Document:

Exhibit

FIRST AMENDMENT TO
SIXTH AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP OF PREFERRED APARTMENT COMMUNITIES OPERATING PARTNERSHIP, L.P.

This FIRST AMENDMENT TO SIXTH AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP (this "Amendment") OF PREFERRED APARTMENT COMMUNITIES OPERATING PARTNERSHIP, L.P. (the "Partnership") dated as of January 25, 2017, is entered into by Preferred Apartment Communities, Inc., a Maryland corporation, as General Partner. 
WHEREAS, the General Partner, Preferred Apartment Advisors, LLC, a Delaware limited liability company, as the Initial Limited Partner, and the limited partners party thereto   entered into that certain Sixth Amended and Restated Agreement of Limited Partnership of the Partnership dated as of June 3, 2016 (the "Agreement");
WHEREAS, the General Partner has created a new class of redeemable preferred stock, the Series M Preferred Stock (as defined below); 
WHEREAS, the General Partner desires to amend the Agreement to add a new class of Partnership Unit to correspond with the Series M Preferred Stock; and
WHEREAS, pursuant to Section 14.1 of the Agreement, the General Partner desires to amend the Agreement;
NOW, THEREFORE, in consideration of the premises made hereunder, and for good and valuable consideration, the receipt and sufficiency of which hereby are acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:
1.Definitions.  Unless otherwise defined herein, each capitalized term used in this Amendment and not defined herein shall be defined in accordance with the Agreement.

2.The Agreement is amended by adding or restating in their entireties the following definitions:
"Average Capital Account Balance" means the quotient of (i) the aggregate Capital Account balance attributable to the Class A Units outstanding at the time of determination, divided by (ii) the number of such Class A Units outstanding at the time of determination. For purposes of the foregoing calculation, outstanding Class A Units shall include any other Partnership Units convertible into Class A Units, other than Class B Units, Series A Redeemable Preferred Units or Series M Redeemable Preferred Units.
"Partnership Unit" means a fractional, undivided share of the Partnership Interests of all Partners issued hereunder. Partnership Units consist of Class A Units, Class B Units, GP Units, Series A Redeemable Preferred Units, Series M Redeemable Preferred Units and any classes or series of Partnership Units established after the date hereof. The number of Partnership Units outstanding and the Percentage Interests in the Partnership represented by such Partnership Units are set forth in Exhibit A, as such Exhibit may be amended from time to time. The ownership of Partnership Units shall be evidenced by such form of certificate for Partnership Units as the General Partner adopts from time to time unless the General Partner determines that the Partnership Units shall be uncertificated securities.

"Percentage Interest" means the percentage determined by dividing the number of Partnership Units of a Partner by the sum of the number of Partnership Units of all Partners (other than the Series A Redeemable Preferred Units and the Series M Redeemable Preferred Units) as specified in Exhibit A, as such Exhibit may be amended from time to time.
"Preferred Return" means the Series A Preferred Return or the Series M Preferred Return.

"Preferred Stock" means the Series A Preferred Stock and the Series M Preferred Stock.

"Redemption Date" means the date of redemption or other purchase of Series A Preferred Stock or Series M Preferred Stock by the General Partner.
"Series M Preferred Return" means, for each Series M Redeemable Preferred Unit, a cumulative, non-compounded rate of return equal to five and three fourths percent (5.75%) per annum with respect to the Stated Value (the "Series M Dividend Rate").  Beginning one year from the date of original issuance of such Series M Redeemable Preferred Unit and on each one year anniversary thereafter for such Series M Redeemable Preferred Unit, the Series M Dividend Rate shall increase by 0.25% per annum up to a maximum cumulative non-compounded rate of return equal to seven and one half percent (7.5%) per annum with respect to the Stated Value. For any partial period, such return shall be calculated ratably on the basis of a 360-day year consisting of twelve 30-day months.
"Series M Preferred Stock" means the Series M Redeemable Preferred Stock of the General Partner, $.01 par value per share.
"Series M Redeemable Preferred Unit" means a Partnership Unit which is designated as a Series M Redeemable Preferred Unit of the Partnership.
"Stated Value" means, as of any date, (i) $1,000 per Series A Redeemable Preferred Unit (subject to appropriate adjustment in the event of any stock split, combination or other similar recapitalization with respect to the Series A Redeemable Preferred Units), and (ii) $1,000 per Series M Redeemable Preferred Unit (subject to appropriate adjustment in the event of any stock split, combination or other similar recapitalization with respect to the Series M Redeemable Preferred Units).

