. 

(m) If a Change of Control Triggering Event occurs with respect to the Notes, unless the Company has exercised its right to redeem the
Notes as described in Section 4.2 of the Indenture and clause (A)(g) of this Officers’ Certificate, Holders of Notes shall have the right to require the Company to make an offer to each Holder of Notes to repurchase all or any part (equal
to $2,000 or an integral multiple of $1,000 in excess thereof) of that Holder’s Notes pursuant to the offer described below (the “Change of Control Offer”) on the terms set forth in the Notes. In the Change of Control Offer, the
Company shall be required to offer payment in cash equal to 101% of the aggregate principal amount of Notes repurchased, plus accrued and unpaid interest, if any, on the Notes repurchased to the date of repurchase (the “Change of Control
Payment”). Within 30 days following any Change of Control Triggering Event or, at the Company’s option, prior to the date of the consummation of any Change of Control, but after the public announcement of the transaction that constitutes
or may constitute the Change of Control, the Company shall be required to mail a notice to the Holders of the Notes, with a copy to the Trustee, describing the transaction or transactions that constitute or may constitute the Change of Control
Triggering Event and offering to repurchase the Notes on the date specified in the applicable notice, which date will be no earlier than 30 days and no later than 60 days from the date such notice is mailed (the “Change of Control Payment
Date”), pursuant to the procedures required by the Notes and described in such notice. The notice shall, if mailed prior to the date of the consummation of the Change of Control, state that the Change of Control Offer is conditioned on the
Change of Control Triggering Event occurring on or prior to the applicable Change of Control Payment Date. The Company must comply with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and regulations thereunder to
the extent those laws and regulations are applicable in connection with the repurchase of the Notes as a result of a Change of Control Triggering Event. To the extent that the provisions of any securities laws or regulations conflict with the Change
of Control Triggering Event provisions of the Notes, the Company shall comply with the applicable securities laws and regulations and shall not be deemed to have breached its obligations under the Change of Control Triggering Event provisions of the
Notes by virtue of such conflicts. 
 “Capital Stock” of a corporation means the capital stock of every
class whether now or hereafter authorized, regardless of whether such capital stock shall be limited to a fixed sum or percentage with respect to the rights of the holders thereof to participate in dividends and in the distribution of assets upon
the voluntary or involuntary liquidation, dissolution or winding up of such corporation. 
 “Change of
Control” means the occurrence of any of the following: (1) the direct or indirect sale, lease, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or more series of related transactions, of all
or substantially all of the 

  
 3 

 
Company’s assets and the assets of its Subsidiaries, taken as a whole, to any Person, other than the Company or one of its Subsidiaries, taken as a whole, to any Person, other than the
Company or one of its Subsidiaries; (2) the consummation of any transaction (including, without limitation, any merger or consolidation) the result of which is that any Person becomes the beneficial owner (as defined in Rules 13d-3 and 13d-5
under the Exchange Act), directly or indirectly, of more than 50% of the Company’s outstanding Voting Stock or other Voting Stock into which the Company’s Voting Stock is reclassified, consolidated, exchanged or changed, measured by voting
power rather than number of shares; (3) the Company consolidates with, or merges with or into, any Person, or any Person consolidates with, or merges with or into, the Company, in any such event pursuant to a transaction in which any of the
Company’s outstanding Voting Stock or the Voting Stock of such other Person is converted into or exchanged for cash, securities or other property, other than any such transaction where the shares of the Company’s Voting Stock outstanding
immediately prior to such transaction constitute, or are converted into or exchanged for, a majority of the Voting Stock of the surviving Person or any direct or indirect parent company of the surviving Person immediately after giving effect to such
transaction; (4) the first day on which a majority of the members of the Board of Directors are not Continuing Directors; or (5) the adoption of a plan relating to the Company’s liquidation or dissolution. Notwithstanding the
foregoing, a transaction shall not be deemed to involve a Change of Control under clause (2) above if (i) the Company becomes a direct or indirect wholly-owned subsidiary of a holding company and (ii)(A) the direct or indirect Holders of
the Voting Stock of such holding company immediately following that transaction are substantially the same as the Holders of the Company’s Voting Stock immediately prior to that transaction or (B) immediately following that transaction no
Person (other than a holding company satisfying the requirements of this sentence) is the beneficial owner, directly or indirectly, of more than 50% of the Voting Stock of such holding company. 

