Document:

Exhibit 10.15

 

SHARE SUBSCRIPTION AGREEMENT

 

Dated September 14, 2018

 

by and among

 

9F Inc.,

 

and

 

SBI Hong Kong Holdings Co., Limited

 

 

SHARE SUBSCRIPTION AGREEMENT

 

THIS SHARE SUBSCRIPTION AGREEMENT (this “Agreement”) is made and entered into as of September 14, 2018 by and among:

 

1.                                      9F Inc., an exempted company with limited liability incorporated under the Laws of the Cayman Islands (the “Company”); and

 

2.                                      SBI Hong Kong Holdings Co., Limited, a business company incorporated under the Laws of Hong Kong (the “Purchaser”).

 

RECITALS

 

A.                                    The Company desires to issue, allot and sell to the Purchaser, and the Purchaser desires to subscribe and purchase from the Company, an aggregate of 10,825 Series E preferred shares, each with a par value of US$0.0001 per share, of the Company pursuant to the terms and conditions set forth in this Agreement.

 

B.                                    The Parties desire to enter into this Agreement and make the respective representations, warranties, covenants and agreements set forth herein on the terms and conditions set forth herein.

 

AGREEMENT

 

NOW, THEREFORE, in consideration of the foregoing recitals, the mutual promises hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows:

 

1.                                      DEFINITIONS

 

In this Agreement, unless the context otherwise requires, the following words and expressions have the meanings as follows:

 

“Action” means any action, suit, proceeding, claim, arbitration, investigation, charge, complaint or petition, whether administrative, civil or criminal, whether at Law or in equity, and whether or not before any mediator, arbitrator or Governmental Authority.

 

“Adjusted Series E Conversion Price I” has the meaning set forth in Section 3.4(a).

 

“Adjusted Series E Conversion Price II” has the meaning set forth in Section 3.4(b).

 

“Adjusted Series E Conversion Price III” has the meaning set forth in Section 3.4(c).

 

“Adjusted Series E Conversion Price IV” has the meaning set forth in Section 3.5(i).

 

“Adjustment Amount” means the Adjustment Amount I, Adjustment Amount II, Adjustment Amount III or Adjustment Amount IV, as applicable.

 

“Adjustment Amount I” has the meaning set forth in Section 3.4(a).

 

 

“Adjustment Amount II” has the meaning set forth in Section 3.4(b).

 

“Adjustment Amount III” has the meaning set forth in Section 3.4(c).

 

“Adjustment Amount IV” has the meaning set forth in Section 3.5(ii).

 

“Affiliate” means, (i) with respect to a Person that is a natural person, such Person’s relatives, and (ii) with respect to a Person that is not a natural person, a Person that directly, or indirectly through one or more intermediaries, Controls, or is Controlled by, or is under common Control with, such Person (including any Subsidiary) or any investment funds managed or advised by such Person or any of its other Affiliates. For the purposes of this definition, “relative” of a Person means such Person’s spouse, parent, grandparent, child, grandchild, sibling or the spouse of such Person’s child, grandchild or sibling. Notwithstanding the foregoing, in the case of a Person that is a pooled investment vehicle or an entity wholly owned by a pooled investment vehicle, “Affiliates” shall include any of its general partners and fund managers and pooled investment vehicles managed by its fund managers, and any officers, general partners and fund managers thereof. “Affiliates” and “Affiliated” shall have correlative meanings.

 

“Approval” means any approval, authorization, release, order, consent, license or permit required to be obtained from, or any registration, qualification, designation, declaration, filing, notice, statement or other communication required to be filed with or delivered to, any Governmental Authority or any other Person.

 

“Arbitration Notice” has the meaning set forth in Section 10.12.

 

“Balance Sheet Date” means December 31, 2017.

 

“Bankruptcy and Equity Exception” has the meaning set forth in Section 4.2.

 

“Business” means internet financing services as currently conducted or reasonably proposed to be conducted by the Group Companies.

 

“Business Day” means a day (other than a Saturday or a Sunday) that the banks in Hong Kong, the PRC, or the Cayman Islands are generally open for business.

 

“Closing” has the meaning set forth in Section 3.1.

 

“Closing Date” has the meaning set forth in Section 3.1.

 

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

 

“Control” means the possession, direct or indirect, of the power to direct, or cause the direction of, the management and policies of a Person, whether through the ownership of voting securities, by contract or otherwise.

 

“Declared Dividends” has the meaning set forth in Section 3.4(a).

 

“Disclosing Party” has the meaning set forth in Section 10.10(d).

 

Dispute” has the meaning set forth in Section 10.12.

 

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“Equity Securities” means, with respect to a given Person, any share, share capital, registered capital, ownership interest, partnership interest, equity interest, joint venture or other ownership interest of such Person, or any option, warrant, or right to subscribe for, acquire or purchase any of the foregoing, or any other security or instrument convertible into or exercisable or exchangeable for any of the foregoing, or any equity appreciation, phantom equity, equity plan or similar right with respect to such Person, or any Contract of any kind for the purchase or acquisition from such Person of any of the foregoing, either directly or indirectly.

 

“Financial Statements” means (i) the audited balance sheets, income statements and statements of cash flow for each of the Key Subsidiaries as of and for the years ended December 31, 2015 and 2016, and (ii) the unaudited balance sheets, income statements and statements of cash flow for each of the Key Subsidiaries as of and for the period ended December 31, 2017, on a non-consolidated basis, prepared in accordance with PRC GAAP.

 

“Financing Terms” has the meaning set forth in Section 10.10(a).

 

“Governmental Authorities” means any nation, government, province, state, or any entity, authority or body exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government, including any government authority, agency, department, board, commission or instrumentality of any government or any political subdivision thereof, court, tribunal, arbitrator, the governing body of any securities exchange, and self-regulatory organization, in each case having competent jurisdiction (with each of such Governmental Authorities being referred to as a “Governmental Authority”).

 

“Group Companies” means the Company and its Subsidiaries from time to time.

 

“HKIAC” has the meaning set forth in Section 10.12.

 

“HKIAC Rules” has the meaning set forth in Section 10.12.

 

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

 

“IPO” means a firm commitment underwritten registered initial public offering by the Company of its Ordinary Shares (or securities of the Company representing the Ordinary Shares), on New York Stock Exchange, NASDAQ, Hong Kong Stock Exchange or other internationally recognized stock exchange, as approved by the Shareholders in accordance with the Shareholders Agreement and the Restated Articles.

 

“Indemnified Persons” means the Purchaser, its Affiliates, officers, directors, direct or indirect stockholders, employees, trustees, attorneys and representatives.

 

“Indemnity Threshold” has the meaning set forth in Section 9.3.

 

“Key Subsidiaries” means, collectively, the Subsidiaries of the Company listed in Schedule A, each a “Key Subsidiary”, and which collectively accounted for at least 70% of the consolidated revenue of the Group Companies for the year ended the Balance Sheet Date.

 

“Law” means any law, rule, constitution, code, ordinance, statute, treaty, decree, regulation, common law, order, official policy, circular, provision, administrative order,  interpretation, injunction, judgment, ruling, assessment, writ or other legislative measure, in each case of any Governmental Authority.

 

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“Losses” means any and all losses, claims, Actions, damages, liabilities and expenses (joint or several), including attorneys’ fees and disbursements and all other expenses incurred in investigating, preparing, compromising or defending against any such litigation, commenced or threatened, or any claim whatsoever and all amounts paid in settlement of any such claim or litigation, to which any of the Indemnified Persons may become subject.

 

“Material Adverse Effect” means a material adverse effect on (a) the ability of the Company to consummate or perform the transactions contemplated by this Agreement and the other Transaction Documents (to the extent it is a party thereto), or (b) the operations, results of operations, condition (financial or otherwise), properties, assets, liabilities, business or prospects of the Group Companies, taken as a whole, provided that in no event shall any of the following constitute a Material Adverse Effect: (i) changes affecting the industry in which the Group Companies operate, the economy or financial, credit or securities markets or political conditions generally in the PRC (except where such changes affect the Group Companies to a disproportionate extent); or (ii) effects resulting from any breach of this Agreement by the Purchaser.

 

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

 

“Parties” means the named parties to this Agreement and their respective successors and permitted assigns (with each of such Parties being referred to as a “Party”).

 

“Per Share Offering Price” has the meaning set forth in Section 3.4(a).

 

“Per Share Purchase Price” has the meaning set forth in Section 2.2.

 

“Person” means any individual, corporation, partnership, limited partnership, proprietorship, association, limited liability company, firm, trust, estate or other enterprise, entity or legal person.

 

“PRC” means the People’s Republic of China and for purposes of this Agreement, excludes Hong Kong, Macao Special Administrative Region and Taiwan.

 

“Purchase Price” has the meaning set forth in Section 2.2.

 

“Purchased Shares” has the meaning set forth in Section 2.2.

 

“Purchaser” has the meaning set forth in the Preamble.

 

“Restated Articles” means the fifth amended and restated memorandum and articles of association of the Company to be adopted on or prior to the Closing Date, in substantially the same form as attached hereto in Exhibit B.

 

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

 

“Selection Period” has the meaning set forth in Section 10.12.

 

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“Series E Conversion Price” has the meaning ascribed to it in the Restated Articles.

 

“Series E Issue Price” has the meaning ascribed to it in the Restated Articles.

 

“Series E Preferred Shares” means the Series E preferred shares of the Company each with a par value of US$0.0001 per share.

 

“Shareholders Agreement” has the meaning set forth in Section 7.7.

 

Subsidiary” means, with respect to any given Person, any Person of which the given Person, directly or indirectly, Controls, including but not limited through the ownership of more than 50% of the issued and outstanding share capital, voting interests or registered capital.

 

“Transaction Documents” means this Agreement (as may be amended and supplemented from time to time), the Shareholders Agreement, the Restated Articles, and any other agreements entered into in writing in connection with the transactions contemplated hereby.

 

“US$” means United States Dollars, the lawful currency of the United States.

 

2.                                      PURCHASE AND SALE

 

2.1                               Authorization. Immediately before the Closing, the Company shall have authorized (i) the issuance and sale of up to 10,825 Series E Preferred Shares, having the rights, preferences, privileges and restrictions as set forth in the Restated Articles; and (ii) the reservation of such number of Ordinary Shares as required for issuance upon conversion of the Series E Preferred Shares.

