Document:

EX-10.21

 Exhibit 10.21 

 

					
		 	  
	 	

 SHAREHOLDERS’ AGREEMENT 

OF AVOLON HOLDINGS LIMITED 
  

					
		 	  
	 	

 Dated as of [—] 2014 

 
  
 

 

 TABLE OF CONTENTS 

 

							
	CLAUSE	 	 	  	PAGE	 
			
	 ARTICLE 1.
	 	 RULES OF CONSTRUCTION
	  	 	2	  
			
	 ARTICLE 2.
	 	 CORPORATE GOVERNANCE
	  	 	10	  
			
	 ARTICLE 3.
	 	 TRANSFERS AND ISSUANCE OF SHARES
	  	 	17	  
			
	 ARTICLE 4.
	 	 REGISTRATION RIGHTS
	  	 	23	  
			
	 ARTICLE 5.
	 	 INFORMATION AND CONFIDENTIALITY
	  	 	39	  
			
	 ARTICLE 6.
	 	 ADDITIONAL AGREEMENTS
	  	 	40	  
			
	 ARTICLE 7.
	 	 AMENDMENTS AND WAIVERS
	  	 	42	  
			
	 ARTICLE 8.
	 	 TERMINATION OF THIS AGREEMENT
	  	 	43	  
			
	 ARTICLE 9.
	 	 MISCELLANEOUS
	  	 	43	  
			
	 SCHEDULE 1
	 	 NUMBER OF SHARES HELD BY PARTIES
	  	 	57	  
			
	 SCHEDULE 2
	 	 LIMITED PARTNERSHIPS
	  	 	58	  
			
	 SCHEDULE 3
	 	 FORM OF JOINDER AGREEMENT
	  	 	59	  

  
 -i-

 SHAREHOLDERS’ AGREEMENT 

dated [—] 

PARTIES 
  

	1.	IDAMANTE S.À R.L., a société a responsibilité limitée incorporated under the laws of the Grand-Duchy of Luxembourg with
registered office at 4, rue Albert Borschette, L-1246 Luxembourg (Idamante); 

  

	2.	AAIL HOLDINGS S.À R.L., a société a responsibilité limitée incorporated in Luxembourg having its registered office at
20 Avenue Monterey, L-2163 Luxembourg (AAIL); 

  

	3.	AVOLON HOLDING CORPORATION (LUXEMBOURG) I S.À R.L., a société a responsibilité limitée incorporated in Luxembourg
having its registered office at 12 Rue Guillaume Schneider, L-2522 Luxembourg (AHCL I); 

  

	4.	AVOLON HOLDING CORPORATION (LUXEMBOURG) II S.À R.L., a société a responsibilité limitée incorporated in Luxembourg
having its registered office at 12 Rue Guillaume Schneider, L-2522 Luxembourg (AHCL II); 

  

	5.	AVOLON HOLDING CORPORATION (LUXEMBOURG) III S.À R.L., a société a responsibilité limitée incorporated in Luxembourg
having its registered office at 12 Rue Guillaume Schneider, L-2522 Luxembourg (AHCL III and, together with AHCL I and AHCL II, AHCL); 

 

	6.	VIGOROUS INVESTMENT PTE LTD, a corporation incorporated in Singapore having its registered office at #37-01 Capital Tower, 168 Robinson Road, Singapore 068912
(VIPL); 

  

	7.	PEG AVOLON HOLDINGS (GS Investor I); 

  

	8.	PRIVATE EQUITY PARTNERS X DIRECT, L.P. (GS Investor 2); 

 

	9.	PRIVATE EQUITY PARTNERS IX DIRECT, L.P. (GS Investor 3 and, together with GS Investor I and GS Investor II, the GS Syndicatees);

  

	10.	OHA AVAERO HOLDING S.À R.L., a société a responsibilité limitée incorporated under the laws of Luxembourg having its
registered office at 296-298, Route de Longwy, L-1940 Luxembourg, Grand Duchy of Luxembourg (the OHA Syndicatee); 

  

	11.	FOURTH CINVEN (RAILPEN 2011) CO-INVESTMENT LIMITED PARTNERSHIP, a limited partnership having its principal place of business at Tudor House, Le Bordage, St Peter
Port, Guernsey GY1 3PP (the Railpen Syndicatee); 

  

	12.	UNIVERSITIES SUPERANNUATION SCHEME LIMITED (acting in its capacity as sole corporate trustee of the Universities Superannuation Scheme), a company limited by
guarantee and incorporated in the United Kingdom with registered company number 1167127 and whose registered office is at Royal Liver Building, Liverpool, L3 1PY, United Kingdom e (the USS Syndicatee); 

	13.	the limited partnerships set forth in Schedule 1 hereto who are represented by Agraffe No. 2 Limited as the general partner of each such limited partnership as at
the date hereof (the Limited Partnerships and each a Limited Partnership); and 

  

	14.	AVOLON HOLDINGS LIMITED, an exempted company incorporated in the Cayman Islands, having its registered office at PO Box 309, Ugland House, Grand Cayman KY1-1104,
Cayman Islands (the Company), 

 (each a Party in this Agreement and together, the
Parties). 
 IT IS AGREED: 

PREAMBLE 
 (A)
WHEREAS, each of Idamante, AAIL, AHCL and VIPL owns at the date of this Agreement the number of Shares set forth opposite their name in Schedule 1; 
 (B) WHEREAS, the Sponsors previously syndicated certain of their Shares to the Syndicatees so that each of the GS Syndicatees, the OHA Syndicatee, the Railpen Syndicatee and the USS Syndicatee owns
at the date of this Agreement the number of Shares set forth opposite their name in Schedule 1; 
 (C) WHEREAS, each of Agraffe
Investments I, LP, Agraffe Investments II, LP, Agraffe Investments III, LP, Agraffe Investments VIII, LP, Agraffe Investments XI, LP, Agraffe Investments XII, LP and Agraffe Investments XVI LP owns at the date of this Agreement the number of Shares
set for opposite their name in Schedule 1, and Agraffe Investments XV, LP holds at the date of this Agreement Options in respect of the number of Shares set forth opposite their name in Schedule 1 for the benefit of the Managers; 

(D) WHEREAS, it is the intention of the Company and the Sponsors that the Sponsors have certain rights with respect to the management and control
of the Company, all of the foregoing subject to the terms and conditions of this Agreement and the Company’s memorandum and articles of association; and 
 (E) WHEREAS, in connection with the foregoing, the Company, Idamante, AAIL, AHCL and VIPL desire to establish in this Agreement certain terms and conditions concerning the Sponsors’
relationship with and investments in the Company; 
 (F) NOW, THEREFORE, in consideration of the promises, covenants and conditions set
forth herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto hereby agree as follows: 
 ARTICLE 1. RULES OF CONSTRUCTION 
  

	1.1.	Definitions. In this Agreement, capitalized terms used herein shall have the following meanings: 

Action has the meaning given to it in Section 9.16; 

Affiliate means, with respect to any specified Person, any other Person who, directly or indirectly, owns or controls, is
under common ownership or control with, or is owned or controlled by, such specified Person. With respect to any Person, the term Affiliate shall include any investment funds, vehicles, holding companies or partnerships managed by such Person or any
Affiliate of such Person, but shall 

 
exclude any portfolio company of such Person and any Person controlled by any such portfolio company. As used in this definition, the term control means the possession, directly or indirectly, of
the power to direct the management and policies of a Person, whether through the ownership of voting Securities, by contract or otherwise; 
 Affiliate Transfer means a Sale to an Affiliate of the selling Sponsor or Syndicatee (as applicable); 
 Aggregation Pro Rata Share means, with respect to a specified Majority Sponsor at any given time, the number of Shares held by the GS Syndicatees equal to the product of (i) the total
number of Shares held by the GS Syndicatees multiplied by (ii) a fraction, the numerator of which is the number of Shares held by the specified Majority Sponsor and the denominator of which is the aggregate number of Shares held by all Majority
Sponsors; 
 Applicable Coordination Requirements has the meaning given to it in Section 3.4(a); 

Authorized Recipients has the meaning given to it in Section 5.2(b); 

Automatic Shelf Registration means an “automatic shelf registration statement” as defined in Rule 405 promulgated
under the Securities Act; 
 Board means the board of directors of the Company; 

Board Observer has the meaning given to it in Section 2.2; 

Board Reserved Matter has the meaning given to it in Section 2.5(a); 

Business Day means (a) with respect to any matter set out in Article 4, any day on which the principal offices of the
SEC in Washington, D.C. are open to accept filings, and (b) with respect to all other matters, any day that is not a Saturday, Sunday, legal holiday or other day on which banks are required to be closed in London, New York, Luxembourg,
Singapore or the Cayman Islands; 
 Closing Date means the date of completion of the IPO; 

Confidential Information means the books and records of the Company and its Subsidiaries and information relating to the
Company, its Subsidiaries and their respective properties, operations, financial condition and affairs. Confidential Information shall not include any information that (i) is or becomes generally available to the public other than as a result
of an unauthorized disclosure by a Party, (ii) is or becomes available to a Party or any of its Authorized Recipients on a non-confidential basis from a Third Party source (other than any other Party or its Representatives or any Authorized
Recipients), which source, to the knowledge of such Party (after reasonable inquiry), is not bound by a duty of confidentiality to any Party or its Representatives or Authorized Recipients in respect of such Confidential Information or (iii) is
independently developed by a Party; 
 Coordination Committee has the meaning given to it in Section 3.4(a);

 Coordination Committee Period has the meaning given to it in Section 3.4(a); 

Damages means any losses, claims, damages, fines, penalties, expenses (including expenses of investigation and
attorney’s fees and expenses) and liabilities (whether joint or several) to which a Party may become subject under the Securities Act, the Exchange Act, or other federal or state Law, common law or otherwise; 

 Demand Notice has the meaning given to it in Section 4.1(a); 

Director has the meaning given to it in Section 2.1(a); 

Drag-Along Notice has the meaning given to it in Section 3.2(b); 

Drag-Along Parties shall mean: 
  

	 	(a)	in respect of AHCL, the OHA Syndicatee and the applicable GS Syndicatees; 

  

	 	(b)	in respect of AAIL , the USS Syndicatee and the applicable GS Syndicatees; and 

 

	 	(c)	in respect of Idamante, the Railpen Syndicatee and the applicable GS Syndicatees; 

 Exchange Act means the U.S. Securities Exchange Act of 1934, as amended, or any successor federal statute, and the rules and regulations promulgated thereunder, all as the same shall be in
effect from time to time; 
 Excluded Registration means a registration statement of the Company relating either to
the sale of Securities to employees, directors or consultants of the Company pursuant to a stock option, stock purchase or similar plan, or the issuance and sale of Securities pursuant to a registration statement on Form F-4; 

Form F-1 means such form under the Securities Act as in effect on the date hereof or any successor registration form under
the Securities Act subsequently adopted by the SEC (or, to the extent that the Company is not eligible to use such form, an equivalent form for U.S. domestic issuers); 
 Form F-3 means such form under the Securities Act as in effect on the date hereof or any successor registration form under the Securities Act subsequently adopted by the SEC that permits
incorporation of substantial information by reference to other documents filed by the Company with the SEC (or, to the extent that the Company is not eligible to use such form, an equivalent form for U.S. domestic issuers); 

Form F-3 Eligibility Date means the end of the twelfth full calendar month following the effective date of the registration
statement for the IPO; 
 Form F-4 means such form under the Securities Act as in effect on the date hereof or any
successor registration form under the Securities Act subsequently adopted by the SEC (or, to the extent that the Company is not eligible to use such form, an equivalent form for U.S. domestic issuers); 

GAAP means generally accepted accounting principles in the United States, as in effect from time to time, consistently
applied; 
 Governmental Authority means any domestic or foreign government or political subdivision thereof,
whether on a federal, state or local level and whether executive, legislative or judicial in nature, including any agency, authority, board, bureau, commission, court, department or other instrumentality thereof; 

Holder has the meaning given to it in Section 9.12; 

Immediate Family Member means a child, stepchild, grandchild, parent, stepparent, grandparent, spouse, sibling,
mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law, including adoptive relationships, of a natural person referred to herein; 

 Independent Director means a Director referred to in Section 2.1(a)(v);

 Initiating Majority Sponsor has the meaning given to it in Section 3.2(a); 

Initiating Sponsors means, collectively, the Sponsor or Sponsors who properly initiate a registration request under Article
4 of this Agreement; 
 Inspectors has the meaning given to it in Section 4.4(q); 

Investor Indemnified Person has the meaning given to it in Section 4.8(a); 

IPO means the underwritten initial public offering of Shares; 

Joinder Agreement means a joinder agreement in the form set out in Schedule 3 to this Agreement; 

Law means any federal, national, state, provincial, local or foreign statute, law (including common law), ordinance, rule or
regulation of any Governmental Authority; 
 Lock-up Release Date means the earlier of (i) the expiration of
the underwriters’ lock-up agreement in the IPO pursuant to its terms and (ii) the release of the underwriters’ lock-up agreement in the IPO with respect to all Registrable Securities subject thereto; 

Majority Sponsors means Idamante, AAIL and AHCL, and Majority Sponsor means any of them; 

Majority Sponsor Directors means the Directors nominated by the Majority Sponsors in accordance with Section 2.1, and
Majority Sponsor Director means any of them; 
 Management Directors means the Directors referred to
in Section 2.1(a)(iv); 
 Managers means Tom Ashe, Andrew Cronin, Richard Forsberg, John Higgins, Edward Riley
and Dómhnal Slattery, and Manager means any of them; 
 Management LPs means each Limited
Partnership and any other vehicle through which a Manager owns Shares or holds Options and, if any Manager holds Shares or Options directly, such Manager (provided that, in the case of any other such vehicle or such Manager, the relevant Person has
executed a Joinder Agreement as a Management LP), and Management LP means any of them; 
 Material
Subsidiary means any Subsidiary that meets any of the following conditions: 
  

	 	(a)	the Company’s and its Subsidiaries’ investments in and advances to the Subsidiary exceed 10% of the Total Assets of the Company and its Subsidiaries on a
consolidated basis as of the end of the most recently completed fiscal year; 

  

	 	(b)	the Company’s and its Subsidiaries’ proportionate share of the Total Assets (after intercompany eliminations) of the Subsidiary exceeds 10% of the Total
Assets of the Company and its Subsidiaries on a consolidated basis as of the end of the most recently completed fiscal year; or 

  

	 	(c)	the Company’s and its Subsidiaries’ equity in the income from continuing operations before income taxes, extraordinary items and cumulative effect of a change
in accounting principle of the Subsidiary exceeds 10% of such income of the Company and its Subsidiaries on a consolidated basis for the most recently completed fiscal year. 

