Document:

EX-10.1

EXHIBIT 10.1

EMPLOYMENT AGREEMENT

     AGREEMENT dated May 06, 2009 and effective May 11, 2009 by and between FIRST BANCORP (the
“Company”) and Orlando Berges-González (or “O. Berges”).

     WHEREAS, the Company wishes to retain the services of O. Berges and the retention of O.
Berges’ services for and on behalf of the Company and FirstBank Puerto Rico (the “Bank”) is of
material importance to the preservation and enhancement of the value of the Company’s and the
Bank’s business;

     WHEREAS, the Board of Directors of the Company has approved and authorized the execution of
this Agreement with O. Berges to take effect as of the date above written.

     WHEREAS, the parties desire to enter into this Agreement setting forth the terms and
conditions of the employment relationship of the Company, the Bank and O. Berges;

     NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and agreements
herein, the parties agree as follows:

     1. Employment. The Company agrees to employ O. Berges and O. Berges agrees to the employment
by the Company for the period stated in Paragraph 4 hereof and subject to the other terms and
conditions herein provided.

     2. Position and Responsibilities. The Company hereby employs O. Berges as Executive Vice
President and shall carry out and render to the Company and to the Bank such services as are
customarily performed by persons holding a similar corporate title. O. Berges shall also perform
such other related duties as he may from time to time be reasonably directed in writing, including,
but not limited to performing duties for the Company, the Bank and other subsidiaries of the
Company. O. Berges shall report to the Chief Executive Officer of the Company. In the absence of
the Chief Executive Officer, O. Berges shall report to the Chief Operating Officer or any other
officer designated by the Board of Directors. Notwithstanding the foregoing, the Board of
Directors of the Company or the Bank may delegate or assign specific tasks to O. Berges, provided
that the assignment clearly sets for the priority of the task, and whether it takes precedence over
other duties and obligations of O. Berges.

1

 

     3. Duties. During the period of employment hereunder, and except for illness, vacation
periods, and leaves of absence, O. Berges shall devote his business time, attention, skill, and
efforts to the faithful performance of his duties as provided herein as is customary for an
executive holding a similar position in a financial institution of comparable size.

          O. Berges agrees that, during the term of his employment hereunder, he will not, directly or
indirectly, engage or participate, become director of, or render advisory or other services for, or
in connection with, or become interested in, or make any financial investment in any firm,
corporation, business entity or business enterprise that directly competes with the Company or its
subsidiaries in Puerto Rico; provided, however, that O. Berges shall not thereby be precluded or
prohibited from owning passive investments, including investments in the securities of other
financial institutions so long as such ownership does not require him to devote substantial time to
the management or control of the business or activities of any such firm, corporation, business
entity or enterprise.

     4. Term. The initial term of employment under this Agreement shall be for a period of three
(3) years, commencing on May 11, 2009 and terminating on May 11, 2012. On each anniversary of the
date of commencement of this Agreement, the term of the employment hereunder shall automatically be
extended for an additional one (1) year period beyond the then effective expiration date, unless
either party receives written notice, not less than 90 days prior to the anniversary date, advising
the other party that this Agreement shall not be further extended. Any such written notice shall
not affect any prior extensions of the term of employment hereunder.

     5. Standards. O. Berges shall perform his duties and responsibilities under this Agreement,
in accordance with such reasonable standards as established from time to time by the Board of
Directors and/or management of the Company and conveyed in writing to O. Berges. The
reasonableness of such standards shall be measured against standards for executive performance
generally prevailing in the financial industry.

          Notwithstanding anything to the contrary, nothing in this Agreement will be interpreted in any
manner which would tend to limit or interfere with the authority or oversight duties and discretion
of the Board of Directors to establish adequate guidelines for the effective management of the
Company.

2

 

     6. Compensation and Reimbursement of Expenses.

          a) Compensation

     The Company agrees to pay O. Berges during the term of this Agreement a base salary of not
less than $600,000 a year.

          b) Performance Bonus

               In addition to the base salary set forth above, O. Berges shall be entitled to a performance
bonus determined on the basis of his achievement of the predetermined business objectives contained
in the Company’s annual business plan in connection with the areas of endeavor assigned to O.
Berges. The contribution of O. Berges to the achievement of the Company’s annual business
objectives and his performance in such other functions, as may be reasonably assigned under his
charge, will be evaluated by the Chief Executive Officer who will recommend to the Compensation and
Benefits Committee (the “Compensation Committee”) payment of a performance bonus in an amount which
the Compensation Committee, and ultimately the Board of Directors, may determine at their
discretion.

