Document:

tse_Ex10_1

		
			Exhibit 10.1
		

		
			TRINSEO LLC
		

		
			EMPLOYMENT AGREEMENT
		

		
			 
		

		
			EMPLOYMENT AGREEMENT (this “Agreement”), dated as of April 29, 2019 (the “Agreement Date”), among Trinseo LLC, a Delaware limited liability company, with offices at 1000 Chesterbrook Boulevard, Suite 300, Berwyn, Pennsylvania 19312 (the “Company”), and David Stasse of 233 Country Road, Berwyn, Pennsylvania 19312 (the “Executive”).
		

		
			W I T N E S S E T H
		

		
			 
		

		
			WHEREAS, the Company desires to employ the Executive and the Executive will serve as Executive Vice President and Chief Financial Officer of the Company and its ultimate parent Trinseo S.A. (the “Parent”) and to pay all of the Executive’s compensation as described in this Agreement;
		

		
			WHEREAS, Parent desires to grant the Executive certain equity awards described in this Agreement and to guarantee the cash compensation of the Executive payable by the Company hereunder; and
		

		
			WHEREAS, the Company, Parent and the Executive desire to enter into this Agreement as to the terms of the Executive’s employment with the Company.
		

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

		
			1.         POSITION AND DUTIES.
		

		
			(a)        During the Employment Term (as defined in Section 2 hereof), the Executive shall serve as the Executive Vice President and Chief Financial Officer of the Company and Parent.  In this capacity, the Executive shall have the duties, authorities and responsibilities commensurate with the duties, authorities and responsibilities of persons in similar capacities in similarly sized companies, and such other duties, authorities and responsibilities as may reasonably be assigned to the Executive that are not inconsistent with the Executive’s position as Executive Vice President and Chief Financial Officer (“CFO”) of the Company and Parent.  The Executive’s primary place of employment with the Company shall be in the Philadelphia, Pennsylvania metropolitan area; provided that the Executive understands and agrees that the Executive will be required to travel frequently for business purposes. The Executive shall report directly to the Chief Executive Officer and President.
		

		
			(b)        During the Employment Term, the Executive shall devote all of the Executive’s business time, energy, business judgment, knowledge and skill and the Executive’s reasonable best efforts to the performance of the Executive’s duties with the Company and the Parent,  provided that the foregoing shall not prevent the Executive from (i) serving on the boards of directors of non-profit organizations and, with the prior written approval of the Board (which approval shall not be
		

		
			
		

		
			

		 

		

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			unreasonably withheld), other for profit companies; (ii) participating in charitable, civic, educational, professional, community or industry affairs, and (iii) managing the Executive’s passive personal investments so long as such activities in the aggregate do not violate Section 10 hereof, interfere or conflict with the Executive’s duties hereunder or create a business or fiduciary conflict.
		

		
			2.         EMPLOYMENT TERM AND AGREEMENT TERM.  The Company agrees to employ the Executive pursuant to the terms of this Agreement commencing on July 1, 2019 for an initial one-year term, which shall automatically renew for successive one-year periods; unless either party gives three (3)  months’ advance written notice of non-renewal.  Notwithstanding the foregoing, the Executive’s employment hereunder may be earlier terminated in accordance with Section 7 hereof, subject to Section 8 hereof. The period of time between the Effective Date and the termination of the Executive’s employment hereunder shall be referred to herein as the “Employment Term.”  This Agreement may be conditioned on any, or all of, the Executive: (i) passing a background check; (ii) passing a screening for illegal and controlled substances; and (iii) confirming employment eligibility via an I-9 form with supportive documentation; and (iv) providing the Company with the results of a recent physical examination or other evidence showing the absence of any conditions that would preclude the Executive from fulfilling the obligations contemplated in this Agreement.  This Agreement shall be deemed effective on the Agreement Date and shall run until it is terminated in accordance with Section 7 hereof, subject to Section 8 hereof.
		

		
			3.         BASE SALARY. During the Employment Term, the Company agrees to pay the Executive a base salary at an annual rate of not less than $475,000, payable in accordance with the regular payroll practices of the Company, but not less frequently than monthly. The Executive’s base salary shall be subject to annual review by the Board (or a committee thereof) during the first ninety (90) days of each calendar year, and the base salary in respect of such calendar year may be increased above, but not decreased below, its level for the preceding calendar year, by the Board. The base salary as determined herein and adjusted from time to time shall constitute “Base Salary” for purposes of this Agreement.
		

		
			4.         ANNUAL BONUS.
		

		
			(a)        During the Employment Term, the Executive shall be eligible for an annual cash performance bonus (an “Annual Bonus”) in respect of each calendar year that ends during the Employment Term, to the extent earned based on performance against objective performance criteria. The performance criteria for any particular calendar year shall be determined in good faith by the Board, after consultation with the Executive, to occur as soon as practicable after the commencement of such calendar year, but no later than ninety (90) days after the commencement of such calendar year. The Executive’s targeted Annual Bonus for a calendar year shall equal 65% of the Executive’s Base Salary for such calendar year (the “Target Bonus”) if target levels of performance for such year are achieved, with greater or lesser amounts (including zero) paid for performance above and below target (such greater and lesser amounts to be determined by a formula established by the Board for such year when it establishes the targets and performance criteria for such year);  provided that the Executive’s maximum Annual Bonus for any calendar year during the Employment Term shall equal 200% of the Target Bonus for such calendar year. The payment in 2020 of the Annual Bonus for 2019 will be prorated for the calendar year 2019 based on the Executive’s time/performance in his prior capacity and time/performance as CFO. The Executive’s Target Bonus shall be subject to
		

		
			
		

		
			

		 

		

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			annual review by the Board (or a committee thereof) during the first ninety (90) days of each calendar year, and the Target Bonus for such calendar year may be increased above, but not decreased below, the levels for the preceding calendar year, by the Board.
		

		
			(b)        The Executive’s Annual Bonus for a calendar year shall be determined by the Board (or a committee thereof) after the end of the applicable calendar year based on the level of achievement of the applicable performance criteria, and shall be paid to the Executive in the calendar year following the calendar year to which such Annual Bonus relates at approximately the same time annual bonuses are paid to other senior executives of Company and Parent, subject to continued employment at the time of payment (except as otherwise provided in Section 8 hereof).
		

		
			5.         EQUITY AWARDS.
		

		
			(a)        The Parent shall grant to the Executive incentive equity awards in calendar year 2020 as herein defined and for subsequent calendar years as may be determined and adjusted from time to time, (the “Long Term Incentive Equity Awards”), with grant date fair value equal to 135% of Base Salary for calendar year 2020, in each case, in the same form and subject to the same vesting terms and conditions as incentive equity awards granted to similarly situated senior executives of the Parent.  As a reference, for calendar year 2019, the Long Term Incentive Equity Awards were allocated as: 30% Stock Options with a 3-year pro rata vesting, 30% Restricted Share Units with 3-year cliff vesting and 40% Performance Units with a 3-year performance vesting measured against Total Shareholder Return. In view of the prior 2019 annual grant and the 2018 off-cycle grant that the Executive received, there will be no additional annual grant for 2019.  Subsequent equity awards will be granted annually starting in 2020, according to the Long Term Incentive (“LTI”) Plan.
		

		
			(b)        The terms and conditions of the Long Term Incentive Equity Awards will be set forth in award agreements provided by the Parent, electronically or otherwise and will be provided to the Executive as soon as practicable after the grant dates and which the Executive will be required to sign or accept in accordance with the Parent’s acceptance procedures.
		

		
			6.         EMPLOYEE BENEFITS.
		

		
			(a)        BENEFIT PLANS. During the Employment Term, the Executive shall be entitled to participate in any employee benefit plan that the Company, Parent or any of their direct or indirectly controlled subsidiaries (each an “Affiliate”) has adopted or may adopt, maintain or contribute to and which benefit any of the senior executives of the Company, Parent or any Affiliate, on a basis no less favorable than that applicable to any such senior executives, where such basic company paid element (medical, dental, life insurance and disability insurance) shall be effective as of the Effective Date and any additional options elected by the Executive shall be subject to satisfying the applicable eligibility requirements, except to the extent such plans are duplicative of the benefits otherwise provided hereunder. The Executive’s participation in any such employee benefit plan shall be subject to the terms of the applicable plan documents and generally applicable Company policies. Notwithstanding the foregoing, the Company may modify or terminate any employee benefit plan at any time, if and to the extent allowed pursuant to the terms of such plan, provided that any such
		

		
			
		

		
			

		 

		

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			amendment may have no more adverse effect on the Executive than on any other participant in such plan. The Company may provide perquisites to the Executive at the discretion of the Board.
		

		
			(b)        VACATIONS. During the Employment Term, the Executive shall be entitled to paid vacation in accordance with the Company’s policy on accrual and use applicable to employees as in effect from time to time based; provided that the Executive’s vacation accrual shall be calculated as if the Executive had twenty  (25) years of employment with the Company.
		

		
			(c)        BUSINESS EXPENSES. Upon presentation of reasonable substantiation and documentation as the Company may specify from time to time, the Executive shall be reimbursed in accordance with the Company’s expense reimbursement policies as in effect from time to time, for all reasonable out-of-pocket business expenses incurred and paid by the Executive during the Employment Term and in connection with the performance of the Executive’s duties hereunder.
		

		
			7.         TERMINATION. The Executive’s employment and the Employment Term shall terminate on the first of the following to occur:
		

		
			(a)        DISABILITY. Upon ten (10) days’ prior written notice by the Company to the
Executive of termination due to Disability. For purposes of this Agreement, “Disability” shall be defined as the inability of the Executive to have performed the Executive’s material duties hereunder due to a physical or mental injury, infirmity or incapacity, which inability shall continue for one hundred and twenty (120) consecutive days or for one hundred eighty (180) days (including weekends and holidays) in any 365-day period as determined by the Company’s outside insurance provider’s physician in consultation with the Executive’s physician.. The Executive shall cooperate in all respects with the Company if a question arises as to whether the Executive has become disabled (including, without limitation, submitting to reasonable examinations by one or more medical doctors and other health care specialists selected by the Company and authorizing such medical doctors and other health care specialists to discuss the Executive’s condition with the Company).
		

		
			(b)        DEATH. Automatically upon the date of death of the Executive.
		

		
			(c)        CAUSE. Immediately upon written notice by the Company to the Executive of a termination for Cause. “Cause” shall mean the Executive’s (i) continued failure to follow the lawful and reasonable directives of the Board after written notice from the Board and a period of no less than thirty (30) days to cure such failure; (ii) willful misconduct or gross negligence in the performance of the Executive’s duties; (iii) conviction of, or pleading of guilty or nolo contendere to, a non-vehicular felony; (iv) material violation of a material written Company or Parent policy that is not cured within fifteen (15) days of written notice from the Board; (v) performance of any material act of theft, embezzlement, fraud or misappropriation of or in respect of the Company’s property; (vi) continued failure to cooperate in any audit or investigation of financial or business practices of the Company or Parent after written request for cooperation from the Board and a period of no less than ten (10) days to cure such failure; (vii) commission of any criminal act or other act involving moral turpitude, sexual harassment or drug  violations (after an independent investigation concludes that such acts occurred and Executive has been presented with opportunity to participate in the investigation); (viii) commission of any willful act which brings public disrepute, contempt, scandal, or ridicule, or which shocks or offends the community or any group or class thereof, or which reflects unfavorably upon Company or Parent and, as a result of such act or involvement,
		

		
			
		

		
			

		 

		

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			reduces the commercial value of Company's or Parent’s association with Executive; (ix) willful actions (other than legal action or arbitration arising out of this Agreement) or making or authorizing statements in derogation of Company or Parent or their products and such actions or statements become public during the Term that result in damage to the business of the Company;  or (x) breach of any of the restrictive covenants set forth in Section 10 hereof or in any other written agreement between the Executive and the Company and/or its affiliates that causes material and demonstrable harm to the Company or Parent and that is not cured within fifteen (15) days of written notice from the Board (a “Material Covenant  Violation”).
		