 New Issuance has the meaning given to it in Section 3.6(a); 

Nominating and Corporate Governance Committee means the nominating and corporate governance committee of the Board;

 Non-Underwritten Shelf Takedown has the meaning given to it in Section 4.3(e); 

Notice of Issuance has the meaning given to it in Section 3.6(b); 

OHA/GS Transfer Document has the meaning given to it Section 9.3(a)(i); 

Options means any option to subscribe for, purchase or otherwise acquire Shares; 

Outside Activities has the meaning given to it in Section 6.1; 

Person means an individual or natural person, a partnership (including a limited liability partnership, Delaware limited
partnership or Cayman Islands exempted limited partnership), a corporation, an exempted company with limited liability, an association, a joint stock company, a limited liability company, an exempt company with limited liability, a trust, a joint
venture, an unincorporated organization or a Governmental Authority and shall, for the avoidance of doubt, include any syndicate or group that would be deemed to be a person under Section 13(d)(3) of the Exchange Act; 

Public Sale means a Sale: (i) to the public pursuant to an offering registered under the Securities Act; or
(ii) to the public pursuant to Rule 144 effected through a broker, dealer or market maker; 
 Railpen/GS Transfer
Document has the meaning given to it in Section 9.3(c)(i); 
 Records has the meaning given to it in
Section 4.4(q); 
 Requisite Consent has the meaning given to it in Section 2.4(a); 

Registrable Securities means any Shares currently held or hereafter acquired directly or indirectly by a Sponsor, a
Syndicatee or a Management LP (including, for the avoidance of doubt, upon exercise of Options), and any Shares or other Securities issued directly or indirectly to a Sponsor, a Syndicatee or a Management LP as (or issuable upon the conversion or
exercise of any security that is issued as) a dividend or other distribution with respect to, or in exchange for or in replacement of, the Shares; excluding in all cases (i) any Registrable Securities sold by a Person in a transaction in which
the applicable rights hereunder are not assigned pursuant to Section 9.6 of this Agreement, and (ii) any Shares for which registration rights have terminated pursuant to Section 4.12 of this Agreement; 

Registration Expenses means any and all expenses incurred in connection with the Company’s performance of or compliance
with Article IV of this Agreement including: 
  

	 	(a)	all registration and filing fees, and all other fees and expenses payable in connection with the listing of securities on any securities exchange or automated
interdealer quotation system; 

  

	 	(b)	all fees and expenses incurred in complying with any securities or “blue sky” Laws (including reasonable fees and disbursements of counsel for the
underwriters in connection with “blue sky” qualifications of the Registrable Securities); 

	 	(c)	all expenses in connection with the preparation, printing, mailing and delivery of any registration statements, prospectuses and other documents in connection therewith
and any amendments or supplements thereto; 

  

	 	(d)	all security engraving and printing expenses; 

  

	 	(e)	all internal expenses of the Company (including all salaries and expenses of its officers and employees performing legal or accounting duties);

  

	 	(f)	all fees and disbursements of counsel for the Company and fees and expenses for independent certified public accountants retained by the Company (including the expenses
relating to any comfort letters or costs associated with the delivery by independent certified public accountants of any “comfort” letters or any special audits incidental to or required by any registration or qualification);

  

	 	(g)	all fees and expenses of any special experts retained by the Company in connection with such registration; 

 

	 	(h)	all reasonable fees, out-of-pocket costs and expenses of the Selling Sponsor Counsel; 

 

	 	(i)	all fees and expenses in connection with any review by FINRA of the underwriting arrangements or other terms of the offering (including reasonable fees and expenses of
counsel for the underwriters related thereto) and all fees and expenses of any qualified independent underwriter, including the reasonable fees and expenses of any counsel thereto; 

 

	 	(j)	all fees and disbursements of underwriters customarily paid by issuers or sellers of securities, but excluding any underwriting fees, discounts and commissions
attributable to the sale of Registrable Securities; 

  

	 	(k)	all transfer agents’ and registrars’ fees and expenses and the fees and expenses of any other agent or trustee appointed in connection with such offering; and

  

	 	(l)	all expenses relating to any analyst or investor presentations or any “road shows” undertaken in connection with the registration, marketing or selling of the
Registrable Securities; 

 Remuneration Committee means the Remuneration Committee of the Board;

 Representatives means any Sponsor, the Affiliates of each Sponsor (excluding, for the avoidance of doubt, the
Company and its Subsidiaries) and each Sponsor’s and each such Affiliate’s respective directors, managers, officers, partners, members, principals, employees, professional advisers and agents; 

Rule 144 means Rule 144 (including Rule 144(k) and all other subdivisions thereof) promulgated by the SEC under the
Securities Act, as such rule may be amended from time to time, or any similar or successor rule then in force; 
 SEC
means the U.S. Securities and Exchange Commission or any other Governmental Authority at the time administering the Securities Act; 

 Securities means, with respect to any Person, such Person’s
“securities” as defined in Section 2(a)(1) of the Securities Act and includes such Person’s shares, capital stock or other equity interests or any options, warrants or other securities that are directly or indirectly convertible
into, or exercisable or exchangeable for, such Person’s shares, capital stock or other equity or equity–linked interests, including phantom stock and stock or share appreciation rights; 

Securities Act means the Securities Act of 1933, as amended, or any successor federal statute, and the rules and regulations
promulgated thereunder, all as the same shall be in effect from time to time; 
 Security Interest means a
mortgage, charge, pledge, lien, hypothecation, title retention or any other security agreement or arrangement, or any agreement to create any of the above; 
 Sell means, when used with respect to any Shares, to (i) offer, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any
option, right or warrant to purchase, lend, or otherwise transfer or dispose of, directly or indirectly, any Shares, or any other Securities so owned convertible into or exercisable or exchangeable for Shares or (ii) enter into any total return
swap, sub participation, credit default swap or other arrangement that transfers to another, in whole or in part, the economic ownership or any of the rewards and economic consequences of ownership of the Shares, whether any such transaction
described under (i) or (ii) above is to be settled by delivery of Shares or such other Securities, in cash or otherwise, either voluntarily or involuntarily, and however occurring, (but, for the avoidance of doubt, excluding any Security
Interest) and the terms Sale and Sold shall have meanings correlative to the foregoing; 

Selling Expenses means all underwriting discounts, selling commissions, and stock transfer taxes applicable to the sale of
Registrable Securities, and fees and disbursements of counsel for any Sponsor, any Syndicatee or any Management LP, except for the fees and disbursements of the Selling Sponsor Counsel (as defined below) borne and paid by the Company as provided in
Section 4.6; 
 Selling Shareholder means a Sponsor initiating a Sale of Shares; 

Selling Sponsor Counsel means one firm of counsel selected by the holder(s) of a majority of the Registrable Securities
covered by each registration statement; 
 Shareholder Party has the meaning given to it in Section 6.2;

 Shares means the ordinary shares of $[—] par value each in
the Company issued and outstanding from time to time; 
 Shelf Registration Statement means a “shelf”
registration statement on an appropriate form providing for the registration and sale of securities on a delayed or continuous basis pursuant to Rule 415 promulgated under the Securities Act (or any similar provision that may be adopted by the SEC);

 Stockholder Reserved Matters shall have the meaning given to it in Section 2.4; 

Sponsors means Idamante, AAIL, AHCL and VIPL, and Sponsor means any of them; 

Subscription Right Pro Rata Share has the meaning given to it in Section 3.6(a); 

Subsidiaries means, at any time, with respect to any Person (the Subject Person), any Person of which either
(a) more than 50% of the shares, shares of stock or other interests entitled to vote generally in the election of directors or comparable Persons 

 
performing similar functions or (b) more than a 50% interest in the profits or capital of such Person, are at the time owned or controlled directly or indirectly by the Subject Person or
through one or more Subsidiaries of the Subject Person or by such Person and one or more Subsidiaries of such Person; 

Syndicatees means the GS Syndicatees, the OHA Syndicatee, the Railpen Syndicatee and the USS Syndicatee and
Syndicatee means any of them; 
 Syndicatee Sale Election Period has the meaning given to it in
Section 3.3(a)(ii); 
 Syndicatee Sale Notice has the meaning given to it in Section 3.3(a)(i);

 Tag-Along Notice has the meaning given to it in Section 3.1(b); 

Tag-Along Right has the meaning given to it in Section 3.1(b); 

Tag-Along Sale has the meaning given to it in Section 3.1(a); 

Tag-Along Shareholders means any Sponsor (other than the Selling Shareholder); 

Tax or Taxes includes all taxes, charges, fees, levies, or other assessments, including, without limitation,
income, gross receipts, excise, real and personal property, profits, estimated, severance, occupation, production, capital gains, capital stock, goods and services, environmental, employment, withholding, stamp, value added, alternative or
add–on minimum, sales, transfer, use, license, payroll and franchise taxes or any other tax, custom, duty or governmental fee, or other like assessment or charge of any kind whatsoever, whenever created or imposed, and whether of the United
States or elsewhere, and whether imposed by a local, municipal, county, state, foreign, federal or other government or subdivision or agency thereof, or in connection with any agreement with respect to Taxes, including all interest, penalties,
fines, related liabilities, and additions imposed with respect to such amounts; 
 Third Party means, any Person
that is not a Party or an Affiliate of a Party; 
 Total Assets means the consolidated total assets of the Company
and its Subsidiaries as shown on the most recent balance sheet; 
 USS/GS Transfer Document has the meaning given
to it in Section 9.3(b)(i); and 
 WKSI has the meaning given to it in Section 4.7(a). 

 

	1.2.	 Rules of Construction. The use in this Agreement of the term “including” means “including, without limitation”. The words
“herein,” “hereof,” “hereunder” and other words of similar import refer to this Agreement as a whole, including the schedules, as the same may from time to time amended, modified, supplemented or restated, and not to
any particular section, sub-section, paragraph or subparagraph contained in this Agreement. Any accounting term not otherwise defined in this Agreement has the meaning assigned to it in accordance with GAAP. Any reference to “$” or
“dollars” or “United States dollars” or “U.S. dollars” or “U.S.$” refers to the lawful currency of the United States of America. All references to sections, schedules mean the sections of this Agreement and
the schedules attached to this Agreement, except where otherwise stated. The title of and the section and paragraph headings in this Agreement are for convenience of reference only and shall not govern or affect the interpretation of any of the
terms or provisions of this Agreement. The use herein of the masculine, feminine or neuter forms shall also denote the other forms, as in each case as the context may require. Where specific language is used to clarify by example a general statement
contained herein, such specific language shall not be 

	 	
deemed to modify, limit or restrict in any manner the construction of the general statement to which it relates. Each of the Parties hereto participated in the preparation of this Agreement and
consequently any rule of construction construing any provision against the drafter will not be applicable. 

ARTICLE 2. CORPORATE GOVERNANCE 
  

	2.1.	Board of Directors. 

  

	 	(a)	The Board shall initially be composed of eleven members (each a Director) of whom: 

 

	 	(i)	two individuals shall be nominated by Idamante until such time as Idamante ceases to hold at least 10% of the Shares; 

 

	 	(ii)	two individuals shall be nominated by AAIL until such time as AAIL ceases to hold at least 10% of the Shares; 

 

	 	(iii)	two individuals shall be nominated by AHCL until such time as AHCL ceases to hold at least 10% of the Shares; 

 

	 	(iv)	two officers of the Company consisting of the Chief Executive Officer and the President and Chief Commercial Officer (or, if such office is eliminated, such other
officer of the Company as may be determined by the Nominating and Corporate Governance Committee) who shall be nominated by the Board, acting upon the recommendation of the Nominating and Corporate Governance Committee; and 

 

	 	(v)	three individuals nominated by the Board, acting upon the recommendation of the Nominating and Corporate Governance Committee and subject to Section 2.4, that meet
the then-current standards to qualify as an independent director under the Exchange Act. 

  

	 	(b)	In the event that any of the Majority Sponsors ceases to hold at least 10% of the Shares but holds at least 5% of the Shares then from that time forward such Majority
Sponsor shall only have the right to nominate one individual to the Board. 

  

	 	(c)	In the event that any of the Majority Sponsors holds less than 5% of the Shares, then from that time forward such Majority Sponsor shall no longer have the right to
nominate any individuals to the Board. 