 

2.2                               Purchase and Sale of Shares. Subject to the terms and conditions of this Agreement, the Company hereby agrees to issue and sell to the Purchaser, and the Purchaser hereby agrees to subscribe for and purchase from the Company, the number of Series E Preferred Shares set forth opposite the Purchaser’s name on Schedule B (the “Purchased Shares”) at the per share purchase price set forth opposite the Purchaser’s name on Schedule B (the “Per Share Purchase Price”), with a total purchase price set forth opposite the Purchaser’s name on Schedule B (the “Purchase Price”). At the Closing, the Company shall issue and deliver to the Purchaser a certificate representing the Purchased Shares, duly signed by a director of the Company, in consideration for cash payment of the Purchase Price by the Purchaser to the Company.

 

3.                                      CLOSINGS; CLOSING DELIVERIES; PRICE ADJUSTMENT

 

3.1                               Closing. The closing of the transaction contemplated under Section 2.2(the “Closing”) shall take place remotely via the electronic exchange of the closing documents and signatures within five (5) Business Days after the satisfaction or waiver of the conditions set forth in Sections 7 and 8 or at such other time and place as the Company and the Purchaser may mutually agree upon (the date on which the Closing occurs, the “Closing Date”).

 

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3.2                               Deliveries by the Company on or prior to the Closing. On or prior to the Closing, in addition to any items the delivery of which is made an express condition to the Purchaser’s obligations at the Closing pursuant to Section 7, the Company shall deliver to the Purchaser:

 

(a)                                 a certified copy of duly executed written resolutions or minutes of the duly called and duly held meetings of each of the shareholders and the directors of the Company, in a form satisfactory to the Purchaser, in which it is validly resolved (i) to approve and adopt the Restated Articles with effect on or prior to the Closing Date, (ii) to approve the entry and execution of the Transaction Documents, and (iii) to approve and authorize the transactions contemplated under the Transaction Documents;

 

(b)                                 a certified copy of duly executed written resolutions or minutes of the duly called and duly held meetings of each of the shareholders and the directors of each of the Key Subsidiaries, in a form satisfactory to the Purchaser, in which it is validly resolved (i) to approve the entry and execution of the Transaction Documents (to the extent it is a party), and (ii) to approve and authorize the transactions contemplated under the Transaction Documents (to the extent it is a party);

 

(c)                                  a certified copy of the updated register of members of the Company evidencing the Purchaser as the holder of the Purchased Shares as at the Closing Date, certified by the registered office provider of the Company as a true and complete copy as of the Closing Date;

 

(d)                                 a certified copy of the share certificate issued in the name of the Purchaser representing the Purchased Shares, with the original (duly signed and sealed for and on behalf of the Company) to be delivered to the Purchaser within five (5) Business Days after the Closing;

 

(e)                                  counterpart signature pages to the Shareholders Agreement, duly executed by the parties thereto (except the Purchaser);

 

(f)                                   a certificate issued in accordance with Section 7.8.

 

3.3                               Deliveries by the Purchaser at the Closing. At the Closing, the Purchaser shall, in consideration for the Purchased Shares issued by the Company under Section 2.2, pay the Purchase Price by wire transfer of immediately available funds to an account designated by the Company, provided that transfer instructions are delivered to the Purchaser at least five (5) Business Days prior to the Closing.

 

3.4                               IPO Adjustment.

 

(a)                                 If the Company completes an IPO within 12 months after the Closing and the public offering price per Ordinary Share (the “Per Share Offering Price”) in the IPO is less than the result of (A) 130% of the Series E Conversion Price effective immediately prior to the completion of the IPO, minus (B) all dividends that have been declared and paid on a Series E Preferred Share prior to the completion of the IPO (the “Declared Dividends”), then, at the option of the Company,

 

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(i)                                                   the Series E Conversion Price of each Series E Preferred Share held by the Purchaser shall, immediately prior to the completion of the IPO, be adjusted in accordance with the following formula (such new Series E Conversion Price, the “Adjusted Series E Conversion Price I”):

 

Adjusted Series E Conversion Price I = (Per Share Offering Price + Declared Dividends) / 1.3; or

 

(ii)                                                    the Company shall, within thirty (30) Business Days from the completion of the IPO, pay, or cause to be paid, an amount calculated in accordance with the formula below (the “Adjustment Amount I”) to the Purchaser for each Series E Preferred Share held by the Purchaser immediately prior to completion of the IPO in cash by wire transfer of immediately available funds to an account designated by the Purchaser:

 

Adjustment Amount I = Series E Conversion Price effective immediately prior to completion of the IPO - Adjusted Series E Conversion Price I

 

Upon payment of the Adjustment Amount I to the Purchaser, the Series E Issue Price and the Series E Conversion Price of each Series E Preferred Share, if any, shall be adjusted to equal the Adjusted Series E Conversion Price I.

 

(b)                                 If the Company completes an IPO after the expiry of 12 months after the Closing but within 24 months after the Closing and the Per Share Offering Price in the IPO is less than the result of (A) 150% of the Series E Conversion Price effective immediately prior to the completion of the IPO, minus (B) the Declared Dividends, then, at the option of the Company,

 

(i)                                                   the Series E Conversion Price of each Series E Preferred Share held by the Purchaser shall, immediately prior to the completion of the IPO, be adjusted in accordance with the following formula (such new Series E Conversion Price, the “Adjusted Series E Conversion Price II”):

 

Adjusted Series E Conversion Price II = (Per Share Offering Price + Declared Dividends) / 1.5; or

 

(ii)                                                the Company shall, within thirty (30) Business Days from the completion of the IPO, pay, or cause to be paid, an amount calculated in accordance with the formula below (the “Adjustment Amount II”) to the Purchaser for each Series E Preferred Share held by the Purchaser immediately prior to completion of the IPO in cash by wire transfer of immediately available funds to an account designated by the Purchaser:

 

Adjustment Amount II = Series E Conversion Price effective immediately prior to completion of the IPO - Adjusted Series E Conversion Price II

 

Upon payment of the Adjustment Amount II to the Purchaser, the Series E Issue Price and the Series E Conversion Price of each Series E Preferred Share, if any, shall be adjusted to equal the Adjusted Series E Conversion Price II.

 

(c)                                  If the Company completes an IPO after the expiry of 24 months after the Closing and the Per Share Offering Price in the IPO is less than the result of (A) 180% of the Series E Conversion Price effective immediately prior to the completion of the IPO, minus (B) the Declared Dividends, then, at the option of the Company,

 

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(i)                                                   the Series E Conversion Price of each Series E Preferred Share held by the Purchaser shall, immediately prior to the completion of the IPO, be adjusted in accordance with the following formula (such new Series E Conversion Price, the “Adjusted Series E Conversion Price III”):

 

Adjusted Series E Conversion Price III = (Per Share Offering Price + Declared Dividends) / 1.8; or

 

(ii)                                                the Company shall, within thirty (30) Business Days from the completion of the IPO, pay, or cause to be paid, an amount calculated in accordance with the formula below (the “Adjustment Amount III”) to the Purchaser for each Series E Preferred Share held by the Purchaser immediately prior to completion of the IPO in cash by wire transfer of immediately available funds to an account designated by the Purchaser,

 

Adjustment Amount III = Series E Conversion Price effective immediately prior to completion of the IPO - Adjusted Series E Conversion Price III

 

Upon payment of the Adjustment Amount III to the Purchaser, the Series E Issue Price and the Series E Conversion Price of each Series E Preferred Share, if any, shall be adjusted to equal the Adjusted Series E Conversion Price III.

 

3.5                               Net Profit Undertaking. The Company undertakes to the Purchaser that the Non-GAAP Operating Net Profit (as defined below) of the Group Companies for the fiscal year ended December 31, 2017 (the “2017 Actual Profits”) shall be no less than RMB1,000,000,000 (the “2017 Target Profit”). The Non-GAAP Operating Net Profit of the Group Companies refers to the consolidated net profit of the Group Companies, but excluding the effects of the loss and profit of fair value on financial assets, the loss and profit of fair value of convertible redeemable preferred shares, share-based compensation expenses, any other non-operating costs, and any income tax resulting from the abovementioned items, as reflected in the consolidated financial statements of the Group Companies prepared by the Group Companies.

 

If the 2017 Actual Profit is less than the 2017 Target Profit, then, at the option of the Company,

 

(i)                                                   the Series E Conversion Price of each Series E Preferred Share held by the Purchaser shall be adjusted in accordance with the following formula (such new Series E Conversion Price, the “Adjusted Series E Conversion Price IV”):

 

Adjusted Series E Conversion Price IV = Series E Conversion Price effective immediately prior to such adjustment * (2017 Actual Profit/2017 Target Profit),

 

provided that, if the 2017 Actual Profit is less than 80% of 2017 Target Profit, the Adjusted Series E Conversion Price IV shall be 80% of the Series E Conversion Price effective immediately prior to such adjustment; or

 

(ii)                                                the Company shall pay, or caused to be paid, an amount calculated in accordance with the formula below (the “Adjustment Amount IV”) to the Purchaser for each Series E Preferred Share held by the Purchaser immediately prior to the adjustment in cash by wire transfer of immediately available funds to an account designated by the Purchaser:

 

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Adjustment Amount IV = Series E Conversion Price effective immediately prior to such adjustment - Adjusted Series E Conversion Price IV

 

Upon payment of the Adjustment Amount IV to the Purchaser, the Series E Issue Price and the Series E Conversion Price of each Series E Preferred Share, if any, shall be adjusted to equal the Adjusted Series E Conversion Price IV.

 

If the 2017 Actual Profit is less than 80% of 2017 Target Profit, the Purchaser may exercise its redemption right in accordance with the Restated Articles.

 

4.                                      REPRESENTATIONS AND WARRANTIES OF THE COMPANY

 

The Company hereby represents and warrants to the Purchaser, as of the date hereof and the Closing Date (except as to any representations and warranties that specifically relate to a specific date, and then as of such specific date), that each of the statements contained in this Section 4 is true, complete and accurate in all respects, and not misleading in any respects.

 

4.1                               Organization, Standing and Qualification. Each Group Company is duly incorporated, validly existing and in good standing (or equivalent status in the relevant jurisdiction) under the Laws of the place of its incorporation or establishment and has all requisite power and authority to perform its obligations hereunder or under any of the other Transaction Documents.