		
			For purposes of this Section 7(c), no act, or failure to act, on the part of the Executive shall be considered “willful” unless it is done, or omitted to be done, by the Executive in bad faith or without reasonable belief that the Executive’s action or omission was in the best interests of the Company. Any act, or failure to act, based upon (A) authority given pursuant to a resolution duly adopted by the Board or the board of directors of the Company or (B) the advice of counsel for the Company or Parent shall be conclusively presumed to be done, or omitted to be done, by the Executive in good faith and in the best interests of the Company. The cessation of employment of the Executive shall not be deemed to be for Cause unless and until there shall have been delivered to the Executive a copy of a resolution duly adopted by the affirmative vote of not less than a majority of the entire membership of the Board (excluding the Executive, if the Executive is a member of the Board) at a meeting of the Board called and held for such purpose (after reasonable notice is provided to the Executive and the Executive is given an opportunity, together with counsel for the Executive, to be heard before the Board), finding that, in the good faith opinion of the Board, the Executive is guilty of the conduct described in one or more of clauses (i) through (x) of the preceding paragraph, and specifying the particulars thereof in detail.
		

		
			(d)        WITHOUT CAUSE.  Immediately upon written notice by the Company to the Executive of an involuntary termination without Cause (other than for death or Disability).
		

		
			(e)        GOOD REASON. Upon written notice by the Executive to the Company of a termination for Good Reason. “Good Reason” shall mean the occurrence of any of the following events, without the express written consent of the Executive, unless such events are fully corrected in all material respects by the Company or Parent (as applicable) within thirty (30) days following written notification by the Executive to the Company of the occurrence of one of the reasons set forth below: (i) other than following the receipt of the Company's written notice pursuant to Section 7(d), the material diminution in the Executive’s position, duties or authorities or assignment of duties materially inconsistent with the Executive’s position with Parent, including but not limited to the Executive ceasing to be the sole CFO of Parent; (ii) the  relocation of the Company’s primary offices in Berwyn, Pennsylvania by more than thirty-five (35) miles from its current location; (iii) a reduction in Base Salary or Target Bonus; (iv) the Company’s failure to grant Executive the Long Term Incentive Equity Awards set forth in Section 5 of this Agreement; or (v) the Company’s material breach of this Agreement. The Executive shall provide the Company with a written notice detailing the specific circumstances alleged to constitute Good Reason within ninety (90) days after the Executive first gains actual knowledge of the occurrence of such circumstances, and actually terminate employment within thirty (30) days following the expiration of the Company’s thirty (30)-day correction period described above. Otherwise, any claim of such circumstances as “Good Reason” shall be deemed irrevocably waived by the Executive.  For avoidance of doubt, succession
		

		
			
		

		
			

		 

		

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			planning or successor candidate evaluation by the Company, shall not, by itself, constitute Good Reason.
		

		
			(f)        WITHOUT GOOD REASON. Upon three (3) months’ written notice by the Executive to the Company of a voluntary termination of employment without Good Reason (which the Company may, in its sole discretion, make effective earlier than the expiration of the notice period; provided that if the Company accelerates the effective date of termination, then the Executive will continue to receive Base Salary through the expiration of the three (3) months’ notice period). In such event, the last day of employment as provided in the notice period, or an earlier date at the Company’s option, shall be the Executive’s termination date for all purposes of this Agreement, including without limitation, the termination date for determining termination benefits pursuant to Section 8 hereof. The Company’s election to accelerate the Executive’s termination date shall not be considered a termination by the Company without Cause or constitute Good Reason hereunder. In addition, the Company may transition Executive’s duties and responsibilities to others during the notice period and such diminution of duties and responsibilities shall not constitute Good Reason as provided for herein.
		

		
			(g)        NON-RENEWAL. If the Executive’s employment is terminated by the Company or the Executive due to non-renewal as provided for in Section 2.  If such notice of non-renewal is given by the Executive, then during the three (3) months’ notice period any: (i) diminution in the Executive’s position, duties or authorities or assignment of duties; or (ii) acceleration of the termination date; shall not give rise to Good Reason.  In addition, the Company may transition Executive’s duties and responsibilities to others during the notice period and such diminution of duties and responsibilities shall not constitute Good Reason as provided for herein.
		

		
			8.         CONSEQUENCES OF TERMINATION.
		

		
			(a)        DEATH. In the event that the Executive’s employment and the Employment Term ends on account of the Executive’s death, the Executive’s estate shall be entitled to the following (with the amounts due under Sections 8(a)(i) through 8(a)(v) hereof to be paid, unless otherwise provided below, within sixty (60) days following termination of employment, or such earlier date as may be required by applicable law):
		

		
			(i)         any unpaid Base Salary through the date of termination;
		

		
			(ii)       any Annual Bonus earned but unpaid with respect to the calendar year ending on or preceding the date of termination;
		

		
			(iii)      an amount equal to the pro-rata portion of the Executive’s Target Bonus for the calendar year of termination (determined by multiplying the Target Bonus for the year of termination by a fraction, the numerator of which is the number of days during the calendar year of termination that the Executive is employed by the Company and the denominator of which is 365); provided that to the extent that the payment of such amount constitutes “nonqualified deferred compensation” for purposes of “Code Section 409A” (as defined in Section 24 hereof), such payment shall be made on the sixtieth (60th) day following such termination;
		

		
			
		

		
			

		 

		

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			(iv)       reimbursement for any unreimbursed business expenses incurred through the date of termination;
		

		
			(v)        payment in respect of any accrued but unused vacation time in accordance with Company policy; and
		

		
			(vi)       all other payments, benefits or fringe benefits to which the Executive shall be entitled under the terms of any applicable compensation arrangement or benefit, equity or fringe benefit plan or program or grant or this Agreement (collectively, Sections 8(a)(i) through 8(a)(vi) hereof shall be hereafter referred to as the “Accrued Benefits”).
		

		
			(b)        DISABILITY.           In the event that the Executive’s employment and/or Employment Term ends on account of the Executive’s Disability, the Company shall pay or provide the Executive with the Accrued Benefits.
		

		
			(c)        TERMINATION FOR CAUSE, WITHOUT GOOD REASON OR NON-RENEWAL BY EXECUTIVE.  If the Executive’s employment is terminated (x) by the Company for Cause, or (y) by the Executive without Good Reason or the Executive due to non-renewal, the Company shall pay to the Executive the Accrued Benefits; provided that, in the event of a termination for Cause, the Executive shall not be entitled to the benefits described in Sections 8(a)(ii) and 8(a)(iii); and provided further that, in the event of a resignation by the Executive without Good Reason, the Executive shall not be entitled to the benefits described in Section 8(a)(iii).
		

		
			(d)        TERMINATION WITHOUT CAUSE, FOR GOOD REASON OR NON-RENEWAL BY THE COMPANY.  If the Executive’s employment by the Company is terminated (x) by the Company other than for Cause pursuant to Section 7(c) hereof, (y) by the Executive for Good Reason (collectively, a “Qualifying Termination”), or (z) non-renewal by the Company; then the Company shall pay or provide the Executive with the following:
		

		
			(i)         the Accrued Benefits;
		

		
			(ii)       subject to the Executive’s not engaging in a Material Covenant Violation or a material breach of Section 11 hereof that is not cured within thirty (30) days of written notice from the Board (a “Material Cooperation Violation”), the Executive shall be entitled to an amount equal to one and one half  (1.5) multiplied by the annual sum of the Executive’s Base Salary and Target Bonus in effect for the then-current year of termination (the “Severance Amount”), paid according to the Company’s standard practices in installments for a period of eighteen (18) months following such termination; provided that to the extent that the payment of any amount constitutes “nonqualified deferred compensation” for purposes of Code Section 409A, any such payment scheduled to occur during the first sixty (60) days following the termination of employment shall not be paid until the sixtieth (60th) day following such termination and shall include payment of any amount that was otherwise scheduled to be paid prior thereto; and
		

		
			(iii)      subject to (A) the Executive’s timely election of continuation coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”), (B) the Executive’s continued copayment of premiums at the same level and cost to the Executive as if the Executive were an employee of the Company (excluding, for purposes of calculating cost, an
		

		
			
		

		
			

		 

		

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			employee’s ability to pay premiums with pre-tax dollars), and (C) the Executive’s not engaging in a Material Covenant Violation or a Material Cooperation Violation, continued participation in the Company’s group health plan (to the extent permitted under applicable law) which covers the Executive (and his eligible dependents) for a period of eighteen  (18) months following such termination, provided that if the Company’s group health plan is self-insured, the Company will report to the appropriate tax authorities taxable income to the Executive equal to the portion of the deemed cost of such participation (based on applicable COBRA rates) not paid by the Executive; provided further, that in the event that the Executive obtains other employment that offers group health benefits, such continuation of coverage by the Company under this Section 8(d)(iii) shall immediately cease once Executive is eligible to enroll in such coverage from his new employer; and provided further, that in the event that the Executive enrolls in coverage through Medicare, a spousal plan, or an Insurance Exchange, rather than COBRA, the Company will pay to Executive the amount equivalent to the Company share of COBRA premiums for eighteen  (18) months as if Executive had enrolled in COBRA.
		

		
			Payments and benefits provided in this Section 8(d) shall be in lieu of any termination or severance payments or benefits for which the Executive may be eligible under any of the plans, policies or programs of the Company or under the Worker Adjustment Retraining Notification Act of 1988 or any similar state statute or regulation.
		

		
			(e)        CHANGE IN CONTROL.
		

		
			(i)         This Section 8(e) shall apply if the Executive’s employment by the Company is terminated (x) by the Company other than for Cause pursuant to Section 7(d) hereof, or (y) by the Executive for Good Reason, in either case, during the Employment Term and the two (2)-year period commencing upon a Change in Control. Subject to the Executive’s not engaging in a Material Covenant Violation or a Material Cooperation Violation, upon a termination described in the preceding sentence, the Executive shall receive the benefits set forth in Section 8(d)(i), (ii) and (iii), except that in lieu of receiving the Severance Amount, as applicable, in installments as contemplated under Section 8(d)(ii), the Executive shall receive a lump sum payment equal to the applicable Severance Amount, on the date of such termination; provided that to the extent that the payment of the applicable amount constitutes “nonqualified deferred compensation” for purposes of Code Section 409A, such payment shall be made on the sixtieth (60th) day following such termination.
		

		
			(ii)       For purposes of this Agreement, the term “Change in Control” shall mean the consummation of the first transaction following the Effective Date, whether in a single transaction or in a series of related transactions, in which any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended) (a “Group”), (A) acquires (whether by merger, consolidation, or transfer or issuance of equity interests or otherwise) equity interests of Parent (or any surviving or resulting entity) representing more than fifty percent (50%) of the outstanding voting securities or economic value of Parent (or any surviving or resulting entity), or (B) acquires assets constituting all or substantially all (more than eighty percent (80%)) of the assets of Parent and its subsidiaries (as determined on a consolidated basis).
		