          c) Long-Term Incentive Compensation Benefits

               O. Berges shall be entitled to participate in and receive the benefits of any stock-based
award, or other benefits and privileges granted to employees and executives of the Company or its
subsidiaries and affiliates which now exist or may come into existence hereafter, to the extend
commensurate with his then assigned duties and responsibilities, as recommended by the Compensation
Committee and approved by the Board of Directors. The terms and conditions of such benefit will be
within the parameters set forth in the now existing 2008 First BanCorp Omnibus Incentive Plan or
any other similar plan which may come into existence hereafter under which a benefit or privilege
is made available to O. Berges.

          d) Automobile Expenses

               The Company shall provide O. Berges with a company owned automobile. Such automobile will be
furnished in accordance with the existing executive automobile policy as approved by the Board of
Directors, provided however that the approved initial vehicle cost shall be no greater than
$65,000. All expenses, including but not limited to insurance, maintenance, repairs, fuel, and
lubrication services, shall be provided by the Bank.

3

 

          e) Reimbursement of Expenses

               Not less frequently than monthly, the Company shall pay or reimburse O. Berges for all
reasonable travel and other expenses incurred by O. Berges in the performance of his duties under
this Agreement.

          f) Club Membership

          The Company will pay for the initiation fees and annual dues of a club membership to be
designated by O. Berges during the term of this Agreement or any renewal thereof.

          g) Office

               The Company shall furnish O. Berges with a private office, a private secretary and such other
assistance and accommodations as shall be suitable to the character of O. Berges’ position with the
Company and adequate for the performance of his duties hereunder.

     7. Participation in Benefit Plans. The payment and benefits provided in this Agreement are
independent and separate of any payment and benefits to which O. Berges may be or may become
entitled to under any other present or future group employee benefit plan or insurance programs of
the Company for which executives of the Company and or its subsidiaries are or shall become
eligible, and O. Berges shall be eligible to receive all benefits and entitlements for which said
executives are eligible under every such plan or program.

     8. Voluntary Absences; Vacations and Sick Leave. O. Berges shall be entitled, without loss
of pay, to absent himself voluntarily for reasonable periods of time from the performance of his
duties and responsibilities under this Agreement. All such voluntarily absences shall count either
as paid vacation time or sick leave, unless otherwise provided by the Board of Directors. O.
Berges shall be entitled to an annual paid vacation of eighteen (18) working days per every twelve
(12) month period, or such longer periods as the Board of Directors may approve, which vacations
shall be scheduled by O. Berges with the prior approval of the Chief Executive Officer, taking into
account the needs of the Company. O. Berges may accumulate unused paid vacation time from twelve
(12) month period to the next; provided that such accumulation shall not exceed eighteen (18)
working days of unused vacation time from prior twelve (12) month periods. O. Berges shall be
entitled to up to fifteen (15) non-cumulative working days of paid sick leave for each twelve (12)
month period or such longer non-cumulative working days as the Board of

4

 

Directors may approve. Upon termination of employment with or without cause, or for any reason,
the Company shall pay all accrued and unused vacation days, at the highest rate of salary earned by
O. Berges, during his tenure.

     9. Benefits Payable Upon Disability or Death. The Company shall, at all times, maintain in
effect disability and death benefits insurance for the benefit of O. Berges in an amount at least
equal to that maintained for executives of similar rank and which will not be less than that
maintained by the Company for all officers and employees. Provided that the Company may increase,
but never decrease the benefits which O. Berges and/or O. Berges’ heirs would be entitled to
thereunder.

     10. Termination of Employment.

          (a) Without cause. The Board of Directors may, without cause, terminate this
Agreement at any time, by giving ninety (90) days written notice to O. Berges. In such event, O.
Berges, if requested by the Board of Directors, shall continue to render his services, and shall be
paid his regular salary up to the date of termination. In addition, O. Berges shall be paid on the
date of termination a severance payment equal to the annual base compensation amount to which O.
Berges would be entitled to under this Agreement prorated to cover the remaining balance of the
three (3) year term.

          O. Berges may, without cause, terminate the Agreement by giving ninety (90) days written
notice to the Board of Directors. In such event, O. Berges shall continue to render his services
and shall be paid his regular salary up to the date of termination, but shall not receive any
severance payment.