“Change of Control Triggering Event” means the occurrence of both a Change of Control and a Rating Event.

 “Continuing Directors” means, as of any date of determination, any member of the Board of Directors
who (A) was a member of such Board of Directors on the date the Notes were issued or (B) was nominated for election, elected or appointed to such Board of Directors with the approval of a majority of the continuing directors who were
members of such Board of Directors at the time of such nomination, election or appointment (either by a specific vote or by approval of a proxy statement in which such member was named as a nominee for election as a director, without objection to
such nomination). 
 “Fitch” means Fitch Inc., and its successors. 

“Investment Grade Rating” means a rating equal to or higher than BBB- (or the equivalent) by Fitch, Baa3 (or the
equivalent) by Moody’s and BBB- (or the equivalent) by S&P, and the equivalent investment grade credit rating from any replacement Rating Agency or Rating Agencies selected by the Company. 

“Moody’s” means Moody’s Investors Service, Inc., and its successors. 

“Person” has the meaning given thereto in Section 13(d)(3) of the Exchange Act. 

“Rating Agencies” means (A) each of Fitch, Moody’s and S&P; and (B) if any of Fitch,
Moody’s or S&P ceases to rate the Notes or fails to make a rating of the Notes publicly available for reasons outside of the Company’s control, a “nationally recognized statistical rating

  
 4 

 
organization” within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act selected by the Company (as certified by a resolution of the Board of Directors) as a replacement for
Fitch, Moody’s or S&P, or all of them, as the case may be. 
 “Rating Event” means the rating
on the Notes is lowered by at least two of the three Rating Agencies and the Notes are rated below an Investment Grade Rating by at least two of the three Rating Agencies on any day during the period (which period will be extended so long as the
rating of the Notes is under publicly announced consideration for a possible downgrade by any of the Rating Agencies) commencing 60 days prior to the first public notice of the occurrence of a Change of Control or the Company’s intention to
effect a Change of Control and ending 60 days following consummation of such Change of Control. 

“S&P” means Standard & Poor’s Rating Services, a division of The McGraw-Hill Corporation,
Inc., and its successors. 
 “Voting Stock” means, with respect to any specified Person that is a
corporation as of any date, the Capital Stock of such person that is at the time entitled to vote generally in the election of the Board of Directors of such Person. 
 (n) On the Change of Control Payment Date, the Company shall be required, to the extent lawful, to: 
 (i) accept for payment all Notes or portions of Notes properly tendered pursuant to the Change of Control Offer; 
 (ii) deposit with the paying agent an amount equal to the Change of Control Payment in respect of all Notes or portions of Notes properly tendered; and 

(iii) deliver or cause to be delivered to the Trustee the Notes properly accepted together with an Officers’
Certificate stating the aggregate principal amount of Notes or portions of Notes being repurchased. 
 The paying agent will
promptly mail to each Holder of Notes properly tendered the Change of Control Payment for such Note, and the Trustee will promptly authenticate and mail (or cause to be transferred by book-entry) to each Holder a new Note equal in principal amount
to any unpurchased portion of any Notes surrendered; provided that each new Note will be in a principal amount of $2,000 or an integral multiple of $1,000 in excess thereof. The Company will not be required to make a Change of Control Offer upon the
occurrence of a Change of Control Triggering Event if a third party makes such an offer in the manner, at the times and otherwise in compliance with the requirements for an offer made by the Company and the third party repurchases all Notes properly
tendered and not withdrawn under its offer. In addition, the Company will not repurchase any Notes if there has occurred and is continuing on the Change of Control Payment Date an Event of Default under the Indenture, other than a Default in the
payment of the Change of Control Payment upon a Change of Control Triggering Event. 