		
			
		

		
			

		 

		

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			(f)        CODE SECTION 280G.
		

		
			(i)         Change in Control Prior to Publicly Traded Equity of Company.  So long as the Company is described in Section 280G(b)(5)(A)(ii)(I) of the Code, in the event that any payment that is either received by the Executive or paid by the Company on the Executive’s behalf or any property, or any other benefit provided to the Executive under the Agreement or under any other plan, arrangement or agreement with the Company or any other person whose payments or benefits are treated as contingent on a change of ownership or control of the Company (or in the ownership of a substantial portion of the assets of the Company) or any person affiliated with the Company or such person (but only if such payment or other benefit is in connection with the Executive’s employment by the Company) (collectively the “Company Payments”), would be subject to the tax imposed by Section 4999 of the Code (and any similar tax that may hereafter be imposed by any taxing authority) (the “Excise Tax”), the Company shall, with respect to such Company Payments, use its reasonable best efforts to obtain a vote satisfying the requirements of Section 280G(b)(5) of the Code, such that no portion of the Company Payments will be subject to such Excise Tax.  In the event that a vote satisfying the requirements of Section 280G(b)(5) of the Code is not obtained for any reason, then the Executive will be entitled to receive a portion of the Company Payments having a value equal to $1 less than three (3) times the Executive’s “base amount” (as such term is defined in Section 280G(b)(3)(A) of the Code) (the “Safe Harbor Amount”). Any reduction of the Company Payments pursuant to the foregoing shall occur in the following order: (A) any cash severance payable by reference to the Executive’s Base Salary or Annual Bonus; (B) any other cash amount payable to the Executive; (C) any benefit valued as a “parachute payment;” and (D) acceleration of vesting of any equity award.
		

		
			(ii)       Change in Control Upon or Following Publicly Traded Equity of Company.  In the event that Company Payments become payable to the Executive during any period in which the Company is not an entity described in Section 280G(b)(5)(A)(ii)(I) of the Code, if the Company Payments will be subject to the Excise Tax, then the Executive will be entitled to receive either (A) the full amount of the Company Payments, or (B) a portion of the Company Payments having a value equal to the Safe Harbor Amount, whichever of clauses (A) and (B), after taking into account applicable federal, state, and local income taxes and the Excise Tax, results in the receipt by the Executive on an after-tax basis, of the greatest portion of the Company Payments.  Any reduction of the Company Payments pursuant to the foregoing shall occur in the same manner as provided in the last sentence of Section 8(f)(i) hereof.
		

		
			(iii)      Accountants.  Any determination required under this Section 8(f) shall be made in writing by the independent public accountants of the Company, whose determination shall be conclusive and binding for all purposes upon the Company and the Executive.  For purposes of making any calculation required by this Section 8(f), such accountants may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good-faith interpretations concerning the application of Sections 280G and 4999 of the Code; provided, however, the accountants will factor in the adverse value to the Executive of the non-competition restriction set forth in Section 10(b) in determining such calculation.
		

		
			
		

		
			

		 

		

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			(g)        OTHER OBLIGATIONS. Upon any termination of the Executive’s employment with the Company, the Executive shall promptly resign (following a request by the Company) from any other position as an officer, director or fiduciary of the Company, Parent and any Affiliate.
		

		
			9.         RELEASE; NO MITIGATION; NO SET-OFF. Any and all amounts payable
and benefits or additional rights provided pursuant to this Agreement beyond the Accrued Benefits (other than the amount described in Section 8(a)(iii) hereof) shall only be payable if the Executive delivers to the Company and does not revoke a general release of claims in favor of the Company in substantially the form of Exhibit A attached hereto. Such release shall be executed and delivered (and no longer subject to revocation, if applicable) within sixty (60) days following termination. In no event shall the Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to the Executive under any of the provisions of this Agreement, nor shall the amount of any payment hereunder be reduced by any compensation earned by the Executive as a result of employment by a subsequent employer (except as provided in Section 8(d)(iii) hereof). The Company’s obligations to pay the Executive amounts hereunder shall not be subject to set-off, counterclaim or recoupment of amounts owed by the Executive to the Company or any of its affiliates.
		

		
			10.       RESTRICTIVE COVENANTS.
		

		
			(a)        CONFIDENTIALITY. During the course of the Executive’s employment with
the Company and its Affiliates, the Executive will learn confidential information regarding Parent and its Affiliates (the “Parent Group”). The Executive agrees that the Executive shall not, directly or indirectly, use, make available, sell, disclose or otherwise communicate to any person, other than in the course of the Executive’s assigned duties and for the benefit of the Parent Group, either during the period of the Executive’s employment or at any time thereafter, any business and technical information or trade secrets, nonpublic, proprietary or confidential information, knowledge or data relating to the Parent Group, or received from third parties subject to a duty on the Parent Group’s part to maintain the confidentiality of such information and to use it only for certain limited purposes, in each case which shall have been obtained by the Executive during the Executive’s employment by the Parent Group. The foregoing shall not apply to information that (i) was known to the public prior to its disclosure to the Executive; (ii) becomes generally known to the public subsequent to disclosure to the Executive through no wrongful act of the Executive or any representative of the Executive; or (iii) the Executive is required to disclose by applicable law, regulation or legal process (provided that the Executive provides the Company with prior notice of the contemplated disclosure and cooperates with the Company at its expense in seeking a protective order or other appropriate protection of such information). The terms and conditions of this Agreement shall remain strictly confidential, and the Executive hereby agrees not to disclose the terms and conditions hereof to any person or entity, other than immediate family members, legal advisors or personal tax or financial advisors, or prospective future employers solely for the purpose of disclosing the limitations on the Executive’s conduct imposed by the provisions of this Section 10 who, in each case, shall be instructed by the Executive to keep such information confidential.
		

		
			(b)        NONCOMPETITION. The Executive acknowledges that the Executive performs services of a unique nature for the Parent Group that are irreplaceable, and that the Executive’s performance of such services to a competing business will result in irreparable harm to the Parent
		

		
			
		

		
			

		 

		

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			Group. Accordingly, during the Executive’s employment hereunder and for a period of two (2) years thereafter, the Executive agrees that the Executive will not, directly or indirectly, own, manage, operate, control, be employed by (whether as an employee, consultant, independent contractor or otherwise, and whether or not for compensation) or render services to any person, firm, corporation or other entity, in whatever form, engaged in competition with any material business of the Parent or any Affiliate or in any other material business in which the Parent or any Affiliate has taken material steps and has material plans, on or prior to the date or termination, to be engaged in on or after such date, in any locale of any country in which the Company or such Affiliate conducts business. Notwithstanding the foregoing, nothing herein shall prohibit the Executive from being a passive owner of not more than one percent (1%) of the equity securities of a publicly traded corporation engaged in a business that is in competition with Parent or any of its Affiliates, so long as the Executive has no active participation in the business of such corporation.
		

		
			(c)        NONSOLICITATION; NONINTERFERENCE. During the Executive’s employment with the Company and for a period of two (2) years thereafter, the Executive agrees that the Executive shall not, except in the furtherance of the Executive’s duties hereunder, directly or indirectly, individually or on behalf of any other person, firm, corporation or other entity, (i) solicit, aid or induce any customer of Parent or an Affiliate to purchase goods or services then sold by Parent or any Affiliate from another person, firm, corporation or other entity or assist or aid any other persons or entity in identifying or soliciting any such customer, (ii) solicit, aid or induce any employee, representative or agent of Parent or any Affiliate to leave such employment or retention or, in the case of employees, to accept employment with or render services to or with any other person, firm, corporation or other entity unaffiliated with Parent or any Affiliate, or hire or retain any such employee, or take any action to materially assist or aid any other person, firm, corporation or other entity in identifying, hiring or soliciting any such employee, or (iii) interfere, or aid or induce any other person or entity in interfering, with the relationship between Parent or any Affiliate and any of their respective vendors, joint venturers or licensors. An employee, representative or agent shall be deemed covered by this Section 10(c) while so employed or retained and for a period of six (6) months thereafter. Notwithstanding the foregoing, the provisions of this Section 10(c) shall not be violated by general advertising or solicitation not specifically targeted at Parent or Affiliate-related individuals or entities.
		

		
			(d)        INVENTIONS. (i)  The Executive acknowledges and agrees that all ideas, methods, inventions, discoveries, improvements, work products, developments or works of authorship (“Inventions”), whether patentable or unpatentable, (A) that relate to the Executive’s work with the Parent Group, made or conceived by the Executive, solely or jointly with others, during the Employment Term, or (B) suggested by any work that the Executive performs in connection with the Parent Group, either while performing the Executive’s duties with the Parent Group or on the Executive’s own time, shall belong exclusively to the Company (or its designee), whether or not patent applications are filed thereon. The Executive will keep full and complete written records (the “Records”), in the manner prescribed by the Company, of all Inventions, and will promptly disclose all Inventions completely and in writing to the Company. The Records shall be the sole and exclusive property of the member of the Parent Group designated by Parent, and the Executive will surrender them upon the termination of the Employment Term, or upon the Company’s request. The Executive will assign to the member of the Parent Group designated by Parent the Inventions and all patents that may issue thereon in any and all countries, whether during or subsequent to the Employment
		

		
			
		

		
			

		 

		

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			Term, together with the right to file, in the Executive’s name or in the name of the member of the Parent Group designated by Parent, applications for patents and equivalent rights (the “Applications”). The Executive will, at any time during and subsequent to the Employment Term, make such applications, sign such papers, take all rightful oaths, and perform all acts as may be requested from time to time by the Company with respect to the Inventions. The Executive will also execute assignments to the member of the Parent Group designated by Parent of the Applications, and give the member of the Parent Group designated by Parent and its attorneys all reasonable assistance (including the giving of testimony) to obtain the Inventions for the Parent Group’s benefit, all without additional compensation to the Executive from the Parent Group.
		

		
			(ii)       In addition, the Inventions will be deemed Work for Hire, as such term is defined under the copyright laws of the United States, on behalf of the Parent Group and the Executive agrees that the member of the Parent Group designated by Parent will be the sole owner of the Inventions, and all underlying rights therein, in all media now known or hereinafter devised, throughout the universe and in perpetuity without any further obligations to the Executive. If the Inventions, or any portion thereof, are deemed not to be Work for Hire, the Executive hereby irrevocably conveys, transfers and assigns to the member of the Parent Group designated by Parent, all rights, in all media now known or hereinafter devised, throughout the universe and in perpetuity, in and to the Inventions, including, without limitation, all of the Executive’s right, title and interest in the copyrights (and all renewals, revivals and extensions thereof) to the Inventions, including, without limitation, all rights of any kind or any nature now or hereafter recognized, including, without limitation, the unrestricted right to make modifications, adaptations and revisions to the Inventions, to exploit and allow others to exploit the Inventions and all rights to sue at law or in equity for any infringement, or other unauthorized use or conduct in derogation of the Inventions, known or unknown, prior to the date hereof, including, without limitation, the right to receive all proceeds and damages therefrom. In addition, the Executive hereby waives any so-called “moral rights” with respect to the Inventions. To the extent that the Executive has any rights in the results and proceeds of the Inventions that cannot be assigned in the manner described herein, the Executive agrees to unconditionally waive the enforcement of such rights. The Executive hereby waives any and all currently existing and future monetary rights in and to the Inventions and all patents that may issue thereon, including, without limitation, any rights that would otherwise accrue to the Executive’s benefit by virtue of the Executive being an employee of or other service provider to the Parent Group.
		