          (b) With Cause: The Board of Directors may, at any time, terminate this Agreement for
cause. In such event, O. Berges shall not be entitled to receive any further compensation from the
date of notice of termination. The notice of termination shall be in writing, shall set forth the
date of delivery to O. Berges, and the effect of termination shall not be retroactive to a date
prior to delivery of such notice. For the purpose of this Agreement, “termination for cause” shall
include any act or omission on the part of O. Berges which involves personal dishonesty, willful
misconduct, material breach of fiduciary duty, a material violation of any law, rule or regulation
relating to the banking industry or a material breach of any provision of this Agreement, such as
the willful and continued failure of O. Berges to perform the duties herein set forth. No act or
failure to act on O. Berges part shall be considered “willful” unless done, or omitted to be

5

 

done, not in good faith and without reasonable belief that his action or omission was in the best
interest of the Company. For purposes of this paragraph, any act or omission to act on the part of
O. Berges in reliance upon an opinion of counsel, outside auditor or advisor to the Company or to
O. Berges shall not be deemed to be willful or without reasonable belief that the act or omission
to act was in the best interest of the Company.

          O. Berges may, with cause, terminate this Agreement. For purposes of this section, termination
with cause shall mean a failure of the Company to comply with any material provision of this
Agreement, which failure has not been cured within fifteen (15) days of receipt of a written notice
by O. Berges of such noncompliance by the Company.

          Either party may submit for arbitration, as provided in Section 21 of this Agreement, among
other matters, any controversy that may arise with regard to the cause for termination that is set
forth in the written notice of termination provided by the Board of Directors or O. Berges, as the
case may be.

          (c) If O. Berges is suspended and/or prohibited from participating in the conduct of the
Company’s affairs by a notice or order served under Section 8(e)(3),(e)(4) or (g)(1) of the Federal
Deposit Insurance Act, 12 USC 1818(e)(3), (e)(4) and (g)(1), or any other similar provision of
state or federal law now in place or enacted in the future, the Company’s obligations under this
Agreement shall be suspended as of the date of service, unless such prohibition and/or suspension
is stayed by appropriate proceedings. If after a hearing is held and upon judicial review, the
notice or order suspending and/or prohibiting O. Berges from participating in the affairs of the
Company is confirmed, then this Agreement shall be terminated with cause. If the charges in the
notice or order are dismissed, the Company shall: (i) pay O. Berges all the compensation withheld
while the contractual obligations were suspended and (ii) reinstate, in whole or in part, any of
the obligations which were suspended.

          (d) In the event that O. Berges is terminated or he terminates this Agreement, in a manner
which violates the provisions of this Section 10, as determined by the arbitration procedure
provided in Section 21, O. Berges or the Company, as the case may be, shall be entitled to
reimbursement for all reasonable costs, including attorney’s fees, incurred by O. Berges or the
Company, as the case may be, in challenging such termination.

6

 

     11. Change in Control:

          (a) In the event, within two years following a “change in control” of the Company, as such
term is defined in Sub-section (b) hereunder, the executives employment is terminated by the
Company without cause or there is a construct of termination without cause, O. Berges shall be
entitled to receive from the Company a severance payment in consideration of having bound himself
to employment by the Company and having foregone other business or professional opportunities,
actual or potential. The severance payment shall be a lump sum cash payment equal to three (3)
times the base annual compensation, plus three (3) times the highest cash Performance Bonus paid
to O. Berges in any of the three (3) fiscal years prior to the date of the change in control, and
(ii) the value of any other benefits provided to O. Berges during the year in which the termination
without cause occurs. Payment of the amounts set forth in this section 11(a) shall be made on or
before the fifth day following the date on which the executive is terminated without cause. If the
change of control occurs during the course of the first year and the performance bonus has not been
paid, the payment hereunder shall be three (3) times the base annual compensation plus three (3)
times $100,000 and the value of any other benefits provided to O. Berges during the year in which
the termination without cause occurs.

          (b) The term “change in control” shall be deemed to have taken place if: (i) a third person,
including a “group” as defined in Section 13(d)(3) of the Securities Exchange Act of 1934, becomes
the beneficial owner of shares of the Company having 25% or more of the total number of votes which
may be cast for the election of directors of the Company or which, by cumulative voting, if
permitted by the Company’s charter or bylaws, would enable such third person to elect 50% or more
of the directors of the Company; or (ii) as the result of, or in connection with, any cash tender
or exchange offer, merger or any other business combination, sales of assets or contested election,
or any combination of the foregoing transactions, the person who were directors of the Company
before such transaction shall cease to constitute a majority of the Board of the Company or any
successor institution.

          (c) Any payment made to O. Berges pursuant to this Agreement are subject to and conditioned
upon their compliance with 12 USC 1828(k) and any regulations promulgated thereunder. The Company
through the Bank shall in good faith seek to obtain, if necessary or required, any consents or
approvals from the FDIC or any other applicable regulatory agency and any successors thereto with
respect to any payments to be made or any benefits to be provided to O. Berges pursuant to the
terms of this Agreement.