 

4.2                               Due Authorization. The Company has the requisite power, capacity and authority to enter into, execute and deliver this Agreement and the other Transaction Documents and to perform all the obligations to be performed by it hereunder and thereunder. The execution, delivery and performance by the Company of this Agreement and the other Transaction Documents have been duly authorized by all necessary corporate action on the part of the Company. This Agreement and the other Transaction Documents, when executed and delivered by the Company, will constitute valid and binding obligations of the Company, enforceable against the Company in accordance with their terms, in each case to the extent the Company is a party thereto, subject, as to enforcement of remedies, to applicable bankruptcy, insolvency, moratorium, reorganization and similar Laws affecting creditors’ rights generally and to general equitable principles (the “Bankruptcy and Equity Exception”).

 

4.3                               Consents and Approvals. Except for those expressly provided in this Agreement or obtained prior to the Closing, no Approval is required to be obtained or made by or with respect to the Company in connection with the execution, delivery or performance of this Agreement and the other Transaction Documents, or the consummation of the transactions contemplated hereby or thereby.

 

4.4                               No Violation. Neither the execution and delivery of this Agreement or the other Transaction Documents nor the full performance of its obligations by the Company hereunder or thereunder will (a) violate any applicable Law to which the Company is subject, (b) conflict with, result in a violation or breach of, or constitute a default under, result in the acceleration of or create in any party the right to accelerate, terminate or cancel any contract or agreement by which the Company is bound or (c) violate any constitutive documents of the Company.

 

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5.                                      REPRESENTATIONS AND WARRANTIES OF THE PURCHASER

 

The Purchaser hereby represents and warrants to the Company, as of the date hereof and the Closing Date (except as to any representations and warranties that specifically relate to an earlier date, and then as of such earlier date), as follows:

 

5.1                               Due Authorization. The Purchaser has all requisite power, authority and capacity to enter into this Agreement and the other Transaction Documents and to perform its obligations hereunder and thereunder. The execution, delivery and performance by the Purchaser of this Agreement and the other Transaction Documents have been duly authorized by all necessary corporate action on the part of the Purchaser. This Agreement and the other Transaction Documents, when executed and delivered by the Purchaser, will constitute valid and legally binding obligations of the Purchaser, enforceable against the Purchaser in accordance with its terms and subject, as to enforcement of remedies, to the Bankruptcy and Equity Exception.

 

5.2                               Purchase for Own Account. The Purchaser’s Purchased Shares will be acquired for the Purchaser’s own account, not as a nominee or agent and not with a view to or in connection with the sale or distribution of any part thereof.

 

5.3                               Exempt from Registration; Restricted Securities. The Purchaser understands that its Purchased Shares will not be registered under the Securities Act or registered or listed publicly pursuant to any other applicable securities laws and regulations, on the ground that the sale provided for in this Agreement is exempt from registration under the Securities Act or the registration or listing requirements of any other applicable securities laws and regulations. The Purchaser understands that its Purchased Shares are restricted securities within the meaning of Rule 144 under the Securities Act; that the Purchased Shares are not registered or listed publicly and must be held indefinitely unless they are subsequently registered or listed publicly or an exemption from such registration or listing is available.

 

5.4                               Consents and Approvals. Except as expressly provided in this Agreement, no consent, approval, license, permit, order or authorization of, or notice to, or registration, declaration or filing with, any Governmental Authority or any third party is required to be obtained or made by or with respect to the Purchaser in connection with the execution, delivery or performance of this Agreement and the other Transaction Documents, or the consummation of the transactions contemplated hereby or thereby.

 

5.5                               No Violation. Neither the execution and delivery of this Agreement or any of the other Transaction Documents nor the full performance of its obligations by the Purchaser hereunder or thereunder will (a) violate any applicable Law to which the Purchaser is subject, (b) conflict with, result in a violation or breach of, or constitute a default under, result in the acceleration of or create in any party the right to accelerate, terminate or cancel any contract or agreement by which the Purchaser is bound, or (c) violate any constitutive documents of the Purchaser.

 

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6.                                      COVENANTS

 

The Company covenants to the Purchaser as follows:

 

6.1                               Use of Proceeds. The proceeds from the issuance of the Purchased Shares to the Purchaser at the Closing shall be used for the development and operation of the Business, including, for capital expenditure and general corporate purposes.

 

6.2                               Interim Business of the Group Companies. Except as expressly contemplated by this Agreement or as required by applicable Law, between the date of this Agreement and the Closing Date, the business of the Group Company shall be conducted in the usual, regular, and ordinary course of business in substantially the same manner as heretofore conducted.

 

6.3                               Notice. The Company shall promptly advise the Purchaser of any action or event of which the Company becomes aware and which would have the effect of making incorrect any representations and warranties of the Company if given with reference to facts and circumstances then existing or of rendering any covenants of the Company incapable of performance.

 

6.4                               Efforts to Fulfill Closing Conditions. The Parties shall use their best efforts to ensure that the conditions set forth in Section 7 (in the case of the Company) and Section 8 (in the case of the Purchaser) will be fulfilled by the Closing Date.

 

7.                                      CONDITIONS TO PURCHASER’S OBLIGATIONS AT CLOSING

 

The obligations of the Purchaser to consummate the transactions under Section 2.2 are subject to the fulfillment, to the satisfaction of the Purchaser on or prior to the Closing, or waiver by the Purchaser, of the following conditions:

 

7.1                               Representations and Warranties True and Correct. The representations and warranties set forth in Section 4 shall be true, correct and complete and not misleading when made, and shall be true, correct and complete and not misleading as of the Closing Date with the same force and effect as if they have been made on and as of the Closing.

 

7.2                               Performance of Obligations. The Company shall have performed and complied with all agreements, obligations and conditions contained in this Agreement that are required to be performed or complied with by it on or before the Closing.

 

7.3                               Proceedings and Documents. All corporate and other proceedings in connection with the transactions contemplated hereby, including shareholder resolutions and board resolutions of the Company, and all documents and instruments incidental to such transactions, including explicit waiver of pre-emptive rights by the Company or its shareholders, as applicable, shall be satisfactory in substance and form to the Purchaser, and the Purchaser shall have received all such counterpart originals, certified copies or such other true copies of documents as the Purchaser may reasonably request.

 

7.4                               Approvals, Consents and Waivers. The Company shall have obtained any and all Approvals and waivers necessary for the consummation of the transactions contemplated hereby, each of which shall be in full force and effect as of the Closing.

 

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7.5                               No Material Adverse Effect. There shall have been no Material Adverse Effect since the Balance Sheet Date.

 

7.6                               Amendments to Constitutional Documents. The Restated Articles shall have been duly adopted by the Company by all necessary corporate actions of its board of directors and shareholders and shall be in full force and effect.

 

7.7                               Execution of Shareholders Agreement. At the Closing, the shareholders of the Company shall have executed and delivered a fourth amended and restated shareholders agreement of the Company, or a new shareholders agreement of the Company that supersedes all existing amended and restated shareholders agreement in respect of the Company substantially in the form attached hereto as Exhibit A (the “Shareholders Agreement”).

 

7.8                               Compliance Certificate. The Company shall have delivered to the Purchaser a certificate, dated as of the Closing Date, signed by its directors or senior executive officers, certifying that the conditions specified in Sections 7.1 through 7.5 have been fulfilled.

 

8.                                      CONDITIONS TO COMPANY’S OBLIGATIONS AT THE CLOSING

 

The obligations of the Company to consummate the transactions under Section 2.2 are subject to the fulfillment, to the satisfaction of the Company on or prior to the Closing, or waiver by the Company, of the following conditions:

 

8.1                               Representations and Warranties True and Correct. The representations and warranties of the Purchaser contained in Section 5 shall be true, correct and complete when made, and shall be true, correct and complete as of the Closing Date with the same force and effect as if they have been made on and as of the Closing.

 

8.2                               Performance of Obligations. The Purchaser shall have performed and complied with all agreements, obligations and conditions contained in this Agreement that are required to be performed or complied with by it on or before the Closing.

 

8.3                               Execution of Shareholders Agreement. At the Closing, the Purchaser shall have executed the Shareholders Agreement.

 

8.4                               Approvals, Consents and Waivers. The Purchaser shall have obtained any and all Approvals and waivers necessary for the consummation of the transactions contemplated hereby, each of which shall be in full force and effect as of the Closing.

 

9.                                      INDEMNITY

 

9.1                               Survival. The representations and warranties of the Company contained in this Agreement on the Closing Date shall survive the Closing for a period of 24 months after the Closing.

 

9.2                               Indemnification. To the fullest extent permitted by Laws, the Company, covenants and agrees to indemnify and hold harmless the Purchaser, from and against any and all Losses, as incurred, insofar as such Losses arise out of or are based upon:

 

(a)                                 any inaccuracy in or breach of any representations or warranties made by the Company in this Agreement or any other Transaction Document; and

 

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(b)                                 any failure of the Company to perform any of its obligations under, or comply with any provisions of, this Agreement or any other Transaction Document.

 

In no event shall the Company be obligated to indemnify an Indemnified Person for Losses resulting directly and solely from the gross negligence or willful misconduct of such Indemnified Person.

 

9.3                               Limitations on Indemnification. No Indemnified Person will be entitled to indemnification under Section 9.2 until such time as the aggregate of all claims for Losses that the Indemnified Person may have under Section 9.2 exceeds US$1,000,000 (the “Indemnity Threshold”), and that once the aggregate amount of such Losses exceeds the Indemnity Threshold, then the Indemnified Person will be entitled to recover the full amount of such Losses and not only the exceeding portion. Notwithstanding anything to the contrary set forth herein, the aggregate amount of Losses the Company shall be liable for under this Agreement shall in no event be greater than the total amount of Purchase Price payable by the Purchaser.

 

10.                               MISCELLANEOUS

 

10.1                        Governing Law. This Agreement shall be governed by and construed exclusively in accordance with the Laws of Hong Kong without giving effect to any choice of law rule that would cause the application of the Laws of any jurisdiction other than the Laws of Hong Kong to the rights and duties of the Parties hereunder.