		
			(e)        RETURN OF COMPANY PROPERTY. On the date of the Executive’s termination of employment with the Company for any reason (or at any time prior thereto at the Company’s request), the Executive shall return all property belonging to the Company or its Affiliates (including, but not limited to, any Company-provided laptops, computers, cell phones, wireless electronic mail devices or other equipment, or documents and property belonging to the Company).  Notwithstanding anything to the contrary in this Agreement, Executive may retain his rolodex, either in electronic or paper form, in addition to copies of documents related to his compensation and benefits.
		

		
			(f)        REASONABLENESS OF COVENANTS. In signing this Agreement, the Executive gives Parent and the Company assurance that the Executive has carefully read and considered all of the terms and conditions of this Agreement, including the restraints imposed under
		

		
			
		

		
			

		 

		

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			this Section 10. The Executive agrees that these restraints are necessary for the reasonable and proper protection of the Company and its Affiliates and their trade secrets and confidential information and that each and every one of the restraints is reasonable in respect to subject matter, length of time and geographic area, and that these restraints, individually or in the aggregate, will not prevent the Executive from obtaining other suitable employment during the period in which the Executive is bound by the restraints. The Executive acknowledges that each of these covenants has a unique, very substantial and immeasurable value to the Company and its Affiliates and that the Executive has sufficient assets and skills to provide a livelihood while such covenants remain in force. The Executive further covenants that the Executive will not challenge the reasonableness or enforceability of any of the covenants set forth in this Section 10, other than in response to an attempt by the Company or an Affiliate to enforce such covenants against the Executive. It is also agreed that the Affiliates will have the right to enforce all of the Executive’s obligations to such Affiliates under this Agreement, including without limitation pursuant to this Section 10.
		

		
			(g)        REFORMATION. If it is determined by a court of competent jurisdiction in any state that any restriction in this Section 10 is excessive in duration or scope or is unreasonable or unenforceable under applicable law, it is the intention of the parties that such restriction may be modified or amended by the court to render it enforceable to the maximum extent permitted by the laws of that state.
		

		
			(h)        TOLLING. In the event of any violation of the provisions of this Section 10, the Executive acknowledges and agrees that the post-termination restrictions contained in this Section 10 shall be extended by a period of time equal to the period of such violation, it being the intention of the parties hereto that the running of the applicable post-termination restriction period shall be tolled during any period of such violation.
		

		
			(i)         SURVIVAL OF PROVISIONS. The obligations contained in Sections 10 and 11 hereof shall survive the termination of the Executive’s employment with the Company and shall be fully enforceable thereafter.
		

		
			11.       COOPERATION. Upon the receipt of reasonable notice from the Company (including through outside counsel), the Executive agrees that while employed by the Company and thereafter (to the extent it does not materially interfere with the Executive’s employment or other business activities and personal after employment by the Company), the Executive will reasonably respond and provide information with regard to matters in which the Executive has knowledge as a result of the Executive’s employment with the Company, and will provide reasonable assistance to the Company, the Affiliates and their respective representatives in defense of all claims that may be made against the Company or the Affiliates, and will reasonably assist the Company and the Affiliates in the prosecution of all claims that may be made by the Company or the Affiliates, to the extent that such claims may relate to the period of the Executive’s employment with the Company. The Executive also agrees to promptly inform the Company (to the extent that the Executive is legally permitted to do so) if the Executive is asked to assist in any investigation of the Company or the Affiliates (or their actions), regardless of whether a lawsuit or other proceeding has then been filed against the Company or Affiliates with respect to such investigation, and shall not do so unless legally required. Upon presentation of appropriate documentation, the Company shall pay or reimburse the
		

		
			
		

		
			

		 

		

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			Executive for all reasonable out-of-pocket travel, duplicating, telephonic, counsel and other expenses incurred by the Executive in complying with this Section 11.
		

		
			12.       EQUITABLE RELIEF AND OTHER REMEDIES. The Executive acknowledges and agrees that the remedies at law for a breach or threatened breach of any of the provisions of Section 10 hereof or Section 11 hereof could be inadequate and, in recognition of this fact, the Executive agrees that, in the event of such a breach or threatened breach, in addition to any remedies at law, Parent and/or the Company may be entitled to seek to obtain equitable relief in the form of specific performance, a temporary restraining order, a temporary or permanent injunction or any other equitable remedy which may then be available. In the event a court of competent jurisdiction determines that a Material Covenant Violation or a Material Cooperation Violation by the Executive has occurred, any severance being paid to the Executive pursuant to this Agreement or otherwise shall immediately cease.
		

		
			13.       NO ASSIGNMENTS. This Agreement is personal to each of the parties hereto. Except as provided in this Section 13 hereof, no party may assign or delegate any rights or obligations hereunder without first obtaining the written consent of the other party hereto. Parent shall assign this Agreement to any successor to all or substantially all of the business and/or assets of Parent, provided that Parent shall require such successor to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place and, as applicable, this Agreement shall inure to the benefit of Executive’s heirs and estate. As used in this Agreement, “Parent” shall mean Parent and any successor to all or substantially all of its business and/or assets, which assumes and agrees to perform the duties and obligations of Parent under this Agreement by operation of law or otherwise. In the event of a sale of the Company (or all or substantially all of its business) to an independent third party in connection with a transaction that does not constitute a Change in Control, the Company and the Executive shall assign the Company’s rights and obligations hereunder to Parent or to a mutually agreed upon direct or indirect subsidiary of Parent, and the Company shall be released from its obligations hereunder.
		

		
			14.       NOTICES.     For purposes of this Agreement, notices and all other communications provided for in this Agreement shall be in writing and shall be deemed to have been duly given (a) on the date of delivery, if delivered by hand, (b) on the date of transmission, if delivered by confirmed facsimile or electronic mail, (c) on the first business day following the date of deposit, if delivered by guaranteed overnight delivery service, or (d) on the fourth business day following the date delivered or mailed by United States registered or certified mail, return receipt requested, postage prepaid, addressed as follows:
		

		
			If to the Executive:
		

		
			 
		

		
			At the address listed above, or such other address in the Company’s files that the Executive may update from time to time.
		

		
			And
		

		
			If to the Company:
		

		
			 
		

		
			
		

		
			

		 

		

			14

		

 

		

		
			1000 Chesterbrook Boulevard
		

		
			Suite 300
		

		
			Berwyn, Pennsylvania  19312
		

		
			Attention:         Sr. Vice President & Chief Legal Officer
		

		
			With a copy (which shall not constitute notice hereunder) to:
		

		
			 
		

		
			Trinseo Europe GmbH
		

		
			Zugerstrasse 231
		

		
			Horgen, CH-8810, Switzerland
		

		
			Attention:         Sr. Vice President & Chief Human Resources Officer
		

		
			 
		

		
			or to such other address as either party may have furnished to the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt.
		

		
			15.       SECTION HEADINGS; INCONSISTENCY. The section headings used in this Agreement are included solely for convenience and shall not affect, or be used in connection with, the interpretation of this Agreement. In the event of any inconsistency between the terms of this Agreement (including the Exhibits hereto) and any form, award, plan or policy of the Parent Group, the terms of this Agreement shall govern and control.
		

		
			16.       SEVERABILITY. The provisions of this Agreement shall be deemed severable and the invalidity or unenforceability of any provision shall not affect the validity or enforceability of the other provisions hereof.
		

		
			17.       COUNTERPARTS. This Agreement may be executed in several counterparts, each of which shall be deemed to be an original but all of which together will constitute one and the same instrument.
		

		
			18.       INDEMNIFICATION. The Parent Group hereby agrees to indemnify the Executive and hold the Executive harmless to the fullest extent allowable under applicable law against and in respect of any and all actions, suits, proceedings, claims, demands, judgments, costs, expenses (including attorney’s fees, and the advancement of such fees subject to any legally required repayment undertaking), losses, and damages resulting from the Executive’s performance of the Executive’s duties and obligations with the Parent Group. This obligation shall survive the termination of the Executive’s employment with the Company.
		

		
			19.       LIABILITY INSURANCE. The Parent Group shall cover the Executive under directors’ and officers’ liability insurance both during and, while potential liability exists, after the Employment Term in the same amount and to the same extent as the Parent Group covers its other officers and directors.
		

		
			20.       GOVERNING LAW. This Agreement, the rights and obligations of the parties hereto, and any claims or disputes relating thereto, shall be governed by and construed in accordance with the laws of the State of Delaware (but not including any choice of law rule thereof that would cause the laws of another jurisdiction to apply).
		

		
			
		

		
			

		 

		

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			21.       DISPUTE RESOLUTION. Each of the parties agrees that any dispute between the parties shall be resolved only in the courts of the State of Delaware or the United States District Court for the District of Delaware and the appellate courts having jurisdiction of appeals in such courts. In that context, and without limiting the generality of the foregoing, each of the parties hereto irrevocably and unconditionally (a) submits in any proceeding relating to this Agreement or the Executive’s employment by the Company or any Affiliate, or for the recognition and enforcement of any judgment in respect thereof (a “Proceeding”), to the exclusive jurisdiction of the courts of the State of Delaware, the court of the United States of America for the District of Delaware, and appellate courts having jurisdiction of appeals from any of the foregoing, and agrees that all claims in respect of any such Proceeding shall be heard and determined in such Delaware State court or, to the extent permitted by law, in such federal court, (b) consents that any such Proceeding may and shall be brought in such courts and waives any objection that the Executive or the Company may now or thereafter have to the venue or jurisdiction of any such Proceeding in any such court or that such Proceeding was brought in an inconvenient court and agrees not to plead or claim the same, (c) WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY PROCEEDING (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE EXECUTIVE’S EMPLOYMENT BY THE COMPANY OR ANY AFFILIATE OF THE COMPANY, OR THE EXECUTIVE’S OR THE COMPANY’S PERFORMANCE UNDER, OR THE ENFORCEMENT OF, THIS AGREEMENT, (d) agrees that service of process in any such Proceeding may be effected by mailing a copy of such process by registered or certified mail (or any substantially similar form of mail), postage prepaid, to such party at the Executive’s or the Company’s address as provided in Section 14 hereof, and (e) agrees that nothing in this Agreement shall affect the right to effect service of process in any other manner permitted by the laws of the State of Delaware. Each party shall be responsible for its own legal fees incurred in connection with any dispute hereunder.
		

		
			22.       MISCELLANEOUS. No provision of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in writing and signed by the Executive and such officer or director as may be designated by the Board. No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. This Agreement together with all exhibits hereto sets forth the entire agreement of the parties hereto in respect of the subject matter contained herein and supersedes any and all prior agreements or understandings between the Executive and the Parent Group.
		