7

 

     12. Confidentiality; Injunctive Relief: Recognizing that the knowledge and information
about, or relationships with, the business associates, customers, clients, and agents of the
Company and its affiliated companies and the business methods, systems, plans, and policies of the
Company and of its affiliated companies which O. Berges will receive, obtain, or establish as an
employee of the Company or otherwise are valuable and unique assets of the Company, O. Berges
agrees that, during the continuance of this Agreement and thereafter, he shall not (otherwise than
pursuant to his duties hereunder) disclose without the written consent of the Company, any material
or substantial, confidential, or proprietary know-how, data, or information pertaining to the
Company, or its business, personnel, or plans, to any person, firm, corporation, or other entity,
for any reason or purpose whatsoever. O. Berges acknowledges and agrees that all memoranda, notes,
records, and other documents made or complied by O. Berges or made available to O. Berges
concerning the Company’s business shall be the Company’s exclusive property and shall be delivered
by O. Berges to the Company upon expiration or termination of this Agreement or at any other time
upon the request of the Company.

     The provision of this Section 13 shall survive the expiration or termination of this Agreement
or any part thereof, without regard to the reason therefore.

     O. Berges hereby acknowledges that the services to be rendered by him are of special,
unique, and extraordinary character and, in connection with such services he will have access to
confidential information concerning the Company’s business. By reason of this, O. Berges consents
and agrees that if he violates any of the provisions of this Agreement with respect to
confidentiality, the Company would sustain irreparable harm and, therefore, in addition to any
other remedies which the Company may have under this Agreement or otherwise, the Company will be
entitled to an injunction to be issued by any court of competent jurisdiction restraining O. Berges
from committing or continuing any such violation of this Agreement. The term “Confidential
Information” means: (i) proprietary information of the Company; (2) information marked or
designated by the Company as confidential; (3) information, whether or not in written form and
whether or not designated as confidential, which is known to O. Berges as treated by the
Company as confidential; and (4) information provided to the Company by third parties which the
Company is obligated to keep confidential, specifically including customer lists and information.
Confidential

8

 

information does not include any information now or hereafter voluntarily disseminated
by the Company to the public, or which otherwise becomes part of the public domain through lawful
means.

     13. No Assignments. This Agreement is personal to each of the parties hereto. Neither party
may assign or delegate any of his or its rights or obligations hereunder without first obtaining
the written consent of the other party. However, in the event of the death of O. Berges all his
rights to receive payments hereunder shall become rights of his estate.

     14. Benefits. Any benefits due or provided hereunder to O. Berges shall be in addition to,
and not in substitution of, any benefit to which O. Berges is otherwise entitled to without regard
to the Agreement.

     15. Mitigation. O. Berges shall not be obligated to seek other employment in mitigation of the
amounts payable or arrangements made under any provision of this Agreement, and the obtaining of
any such other employment shall in no event effect any reduction of the Company’s obligation to
make the payments and arrangements required to be made under this Agreement.

     16. Notices. All notices required by this Agreement to be given by one party to the other
shall be in writing and shall be deemed to have been delivered either:

          (a) When personally delivered to the Office of the Secretary of the Company at his regular
corporate office, or O. Berges in person; or

          (b) Five days after depositing such notice in the United States mails, certified mail with
return receipt requested and postage prepaid at:

	 	i.	 	the Company:

C/O Office of the Secretary of the Company

First BanCorp Puerto Rico

PO Box 9146

Santurce, PR 00908-0146
	 
	 	ii.	 	Orlando Berges-González

PO BOX 360026

San Juan PR, 00936-0026

9

 

or to such other address as either party may designate to the other by notice in writing in
accordance with the terms hereof.

     17. Amendments or Additions; Action by Board of Directors. No amendments or additions to this
Agreement shall be binding unless in writing and signed by both parties. The prior approval by a
two-thirds affirmative vote of the full Board of Directors of the Company shall be required in
order for the Company to authorize any amendments or additions to this Agreement, to give any
consent or waivers of provisions of this Agreement, or to take any other action under this
Agreement including any termination of the employment of O. Berges with or without cause under
Section 10 hereof.

     18. Sections Headings. The Section headings used in this agreement are included solely for
convenience and shall not affect, or be used in connection with, the interpretation of this
Agreement.

     19. Severability. The provisions of this Agreement shall be deemed severable and the
invalidity or unenforceability of any provision shall not affect the validity or enforceability of
the other provisions hereto.

     20. Governing Law. This Agreement shall be governed by the laws of the Commonwealth of Puerto
Rico. Venue for the litigation of any and all matters arising under or in connection with this
Agreement shall be in the Court of First Instance, San Juan Superior Part for the Commonwealth of
Puerto Rico, in the case of state court jurisdiction, or in the U.S. District Court for the
District of Puerto Rico, in the case of federal court jurisdiction.