  
 5 

 (o) The Company shall not, and shall not permit any Subsidiary to, enter into any
arrangement with any Person providing for the leasing by the Company or any Subsidiary of any Property that has been or is to be sold or transferred by the Company or such Subsidiary to such Person more than 180 days following the Company’s or
its Subsidiary’s acquisition of such Property, with the intention of taking back a lease of such Property (a “Sale and Leaseback Transaction”) unless the terms of such sale or transfer have been determined by the Board of Directors to
be fair and arm’s length and either: 
 (i) within 12 months after the receipt of the proceeds of the sale
or transfer, the Company or any Subsidiary apply an amount equal to the greater of the net proceeds of the sale or transfer or the fair value of such Property at the time of such sale or transfer to the prepayment or retirement (other than any
mandatory prepayment or retirement) of Senior Funded Debt; or 
 (ii) the Company or such Subsidiary would be
entitled, at the effective date of the sale or transfer, to incur debt secured by a Lien on such Property in an amount at least equal to the Attributable Debt in respect of the Sale and Leaseback Transaction, without equally and ratably securing the
Notes pursuant to Section 5.8 of the Indenture. 
 The foregoing restriction in the paragraph above shall not apply to any
Sale and Leaseback Transaction (i) for a term of not more than three years including renewals; or (ii) between the Company and a Subsidiary or between Subsidiaries, provided that the lessor is the Company or a wholly owned Subsidiary.

 “Attributable Debt” in respect of a Sale and Leaseback Transaction means, at the time of
determination, the present value discounted at the rate of interest implicit in the terms of the lease (as determined in good faith by the Company) of the obligations of the lessee under such lease for net rental payments during the remaining term
of the lease (including any period for which such lease has been extended or may, at the Company’s option, be extended). 
 “Funded Debt” means debt which matures more than one year from the date of creation, or which is extendable or renewable at the sole option of the obligor so that it may become payable more than
one year from such date or which is classified, in accordance with United States generally accepted accounting principles, as long-term debt on the consolidated balance sheet for the most recently ended fiscal quarter (or if incurred subsequent to
the date of such balance sheet, would have been so classified) of the person for which the determination is being made. Funded Debt does not include (1) obligations created pursuant to leases, (2) any debt or portion thereof maturing by
its terms within one year from the time of any computation of the amount of outstanding Funded Debt unless such debt shall be extendable or renewable at the sole option of the obligor in such manner that it may become payable more than one year from
such time, or (3) any debt for which money in the amount necessary for the payment or redemption of such debt is deposited in trust either at or before the maturity date thereof. 

“Senior Funded Debt” means all Funded Debt of the Company or its Subsidiaries (except Funded Debt, the payment
of which is subordinated to the payment of the Notes). 
 (p) Clause (xiii) of the definition of “Permitted
Liens” in Section 1.1 of the Indenture is hereby replaced and superseded in its entirety to read as follows: 
 (xiii)
Liens existing on April 18, 2013, or any extension, amendments, renewals, refinancings, replacements or other modifications thereto. 
 (q) Clause (xviii) of the definition of “Permitted Liens” in the Indenture is hereby replaced and superseded in its entirety to read as follows: 

(xviii) other Liens on Property of the Company and its Subsidiaries securing debt having an aggregate principal amount (or deemed amount,
in the case of Attributable Debt) not to exceed, as of any date of incurrence of such secured debt pursuant to this clause and after giving effect to such incurrence and the application of the proceeds therefrom, the greater of (1) $500 million
and (2) 15% of the Company’s Consolidated Net Tangible Assets. 