  

	 	(d)	Upon any decrease in the number of Directors that a Majority Sponsor is entitled to nominate to the Board pursuant to paragraphs (b) or (c) of this
Section 2.1, then such Majority Sponsor shall take all action necessary to procure that the relevant number of its Majority Sponsor Directors shall immediately tender resignation as a Director, unless such Majority Sponsor’s percentage
ownership of the Shares has decreased as a result of the issuance of new Shares by the Company and not as a result of that Majority Sponsor Selling any Shares, in which case the relevant Majority Sponsor Directors shall complete their current term
and tender resignation as a Director at the end of such term. 

	 	(e)	If the resignation of a Majority Sponsor Director tendered pursuant to Section 2.1(d) is with respect to paragraph (b) of this Section 2.1 and such
resignation is accepted by the Board, then the size of the Board shall be reduced accordingly. If such resignation is with respect to paragraph (c) of this Section 2.1 and such resignation is accepted by the Board, then the vacancy shall
be filled as provided in the Company’s memorandum and articles of association. 

  

	 	(f)	Any Majority Sponsor Director may be removed (with or without cause) at any time by the applicable Majority Sponsor who appointed such Majority Sponsor Director upon
notice to the Company. 

  

	 	(g)	Upon the death, resignation, retirement, incapacity, disqualification or, pursuant to Section 2.1(f), the removal (with or without cause) of any Majority Sponsor
Director, the applicable Majority Sponsor shall have the right to nominate the individual to fill the resulting vacancy, subject to Sections 2.1(a) through 2.1(c). 

 

	 	(h)	Save as provided in paragraph (i) of this Section 2.1, the Company shall pay to each Majority Sponsor in respect of each Director appointed by such Majority
Sponsor, (a) a director’s fee in the amount per annum that is paid by the Company to each Independent Director, and (b) all out-of-pocket travel expenses incurred by such Majority Sponsors’ representatives in the performance of
his duties as a Director, including, without limitation, in connection with attendance at Board and Board committee meetings by such representative. 

  

	 	(i)	The Parties hereby agree that AAIL shall be entitled to receive a monitoring fee in the amount it otherwise would have been entitled to receive in directors’ fees
pursuant to paragraph (h) and AAIL hereby waives its right to receive directors’ fees pursuant to paragraph (h). 

  

	 	(j)	 The Sponsors and the Syndicatees shall each vote their Shares and any other Securities of the Company (to the extent such Securities have voting
rights) at any annual general or extraordinary general meeting of the shareholders of the Company at which action is to be taken with respect to the election of Directors, or in any written consent or resolution in lieu of such a meeting of
shareholders, to cause the election or re-election, as applicable, of the Majority Sponsor Directors and the Management Directors and, if requested by a Majority Sponsor, the Company, the other Sponsors and the Syndicatees shall take all necessary
action to call and hold such meeting of the shareholders of the Company, and shall take all other actions necessary to ensure the continued election to the Board of the Majority Sponsor Directors, and shall not take any actions which are
inconsistent with the intent and purpose of the foregoing. The Company shall take all actions necessary to cause the Majority Sponsor Directors and the Management Directors to be elected or re-elected, as applicable, to the Board and to ensure the
continued 

	 	
election to the Board of the Majority Sponsor Directors and the Management Directors and shall not take any actions which are inconsistent with the intent and purpose of the foregoing.

  

	 	(k)	The Sponsors and the Syndicatees shall each vote their Shares and any other Securities of the Company (to the extent such Securities have voting rights) at any annual
general or extraordinary general meeting of the shareholders of the Company, or in any written consent in lieu of such a meeting of shareholders, to cause the removal of a Majority Sponsor Director, if the Majority Sponsor who nominated such
Director designates such Director for removal and shall take all other actions necessary to cause such removal and shall not take any actions which are inconsistent with the intent and purpose of the foregoing. Except in accordance with the
foregoing, no Sponsor or Syndicatee shall vote its Shares or any other Securities of the Company (to the extent such Securities have voting rights) at any annual general or extraordinary general meeting of the shareholders of the Company, or in any
written consent or resolution in lieu of such a meeting of shareholders, to cause the removal of a Majority Sponsor Director. 

  

	 	(l)	Each Party shall instruct its nominated Directors to exercise their voting rights on the Board (to the extent permitted by applicable Law) in a manner consistent with
the rights of the Parties under this Section 2.1 so as to effectuate and preserve the intent of the Parties as set out herein. 

  

	2.2.	Board Observers. 

  

	 	(a)	Any of the Sponsors holding no less than 2.5% of the Shares shall have the right to appoint an observer (a Board Observer) to attend all Board meetings
(to the extent that such Sponsor does not have a Majority Sponsor Director appointed to the Board) and all meetings of any committee of the Board (to the extent that such Sponsor does not have a Majority Sponsor Director appointed to such
committee). Such Board Observer may participate in all discussions occurring at such meetings and shall have the same access to the management of the Company as a Director. 

 

	 	(b)	The Company shall notify the Board Observers of all regular and special meetings of the Board, including all regular and special meetings of any committee of the Board,
at the same time and in the same manner as the Directors and shall also provide the Board Observers with copies of all notices, minutes, consents and other materials provided to Directors concurrently as such materials are provided to such
Directors. 

  

	 	(c)	The Company shall pay to each Sponsor entitled to appoint a Board Observer pursuant to paragraph (a) of this Section 2.2 all out-of-pocket travel expenses
incurred by such Board Observer in connection with attendance at Board meetings or any meeting of a committee of the Board. No other fees or expenses shall be payable in respect of any Board Observer. 

 

	 	(d)	For the avoidance of doubt, a Board Observer shall not have the right to participate in any vote, consent or other action of the Board or its committees.

	2.3.	Board Committees. 

  

	 	(a)	For so long as the Majority Sponsors hold in aggregate at least 50% of the Shares, each Majority Sponsor shall have the right to appoint one member of the Nominating
and Corporate Governance Committee and one member of the Remuneration Committee, which shall each initially be composed of five members. 

  

	 	(b)	If the Majority Sponsors hold in aggregate less than 50% of the Shares but at least 10% of the Shares, then from that time forward the Majority Sponsors shall
collectively only have the right to appoint one member of the Nominating and Corporate Governance Committee and one member of the Remuneration Committee, and the size of each such committee shall be reduced accordingly from 5 to 3 members. The
Majority Sponsors shall in good faith agree which of their respective Majority Sponsor Directors shall be so appointed. For the avoidance of doubt, the Majority Sponsors that do not have a Majority Sponsor Director on the Nominating and Corporate
Governance Committee or the Remuneration Committee shall each be entitled to appoint a Board Observer to attend meetings of each such committee in accordance with Section 2.2(a) (provided that they meet the relevant shareholding requirement).

  

	 	(c)	In the event that the Majority Sponsors cease to hold in aggregate less than 10% of the Shares, then from that time forward the Majority Sponsors shall no longer have
the right to appoint any members of the Nominating and Corporate Governance Committee or the Remuneration Committee. 

  

	 	(d)	Notwithstanding any other provision of this Section 2.3, if a Majority Sponsor ceases to hold at least 5% of the Shares, then from that time forward such Majority
Sponsor shall no longer have the right to appoint a member of the Nominating and Corporate Governance Committee or the Remuneration Committee collectively with the other Majority Sponsors. 

 

	 	(e)	Each Party shall instruct its nominated Directors to exercise their voting rights on the Board (to the extent permitted by applicable Law) in a manner consistent with
the rights of the Parties under this Section 2.3 so as to effectuate and preserve the intent of the Parties as set out herein. 

  

	2.4.	Stockholder Reserved Matters. 

  

	 	(a)	For so long as the Sponsors hold in aggregate at least 25% of the Shares, the Company and the Sponsors agree that the following matters (the Stockholder Reserved
Matters) will require the prior approval of Sponsors holding a majority of the Shares then held by the Sponsors (the Requisite Consent): 

 

	 	(i)	commencement of any proceeding for the voluntary dissolution, winding up or bankruptcy of the Company or a Material Subsidiary; 

 

	 	(ii)	any non-pro rata reduction to the share capital of the Company or its Material Subsidiaries, except as required by Law; 

	 	(iii)	any amendment to the memorandum and articles of association of the Company, which amendment would change: 

 

	 	(A)	the name of the Company; 

  

	 	(B)	the jurisdiction of incorporation of the Company; 

  

	 	(C)	the purpose or purposes for which the Company is incorporated; 

  

	 	(D)	the size of the Board or the Nominating and Corporate Governance Committee (unless the sole purpose of the amendment is to reflect an automatic reduction in the size of
the Board or the Nominating and Corporate Governance Committee in accordance with the provisions of Section 2.1 or 2.3 (respectively) above); or 

  

	 	(E)	the Sponsor approval requirements for Stockholder Reserved Matters; 

  

	 	(iv)	any merger, amalgamation or consolidation of the Company with any other entity or the spinoff of a business of the Company with assets in excess of $250 million;

  

	 	(v)	the sale, conveyance, transfer or other disposition of all or substantially all of the material assets of the Company or its Material Subsidiaries, whether in a single
transaction or a series of related transactions; 

  

	 	(vi)	any change in the principal line of business of the Company; 

  

	 	(vii)	any issuance or repurchase of equity Securities or Securities exchangeable or convertible into equity Securities by the Company for an aggregate consideration in excess
of $250 million; 

  

	 	(viii)	any appointment to the Board contrary to the provisions regarding appointment of Directors set forth in the memorandum and articles of association of the Company or
Section 2.1 of this Agreement; 

  

	 	(ix)	the appointment, removal or any change in compensation of the Chief Executive Officer and the President and Chief Commercial Officer of the Company; and

  

	 	(x)	the appointment and removal of the Independent Directors to the Board. 

  

	 	(b)	For so long as the Sponsors hold in aggregate at least 25% of the Shares, the Company shall not take any action or step in respect of any Stockholder Reserved Matter
without having first received the Requisite Consent. 

  

	 	(c)	 Each Sponsor and Syndicatee shall only vote its Shares and any other Securities of the Company (to the extent such Securities have voting rights) at
any annual general or extraordinary general meeting of the shareholders of 

	 	
the Company at which action is to be taken with respect to any Stockholder Reserved Matter, or in any written consent or resolution in lieu of such a meeting of shareholders, in favor of any
Stockholder Reserved Matter if Sponsors representing the Requisite Consent have given advance written notice to each other Sponsor that they are in favor of the approval of such Stockholder Reserved Matter. Each Sponsor and Syndicatee shall vote its
Shares and any other Securities of the Company (to the extent such Securities have voting rights) at any annual general or extraordinary general meeting of the shareholders of the Company at which action is to be taken with respect to any
Stockholder Reserved Matter, or in any written consent or resolution in lieu of such a meeting of shareholders, against any Stockholder Reserved Matter unless Sponsors representing the Requisite Consent have first given written notice to each other
Sponsor that they are in favor of the approval of such Stockholder Reserved Matter. For so long as the Sponsors hold in aggregate at least 25% of the Shares, the Company, the Sponsors and the Syndicatees shall take all actions necessary to ensure
that no Stockholder Reserved Matter is approved by the shareholders of the Company unless the Sponsors have given the Requisite Consent. 

  

	2.5.	Board Reserved Matters. 

  

	 	(a)	For so long as the Sponsors hold in aggregate at least 25% of the Shares, the Company shall not, and shall not permit any of its Subsidiaries to, take any of the
following actions (the Board Reserved Matters) without the affirmative vote of a majority of the Majority Sponsor Directors (excluding any Majority Sponsor Director explicitly prevented from voting with respect to such matter by the
terms of this Agreement): 

  

	 	(i)	the entry into, or amendment or termination of, any contract or other agreement in an amount exceeding $250 million; 

 

	 	(ii)	the sale, conveyance, transfer or other disposition, whether in a single transaction or a series of related transactions, of property or assets of the Company or any
Subsidiary of the Company with an aggregate fair market value in excess of $250 million; 

  

	 	(iii)	the institution or settlement by the Company or any of its Subsidiaries of any litigation or arbitration with an amount in controversy in excess of $250 million;

  

	 	(iv)	the declaration or payment of dividends or other distributions in respect of the shares of the Company; 

 

	 	(v)	except as required by changes in Law or GAAP (as approved by the Company’s outside auditors), any change to the material accounting policies of the Company;

  

	 	(vi)	except (i) as required by changes in Law or (ii) changes which are consistent with changes to the Tax policies or positions of Affiliates of the Company in
the United States (which changes are not adopted by such Affiliates of the Company for the purpose of adversely affecting the Company or its shareholders), any change to the material Tax policies or positions of the Company;

	 	(vii)	any change in the compensation of members of the Board in their capacity as Directors; 

 

	 	(viii)	any investment by the Company or any of its Subsidiaries in, or the acquisition of, any material assets or entity (other than investments in wholly-owned Subsidiaries),
whether in a single transaction or a series of related transactions, or the entry by the Company or any of its Subsidiaries into any joint ventures, partnerships or similar arrangements, in an aggregate amount in excess of $250 million;

  

	 	(ix)	the entry by the Company or any of its Subsidiaries into any new business lines; 

 

	 	(x)	the incurrence by the Company or any of its Subsidiaries of any indebtedness for borrowed money or the assumption of any obligations (fixed or contingent), whether in a
single transaction or a series of related transactions, with a principal amount in excess of $500 million; 

  

	 	(xi)	the approval of any annual budget of the Company; 

  

	 	(xii)	any transactions with Affiliates of the Company; provided, however, that this paragraph (xii) will not apply to the following: 

 

	 	(A)	transactions in effect as of the date of this Agreement; 

  

	 	(B)	transactions entered into in accordance with and as specifically permitted by this Agreement; 

 

	 	(C)	transactions or series of related transactions in the ordinary course of business on arm’s length terms involving aggregate payments or consideration of less than
$250 million; 

  

	 	(D)	transactions with Affiliates involving the provision or receipt of customary intercompany services, in each case in the ordinary course of business and on terms at
least as favorable to the Company and its Subsidiaries (A) as would reasonably have been obtained at such time from an unrelated person on an arm’s-length basis, and (B) as are made available to or received by the Company’s other
Affiliates; 

  

	 	(E)	the payment of reasonable and customary fees and compensation to, and indemnities provided on behalf of, officers or directors of the Company or any of its
Subsidiaries, subject in each case to paragraph (xiii) of this Section 2.5; 

  

	 	(F)	any employment agreement entered into by the Company or any of its Subsidiaries in the ordinary course of business, subject in each case to paragraphs (vii), (xiv), and
(xv) of this Section 2.5; and 

  

	 	(G)	transactions between or among the Company and any of its Subsidiaries; 

	 	(xiii)	any issuance of equity or equity linked Securities by the Company other than pursuant to equity-based compensation plans approved pursuant to paragraph (xvi) of
this Section 2.5; 

  

	 	(xiv)	the hiring or removal of the chief financial officer of the Company; 

  

	 	(xv)	any change in the compensation of the executive officers of the Company (other than the Chief Executive Officer and the President and Chief Commercial Officer of the
Company); 

  

	 	(xvi)	the adoption, modification or termination of any equity-based incentive plan, other than any equity-based incentive plan approved prior to the date of this Agreement;
and 

  

	 	(xvii)	any amendment to the memorandum and articles of association of the Company that would change (A) the authorized share capital of the Company (except in connection
with an issuance of equity or equity linked Securities by the Company pursuant to equity-based compensation plans approved pursuant to paragraph (xvi) of this Section 2.5) including the creation or issuance of any new class or series of
shares either (I) having separate class or disproportionate voting rights or (II) ranking senior to the Shares as to dividends or upon liquidation or (B) the rights of any holders of Shares in a manner adverse to such.