     21. Arbitration. Any controversy as to the interpretation of this Agreement must be submitted
before three arbitrators to be appointed by the American Arbitration Association (“AAA”). The
rules and regulations of the AAA shall govern the procedures of said arbitration. The award of a
majority of arbitrators shall be binding and final on the parties.

     22. Reimbursement of Legal Expenses. The Company agrees to reimburse O. Berges for all
reasonable legal fees incurred by him in connection with the negotiation, drafting and execution of
this Agreement.

10

 

     23. Miscellaneous.

          (a) The Company has entered into agreements with the U.S. Department of the Treasury (the
“Treasury”) under which the Company issued preferred shares (“Preferred Shares”) and other
securities to the Treasury as part of the Troubled Assets Relief Program Capital Purchase Program
(“CPP”) established under the Emergency Economic Stabilization Act of 2008 (“EESA”). Pursuant to
the Company’s participation in the CPP, the Company is also subject to certain provision of the
America Reinvestment and Recovery Act of 2009 (“ARRA”).

          (b) EESA and ARRA impose certain restrictions on employment agreements, severance,
bonus and incentive compensation, stock awards, and other compensation and benefit plans and
arrangements (the “Plans”) maintained by the Company, the Bank and other subsidiaries of the
Company and requires that such restrictions remain in place for so long as the Treasury holds any
debt or equity securities issued by the Company. The parties hereby agree that all Plans providing
benefits to O. Berges shall be construed and interpreted at all times that the Treasury maintains
any debt or equity investment in the Company in a manner consistent with EESA and ARRA, and all
such Plans shall be deemed to have been amended as determined by the Company so as to comply with
the restrictions imposed by EESA and ARRA. Notwithstanding any other terms of this Agreement or any
other Plan providing benefits to O. Berges, to the extent that any provision of this Agreement or
any other Plan is determined by the Company, to be subject to and not in compliance with EESA and
ARRA, including the timing, amount or entitlement of O. Berges to any payment of severance, bonus
or any other amounts, such provisions shall be interpreted and deemed to have been amended to
comply with the terms of EESA, ARRA and the rules and regulations thereunder. The parties hereto
further agree that (i) O. Berges shall at no time be entitled to receive any compensation based
upon incentives that encourage O. Berges to take unnecessary and excessive risks on behalf of Bank
or the Company; (ii) the Bank shall recover from O. Berges any bonus or incentive compensation paid
to O. Berges based on statements of earnings, gains, or other criteria that are later proven to be
materially inaccurate; (iii) the limitations imposed herein under paragraph (b) shall apply during
the period that the Treasury holds an equity or debt position in the Company pursuant to the
provision of Section 101(a) of the Emergency Economic Stabilization Act of 2008.

          (c) Any severance from employment or golden parachute payment not paid to O. Berges as a
result of the provisions of paragraph (b) above shall be paid to O. Berges within a period no
longer than ten (10) business days following the date upon which the Treasury no longer holds an
equity or
debt position in the Company or any applicable legislation has been subsequently amended to
otherwise

11

 

permit these payments (the “Deferred Payment Date”) irrespective of O. Berges being an
employee of the Company on the Deferred Payment Date.

	 	 	 	 	 
	 	FIRST BANCORP PUERTO RICO

 	 
	 	By:  	/s/ Luis M. Beauchamp
 	 
	 	 	Luis M. Beauchamp, 	 
	 	 	President & Chief Executive Officer 	 
	 

	 	 	 	 	 
	ATTEST :

	 	/s/ Lawrence Odell
	 	 
	 

	 	 	 	 
	 

	 	Lawrence Odell	 	 

	 	 	 	 	 
	 	EXECUTIVE

 	 
	 	By:  	/s/ Orlando Berges- González
 	 
	 	 	Orlando Berges-González 	 

12exv10w1

Exhibit 10.1

STOCK PURCHASE AGREEMENT

     This STOCK PURCHASE AGREEMENT (this “Agreement”) is dated as of August ___, 2009, by
and among Starwood Property Trust, Inc., a Maryland corporation (the “Issuer”) and SPT
Investment, LLC, a Delaware limited liability company (the “Purchaser”).

W I T N E S S E T H:

     WHEREAS, the Issuer is entering into an underwriting agreement on the date hereof (the
“Underwriting Agreement”), a copy of which is attached hereto as Annex I, with the
underwriters named therein (the “Underwriters”) pursuant to which the Issuer will, subject
to the satisfaction of the terms and conditions set forth in the Underwriting Agreement, issue and
sell to the Underwriters of 33,750,000 shares (the “IPO Shares”) of common stock, par value
$0.01 per share, of the Issuer (the “Common Stock”) in connection with an offering to the
public (the “IPO”) of the IPO Shares for $[20.00] per share (the “IPO Price”); and

     WHEREAS, subject to the consummation of the Issuer’s agreement to issue and sell the IPO
Shares to the Underwriters upon the satisfaction of the terms and conditions set forth in the
Underwriting Agreement, the Purchaser desires to purchase 1,000,000 shares of Common Stock at the
IPO Price and the Issuer desires to issue and sell such shares to the Purchaser.