3.Section 4.1 - Capital Contributions.  The Agreement is further amended to restate in its entirety Section 4.1(b) thereof as follows:

(b)    As of the Effective Date, the Partnership shall have five classes of Partnership Units, entitled "Class A Units," "Class B Units," "GP Units," "Series A Redeemable Preferred Units" and "Series M Redeemable Preferred Units", respectively. Each Partner shall own Partnership Units in the amounts set forth for such Partner in Exhibit A and shall have a Percentage Interest in the Partnership as set forth in Exhibit A, which Percentage Interest shall be adjusted in Exhibit A from time to time by the General Partner to the extent necessary to reflect accurately exchanges, the issuance of additional Partnership Units, transfers of Partnership Units or similar events having an effect on any Partner’s Percentage Interest.
		
	4.
	Section 4.2 - Additional Funds; Restrictions on the General Partner.  The Agreement is further amended to restate in its entirety Section 4.2(b)(ii) thereof as follows:

(ii)    in the case of equity Securities senior or junior to the Common Stock as to dividends and distributions on liquidation, contribute to the Partnership the proceeds of or consideration (including any property or other non-cash assets) received for such Securities and the proceeds of, or consideration received from, any subsequent exercise, exchange or conversion thereof (if applicable), and receive from the Partnership, interests in the Partnership in consideration therefor with the substantially same terms and conditions, including dividend, dividend priority and liquidation preference, as are applicable to such Securities; provided, however, that, notwithstanding the foregoing or anything else herein to the contrary, (A) Series A Redeemable Preferred Units may have different terms and conditions from those of the Series A Preferred Stock, and (B) Series M Redeemable Preferred Units may have different terms and conditions from those of the Series M Preferred Stock; and
		
	5.
	Section 5.1(a) - Cash Available for Distribution.  The Agreement is further amended to restate in its entirety Section 5.1(a) thereof as follows:

(a)    Cash Available for Distribution. Subject to the other provisions of this Article 5 and to the provisions of Sections 13.2, 16.3 and 18.3, the General Partner shall cause the Partnership to distribute, at such times as the General Partner shall determine (each a “Distribution Date”), an amount of Cash Available for Distribution, determined by the General Partner in its sole discretion to the Limited Partners and the General Partner, as of the applicable Partnership Record Date, as follows:

(i)    first, 100% to the Partners holding Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units pro rata and pari passu in proportion to their relative accrued but unpaid Preferred Returns until such Partners have received in the aggregate, pursuant to this Section 5.1(a)(i) and Section 5.1(b)(i), an amount such that (A) the Series A Preferred Return has been met with respect to each such Series A Redeemable Preferred Unit, and (B) the Series M Preferred Return has been met with respect to each such Series M Redeemable Preferred Unit; and

(ii)    thereafter, 100% to the Partners holding GP Units and Class A Units pro rata and pari passu in proportion to each such Partner’s respective Percentage Interest.