 

10.2                        Successors and Assigns. Except as otherwise expressly provided herein, the provisions hereof shall inure to the benefit of, and be binding upon, the successors, assigns, heirs, executors and administrators of the Parties. This Agreement and the rights and obligations therein may not be assigned by any Party without the written consent of the other Parties, provided that the Purchaser may assign any or all of its rights and obligations hereunder to its Affiliates.

 

10.3                        Entire Agreement. This Agreement and the other Transaction Documents, including the schedules and exhibits hereto and thereto, which are hereby expressly incorporated herein by this reference, constitute the entire understanding and agreement among the Parties with regard to the subjects hereof and thereof.

 

10.4                        Notices. 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 (a) when hand delivered to the other Parties, upon delivery; (b) when sent by facsimile at the number set forth in Schedule C, upon receipt of confirmation of error-free transmission; (c) seven Business Days after deposit in the mail as air mail or certified mail, receipt requested, postage prepaid and addressed to the other Parties as set forth in Schedule C; or (d) three Business Days after deposit with an overnight delivery service, postage prepaid, addressed to the Parties as set forth in Schedule C with next business-day delivery guaranteed, provided that the sending Party receives a confirmation of delivery from the delivery service provider. Each Party making a communication hereunder by facsimile shall promptly confirm by telephone to the Party to whom such communication was addressed each communication made by it by facsimile pursuant hereto but the absence of such confirmation shall not affect the validity of any such communication. A Party may change or supplement the addresses given above, or designate additional addresses, for purposes of this Section 10.4 by giving, the other Parties written notice of the new address in the manner set forth above.

 

13

 

10.5                        Amendments. Any term of this Agreement may be amended only with the written consents of the Company and the Purchaser.

 

10.6                        Delays or Omissions; Waivers. No delay or omission to exercise any right, power or remedy accruing to any Party, upon any breach or default of any Party under this Agreement, shall impair any such right, power or remedy of such Party nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of any similar breach of default thereafter occurring, or any waiver of any other breach or default theretofore or thereafter occurring. Any waiver by any Party of any condition or breach of default under this Agreement must be in writing and shall be effective only to the extent specifically set forth in such writing. All remedies, either under this Agreement or by Laws or otherwise afforded to any Party shall be cumulative and not alternative.

 

10.7                        Interpretation; Titles and Subtitles. This Agreement shall be construed according to its fair language. The rule of construction to the effect that ambiguities are to be resolved against the drafting Party shall not be employed in interpreting this Agreement. The titles of the sections and subsections of this Agreement are for convenience of reference only and are not to be considered in construing this Agreement. Unless otherwise expressly provided herein, all references to sections and schedules herein are to sections and schedules of this Agreement. Unless a provision hereof expressly provides otherwise: (i) the term “or” is not exclusive; (ii) the terms “herein”, “hereof”, and other similar words refer to this Agreement as a whole and not to any particular section, subsection, paragraph, clause, or other subdivision; (iii) the masculine, feminine, and neuter genders will each be deemed to include the others; and (iv) whenever the words “include,” “includes” or “including” are used in this Agreement, they shall be deemed to be followed by the words “without limitation.”

 

10.8                        Counterparts; Effectiveness. This Agreement may be executed in any number of counterparts (including by facsimile or PDF format), each of which shall be an original, but all of which together shall constitute one instrument. This Agreement shall become effective when each Party shall have signed a counterpart and delivered (including by telecopy or email) to the other Parties.

 

10.9                        Severability. If any provision of this Agreement is found to be invalid or unenforceable, then such provision shall be construed, to the extent feasible, so as to render the provision enforceable and to provide for the consummation of the transactions contemplated hereby on substantially the same terms as originally set forth herein, and if no feasible interpretation would save such provision, it shall be severed from the remainder of this Agreement, which shall remain in full force and effect unless the severed provision is essential to the rights or benefits intended by the Parties. In such event, the Parties shall use best efforts to negotiate, in good faith, a substitute, valid and enforceable provision or agreement which most nearly affects the Parties’ intent in entering into this Agreement.

 

10.10                 Confidentiality and Non-Disclosure.

 

(a)                                 The terms and conditions of the Transaction Documents (collectively, the “Financing Terms”), including their existence, shall be considered strictly confidential information and shall not be disclosed by any of the Parties to any other Person except in accordance with the provisions set forth below.

 

14

 

(b)                                 Notwithstanding the foregoing, each of the Group Companies and the Purchaser, as appropriate, may disclose any of the Financing Terms to their respective Affiliates, directors, employees, investment bankers, lenders, accountants and attorneys on an as-need-to-know basis, in each case only where such Persons are under appropriate nondisclosure obligations.

 

(c)                                  Each Party to this Agreement hereby acknowledges, affirms and agrees that it shall not and shall procure its Affiliates not to make any announcement or other publicity in connection with the Financing Terms without the written consents of other Parties as to its content, form and manner of publication; provided that the Company may make announcement or other publicity in connection with the Financing Terms if such action is necessary for its performance of obligations under the Transaction Documents, in which case the Company shall promptly notify the other Parties hereof and the Parties shall use reasonable efforts to cause a mutually agreeable release or announcement to be issued.

 

(d)                                 In the event that any Party is requested or becomes legally compelled (including, pursuant to securities Laws) to disclose the existence or content of any of the Financing Terms hereof in contravention of the provisions of this Section 10.10, such Party (the “Disclosing Party”) shall promptly provide the other Parties with written notice of that fact so that such other Parties may seek a protective order, confidential treatment or other appropriate remedy. In such event, the Disclosing Party shall furnish only that portion of the information that is legally required and shall exercise reasonable efforts to obtain reliable assurance that confidential treatment will be given to such information to the extent reasonably requested by the other Parties.

 

(e)                                  Notwithstanding any other provision of this Section 10.10, the confidentiality obligations of the Parties shall not apply to: (i) information which a restricted Party learns from a third party having the right to make the disclosure, provided the restricted Party complies with any restrictions imposed by the third party; (ii) information which is in the restricted Party’s possession prior to the time of disclosure by the protected Party and not acquired by the restricted Party under a confidentiality obligation; (iii) information which enters the public domain without breach of confidentiality by the restricted Party; or (iv) disclosures to a Party’s accountants, attorneys or other professional advisors on an as-need-to-know basis so long as they agree to keep such disclosures confidential.

 

10.11                 Further Assurances. Each Party shall from time to time and at all times hereafter uses reasonable efforts to make, do, execute, or cause or procure to be made, done and executed such further acts, deeds, conveyances, consents and assurances without further consideration, which may reasonably be required to effectuate the transactions contemplated by this Agreement.

 

15

 

10.12                 Dispute Resolution. Any dispute, controversy or claim (each, a “Dispute”) arising out of or relating to this Agreement, or the interpretation, breach, termination, validity or invalidity thereof, shall be referred to arbitration upon the demand of either party to the dispute with notice (the “Arbitration Notice”) to the other. The Dispute shall be settled by arbitration in Hong Kong by the Hong Kong International Arbitration Centre (the “HKIAC”) in accordance with the Hong Kong International Arbitration Centre Administered Arbitration Rules (the “HKIAC Rules”) in force at the time when the Arbitration Notice is submitted. There shall be three (3) arbitrators. The complainant and the respondent to such dispute shall each select one arbitrator within thirty (30) days after giving or receiving the demand for arbitration (the “Selection Period”). Such arbitrators shall be freely selected, and the parties shall not be limited in their selection to any prescribed list. The chairman of the HKIAC shall select the third arbitrator. If either party to the arbitration fails to appoint an arbitrator with the Selection Period, the relevant appointment shall be made by the chairman of the HKIAC. The arbitral proceedings shall be conducted in English. To the extent that the HKIAC Rules are in conflict with the provisions of this Section 10.12, including the provisions concerning the appointment of the arbitrators, this Section 10.12 shall prevail. Each party to the arbitration shall cooperate with each other party to the arbitration in making full disclosure of and providing complete access to all information and documents requested by such other party in connection with such arbitral proceedings, subject only to any confidentiality obligations binding on such party. The award of the arbitral tribunal shall be final and binding upon the parties thereto, and the prevailing party may apply to a court of competent jurisdiction for enforcement of such award. Any party to the Dispute shall be entitled to seek preliminary injunctive relief, if possible, from any court of competent jurisdiction pending the constitution of the arbitral tribunal. During the course of the arbitral tribunal’s adjudication of the Dispute, this Agreement shall continue to be performed except with respect to the part in dispute and under adjudication.

 

10.13                 Expenses. Each Party shall bear its own costs and expenses in connection with the negotiation, execution and delivery of this Agreement and the other Transaction Documents.

 

10.14                 Termination.

 

(a)                                 Circumstance for Termination. At any time prior to the Closing this Agreement may be terminated by written notice:

 

(i)                                                             by the mutual written consent of the Parties;

 

(ii)                                                          by the Company if the Purchaser is in breach of any provision of this Agreement, which breach would give rise to a failure to satisfy any condition set forth in Section 8, and such breach shall not have been cured within 30 days of written notice from the Company of such breach, provided that the Company is not, on the date of termination, in material breach of this Agreement;

 

(iii)                                                       by the Purchaser if the Company is in breach of any provision of this Agreement, which breach would give rise to a failure to satisfy any condition set forth in Section 7, and such breach shall not have been cured within 30 days of written notice from the Purchaser of such breach, provided that the Purchaser is not, on the date of termination, in material breach of this Agreement;

 

(iv)                                                      by either of the Company or the Purchaser, if satisfaction of a closing condition of the terminating Party in Section 7 or Section 8 (as applicable) is impossible or if the Closing shall not have been consummated by thirty (30) Business Days from signing date hereof, provided that the terminating Party is not, on the date of termination, in material breach of this Agreement; and

 

16

 

(v)                                                         by either of the Company or the Purchaser, if there shall be any Law or restriction of any Governmental Authority permanently restraining, enjoining or otherwise prohibiting or making illegal or impossible the consummation of any transaction contemplated under this Agreement.

 

(b)                                 Effect of Termination. If this Agreement is terminated in accordance with Section 10.14(a), this Agreement shall become void and have no effect, and the transactions contemplated hereby shall be abandoned without further action by the Parties and there shall be no liability on the part of any Party, except that the provisions of Sections 1, 9, and this Section10 shall survive the termination of this Agreement, provided, that such termination shall not release any Party from any liability that has already accrued as of the effective date of such termination, and shall not constitute a waiver or release of, or otherwise be deemed to prejudice or adversely affect, any rights, remedies or claims, whether for damages or otherwise, which a Party may have under this Agreement or applicable Laws or which may arise out of or in connection with such termination.