  

	 	(b)	A Majority Sponsor Director shall abstain from the vote of the Board on any transaction between the Company and an Affiliate of the Company if the Sponsor that
appointed such Director; or any Affiliate thereof (excluding the Company and its Subsidiaries), is a party to such transaction. This paragraph (b) shall not apply to any vote of the Board on: (i) the Directors’ fees and expenses; or
(ii) the transactions contemplated by Article 4. 

 ARTICLE 3. TRANSFERS AND ISSUANCE OF SHARES

  

	3.1.	Tag-Along. 

  

	 	(a)	 Subject to paragraph (e) of this Section 3.1, except for Affiliate Transfers, Public Sales pursuant to paragraph (i) of such definition
and sales pursuant to a trading plan pursuant to Rule 10b5-1 of the Exchange Act, no Sponsor holding 5% or more of the Shares shall Sell any Shares to a Third Party unless each Tag-Along Shareholder, or another entity designated by such Tag-Along
Shareholder, shall have been given the right (but not an obligation) to elect to Sell, subject to the consummation of the proposed Sale, at the same price and on the same terms and conditions, such number of Shares held by the Tag-Along Shareholder
equal to the product of (i) the total 

	 	
number of Shares held by such Tag-Along Shareholder multiplied by (ii) a fraction, the numerator of which is the aggregate number of Shares proposed to be sold by the Selling Shareholder and
the denominator of which is the aggregate number of Shares owned by the Selling Shareholder at the Closing Date (a Tag-Along Sale). 

  

	 	(b)	With respect to a Tag-Along Sale, a Selling Shareholder shall deliver to each of the Tag-Along Shareholders and the Coordination Committee a written notice no later
than 5 Business Days in the case of a Sale other than a Public Sale pursuant to paragraph (ii) of such definition, or 2 Business Days in the case of a Public Sale pursuant to paragraph (ii) of such definition, prior to its proposed entry
into definitive documentation in respect of the proposed Tag-Along Sale (the Tag-Along Notice), which shall specifically identify in the event of a Tag-Along Sale, the proposed Third Party purchaser (other than in the event of a Public
Sale pursuant to paragraph (ii) of such definition), the number of Shares being Sold and the purchase price therefor (including if consideration will consist in part or in whole of property other than cash) (other than in the event of a Public
Sale pursuant to paragraph (ii) of such definition), and shall offer the right (the Tag-Along Right) to each of the Tag-Along Shareholders to Sell an amount of Shares equal to the amount that may be Sold by such Tag-Along
Shareholder pursuant to paragraph (a) of this Section 3.1 at the purchase price and upon the other terms set forth in the Tag-Along Notice. 

  

	 	(c)	Each Tag-Along Shareholder shall have the right to deliver to the Selling Shareholder an irrevocable written notice within 5 Business Days of the date of receipt of the
Tag-Along Notice in the case of a Sale other than a Public Sale pursuant to paragraph (ii) of such definition, or within 2 Business Days of the date of receipt of the Tag-Along Notice in the case of a Public Sale pursuant to paragraph
(ii) of such definition, indicating the number of Shares, up to the amount of Shares that such Tag-Along Shareholder is eligible to Sell pursuant to Section 3.1(a), desires to Sell on the terms and conditions set forth in the Tag-Along
Notice. 

  

	 	(d)	The Coordination Committee shall in good faith determine the process in respect of, and manage, any Tag-Along Sale, including but not limited to the process by which
the Tag-Along Shareholders may exercise their Tag-Along Right. 

  

	 	(e)	If the Third Party purchaser is not willing to purchase all the Shares proposed to be Sold by the Selling Shareholder and Tag-Along Shareholders who exercise their
Tag-Along Rights, then the number of Shares the Selling Shareholder and each Tag-Along Shareholder is permitted to Sell in such Tag-Along Sale shall be reduced pro rata based on the relative number of Shares held by the Selling Shareholder and
Tag-Along Shareholders participating in such Tag-Along Sale. 

  

	 	(f)	 If any Sponsor intends to adopt a trading plan pursuant to Rule 10b5-1 of the Exchange Act, it shall deliver to each other Sponsor and the Coordination
Committee a written notice containing details of the trading plan no later than 

	 	
2 Business Days before the date on which it intends to adopt the trading plan. A Sponsor shall not be permitted to adopt a trading plan pursuant to Rule 10b5-1 of the Exchange Act without the
prior written consent of each other Sponsor. 

  

	3.2.	Drag-Along. 

  

	 	(a)	If a Majority Sponsor (the Initiating Majority Sponsor) proposes to Sell any Shares (other than pursuant to an Affiliate Transfer), then such Majority
Sponsor shall require its respective Drag-Along Parties to Sell, at the same economic terms and conditions that apply to the Sale by such Majority Sponsor, a number of their Shares equal to the product of (i) the total number of Shares held by
such Drag-Along Party (or, in the case of the GS Syndicatees only, the relevant Majority Sponsor’s Aggregation Pro Rata Share of the total number of Shares held by the GS Syndicatees) multiplied by (ii) a fraction, the numerator of which
is the number of Shares that the Majority Sponsor proposes to Sell and the denominator of which is the total number of Shares held by such Majority Sponsor. 

 

	 	(b)	With respect to any Sale of Shares pursuant to Section 3.2(a), the Initiating Majority Sponsor shall deliver a written notice (a Drag-Along Notice)
to each of its respective Drag-Along Parties no later than 2 Business Days prior to the consummation of the proposed Sale, setting forth the name and address of the purchaser (other than in the event of a Public Sale), the number of Shares to be
Sold by each of the Majority Sponsor and the Drag-Along Party, the amount and form of the consideration, and all other material terms and conditions offered by the purchaser (other than in the event of a Public Sale). Upon delivery of a Drag-Along
Notice, the relevant Drag-Along Party shall be required to Sell that number of Shares required to be Sold by it pursuant to Section 3.2(a), subject to the consummation of the proposed Sale at the same price and on the same terms and conditions
as set forth in the Drag-Along Notice. Each relevant Drag-Along Party shall (i) take all such actions in such manner as may be necessary and appropriate to ensure that the Sale is consummated and (ii) shall bear its proportionate share of
all Third Party transaction fees and expenses in connection with such Sale. 

  

	 	(c)	No Syndicatee shall Sell any Shares (other than a Sale pursuant Article 3.3, 4.1 or 4.2 of this Agreement or an Affiliate Transfer) except in accordance with the
provisions of this Section 3.2. A Majority Sponsor may agree with any of its Drag-Along Parties that the number of Shares to be Sold by that Drag-Along Party shall be increased or decreased provided the number of Shares to be Sold by the
Majority Sponsor is also adjusted so that the total aggregate number of Shares to be Sold by the Majority Sponsor and the relevant Drag-Along Party remains unchanged. 

	3.3.	Syndicate Transfers. 

  

	 	(a)	If a Syndicatee desires to Sell all (but not less than all) of the Shares held by it to which this Agreement applies, then a right of first offer shall apply to each
Sponsor with respect to such Sale in accordance with the following provisions: 

  

	 	(i)	The relevant Syndicatee shall provide each Sponsor and the Coordination Committee with a written notice (a Syndicatee Sale Notice) of its desire to Sell
such Shares, which shall specify the number of Shares such Syndicatee wishes to Sell (which, for the avoidance of doubt, shall not be less than all of the Shares held by such Syndicatee to which this Agreement applies), the purchase price for such
Shares and any other terms and conditions material to the Sale proposed by such Syndicatee. 

  

	 	(ii)	Each Sponsor shall have the right to deliver to the Syndicatee an irrevocable written notice within 5 Business Days after delivery of the Syndicatee Sale Notice (the
Syndicatee Sale Election Period), indicating the number of Shares, up to all of the Shares offered, that such Sponsor (and/or its Affiliates) desires to acquire, directly or indirectly, on the terms and conditions set forth in the
Syndicatee Sale Notice. 

  

	 	(iii)	The relevant Shares shall be allocated among the Sponsors that provided written notice prior to the end of the Syndicatee Sale Election Period such that each Sponsor
(and/or its Affiliates) receives the lesser of (A) the number of Shares such Sponsor (and/or its Affiliates) desires to purchase and (B) a pro rata proportion of such Shares based on the relative number of Shares held by the Sponsors that
provided written notice prior to the end of the Syndicatee Sale Election Period. If any of the Shares offered are not Sold, the relevant Sponsors and the Syndicatee shall discuss in good faith whether such Sponsors (and/or their respective
Affiliates) wish to acquire such remaining Shares on the same terms. 

  

	 	(iv)	If the Sponsors (and/or their respective Affiliates) do not elect to purchase or cause the purchase of all of the Shares covered by the Syndicatee Sale Notice before
the end of the Syndicatee Sale Election Period, the selling Syndicatee may Sell such Shares at any time within 90 days following the end of the Syndicatee Sale Election Period, at a price which is not less than the purchase price and on other terms
and conditions no more favorable to the purchaser than those specified in the Syndicatee Sale Notice; PROVIDED THAT: (i) the proposed purchaser must be approved by each of the
Sponsors (in their absolute discretion) before consummation of the Sale of the Shares by the Syndicatee; and (ii) the proposed purchaser must execute a Joinder Agreement prior to the Sale. 

 

	 	(b)	The Coordination Committee shall in good faith manage any Sale process in accordance with the provisions of Section 3.3(a) and the provisions of the Applicable
Coordination Requirements. 

  

	 	(c)	No Syndicatee shall be entitled to initiate a Sale process pursuant to Section 3.3(a) before the third anniversary of the Closing Date. 

	3.4.	Coordination Committee. 

  

	 	(a)	The Sponsors shall create a coordination committee (the Coordination Committee) (which shall not be a committee of the Board) and shall maintain such
committee until the earliest of the following (the Coordination Committee Period): (i) the termination or expiration of this Agreement; (ii) the agreement in writing of the Sponsors to disband such committee; or
(iii) such time as no more than one Sponsor beneficially owns any Shares. During the Coordination Committee Period, the Coordination Committee shall, to the extent provided by the Applicable Coordination Requirements, facilitate the
coordination of any Sales of Shares by the Sponsors (including but not limited to any Sale of Shares pursuant to the provisions of Article 3 and Article 4), and the Sponsors shall cooperate with each other, as reasonably necessary, with respect to
any such Sales. Each of the Sponsors shall be entitled to designate one member of the Coordination Committee. The procedures governing the conduct of the Coordination Committee and the cooperative conduct required by the Sponsors (the
Applicable Coordination Requirements) shall be established from time to time by the unanimous consent of each of the Sponsors who is entitled to designate a member of the Coordination Committee. Notwithstanding anything herein to the
contrary (but without limiting or otherwise modifying the provisions of Article 3 or Article 4 of this Agreement or any Applicable Coordination Requirements that may apply from time to time), the Coordination Committee shall not be permitted to
block or otherwise prohibit or limit Sales of Shares by the Sponsors. 

  

	 	(b)	A Sponsor shall not be entitled to designate a member of the Coordination Committee if it ceases to hold at least 5% of the Shares. To the extent any Sponsor ceases to
be entitled to designate a member of the Coordination Committee, the size of the Coordination Committee shall be deemed to automatically decrease accordingly and such designated member shall immediately cease to be a member of the Coordination
Committee. 

  

	3.5.	Transferee Obligations in Respect of Affiliate Transfers. In the event of an Affiliate Transfer, if the transferee is not already a Party, the transferee must
execute the Joinder Agreement prior to the Sale. Upon execution of the Joinder Agreement, the Parties hereby irrevocably and unconditionally accept such transferee as a party to this Agreement. In the event of an Affiliate Transfer, the transferor
shall be jointly and severally liable for the performance by the transferee of its obligations under this Agreement. 