		
	6.
	Section 5.1(b) - Net Sale Proceeds.  The Agreement is further amended to restate in its entirety Section 5.1(b) thereof as follows:

(b)    Net Sale Proceeds. Subject to the other provisions of this Article 5 and to the provisions of Sections 13.2, 16.3 and 18.3, the General Partner shall cause the Partnership to distribute, on each Distribution Date, Net Sale Proceeds, determined by the General Partner in its sole discretion to the Limited Partners and the General Partner, as of the applicable Partnership Record Date, as follows:

(i)    first, 100% to the Partners holding Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units pro rata and pari passu  in proportion to their relative accrued but unpaid Preferred Returns until such Partners have received in the aggregate, pursuant to this Section 5.1(b)(i) and Section 5.1(a)(i), an amount such that (A) the Series A Preferred Return has been met with respect to each such Series A Redeemable Preferred Unit, and (B) the Series M Preferred Return has been met with respect to each such Series M Redeemable Preferred Unit; provided, however, that if on a Distribution Date there is both Cash Available 

for Distribution and Net Sales Proceeds to be distributed, the Partners holding Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units first shall receive distributions of Cash Available for Distribution pursuant to Section 5.1(a)(i) in order to satisfy the Series A Preferred Return and/or Series M Preferred Return, and then distributions of Net Sales Proceeds pursuant to this Section 5.1(b)(i);

(ii)    second, 100% to the Partners holding GP Units and Class A Units pro rata and pari passu in proportion to their respective Percentage Interests until such Partners have received pursuant to this Section 5.1(b)(ii) the amount of the Allocable Capital Contribution with respect to the Real Estate Asset giving rise to such distribution;

(iii)    third, 100% to the Partners holding GP Units and Class A Units pro rata and pari passu in proportion to their respective Percentage Interests until such Partners have received in the aggregate, pursuant to this Section 5.1(b)(iii) and Section 5.1(a)(ii), an amount such that the Priority Return has been met with respect to the Allocable Capital Contribution for the Real Estate Asset giving rise to such distribution; provided, however, that distributions pursuant to Section 5.1(a)(ii) shall be taken into account for purposes of this Section 5.1(b)(iii) to the extent they relate directly to the operation of the Real Estate Asset giving rise to such distribution; and

(iv)    fourth, to the Partners holding GP Units, and Class A Units pro rata and pari passu in proportion to their respective Percentage Interests.

The General Partner shall be entitled to make adjustments, in its sole and reasonable discretion, to the amounts distributable pursuant to this Section 5.1(b), to the extent a Capital Transaction involves the sale of a portion of a Real Estate Asset or multiple Real Estate Assets, in order to carry out the intent of the parties to this Agreement with respect to this Section 5.1(b).
		
	7.
	Section 5.1(f).  The Agreement is further amended to restate in its entirety Section 5.1(f) thereof as follows:

Notwithstanding anything to the contrary in this Agreement, in the event of a redemption of any Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units for cash in accordance with the provisions of Section 16.3 and Section 18.3, prior to any further distributions pursuant to Sections 5.1(a) and 5.1(b), the General Partner may, in its sole discretion, cause the Partnership to distribute an amount of Cash Available for Distribution and/or Net Sale Proceeds, to the extent available, in order to redeem such Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units. 
		
	8.
	Article 18 - Series M Redeemable Preferred Units.  The Agreement is further amended to create and add Article 18 as follows:  

ARTICLE 18
   SERIES M REDEEMABLE PREFERRED UNITS

18.1     Designation and Number.
A series of Partnership Units in the Partnership, designated as the "Series M Redeemable Preferred Units," is hereby established. The number of Series M Redeemable Preferred Units at all times shall be equal to the number of outstanding shares of Series M Preferred Stock (and, for the avoidance of doubt, excluding any shares of Series M Preferred Stock held in treasury). Except as set forth in Articles 5 and 6 and this Article 18, and except where the context elsewhere in this Agreement otherwise requires, Series M Redeemable Preferred Units shall have the same rights, privileges and preferences as the Class A Units.
18.2    Voting.

Holders of Series M Redeemable Preferred Units shall not have any voting rights, except those matters required by law, in which case holders of Series M Redeemable Preferred Units only shall vote as a single class.