 

10.15                 Unless expressly provided to the contrary in this Agreement, a person who is not a Party has no right under the Contracts (Rights of Third Parties) Ordinance (Cap 623 of the laws of Hong Kong) to enforce or to enjoy the benefit of any term of this Agreement. Notwithstanding any term of this Agreement, the consent of any person who is not a Party is not required to rescind or vary this Agreement at any time.

 

— REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK —

 

17

 

IN WITNESS WHEREOF, the Parties have caused their respective duly authorized representatives to execute this Agreement as of the date and year first above written.

 

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the Parties have caused their respective duly authorized representatives to execute this Agreement as of the date and year first above written.

 

	
 
    	
Purchaser:
    
	
 
    	
 
    
	
 
    	
SBI Hong Kong Holdings   Co., Limited
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Makoto Miyazaki
    
	
 
    	
 
    	
Name: Makoto Miyazaki
    
	
 
    	
 
    	
Title: Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

SCHEDULE A

 

1.                                      Zhuhai Hengqin Jiufu Technology Co., Ltd. (珠海横琴玖富科技有限公司)

 

2.                                      Xinjiang Jiufu Wanka Information Technology Co., Ltd. (新疆玖富万卡信息技术有限公司)

 

3.                                      Beijing Jiufu Puhui Information Technology Co., Ltd. (北京玖富普惠信息技术有限公司)

 

4.                                      Zhuhai Jiufu Consumer Finance Technology Co., Ltd. (珠海玖富消金科技有限公司)

 

 

SCHEDULE B

 

Particulars of Investment

 

	
Purchaser
    	
 
    	
Purchased Shares
    	
 
    	
Per Share Purchase
   Price
    	
 
    	
Purchase Price
    	
 
    
	
SBI Hong Kong Holdings Co., Limited
    	
 
    	
10,825 Series E   Preferred Shares
    	
 
    	
US$
    	
1,847.628
    	
 
    	
US$
    	
20,000,000
    	
 
    
										

 

 

SCHEDULE C

 

Notice Address

 

IF TO THE COMPANY:

 

	
Address:
    	
40th Floor, Block B, Tower Three, WangjingSoho, 1   Futongdong Ave, Chaoyang District, Beijing, PRC
    
	
Attention:
    	
Lei Sun
    
	
Fax number:
    	
010-85276997
    
	
Email:
    	
sunlei@9fbank.com.cn
    
	
 
    	
 
    

IF TO THE PURCHASER:

 

	
Address:
    	
Suites 1101 & 1115-1116, 11th Floor, Two International   Finance Centre, No. 8 Finance Street, Hong Kong.
    
	
Attention:
    	
Alan Ho
    
	
Fax number:
    	
+852 2537 4088
    
	
Email:
    	
alanho@sbigroup.com.hkEX-4.1

 Exhibit 4.1 

SYNCHRONY FINANCIAL 

AND 
 THE BANK OF NEW
YORK MELLON, 
 as Trustee 
  

 
 NINTH
SUPPLEMENTAL INDENTURE 
 Dated as of July 25, 2019 

to the 
 INDENTURE

 Dated as of August 11, 2014 
  

 

 TABLE OF CONTENTS 

 

							
			
	 	 	 	  	Page	 
		
	ARTICLE I	  			
	DEFINITIONS	  			
			
	 Section 1.01.
	 	 Relation to Base Indenture
	  	 	2	 
			
	 Section 1.02.
	 	 Definition of Terms
	  	 	2	 
		
	ARTICLE II	  			
	GENERAL TERMS AND CONDITIONS OF THE NOTES	  			
			
	 Section 2.01.
	 	 Designation and Principal Amount
	  	 	3	 
			
	 Section 2.02.
	 	 Maturity
	  	 	3	 
			
	 Section 2.03.
	 	 Form, Payment and Appointment
	  	 	3	 
			
	 Section 2.04.
	 	 Global Notes
	  	 	4	 
			
	 Section 2.05.
	 	 Interest
	  	 	4	 
			
	 Section 2.06.
	 	 No Sinking Fund
	  	 	5	 
			
	 Section 2.07.
	 	 Satisfaction and Discharge
	  	 	5	 
		
	ARTICLE III	  			
	REDEMPTION OF THE NOTES	  			
			
	 Section 3.01.
	 	 Optional Redemption by Company
	  	 	5	 
			
	 Section 3.02.
	 	 Notice of Redemption; Selection of Notes to be Redeemed
	  	 	5	 
			
	 Section 3.03.
	 	 Payment of Redemption Price
	  	 	5	 
			
	 Section 3.04.
	 	 No Other Redemption
	  	 	5	 
		
	ARTICLE IV	  			
	FORMS OF NOTES	  			
			
	 Section 4.01.
	 	 Forms of Notes
	  	 	6	 
		
	ARTICLE V	  			
	ORIGINAL ISSUE OF NOTES	  			
			
	 Section 5.01.
	 	 Original Issue of Notes
	  	 	6	 
		
	ARTICLE VI	  			
	MISCELLANEOUS	  			
			
	 Section 6.01.
	 	 Ratification of Indenture
	  	 	6	 
			
	 Section 6.02.
	 	 Trustee Not Responsible for Recitals
	  	 	6	 
			
	 Section 6.03.
	 	 Governing Law
	  	 	6	 
			
	 Section 6.04.
	 	 Waiver of Trial by Jury
	  	 	6	 
			
	 Section 6.05.
	 	 Table of Contents, Headings, etc
	  	 	6	 
			
	 Section 6.06.
	 	 Execution in Counterparts
	  	 	6	 
			
	 Section 6.07.
	 	 Separability; Benefits
	  	 	6	 
			
	 Section 6.08.
	 	 Certain Tax Information
	  	 	7	 
			
	 EXHIBIT A
	 	Form of 2.850% Senior Notes due 2022	  	 	A-1	 

  

 THIS NINTH SUPPLEMENTAL INDENTURE (this “Ninth Supplemental Indenture”),
dated as of July 25, 2019, is between SYNCHRONY FINANCIAL, a Delaware corporation (the “Company”), and The Bank of New York Mellon, a New York banking corporation (the “Trustee”). 

R E C I T A L S 
 WHEREAS, the
Company executed and delivered to the Trustee an Indenture, dated as of August 11, 2014, between the Company and the Trustee (the “Base Indenture”), providing for the issuance from time to time of series of Securities of the
Company; 
 WHEREAS, the Company executed and delivered to the Trustee a First Supplemental Indenture, dated as of August 11, 2014,
between the Company and the Trustee (the “First Supplemental Indenture”), providing for the issuance of the 1.875% Senior Notes due 2017, the 3.000% Senior Notes due 2019, the 3.750% Senior Notes due 2021 and the 4.250% Senior Notes
due 2024; 
 WHEREAS, the Company executed and delivered to the Trustee a Second Supplemental Indenture, dated as of February 2, 2015,
between the Company and the Trustee (the “Second Supplemental Indenture”), providing for the issuance of the 2.700% Senior Notes due 2020 and the Floating Rate Senior Notes due 2020; 

WHEREAS, the Company executed and delivered to the Trustee a Third Supplemental Indenture, dated as of July 23, 2015, between the Company
and the Trustee (the “Third Supplemental Indenture”), providing for the issuance of the 4.500% Senior Notes due 2025; 

WHEREAS, the Company executed and delivered to the Trustee a Fourth Supplemental Indenture, dated as of December 4, 2015, between the
Company and the Trustee (the “Fourth Supplemental Indenture”), providing for the issuance of the 2.600% Senior Notes due 2019; 

WHEREAS, the Company executed and delivered to the Trustee a Fifth Supplemental Indenture, dated as of May 9, 2016, between the Company
and the Trustee (the “Fifth Supplemental Indenture”), providing for the issuance of the Floating Rate Senior Notes due 2017; 

WHEREAS, the Company executed and delivered to the Trustee a Sixth Supplemental Indenture, dated as of August 4, 2016, between the
Company and the Trustee (the “Sixth Supplemental Indenture”), providing for the issuance of the 3.700% Senior Notes due 2026; 

WHEREAS, the Company executed and delivered to the Trustee a Seventh Supplemental Indenture, dated as of November 30, 2017, between the
Company and the Trustee (the “Seventh Supplemental Indenture”), providing for the issuance of the 3.950% Senior Notes due 2027; 

WHEREAS, the Company executed and delivered to the Trustee an Eighth Supplemental Indenture, dated as of March 19, 2019, between the
Company and the Trustee (the “Eighth Supplemental Indenture” and the Base Indenture, as supplemented by the First Supplemental Indenture, the Second Supplemental Indenture, the Third Supplemental Indenture, the Fourth Supplemental
Indenture, the Fifth Supplemental Indenture, the Sixth Supplemental Indenture, the Seventh Supplemental Indenture, the Eighth Supplemental Indenture, and this Ninth Supplemental Indenture, the “Indenture”), providing for the
issuance of the 4.375% Senior Notes due 2024 and the 5.150% Senior Notes due 2029; 
 WHEREAS, Section 10.01(c) of the Base Indenture
provides for the Company and the Trustee to enter into an indenture supplemental to the Base Indenture to establish the forms or terms of Securities of any series as permitted by Section 2.01 and Section 2.02 of the Base Indenture; 

WHEREAS, pursuant to Section 2.02 of the Base Indenture, the Company wishes to provide for the issuance of a new series of Securities to
be known as its 2.850% Senior Notes due 2022 (the “Notes”), the forms and terms of such Notes and the terms, provisions and conditions thereof to be set forth as provided in this Ninth Supplemental Indenture; 

 WHEREAS, the Company has requested that the Trustee execute and deliver this Ninth
Supplemental Indenture, and all requirements necessary to make this Ninth Supplemental Indenture a valid, binding and enforceable instrument in accordance with its terms, and to make the Notes, when executed by the Company and authenticated and
delivered by the Trustee, the valid, binding and enforceable obligations of the Company, have been done and performed, and the execution and delivery of this Ninth Supplemental Indenture has been duly authorized in all respects; and 

NOW, THEREFORE, in consideration of the covenants and agreements set forth herein and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows: 
 ARTICLE I 

DEFINITIONS 

Section 1.01. Relation to Base Indenture. This Ninth Supplemental Indenture constitutes an integral part of the Base Indenture.