  

	3.6.	Subscription Rights. 

  

	 	(a)	 Each Sponsor and each Syndicatee shall have the right to subscribe for and purchase its Subscription Right Pro Rata Share (as defined below) of newly
issued equity Securities that the Company may from time to time propose to issue following the IPO (a New Issuance). The Subscription Right Pro Rata 

	 	
Share of a Sponsor or Syndicatee shall be, at any given time, that proportion, calculated prior to any proposed New Issuance, which the number of equity Securities owned by such
Sponsor or Syndicatee at such time bears to the total number of equity Securities issued and outstanding at such time. 

  

	 	(b)	In the event that the Company proposes to undertake a New Issuance, it shall give each of the Sponsors and Syndicatees a written notice (the Notice of
Issuance) of its intention to issue and sell such equity Securities, the price, the identity of the purchaser and the principal terms upon which the Company proposes to issue the same. Each Sponsor and each Syndicatee shall have five
Business Days from the delivery date of any Notice of Issuance to elect to subscribe for and purchase a number of equity Securities up to its Subscription Right Pro Rata Share of equity Securities for the price and upon the terms specified in the
Notice of Issuance by giving written notice to the Company and stating therein the number of equity Securities to be purchased by such Sponsor or Syndicatee. 

 

	 	(c)	In the event that any Sponsor or Syndicatee fails to subscribe for and purchase all of its Subscription Right Pro Rata Share pursuant to this Section 3.6, the
Company shall have 90 days after the date of the Notice of Issuance to consummate the issuance and sale of the equity Securities with respect to which such the subscription right of a Sponsor or Syndicatee was not exercised, at or above the price
and upon terms not more favorable to the purchasers of such equity Securities than the terms specified in the initial Notice of Issuance given in connection with such sale; PROVIDED, however, that the preceding
restrictions on the price and terms and conditions of any such issuance and sale shall not apply to sales based on the prevailing market price of such equity Securities on the New York Stock Exchange or any other public trading medium at the time
that any such issuance and sale is effected. 

  

	 	(d)	The Parties hereby agree that the subscription rights described in this Section 3.6 shall not be exercisable with respect to: 

 

	 	(i)	any issuance of Shares to officers, employees or directors of the Company in connection with such person’s employment or director arrangements with the Company
pursuant to any employee benefit plan of the Company adopted by the Board in accordance with Sections 2.4 and/or 2.5 (as applicable); 

  

	 	(ii)	any stock dividend or any share split or other subdivision or combination of the outstanding Shares, provided that such change has been approved in accordance with the
terms of this Agreement (if relevant); 

  

	 	(iii)	any issuance of Shares upon the exercise, exchange, redemption or conversion of securities directly or indirectly convertible into or exercisable or exchangeable for
Shares; and 

  

	 	(iv)	any issuance of Shares as consideration in connection with a merger, amalgamation or consolidation of the Company or a business acquisition by the Company, provided
that such issuance has been approved by the Board and in accordance with the terms of this Agreement (if relevant). 

 ARTICLE 4. REGISTRATION RIGHTS 

 

	4.1.	Demand Registration. 

  

	 	(a)	Form F-1 Demand. If at any time following the Lock-up Release Date, the Company receives a request from a Sponsor or Sponsors holding more than 50% of the
Registrable Securities then outstanding other than Registrable Securities held by a Syndicatee or a Management LP (which shall not be taken into account for this calculation) that the Company file a Form F-1 registration statement with respect to
the resale of Registrable Securities of such Sponsor or Sponsors where the anticipated gross proceeds (before the deduction of any discounts or commissions) would be at least $100 million, the Company shall: (i) within two Business Days after
the date such request is given, give notice thereof (the Demand Notice) to all Sponsors, Syndicatees and Management LPs other than the Initiating Sponsors; and (ii) as soon as practicable, and in any event within 30 Business Days
after the date such request is given by the Initiating Sponsors, file a registration statement (including on or after the Form F-3 Eligibility Date in the event the Company is no longer eligible to use Form F-3, without limitation, a Shelf
Registration Statement) on Form F-1 under the Securities Act covering all Registrable Securities that the Initiating Sponsors requested to be registered and any additional Registrable Securities requested to be included in such registration by any
other Sponsor or any Syndicatee or Management LP, as specified by notice given by each such Sponsor, Syndicatee or Management LP to the Company within five Business Days of the date the Demand Notice is given, and in each case, subject to the
limitations of Sections 4.1(e) and 4.3. Notwithstanding the foregoing, if any request for filing of an F-1 Registration Statement is for a Shelf Registration Statement and is issued on or after the Form F-3 Eligibility Date as provided above, then
the requirement set forth above that the request be issued by a Sponsor or Sponsors holding more than 50% of the Registrable Securities then outstanding does not apply and the Company shall be obligated to file a Form F-1 registration statement as
set forth above if the anticipated gross proceeds (before the deduction of any discounts or commissions) of the resale of Registrable Securities of the Sponsor or Sponsors demanding such registration would be at least $100 million.

  

	 	(b)	 Form F-3 Demand. If at any time when it is eligible to use a Form F-3 registration statement, the Company receives a request from a Sponsor or
Sponsors that the Company file a Form F-3 registration statement (including, without limitation, a Shelf Registration Statement) with respect to the resale of Registrable Securities of such Sponsor(s) where the anticipated gross proceeds (before the
deduction of any discounts and commissions), would be at least $100 million, then the Company shall: (i) within five Business Days after the date such request is given, give a Demand Notice to all Sponsors, Syndicatees and Mangers other than
the Initiating Sponsors; and (ii) as soon 

	 	
as practicable, and in any event within 30 Business Days after the date such request is given by the Initiating Sponsors, file a Form F-3 registration statement under the Securities Act
covering all Registrable Securities requested to be included in such registration by any other Sponsor or any Syndicatee or Management LP, as specified by notice given by each such Sponsor, Syndicatee or Management LP to the Company within 10
Business Days of the date the Demand Notice is given, and in each case, subject to the limitations of Sections 4.1(e) and 4.3. If at any time the Sponsors collectively own less than the number of Shares that would be expected to result in
anticipated gross proceeds (before deduction of any discounts and commissions) of at least $100 million, then the threshold for a Form F-3 demand will be reduced to $50 million anticipated anticipated gross proceeds (before deduction of any
discounts and commissions). 

  

	 	(c)	The Company shall use commercially reasonable efforts to cause any Shelf Registration Statement to be declared effective under the Securities Act as promptly as
reasonably practicable following the filing thereof with the SEC and to keep the Shelf Registration Statement continuously effective (or replace it with a new Shelf Registration Statement) until the earlier of such date when all Registrable
Securities have been sold pursuant to the Shelf Registration Statement or the Shares covered thereby no longer constitute Registrable Securities. The Company shall promptly amend, renew or replace, as necessary, any Shelf Registration Statement that
shall have expired or otherwise been deemed unusable and shall use its commercially reasonable efforts to keep such amended, renewed or replaced Shelf Registration Statement continuously effective under the Securities Act as specified in this
Section 4.1(c). The “Plan of Distribution” section of any such Shelf Registration Statement shall permit all lawful means of disposition of Registrable Securities, including firm-commitment underwritten public offerings, block trades,
agented transactions, sales directly into the market, purchases or sales by brokers and sales not involving a public offering. 

  

	 	(d)	Any demand registration hereunder may be for an underwritten offering. Upon the written request from a Sponsor or Sponsors, the Company will facilitate in the manner
described in this Agreement an underwritten offering, including an underwritten shelf take-down of Registrable Securities of such Initiating Sponsor or Sponsors off an effective Shelf Registration Statement. In connection with any such underwritten
shelf take-down, the Sponsors, Syndicatees and Management LPs may exercise piggyback rights in the manner described in this Agreement to have included in such underwritten shelf take-down Registrable Securities held by them that are registered on
such Shelf Registration Statement. Upon the demand of a Sponsor, the Company will file and will use its commercially reasonable efforts to seek the effectiveness of a post-effective amendment to an existing Shelf Registration Statement in order to
register up to the number of Shares previously taken down off such Shelf Registration Statement and not yet “reloaded” onto such Shelf Registration Statement. 

	 	(e)	Notwithstanding the foregoing obligations, if the Company furnishes to Sponsors requesting a registration pursuant to this Section 4.1 a certificate signed by the
Company’s chief executive officer stating that in the good faith judgment of the Board, it would be materially detrimental to the Company and its shareholders for such registration statement to either become effective or remain effective for as
long as such registration statement otherwise would be required to remain effective, because such action would: (i) materially interfere with any bona fide material financing of the Company or a significant acquisition, corporate
reorganization, or other similar material transaction involving the Company; or (ii) require premature disclosure of material information that the Company has a bona fide business purpose for preserving as confidential, then the Company shall
have the right to defer taking action with respect to such filing, and any time periods with respect to filing or effectiveness thereof shall be tolled correspondingly, for a period of not more than 60 Business Days after the request of the
Initiating Sponsors is given; PROVIDED THAT the Company: (Y) may not invoke this right more than twice in any twelve (12) month period; and (Z) shall not register any Securities for
its own account (other than as contemplated by paragraph (e)(i) above or for the sole purpose of the sale of Securities to employees, directors or consultants of the Company pursuant to a stock option, stock purchase or similar plan) or for the
account of any other holder of Securities during such period. 

  

	 	(f)	The Company shall not be obligated to: (i) effect, or to take any action to effect, any registration pursuant to Section 4.1(a) if the Initiating Sponsors
propose to dispose of shares of Registrable Securities that may be immediately registered on Form F-3 pursuant to a request made pursuant to Section 4.1(b), including, without limitation, by means of a Shelf Registration Statement take down, or
(ii) effect more than one registration or underwritten public offering pursuant to this Article 4 during any 90 day period. 

  

	4.2.	Piggyback Registration. 

  

	 	(a)	 If the Company proposes to register (including, for this purpose, a registration effected by the Company for shareholders other than the Sponsors,
Syndicatees or Management LPs) any of its Securities under the Securities Act in connection with the public offering of such Securities other than in an Excluded Registration, the Company shall, at such time, promptly give each Sponsor, Syndicatee
and Management LP notice of such registration. Upon the request of each Sponsor, Syndicatee and Management LP given within 5 Business Days after such notice is given by the Company, the Company shall, subject to the provisions of Section 4.3,
cause to be registered all of the Registrable Securities that each Sponsor, Syndicatee and Management LP has requested to be included in such registration. The Company or such other shareholders shall have the right to terminate or withdraw any
registration initiated by it or them, as applicable, under this Section 4.2 before the effective date of such registration, whether or not any Sponsor, Syndicatee or Management LP has elected to include Registrable

	 	
Securities in such registration. The expenses (other than Selling Expenses) of such withdrawn registration shall be borne by the Company in accordance with Section 4.6.

  

	 	(b)	In connection with any shelf take-down at the initiative of the Company, the Sponsors, Syndicatees and Management LPs may exercise piggyback rights in the manner
described in this Agreement to have included in such takedown Registrable Securities held by them that are registered on such Shelf Registration Statement. 

 

	 	(c)	The Company shall identify the potential underwriters(s) for an underwritten offer pursuant to this Section 4.2, which underwriter(s) shall be an investment
banking firm(s) of national standing and shall be subject to the approval of the Sponsors participating in such offer (if any), such approval not to be unreasonably withheld, delayed or conditioned. 

 

	4.3.	Offering Requirements. 

  

	 	(a)	 If, pursuant to Section 4.1, the Initiating Sponsors intend to distribute the Registrable Securities covered by their request by means of an
underwritten offering, they shall so advise the Company as a part of their registration request made pursuant to Section 4.1 (or, alternatively, in the case of a Shelf Registration Statement takedown, a written request to the Company). In the
event of an underwritten offering pursuant to this Section 4.3(a), (A) the Initiating Sponsors shall provide such request in writing to the Company at least ten Business Days’ prior to the expected date of the proposed offering and
(B) the Company shall use commercially reasonable efforts to cooperate with the Sponsors and the potential underwriters to effect such underwritten offering as soon as reasonably practicable thereafter. Within two Business Days after the
receipt of the request from the Initiating Sponsors, the Company shall give written notice of the proposed underwritten offering under this Section 4.3(a) to each Sponsor, Syndicatee and Management LP (or, in the case of a Shelf Registration
Statement takedown, to each Sponsor, Syndicatee and Management LP whose Registrable Securities are included in the applicable Shelf Registration Statement), which notice may be the Demand Notice in the case of a request under Section 4.1(a) or
4.1(b), and shall specify the type of offering, the number and type of Registrable Securities proposed to be offered and the proposed managing underwriter(s). Subject to the provisions of this Section 4.3, each Sponsor, Syndicatee and
Management LP that requests in writing within five Business Days after the receipt of the Company’s written notice described in the preceding sentence that all or a portion of its Registrable Securities be included in the proposed underwritten
offering shall be permitted to include such Registrable Securities in such underwritten offering. Sponsors holding a majority of the Registrable Securities to be included in such underwritten offering shall identify the potential underwriters(s) for
such underwritten offer, which underwriter(s) shall be an investment banking firm(s) of national standing and shall be subject to the Company’s approval, not to be unreasonably withheld, delayed or conditioned. Notwithstanding any other
provision of this 

	 	
Section 4.3, if the managing underwriter advises the Company, the Sponsors, the Syndicatees and the Management LPs participating in such offering in writing that marketing factors require a
limitation on the number of Shares to be underwritten, then the number of Registrable Securities that may be included in the underwriting shall be allocated among such Sponsors, Syndicatees and Management LPs, including the Initiating Sponsors, in
proportion (as nearly as practicable) to the number of Registrable Securities owned by each Sponsor, Syndicatee and Management LP or in such other proportion as shall mutually be agreed to by all such selling Sponsors; PROVIDED
THAT the number of Registrable Securities held by the Sponsors, the Syndicatees and the Management LPs to be included in such underwriting shall not be reduced unless all other Securities are first entirely excluded
from the underwriting. 

