Document:

Security Agreement

 CONFIDENTIAL TREATMENT REQUESTED 

 

 Exhibit 10.41 

SECURITY AGREEMENT 
 1. GRANT OF SECURITY INTEREST. Reference hereby is made to that certain Credit Agreement dated as of December 5, 2011 by and between, MAXWELL TECHNOLOGIES, INC., a Delaware corporation
(“Debtor”) and WELLS FARGO BANK, NATIONAL ASSOCIATION (“Bank”) as amended, restated, modified or supplemented from time to time (the “Credit Agreement”). To secure its obligations under the Credit Agreement, and for
other valuable consideration, as of December 5, 2011, Debtor hereby collaterally assigns, transfers, pledges, and grants to Bank a continuing security interest in all of the property of Debtor described as follows (collectively, the
“Collateral”): 
 (a) all accounts, deposit accounts, contract rights, chattel paper (whether electronic or tangible),
instruments, promissory notes, documents, general intangibles, payment intangibles, software, commercial tort claims, Stock, securities and all other investment property, supporting obligations and financial assets, letter of credit rights,
health-care insurance receivables and other rights to payment of every kind now existing or at any time hereafter arising, wherever located; as used herein “Stock” means any shares, securities, stock, options, warrants, general or limited
partnership interests, membership units or interests, or other equivalents (regardless of how designated) of or in a corporation, partnership, limited liability company, partnership, joint venture or equivalent entity whether voting or nonvoting,
including common stock, preferred stock or any other “equity security” (as such term is defined in Rule 3a11-1 of the General Rules and Regulations promulgated by the Securities and Exchange Commission under the Securities Exchange Act of
1934, as amended); 
 (b) all inventory, goods held for sale or lease or to be furnished under contracts for service, or goods
so leased or furnished, raw materials, component parts and embedded software, work in process and other materials used or consumed in Debtor’s business, now or at any time hereafter owned or acquired by Debtor, wherever located, and all
products thereof, whether in the possession of Debtor, any warehousemen, any bailee or any other person, or in process of delivery, and whether located at Debtor’s places of business or elsewhere; 

(c) all warehouse receipts, bills of sale, bills of lading and other documents of every kind (whether or not negotiable) in which Debtor
now has or at any time hereafter acquires any interest and all goods covered thereby, and all additions, accessions and improvements thereto and products thereof, wherever located, whether in the possession or custody of Debtor, any bailee or any
other person for any purpose or in process of delivery; 
 (d) all money and property heretofore, now or hereafter delivered to
or deposited with Bank or otherwise coming into the possession, custody or control of Bank (or any agent or bailee of Bank) in any manner or for any purpose whatsoever during the existence of this Security Agreement (this “Agreement”) and
whether held in a general or special account or deposit for safekeeping or otherwise; 
 (e) all right, title and interest of
Debtor under licenses, guaranties, warranties, management agreements, marketing or sales agreements, escrow contracts, indemnity agreements, insurance policies, service or maintenance agreements, supporting obligations and other similar contracts of
every kind in which Debtor now has or at any time hereafter shall have an interest; 

 (f) all goods (including goods returned or repossessed from Debtor’s customers), tools,
machinery, furnishings, furniture and other equipment and fixtures of every kind now existing or hereafter acquired, and all improvements, replacements, accessions and additions thereto and embedded software included therein, whether located on any
property owned or leased by Debtor or elsewhere, including without limitation, any of the foregoing now or at any time hereafter located at or installed on the land or in the improvements at any of the real property owned or leased by Debtor, and
all such goods after they have been severed and removed from any of said real property; and 
 (g) all motor vehicles, trailers,
mobile homes, manufactured homes, boats, other rolling stock and related equipment of every kind now existing or hereafter acquired and all additions and accessories thereto, whether located on any property owned or leased by Debtor or elsewhere;

 together with all of Debtor’s books and records relating to the foregoing, and whatever is receivable or received when any of the
foregoing or the proceeds thereof are sold, leased, licensed, collected, exchanged or otherwise disposed of, whether such disposition is voluntary or involuntary, including without limitation, (i) all rights to payment, including returned
premiums, with respect to any insurance relating to any of the foregoing and all rights to payment with respect to any claim or cause of action affecting or relating to any of the foregoing (collectively, “Rights to Payment”), and
(ii) all stock rights, rights to subscribe, stock splits, liquidating dividends, cash dividends, dividends paid in stock, new securities or other property of any kind which Debtor is or may hereafter be entitled to receive on account of any
securities pledged hereunder, including without limitation, stock received by Debtor due to stock splits or dividends paid in stock or sums paid upon or in respect of any securities pledged hereunder upon the liquidation or dissolution of the issuer
thereof (collectively, “Proceeds”). Notwithstanding the foregoing, the Collateral does not include (i) any of the following, whether now owned or hereafter acquired: any copyright rights, copyright applications, copyright
registrations and like protections in each work of authorship and derivative work, whether published or unpublished; any patents, patent applications and like protections, including improvements, divisions, continuations, renewals, reissues,
extensions, and continuations-in-part of the same; trademarks, trade names, service marks, mask works, rights of use of any name or domain names and, to the extent permitted under applicable law, any applications therefor, whether registered or not;
and the goodwill of the business of Borrower connected with and symbolized thereby, know-how, operating manuals, trade secret rights, clinical and non-clinical data, rights to unpatented inventions; and any claims for damage by way of any past,
present, or future infringement of any of the foregoing; provided, however, the Collateral shall include all accounts, license and royalty fees and other revenues, proceeds, or income arising out of or relating to any of the foregoing;
(ii) more than sixty five percent (65%) of the total combined voting power of all classes of stock entitled to vote the shares of capital stock (the “Shares”) of Maxwell Technologies SA or any other Subsidiary of Borrower, not
incorporated or organized under the laws of one of the States or jurisdictions of the United States; or (iii) any rights or interests in any lease, license, contract, or agreement, as such or the assets subject thereto if under the terms of
such lease, license, contract, or agreement, or applicable law with respect thereto, the valid grant of lien therein or in such assets to Bank is prohibited and such prohibition has not been or is not waived or the consent of the other party to such
lease, license, contract, or agreement has not been or is not otherwise obtained or under applicable law such prohibition cannot be waived; provided that such rights or interests in any such lease, license, contract or agreement and such assets
subject thereto will be deemed to be “Collateral” hereunder upon the termination of; or consent, release or waiver under, such lease, license, contract or agreement, subject to applicable law. 

  
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 2. OBLIGATIONS SECURED. The obligations secured hereby are the payment and performance of:
(a) all present and future Indebtedness of Debtor to Bank, including but not limited to in connection with or pursuant to the Credit Agreement; (b) all obligations of Debtor and rights of Bank under this Agreement; and (c) all present
and future obligations of Debtor to Bank of other kinds. The word “Indebtedness” is used herein in its most comprehensive sense and includes any and all advances, debts, obligations and liabilities of Debtor, heretofore, now or hereafter
made, incurred or created, whether voluntary or involuntary and however arising, whether due or not due, absolute or contingent, liquidated or unliquidated, determined or undetermined, including under any swap, derivative, foreign exchange, hedge,
deposit, treasury management or other similar transaction or arrangement, and whether Debtor may be liable individually or jointly with others, or whether recovery upon such Indebtedness may be or hereafter becomes unenforceable. 