  
 6 

 (r) Section 7.1(e) of the Indenture is hereby amended by replacing the reference to
“$35 million” set forth therein with a reference to “$75 million.” 
 (s) The Notes shall be entitled to the
benefit of the covenants in Article V of the Indenture. 
 (t) The Notes constitute senior unsecured debt obligations of the
Company and rank equally in right of payment among themselves and with all other existing and future senior, unsecured and unsubordinated debt obligations of the Company. 
 (u) There shall be no Events of Default other than those provided in Section 7.1 of the Indenture and the failure by the Company to comply with the provisions of clauses A.(m) or (n) hereof.

 (v) The Notes shall have additional terms and conditions as set forth in, and shall be substantially in the form of, Annex A
attached hereto, with such modifications thereto as may be approved by the authorized officer or officers executing the same. 

(w) The Trustee shall be the trustee for or on behalf of the Holders of the Notes. 

B. The undersigned hereby approve the sale of $500,000,000 aggregate principal amount of Notes by the Company to the Underwriters listed
in Schedule I to that certain Underwriting Agreement dated April 18, 2013, and in accordance with and pursuant to the terms thereof at a net purchase price to the Company of 98.797% of the principal amount thereof plus accrued interest, if any
from April 29, 2013, and with an initial price to the public of 99.447% of the principal amount thereof plus accrued interest, if any from April 29, 2013. 
 The Indenture, as supplemented by this Officers’ Certificate, is in all respects ratified and confirmed, and this Officers’ Certificate shall be deemed part of the Indenture in the manner and to
the extent herein and therein provided. 
 This Officers’ Certificate may be executed in one or more counterparts,
including, without limitation, facsimile counterparts, each of which so executed shall be deemed to be an original, and shall together constitute one and the same Officers’ Certificate. 

THIS OFFICERS’ CERTIFICATE AND THE SECURITIES SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO THE CONFLICT
OF LAWS PROVISIONS THEREOF. 
 (Signature page follows) 

  
 7 

 IN WITNESS WHEREOF, the undersigned have hereunto executed this
Officers’ Certificate as of the 29th day of April,
2013. 
  

			
	 /s/ William T. Giles

	Name:	 	William T. Giles
	Title:	 	Executive Vice President and Chief Financial Officer

  

			
	 /s/ Brian L. Campbell

	Name:	 	Brian L. Campbell
	Title:	 	Vice President and Treasurer

 ANNEX A 
 Form of Note 
 THIS NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE
HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF THE DEPOSITORY OR A NOMINEE OF THE DEPOSITORY. THIS NOTE IS EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITORY OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES
DESCRIBED IN THE INDENTURE, AND MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITORY TO A NOMINEE OF THE DEPOSITORY, BY A NOMINEE OF THE DEPOSITORY TO THE DEPOSITORY OR ANOTHER NOMINEE OF THE DEPOSITORY OR BY THE DEPOSITORY OR ANY SUCH NOMINEE
TO A SUCCESSOR DEPOSITORY OR A NOMINEE OF SUCH A SUCCESSOR DEPOSITORY. UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE
ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 

 

			
	 No. 1
 CUSIP: 053332
AP7
	 	$500,000,000

 AUTOZONE, INC. 
 3.125% Senior Note due 2023 
 Original Issue Date: April 29, 2013 

Interest Payment Dates: January 15 and July 15 
 Maturity Date: July 15, 2023 
 Interest Rate: 3.125% 

AUTOZONE, INC., a Nevada corporation (hereinafter called the “Company”, which term includes any successor corporation under the
Indenture hereinafter referred to), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the principal sum of five hundred million dollars ($500,000,000) (the “Principal Amount”) on the Maturity Date
shown above, except as provided below, and to pay interest thereon at the rate per annum shown above. (Capitalized terms used herein have the meanings assigned to them in the Indenture referred to below unless otherwise indicated.) The Company will
pay interest semiannually on the Interest Payment Dates, commencing on January 15, 2014. Interest on this Note will accrue from the most recent Interest Payment Date to which interest has been paid or duly provided for