     NOW THEREFORE, in consideration of the premises and of the mutual agreements, covenants and
provisions herein contained and for good and valuable consideration, the receipt of which is hereby
acknowledged, the parties hereto agree as follows:

ARTICLE I

PURCHASE AND SALE

     1.1 Purchase and Sale of Subject Shares. Subject to (a) the terms and conditions set forth in this Agreement and (b) the consummation of
the Issuer’s agreement to issue and sell the IPO Shares to the Underwriters upon the satisfaction
of the terms and conditions set forth in the Underwriting Agreement (the “IPO Closing”),
the Issuer agrees to issue the Purchaser 1,000,000 shares of Common Stock (the “Subject
Shares”), and the Purchaser agrees to purchase the Subject Shares for $[20,000,000.00] (the
“Subject Shares Purchase Price”).

     1.2 Closing. Subject to the terms and conditions of this Agreement and the occurrence of the IPO Closing, the
closing of the purchase and sale of the Subject Shares (the “Closing”) shall take place on
the date of the IPO Closing at the offices of counsel to the Issuer,

1

 

Skadden, Arps, Slate, Meagher & Flom LLP located at Four Times Square, New York, New York 10036, or
at such other place as the applicable parties to such closing shall agree in writing.

     1.3 Delivery at Closing. At the Closing, (a) Purchase shall deliver to Issuer the Subject Shares Purchase Price by wire
transfer of immediately available funds to an account designated by the Issuer in writing by 10:30
a.m., and (b) the Issuer shall deliver certificates representing the Subject Shares to the
Purchaser.

ARTICLE II

REPRESENTATIONS AND WARRANTIES OF THE ISSUER

     The Issuer represents and warrants to the Purchaser as follows:

     2.1 Formation and Good Standing. The Issuer is a corporation duly incorporated and is validly existing under and by virtue of the
laws of the State of Maryland and is in good standing with the State Department of Assessments and
Taxation of Maryland.

     2.2 Authorization and Validity of Agreements. The Issuer has all requisite power and authority to execute and deliver this Agreement, to
perform its obligations hereunder and to consummate the transactions contemplated hereby. The
execution and delivery of this Agreement, the performance by the Issuer of its obligations
hereunder and the consummation of the transactions contemplated hereby have been duly authorized by
all requisite corporate action of the Issuer. This Agreement constitutes a legal, valid and
binding obligation of the Issuer, enforceable against the Issuer in accordance with its respective
terms.

     2.3 No Conflicts; Consents. The execution, delivery and performance of this Agreement by the Issuer and the
consummation by the Issuer of the transactions contemplated hereby do not and will not conflict
with, contravene, result in a violation or breach of or default under (with or without the giving
of notice or the lapse of time, or both), permit any party to terminate, amend or accelerate the
provisions of, or result in the imposition of any claim, lien, pledge, deed of trust, option,
charge, security interest, hypothecation, encumbrance, right of first offer, voting trust, proxy,
right of third parties or other restriction or limitation of any nature whatsoever (each, a
“Lien”), or any obligation to create any Lien, upon any of the property or assets of the
Issuer under (a) any contract, agreement, indenture, letter of credit, mortgage, security
agreement, pledge agreement, deed of trust, bond, note, guarantee, surety obligation, warranty,
license, franchise, permit, power of attorney, lease, instrument or other agreement (each, a
“Contract”) to which the Issuer is a party or by which any of its property or assets may be
bound or (b) any provision of the organizational document of the Issuer.

     2.4 Exemption from Registration; No Integration; No General Solicitation.

     (a) Subject to the accuracy of the representations and warranties of the Purchaser, it
is not necessary in connection with the offer, sale and delivery of the

2

 

Subject Shares to the Purchaser in the manner contemplated by this Agreement to
register the Subject Shares under the Securities Act of 1933, as amended (the
“Securities Act”).

     (b) Neither the Company nor any affiliate (as defined in Rule 501(b) of Regulation D
under the Securities Act) of the Company has directly, or through any agent, (i) sold,
offered for sale, solicited offers to buy or otherwise negotiated in respect of, any
security (as defined in the Securities Act) which is or will be integrated with the sale of
the Subject Shares in a manner that would require the registration under the Securities Act
of the Subject Shares or (ii) offered, solicited offers to buy or sold the Subject Shares by
any form of general solicitation or general advertising (as those terms are used in
Regulation D under the Securities Act) or in any manner involving a public offering within
the meaning of Section 4(2) of the Securities Act.