3. TERMINATION. This Agreement will terminate upon the full and indefeasible satisfaction, payment, performance and discharge of all
obligations of Debtor to Bank (other than inchoate indemnity obligations), including without limitation, the payment of all Indebtedness of Debtor to Bank, the termination of all commitments of Bank to extend credit to Debtor, and Debtor has
deposited with Bank cash collateral with respect to all contingent obligations, including all contingent reimbursement obligations with respect to Letters of Credit, in amounts and on terms and conditions and with parties satisfactory to Bank.

 4. OBLIGATIONS OF BANK. Any money received by Bank in respect of the Collateral following the occurrence and during the
continuance of an Event of Default, may be deposited, at Bank’s option, into a non-interest bearing account over which Debtor shall have no control, and the same shall, for all purposes, be deemed Collateral hereunder. Bank’s obligation
with respect to Collateral and Proceeds in its possession shall be strictly limited to the duty to exercise reasonable care in the custody and preservation of such Collateral and Proceeds, and such duty shall not include any obligation to ascertain
or to initiate any action with respect to or to inform Debtor of maturity dates, conversion, call or exchange rights, or offers to purchase the Collateral or Proceeds, or any similar matters, notwithstanding Bank’s knowledge of the same. Bank
shall have no duty to take any steps necessary to preserve the rights of Debtor against prior parties, or to initiate any action to protect against the possibility of a decline in the market value of the Collateral or Proceeds. Bank shall not be
obligated to take any action with respect to the Collateral or Proceeds requested by Debtor unless such request is made in writing and Bank determines, in its sole discretion, that the requested action would not unreasonably jeopardize the value of
the Collateral and Proceeds as security for the Indebtedness. 
 5. REPRESENTATIONS AND WARRANTIES. Debtor represents and
warrants to Bank that: 
 (a) Debtor’s legal name is exactly as set forth on the first page of this Agreement, Debtor is a
corporation registered and validly existing under the laws of the Sate of Delaware, and all of Debtor’s organizational documents or agreements delivered to Bank are complete and accurate in every respect; 

(b) Debtor’s chief executive offices and other places of business are as listed on Schedule 5(b) hereto. Except as
shown on Schedule 5(b), no inventory or other tangible Collateral is stored with a bailee, warehouseman or similar party, nor is any inventory consigned to any person; 

  
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 (c) the Collateral is located or domiciled at only the additional address(es) listed on
Schedule 5(c) hereto; 
 (d) Schedule 5(d) hereto sets forth a complete and accurate list of each of
Debtor’s direct and indirect subsidiaries’ exact legal names, jurisdiction(s) of incorporation or organization, type of organization and organizational identification number, if any, assigned by its jurisdiction of incorporation or
organization. Neither Debtor nor any of its subsidiaries has been known as or used any corporate, fictitious or trade names within the last five (5) years, except those listed on Schedule 5(d) hereto. Except as set forth on
Schedule 5(d), neither Debtor nor any of its subsidiaries has been the surviving corporation of a merger or consolidation or acquired all or substantially all of the assets of any person within the last five (5) years; 

(e) Schedule 5(e) hereto sets forth a complete and accurate description of the ownership and capitalization of
Debtor’s direct and indirect subsidiaries and the percentage of subsidiaries’ voting stock owned by Debtor or another subsidiary of Debtor; 
 (f) Debtor does not have any deposit, investment, securities or commodities accounts other than as set forth on Schedule 5(f) hereto; 

(g) Debtor is the sole owner, and has possession or control, of the Collateral, Proceeds and Rights to Payment; 

(h) Debtor has the exclusive right to grant a security interest and lien in the Collateral, Proceeds and Rights to Payment; 

(i) all the Collateral, Proceeds, Rights to Payment and other property of the Debtor are genuine, free from liens, adverse claims,
setoffs, default, prepayment, defenses and conditions precedent of any kind or character; 
 (j) all statements contained herein
and, where applicable, in the Collateral are true and complete in all material respects; 
 (k) no financing statement covering
any of the Collateral, Proceeds, Rights to Payment or any other property of Debtor, and naming any secured party other than Bank, is on file in any public office, except as set forth on Schedule 5(k) hereto; 

(l) where Collateral and Proceeds consists of investment securities, instruments, chattel paper, documents, contracts, insurance policies
or any like property or any Rights to Payment, (i) all persons appearing to be obligated thereon have authority and capacity to contract and are bound as they appear to be, (ii) all property subject to chattel paper has been properly
registered and filed in compliance with law and to perfect the interest of Debtor in such property, and (iii) all such Collateral and Proceeds comply with all applicable laws concerning form, content and manner of preparation and execution,
including where applicable Federal Reserve Regulation Z and any State consumer credit laws; and 
 (m) where the Collateral
consists of equipment, Debtor is not in the business of selling goods of the kind included within such Collateral, and Debtor acknowledges that no sale or other disposition of any such Collateral, including without limitation, any such Collateral
which Debtor may deem to be surplus, has been consented to or acquiesced in by Bank, except as specifically set forth in writing by Bank. 

  
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 6. COVENANTS OF DEBTOR. 

(a) Debtor agrees in general: (i) to pay Indebtedness secured hereby when due; (ii) to indemnify Bank against all losses,
claims, demands, liabilities and expenses of every kind caused by property subject hereto except for such losses, claims, demands, liabilities and expenses resulting from Bank’s gross negligence or willful misconduct; (iii) to permit Bank
to exercise its powers under this Agreement or any other Loan Document; (iv) to execute and deliver such documents as Bank deems reasonably necessary to create, perfect and continue the security interests contemplated hereby; (v) not to
change its name, and as applicable, its chief executive office, its principal residence or the jurisdiction in which it is organized and/or registered without giving Bank prior written notice thereof; (vi) not to change any location where
Debtor keeps any Collateral with an aggregate value in excess of One Hundred Thousand Dollars ($100,000) in respect of any specific location or with an aggregate value in excess of Five Hundred Thousand Dollars ($500,000) in respect of all
locations, or Debtor’s records concerning the Collateral, Proceeds and Rights to Payment without giving Bank prior written notice of the address to which Debtor is moving same; and (vii) to cooperate with Bank in perfecting all security
interests granted herein and in obtaining such agreements from third parties as Bank deems reasonably necessary, proper or convenient in connection with the preservation, perfection or enforcement of any of its rights hereunder. 