 
or, if no interest has been paid or duly provided for, from the Original Issue Date shown above. The interest so payable, and punctually paid or duly provided for, on any Interest Payment Date
will, as provided in such Indenture, be paid to the person in whose name this Note (or one or more predecessor Securities) is registered at the close of business on the regular record date for such interest, which shall be the January 1 or the
July 1 (whether or not a Business Day), as the case may be, next preceding such Interest Payment Date. 
 Payment of the
principal of and interest on this Note will be made at the Corporate Trust Office of the Trustee in New York, New York, in such coin or currency of the United States of America as at the time of payment is legal tender for payment of public and
private debts. 
 If the Company defaults in a payment of interest on this Note, it shall pay the defaulted interest, plus, to
the extent permitted by law, any interest payable on the defaulted interest, to the persons who are Securityholders of this Note on a subsequent special record date. The Company shall fix that record date and payment date. At least ten
(10) days before that record date, the Company shall mail to the Trustee and to each Securityholder a notice that states that record date, the payment date and the amount of interest and any interest thereon to be paid. The Company may pay
defaulted interest and any interest thereon in any other lawful manner. 
 This Note is one of a duly authorized issue of
securities of the Company (the “Securities”), of the Series hereinafter specified, all issued under and pursuant to an indenture, dated as of August 8, 2003, together with the Officers’ Certificate dated April 29, 2013 (the
“Officers’ Certificate”), establishing the terms of the Notes (the “Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A. (as successor in interest to Bank One Trust Company, N.A.), as Trustee
(the “Trustee”), to which Indenture and all indentures supplemental thereto reference is hereby made for a description of the rights, limitations of rights, obligations, duties and immunities thereunder of the Trustee, the Company and
Holders of the Securities. The aggregate principal amount of Securities that may be authenticated and delivered under the Indenture is unlimited. The Securities may be issued in one or more Series, which different Series may be issued in various
aggregate principal amounts, may mature at different times, may bear interest, if any, at different rates, may be subject to different redemption provisions, if any, may be subject to different sinking, purchase or analogous funds, if any, may be
subject to different covenants and Events of Default and may otherwise vary as in the Indenture provided. This Note is one of a Series designated as the “3.125% Senior Notes due 2023” of the Company (herein referred to as the
“Notes”), initially issued in an aggregate principal amount of five hundred million dollars ($500,000,000). The Company may from time to time, without notice to or the consent of the holders of the Notes, create and issue additional Notes
ranking equally and ratably with the Notes and otherwise identical in all respects, except for the issue price, the issue date, the payment of interest accruing prior to the issue date of such additional Notes and, in some cases, the first payment
of interest following the issue date of such additional Notes and the initial interest accrual date thereof, so that such further Notes shall be consolidated and form a single Series with the Notes. 

The Notes constitute senior unsecured debt obligations of the Company and rank equally in right of payment among themselves and with all
other existing and future senior, unsecured and unsubordinated debt obligations of the Company. 

 In accordance with and subject to the provisions of the Officers’ Certificate, the
Holders of the Notes may require that the Company repurchase the Notes if a Change of Control Triggering Event has occurred. 

The Notes will be redeemable at the option of the Company at any time, in whole or from time to time in part. If the Notes are redeemed
before April 15, 2023, the redemption price will equal accrued and unpaid interest on the principal amount being redeemed to the redemption date plus the greater of (i) 100% of the principal amount of such Notes to be redeemed and
(ii) the sum of the present values of the remaining scheduled payments of principal and interest on such Notes being redeemed (not including any portion of such payments of interest accrued to the date of redemption) discounted to the date of
redemption on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the Adjusted Treasury Rate, plus 25 basis points, as determined in good faith by the Company. 