18.3    Redemptions.

(a)    If the General Partner redeems or otherwise purchases any shares of Series M Preferred Stock in the open market, by tender or by private agreement, the Partnership shall redeem a corresponding number of Series M Redeemable Preferred Units on the Redemption Date.

(b)    If the General Partner elects to redeem any shares of Series M Preferred Stock on or after the tenth anniversary of the date of original issuance of such shares of Series M Preferred Stock pursuant to its right under the Articles of Incorporation, the Partnership shall redeem a corresponding number of Series M Redeemable Preferred Units pursuant to Section 18.3(a) at a redemption price equal to 100% of the Stated Value per Series M Redeemable Preferred Unit, plus the amount of Series M Preferred Return accumulated and accrued to and including the Redemption Date in respect of the Series M Redeemable Preferred Units being so redeemed that has not been distributed previously pursuant to Section 5.1, if any.

(c)    Prior to the first anniversary of the date of original issuance of any shares of Series M Preferred Stock, if a holder of such shares of Series M Preferred Stock elects to redeem all or a portion of such shares of Series M Preferred Stock, the Partnership shall redeem a corresponding number of Series M Redeemable Preferred Units pursuant to Section 18.3(a) at a redemption price equal to 98% of the Stated Value per Series M Redeemable Preferred Unit, plus the amount of Series M Preferred Return accumulated and accrued to and including the Redemption Date in respect of the Series M Redeemable Preferred Units being so redeemed that has not been distributed previously pursuant to Section 5.1, if any.

(d)       On or after the first anniversary of the date of original issuance of any shares of Series M Preferred Stock, if a holder of such shares of Series M Preferred Stock elects to redeem all or a portion of such shares of Series M Preferred Stock, the Partnership shall redeem a corresponding number of Series M Redeemable Preferred Units pursuant to Section 18.3(a) at a redemption price equal to 99% of the Stated Value per Series M Redeemable Preferred Unit, plus the amount of Series M Preferred Return accumulated and accrued to and 

including the Redemption Date in respect of the Series M Redeemable Preferred Units being so redeemed that has not been distributed previously pursuant to Section 5.1, if any.

(e)    On or after the second anniversary of the date of original issuance of any shares of Series M Preferred Stock, if a holder of such shares of Series M Preferred Stock elects to redeem all or a portion of such shares of Series M Preferred Stock, the Partnership shall redeem a corresponding number of Series M Redeemable Preferred Units pursuant to Section 18.3(a) at a redemption price equal to 100% of the Stated Value per Series M Redeemable Preferred Unit, plus the amount of Series M Preferred Return accumulated and accrued to and including the Redemption Date in respect of the Series M Redeemable Preferred Units being so redeemed that has not been distributed previously pursuant to Section 5.1, if any.

(f)     The General Partner has the right, in its sole discretion, to receive proceeds from the redemption of Series M Redeemable Preferred Units in cash or in equal value of Class A Units, based on the VWAP of the corresponding Common Stock for the 20 Trading Days prior to the Redemption Date. 

(g)    The obligation to redeem any of the Series M Redeemable Preferred Units is limited to the extent that the Partnership does not have sufficient funds available to fund any such redemption or the Partnership is restricted by applicable law from making such redemption.

(h)     Any redemption of Series M Redeemable Preferred Units shall be deemed to occur on the Redemption Date immediately prior to the related redemption or other purchase of shares of Series M Preferred Stock.