(b) Debtor agrees with regard to the Collateral, Proceeds and Rights to Payment, unless Bank agrees otherwise in writing: (i) that
Bank is authorized to file financing statements in the name of Debtor to perfect Bank’s security interest in the Collateral, Proceeds and Rights to Payment; (ii) where applicable, to insure the Collateral with Bank named as loss payee, in
form, substance and amounts, under agreements, against risks and liabilities, and with insurance companies reasonably satisfactory to Bank; (iii) where applicable, to operate the Collateral in accordance with all applicable statutes, rules and
regulations relating to the use and control thereof, and not to use any Collateral for any unlawful purpose or in any way that would void any insurance required to be carried in connection therewith; (iv) not to remove the Collateral from
Debtor’s premises except in the ordinary course of Debtor’s business; (v) to pay when due all license fees, registration fees and other charges in connection with any Collateral; (vi) not to permit any lien on the Collateral,
Proceeds and Rights to Payment, including without limitation, liens arising from repairs to or storage of the Collateral (other than Permitted Liens as defined in section 5.9 of the Credit Agreement); (vii) not to sell, hypothecate or dispose
of, nor permit the transfer by operation of law of, any of the Collateral, Proceeds and Rights to Payment or any interest therein, except sales of inventory to buyers in the ordinary course of Debtor’s business and except as expressly permitted
under the Credit Agreement; (viii) to permit Bank to audit and inspect the Collateral during normal business hours on at least 24 hours’ notice once per year (unless an Event of Default has occurred and is continuing in which case such
audits and inspections may be at any time, from time to time, and no notice shall be required); (ix) to keep, in accordance with generally accepted accounting principles, complete and accurate records regarding all Collateral, Proceeds and
Rights to Payment, and to permit Bank, upon 24 hours’ notice (unless an Event of Default has occurred and is continuing) to inspect the same and make copies thereof at any reasonable time; (x) if requested by Bank, to receive and use
reasonable diligence to collect Collateral consisting of accounts and other Rights to Payment and Proceeds, in trust and as the property of Bank, and to immediately endorse as appropriate and deliver such Collateral, Proceeds and Rights to Payment
to Bank daily in the exact form in which they are received together with a collection report in form satisfactory to Bank; (xi) not to commingle the Collateral or Proceeds, or collections thereunder, with other property; (xii) to give

  
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only normal allowances and credits in the ordinary course of business consistent with Debtor’s policies with respect thereto as of the date hereof, and to advise Bank thereof immediately in
writing if they affect any rights to payment or Proceeds in any material respect; (xiii) from time to time, within fifteen (15) days of being requested by Bank, to prepare and deliver a schedule of all the Collateral, Proceeds and Rights
to Payment subject to this Agreement and to assign in writing and deliver to Bank all accounts, contracts, leases and other chattel paper, instruments, documents and other evidences thereof; (xiv) in the event Bank elects to receive payments of
Rights to Payment or Proceeds hereunder, to pay all reasonable, documented, out-of-pocket expenses incurred by Bank in connection therewith, including expenses of accounting, correspondence, collection efforts, reporting to account or contract
debtors, filing, recording, record keeping and expenses incidental thereto; (xv) Debtor will first notify Bank prior to storing or otherwise delivering Collateral to a bailee or similar third party at a location which Collateral has an
aggregate value in excess One Hundred Thousand Dollars ($100,000) in respect of any specific location or an aggregate value in excess of Five Hundred Thousand Dollars ($500,000) in respect of all locations, and cause such bailee to execute and
deliver a bailee agreement in form and substance reasonably satisfactory to Bank in its good faith discretion, (xvi) to provide any service and do any other acts which may be reasonably necessary to maintain, preserve and protect all Collateral
and, as appropriate and applicable, to keep all Collateral in good and saleable condition, to deal with the Collateral in accordance with the standards and practices adhered to generally by users and manufacturers of like property, and to keep all
Collateral and Proceeds free and clear of all defenses, rights of offset and counterclaims, and (xvii) except as permitted in the Credit Agreement, not to agree with any person other than Bank to refrain from granting or allowing to exist a
lien upon any of its, and not to covenant to any other person that Debtor in the future will refrain from creating, incurring, assuming or allowing any lien with respect to any of Debtor’s property. 

(c) Debtor represents, warrants, covenants and agrees that, with respect to any Stock included in the Collateral, the original
certificate or certificates for such Stock, accompanied by an instrument of transfer or assignment, in form satisfactory to Bank, duly executed in blank by Debtor have been, or will be immediately upon execution and delivery of this Agreement,
delivered by Debtor to Bank. Debtor shall cause the books of the issuers of such Stock to reflect the pledge of the Stock hereunder. Debtor will further execute and deliver such documents, and take or cause to be taken such actions, as Bank may
reasonably request to perfect or continue the perfection of Bank’s security interest in such Stock. In the event that Debtor receives any Proceeds in respect of Stock, Debtor will hold the same in trust on behalf of and for the benefit of Bank
and will immediately deliver all such Proceeds to Bank in the exact form received, with the endorsement of Debtor if necessary and/or appropriate undated stock powers duly executed in blank, to be held by Bank as part of the Collateral, subject to
all terms hereof. Debtor agrees that as to any Collateral or Proceeds consists of Stock, and so long as no Event of Default exists, to vote said securities and to give consents, waivers and ratifications with respect thereto, provided that no vote
shall be cast or consent, waiver or ratification given or action taken which would impair Bank’s interests in the Collateral and Proceeds or be inconsistent with or violate any provisions of this Agreement. 

7. POWERS OF BANK. Debtor appoints Bank its true attorney in fact to perform any of the following powers upon the occurrence and during
the continuance of an Event of Default, which are coupled with an interest, are irrevocable until termination of this Agreement and may be exercised from time to time by Bank’s officers and employees, or any of them, whether or not Debtor is in
default: (a) to perform any obligation of Debtor under the Loan Documents, but that Debtor fails to do, in Debtor’s name or otherwise; (b) to give notice to account debtors or others of Bank’s rights in the Collateral, Proceeds
and Rights to Payment, to enforce or forebear from enforcing the same and make extension and modification agreements 