If the Notes are redeemed on or after April 15, 2023, the redemption price for the Notes will equal accrued and unpaid interest on
the principal amount being redeemed plus 100% of the principal amount of the Notes. 
 Notice of any redemption will be mailed
at least 30 days but not more than 60 days before the redemption date to each holder of the Notes to be redeemed. Notwithstanding anything to the contrary in Section 4.4 of the Indenture, notice of any redemption of Notes before April 15,
2023 need not set forth the redemption price but only the manner of calculation thereof. The Company shall give the Trustee notice of the amount of the redemption price for any such redemption promptly after the calculation thereof and the Trustee
shall have no responsibility for such calculation. Unless the Company defaults in payment of the redemption price, on and after the date of redemption, interest will cease to accrue on the Notes or portions of the Notes called for redemption.

 “Adjusted Treasury Rate” means, with respect to any date of redemption, the rate per annum equal to the semiannual
equivalent yield to maturity of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such date of redemption. 

“Comparable Treasury Issue” means the United States Treasury security selected by the Quotation Agent as having a maturity
comparable to the remaining term of the Notes to be redeemed that would be used, at the time of selection and under customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of such
Notes. 
 “Comparable Treasury Price” means, with respect to any date of redemption, the average of the Reference
Treasury Dealer Quotations for such date of redemption, after excluding the highest and lowest Reference Treasury Dealer Quotations, or if the Quotation Agent obtains fewer than four Reference Treasury Dealer Quotations, the average of all Reference
Treasury Dealer Quotations. 
 “Quotation Agent” means one of the Reference Treasury Dealers appointed by the Company.

 “Reference Treasury Dealer” means each of Merrill Lynch, Pierce, Fenner &
Smith Incorporated and Barclays Capital, Inc. and their respective successors and a primary U.S. government securities dealer in New York City (a “Primary Treasury Dealer”) selected by SunTrust Robinson Humphrey, Inc., and any other
Primary Treasury Dealer selected by the Company. If any of the foregoing ceases to be a Primary Treasury Dealer, the Company must substitute another Primary Treasury Dealer. 
 “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any date of redemption, the average, as determined by the Quotation Agent, of the bid and asked
prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Quotation Agent by the Reference Treasury Dealer at 5:00 p.m., New York City time, on the third Business Day before
the date of redemption. 
 The Notes will not be subject to, or have the benefit of, any sinking fund. 

In case an Event of Default (as defined in the Indenture) with respect to the Notes shall have occurred and be continuing, the principal
hereof may be declared, or shall become, due and payable, in the manner, with the effect and subject to certain conditions set forth in the Indenture. The Indenture provides that, subject to certain conditions therein set forth, any such declaration
of acceleration and its consequences may be waived by the Holders of a majority in principal amount of the outstanding Notes. 

The Indenture contains provisions permitting the Company and the Trustee, with the consent of the Holders of at least a majority in
principal amount of the outstanding Notes to be affected thereby, as provided in the Indenture, to enter into supplemental indentures adding any provisions to or changing in any manner or eliminating any of the provisions of the Indenture or of any
supplemental indenture or modifying in any manner the rights of the Holders of the Notes; and the Indenture also contains provisions allowing the Holders of at least a majority in principal amount of the outstanding Notes to waive compliance with
any provision of the Indenture or this Note; provided, however, that no such supplemental indenture or amendment or waiver may, without the consent of each Holder of Notes to be affected (a) reduce the amount of Notes whose
Holders must consent to an amendment, supplement or waiver; (b) reduce the rate of, change the method of determination of or extend the time for payment of interest (including default interest) on any Note; (c) reduce the principal or
change the Stated Maturity of any Note; (d) make any change in the provisions concerning waivers of Events of Default by Holders or the rights of Holders to recover the principal of or interest on any Note; (e) waive a Default or Event of
Default in the payment of the principal of or interest on any Note (except a rescission of acceleration of the Notes by the Holders of at least a majority in principal amount of the outstanding Notes and a waiver of the payment default that resulted
from such acceleration); (f) make the principal of or interest on any Note payable in any currency other than that stated in the Note; (g) make any change in Sections 7.8, 7.13, or 10.3 of the Indenture; or (h) waive a redemption
payment with respect to any Note. The Indenture also provides that the Holders of not less than a majority in principal amount of the outstanding Notes may on behalf of the Holders of all the Notes waive any past Default under the Indenture with
respect to the Notes and its consequences, except a Default (i) in the payment of the principal of or interest on any Note (provided, however, that the Holders of a majority in principal amount of the outstanding Notes