		
			23.       REPRESENTATIONS; ACTIONS BY PRIOR EMPLOYERS. The Executive represents and warrants to the Company that (a) the Executive has used the Executive’s best efforts to provide the Company with (i) each agreement with a predecessor employer which may have any bearing on the Executive’s legal right to enter into this Agreement and to perform all of the obligations on the Executive’s part to be performed hereunder in accordance with its terms, or (ii) a summary of the applicable provisions of each such agreement which the Executive may not provide to the Company due to an existing confidentiality obligation, and (b) other than the agreements referenced in the preceding clause (a), the Executive is not a party to any agreement or understanding, whether written or oral, and is not subject to any restriction (including, without limitation, any non-competition restriction from a prior employer), which, in either case, could prevent the Executive
		

		
			
		

		
			

		 

		

			16

		

 

		

		
			from entering into this Agreement or performing all of the Executive’s duties and obligations hereunder. The Executive understands that the foregoing representations are a material inducement to Parent and the Company entering into this Agreement, and to the extent that either of such representations is untrue in any material respect at any time or for any reason, this Agreement shall be voidable by Parent and the Company such that the parties hereunder shall be relieved of all of their respective duties and obligations hereunder; provided that any termination of the Executive’s employment resulting from the Company exercising its rights pursuant to this sentence shall be treated as a termination of employment by the Executive without Good Reason. If any prior employer of the Executive, or any affiliate of any such prior employer, challenges the Executive’s right to enter into this Agreement and to perform all of the Executive’s obligations hereunder (whether by action against the Executive, the Company, Parent and/or an Affiliate), the Company, Parent (on behalf of itself and all Affiliates) and the Executive each agree to use their reasonable best efforts to defend against such challenge, and the Company further agrees to pay as incurred (within 10 days following the Company’s receipt of an invoice from the Executive), at any time from the Effective Date through the Executive’s remaining lifetime (or, if longer, through the 20th anniversary of the Effective Date), all legal fees and expenses that the Executive may reasonably incur as a result of his personal defense of such challenge.
		

		
			24.       TAX MATTERS.
		

		
			(a)        WITHHOLDING. The Company may withhold from any and all amounts payable under this Agreement or otherwise such federal, foreign, state and local taxes as may be required to be withheld pursuant to any applicable law or regulation.
		

		
			(b)        SECTION 409A COMPLIANCE.
		

		
			(i)         The intent of the parties is that payments and benefits under this Agreement comply with Section 409A of the Code and the regulations and guidance promulgated thereunder (collectively “Code Section 409A”) and, accordingly, to the maximum extent permitted, this Agreement shall be interpreted to be in compliance therewith. To the extent that any provision hereof is modified in order to comply with Code Section 409A, such modification shall be made in good faith and shall, to the maximum extent reasonably possible, maintain the original intent and economic benefit to the Executive and the Company of the applicable provision without violating the provisions of Code Section 409A. Any such modification shall require the written consent of the Executive. In no event whatsoever shall the Company be liable for any additional tax, interest or penalty that may be imposed on the Executive by Code Section 409A or damages for failing to comply with Code Section 409A; provided that the Company makes any modification reasonably requested by the Executive in accordance with the second sentence of this Section 24(b)(i).
		

		
			(ii)       A termination of employment shall not be deemed to have occurred for purposes of any provision of this Agreement providing for the payment of any amounts or benefits upon or following a termination of employment unless such termination is also a “separation from service” within the meaning of Code Section 409A and, for purposes of any such provision of this Agreement, references to a “termination,” “termination of employment” or like terms shall mean “separation from service.” If the Executive is deemed on the date of termination to be a “specified
		

		
			
		

		
			

		 

		

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			employee” within the meaning of that term under Code Section 409A(a)(2)(B), then with regard to any payment or the provision of any benefit that is considered “nonqualified deferred compensation” under Code Section 409A payable on account of a “separation from service,” such payment or benefit shall be made or provided at the date which is the earlier of (A) the expiration of the six (6)-month period measured from the date of such “separation from service” of the Executive, and (B) the date of the Executive’s death, to the extent required under Code Section 409A. Upon the expiration of the foregoing delay period, all payments and benefits delayed pursuant to this Section 24(b)(ii) (whether they would have otherwise been payable in a single sum or in installments in the absence of such delay) shall be paid or reimbursed to the Executive in a lump sum and all remaining payments and benefits due under this Agreement shall be paid or provided in accordance with the normal payment dates specified for them herein.
		

		
			(iii)      To the extent that reimbursements or other in-kind benefits under this Agreement constitute “nonqualified deferred compensation” for purposes of Code Section 409A, (A) all expenses or other reimbursements hereunder shall be made on or prior to the last day of the taxable year following the taxable year in which such expenses were incurred by the Executive, (B) any right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit, and (C) no such reimbursement, expenses eligible for reimbursement, or in-kind benefits provided in any taxable year shall in any way affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other taxable year.
		

		
			(iv)       For purposes of Code Section 409A, the Executive’s right to receive installment payments pursuant to this Agreement shall be treated as a right to receive a series of separate and distinct payments. Whenever a payment under this Agreement specifies a payment period with reference to a number of days, the actual date of payment within the specified period shall be within the sole discretion of the Company.
		

		
			25.       FURTHER ASSURANCES; PARENT GUARANTEE; DATA TRANSFER. The parties hereto shall cooperate with each other and do, or procure the doing of, all acts and things, and execute, or procure the execution of, all documents, as may reasonably be required to give full effect to this Agreement.  Parent hereby guarantees the performance of the obligations of the Company to pay all cash amounts due to the Executive pursuant to this Agreement.  In the event that the Company is unable or unwilling to pay any such amounts when due, upon notice of such non-payment received by Parent from the Executive, Parent shall immediately pay such amounts, or take any and all actions necessary to cause one or more Affiliates to pay such amounts, on behalf of the Company.  You understand that, in order for Parent Group to administer the compensation and benefits described in this Agreement, the Parent Group must collect, process and transfer certain of your personal data and consent to the same.
		

		
			26.       POST-TERMINATION TAX ISSUES.  For a period of seven (7) years following termination of the Executive’s employment hereunder, the Company agrees to cooperate in good faith and use commercially reasonably efforts to comply with and respond to all reasonable requests from or inquiries by the Executive for assistance and information in connection with any matters or issues relating to Executive’s preparation of the Executive’s tax filings and the Executive’s response to any tax audit or investigation.  Such cooperation and assistance shall include, without limitation, making the Company’s officers, directors, employees, legal counsel, accountants and other advisors
		

		
			
		

		
			

		 

		

			18

		

 

		

		
			and representatives, who are familiar with the compensation determinations made by the Company relating to the Executive’s compensation, reasonably available to the Executive and the Executive’s representatives, on reasonable notice during normal business hours (in a manner so as to not interfere with the normal business operations of the Company); provided, that the Company shall have no obligation to provide the Executive or his representatives with access to any books or records to the extent such books and records do not pertain to the preparation of the Executive’s tax filings and the Executive’s response to any tax audit or investigation and, to such extent, the Company and its representatives are entitled to withhold access to or redact any portion of such information. Notwithstanding anything to the contrary set forth in this Agreement, the Parent Group shall be required to disclose any information to, or otherwise cooperate with, the Executive (i) if doing so would reasonably be expected to violate, or be inadvisable in light of, any order, contract, fiduciary duty, applicable law or exchange regulation to which the Company or such affiliate is a party or is subject, (ii) if doing so would reasonably be expected to result in the loss of the ability to successfully assert attorney-client and work product privileges against any party, (iii) if the Parent Group, on the one hand, and the Executive, on the other hand, are adverse parties in a litigation and such information is reasonably pertinent thereto or (iv) if the Parent Group reasonably determines that such information should not be disclosed due to its competitively sensitive nature.  The Parent Group may require the Executive and his representatives to enter into a confidentiality agreement or other similar agreements before providing any of the foregoing information or access.
		

		
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			SIGNATURE PAGE TO
		

		
			EMPLOYMENT AGREEMENT
		

		
			IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date first written above.
		

			
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						TRINSEO LLC

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						By:

					
					
						 /s/ Angelo N. Chaclas

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Name:    Angelo N. Chaclas

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Title:    SVP, CLO, Chief Compliance Officer &

				
	
					
						 

					
					
						 

					
					
						 

					
					
						             Corporate Secretary

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						TRINSEO S.A.

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						By:

					
					
						 /s/ Frank A. Bozich

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Name:    Frank A. Bozich

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Title:    President & CEO

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						EXECUTIVE

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						By:

					
					
						 /s/ David Stasse

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Name:    David Stasse

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				

		
			 
		

		
			 
		

		
			 
		

		
			 
		

		
			Exhibit A – GENERAL RELEASE
		

		
			 
		

		
			 
		

		
			

		 

		

			20

		

 

		

		
			EXHIBIT A
		

		
			 
		

		
			GENERAL RELEASE
		

		
			 
		

		
			I, <NAME>, in consideration of and subject to the performance by Trinseo US Holding, Inc. (together with its subsidiaries, the “Company”), of its obligations under the Employment Agreement, dated as of <DATE> (the “Agreement”), do hereby release and forever discharge as of the date hereof the Company and its respective “Affiliates” (as defined in the Agreement) and all present, former and future directors, officers, employees, successors and assigns of the Company and its Affiliates and direct or indirect owners (collectively, the “Released Parties”) to the extent provided below. The Released Parties are intended third-party beneficiaries of this General Release, and this General Release may be enforced by each of them in accordance with the terms hereof in respect of the rights granted to such Released Parties hereunder. Terms used herein but not otherwise defined shall have the meanings given to them in the Agreement.
		

		
			 
		

		
			1.         I understand that any payments or benefits paid or granted to me under Section 8 of the Agreement represent, in part, consideration for signing this General Release and are not salary, wages or benefits to which I was already entitled. I understand and agree that I will not receive certain of the payments and benefits specified in Section 8 of the Agreement unless I execute this General Release and do not revoke this General Release within the time period permitted hereafter. Such payments and benefits will not be considered compensation for purposes of any employee benefit plan, program, policy or arrangement maintained or hereafter established by the Company or its affiliates.
		

		
			 
		

		
			2.         Except as provided in paragraphs 4 and 5 below and except for the provisions of the Agreement which expressly survive the termination of my employment with the Company, I knowingly and voluntarily (for myself, my heirs, executors, administrators and assigns) release and forever discharge the Company and the other Released Parties from any and all claims, suits, controversies, actions, causes of action, cross-claims, counter-claims, demands, debts, compensatory damages, liquidated damages, punitive or exemplary damages, other damages, claims for costs and attorneys’ fees, or liabilities of any nature whatsoever in law and in equity, both past and present (through the date this General Release becomes effective and enforceable) and whether known or unknown, suspected, or claimed against the Company or any of the Released Parties which I, my spouse, or any of my heirs, executors, administrators or assigns, may have, which arise out of or are connected with my employment with, or my separation or termination from, the Company (including, but not limited to, any allegation, claim or violation, arising under: Title VII of the Civil Rights Act of 1964, as amended; the Civil Rights Act of 1991; the Age Discrimination in Employment Act of 1967, as amended (including the Older Workers Benefit Protection Act); the Equal Pay Act of 1963, as amended; the Americans with Disabilities Act of 1990; the Family and Medical Leave Act of 1993; the Worker Adjustment Retraining and Notification Act; the Employee Retirement Income Security Act of 1974; any applicable Executive Order Programs; the Fair Labor Standards Act; or their state or local counterparts; or under any other federal, state or local civil or human rights law, or under any other local, state, or federal
		

		
			
		

		
			

		 

		

			A-1

		

 

		

		
			law, regulation or ordinance; or under any public policy, contract or tort,  or  under  common  law; or arising under any policies, practices or procedures of the Company; or any claim for wrongful discharge, breach of contract, infliction of emotional distress, defamation; or any claim for costs, fees, or other expenses, including attorneys’ fees incurred in these matters) (all of the foregoing collectively referred to herein as the “Claims”).
		

		
			 
		

		
			3.         I represent that I have made no assignment or transfer of any right, claim, demand, cause of action, or other matter covered by paragraph 2 above.
		