  
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with respect thereto; (c) to release persons liable on the Collateral, Proceeds and Rights to Payment and to give receipts and acquittances and compromise disputes in connection therewith;
(d) to release or substitute security; (e) to resort to security in any order; (f) to prepare, execute, file, record or deliver notes, assignments, schedules, designation statements, financing statements, continuation statements,
termination statements, statements of assignment, applications for registration or like papers to perfect, preserve or release Bank’s interest in the Collateral, Proceeds and Rights to Payment; (g) to receive, open and read mail addressed
to Debtor; (h) to take cash, instruments for the payment of money and other property to which Bank is entitled; (i) to verify facts concerning the Collateral, Proceeds and Rights to Payment by inquiry of obligors thereon, or otherwise, in
its own name, Debtor’s name or a fictitious name; (j) to endorse, collect, deliver and receive payment under instruments for the payment of money constituting or relating to Proceeds; (k) to prepare, adjust, execute, deliver and
receive payment under insurance claims, and to collect and receive payment of and endorse any instrument in payment of loss or returned premiums or any other insurance refund or return, and to apply such amounts received by Bank, at Bank’s sole
option, toward repayment of the Indebtedness or, where appropriate, replacement of the Collateral; (l) to exercise all rights, powers and remedies which Debtor would have, but for this Agreement, with respect to all the Collateral, Proceeds and
Rights to Payment subject hereto; (m) to enter onto Debtor’s premises in inspecting the Collateral; (n) to give notices of exclusive control, entitlement orders or like instructions with respect to deposit and/or securities accounts,
and to make withdrawals from and to close deposit accounts or other accounts with any financial institution, wherever located, into which Collateral, Proceeds or Rights to Payment may have been deposited, and to apply funds so withdrawn to payment
of the obligations; (o) to preserve or release the interest evidenced by chattel paper to which Bank is entitled hereunder and to endorse and deliver any evidence of title incidental thereto; (p) to notify any person obligated on any
security, instrument or other document subject to this Agreement of Bank’s rights hereunder; (q) to collect by legal proceedings or otherwise all dividends, interest, principal or other sums now or hereafter payable upon or on account of
the Collateral, Proceeds or Rights to Payment, (r) to enter into any extension, modification, reorganization, deposit, merger or consolidation agreement, or any other agreement relating to or affecting the Collateral, Proceeds or Rights to
Payment, and in connection therewith to deposit or surrender control of the Collateral, Proceeds or Rights to Payment, to accept other property in exchange for the Collateral, Proceeds and Rights to Payment, and to do and perform such acts and
things as Bank may deem proper, with any money or property received in exchange for the Collateral, Proceeds or Rights to Payment, at Bank’s option, to be applied to the Indebtedness or held by Bank under this Agreement; (s) to make any
compromise or settlement Bank deems desirable or proper in respect of the Collateral and Proceeds, (t) to do all acts and things and execute all documents in the name of Debtor or otherwise, deemed by Bank as necessary, proper and convenient in
connection with the preservation, perfection or enforcement of its rights hereunder, and (u) to sign Debtor’s name on any documents or security instruments necessary to perfect or continue the perfection of, or maintain the priority of,
Bank’s security interest in the Collateral. Notwithstanding the foregoing, however, that the powers of attorney granted herein (other than with respect to items (a), (d), (f), (i), (m), (t) and (u) above which may be exercised at any
time) shall be exercisable only upon the occurrence and during the continuance of an Event of Default unless in Bank’s good faith opinion prompt action is necessary to preserve or protect the Collateral or Bank’s security interest in the
Collateral. To effect the purposes of this Agreement or otherwise upon instructions of Debtor, Bank may cause any Collateral and/or Proceeds to be transferred to Bank’s name or the name of Bank’s nominee. If an Event of Default has
occurred and is continuing, any or all Collateral and/or Proceeds consisting of securities may be registered, without notice, in the name of Bank or its nominee, and thereafter Bank or its nominee may exercise, without notice, all voting and
corporate rights at any meeting 

  
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of the shareholders of the issuer thereof, any and all rights of conversion, exchange or subscription, or any other rights, privileges or options pertaining to such Collateral and/or Proceeds,
all as if it were the absolute owner thereof. The foregoing shall include, without limitation, the right of Bank or its nominee to exchange, at its discretion, any and all Collateral and/or Proceeds upon the merger, consolidation, reorganization,
recapitalization or other readjustment of the issuer thereof, or upon the exercise by the issuer thereof or Bank of any right, privilege or option pertaining to any the Collateral and/or Proceeds consisting of Stock, and in connection therewith, the
right to deposit and deliver any and all of the Collateral and/or Proceeds with any committee, depository, transfer agent, registrar or other designated agency upon such terms and conditions as Bank may determine. All of the foregoing rights,
privileges or options may be exercised without liability on the part of Bank or its nominee except to account for property actually received by Bank. Bank shall have no duty to exercise any of the foregoing, or any other rights, privileges or
options with respect to the Collateral or Proceeds and shall not be responsible for any failure to do so or delay in so doing. 

8. PAYMENT OF PREMIUMS, TAXES, CHARGES, LIENS AND ASSESSMENTS. Debtor agrees to pay, prior to delinquency, all insurance premiums, taxes,
charges, liens and assessments against the Collateral, Proceeds and Rights to Payment, and upon the failure of Debtor to do so, Bank at its option may pay any of them and shall be the sole judge of the legality or validity thereof and the amount
necessary to discharge the same. Any such payments made by Bank shall be obligations of Debtor to Bank, due and payable immediately upon demand, together with interest at a rate determined in accordance with the provisions of this Agreement, and
shall be secured by the Collateral, Proceeds and Rights to Payment, subject to all terms and conditions of this Agreement. 
 9.
EVENTS OF DEFAULT. The occurrence of any Event of Default under the Credit Agreement shall constitute an “Event of Default” under this Agreement. 
 10. REMEDIES. Upon the occurrence and during the continuance of any Event of Default, Bank shall have the right to declare immediately due and payable all or any Indebtedness secured hereby and to
terminate any commitments to make loans or otherwise extend credit to Debtor. Bank shall have all other rights, powers, privileges and remedies granted to a secured party upon default under the California Uniform Commercial Code or otherwise
provided by law, including without limitation, the right (a) to contact all persons obligated to Debtor on any Collateral, Proceeds or Rights to Payment and to instruct such persons to deliver all the Collateral, Proceeds and/or Rights to
Payment directly to Bank, and (b) to sell, lease, license or otherwise dispose of any or all Collateral. All rights, powers, privileges and remedies of Bank shall be cumulative. No delay, failure or discontinuance of Bank in exercising any
right, power, privilege or remedy hereunder shall affect or operate as a waiver of such right, power, privilege or remedy; nor shall any single or partial exercise of any such right, power, privilege or remedy preclude, waive or otherwise affect any
other or further exercise thereof or the exercise of any other right, power, privilege or remedy. Any waiver, permit, consent or approval of any kind by Bank of any default hereunder, or any such waiver of any provisions or conditions hereof, must
be in writing and shall be effective only to the extent set forth in writing. It is agreed that public or private sales or other dispositions, for cash or on credit, to a wholesaler or retailer or investor, or user of property of the types subject
to this Agreement, or public auctions, are all commercially reasonable since differences in the prices generally realized in the different kinds of dispositions are ordinarily offset by the differences in the costs and credit risks of such
dispositions. While an Event of Default exists: (a) Debtor will deliver to Bank from time to time, as requested by Bank, current lists of all the Collateral, Proceeds and Rights to Payment; (b) Debtor will not dispose of any Collateral,
Proceeds or Rights to Payment except on terms approved by Bank; (c) at Bank’s request, Debtor will 