 
may rescind an acceleration and its consequences, including any related payment default that resulted from such acceleration) or (ii) in respect of a covenant or provision hereof which
cannot be modified or amended without the consent of the Holder of each outstanding Notes affected. Upon any such waiver, such Default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have been cured, for every
purpose of this Indenture; but no such waiver shall extend to any subsequent or other Default or impair any right consequent thereon. Any such waiver by the Holders of the Notes shall be conclusive and binding upon the Holder of this Note and upon
all future Holders and owners of this Note and of any Note issued upon the transfer hereof or in exchange or substitution hereof. 
 No reference herein to the Indenture and no provision of this Note or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and
interest on this Note at the time, place and rate, and in the coin or currency, herein and in the Indenture prescribed. 
 As
provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Note is registrable by the Holder hereof on the register of the Company, upon due presentment of this Note for registration of transfer at the
office of the Registrar, or at the office of any co-registrar duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to, the Company and the Registrar or any such co-registrar duly executed by, the Holder hereof or
his attorney duly authorized in writing, and thereupon one or more new Notes of authorized denominations and for an equal principal amount will be issued to the designated transferee or transferees. 

No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum
sufficient to cover any transfer tax or similar governmental charge payable in connection therewith. 
 The Notes are issuable
only as registered Notes without coupons in denominations equal to $2,000 or an integral multiple of $1,000 in excess thereof. As provided in the Indenture and subject to certain limitations therein set forth, Notes are exchangeable for new Notes of
any authorized denominations of an equal principal amount as requested by the Holder surrendering the same. 
 Notwithstanding
the other provisions of the Indenture, payment of the principal of and interest, if any, on any Note represented by a Global Security shall be made to the Holder thereof. The Company and the Trustee understand that interest on any such Global
Security will be disbursed or credited by the Depository to the persons having beneficial ownership thereof pursuant to a book-entry or other system maintained by the Depository. 

Except as provided in the foregoing paragraph, the Company, the Trustee and any Agent shall treat a person as the Holder of such
principal amount of outstanding Notes represented by a Global Security as shall be specified in a written statement of the Depository with respect to such Global Security, for purposes of obtaining any consents, declarations, waivers or directions
required to be given by the Holders pursuant to this Indenture. 

 The Holder of this Note shall not have recourse for the payment of principal of or interest
on this Note or for any claim based on this Note or the Indenture against any director, officer, employee or stockholder, as such, of the Company. By acceptance of this Note, the Holder waives and releases all such liability. 

THE INDENTURE AND THIS NOTE SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO THE CONFLICT OF LAWS PROVISIONS
THEREOF. 
 All terms used but not defined in this Note which are defined in the Indenture shall have the meanings assigned to
them in the Indenture. 
 Unless the certificate of authentication has been executed by manual signature of the Trustee, this
Note shall not be valid. 

 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed manually or
in facsimile. 
 Dated: April 29, 2013 
  

			
	AUTOZONE, INC.
	
	  

	Name:	 	Brian Campbell
	Title:	 	Vice President and Treasurer

  

			
	  

	Name:	 	William T. Giles
	Title:	 	Executive Vice President and Chief
		 	Financial Officer

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 
 This is one of the Securities of the 
 Series designated therein, referred to 

in the within-mentioned Indenture. 
 THE BANK OF
NEW YORK MELLON TRUST COMPANY, N.A. (AS SUCCESSOR IN INTEREST TO BANK ONE TRUST COMPANY, N.A.), as Trustee 
  

			
	By:	 	  

		 	Authorized Signatory

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