		
			 
		

		
			4.         I agree that this General Release does not waive or release any rights or claims that I may have under the Age Discrimination in Employment Act of 1967 which arise after the date I execute this General Release. I acknowledge and agree that my separation from employment with the Company in compliance with the terms of the Agreement shall not serve as the basis for any claim or action (including, without limitation, any claim under the Age Discrimination in Employment Act of 1967).
		

		
			 
		

		
			5.         I agree that I hereby waive all rights to sue or obtain equitable, remedial or punitive relief from any or all Released Parties of any kind whatsoever in respect of any Claim, including, without limitation, reinstatement, back pay, front pay, and any form of injunctive relief. Notwithstanding the above, I further acknowledge that I am not waiving and am not being required to waive any right that cannot be waived under law, including the right to file an administrative charge or participate in an administrative investigation or proceeding; provided, however, that I disclaim and waive any right to share or participate in any monetary award resulting from the prosecution of such charge or investigation or proceeding. Additionally, I am not waiving any right to the Accrued Benefits or claims for indemnity, contribution, advancement or defense as provided by and in accordance with the terms of the Company by-laws, articles of incorporation, liability insurance coverage, or applicable law.
		

		
			 
		

		
			6.         In signing this General Release, I acknowledge and intend that it shall be effective as a bar to each and every one of the Claims hereinabove mentioned or implied. I expressly consent that this General Release shall be given full force and effect according to each and all of its express terms and provisions, including those relating to unknown and unsuspected Claims (notwithstanding any state or local statute that expressly limits the effectiveness of a general release of unknown, unsuspected and unanticipated Claims), if any, as well as those relating to any other Claims hereinabove mentioned or implied. I acknowledge and agree that this waiver is an essential and material term of this General Release and that without such waiver the Company would not have agreed to the terms of the Agreement. I further agree that in the event I should bring a Claim seeking damages against the Company, or in the event I should seek to recover against the Company in any Claim brought by a governmental agency on my behalf, this General Release shall serve as a complete defense to such Claims to the maximum extent permitted by law. I further agree that I am not aware of any pending claim of the type described in paragraph 2 as of the execution of this General Release.
		

		
			 
		

		
			7.         I agree that neither this General Release, nor the furnishing of the consideration for this General Release, shall be deemed or construed at any time to be an admission by the Company, any Released Party or myself of any improper or unlawful conduct.
		

		
			 
		

		
			
		

		
			

		 

		

			A-2

		

 

		

		
			8.         I agree that if I violate this General Release by suing the Company or the other Released Parties, I will pay all costs and expenses of defending against the suit incurred by the Released Parties, including reasonable attorneys’ fees.
		

		
			 
		

		
			9.         I agree that this General Release and the Agreement are confidential and agree not to disclose any information regarding the terms of this General Release or the Agreement, except to my immediate family and any tax, legal or other counsel I have consulted regarding the meaning or effect hereof or as required by law, and I will instruct each of the foregoing not to disclose the same to anyone. The Company agrees to disclose any such information only to any tax, legal or other counsel of the Company as required by law.
		

		
			 
		

		
			10.       Any non-disclosure provision in this General Release does not prohibit or restrict me (or my attorney) from responding to any inquiry about this General Release or its underlying facts and circumstances by the Securities and Exchange Commission (SEC), the Financial Industry Regulatory Authority (FINRA), any other self-regulatory organization or any governmental entity.
		

		
			 
		

		
			11.       I hereby acknowledge that Sections 8, 9, 10, 11, 12, 14, 16, 18, 19, 20, 21, and 24 of the Agreement shall survive my execution of this General Release.
		

		
			 
		

		
			12.       I represent that I am not aware of any claim by me other than the claims that are released by this General Release. I acknowledge that I may hereafter discover claims or facts in addition to or different than those which I now know or believe to exist with respect to the subject matter of the release set forth in paragraph 2 above and which, if known or suspected at the time of entering into this General Release, may have materially affected this General Release and my decision to enter into it.
		

		
			 
		

		
			13.       Notwithstanding anything in this General Release to the contrary, this General Release shall not relinquish, diminish, or in any way affect any rights or claims: (a) arising out of any breach by the Company or by any Released Party of the Agreement after the date hereof; (b) that cannot be released as a matter of law, including my rights to COBRA, workers compensation, and unemployment insurance (the application of which shall not be contested by the Company); and/or (c) to accrued, vested benefits under any employee benefit, stock, savings, insurance, or pension plan of the Company.
		

		
			 
		

		
			14.       Whenever possible, each provision of this General Release shall be interpreted in, such manner as to be effective and valid under applicable law, but if any provision of this General Release is held to be invalid, illegal or unenforceable in any respect under any applicable law or rule in any jurisdiction, such invalidity, illegality or unenforceability shall not affect any other provision or any other jurisdiction, but this General Release shall be reformed, construed and enforced in such jurisdiction as if such invalid, illegal or unenforceable provision had never been contained herein.
		

		
			 
		

		
			BY SIGNING THIS GENERAL RELEASE, I REPRESENT AND AGREE THAT:
		

		
			 
		

		
			
		

		
			

		 

		

			A-3

		

 

		

		
			1.         I HAVE READ IT CAREFULLY;
		

		
			 
		

		
			2.         I UNDERSTAND ALL OF ITS TERMS AND KNOW THAT I AM GIVING UP IMPORTANT RIGHTS, INCLUDING BUT NOT LIMITED TO, RIGHTS UNDER THE AGE DISCRIMINATION IN EMPLOYMENT ACT OF 1967, AS AMENDED, TITLE VII OF THE CIVIL RIGHTS ACT OF 1964, AS AMENDED; THE EQUAL PAY ACT OF 1963, THE AMERICANS WITH DISABILITIES ACT OF 1990; AND THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED;
		

		
			 
		

		
			3.         I VOLUNTARILY CONSENT TO EVERYTHING IN IT;
		

		
			 
		

		
			4.         I HAVE BEEN ADVISED TO CONSULT WITH AN ATTORNEY BEFORE EXECUTING IT AND I HAVE DONE SO OR, AFTER CAREFUL READING AND CONSIDERATION I HAVE CHOSEN NOT TO DO SO OF MY OWN VOLITION;
		

		
			 
		

		
			5.         I HAVE HAD AT LEAST [21][45]  DAYS FROM THE DATE OF MY RECEIPT OF THIS RELEASE TO CONSIDER IT AND THE CHANGES MADE SINCE MY RECEIPT OF THIS RELEASE ARE NOT MATERIAL OR WERE MADE AT MY REQUEST AND WILL NOT RESTART THE REQUIRED [21][45]-DAY PERIOD;
		

		
			 
		

		
			6.         I UNDERSTAND THAT I HAVE SEVEN (7) DAYS AFTER THE EXECUTION OF THIS RELEASE TO REVOKE IT AND THAT THIS RELEASE SHALL NOT BECOME EFFECTIVE OR ENFORCEABLE UNTIL THE REVOCATION PERIOD HAS EXPIRED;
		

		
			 
		

		
			7.         I HAVE SIGNED THIS GENERAL RELEASE KNOWINGLY AND VOLUNTARILY AND WITH THE ADVICE OF ANY COUNSEL RETAINED TO ADVISE ME WITH RESPECT TO IT; AND
		

		
			 
		

		
			8.         I AGREE THAT THE PROVISIONS OF THIS GENERAL RELEASE MAY NOT BE AMENDED, WAIVED, CHANGED OR MODIFIED EXCEPT BY AN INSTRUMENT IN WRITING SIGNED BY AN AUTHORIZED REPRESENTATIVE OF THE COMPANY AND BY ME.
		

		
			 
		

			
					
						SIGNED:

					
					
						 

					
					
						 

					
					
						DATED:

					
					
						 

				

		
			Name:
		

		 

		

			A-4Exhibit 4.38

 

Execution Version

 

THIS SHARE TRANSFER AGREEMENT (this
“Agreement”) is made and entered into as of this May 28, 2018 by and between

 

		(1)	Jumei International Holding Limited, an exempted company incorporated under the laws of
Cayman Islands, whose registered office is located at the offices of Maples Corporate Services Limited at PO Box 309, Ugland House,
Grand Cayman, KY1-1104, Cayman Islands (the “Seller”); and

 

		(2)	Taobao China Holding Limited, a limited liability company incorporated under the laws of
Hong Kong, whose registered office is located at 26th Floor, Tower One, Time Square, 1 Matheson Street, Causeway Bay, Hong Kong
(the “Buyer”).

 

Each of the parties listed above is referred
to as herein individually as a “Party” and collectively as the “Parties.”

 

RECITALS

 

		(A)	The Seller is the legal and beneficial owner of 5,474,245 Ordinary Shares of BabyTree Group,
an exempted company incorporated under the laws of Cayman Islands with limited liability, whose registered office is located at
Maples Corporate Services Limited, PO Box 309, Ugland House, Grand Cayman, KY1-1104, Cayman Islands (the “Company”).

 

		(B)	The Seller wishes to sell the Sale Shares to the Buyer and the Buyer wishes to acquire the Sale
Shares in accordance with the conditions set forth below.

 

		(C)	On or about the same date of this Agreement, the Buyer entered into a share subscription agreement
(the “Subscription Agreement”) with the Company and certain other parties thereto, pursuant to which the Buyer
agrees to subscribe for, and the Company agrees to issue and allot 4,404,799 Ordinary Shares (“Purchase Shares”)
of the Company to the Buyer.

 

THE PARTIES HEREBY AGREE AS FOLLOWS:

 

		1.	Construction

 

		1.1	Definitions

 

As used in this Agreement, the following
terms have the following meanings:

 

“Agreement” means
this share transfer agreement.

 

“Buyer” has the
meaning set out in the above parties section.

 

“Company” has
the meaning set out in the above Recitals.

 

“Dispute” has
the meaning set out in clause 14.2(a) of this Agreement.

 

“Hong Kong” means
Hong Kong Special Administrative Region of the People Republic of China.

 

    	 	1	 

     

    

 

“Holdback Amount”
has the meaning set out in the clause 3.

 

“HKIAC” means
Hong Kong International Arbitration Centre.

 

“Ordinary Shares”
means ordinary shares in the issued share capital of the Company, each with a par value of US$0.0001 per share.

 

“Party” and “Parties”
have the meaning set out in the above parties section. “Purchase Price” shall have the meaning given to such
expression in clause 3.

 

“Request for Consultation”
shall have the meaning given to such expression in clause 14.2(a).

 

“Sale Shares”
shall have the meaning given to such expression in clause 2.

 

“Seller” has the
meaning set out in the above parties section.

 

“Subscription Agreement”
has the meaning set out in the above Recitals.

 

“Transfer Date”
has the meaning set out in clause 2 of this Agreement.

 

“US$” or “United
States Dollars” means United States Dollars or the lawful currency of the United States of America for the time being.

 

		1.2	References

 

In this Agreement:

 

		(a)	any reference to any agreement is to be construed as a reference to such agreement as it may be
amended, supplemented, modified or extended from time to time, whether before or after the date hereof;

 

		(b)	a reference to a person or persons is, where relevant, deemed to be a reference to or to include
their respective successors, permitted assignees or transferees, as appropriate;

 

		(c)	reference to clauses and schedules are references to, respectively, clauses of and schedules to
this Agreement and reference to this Agreement includes its schedules;

 

		(d)	a reference to a law or regulation or any provisions thereof is to be construed as a reference
to such law, regulation or provisions as the same may have been, or may from time to time hereafter be, amended or re-enacted;
and

 

		(e)	words importing the singular shall include the plural and vice versa; words importing a masculine
gender also include the feminine gender and words importing persons or shareholders also include corporations, partnerships, associations
and any other organised groups of persons whether incorporated or not.