		
	9.
	Subparagraph 1(a) of Exhibit B - Allocations of Net Income and Net Loss.  The Agreement is further amended to restate in its entirety clause (i) of subparagraph 1(a) of Exhibit B thereof as follows:

(i)    first, if the Partnership has Net Income for any taxable year or portion thereof, such Net Income shall be allocated to the Partners holding Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units pro rata and pari passu in proportion to their accrued Preferred Returns, with respect to such taxable year or portion thereof, to the extent of and until such Partners have received allocations of Net Income equal to the aggregate amount of distributions made to such Partners pursuant to Section 5.1(a)(i); and
		
	10.
	Subparagraph 1(b) of Exhibit B - Allocations of Net Property Gain and Net Property Loss (including any revaluations to adjust the Capital Accounts of the Partners).  The Agreement is further amended to restate in its entirety clause (i) of subparagraph 1(b) of Exhibit B thereof as follows:

(i)    first, if the Partnership has Net Property Gain for any taxable year or portion thereof, such Net Property Gain shall be allocated to the Partners holding Series A Redeemable Preferred Units and/or Series M Redeemable Preferred Units pro rata and pari passu in proportion to their accrued Preferred Returns, with respect to such taxable year or portion thereof, to the extent of and until such Partners have received allocations of Net Property Gain equal to the aggregate amount of distributions made to such Partners pursuant to Section 5.1(b)(i);

		
	11.
	Except as otherwise specifically set forth herein, all other terms and conditions of the Agreement shall remain in full force and effect.

[Signature page follows.]

IN WITNESS WHEREOF, the undersigned, intending to be legally bound hereby, have duly executed this Amendment as of the date first set forth above. 
General Partner:
PREFERRED APARTMENT COMMUNITIES, INC.
		
	By:
	/s/ John A. Williams     
John A. Williams 
Chief Executive Officer

[Signature Page to First Amendment to Sixth Amended and Restated Agreement of Limited Partnership of Preferred Apartment Communities Operating Partnership, L.P.]EX-10.1

 Exhibit 10.1 

PERFORMANCE STOCK UNIT AGREEMENT 

PARK HOTELS & RESORTS INC. 

2017 OMNIBUS INCENTIVE PLAN 

This Performance Stock Unit Agreement (this “Agreement”), effective as of February 3, 2017 (the “Grant
Date”), is between Park Hotels & Resorts Inc., a Delaware corporation (the “Company”), and Thomas J. Baltimore, Jr. (the “Participant”). 

1. Grant of Units. Effective as of the Grant Date, the Company hereby grants to the Participant an Award of performance-based Restricted
Stock Units (“Performance Stock Units” or “PSUs”) in the amount of              PSUs (the “Target Award”), each of which represents the
right to receive one share of the Company’s Common Stock (the “Shares”) upon vesting of such PSU, subject to and in accordance with the terms, conditions and restrictions set forth in the Park Hotels & Resorts Inc. 2017
Omnibus Incentive Plan (as it may be amended, the “Plan”), this Agreement and the Executive Employment Agreement between the Participant and the Company, dated April 26, 2016 (the “Employment Agreement”). The
number of PSUs that the Participant may earn hereunder ranges from zero to 200% of the Target Award, and shall be determined based on the level of achievement of the performance condition set forth on Exhibit A attached hereto (the
“Performance Condition”) over the period commencing on January 4, 2017 and ending on January 3, 2020 (the “Performance Period”). The grant of PSUs hereunder is in full satisfaction of the remaining one-half of the initial long-term equity grant to be made to the Participant in the form of performance share units pursuant to the third and fourth sentences of Section 4(c) of the Employment Agreement. The grant
of the PSUs hereunder is an off-cycle grant under the Company’s Equity Award Granting Policy. Capitalized terms not otherwise defined herein shall have the same meanings as in the Plan. 