  
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assemble and deliver all Collateral, Proceeds and Rights to Payment, and books and records pertaining thereto, to Bank at a reasonably convenient place designated by Bank; (d) Bank may,
without notice to Debtor, enter onto Debtor’s premises and take possession of the Collateral; (e) Bank may appropriate the Collateral and apply all Proceeds toward repayment of the Indebtedness in such order of application as Bank may from
time to time elect; and (f) Bank may, at any time and at Bank’s sole option, liquidate any time deposits pledged hereunder, whether or not said time deposits have matured and notwithstanding the fact that such liquidation may give rise to
penalties for early withdrawal of funds. With respect to any sale or other disposition by Bank of any Collateral subject to this Agreement, Debtor hereby expressly grants to Bank the right to sell such Collateral using any or all of Debtor’s
trademarks, trade names, trade name rights and/or proprietary labels or marks. Debtor further agrees that Bank shall have no obligation to process or prepare any Collateral for sale or other disposition. For any Collateral or Proceeds consisting of
securities, Bank shall have no obligation to delay a disposition of any portion thereof for the period of time necessary to permit the issuer thereof to register such securities for public sale under any applicable state or federal law, even if the
issuer thereof would agree to do so. 
 11. DISPOSITION OF COLLATERAL AND PROCEEDS; TRANSFER OF INDEBTEDNESS. In disposing of
Collateral hereunder, Bank may disclaim all warranties of title, possession, quiet enjoyment and the like. Any proceeds of any disposition of any Collateral, Proceeds or Rights to Payment, or any part thereof, may be applied by Bank to the payment
of expenses incurred by Bank in connection with the foregoing, including reasonable attorneys’ fees, and the balance of such proceeds may be applied by Bank toward the payment of the Indebtedness in such order of application as Bank may from
time to time elect. Upon the transfer of all or any part of the Indebtedness, Bank may transfer all or any part of the Collateral, Proceeds or Rights to Payment and shall be fully discharged thereafter from all liability and responsibility with
respect to any of the foregoing so transferred, and the transferee shall be vested with all rights and powers of Bank hereunder with respect to any of the foregoing so transferred; but with respect to any Collateral, Proceeds or Rights to Payment
not so transferred, Bank shall retain all rights, powers, privileges and remedies herein given. Bank may at any time deliver the Collateral and Proceeds, or any part thereof, to Debtor, and the receipt thereof by any Debtor shall be a complete and
full acquittance for the Collateral and Proceeds so delivered, and Bank shall thereafter be discharged from any liability or responsibility therefor. 
 12. STATUTE OF LIMITATIONS. Until all Indebtedness shall have been paid in full and all commitments by Bank to extend credit to Debtor have been terminated, the power of sale or other disposition and all
other rights, powers, privileges and remedies granted to Bank hereunder shall continue to exist and may be exercised by Bank at any time and from time to time irrespective of the fact that the Indebtedness or any part thereof may have become barred
by any statute of limitations, or that the personal liability of Debtor may have ceased, unless such liability shall have ceased due to the payment in full of all Indebtedness secured hereunder. 

13. MISCELLANEOUS. When there is more than one Debtor named herein: (a) the word “Debtor” shall mean all or any one or
more of them as the context requires; (b) the obligations of Debtor hereunder are joint and several; and (c) until all Indebtedness shall have been paid in full, no Debtor shall have any right of subrogation or contribution, and Debtor
hereby waives any benefit of or right to participate in any of the Collateral or Proceeds or any other security now or hereafter held by Bank. The Debtor acknowledges and agrees that the provisions of Section 7.11 of the Credit Agreement are
applicable to the Debtor’s obligations and liabilities under this Agreement and the other Loan Documents. Debtor hereby waives any 

  
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right to require Bank to (i) proceed against any other Debtor or any other person, (ii) marshal assets or proceed against or exhaust any security from any other Debtor or any other
person, (iii) perform any obligation of Debtor with respect to the Collateral, Proceeds or Rights to Payment, and (d) make any presentment or demand, or give any notice of nonpayment or nonperformance, protest, notice of protest or notice
of dishonor hereunder or in connection with any Collateral or Proceeds. Debtor further waives any right to direct the application of payments or security for any Indebtedness of Debtor or indebtedness of customers of Debtor. 

14. NOTICES. All notices, requests and demands required under this Agreement must be in writing, addressed to Bank at the address
specified in any other loan documents entered into between Debtor and Bank and to Debtor at the address of its chief executive office (or principal residence, if applicable) specified below or to such other address as any party may designate by
written notice to each other party, and shall be deemed to have been given or made as follows: (a) if personally delivered, upon delivery; (b) if sent by mail, upon the earlier of the date of receipt or three (3) days after deposit in
the U.S. mail, first class and postage prepaid; and (c) if sent by telecopy, upon receipt. 
 15. COSTS, EXPENSES AND
ATTORNEYS’ FEES. Debtor shall pay to Bank immediately upon demand the full amount of all payments, advances, fees, charges, costs and expenses, including reasonable attorneys’ fees (to include outside counsel fees and all allocated costs
of Bank’s in-house counsel), reasonably expended or incurred by Bank in connection with (a) the perfection and preservation of the Collateral or Bank’s interest therein, and (b) the realization, enforcement and exercise of any
right, power, privilege or remedy conferred by this Agreement, whether incurred at the trial or appellate level, in an arbitration proceeding or otherwise, and including any of the foregoing incurred in connection with any bankruptcy proceeding
(including without limitation, any adversary proceeding, contested matter or motion brought by Bank or any other person) relating to Debtor or in any way affecting any of the Collateral or Bank’s ability to exercise any of its rights or
remedies with respect thereto. All of the foregoing shall be paid by Debtor with interest from the date of demand until paid in full at a rate per annum equal to the highest rate then applicable to advances made under the Credit Agreement from time
to time. 
 16. SUCCESSORS; ASSIGNS; AMENDMENT. This Agreement shall be binding upon and inure to the benefit of the heirs,
executors, administrators, legal representatives, successors and assigns of the parties, and may be amended or modified only in writing signed by Bank and Debtor. 
 17. SEVERABILITY OF PROVISIONS. If any provision of this Agreement shall be held to be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such
prohibition or invalidity, without invalidating the remainder of such provision or any remaining provisions of this Agreement. 

18. DEFINED TERMS. All capitalized terms used herein without definitions shall have the respective meanings assigned to such terms in the
Credit Agreement. All terms not defined in the Credit Agreement that are defined in the UCC and used herein shall have the meanings assigned to such terms in the UCC. 
 19. GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the laws of the State of California. 
 [Balance of Page Intentionally Left Blank] 

  
 10 

 CONFIDENTIAL TREATMENT REQUESTED 

 

 IN WITNESS WHEREOF, this Agreement has been duly executed as of the date first set forth
above. 
 MAXWELL TECHNOLOGIES, INC. 
  