 Section 1.02. Definition of Terms. For all purposes of this Ninth Supplemental Indenture: 

(a) Capitalized terms used herein without definition shall have the meanings set forth in the Base Indenture; 

(b) a term defined anywhere in this Ninth Supplemental Indenture has the same meaning throughout; 

(c) the singular includes the plural and vice versa; 

(d) headings are for convenience of reference only and do not affect interpretation; 

(e) the following terms have the meanings given to them in this Section 1.02(e): 

“Applicable Law” shall have the meaning set forth in Section 6.08. 

“Business Day” shall mean, unless otherwise specified, any calendar day that is not a Saturday, Sunday or a day on which
commercial banking institutions are not required to be open for business in The City of New York, New York. 
 “Comparable Treasury
Issue” shall mean the United States Treasury security selected by an Independent Investment Banker as having a maturity comparable to the remaining term of the Notes to be redeemed (assuming that the Notes matured on June 25, 2022)
that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of the Notes. 

“Comparable Treasury Price” shall mean, with respect to any Redemption Date, (i) the average of the Reference Treasury
Dealer Quotations for such Redemption Date, after excluding the highest and lowest such Reference Treasury Dealer Quotations, or (ii) if the Independent Investment Banker obtains fewer than four such Reference Treasury Dealer Quotations, the
average of all such quotations. 
 “DTC” shall have the meaning set forth in Section 2.04(a). 

“Global Note” shall have the meaning set forth in Section 2.04(a). 

“Independent Investment Banker” shall mean an independent investment banking institution of national standing appointed by
the Company, which may be one of the Reference Treasury Dealers. 
 “Interest Payment Date” shall have the meaning set
forth in Section 2.05(a)(i). 
 “Interest Period” shall have the meaning set forth in Section 2.05(a). 

“Maturity Date” shall have the meaning set forth in Section 2.02. 

  
 2 

 “Optional Redemption Price” shall mean, with respect to any redemption of
Notes, the applicable redemption price for such Notes set forth in Section 3.01. 
 “Record Date” shall have the
meaning set forth in Section 2.05(a)(ii). 
 “Redemption Date” shall mean, with respect to any redemption of Notes,
the date fixed for such redemption pursuant to the Indenture and such Notes. 
 “Reference Treasury Dealer” shall mean each
of (a) Mizuho Securities USA LLC, Morgan Stanley & Co. LLC and RBC Capital Markets, LLC or their respective affiliates which are primary U.S. Government securities dealers in New York City (a “Primary Treasury
Dealer”), and their respective successors, plus (b) two other Primary Treasury Dealers selected by the Company; provided that if any of the foregoing or its affiliates shall cease to be a Primary Treasury Dealer, the Company
shall substitute therefor another Primary Treasury Dealer. 
 “Reference Treasury Dealer Quotations” shall mean, with
respect to each Reference Treasury Dealer and any Redemption Date, the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue for the Notes to be redeemed (expressed in each case as
a percentage of its principal amount) quoted in writing to the Independent Investment Banker by the Reference Treasury Dealer at 3:30 p.m., New York City time, on the third Business Day preceding such Redemption Date. 

“Treasury Rate” shall mean, with respect to any Redemption Date, the semiannual equivalent yield to maturity of the
Comparable Treasury Issue, assuming a price for such Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 

The terms “Base Indenture,” “Company,” “First Supplemental Indenture,” “Second
Supplemental Indenture,” “Third Supplemental Indenture,” “Fourth Supplemental Indenture,” “Fifth Supplemental Indenture,” “Indenture,” “Sixth Supplemental
Indenture,” “Seventh Supplemental Indenture,” “Eighth Supplemental Indenture,” “Ninth Supplemental Indenture,” “Notes,” and “Trustee” shall have the
respective meanings set forth in the recitals to this Ninth Supplemental Indenture and the paragraph preceding such recitals. 
 ARTICLE II

 GENERAL TERMS AND CONDITIONS OF THE
NOTES 
 Section 2.01. Designation and Principal Amount. The Notes may be issued from time to time upon written
order of the Company for the authentication and delivery of Notes pursuant to Section 2.03 of the Base Indenture. 
 There is hereby
authorized a series of Securities designated as 2.850% Senior Notes due 2022, initially limited in aggregate principal amount to U.S. $750,000,000 (except for Notes authenticated and delivered in accordance with the last paragraph of
Section 2.02 of the Base Indenture or upon registration of transfer of, or in exchange for, or in lieu of, other Notes pursuant to Sections 2.06, 2.07, 2.08, 2.09, 3.03 or 10.04 of the Base Indenture). 

Section 2.02. Maturity. The date upon which the Notes shall become due and payable at final maturity, together with any accrued
and unpaid interest, is July 25, 2022 (the “Maturity Date”). 
 Section 2.03. Form, Payment and
Appointment. Except as provided in Section 2.04, the Notes shall be issued in fully registered, certificated form. Principal of and premium, if any, and interest on the Notes will be payable, the transfer of such Notes will be registrable,
and such Notes will be exchangeable for Notes of a like aggregate principal amount bearing identical terms and provisions, at the office or agency of the Company maintained for such purpose in the Borough of Manhattan, The City of New York, which
shall initially be the Principal Office of the Trustee in the Borough of Manhattan, The City of New York; provided, however, that payment of interest may be made at the option of the Company by check mailed to the Person entitled
thereto at such address as shall appear in the Security Register or by wire transfer to an account appropriately designated by the Person entitled to payment, provided that the paying agent shall have received written notice of such account
designation at least five Business Days prior to the date of such payment (subject to surrender of the relevant Note in the case of a payment of interest on a Redemption Date or Maturity Date). 

  
 3 

 No service charge shall be made for any registration of transfer or exchange of the Notes,
but the Company may require payment from the holder of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection therewith. 

The Security Registrar and paying agent for the Notes shall initially be the Trustee. The Specified Currency of the Notes shall be
U.S. Dollars. 
 Section 2.04. Global Notes. 

(a) The Notes shall be issued initially in the form of one or more permanent Global Securities in registered form (each, a “Global
Note”). The Depository Trust Company (“DTC”) shall initially act as the Depositary for the Notes. Each Global Note (i) shall be deposited with the Depositary or its custodian and registered in the name of DTC or
DTC’s nominee, (ii) shall be delivered by the Trustee to such Depositary or pursuant to such Depositary’s instructions, and (iii) shall bear a legend substantially to the effect set forth in Section 2.12 of the Base
Indenture. 
 (b) The aggregate amount of Outstanding Notes represented by any Global Note may from time to time be increased or decreased to
reflect exchanges or other increases or decrease in the principal amount thereof. The Trustee may make any endorsement on a Global Note to reflect the amount, or any increase or decrease in the amount, or changes in the rights of holders of the
Notes represented thereby, in each case in accordance with the terms of the Indenture and the Notes. Each Global Note shall represent the aggregate principal amount of Notes from time to time endorsed thereon. 

(c) Unless and until any Global Note is exchanged for Notes in certificated form, such Global Note may be transferred, in whole but not in
part, and any payments on the Notes evidenced by such Global Note shall be made, only to the Depositary or a nominee of the Depositary, or to a successor Depositary selected or approved by the Company or to a nominee of such successor Depositary, in
each case as the Securityholder of such Notes. 
 Section 2.05. Interest. 

(a) Interest payable on any Interest Payment Date, the Maturity Date or, if applicable, the Redemption Date, with respect to the Notes shall be
the amount of interest accrued from, and including, the immediately preceding Interest Payment Date in respect of which interest has been paid or duly provided for (or from and including the original issue date of July 25, 2019, if no interest
has been paid or duly provided for with respect to the Notes) to, but excluding, such Interest Payment Date, Maturity Date or, if applicable, Redemption Date, as the case may be (each, an “Interest Period”). 

(i) Interest on the Notes shall accrue from July 25, 2019 and shall be payable semi-annually in arrears on January 25
and July 25 of each year (each, an “Interest Payment Date”), beginning on January 25, 2020 to, but excluding, the Maturity Date or, if applicable, the Redemption Date, of the Notes. 

(ii) Interest shall be payable to the Persons in whose names the relevant Notes are registered at the close of business on the
January 10 or July 10 (whether or not a Business Day), respectively, immediately prior to each Interest Payment Date (each, a “Record Date”) at the annual rate of 2.850% per year, except as provided in Section 2.05(b)
hereof and in Section 2.04 of the Base Indenture. 
 (iii) The amount of interest payable for any full semi-annual
Interest Period in respect of the Notes will be calculated on the basis of a 360-day year consisting of twelve 30-day months. The amount of interest payable for any
period shorter than a full semi-annual Interest Period in respect of the Notes will be calculated on the basis of a 30-day month and, for any period less than a month, the amount of interest will be calculated
on the basis of the actual number of days elapsed per 30-day month. If any scheduled Interest Payment Date falls on a day that is not a Business Day, then payment of interest payable on such Interest Payment
Date will be postponed to the next succeeding day that is a Business Day (and no interest on such payment will accrue for the period from and after such scheduled Interest Payment Date). 

  
 4 

 (iv) In the event that the Maturity Date or a Redemption Date for any Note
falls on a day that is not a Business Day, then the related payments of principal, premium, if any, and interest will be made on the next succeeding day that is a Business Day (and no additional interest will accrue on the amount payable for the
period from and after such Maturity Date or Redemption Date, as the case may be). 
 (b) Interest due on the Maturity Date or a Redemption
Date (in each case, whether or not an Interest Payment Date) of any Notes will be paid to the Person to whom principal of such Notes is payable. 

Section 2.06. No Sinking Fund. The Notes are not entitled to the benefit of any sinking fund. 

Section 2.07. Satisfaction and Discharge. Article 12 of the Base Indenture contains provisions for discharge of the Indenture
and the legal and covenant defeasance of the obligations of the Company with respect to any series of Securities at any time upon compliance by the Company with certain conditions set forth therein, which provisions shall apply to the Notes. 