  

	 	(b)	If the total number of Securities, including Registrable Securities, requested by shareholders to be included in an underwritten offering pursuant to Section 4.2
exceeds the number of Securities to be sold (other than by the Company) that the underwriters advise the Company in writing (a copy of which shall be provided to the selling Sponsors, Syndicatees and Management LPs) can be sold without having a
material adverse effect on such offering including the price at which such Shares can be sold, then the Company shall be required to include in the offering only that number of such Securities, including Registrable Securities, which the
underwriters and the Company in their sole discretion determine will not materially impact the price. If the underwriters determine that less than all of the Registrable Securities requested to be registered can be included in such offering, then
the Registrable Securities that are included in such offering shall be allocated among the selling Sponsors, Syndicatees and Management LPs in proportion (as nearly as practicable) to the number of Registrable Securities owned by each selling
Sponsor, Syndicatee and Management LP or in such other proportions as shall mutually be agreed to by all such selling Sponsors, Syndicatees and Management LPs. Notwithstanding the foregoing, in no event shall the number of Registrable Securities
included in the offering be reduced unless all other Securities (other than the Securities to be sold by the Company) are first entirely excluded from the offering. 

 

	 	(c)	For the purposes of the provisions of this Section 4.3 concerning apportionment, for any selling Sponsor that is a partnership, limited liability company, or
corporation, the partners, members, retired partners, retired members, shareholders, and Affiliates of such Sponsor, Syndicatee or Management LP, as applicable, or the estates and Immediate Family Members of any such partners, retired partners,
members, and retired members and any trusts for the benefit of any of the foregoing Persons, shall be deemed to be a single “selling Sponsor”, and any pro rata reduction with respect to such “selling Sponsor” shall be based upon
the aggregate number of Registrable Securities owned by all Persons included in such “selling Sponsor”, as defined in this sentence. 

	 	(d)	All Sponsors, Syndicatees and Management LPs proposing to distribute their Securities through an underwritten offering pursuant to this Article 4 shall (together with
the Company as provided in Section 4.4(e)) enter into an underwriting agreement with the underwriter(s) selected for such offering, with such agreement to contain such representations and warranties by the Company and the selling shareholders
and such other terms and provisions as are customarily contained in underwriting agreements with respect to secondary distributions. 

  

	 	(e)	If the Initiating Sponsors desire to effect an offering pursuant to a Shelf Registration Statement that does not constitute an underwritten offering (a
Non-Underwritten Shelf Takedown), the Initiating Sponsors shall so indicate in a written request delivered to the Company no later than two Business Days prior to the expected date of such Non-Underwritten Shelf Takedown, which request
shall include (i) the total number and type of Registrable Securities expected to be offered and sold in such Non-Underwritten Shelf Takedown, (ii) the expected plan of distribution of such Non-Underwritten Shelf Takedown and
(iii) the action or actions required (including the timing thereof) in connection with such Non-Underwritten Shelf Takedown. To the extent necessary to effect such Non-Underwritten Shelf Takedown, the Company shall use its commercially
reasonable efforts to (x) file and effect an amendment or supplement to the applicable Shelf Registration Statement for such purpose as soon as reasonably practicable and (y) enter into and perform its obligations under documents or
certificates customary in similar offerings, including, without limitation, placement agent agreements with the applicable brokers. Upon the receipt of such request, the Company shall promptly give written notice of the Non-Underwritten Shelf
Takedown to the other Sponsors, Syndicatees and Management LPs whose Registrable Securities are included in the Shelf Registration Statement and each such Sponsor, Syndicatee and Management LP that requests in writing that all or a portion of its
Registrable Securities be included in the Non-Underwritten Shelf Takedown shall be permitted to include such Registrable Securities in the Non-Underwritten Shelf Takedown. Notwithstanding the foregoing, the Company shall not be required to file an
amendment or supplement to its registration statement within 30 days of a previous amendment or supplement with respect to a Non-Underwritten Shelf Takedown. 

 

	4.4.	Obligations of the Company. Whenever required under this Article 4 to effect the registration of any Registrable Securities, the Company shall, as promptly as
possible: 

  

	 	(a)	 prepare and file with the SEC a registration statement with respect to such Registrable Securities and use its commercially reasonable efforts to cause
such registration statement to become effective and, upon the request of the Sponsors holding a majority of the Registrable Securities registered thereunder, use its commercially reasonable efforts to keep such registration statement effective
(i) in the case of a registration statement other than a Shelf Registration Statement 120 days or, if earlier, until the distribution contemplated in such registration statement has been completed; PROVIDED
THAT: such 120 day period shall be extended for a period of time equal to the 

	 	
period the Sponsors, Syndicatees and Management LPs refrain, at the request of an underwriter of Securities of the Company, from selling any Securities included in such registration; (ii) in
the case of a Shelf Registration Statement, the date on which all Registrable Securities covered thereby have been sold pursuant to such registration (or, if earlier, the first date on which no Registrable Securities remain outstanding); or
(iii) such other period as may be specified in this Article 4; 

  

	 	(b)	prepare and file with the SEC such amendments and supplements to such registration statement, and the prospectus used in connection with such registration statement, as
may be necessary to comply with the Securities Act in order to enable the disposition of all Securities covered by such registration statement for the period set forth in 4.4(a); 

 

	 	(c)	furnish (without charge) to the selling Sponsors, Syndicatees and Management LPs, upon request, such numbers of copies of the prospectus, including the applicable
preliminary prospectus, as required by the Securities Act, and such other documents as the Sponsors, Syndicatees or Management LPs may reasonably request in order to facilitate their disposition of their Registrable Securities;

  

	 	(d)	use its commercially reasonable efforts to: (i) register and qualify the Securities covered by such registration statement under such other securities or blue-sky
Laws of such jurisdictions as shall be reasonably requested by the selling Sponsors; (ii) keep the registration and qualification in effect for so long as such registration statement remains in effect; and (iii) take any and all other
actions which may be necessary or advisable to enable the Sponsors, Syndicatees and Management LPs holding the Registrable Securities or underwriters to consummate the disposition in such jurisdictions of the Securities to be sold by such Sponsors,
Syndicatees, Management LPs or underwriters; PROVIDED THAT the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent
to service of process in any such states or jurisdictions, unless the Company is already subject to service in such jurisdiction and except as may be required by the Securities Act; 

 

	 	(e)	in the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement with the underwriter(s) of such offering, with
such agreement to contain such representations and warranties by the Company, the Sponsors, the Syndicatees and the Management LPs and such other terms and provisions as are customarily contained in underwriting agreements with respect to secondary
distributions; 

  

	 	(f)	use its commercially reasonable efforts to cause all such Registrable Securities covered by such registration statement to be listed on the national securities exchange
or trading system and each securities exchange and trading system (if any) on which similar Securities issued by the Company are then listed; 

	 	(g)	use its commercially reasonable efforts to provide a transfer agent and registrar for all Registrable Securities registered pursuant to this Agreement and provide a
CUSIP number for all such Registrable Securities, in each case not later than the effective date of such registration; 

  

	 	(h)	use its commercially reasonable efforts to furnish to the underwriter, in the event of an underwritten public offering, at the request of any Sponsor requesting
registration of Registrable Securities pursuant to this Article 4: (A) on the date on which such Registrable Securities are settled, an opinion, dated such date, of the counsel representing the Company for the purposes of such registration, in
form and substance as is customarily given to underwriters in an underwritten public offering, addressed to the underwriters; and (B) a “comfort” letter dated the date of pricing of such offering and a customary “bring-down”
letter dated the settlement date, from the independent certified public accountants of the Company, in form and substance as is customarily given by independent certified public accountants to underwriters in an underwritten public offering,
addressed to the underwriters; 

  

	 	(i)	promptly notify each Sponsor, Syndicatee and Management LP participating in the offering and each managing underwriter: (A) when such registration statement, any
pre-effective amendment, the prospectus or any prospectus supplement related thereto or post-effective amendment to such registration statement has been filed, and, with respect to such registration statement or any post-effective amendment, when
the same has become effective; (B) of the receipt by the Company of any comments from the SEC or receipt of any request by the SEC for additional information with respect to any registration statement or the prospectus related thereto or any
request by the SEC for amending or supplementing the registration statement and the prospectus used in connection therewith; (C) of the issuance by the SEC of any stop order suspending the effectiveness of such registration statement or the
initiation of any proceedings for that purpose; (D) of the receipt by the Company of any notification with respect to the suspension of the qualification of any of the Registrable Securities for sale under the securities or blue sky Laws of any
jurisdiction or the initiation of any proceeding for such purpose; and (E) at any time when a prospectus relating thereto is required to be delivered under the Securities Act, upon discovery that, or upon the happening of any event as a result
of which, the prospectus included in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein not
misleading, in the light of the circumstances under which they were made (which notice shall be accompanied by an instruction to suspend the use of the prospectus until the requisite changes have been made), and in the case of this paragraph (E),
promptly prepare and furnish, at the Company’s expense, to each participating Sponsor, Syndicatee and Management LP and each managing underwriter a number of copies of a supplement to or an amendment of such prospectus as may be necessary so
that, as thereafter delivered to the purchasers of such Securities, such prospectus shall not include an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein
not misleading in the light of the circumstances under which they were made; 

	 	(j)	deliver promptly to counsel to the Sponsors, Syndicatees and Management LPs and each underwriter, if any, participating in the offering of the Registrable Securities,
copies of all correspondence between the SEC and the Company, its counsel or auditors and all memoranda relating to discussions with the SEC or its staff with respect to such registration statement; 

 

	 	(k)	use its commercially reasonable efforts to obtain the withdrawal of any order suspending the effectiveness of the registration statement; 

 

	 	(l)	cause its officers and employees to participate in, and to otherwise facilitate and cooperate with, the preparation of the registration statement and prospectus and any
amendments or supplements thereto (including, without limitation, participating in meetings, drafting sessions, due diligence sessions and the marketing of the Registrable Securities covered by the registration statement (including, without
limitation, participation in “road shows”)) taking into account the Company’s commercially reasonable business needs; 

  

	 	(m)	enter into and perform its obligations under such customary agreements (including, without limitation any applicable underwriting agreement) and take such other actions
as the majority of the Sponsors participating in the offering or managing underwriter(s) shall reasonably request in order to expedite or facilitate the disposition of such Registrable Securities; 

 

	 	(n)	promptly incorporate in a prospectus supplement or post-effective amendment such information as the managing underwriter(s) or a majority of the Sponsors holding
Registrable Securities included in a registration statement reasonably request to be included therein relating to the “Plan of Distribution” section with respect to such Registrable Securities, and make all required filings of such
prospectus supplement or post-effective amendment as soon as practicable after being notified of the matters to be incorporated in such prospectus supplement or post-effective amendment; 

 

	 	(o)	upon the written request of any Sponsor, Syndicatee or Management LP who is included in a Shelf Registration Statement, supplement or amend a Shelf Registration
Statement as necessary to add or delete Sponsors as selling shareholders and to change the amounts of securities offered; 

  

	 	(p)	cooperate with each Sponsor, Syndicatee and Management LP participating in the offering and each underwriter, and their respective counsel, in connection with any
filings required to be made with the Financial Industry Regulatory Authority (FINRA), the New York Stock Exchange, or any other securities exchange on which such Registrable Securities are traded or will be traded;

  

	 	(q)	 make available for inspection by any Sponsor, any Syndicatee, any Management LP and any underwriter participating in any disposition pursuant to a
registration statement being filed by the Company pursuant to this Article 4 and any attorney, accountant or other professional retained by 

	 	
any such Sponsor, Syndicatee, Management LP or underwriter (collectively, the Inspectors), all financial and other records, pertinent corporate documents and properties of the
Company (collectively, the Records) as shall be reasonably necessary or desirable to enable them to exercise their due diligence responsibility, and cause the Company’s officers, directors and employees to supply all information
reasonably requested by any Inspectors in connection with such registration statement. Records that the Company determines, in good faith, to be confidential and that it notifies the Inspectors are confidential shall not be disclosed by the
Inspectors unless (i) the Company’s counsel has determined that the disclosure of such Records is necessary to avoid or correct a misstatement or omission in such registration statement or (ii) the release of such Records is ordered
pursuant to a subpoena or other order from a court of competent jurisdiction. Each Sponsor, Syndicatee and Management LP agrees that information obtained by it as a result of such inspections shall be deemed confidential and shall not be used by it
or its Affiliates as the basis for any market transactions in the Company’s Securities unless and until, in the Company’s sole discretion, such information is made generally available to the public. Each Sponsor, Syndicatee and Management
LP further agrees that, upon learning that disclosure of such Records is sought in a court of competent jurisdiction, it shall give, and shall use commercially reasonable efforts to cause its Inspectors to give, notice to the Company and allow the
Company, at its expense, to undertake appropriate action to prevent disclosure of the Records deemed confidential. 