			
	 By:
	 	 /s/ Kevin Royal

	 Name:
	 	Kevin Royal
	 Title:
	 	CFO

 [Signature Page to Security Agreement] 

 CONFIDENTIAL TREATMENT REQUESTED 

 

			
	Security Agreement between Wells Fargo Bank, National Association and Maxwell Technologies, Inc.
	Schedule:	  	5(b)
	Schedule Description:	  	Places of Business and Collateral Locations
		
	Third Party Owned Locations	  	 

  

					
	 Places of Business
	  		  	
	Global Headquarters	  	5271 Viewridge Court, Suite 100 San Diego, CA 92123	  	
			
	N.A. Manufacturing and Engineering Center	  	9244 Balboa Avenue San Diego, CA 92123	  	
			
	Research and Development Center	  	3912 Calle Fortunada, Suite B San Diego, CA 92123	  	
			
	Manufacturing Location	  	8644 West Ludlow Drive Building C Peoria, Arizona 85381	  	opening in process
			
	Maxwell Technologies SA	  	CH-1728 Rossens Switzerland	  	
			
	Maxwell Technologies GmbH	  	Brucker Strasse 21 D-82205 Gilching Germany	  	
			
	Shanghai Representative Office	  	#13E, CR Times Square 500 Zhangyang Road, Pudong Shanghai 200122, P.R. China	  	
			
	Maxwell Technologies Shanghai Trading Co., Ltd.	  	#13F, CR Times Square 500 Zhangyang Road, Pudong Shanghai 200122, P.R. China	  	
			
	Maxwell Technologies Ltd	  	Suites 3 & 4, First Floor Millennium House Gapton Hall Road Great Yarmouth, Norfolk, United Kingdom	  	
			
	 Other Collateral Locations
	  		  	
			
	GoTrans Hong Kong (Third Party Logistics)	  	Room 1001-1003,10TH Floor Fullerton Centri, 19 Hung Hong Kong	  	
			
	Atege GmbH (Third Party Logistics)	  	Allgemeine Transportgesellschaft vorm. Gondrand & Mangili mbH Kammererstr. 1 D-71636 Ludwigsburg	  	
			
	Belton Energy Technology Limited (Contract Manufacturer)	  	Unit 4-6, 12/F, Block B Vigor Industrial Building 14-20 Cheung Tat Road Tsing Yi, N.T., Hong Kong, China	  	
			
	Expeditors International of Washington, Inc,. (Warehouse)	  	1470 Exposition Way Suite 110 San Diego, CA 92154 USA	  	

			
	Security Agreement between Wells Fargo Bank, National Association and Maxwell Technologies, Inc.
	Schedule:	  	5(c)
	Schedule Description:	  	Additional Addresses Where Collateral is Located
	
	None other than the locations listed on Schedule 5(b).

  
 13 

			
	Security Agreement between Wells Fargo Bank, National Association and Maxwell Technologies, Inc.
	Schedule:	  	5(d)
	Schedule Description:	  	Subsidiaries

  

							
	Subsidiary Legal Name	  	Type of Entity	  	Jurisdiction of
Organization	  	 Organizational
Identification
 Number

				
	 Maxwell Technologies SA
	  	Limited Liability Company	  	Switzerland	  	CH-217-0131313-6
				
	Maxwell Technologies GmbH	  	Limited Liabity Company	  	Germany	  	171351
				
	Maxwell Technologies, Shanghai Trading, Ltd.	  	Foreign Invested Commercial Entity	  	Shanghai Pudong	  	TBD
				
	Maxwell Technologies, Ltd	  	Private Limited Liability Company	  	England and Wales	  	7350196
				
	Maxwell Technologies Hong Kong Limited	  	Corporation	  	Hong Kong	  	1625756
				
	I-Bus/Phoenix, Inc.	  	Stock Corporation	  	California	  	C1977887
				
	MML Holding Corp	  	Corporation	  	Delaware	  	2872286
				
	MML Acquisition Corp	  	Corporation	  	Delaware	  	2872274
				
	Maxwell Holding GmbH	  	Limited Liability Company	  	Germany	  	106430
				
	PurePulse Technologies, Inc.	  	Corporation	  	Delaware	  	C1622960
				
	Maxwell Technologies Systems Divisions, Inc.	  	Corporation	  	California	  	C1977885

  
 14 

			
	Security Agreement between Wells Fargo Bank, National Association and Maxwell Technologies, Inc.
	Schedule:	  	5(e)
	Schedule Description:	  	Subsidiary Capitalization

  

											
	Subsidiary Legal Name	  	 Authorized Shares/

Issued Shares
	 	 	Shareholder Name	  	 Number of
 Shares Owned
	 
	 Maxwell Technologies SA
	  	 	100,000	  	 	Maxwell Technologies, Inc.	  	 	999,998	  
	 Maxwell Technologies GmbH
	  	 	25,000	  	 	Maxwell Holding GmbH	  	 	25,000	  
	 Maxwell Technologies, Shanghai Trading, Ltd.
	  	 	[TBD	] 	 	Maxwell Technologies Hong Kong Limited	  	 	All	  
	 Maxwell Technologies, Ltd
	  	 	1,000	  	 	Maxwell Technologies, Inc.	  	 	1,000	  
	 Maxwell Technologies Hong Kong Limited
	  	 	300,000	  	 	Maxwell Technologies, Inc.	  	 	300,000	  
	 I-Bus/Phoenix, Inc.
	  	 	unknown	  	 	Maxwell Technologies, Inc.	  	 	All	  
	 MML Holding Corp
	  	 	unknown	  	 	Maxwell Technologies, Inc.	  	 	All	  
	 MML Acquisition Corp
	  	 	100,000	  	 	MML Holding Corp	  	 	100,000	  
	 Maxwell Holding GmbH
	  	 	1	  	 	MML Acquisition Corp	  	 	1	  
	 PurePulse Technologies, Inc.
	  	 	20,000,000/12,038,735	(1) 	 	Maxwell Technologies, Inc.	  	 	9,901,954	  
	 Maxwell Technologies Systems Divisions, Inc.
	  	 	unknown	  	 	Maxwell Technologies, Inc.	  	 	All	  
				
	 (1) Last known information.
	  				 		  			

  
 15 

 Schedule: 5(f) 
 Schedule Description: Deposits, Investments, Securities and Commodity Accounts 
 [*]1

  

	*	CERTAIN INFORMATION HAS BEEN OMITTED AND FILED SEPARATELY WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO THE OMITTED PORTIONS.

  
 16 

 Schedule: 5(k) 
 Schedule Description: Existing Liens 
  

																					
	 Secured Party
	  	 Filing Office
	 	  	 Filing No.
	 	  	 Filing Date
	 	  	 Approximate
Remaining Costs
	 	  	 Collateral
Description/
Amendments
	 
	 Banc of America Leasing & Capital, LLC
	  	 	Delaware	  	  	 	2007 1513216	  	  	 	4/23/2007	  	  	$	—  	  	  	 	Copier Machines	  
	 Banc of America Leasing & Capital, LLC
	  	 	Delaware	  	  	 	2008 3692777	  	  	 	11/4/2008	  	  	$	200,000	  	  	 	Copier Machines	  
	 Silicon Valley Bank
	  	 	Delaware	  	  	 	4015705 9	  	  	 	1/20/2004	  	  	$	—  	  	  	 	n/a -no obligation	(1) 
	 Silicon Valley Bank
	  	 	Delaware	  	  	 	2007 0032903	  	  	 	1/3/2007	  	  	$	—  	  	  	 	n/a -no obligation	(1) 

  

	(1)	To be released. 