ARTICLE III 

REDEMPTION OF THE NOTES 

Section 3.01. Optional Redemption by Company. The Notes may not be redeemed by the Company prior to January 25, 2020. Except
as otherwise may be specified in this Ninth Supplemental Indenture, at any time and from time to time on or after January 25, 2020 and prior to June 25, 2022, the Company shall have the right to redeem the Notes, in whole or in part, at
its option, at a redemption price equal to the greater of: 
 (a) 100% of the aggregate principal amount of the Notes to be redeemed; and

 (b) the sum of the present values of the remaining scheduled payments of principal and interest (exclusive of interest accrued to the date
of redemption) in respect of the Notes to be redeemed (assuming that the Notes matured on June 25, 2022), discounted to such Redemption Date on a semi-annual basis (assuming a 360-day year consisting of
twelve 30-day months) at the applicable Treasury Rate plus 20 basis points, 
 plus, in each case of (a) and
(b), accrued and unpaid interest to, but excluding, the Redemption Date of the Notes to be redeemed. The Trustee shall not be responsible for calculating the foregoing redemption price. 

At any time and from time to time on or after June 25, 2022, the Company shall have the right to redeem the Notes, in whole or in part,
at its option, at a redemption price equal to 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the Redemption Date of the Notes to be redeemed. 

Section 3.02. Notice of Redemption; Selection of Notes to be Redeemed. The Company shall mail (or otherwise deliver in accordance
with the applicable procedures of the Depositary if the Notes to be redeemed are issued in the form of one or more Global Notes) notice of any redemption to the registered holders of the Notes to be redeemed at least 10 and not more than
60 days prior to the Redemption Date. If the Notes are only partially redeemed pursuant to Section 3.01, the Notes to be redeemed will be selected by the Trustee in such manner as in its sole discretion it shall deem appropriate and fair;
provided that if at the time of redemption the Notes to be redeemed are registered as a Global Note, the Depositary shall determine, in accordance with its procedures, the principal amount of the Notes to be redeemed held by each of its
participants that holds a position in such Notes. 
 Section 3.03. Payment of Redemption Price. The Optional Redemption Price
for any Notes to be redeemed shall be paid prior to 12:00 noon, New York City time, on the Redemption Date or at such later time as is then permitted by the rules of the Depositary for the Notes (if then registered as a Global Note); provided
that the Company shall deposit with the Trustee an amount sufficient to pay the Optional Redemption Price for the Notes to be redeemed by 10:00 a.m., New York City time, on the date such Optional Redemption Price is to be paid. 

Section 3.04. No Other Redemption. Except as set forth in Section 3.01, the Notes shall not be redeemable by the Company
prior to the applicable Maturity Date. The provisions of this Article 3 shall supersede any conflicting provisions contained in Article 3 of the Base Indenture. 

  
 5 

 ARTICLE IV 

FORMS OF NOTES 

Section 4.01. Forms of Notes. The Notes and the Trustee’s Certificate of Authentication to be endorsed thereon are to be
substantially in the forms attached as Exhibit A hereto, with such changes therein as the officers of the Company executing the Notes (by manual or facsimile signature) may approve, such approval to be conclusively evidenced by their execution
thereof. 
 ARTICLE V 

ORIGINAL ISSUE OF NOTES 

Section 5.01. Original Issue of Notes. The Notes having an aggregate principal amount of U.S. $750,000,000, subject to the
last paragraph of Section 2.02 of the Base Indenture) may from time to time, upon execution of this Ninth Supplemental Indenture, be executed by the Company and delivered to the Trustee for authentication, and the Trustee shall thereupon
authenticate and deliver said Notes to or upon the written order of the Company pursuant to Section 2.03 of the Base Indenture without any further action by the Company (other than as required by the Base Indenture). 

ARTICLE VI 
 MISCELLANEOUS 

Section 6.01. Ratification of Indenture. The Base Indenture, as supplemented by the First Supplemental Indenture, the Second
Supplemental Indenture, the Third Supplemental Indenture, the Fourth Supplemental Indenture, the Fifth Supplemental Indenture, the Sixth Supplemental Indenture, the Seventh Supplemental Indenture, the Eighth Supplemental Indenture, and this Ninth
Supplemental Indenture, is in all respects ratified and confirmed, and this Ninth Supplemental Indenture shall be deemed part of the Base Indenture in the manner and to the extent herein and therein provided. 

Section 6.02. Trustee Not Responsible for Recitals. The recitals herein contained are made by the Company and not by the Trustee,
and the Trustee assumes no responsibility for the correctness thereof. The Trustee makes no representation as to the validity or sufficiency of this Ninth Supplemental Indenture. 

Section 6.03. Governing Law. THIS NINTH SUPPLEMENTAL INDENTURE AND EACH NOTE, AND ANY CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER
OR RELATED TO THIS NINTH SUPPLEMENTAL INDENTURE OR ANY NOTE, SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 

Section 6.04. Waiver of Trial by Jury. EACH OF THE COMPANY, THE TRUSTEE AND EACH HOLDER OF NOTES, BY ITS ACCEPTANCE THEREOF,
HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES OR THE TRANSACTIONS CONTEMPLATED HEREBY. 

Section 6.05. Table of Contents, Headings, etc. The table of contents and the titles and headings of the articles and sections of
this Ninth Supplemental Indenture have been inserted for convenience of reference only, are not to be considered a part hereof, and shall in no way modify or restrict any of the terms or provisions hereof. 

Section 6.06. Execution in Counterparts. This Ninth Supplemental Indenture may be executed in any number of counterparts, each of
which shall be an original, but such counterparts shall together constitute but one and the same instrument. 
 Section 6.07.
Separability; Benefits. In case any one or more of the provisions contained in this Ninth Supplemental Indenture or in the Notes shall for any reason be held to be invalid, illegal or unenforceable, in any respect, then, to the extent
permitted by law, such invalidity, illegality or unenforceability of the remaining provisions shall not in any way be affected or impaired thereby. Nothing in this Ninth Supplemental Indenture or in the Notes, expressed or implied, shall give to any
person, other than the parties hereto and their successors hereunder, and the holders of the Notes, any benefit or any legal or equitable right, remedy or claim under this Ninth Supplemental Indenture. 

 

  
 6 

 Section 6.08. Certain Tax Information. In order to comply with applicable tax
laws, rules and regulations (inclusive of directives, guidelines and interpretations promulgated by competent authorities) in effect from time to time (“Applicable Law”) that a foreign financial institution, or issuer, trustee,
paying agent, holder or other institution is or has agreed to be subject to related to the Indenture, the Company agrees (i) to provide to the Trustee upon its written request such information that is in the Company’s possession about
holders of the Notes or other applicable parties and/or transactions (including any modification to the terms of such transactions) so the Trustee can determine whether it has tax related obligations under Applicable Law, and (ii) that the
Trustee shall be entitled to make any withholding or deduction from payments under the Indenture to the extent necessary to comply with Applicable Law for which the Trustee shall not have any liability. The terms of this section shall survive the
termination of this Ninth Supplemental Indenture. 
 [Signature Page Follows] 

  
 7 

 IN WITNESS WHEREOF, the parties hereto have caused this Ninth Supplemental Indenture to be
duly executed, as of the day and year first written above. 
  

			
	SYNCHRONY FINANCIAL
		
	By:	 	 /s/ Christopher J. Coffey

		 	Name: Christopher J. Coffey
		 	Title: SVP, Treasury-Funding, Investments and
		 	          Liquidity Leader

 [Signature Page to Ninth Supplemental Indenture] 

 IN WITNESS WHEREOF, the parties hereto have caused this Ninth Supplemental Indenture to be
duly executed, as of the day and year first written above. 
  

			
	THE BANK OF NEW YORK MELLON, as Trustee
		
	By:	 	 /s/ Laurence J. O’Brien

		 	Name: Laurence J. O’Brien
		 	Title: Vice President

 [Signature Page to Ninth Supplemental Indenture] 

 EXHIBIT A 

[IF THIS NOTE IS TO BE A GLOBAL SECURITY, INSERT:] 

THIS NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF THE DEPOSITORY
TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), OR A NOMINEE OF DTC. THIS NOTE IS EXCHANGEABLE FOR SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER THAN DTC OR ITS NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE
INDENTURE AND MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY DTC TO A NOMINEE OF DTC, OR BY A NOMINEE OF DTC TO DTC OR ANOTHER NOMINEE OF DTC. 

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF DTC, TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE
OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 

SYNCHRONY FINANCIAL 

2.850% Senior Note due 2022 

CUSIP: 87165B AQ6 
 ISIN:
US87165BAQ68 
 $________ 
 No.____ 

SYNCHRONY FINANCIAL, a corporation organized and existing under the laws of Delaware (hereinafter called the “Company,” which
term includes any successor corporation under the Indenture hereinafter referred to), for value received, hereby promises to pay to
                    , or registered assigns, [the principal sum of $__________]1 on
July 25, 2022 (such date is hereinafter referred to as the “Maturity Date”), and to pay interest thereon from July 25, 2019 or from the most recent Interest Payment Date to which interest has been paid or duly provided
for, semi-annually in arrears on January 25 and July 25 of each year (each, an “Interest Payment Date”), commencing January 25, 2020, at the rate of 2.850% per annum, until the principal hereof is paid or duly
provided for or made available for payment. 
 The amount of interest payable for any full semi-annual Interest Period will be calculated on
the basis of a 360-day year consisting of twelve 30-day months. The amount of interest payable for any period shorter than a full semi-annual Interest Period will be
calculated on the basis of a 30-day month and, for any period less than a month, on the basis of the actual number of days elapsed per 30-day month. In the event that
any scheduled Interest Payment Date falls on a day that is not a Business Day, then payment of interest payable on such Interest Payment Date will be postponed to the next Business Day (and no interest on such payment will accrue for the period from
and after such scheduled Interest Payment Date). The term “Business Day” means any calendar day that is not a Saturday, Sunday or a day on which commercial banking institutions are not required to be open for business in The City of
New York, New York. 
  

	1 	 USE THE FOLLOWING LANGUAGE INSTEAD FOR GLOBAL NOTES: [the principal sum as set forth in the Schedule of
Increases or Decreases In Note attached hereto] 

  
 A-1 

 The interest so payable, and punctually paid or duly provided for, on any Interest Payment
Date will, as provided in such Indenture, be paid to the Person in whose name the relevant Notes, or any predecessor Notes, are registered at the close of business on the Record Date for such Interest Payment Date; provided that the interest
due on the Maturity Date or a Redemption Date (in each case, whether or not an Interest Payment Date) of a Note of this series will be paid to the Person to whom principal of such Note is payable. 