  

	 	(r)	Except with respect to a Shelf Registration Statement (other than a Shelf Registration Statement for which the Company has received a request to conduct a shelf
take-down and such take-down has not yet been completed), promptly prior to the filing of any document which is to be incorporated by reference into the registration statement or the prospectus contained therein (after the initial filing of such
registration statement) provide copies of such document to counsel for the Sponsors, the Syndicatees and the Management LPs participating in the offering and to each managing underwriter, and make the Company’s representatives available for
discussion of such document and make such changes in such document concerning the Sponsors, Syndicatees and Management LPs participating in the offering prior to the filing thereof as counsel for such Sponsors, Syndicatees, Management LPs or
underwriters may reasonably request; 

  

	 	(s)	furnish to each Sponsor, Syndicatee and Management LP participating in the offering and each managing underwriter(s), upon request and without charge, at least one
signed copy of the registration statement and any post-effective amendments thereto, excluding all documents incorporated therein by reference and all exhibits (including, without limitation, those incorporated by reference);

  

	 	(t)	 cooperate with the Sponsors, Syndicatees and Management LPs participating in the offering and the managing underwriter(s) to facilitate the timely
preparation and delivery of certificates not bearing any restrictive legends 

	 	
representing the Registrable Securities to be sold, and cause such Registrable Securities to be issued in such denominations and registered in such names in accordance with the underwriting
agreement prior to any sale of Registrable Securities to the underwriters or, if not an underwritten offering, in accordance with the instructions of such participating Sponsors, Syndicatees and Management LPs at least two Business Days prior to any
sale of Registrable Securities and instruct any transfer agent or registrar of Registrable Securities to release any stop transfer orders in respect thereof; 

 

	 	(u)	to the extent required by the rules and regulations of FINRA, retain a “qualified independent underwriter”, which shall be reasonably acceptable to the
majority of the Sponsors participating in the offering; and 

  

	 	(v)	take no direct or indirect action prohibited by Regulation M under the Exchange Act. 

 

	4.5.	Furnish Information. It shall be a condition precedent to the obligations of the Company to take any action pursuant to this Article 4 with respect to the
Registrable Securities of any selling Sponsor or selling Syndicatee or selling Management LP that such Sponsor, Syndicatee or Management LP, as applicable, shall furnish to the Company such information regarding itself, the Registrable Securities
held by it, and the intended method of disposition of such Securities as is reasonably required to effect the registration of such Sponsor’s, Syndicatee’s or Management LP’s, as applicable, Registrable Securities.

  

	4.6.	Expenses of Registration. The Company shall pay any and all Registration Expenses. (other than Selling Expenses) incurred in connection with registrations,
filings or qualifications pursuant to this Article 4, regardless of whether the applicable registration statement is declared effective. All Selling Expenses relating to Registrable Securities registered pursuant to this Section shall be borne and
paid by the Sponsors pro rata on the basis of the number of Registrable Securities registered on their behalf. 

  

	4.7.	Well-Known Seasoned Issuer. 

  

	 	(a)	To the extent the Company is a well-known seasoned issuer (as defined in Rule 405 under the Securities Act, a WKSI) at the time any demand is submitted to
the Company by a Sponsor pursuant to Section 4.1 or the Company is otherwise required to file a registration statement under Section 4.1, the Company shall file an Automatic Shelf Registration Statement which covers those Registrable
Securities which are requested to be registered. 

  

	 	(b)	 The Company shall use commercially reasonable efforts to remain a WKSI (and not become an “ineligible issuer” (as defined in Rule 405 under
the Securities Act)) during the period during which such Automatic Shelf Registration Statement is required to remain effective. If the Company does not pay the filing fee covering the Registrable Securities at the time the Automatic Shelf
Registration Statement is filed, the Company agrees to pay such fee at such time or times as the Registrable Securities are to be sold. If the Automatic Shelf Registration Statement has been outstanding for at least three years, at the end of the
third year the Company shall refile a new 

	 	
automatic shelf registration statement covering the Registrable Securities. If on any “determination date” (as described in clause (2) of the definition of “Well-Known
Seasoned Issuer” in Rule 405 under the Securities Act) when the Company has an active Shelf Registration Statement covering Registrable Securities on file with the SEC the Company determines that it is not a WKSI, the Company shall refile the
Shelf Registration Statement covering Registrable Securities on Form F-3 or, if such form is not available and any Sponsor so requests, Form F-1, and keep such Shelf Registration Statement effective during the period during which such Shelf
Registration Statement is required to be kept effective. 

  

	4.8.	Indemnification. If any Registrable Securities are included in a registration statement under this Article 4: 

 

	 	(a)	To the extent permitted by Law, the Company will indemnify and hold harmless each Sponsor, each Syndicatee and each Management LP holding Registrable Securities covered
by a Registration Statement, their respective Affiliates and all partners, members, officers, directors, employees, agents and shareholders of each such Sponsor, each such Syndicatee and each such Management LP and their respective Affiliates; any
underwriter (as defined in the Securities Act) of the Registrable Securities and each Person, if any, who controls such Sponsor, Syndicatee, Management LP or underwriter within the meaning of the Securities Act or the Exchange Act (each, an
Investor Indemnified Person), against any Damages arising out of or based on: (i) any untrue statement (or alleged untrue statement) of a material fact contained or incorporated by reference in any registration statement,
preliminary prospectus, final prospectus, summary prospectus or “issuer free writing prospectus” (as defined in Rule 433 of the Securities Act) or any other such disclosure document or related document or report authorized by the Company
incident to any such registration; (ii) any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein (with respect to a prospectus, in light of the circumstances
under which they were made) not misleading; or (iii) any violation (or alleged violation) by the Company of applicable Law (including the Securities Act, any state securities Laws or any rule or regulation thereunder) applicable to the Company
and relating to action or inaction required of the Company in connection with any offering covered by such registration; and the Company will pay to each such Investor Indemnified Person any legal or other expenses reasonably incurred thereby in
connection with investigating or defending any claim or proceeding from which Damages may result, as such expenses are incurred; PROVIDED THAT the Company shall not be liable for any Damages to the
extent that they arise out of or are based upon actions or omissions made in reliance upon and in conformity with written information furnished by or on behalf of any Sponsor, Syndicatee or Management LP expressly for inclusion in the registration
statement, preliminary prospectus, final prospectus, summary prospectus, issuer free writing prospectus or offering circular. 

	 	(b)	To the extent permitted by Law, each Sponsor, each Syndicatee and each Management LP selling Registrable Securities covered by a Registration Statement, severally and
not jointly, will indemnify and hold harmless the Company, and each of its directors, each of its officers who has signed the registration statement, each Person (if any), who controls the Company within the meaning of the Securities Act, any
underwriter of the Registrable Securities any other Sponsor, Syndicatee or Management LP selling Securities in such registration statement, and any controlling Person of any such underwriter or other Sponsor, Syndicatee or Management LP to the same
extent as the indemnity from the Company set forth in Section 4.8(a), but only with respect to written information furnished by or on behalf of such selling Sponsor, Syndicatee or Management LP expressly for inclusion in the registration
statement, preliminary prospectus, final prospectus, summary prospectus or issuer free writing prospectus or any other such disclosure document or related document or report incident to any such registration; and each such selling Sponsor, each such
Syndicatee and each such Management LP will pay to the Company and each other aforementioned Person any legal or other expenses reasonably incurred thereby in connection with investigating or defending any claim or proceeding from which Damages may
result, as such expenses are incurred; PROVIDED THAT in no event shall the aggregate amounts payable by any Sponsor, any Syndicatee or any Management LP by way of indemnity or contribution under
Sections 4.8(b) and 4.8(d) exceed the proceeds from the offering received by such Sponsor, Syndicatee or Management LP (net of any Selling Expenses paid by such Sponsor, Syndicatee or Management LP). 

 

	 	(c)	 Promptly after receipt by an indemnified party under this Section 4.8 of notice of the commencement of any action (including any governmental
action) for which a party may be entitled to indemnification hereunder, such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 4.8, give the indemnifying party notice of the
commencement thereof. The indemnifying party shall have the right to participate in such action and, to the extent the indemnifying party so desires, participate jointly with any other indemnifying party to which notice has been given, and to assume
the defense thereof with counsel mutually satisfactory to the parties, and, after notice from the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party shall not be liable to such
indemnified party under such section for any fees and expenses of other counsel incurred subsequently by such indemnified party; PROVIDED THAT an indemnified party (together with all other
indemnified parties that may be represented without conflict by one counsel) shall have the right to retain one separate counsel, with the fees and expenses to be paid by the indemnifying party, if representation of such indemnified party by the
counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests between such indemnified party and any other party represented by such counsel in such action. The indemnifying party shall not be
liable for any settlement of any proceeding effected without its written consent (which shall not be 

	 	
unreasonably withheld, delayed or conditioned), but if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified
party from and against any loss or liability by reason of such settlement or judgment. Without the prior written consent of the indemnified party (which shall not be unreasonably withheld, delayed or conditioned), the indemnifying party shall not
consent to entry of judgment or enter into any settlement of any pending or threatened proceeding, in respect of which any indemnified party is or could have been a party or indemnity could have been sought hereunder by such indemnified party, that
(A) does not include an unconditional release of such indemnified party, reasonably satisfactory to such indemnified party, from all liability arising out of such proceeding and (B) includes any statement as to admission of fault,
culpability or failure to act by or on behalf of such indemnified party. The failure to give notice to the indemnifying party within a reasonable time of the commencement of any action shall only relieve such indemnifying party of any liability to
the indemnified party under this Section 4.8 to the extent that such failure actually and materially prejudices the indemnifying party’s ability to defend such action, and the failure to give notice to the indemnifying party will not
relieve the indemnifying party of any liability that it may have to any indemnified party otherwise than under this Section 4.8. 

  

	 	(d)	 To provide for just and equitable contribution to joint liability under the Securities Act in any case in which either: (i) any party otherwise
entitled to indemnification hereunder makes a claim for indemnification pursuant to this Section 4.8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to
appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case, notwithstanding the fact that this Section 4.8 provides for indemnification in such case; or (ii) contribution under the
Securities Act may be required on the part of any party for which indemnification is provided under this Section 4.8 then, and in each such case, such parties will contribute to the aggregate Damages to which they may be subject (after
contribution from others) in such proportion as is appropriate to reflect the relative fault of each of the indemnifying party and the indemnified party in connection with the statements, omissions, or other actions that resulted in such Damages, as
well as to reflect any other relevant equitable considerations. The relative fault of the indemnifying party and of the indemnified party shall be determined by reference to, among other things, whether the untrue or allegedly untrue statement of a
material fact, or the omission or alleged omission of a material fact, relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information, and opportunity to
correct or prevent such statement or omission; PROVIDED THAT, in any such case: (x) each Sponsor’s, each Syndicatee’s and each Management LP’s liability pursuant to this Section 4.8(d) shall be limited as set forth in
Section 4.8(b); and (y) no Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) will be entitled to 

	 	
contribution from any Person who was not guilty of such fraudulent misrepresentation. The parties hereto agree that it would not be just and equitable if contribution pursuant to this
paragraph (d) were determined by pro rata allocation or by any other method of allocation which does not take into account the equitable considerations referred to in this Section 4.8. The liability of any Sponsor under this
Section 4.8(d) shall be several and not joint. 

  

	 	(e)	The obligations of the parties under this Section 4.8 shall be in addition to any liability which any party may otherwise have to any other Person.

  

	 	(f)	Notwithstanding the foregoing, to the extent that the provisions on indemnification and contribution contained in the underwriting agreement entered into in connection
with the underwritten public offering are in conflict with the foregoing provisions, the provisions in the underwriting agreement shall control. 

  

	 	(g)	The obligations of the Company, Sponsors, Syndicatees and Management LPs under this Article 4 shall survive the completion of any offering of Registrable Securities in
a registration under this Article 4, and otherwise shall survive the termination of this Agreement. 

  

	4.9.	Information: Form F-3. With a view to making available to the Sponsors, the Syndicatees and the Management LPs the benefits of Rule 144 and any other rule or
regulation of the SEC that may at any time permit a Sponsor, Syndicatee or Management LP to sell Securities of the Company without registration or pursuant to a registration statement on Form F-3, the Company agrees to use commercially reasonable
efforts to: (i) make and keep adequate current public information available, as those terms are understood and defined in Rule 144, at all times that the Company is subject to the periodic reporting requirements under Sections 13 or 15(d) of
the Exchange Act; (ii) file with the SEC in a timely manner all reports and other documents required of the Company under the Securities Act and the Exchange Act and (iii) furnish to each Sponsor, each Syndicatee and each Management LP,
forthwith upon reasonable request: (A) a written statement by the Company that it has complied with the reporting requirements of the Securities Act and the Exchange Act at all times after it has become subject to such reporting requirements,
or that it qualifies as a registrant whose Securities may be resold pursuant to a registration statement on Form F-3 at any time after it so qualifies; (B) a copy of the most recent annual or quarterly report (if any) of the Company, and such
other statements, reports and other documents, in each case, as filed by the Company with the SEC; and (C) such other information as may be reasonably requested in availing a Sponsor, Syndicatee or Management LP of any rule or regulation of the
SEC which permits the selling of any such Securities without registration or pursuant to a registration statement on Form F-3. From the date hereof until termination of the registration rights provisions of this Agreement: (1) the Company shall
continue to use commercially reasonable efforts to qualify for registration on Form F-3 for secondary sales; and (2) the Company shall not take any action to amend its governing documents, or enter into or amend any agreement, if such amendment
or agreement would materially impair or otherwise adversely affect the rights of the Sponsors, Syndicatees or Management LP under this Article 4. 