  
 17Equipment Term Commitment Note

 Exhibit 10.42 
 EQUIPMENT TERM COMMITMENT NOTE 
  

			
	$12,500,000.00	 	 San Diego, California
 December 5, 2011

 FOR VALUE RECEIVED, the undersigned MAXWELL TECHNOLOGIES, INC. (“Borrower”) promises to pay to
the order of WELLS FARGO BANK, NATIONAL ASSOCIATION (“Bank”) at its office at 10421 Wateridge Court, Suite 150, San Diego, CA 92121, or at such other place as the holder hereof may designate, in lawful money of the United States of America
and in immediately available funds, the principal sum of Twelve Million Five Hundred Thousand Dollars ($12,500,000.00), or so much thereof as may be advanced and be outstanding, with interest thereon, to be computed on each advance from the date of
its disbursement as set forth herein. 
 DEFINITIONS: 
 As used herein, the following terms shall have the meanings set forth after each, and any other term defined in this Note shall have the meaning set forth at the place defined: 

(a) “Business Day” means any day except a Saturday, Sunday or any other day on which commercial banks in California are
authorized or required by law to close. 
 (b) “Fixed Rate Term” means a period commencing on a Business Day and
continuing for a period of thirty (30) days, during which all or a portion of the outstanding principal balance of this Note bears interest determined in relation to LIBOR; provided however, that no Fixed Rate Term may be selected for a
principal amount less than One Million Dollars ($1,000,000); and provided further, that no Fixed Rate Term shall extend beyond the scheduled maturity date hereof. If any Fixed Rate Term would end on a day which is not a Business Day, then such Fixed
Rate Term shall be extended to the next succeeding Business Day 
 (c) “LIBOR” means the rate per annum (rounded
upward, if necessary, to the nearest whole 1/8 of 1%) and determined pursuant to the following formula: 
  

			
	LIBOR =	  	Base LIBOR
		  	100% - LIBOR Reserve Percentage

 (i) “Base LIBOR” means the rate per annum for United States dollar deposits quoted by Bank for
the purpose of calculating effective rates of interest for loans making reference to LIBOR, as the Inter-Bank Market Offered Rate, with the understanding that such rate is quoted by Bank for the purpose of calculating effective rates of interest for
loans making reference thereto, on the first day of a Fixed Rate Term for delivery of funds on said date for a period of thirty (30) days and in an amount approximately equal to the principal amount to which such Fixed Rate Term applies.
Borrower understands and agrees that Bank may base its quotation of the Inter-Bank Market Offered Rate upon such offers or other market indicators of the Inter-Bank Market as Bank in its discretion deems appropriate including, but not limited to,
the rate offered for U.S. dollar deposits on the London Inter-Bank Market. 

 “LIBOR Reserve Percentage” means the reserve percentage prescribed by the Board of Governors of
the Federal Reserve System (or any successor) for “Eurocurrency Liabilities” (as defined in Regulation D of the Federal Reserve Board, as amended), adjusted by Bank for expected changes in such reserve percentage during a one
(1) month period. 
 “Prime Rate” means at any time the rate of interest most recently announced within Bank at its principal
office as its Prime Rate, with the understanding that the Prime Rate is one of Bank’s base rates and serves as the basis upon which effective rates of interest are calculated for those loans making reference thereto, and is evidenced by the
recording thereof after its announcement in such internal publication or publications as Bank may designate. 
 INTEREST: 

(a) Interest. The outstanding principal balance of this Note shall bear interest (computed on the basis of a three hundred sixty
(360) day year, actual days elapsed) either (i) at a floating rate per annum equal to the Prime Rate in effect from time to time or (ii) at a fixed rate per annum determined by Bank to be two and one quarter of one percent
(2.25%) above LIBOR in effect on the first day of the Fixed Rate Term. When interest is determined in relation to the Prime Rate, each change in the interest rate shall become effective each Business Day that the Bank determines that the Prime
Rate has changed. Bank is hereby authorized to note the date, principal amount and interest rate applicable thereto and any payments made thereon on Bank’s books and records (either manually or by electronic entry) and/or on any schedule
attached to this Note, which notations shall be prima facie evidence of the accuracy of the information noted. 
 (b)
Selection of Interest Rate Options. At any time any portion of this Note bears interest determined in relation to LIBOR for a Fixed Rate Term, it may be continued by Borrower at the end of the Fixed Rate Term so that all or a portion thereof
bears interest determined in relation to the Prime Rate or to LIBOR for a new Fixed Rate Term. At any time any portion of this Note bears interest determined in relation to the Prime Rate, Borrower may at any time convert all or a portion thereof so
that it bears interest determined in relation to LIBOR for a Fixed Rate Term. At such time as Borrower requests an advance hereunder or wishes to select an interest rate determined in relation to the Prime Rate or a Fixed Rate Term for all or a
portion of the outstanding principal balance hereof, and at the end of each Fixed Rate Term, Borrower shall give Bank notice specifying: (i) the interest rate option selected by Borrower and (ii) the principal amount subject thereto. Any
such notice may be given by telephone (or such other electronic method as Bank may permit) so long as, with respect to each LIBOR selection for a Fixed Rate Term, (A) if requested by Bank, Borrower provides to Bank written confirmation thereof
not later than three (3) Business Days after such notice is given, and (B) such notice is given to Bank (i) prior to 10:00 a.m. Pacific time, on the first day of the Fixed Rate Term, or (ii) at a later time during any Business
Day if Bank, at its sole option but without obligation to do so, accepts Borrower’s notice and quotes a fixed rate to Borrower. If Borrower does not immediately accept a fixed rate when quoted by Bank, the quoted rate shall expire and any
subsequent LIBOR request from Borrower shall be subject to a redetermination by Bank of the applicable fixed rate. If no specific designation of interest is made at the time any advance is requested hereunder or at the end of any Fixed Rate Term,
Borrower shall be deemed to have made a Prime Rate interest selection for such advance or the principal amount to which such Fixed Rate Term applied. 
 (c) Taxes and Regulatory Costs. Borrower shall pay to Bank immediately upon demand, in addition to any other amounts due or to become due hereunder, any and all (i)

 
withholdings, interest equalization taxes, stamp taxes or other taxes (except income and franchise taxes) imposed by any domestic or foreign governmental authority and related in any manner to
LIBOR, and (ii) future, supplemental, emergency or other changes in the LIBOR Reserve Percentage, assessment rates imposed by the Federal Deposit Insurance Corporation, or similar requirements or costs imposed by any domestic or foreign
governmental authority or resulting from compliance by Bank with any request or directive (whether or not having the force of law) from any central bank or other governmental authority and related in any manner to LIBOR to the extent they are not
included in the calculation of LIBOR. In determining which of the foregoing are attributable to any LIBOR option available to Borrower hereunder, any reasonable allocation made by Bank among its operations shall be conclusive and binding upon
Borrower. 
 (d) Payment of Interest. Interest accrued on this Note shall be payable on the last day of each month,
commencing January 31, 2012, in the case of loans accruing interest at Prime Rate, and on the last day of each Fixed Rate Term for loans accruing interest for a Fixed Rate Term. 