Payment of the principal of and premium, if any, and interest on this Note will be made at the office or agency of the Company maintained for
that purpose in the Borough of Manhattan, The City of New York, which shall initially be the Principal Office of the Trustee located therein, in such coin or currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts; provided, however, that payment of interest may be made at the option of the Company by check mailed to the Person entitled thereto at such address as shall appear in the Security Register or by
wire transfer to an account appropriately designated by the Person entitled to payment, provided that the paying agent shall have received written notice of such account designation at least five Business Days prior to the date of such
payment (subject to surrender of the relevant Note in the case of a payment of interest on a Redemption Date or the Maturity Date). 

Reference is hereby made to the further provisions of this Note set forth on the reverse hereof, which further provisions shall for all
purposes have the same effect as if set forth at this place. 
 Unless the certificate of authentication hereon has been executed by the
Trustee referred to on the reverse hereof by manual signature, this Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose. 

  
 A-2 

 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 

 

			
	SYNCHRONY FINANCIAL
		
	By:	 	  

		 	Name:
		 	Title:

 [Signature Page to Global Note] 

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Securities of the series designated therein described in the within-mentioned Indenture. 

Dated: __________ 
  

			
	THE BANK OF NEW YORK MELLON, as Trustee
		
	By:	 	  

		 	Authorized Signatory

 [Signature Page to Global Note] 

 REVERSE OF NOTE 

This Note is one of a duly authorized issue of securities of the Company (herein called the “Notes”), issued and to be issued
in one or more series under an Indenture (the “Base Indenture”), dated as of August 11, 2014, between the Company and The Bank of New York Mellon, as Trustee (herein called the “Trustee,” which term includes
any successor trustee), as amended and supplemented by the First Supplemental Indenture, dated as of August 11, 2014, between the Company and the Trustee (the “First Supplemental Indenture”), the Second Supplemental Indenture,
dated as of February 2, 2015, between the Company and the Trustee (the “Second Supplemental Indenture”), the Third Supplemental Indenture, dated as of July 23, 2015, between the Company and the Trustee (the “Third
Supplemental Indenture”), the Fourth Supplemental Indenture, dated as of December 4, 2015, between the Company and the Trustee (the “Fourth Supplemental Indenture”), the Fifth Supplemental Indenture, dated as of
May 9, 2016, between the Company and the Trustee (the “Fifth Supplemental Indenture”), the Sixth Supplemental Indenture, dated as of August 4, 2016, between the Company and the Trustee (the “Sixth Supplemental
Indenture”), the Seventh Supplemental Indenture, dated as of December 1, 2017, between the Company and the Trustee (the “Seventh Supplemental Indenture”), the Eighth Supplemental Indenture, dated as of March 19,
2019, between the Company and the Trustee (the “Eighth Supplemental Indenture”), the Ninth Supplemental Indenture, dated as of July 25, 2019, between the Company and the Trustee (the “Ninth Supplemental
Indenture”) and the Base Indenture, as supplemented by the First Supplemental Indenture, the Second Supplemental Indenture, the Third Supplemental Indenture, the Fourth Supplemental Indenture, the Fifth Supplemental Indenture, the Sixth
Supplemental Indenture, the Seventh Supplemental Indenture, the Eighth Supplemental Indenture and the Ninth Supplemental Indenture, the “Indenture”), to which Indenture reference is hereby made for a statement of the respective
rights, limitations of rights, duties and immunities thereunder of the Company, the Trustee and the holders of the Notes and of the terms upon which the Notes are, and are to be, authenticated and delivered. This Note is one of the series designated
on the face hereof, initially limited in aggregate principal amount to $750,000,000. 
 All terms used but not defined in this Note that are
defined in the Indenture shall have the meaning assigned to them in the Indenture. 
 The notes may not be redeemed by the Company prior to
January 25, 2020. Except as otherwise may be specified in the Indenture, at any time and from time to time on or after January 25, 2020 and prior to June 25, 2022, the Company shall have the right to redeem the Notes of this series,
in whole or in part, at its option, at a redemption price equal to the greater of: 
 (i) 100% of the aggregate principal
amount of the Notes to be redeemed; and 
 (ii) the sum of the present values of the remaining scheduled payments of
principal and interest (exclusive of interest accrued to the Redemption Date) in respect of the Notes to be redeemed (assuming that the Notes matured on June 25, 2022), discounted to the Redemption Date on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the applicable Treasury Rate plus 20 basis points, 

plus, in each case of (i) and (ii), accrued and unpaid interest to, but excluding, the Redemption Date. 

At any time and from time to time on or after June 25, 2022, the Company shall have the right to redeem the Notes of this series, in
whole or in part, at its option, at a redemption price equal to 100% of the principal amount of the Notes of this series to be redeemed, plus accrued and unpaid interest to, but excluding, the Redemption Date. 

The term “Optional Redemption Price” means, with respect to any redemption of Notes of this series, the applicable redemption
price for such Notes set forth in the preceding two paragraphs; and the term “Redemption Date” means, with respect to any redemption of Notes of this series, the date fixed for such redemption pursuant to the Indenture and the Notes
of this series. 

  
 A-R-1 

 The Company shall mail (or otherwise deliver in accordance with the applicable procedures of
the Depositary) notice of any redemption to the registered holders of the Notes of this series to be redeemed at least 10 and not more than 60 days prior to the Redemption Date. If Notes of this series are only partially redeemed pursuant to
the preceding paragraphs, the Notes of this series to be redeemed will be selected by the Trustee in such manner as in its sole discretion it shall deem appropriate and fair; provided that if at the time of redemption the Notes of this series
to be redeemed are registered as a Global Note, the Depositary shall determine, in accordance with its procedures, the principal amount of the Notes of this series to be redeemed held by each of its participants that holds a position in such Notes.
The Optional Redemption Price for any Notes of this series to be redeemed shall be paid prior to 12:00 noon, New York City time, on the Redemption Date or at such later time as is then permitted by the rules of the Depositary for the related Notes
(if then registered as a Global Note); provided that the Company shall deposit with the Trustee an amount sufficient to pay the Optional Redemption Price for the Notes of this series to be redeemed by 10:00 a.m., New York City time, on
the date such Optional Redemption Price is to be paid. 
 In the event of redemption of this Note in part only, a new Note or Notes of this
series for the unredeemed portion hereof shall be issued in the name of the holder hereof upon the cancellation hereof. Except as set forth in the preceding paragraphs and in Article 3 of the Ninth Supplemental Indenture, the Company may not
redeem the Notes of this series at its option prior to the Maturity Date. 
 The Notes are not entitled to the benefit of any sinking fund.

 The Indenture contains provisions for defeasance of the obligations of the Company at any time upon compliance by the Company with
certain conditions set forth therein, which provisions apply to the Notes of this series. 
 If an Event of Default with respect to Notes of
this series shall occur and be continuing, the principal of the Notes of this series may be declared due and payable in the manner and with the effect provided in the Indenture. 

The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations
of the Company and the rights of the holders of the Notes at any time by the Company and the Trustee, with the consent of the holders of a majority in the aggregate principal amount of the Notes of all series affected thereby at the time
Outstanding, voting as a single class. The Indenture also contains provisions permitting the holders of specified percentages in principal amount of the Notes of a series at the time Outstanding, on behalf of the holders of all Notes of such series,
to waive certain past defaults under the Indenture and their consequences. Any such consent or waiver by the holder of this Note shall be conclusive and binding upon such holder and upon all future holders of this Note and of any Note issued upon
the registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Note. 

As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Note is registrable in the Security
Register, upon surrender of this Note for registration of transfer at the office or agency of the Company in any place where the principal of and interest on this Note are payable, duly endorsed by, or accompanied by a written instrument of transfer
in form satisfactory to the Company and the Security Registrar duly executed by the holder hereof or his attorney duly authorized in writing, and thereupon one or more new Notes of this series, of authorized denominations and for the same aggregate
principal amount, will be issued to the designated transferee or transferees. 
 The Notes of this series are issuable only in registered
form without coupons in minimum denominations of $2,000 and any integral multiple of $1,000 in excess thereof, except as provided for in Section 2.04 of the Ninth Supplemental Indenture. As provided in the Indenture and subject to certain
limitations therein set forth, Notes of this series are exchangeable for a like aggregate principal amount of Notes of this series of a different authorized denomination, as requested by the holder surrendering the same. 

No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient to
cover any tax or other governmental charge payable in connection therewith. 
 Except as provided in Section 8.03 of the Base
Indenture, the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this Note is registered as the owner hereof for all purposes, whether or not this Note is overdue, and neither the Company, the Trustee nor any
such agent shall be affected by notice to the contrary. 

  
 A-R-2 

 THIS NOTE, AND ANY CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS NOTE,
SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 
 The Company will furnish a copy of the Indenture
to any holder upon written request and without charge. 

  
 A-R-3 

 ASSIGNMENT 

FOR VALUE RECEIVED, the undersigned assigns and transfers this Note to: 
  

 
  

 
 (Insert assignee’s social security or tax
identification number) 
  
  

 
  
  

 
 (Insert address and zip code of assignee) and
irrevocably appoints 
  
  

 
  
  

 
 agent to transfer this Note on the books of the
Company. The agent may substitute another to act for him or her. 
 Date: __________ 

 

			
	Signature:	 	
	
	  

	Signature Guarantee:	 	  

 (Sign exactly as your name appears on the other side of this Note) 

 SIGNATURE GUARANTEE 

Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Security Registrar, which
requirements include membership or participation in the Security Transfer Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Security Registrar in addition to, or in
substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 

 SCHEDULE OF INCREASES OR DECREASES IN NOTE 

The initial principal amount of this Note is
$[                ]. The following increases or decreases in the principal amount of this Note have been made: 

 

									
	 Date
	  	 Amount of decrease

in principal amount
 of this
Note
	  	 Amount of increase

in principal amount
 of this
Note
	  	 Principal amount of

this Note following
 such decrease
or
 increase
	  	 Signature of

authorized signatory
 of
Trustee

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