 

    	 	2	 

     

    

 

		1.3	Clause headings

 

Clause headings are for ease of reference
only.

 

		2.	Share Transfer

 

The Seller agrees to sell to the
Buyer and the Buyer agrees to acquire from the Seller 2,986,304 Ordinary Shares (the “Sale Shares”) with effect
as of the date on which the consummation of the purchase and sale of the Purchase Shares under the Subscription Agreement (the
“Transfer Date”)

 

		3.	Consideration

 

The amount payable by the Buyer to
the Seller for the Sale Shares shall be US$86,524,123 (the “Purchase Price”)

 

Within one (1) Business Day following
the Transfer Date, the Buyer shall pay 90% of the Purchase Price (being US$77,871,711) by wire transfer in immediately available
funds to an account designated by the Seller.

 

The remaining 10% of the Purchase
Price (being US$8,652,412) (the “Holdback Amount”) shall by paid by the Buyer to the Seller pursuant to the
terms of Schedule 1 (PRC Tax Reporting) hereto. Each Party agrees to be bound by and comply with Schedule 1 which shall
form an integral part of this Agreement.

 

		4.	Deliveries

 

		(a)	At the Transfer Date, the Seller shall deliver to the Buyer:

 

		(1)	evidence that all such share certificates in respect of the Sale Shares in the name of the Seller
(if applicable) have been duly cancelled by the Company;

 

		(2)	instruments of transfers duly executed by the Seller in respect of the Sale Shares in favour of
the Buyer;

 

		(3)	a certified scanned copy of the updated register of members of the Company (certified to be a true
copy by the registered agent of the Company) reflecting the Buyer as the holder of the Sale Shares, together with a scanned copy
of the share certificate(s) in respect of the Sale Shares in the name of the Buyer; and

 

		(4)	a copy of the resolutions of the board of directors of the Seller authorising the sale of the Sale
Shares under this Agreement.

 

		(b)	At the Transfer Date, the Buyer shall deliver to the Seller instruments of transfer duly executed
by the Buyer in respect of the Sale Shares.

 

		5.	Conditions Precedent

 

The obligation of the Buyer to purchase
the Sale Shares at the Transfer Date is, unless otherwise waived in writing by the Buyer, subject to the fulfilment, to the satisfaction
of the Buyer of the following conditions on or prior to the Transfer Date:

 

    	 	3	 

     

    

 

		5.1	The representations and warranties made by the Seller in clause 6 hereof shall be true and correct
and complete (and not misleading) when made, and shall be true and correct and complete (and not misleading) as of the date of
this Agreement and the Transfer Date, with the same force and effect as if they had been made on and as of each such date, subject
to the changes (if any) expressly contemplated by this Agreement.

 

		5.2	The Seller shall have obtained any and all approvals and waivers from the relevant governmental
authority or any other person necessary or appropriate for the consummation of the transactions contemplated by this Agreement.

 

		5.3	All corporate and other proceedings in connection with the transactions contemplated by this Agreement
shall be satisfactory in substance and form to the Buyer, and the Buyer shall have received all such counterpart originals or certified
or other copies of such documents as they may reasonably request as at the Transfer Date.

 

		5.4	The transactions contemplated by the Subscription Agreement shall have been consummated.

 

		6.	Representations and Warranties

 

		6.1	The Seller hereby represents and warrants to the Buyer that at the Transfer Date:

 

		(a)	The Seller has full beneficial and legal ownership of the Sale Shares, which are validly issued,
fully paid up, free of all pledges, liens, encumbrances and any other restriction of any kind.

 

		(b)	The Seller is a validly organised and existing company under the laws of the place of its incorporation
and it has the corporate power and authority to enter into this Agreement and to perform its obligations hereunder.

 

		(c)	The execution and the performance of this Agreement by the Seller have been duly authorised by
the Seller and no further corporate action on the part of the Seller is necessary to authorise this Agreement and/or its performance.

 

		6.2	The Buyer hereby represents and warrants to the Seller that as of the Transfer Date:

 

		(a)	The Buyer is a validly organised and existing company under the laws of the place of its incorporation
and it has the corporate power and authority to enter into this Agreement and to perform its obligations hereunder.

 

		(b)	The execution and the performance of this Agreement by the Buyer have been duly authorised by the
Buyer and no further corporate action on the part of the Buyer is necessary to authorise this Agreement and/or its performance.

 

		7.	No Waiver

 

No failure or delay of a Party to
exercise any right or remedy under this Agreement shall be considered, or operate as, a waiver thereof, nor shall any single or
partial exercise of any right or remedy preclude any other or further exercise thereof or the exercise of any other right or remedy.

 

    	 	4	 

     

    

 

		8.	Entire Agreement

 

This Agreement contains the entire
understanding of the Parties with respect to the subject matter contained herein, supersedes and cancels all prior agreements with
respect hereto.

 

		9.	Amendments and Termination

 

		9.1	This Agreement may only be amended or supplemented by a written agreement signed by the Parties.

 

		9.2	This Agreement may be terminated (i) by mutual agreement of the Parties hereto, or (ii) at the
election of any non-breaching Party hereto by serving a written notice to the other Parties if the consummation of the purchase
and sale of the Purchase Shares under the Subscription Agreement does not occur on or prior to May 31, 2018. Such termination under
this clause 9.2 shall be without prejudice to any claims for damages or other remedies that the Parties may have accrued under
this Agreement or applicable laws.

 

		10.	Assignment

 

Neither Party may assign any of its
rights under this Agreement without the written consents of the other Party.

 

		11.	Severability

 

If one or more of the provisions
of this Agreement is or becomes invalid, illegal or unenforceable in any respect under any applicable law, the validity, legality
and enforceability of the remaining provisions contained herein shall not in any way be affected and any invalid provision shall
be deemed to be severable from this Agreement. Each of the Parties agrees in such case to use their best efforts to negotiate in
good faith a legally valid and economically equivalent replacement provision.

 

		12.	Costs

 

Each Party shall bear its own costs,
fees and expenses incurred in the negotiation, execution or performance of this Agreement and any matter contemplated by it.

 

		13.	Counterparts

 

This Agreement may be executed in
any number of counterparts and by the Parties on separate counterparts, each of which, when executed and delivered, shall constitute
an original, but all the counterparts shall together constitute one and the same instrument.

 

		14.	Governing Law and Dispute Resolution

 

		14.1	Governing Law

 

This Agreement shall be governed
by the laws of Hong Kong, without giving effect to any principles of conflict of laws.

 

    	 	5	 

     

    

 

		14.2	Dispute Resolution

 

		(a)	Any dispute arising out of or in connection with this Agreement, including any question regarding
its existence, validity or termination (the “Dispute”), shall be resolved through consultation between the parties
thereto. Such consultation shall begin immediately after one party to the Dispute has delivered to the other parties thereto a
written request for such consultation (the “Request for Consultation”). If within thirty (30) days following
the date on which the Request for Consultation is delivered the Dispute cannot be resolved, any party to such Dispute may apply
for the Dispute to be settled by arbitration.

 

		(b)	The Dispute shall be submitted to HKIAC and resolved in accordance with the Arbitration Rules of
the HKIAC in force at the relevant time and as may be amended by the rest of this clause. The place of arbitration shall be Hong
Kong. The official language of the arbitration shall be English and the tribunal shall consist of one arbitrator to be appointed
by HKIAC. The sole arbitrator appointed by HKIAC shall have experience in handling China cross-border financing disputes. In the
course of arbitration, all the Parties shall continue to implement the terms of this Agreement, except for those matters subject
to arbitration. The award of the arbitration tribunal shall be final and binding upon the disputing parties from the day it is
made, and any party to the award may apply to a court of competent jurisdiction for enforcement of such award. The law of this
arbitration clause shall be the laws of Hong Kong. The seat of arbitration shall be Hong Kong.

 

		(c)	Notwithstanding the above, the Parties hereby consent to and agree that, in addition to any recourse
to arbitration as set out above, any Party may, to the extent permitted under the laws of the jurisdiction in question where application
is made, seek a temporary or permanent injunction from a court or other authority with competent jurisdiction and, notwithstanding
that this Agreement is governed by the applicable laws of Hong Kong, a court or authority hearing an application for injunctive
relief may apply the law of the jurisdiction where the court or other authority is located in determining whether to grant the
injunction.

 

		15.	Notice

 

Except as may be otherwise provided
herein, all notices, requests, waivers and other communications made pursuant to this Agreement shall be in writing and shall be
conclusively deemed to have been duly given to any other Party (a) when hand delivered to such other Party; or (b) five (5) Business
Days after deposit with an overnight delivery service, postage prepaid, addressed to the Parties as set forth below provided that
the sending Party receives a confirmation of delivery from the delivery service provider, or (c) where such notice, request, waiver
and other communication is given by e-mail, delivery shall be deemed to be effected by transmitting the e-mail to the e-mail address
provided by the intended recipient and shall be deemed to have been received on the same day that it was sent, and it shall not
be necessary for the receipt of the e-mail to be acknowledged by the recipient provided that the transmission of the e-mail can
be proven conclusively.

 

    	 	6	 

     

    

 

	To the Buyer:
	c/o Alibaba Group Services Limited
	Attention:	General Counsel
	Address:	26th Floor, Tower One, Time Square, 1 Matheson Street, Causeway Bay, Hong Kong
	Email:	legalnotice@hk.alibaba-inc.com
	 
	To the Seller:
	c/o Jumei International Holding Limited
	Attention:	Leo Ou Chen
	Address:	20th Floor, Tower B, Zhonghui Plaza, 11 Dongzhimen South Road,

        Dongcheng District, Beijing 100007, People’s Republic of China

	Email:	Email: leochen@jumei.com

 

[Remainder of page remains intentionally
blank and signature page follows]

 

    	 	7	 

     

    

 

IN WITNESS WHEREOF, the legal or duly authorized
representative of the Parties hereto have executed this Agreement as of the day and year herein above first written.

 

	JUMEI INTERNATIONAL HOLDING LIMITED	 
	 	 
	By:	/s/ Leo Ou Chen	 
	Name:	Leo Ou Chen	 
	Title:	Authorized Signatory	 

 

Signature Page to the Share Transfer Agreement
of BabyTree Group

 

     

     

    

 

IN WITNESS WHEREOF, the legal or duly authorized
representative of the Parties hereto have executed this Agreement as of the day and year herein above first written.

 

	Taobao China Holding Limited	 
	 	 
	By:	/s/ Wang Liang	 
	Name:	Wang Liang	 
	Title:	Authorized Signatory	 

 

Signature Page to the Share Transfer Agreement
of BabyTree Group

 

     

     

    

 

Schedule 1

PRC Tax Reporting

 

In this Schedule:

 

	“Affiliate”	 	means (a) with respect to any person that is an individual, his or her Immediate Family Members and (b) with respect to any person that is not an individual, any other person that directly or indirectly through one or more intermediaries, Controls, or is Controlled by, or is under common Control with, such person;
	 	 	 
	“Bulletin No. 7”	 	means Bulletin No. 7 issued by the PRC State Administration of Taxation on February 3, 2015, titled “Bulletin on Certain Questions relating to the Enterprise Income Tax of Indirect Transfers of Assets by Non-Resident Enterprises (关于非居民企业间接转让财产企业所得税若干问题的公告)”, and any amendment, implementing rules, or official interpretation thereof or any replacement, successor or alternative legislation having the same subject matter thereof;
	 	 	 
	“Control”	 	of a given person means the power or authority, whether exercised or not, to direct the business, management and policies of such person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise, which power or authority shall conclusively be presumed to exist upon possession of beneficial ownership or power to direct the vote of more than fifty percent (50%) of the votes entitled to be cast at a meeting of the members or shareholders of such person or power to control the composition of a majority of the board of directors (or similar governing body) of such person, and “Controls”, “Controlled by” and “under common Control” shall be construed accordingly; and
	 	 	 
	“Governmental Authority”	 	means any government or any agency, bureau, board, commission, court, department, official, political subdivision, tribunal or other instrumentality of any government.
	 	 	 