2. Vesting; Settlement. As promptly as practicable (and, in no event more than two and one-half (2-1/2) months) following the last day of the Performance Period, the Committee shall determine (i) whether and to what extent the Performance Condition has been achieved (the date of such determination, the
“Determination Date”) and (ii) the number of PSUs that shall be deemed earned, if any. The earned PSUs, if any, shall become vested as of the last day of the Performance Period, subject to the Participant’s continued
employment through such date. Following the Determination Date, the Company shall deliver to the Participant one Share for each vested PSU in accordance with Section 8. Any PSU which does not become vested as of the last day of the Performance
Period shall be forfeited without consideration or any further action by the Participant or the Company. 
 3. Termination of
Employment. In the event that the Participant’s employment with the Company Group terminates for any reason, any PSUs that are not vested as of the effective date of termination shall vest or not vest, as applicable, based on and in
accordance with Section 7 of the Employment Agreement. 
 4. Dividend Equivalents. The Participant shall be entitled to receive
dividend equivalents in respect of each PSU that vests, if any, pursuant to this Agreement, the Plan, or the Employment Agreement. If the Company declares a regular cash dividend on the Shares during the Performance Period, the Participant shall
receive dividend equivalents in an amount equal to the number of PSUs that vest, if any, pursuant to this Agreement, the Plan, or the Employment Agreement, multiplied by the amount of the cash dividend per Share declared during the Performance
Period, as if the Participant had held a number of Shares equal to the number of PSUs that vests as of each dividend record date during the Performance Period. For purposes of the foregoing sentence only, if the PSUs are subject to accelerated
vesting pursuant to the Plan or the Employment Agreement, the “Performance Period” shall be deemed to have ended as of the date of the event which serves as the basis for such accelerated vesting. Any such dividend equivalents relating to
the Participant’s vested PSUs shall be payable in cash at the same time as the Shares underlying the vested PSUs are issued to the Participant in accordance with Section 8, less applicable withholding taxes pursuant to Section 9. If
the PSUs are forfeited, the Participant shall have no right to receive any dividend equivalents. 

 5. Restrictions on Transfer. The Participant may not assign, alienate, pledge, attach,
sell or otherwise transfer or encumber the PSUs or the Participant’s right under the PSUs to receive Shares, except other than by will or by the laws of descent and distribution and any such purported assignment, alienation, pledge, attachment,
sale, transfer or encumbrance shall be void and unenforceable against the Company or any Affiliates; provided that the designation of a beneficiary (if permitted by the Committee) shall not constitute an assignment, alienation, pledge, attachment,
sale, transfer or encumbrance. 
 6. No Right to Continued Employment. Neither the Plan nor this Agreement nor the Participant’s
receipt of the PSUs hereunder shall impose any obligation on the Company or any Affiliates to continue the employment or engagement of the Participant. Further, the Company or any Affiliates (as applicable) may at any time terminate the employment
or engagement of the Participant, free from any liability or claim under the Plan or this Agreement, except as otherwise expressly provided herein (but in all cases subject to the terms and conditions of the Employment Agreement). 

7. No Rights as a Stockholder. The Participant’s interest in the PSUs shall not entitle the Participant to any rights as a
stockholder of the Company. The Participant shall not be deemed to be the holder of, or have any of the rights and privileges of a stockholder of the Company in respect of, the Shares underlying the PSUs unless and until such Shares have been issued
to the Participant in accordance with Section 8. 
 8. Issuance of Shares. Subject to Section 9, the Company shall, as soon
as practicable following the Determination Date (and in any event within two and one-half (2-1/2) months after the end of the tax year in which the Determination Date
occurs), issue the Shares underlying the vested PSUs to the Participant, free and clear of all restrictions. Notwithstanding anything in this Agreement to the contrary, the Company shall have no obligation to issue or transfer the Shares as
contemplated by this Agreement unless and until such issuance or transfer shall comply with all relevant provisions of law and the requirements of any stock exchange on which the Shares are listed for trading. 