(e) Default Interest. From and after the maturity date of this Note, or such earlier date as all principal owing hereunder becomes
due and payable by acceleration or otherwise, or at Bank’s option upon the occurrence, and during the continuance of an Event of Default, the outstanding principal balance of this Note shall bear interest at an increased rate per annum
(computed on the basis of a three hundred sixty (360) day year, actual days elapsed) equal to five percent (5%) above the rate of interest from time to time applicable to this Note. 
 BORROWING AND REPAYMENT: 
 (a) Borrowing and Repayment. Borrower may from
time to time from the date of this Note up to and including April 30, 2012, borrow and partially or wholly repay its outstanding borrowings, subject to all of the limitations, terms and conditions of this Note, the Credit Agreement and any
document executed in connection with or governing this Note; provided however, that amounts repaid may not be reborrowed; and provided further, that the total borrowings under this Note shall not exceed the principal amount stated above. The unpaid
principal balance of this obligation at any time shall be the total amounts advanced hereunder by the holder hereof less the amount of principal payments made hereon by or for Borrower, which balance may be endorsed hereon from time to time by the
holder. 
 (b) Required Principal Payments. The outstanding principal balance of the this Note, and all accrued interest
thereon, shall be due and payable in full on April 30, 2012; provided however, that so long as Borrower is in compliance on said date with all terms and conditions contained in this Note and the other Loan Documents (as defined in the Credit
Agreement), Bank agrees to restructure repayment of said outstanding principal balance and accrued interest so that principal and interest shall be amortized over three (3) years and principal shall be payable on the last day of each month in
equal successive installments over said amortization term, commencing May 31, 2012, and continuing up to and including April 30, 2015, with a final installment consisting of all remaining unpaid principal due and payable in full on that
date, or such earlier date as all principal owing hereunder becomes due and payable by acceleration or otherwise. 
 (c)
Advances. Advances hereunder, to the total amount of the principal sum stated above and up to and including the final advance date set forth above, may be made by the holder at the oral or written request of (i) David Schramm or Kevin
Royal, or their designees, 

 
any one acting alone, who are authorized to request advances and direct the disposition of any advances until written notice of the revocation of such authority is received by the holder at the
office designated above, or (ii) any person, with respect to advances deposited to the credit of any deposit account of Borrower, which advances, when so deposited, shall be conclusively presumed to have been made to or for the benefit of
Borrower regardless of the fact that persons other than those authorized to request advances may have authority to draw against such account. The holder shall have no obligation to determine whether any person requesting an advance is or has been
authorized by Borrower. 
 (d) Application of Payments. Each payment made on this Note shall be credited first, to any
interest then due and second, to the outstanding principal balance hereof. All payments credited to principal shall be applied first, to the outstanding principal balance of this Note which bears interest determined in relation to the Prime Rate, if
any, and second, to the outstanding principal balance of this Note which bears interest determined in relation to LIBOR. 
 PREPAYMENT:

 (a) Prime Rate. Borrower may prepay principal on any portion of this Note which bears interest determined in relation
to the Prime Rate at any time, in any amount and without penalty. 
 (b) LIBOR. Borrower may prepay principal on any
portion of this Note which bears interest determined in relation to LIBOR for a fixed rate at any time and in the minimum amount of One Million Dollars ($1,000,000); provided however, that if the outstanding principal balance of this Note is less
than said amount, the minimum prepayment amount shall be the entire outstanding principal balance thereof. In consideration of Bank providing this prepayment option to Borrower, or if any such portion of this Note shall become due and payable at any
time prior to the last day of the Fixed Rate Term by acceleration or otherwise, Borrower shall pay to Bank immediately upon demand a fee, calculated as follows for each such Fixed Rate Term: 

 

	 	(i)	Determine the amount of interest which would have accrued on the amount prepaid at the interest rate applicable to such amount had it remained outstanding until the
last day of the Fixed Rate Term. 

  

	 	(ii)	Subtract from the amount determined in (i) above the amount of interest which would have accrued for the same month on the amount prepaid for the remaining term of
such Fixed Rate Term at LIBOR in effect on the date of prepayment for new loans made for such term and in a principal amount equal to the amount prepaid. 

  

	 	(iii)	If the result obtained in (ii) for any Fixed Rate Term is greater than zero, discount that difference by LIBOR used in (ii) above. 

 Borrower acknowledges that prepayment of such amount may result in Bank incurring additional costs, expenses
and/or liabilities, and that it is difficult to ascertain the full extent of such costs, expenses and/or liabilities. Borrower, therefore, agrees to pay the above-described prepayment fee and agrees that said amount represents a reasonable estimate
of the prepayment costs, expenses and/or liabilities of Bank. If Borrower fails to pay any prepayment fee when due, the amount of such prepayment fee shall thereafter bear interest until paid at a rate per annum seven and three-quarters of one
percent (7.75%) above the Prime Rate in effect from time to time (computed on the basis of a three hundred sixty (360) day year, actual days elapsed). 
 EVENTS OF DEFAULT: 
 This Note is made pursuant to and is subject to the terms and
conditions of that certain Credit Agreement between Borrower and Bank dated as of the date hereof, as amended, restated modified or supplemented from time to time (the “Credit Agreement”). Any default in the payment or performance of any
obligation under this Note, or any defined event of default under the Credit Agreement, shall constitute an “Event of Default” under this Note. 
 MISCELLANEOUS: 
 (a) Remedies. Upon the occurrence and during the
continuance of any Event of Default, the holder of this Note, at the holder’s option, may declare all sums of principal and interest outstanding hereunder to be immediately due and payable without presentment, demand, notice of nonperformance,
notice of protest, protest or notice of dishonor, all of which are expressly waived by Borrower, and the obligation, if any, of the holder to extend any further credit hereunder shall immediately cease and terminate. Borrower shall pay to the holder
immediately upon demand the full amount of all payments, advances, charges, costs and expenses, including reasonable attorneys’ fees (to include outside counsel fees and all allocated costs of the holder’s in-house counsel), expended or
incurred by the holder in connection with the enforcement of the holder’s rights and/or the collection of any amounts which become due to the holder under this Note, and the prosecution or defense of any action in any way related to this Note,
including without limitation, any action for declaratory relief, whether incurred at the trial or appellate level, in an arbitration proceeding or otherwise, and including any of the foregoing incurred in connection with any bankruptcy proceeding
(including without limitation, any adversary proceeding, contested matter or motion brought by Bank or any other person) relating to Borrower or any other person or entity. 
 (b) Obligations Joint and Several. Should more than one person or entity sign this Note as a Borrower, the obligations of each such Borrower shall be joint and several. 

(c) Governing Law. This Note shall be governed by and construed in accordance with the laws of the State of California.

 [Balance of Page Intentionally Left Blank] 

 IN WITNESS WHEREOF, the undersigned has executed this Note as of the date first written
above. 
  

			
	MAXWELL TECHNOLOGIES, INC.
		
	By:	 	 /s/ Kevin Royal

	Name:	 	Kevin Royal
	Title:	 	CFO

 [Signature Page to Equipment Term Commitment Note]

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