	“Immediate Family Members”	 	means, with respect to any natural person, (a) such person’s spouse, parents, parents-in-law, grandparents, children, grandchildren, siblings and siblings-in-law (in each case whether adoptive or biological), (b) spouses of such person’s children, grandchildren and siblings (in each case whether adoptive or biological) and (c) estates, trusts, partnerships and other persons which directly or indirectly through one or more intermediaries are Controlled by the foregoing.

 

     

     

    

 

	“Tax”	 	means (a) any national, provincial, municipal, or local taxes, charges, fees, levies, or other assessments, including, without limitation, all net income (including enterprise income tax and individual income withholding tax), turnover (including value-added tax, business tax, and consumption tax), resource (including urban and township land use tax), special purpose (including land value-added tax, urban maintenance and construction tax, and additional education fees), property (including urban real estate tax and land use fees), documentation (including stamp duty and deed tax), filing, recording, tariffs (including import duty and import value-added tax), and estimated and provisional taxes, charges, fees, levies, or other assessments of any kind whatsoever, (b) all interest, penalties (administrative, civil or criminal), or additional amounts imposed by any Governmental Authority in connection with any item described in clause (a) above, and (c) any form of transferee liability imposed by any Governmental Authority in connection with any item described in clauses (a) and (b) above.

 

		1.	The Parties hereby acknowledge, covenant and agree that (i) the Buyer shall have no obligation
to pay any Tax of any nature that is required by applicable laws to be paid by the Seller or any of its Affiliates or any of their
respective direct and indirect partners, members and shareholders arising out of the transactions contemplated by this Agreement,
and (ii) the Seller agrees to bear and pay any Tax of any nature that is required by applicable laws to be paid by it arising out
of the transactions contemplated by this Agreement.

 

     

     

    

 

		2.	The Seller shall engage and authorise one of the “Big 4” accounting firms (the “Reporting
Agent”) at its own cost to, and shall cause the Reporting Agent to, as soon as possible after the date hereof, and in
any event within thirty (30) days after the date hereof, duly and properly make with the applicable PRC Tax authority (being the
competent PRC Tax authority to which such Tax reporting is to be made pursuant to applicable laws (the “Relevant PRC Tax
Authority”) the relevant Tax reporting pursuant to (and shall make such reporting and disclosures in accordance with
the requirements of) Bulletin No. 7 in connection with the transactions contemplated by this Agreement (the foregoing transactions,
collectively, the “Reporting Transactions”), and shall (x) permit the Buyer to make a joint reporting with the
Seller in respect of the Reporting Transactions if the Buyer so elects, provided however in such case, the contents of the Tax
reporting shall be finally determined by the Seller having, acting reasonably, considered the comments from the Buyer. For the
avoidance of doubt, joint reporting by the Seller and the Buyer shall be limited to the joint submission of the Tax reporting by
the Buyer and the Seller and shall not include any meetings or discussions between the Buyer and its advisors on the one hand and
any Relevant PRC Tax Authority on the other in relation to the transactions contemplated under this Agreement; (y) allow one representative
of the Buyer or its tax advisor to accompany the Reporting Agent to the Relevant PRC Tax Authority’s offices to witness the
Reporting Agent submitting such Tax reporting on behalf of the Seller and (z) unless the submission of such reporting is witnessed
by a representative of the Buyer or its tax advisor provide the Buyer with adequate evidence (as specified below in this Schedule
1) that such Tax reporting has been made in accordance with applicable laws as soon as reasonably practicable. The Seller shall
promptly submit, or cause the Reporting Agent to submit, all documents supplementally requested by the Relevant PRC Tax Authority
in connection with such Tax reporting with a copy delivered to the Buyer, and the Seller shall cause the Reporting Agent to give
regular updates to the Buyer as to the determination (and deliver to the Buyer assessment notices, if any, issued by the Relevant
PRC Tax Authority in connection with such determination) and payment status of any Taxes assessed by the Relevant PRC Tax Authority
in respect of the Seller in connection with the Reporting Transactions. For purposes of this paragraph 2, the following
shall be adequate evidence that a Tax reporting has been made in respect of the Seller:

 

		(A)	an acknowledgement or receipt in respect of the reporting by or on behalf of the Seller issued
by the Relevant PRC Tax Authority or the original signature of an official of the Relevant PRC Tax Authority on the duplicate of
the reporting documents submitted by or on behalf of the Seller; or

 

		(B)	an original written confirmation issued by the Reporting Agent and executed by an authorised signatory
thereof, attaching a copy of the reporting made and confirming that they have submitted the reporting on behalf of the Seller with
the Relevant PRC Tax Authority in accordance with this paragraph 2, and confirming that the Relevant PRC Tax Authority has
not issued any acknowledgement or receipt in respect of the reporting.

 

		3.	The Seller shall cause the Reporting Agent to diligently follow up with the Relevant PRC Tax Authority
on the Tax reporting of the Seller and shall promptly respond to any requests by the Relevant PRC Tax Authorities for additional
information or materials and give regular updates to the Buyer as to any development in the assessment of any Taxes by the Relevant
PRC Tax Authority. Without prejudice to the foregoing, if the Seller or any of its Affiliates receives any notice or demand from
the Relevant PRC Tax Authority in respect of the Reporting Transactions, the Seller shall promptly provide a true and complete
copy of such notice or demand to the Buyer and shall keep the Buyer reasonably and promptly informed of any appeals, contests or
disputes (and the status thereof) the Seller may have with the relevant PRC tax authority in respect of such notice or demand.

 

		4.	To the extent that the Seller is finally
determined by the Relevant PRC Tax Authority to be required by Bulletin No. 7 to pay Taxes in connection with the Reporting Transactions
(the “Selling Taxes”), the Seller shall promptly pay such Selling Taxes and shall provide the Buyer, as soon
as reasonably practicable, with acceptable evidence that such Selling Taxes have been paid. For purposes of this paragraph
4, only a receipt of payment issued by the Relevant PRC Tax Authority (the “Tax Payment Receipt”) shall
constitute acceptable evidence that the Selling Taxes have been paid in respect of the Seller.

 

     

     

    

 

	5.	(A)	The Seller shall indemnify and hold harmless, on an after-tax basis, the Buyer forthwith on demand from and against all Selling
Taxes (pursuant to Bulletin No. 7) and all costs, expenses, demands, liabilities, losses and damages incurred or suffered by the
Buyer arising or resulting from or in connection with any default or breach by the Seller of any of its obligations under this
Schedule 1.

 

		(B)	In the event that (a) the Seller is not finally determined by the Relevant PRC Tax Authority to
be required by Bulletin No. 7 to pay Taxes in connection with the Reporting Transactions; (b) the Seller is entitled to Tax exemption,
Tax reduction or other preferential Tax treatment pursuant to which the Seller does not pay, or does not pay in full, Taxes in
connection with the Reporting Transactions otherwise required to be paid pursuant to Bulletin No. 7; and/or (c) the Relevant PRC
Tax Authority regards the cost basis of any future sale of any Sale Shares by the Buyer as lower than the actual cost of acquisition
of the relevant Sale Shares by the Buyer under this Agreement, the Seller shall indemnify and hold harmless, on an after-tax basis,
the Buyer forthwith on demand for all costs, expenses, demands, liabilities, losses and damages incurred or suffered by the Buyer
arising or resulting from or in connection with (i) the absence of a final determination referred to in sub-paragraph (a) above;
(ii) the entitlement, non-payment or shortfall in payment referred to in sub-paragraph (b) above; and/or (iii) the lower cost basis
adopted by the Relevant PRC Tax Authority referred to in sub-paragraph (c) above.

 

		6.	Release of Holdback Amount

 

The Holdback Amount shall be released
as follows:

 

		(A)	If the Seller has been requested by the Relevant PRC Tax Authority to pay any Selling Taxes, then,
at any time after the Relevant PRC Tax Authority’s assessment of the Selling Taxes arising hereunder in respect of the Seller
has been accepted by the Seller or has become final and non-appealable (such event, the “Final Tax Event” and
the amount of such Taxes, the “Final Tax Amount”), the Seller shall be entitled to instruct the Buyer, accompanied
by reasonable supporting evidence relating thereto, to release, out of the Holdback Amount within one (1) week of such duly issued
instructions, (i) an amount equal to the Final Tax Amount, to the Relevant PRC Tax Authority (with a copy, certified as true by
or on behalf of the Seller, of the Tax Payment Receipt to be delivered to the Buyer), and (ii) the remaining balance, if any, to
the Seller.

 

		(B)	If the Seller receives confirmation from the Relevant PRC Tax Authority that the Seller is not
required to pay any Selling Taxes, the Seller shall be entitled to instruct the Buyer, accompanied by acceptable evidence relating
thereto, to release the Holdback Amount to the Seller within one (1) week of such duly issued instructions. For the purpose for
this paragraph 6(B), the following shall be acceptable evidence of confirmation by the Relevant PRC Tax Authority that the
Seller is not required to pay any Selling Taxes:

 

     

     

    

 

		(i)	an original written confirmation issued by the Relevant PRC Tax Authority and executed by an official
of the Relevant PRC Tax Authority confirming that the Seller is not required to pay any Selling Taxes; or

 

		(ii)	an original written confirmation (including minutes of the meeting(s)) issued by the Reporting
Agent and executed by an authorised signatory thereof, confirming that (a) they have attended formal meeting(s) with the Relevant
PRC Tax Authority together with at least one representative of the Buyer and/or its tax advisor, and (b) a competent tax official
of the Relevant PRC Tax Authority has provided confirmation (orally or otherwise) at such meeting(s) that the Seller is not required
to pay any Selling Taxes. For the avoidance of doubt, the contents of such original written confirmation issued by the Reporting
Agent pursuant to this sub-paragraph 6(B)(ii) shall be reasonably acceptable to each of the Buyer and the Seller.

 

		(C)	(i) If the Seller is liable to indemnify the Buyer under paragraph 5(B) of this Schedule
1 or (ii) (save in the event that a Final Tax Event has occurred) if the Seller is liable to indemnify the Buyer under paragraph
5(A) of this Schedule 1 with respect to any payment by the Buyer of Taxes pursuant to the request of a Relevant PRC
Tax Authority in connection with the Reporting Transactions and ancillary costs and expenses, the Buyer shall be entitled to set
off against the Buyer’s obligation to the Seller with respect to the Holdback Amount (in either case whether any such liability
or obligation is present or future, liquidated or unliquidated and irrespective of the currency of its denomination) and may for
such purpose convert or exchange any currency. The Buyer’s right to set-off under this paragraph 6(C) shall be without
prejudice to any other right of set-off, abatement or deduction available to the Buyers whether under this Agreement or by status,
at common law or equity.

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