9. Tax Withholding. The Participant agrees that in order to satisfy any income, employment and/or other applicable taxes that are
statutorily required to be withheld in respect of the PSUs (and any corresponding dividend equivalents), the Company shall withhold a number of Shares otherwise issuable to the Participant upon settlement of the PSUs equal in value to the minimum
amount necessary to satisfy the statutorily required withholding liability, if any (“Withholding Taxes”), except to the extent that the Participant shall have elected to pay such Withholding Taxes to the Company in cash (by check or
wire transfer). The number of Shares equal to the Withholding Taxes shall be determined using the closing price per Share on the New York Stock Exchange (or other principal exchange on which the Shares then trade) on the trading day immediately
prior to the date of issuance of the Shares to the Participant, and shall be rounded up to the nearest whole Share. 
 10. Award Subject
to Plan. By entering into this Agreement, the Participant agrees and acknowledges that the Participant has received and read a copy of the Plan. The PSUs granted hereunder are subject to the Plan. The terms and provisions of the Plan, as it may
be amended from time to time, are hereby incorporated herein by reference. 
 11. Severability. Should any provision of this Agreement
be held by a court of competent jurisdiction to be unenforceable or invalid for any reason, the remaining provisions of this Agreement shall not be affected by such holding and shall continue in full force in accordance with their terms. 

  
 2 

 12. Governing Law. This Agreement shall be governed by and construed in accordance with
the internal laws of the State of Delaware applicable to contracts made and performed wholly within the State of Delaware, without giving effect to the conflict of laws provisions thereof. 

13. Successors in Interest. Any successor to the Company shall have the benefits of the Company under, and be entitled to enforce, this
Agreement. Likewise, the Participant’s legal representative shall have the benefits of the Participant under, and be entitled to enforce, this Agreement. All obligations imposed upon the Participant and all rights granted to the Company under
this Agreement shall be final, binding and conclusive upon the Participant’s heirs, executors, administrators and successors. 
 14.
Section 409A of the Code. 
 (a) This Agreement is intended to comply with the provisions of Section 409A of the Code and the
regulations promulgated thereunder. Without limiting the foregoing, the Committee shall have the right to amend the terms and conditions of this Agreement in any respect as may be necessary or appropriate to comply with Section 409A of the Code or
any regulations promulgated thereunder, including without limitation by delaying the issuance of any Shares hereunder. 
 (b)
Notwithstanding any other provision of this Agreement to the contrary, if the Participant is a “specified employee” within the meaning of Section 409A of the Code, no payments in respect of any PSU that is “deferred compensation”
subject to Section 409A of the Code and which would otherwise be payable upon the Participant’s “separation from service” (as defined in Section 409A of the Code) shall be made to the Participant prior to the date that is six months
after the date of the Participant’s “separation from service” or, if earlier, the Participant’s date of death. Following any applicable six month delay, all such delayed payments will be paid in a single lump sum on the earliest
date permitted under Section 409A of the Code that is also a business day. The Participant is solely responsible and liable for the satisfaction of all taxes and penalties under Section 409A of the Code that may be imposed on or in respect of the
Participant in connection with this Agreement, and the Company shall not be liable to any Participant for any payment made under this Plan that is determined to result in an additional tax, penalty or interest under Section 409A of the Code, nor for
reporting in good faith any payment made under this Agreement as an amount includible in gross income under Section 409A of the Code. Each payment in a series of payments hereunder shall be deemed to be a separate payment for purposes of Section
409A of the Code. 
 15. Electronic Delivery and Acceptance. The Company may, in its sole discretion, decide to deliver any
documents related to current or future participation in the Plan by electronic means. The Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an
on-line or electronic system established and maintained by the Company or a third party designated by the Company. 

16. Acceptance and Agreement by the Participant. By accepting the PSUs (including through electronic means), the Participant agrees to
be bound by the terms, conditions, and restrictions set forth in the Plan, this Agreement, and the Company’s policies, as in effect from time to time, relating to the Plan. 

17. Waiver. The Participant acknowledges that a waiver by the Company of breach of any provision of this Agreement shall not
operate or be construed as a waiver of any other provision of this Agreement, or of any subsequent breach by the Participant or any other participant in the Plan. 