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF THE PURCHASER

     The Purchaser represents and warrants to the Issuer as follows:

     3.1 Formation and Good Standing. The Purchaser is duly organized, validly existing and in good standing under the jurisdiction
and laws of the State of Delaware.

     3.2 Authorization and Validity of Agreements. The Purchaser has all requisite power and authority to execute and deliver this Agreement, to
perform its obligations hereunder and to consummate the transactions contemplated hereby. The
execution and delivery of this Agreement, the performance by the Purchaser of its obligations
hereunder and the consummation of the transactions contemplated hereby have been duly authorized by
all requisite corporate action of the Purchaser. This Agreement constitutes a legal, valid and
binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its
respective terms.

     3.3 No Conflicts; Consents. The execution, delivery and performance of this Agreement by the Purchaser and the consummation
by the Purchaser of the transactions contemplated hereby do not and will not conflict with,
contravene, result in a violation or breach of or default under (with or without the giving of
notice or the lapse of time, or both), permit any party to terminate, amend or accelerate the
provisions of, or result in the imposition of any Lien (or any obligation to create any Lien) upon
any of the property or assets of the Purchaser under (a) any Contract to which the Purchaser is a
party or by which any of its property or assets may be bound or (b) any provision of the
organizational document of the Purchaser.

     3.4 Investment Purpose; Accredited Purchaser; Access to Information. 

     (a) The Purchaser hereby acknowledges that the Subject Shares have not been registered
under the Securities Act and may not be offered or sold except pursuant to

3

 

registration or to an exemption from the registration requirements of the Securities
Act and that the certificates evidencing the Subject Shares will bear a legend to that
effect. The Subject Shares to be acquired by the Purchaser pursuant to this Agreement are
being acquired for its own account and with no intention of distributing or reselling the
Subject Shares or any part thereof in any transaction that would be in violation of the
securities laws of the United States, any state of the United States or any foreign
jurisdiction. The Purchaser further agrees that it has not entered and prior to the Closing
will not enter into any Contract with respect to the distribution, sale, transfer or
delivery of the Subject Shares.

     (b) The Purchaser is an “accredited investor” as such term is defined in Section 2(15)
of the Securities Act and within the meaning of Rule 501 of Regulation D under the
Securities Act, as presently in effect.

     (c) The Purchaser is sufficiently experienced in financial and business matters to be
capable of evaluating the merits and risks involved in purchasing the Subject Shares and to
make an informed decision relating thereto. The Purchaser has been furnished with the
materials relating to the business, operations, financial condition, assets, liabilities of
the Issuer and other matters relevant to Purchaser’s investment in the Subject Shares, which
have been requested by the Purchaser. The Purchaser has had adequate opportunity to ask
questions of, and receive answers from, the officers, employees, agents, accountants, and
representatives of the Issuer concerning the business, operations, financial condition,
assets, liabilities of the Issuer and all other matters relevant to its investment in the
Subject Shares. 

ARTICLE IV

COVENANTS

     4.1 Registration Rights. Subject to the occurrence of the IPO Closing and the
Closing, each of the parties hereto covenants to enter into that certain Registration Rights
Agreement, a copy of which is attached hereto as Annex II, with respect to the Subject
Shares.

     4.2 Further Assurances. Each party hereto shall execute and deliver such instruments and take such other actions prior
to or after the Closing as any other party may reasonably request in order to carry out the intent
of this Agreement, including without limitation obtaining any required consents or approvals from
third parties.

4

 

ARTICLE V

CONDITIONS PRECEDENT TO THE OBLIGATIONS

     5.1 Mutual Conditions. The obligations of the Issuer and the Purchaser to consummate the purchase and sale of the
Subject Shares contemplated hereby are subject to the following conditions: (a) the occurrence of
the IPO Closing, (b) the absence of any order, decree, judgment or injunction of a court of
competent jurisdiction or other governmental or regulatory authority precluding the consummation of
the purchase and sale of the Subject Shares contemplated hereby, and (c) there shall not have been
any action taken or any statute, rule or regulation enacted, promulgated or deemed applicable to,
the purchase and sale of the Subject Shares contemplated hereby by any court, governmental agency
or regulatory or administrative authority that makes consummation of such transactions illegal.

     5.2 Conditions to the Obligations of the Issuer. The obligations of the Issuer under this Agreement to consummate the purchase and sale of the
Subject Shares contemplated hereby are subject to the fulfillment (or waiver by the Issuer) of the
conditions that (a) the representations and warranties of the Purchaser contained in or made
pursuant to this Agreement shall be deemed to have been made again at and as of the Closing and
shall then be true and accurate, and (b) the Purchaser shall have performed and complied in all
material respects with all agreements required by this Agreement to be performed or complied with
by it prior to or at the Closing.

     5.3 Conditions to the Obligations of the Purchaser. The obligations of the Purchaser under this Agreement to consummate the purchase and sale
of the Subject Shares contemplated hereby are subject to the fulfillment (or waiver in writing by
the Purchaser) of the condition that (a) all representations and warranties of the Issuer shall be
deemed to have been made again at and as of the Closing and shall then be true and accurate, and
(b) the Issuer shall have performed and complied in all material respects with all agreements
required by this Agreement to be performed or complied with by it prior to or at the Closing.

ARTICLE VI

MISCELLANEOUS

     6.1 Termination. This Agreement shall be terminated prior to the consummation of the transactions contemplated
hereby if, prior to the consummation of the IPO Closing, the Underwriting Agreement is terminated
pursuant to its terms. In the event of any termination of this Agreement, this Agreement shall
become void and have no effect, without any liability to any person in respect hereof on the part
of any party hereto, except for any liability resulting from such party’s breach of this Agreement
prior to such termination.

     6.2 Survival. Each of the representations and warranties contained in this Agreement
shall survive indefinitely. Each of the covenants contained in this Agreement shall survive the
Closing until performed in accordance with their terms.

5

 

     6.3 Amendments; Waivers. The provisions of this Agreement may not be amended or modified except by a writing signed by
each of the parties. No waiver of any term or condition hereof or obligation hereunder shall be
valid unless made in writing and signed by the party to which performance is due.

     6.4 Severability of Provisions. Each provision of this Agreement shall be considered severable and if for any reason any
provision or provisions herein are determined to be invalid, unenforceable or illegal under any
existing or future law, such invalidity, unenforceability or illegality shall not impair the
operation of or affect those portions of this Agreement which are valid, enforceable and legal.

     6.5 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of
New York, without giving effect to any conflict of laws principles thereof that would cause the
application of the laws of another jurisdiction.

     6.6 Waiver of Trial By Jury. TO THE EXTENT PERMITTED BY APPLICABLE LAW, EACH PARTY
HERETO IRREVOCABLY WAIVES ALL RIGHT OF TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM,
ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT OR ANY MATTER ARISING HEREUNDER.

     6.7 Remedies and Waivers. No delay or omission on the part of any Party to this
Agreement in exercising any right, power or remedy provided by law or under this agreement shall
(i) impair such right, power or remedy; or (ii) operate as a waiver thereof. The single or partial
exercise of any right, power or remedy provided by law or under this Agreement shall not preclude
any other or further exercise of any other right, power or remedy. The rights, powers and remedies
provided in this Agreement are cumulative and not exclusive of any rights, powers and remedies
provided by law.

     6.8 Notices. All notices, requests, demands, waivers and other communications to be given by either party
hereunder shall be in writing and shall be (i) mailed by first-class, registered or certified mail,
postage prepaid, (ii) sent by hand delivery or reputable overnight delivery service or (iii)
transmitted by fax (provided that a copy is also sent by reputable overnight delivery service)
addressed to the Secretary of the Issuer or the Secretary of the Purchaser, as applicable, in each
case at 591 West Putnam Avenue, Greenwich, Connecticut 06830, or such other address as may be
specified in writing to the other party hereto. All such notices, requests, demands, waivers and
other communications shall be deemed to have been given and received (i) if by personal delivery or
fax, on the day of such delivery, (ii) if by first-class, registered or certified mail, on the
fifth business day after the mailing thereof, or (iii) if by reputable overnight delivery service,
on the day delivered.

     6.9 Execution in Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an
original, but all such counterparts shall together constitute but one and the same instrument.

6

 

     6.10 Headings. The Article and Section headings contained herein are for the
convenience of the parties only and shall not affect the construction or interpretation of this
Agreement.

     6.11 Entire Agreement. This Agreement, including the Exhibits hereto, contains the entire understanding of the parties
with respect to the subject matter hereof, and supersedes all prior agreements and understandings,
both written and oral, among the parties with respect to the subject matter hereof.

7

 

     IN WITNESS WHEREOF, the parties have executed and delivered this Agreement as of the date
first written above.

	 	 	 	 	 
	 	ISSUER:

STARWOOD PROPERTY TRUST, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	PURCHASER:

SPT INVESTMENT, LLC

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

8

 

	 	 	 	 	 

Annex I

 

 

Annex II

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00162-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00162-of-00352.parquet"}]]