18. Counterparts. This Agreement may be executed in separate counterparts, each of which is deemed to be an original and all of
which taken together constitute one in the same agreement. 
 [Signatures follow] 

  
 3 

 
			
	PARK HOTELS & RESORTS INC.
		
	By:	 	  

		 	Sean M. Dell’Orto
		 	Executive Vice President, CFO and Treasurer

  

	
	 Acknowledged and Agreed
 as of the date first
written above:

	
	  

	Participant Signature
	Name: Thomas J. Baltimore, Jr.

 EXHIBIT A 

1. Performance Condition. 
 The PSUs shall be
earned based on the Company’s Relative Total Shareholder Return Position for the Performance Period, as set forth in the table below. All determinations with respect to Relative Total Shareholder Return Position shall be made by the Committee
in its sole discretion. The total number of PSUs which become earned shall be equal to (x) the number of PSUs that comprise the Target Award multiplied by (y) the Payout Percentage, and rounded down to the nearest whole PSU.

 

			
	 Relative Total Shareholder Return Position
	  	Percentage of Target Award Earned
	 80th Percentile and Above (Maximum)
	  	200.0%
	 70th Percentile
	  	167.0%
	 60th Percentile
	  	133.0%
	 50th Percentile (Target)
	  	100.0%
	 37.5th Percentile
	  	62.5%
	 25th Percentile (Threshold)
	  	25.0%
	 Below 25th Percentile
	  	0%

 The Committee shall determine (A) the Total Shareholder Return for the Company for the Performance Period and
(B) the Total Shareholder Return for each Lodging/Resorts Company for the Performance Period. The “Relative Total Shareholder Return Position” for the Company will then be determined by comparing the Total Shareholder Return
for the Company for the Performance Period to the Total Shareholder Return for each Lodging/Resorts Company for the Performance Period on a relative percentile basis (using a continuous percentile rank calculation that excludes the Company). 

2. Definitions.  
 For the purposes of this
Exhibit A: 
  

	a.	“Payout Percentage” means the “Percentage of Target Award Earned” specified in the table above, or a percentage determined using linear interpolation if actual performance falls between two
levels in the table above (and rounded to the nearest whole percentage point and, if equally between two percentage points, rounded up). In no event may the Payout Percentage exceed 200%. In the event that actual performance does not meet the
threshold level specified in the table above, the Payout Percentage shall be zero. 

  

	b.	“Lodging/Resorts Companies” means the companies in the FTSE NAREIT Lodging/Resorts Index that have a market capitalization of at least $1 billion as of the first day of the Performance Period, as
determined by the Committee in its sole discretion. Only companies that are public throughout the entire Performance Period shall be included for purposes of calculating the Relative Total Shareholder Return Position (i.e., companies that may become
acquired, have an initial public offering, etc. during the Performance Period shall be excluded from the calculation altogether). 

  

	c.	 “Total Shareholder Return” of either the Company or any Lodging/Resorts Company means:
(A) (i) the average closing price for a share of common stock of the Company or a Lodging/Resorts Company (as applicable) over the 30 calendar day period ending on (and including) the last date of the Performance Period, minus (ii) the
average closing price for such share of common stock over the 5 trading day period starting on (and including) the first date of the Performance Period 

	 	
(the “Base Price”), plus (iii) the value of any dividends declared on any share of such common stock in respect of a record date occurring during the Performance Period, as
adjusted assuming such dividends were reinvested in shares of common stock of the issuer of the dividend on such record date, divided by (B) the Base Price (in each case, with such adjustments as are necessary, in the judgment of the Committee
to equitably calculate Total Shareholder Return in light of any stock splits, reverse stock splits, stock dividends, and other extraordinary transactions or other changes in the capital structure of the Company or a Lodging/Resorts Company, as
applicable). All closing prices shall be the principal stock exchange or quotation system closing prices on the date in question.

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