	4.10.	Limitations on Subsequent Registration Rights. From and after the date of this Agreement, the Company shall not, without the prior written consent of the
Sponsors holding a majority of the Registrable Securities then outstanding, enter into any agreement with any holder or prospective holder of any Securities of the Company that would allow such holder or prospective holder: (i) to include such
Securities in any registration unless, under the express terms of such agreement, such holder or prospective holder may include such Securities in any such registration only to the extent that the inclusion of such Securities will not reduce the
number of the Registrable Securities of the Sponsors, the Syndicatees or the Management LPs that are included; or (ii) to initiate a demand for registration of any Securities held by such holder or prospective holder. In the event that the
Company engages in a merger or consolidation in which the Shares are converted into the Securities of another company, appropriate arrangements will be made so that the registration rights provided under this Agreement continue to be provided to the
Sponsors, the Syndicatees and the Management LPs by the issuer of such Securities. 

  

	4.11.	“Market Stand-off” Agreement. If and to the extent reasonably requested by the managing underwriter(s) of an underwritten public offering of the
Company’s equity Securities based on then-current market practice: 

  

	 	(a)	 subject to customary exceptions similar to those contained in the lock-up agreements related to the IPO, each Sponsor, each Syndicatee and each
Management LP will not during the period commencing on the date of the final prospectus relating to the registration by the Company of Shares or any other equity Securities under the Securities Act and ending on the date specified by the Company and
the managing underwriter (such period not to exceed 90 days (which period may be extended upon the written request of the managing underwriter(s), to the extent required by any FINRA rules, for an additional period of up to 18 days, if the Company
issues or proposes to issue an earnings or other public release within 15 days of the expiration of the 90-day lock-up period), (i) lend; offer; pledge; sell; contract to sell; sell any option or contract to purchase; purchase any option or
contract to sell; grant any option, right, or warrant to purchase; or otherwise transfer or dispose of, directly or indirectly, any Shares or other equity Securities held immediately before the effective date of the registration statement for such
offering or any securities convertible into or exercisable or exchangeable for such Shares or other equity Securities; or (ii) enter into any swap or other arrangement that transfers to another, in whole or in part, any of the economic
consequences of ownership of such Shares or other equity Securities, whether any such transaction described in paragraphs (i) or (ii) above is to be settled by delivery of Shares or other Securities, in cash, or otherwise. The foregoing
provisions of this Section 4.11 shall not apply to the sale of any Shares to an underwriter pursuant to an underwriting agreement, and shall be applicable to the Sponsors, Syndicatees or Management LPs only if all officers and directors are
subject to the same restrictions and, to the extent requested by the managing underwriter(s) for such offering, the 

	 	
Company uses commercially reasonable efforts to obtain a similar agreement from all shareholders individually owning more than one percent of the Shares outstanding. Any discretionary waiver or
termination of the restrictions of any or all of such agreements by the Company or the underwriters shall apply pro rata to all Sponsors, Syndicatees and Management LPs subject to such agreements, based on the number of Shares subject to such
agreements; and 

  

	 	(b)	if the Sponsors, Syndicatees and Management LPs enter into any lock-up or similar agreements with underwriters in connection with any public offering of Registrable
Securities, then the terms of such agreements, whilst in effect, shall replace and supersede the terms of Section 4.11(a). 

  

	4.12.	Termination of Registration Rights. The right of any Sponsor to request registration or inclusion of Registrable Securities in any registration pursuant to
Section 4.1 or 4.2 and the right of any Syndicatee or Management LP to request inclusion of Registrable Securities in any registration pursuant to Section 4.2 shall terminate when: (a) a registration statement relating to the sale of
such Registrable Securities has been declared effective by the SEC and such Registrable Securities have been disposed of by a Sponsor, Syndicatee or Management LP pursuant thereto; or (b) such Registrable Securities have been disposed of by a
Sponsor, Syndicatee or Management LP pursuant to Rule 144. 

 ARTICLE 5. INFORMATION AND CONFIDENTIALITY

  

	5.1.	Access to Information. 

  

	 	(a)	At any time during which the Company does not file reports with a securities regulatory authority that are publicly available that contain such information, the Company
shall deliver to the Sponsors and the Syndicatees (a) the most recent audited annual financial statements of the Company and (b) the most recent unaudited quarterly financial statements of the Company, in each case, as promptly as
practicable after each applicable period end, but no later than they otherwise become available. 

  

	 	(b)	The Company shall, and shall cause each of its Subsidiaries, at any and all reasonable times during normal business hours on reasonable notice and in such manner as is
not reasonably likely to adversely affect the operations of the Company or any of its Subsidiaries, as the case may be, to permit each of the Sponsors and their respective advisors and agents to examine, at such Sponsor’s expense, all books of
account, records, reports documents, data and papers, and to make copies and take extracts and to discuss its business, affairs, finances and accounts with its senior employees, accountants and other advisors; provided that such rights shall
not apply to a Sponsor that holds less than 5% of the Shares. 

  

	 	(c)	 A Sponsor that holds more than 5% of the Shares may disclose Confidential Information in connection with any proposed Sale by such Party to a Third
Party provided that such Sale is permitted in accordance with the terms of this Agreement and provided that such Third Party enters into a 

	 	
confidentiality agreement for the benefit of the Parties to hold any such information in strict confidence and to not use such information for any purpose other than such Sale and specifying that
the Parties shall be jointly and severally entitled to enforce such confidentiality agreement. 

  

	5.2.	Confidentiality and Announcements. 

  

	 	(a)	The Parties acknowledge that the provisions of this Agreement shall be publicly disclosed in their entirety. 

 

	 	(b)	Each Sponsor agrees to hold in strict confidence all Confidential Information. Subject to applicable Law, a Party may disclose any Confidential Information to
(a) any of its Representatives and (b) the Company, its Subsidiaries and their respective directors, management or advisers (collectively, Authorized Recipients) on a confidential basis. If a Sponsor or any of its Authorized
Recipients is required by Law or regulation or any legal or judicial process to disclose any Confidential Information, or disclosure of Confidential Information is requested by any Governmental Authority having authority over such Sponsor, such
Sponsor shall promptly notify the Company and the other Sponsors of such requirement so that the Company may at its own expense oppose such requirement or seek a protective order and request confidential treatment thereof. If such Sponsor or such
Authorized Recipient is nonetheless required, or such a request nonetheless remains outstanding, to disclose any such Confidential Information, such Sponsor or Authorized Recipient may disclose such portion of such Confidential Information without
liability hereunder. 

  

	 	(c)	No public announcement or press release concerning Confidential Information shall be made by any Sponsor (or any Affiliate thereof), without the prior consent of the
Company and the other Sponsors, which may also be given in general terms with respect to categories of announcements. This provision shall not prohibit any public announcement or press release required to be made by any applicable Laws or
regulations, provided that such Sponsor (or such Affiliate) that is making such announcement shall, to the extent practicable, consult with the Company and the other Sponsors concerning the timing and content of such announcement before such
announcement is made and shall give a copy thereof to the other Parties at the same time as, or as soon as reasonably practicable after, the making of such announcement. 

 

	 	(d)	Each Party agrees that nothing in this Section 5.2 shall authorise the use of any Confidential Information in contravention of applicable securities Laws.

 ARTICLE 6. ADDITIONAL AGREEMENTS 

 

	6.1.	 Corporate Opportunities. Subject to applicable Law, the Sponsors and the Syndicatees (including their respective equity holders and their
respective Affiliates, but excluding any member of the Board who is also an officer of the Company) may engage in or possess any interest in other investments, business ventures or Persons of any nature or description, independently or with others,
similar or dissimilar to, or 

	 	
that competes with, the investments or business of the Company and its Subsidiaries (collectively, Outside Activities), and may provide advice and other assistance to any such
investment, business venture or Person engaged in Outside Activities, (b) the Company shall have no rights in and to such Outside Activities or the income or profits derived therefrom, and (c) the pursuit of any such Outside Activities,
even if competitive with the business of the Company and its Subsidiaries, shall not be deemed wrongful or improper. Subject to applicable Law, the Sponsors, the Syndicatees and their respective Affiliates (including their respective equity holders
and their respective Affiliates, but excluding any member of the Board who is also an officer of the Company) (i) shall not be obligated to present any particular investment or business opportunity to the Company even if such opportunity is of
a character that, if presented to the Company, could be pursued by the Company, and (ii) shall have the right to pursue for their own account (individually or as a partner or a fiduciary) or to recommend to any other Person any such investment
opportunity. Notwithstanding the foregoing, nothing in this Article 6 shall be deemed or construed to permit any Director to use any confidential, proprietary or non-public information obtained in his or her capacity as a Director for the personal
benefit of such Director or of any entity with which such Director may be affiliated or to the detriment of the Company, to the extent such use would not have been permitted under applicable Law in the absence of this Article 6.

  

	6.2.	Acquisitions of Shares. Each of the Parties other than the Company and the Management LPs (each a Shareholder Party) shall notify each of the other
Shareholder Parties if such Shareholder Party acquires or disposes of beneficial ownership (within the meaning of Section 13(d) and Rule 13d-3 under the Exchange Act) in any Shares if at the time of such acquisition or disposal the Shares are
registered under the Exchange Act and Shareholder Parties as a group (within the meaning of Section 13(d)(3) and Rule 13d-5 under the Exchange Act) in aggregate hold more than 5% of the then issued and outstanding Shares.

  

	6.3.	Securities Law Compliance; Legends 

  

	 	(a)	Restrictive Legends. Each certificate representing the Shares subject to this Agreement shall be stamped or otherwise imprinted with a legend in substantially
the following terms: 

 “THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE BEEN ACQUIRED FOR INVESTMENT AND
HAVE NOT BEEN REGISTERED FOR RESALE UNDER THE UNITED STATES SECURITIES ACT OF 1933 OR ANY STATE SECURITIES OR BLUE SKY LAWS. THESE SECURITIES MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION THEREFROM UNDER SAID ACT
OR LAWS.” 
  

	 	(b)	 Removal of Legends. Notwithstanding the foregoing provisions of this Section 6.2, the restrictions imposed by paragraph (a) upon the
transferability of the Shares shall cease and terminate when (i) such Shares are Sold or otherwise disposed of in accordance with the intended method of disposition by the Selling Shareholder(s) thereof set forth in a registration statement
under the Securities Act or (ii) the holder of such Shares has met the 

	 	
requirement of Sale of such Shares pursuant to subparagraph (b)(1) of Rule 144. Whenever the restrictions imposed by the legend set forth in Section (a) shall terminate as to any Shares, as
herein provided, the holder of such Shares shall, upon furnishing the Company with an opinion of counsel, which opinion and counsel shall be reasonably satisfactory to the Company, to the effect that the restrictions imposed by the legend set forth
in paragraph (a) have terminated as to such Shares, be entitled to receive from the Company, without expense, a new certificate not bearing the restrictive legend set forth in paragraph (a) and not containing any other reference to the
restrictions imposed by the legend set forth in paragraph (a). 

  

	 	(c)	Additional Legend. 

  

	 	(i)	Each certificate evidencing Shares and each certificate issued in exchange for or upon the Sale of any Shares to an Affiliate or to any Third Party purchaser of Shares
to whom rights under this Agreement are assigned pursuant to Section 9.6 of this Agreement shall be stamped or otherwise imprinted with a legend in substantially the following form: 

“THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO A SHAREHOLDERS’ AGREEMENT. THE TERMS OF SUCH SHAREHOLDERS’
AGREEMENT INCLUDES, AMONG OTHER THINGS, RESTRICTIONS ON TRANSFERS.” 
  

	 	(ii)	The Company shall imprint such legends on certificates evidencing Shares of any Sponsor, Syndicatee and Management LP outstanding immediately following the Closing
Date. The legend set forth above shall be removed from the certificates evidencing any Shares of any Sponsor, Syndicatee and Management LP when such Shares are no longer subject to any restrictions under this Agreement. 

ARTICLE 7. AMENDMENTS AND WAIVERS 
  

	7.1.	Amendments. 

  

	 	(a)	Unless otherwise specified herein, any amendment or variation of this Agreement shall be valid and effective and binding upon all Parties hereto if it is in writing and
it is approved by the Company and each of the Sponsors that holds at least 1% of the Shares. Subject to Section 7.1(b), any amendment or variation which has been approved as provided in this Section 7.1 shall be binding upon each Party,
whether or not that Party has agreed to it. 

  

	 	(b)	 Any amendment or variation to this Agreement which would be disproportionately and materially prejudicial to the rights of the Syndicatees that hold at
least 1% of the Shares (or any of them) or the Management LPs (or any of them) under this Agreement, as compared to the change to the rights of the Sponsors under this Agreement from how they exist immediately prior to such amendment or variation to
as they would exist as a result 

	 	
thereof, shall also require the prior approval of the GS Syndicatee, the OHA Syndicatee, the Railpen Syndicatee, the USS Syndicatee and/or the relevant Management LP, as the case may be.

  

	7.2.	Waivers. Except as expressly set forth herein, the provisions of this Agreement may only be waived with the prior written consent of the Party against whom the
waiver is to be effective. 

  

	7.3.	No Waiver of Rights. No course of dealing between the Company, the Sponsors, the Syndicatees (or any of them) or the Management LPs (or any of them) or any delay
in exercising any rights hereunder will operate as a waiver of any rights of any Party to this Agreement. The failure of any Party to enforce any of the provisions of this Agreement will in no way be construed as a waiver of such provisions and will
not affect the right of such Party thereafter to enforce each and every provision of this Agreement in accordance with its terms. 

 ARTICLE 8. TERMINATION OF THIS AGREEMENT 
  

	8.1.	The provisions of this Agreement, except as otherwise expressly provided herein, shall terminate upon the first to occur of (a) the dissolution, liquidation or
winding–up of the Company that has been approved, if required, pursuant to Section 2.4, (b) the written approval of such termination by (i) the Company and (ii) each of the Sponsors, if in the case of this paragraph
(ii) such Person is still a Sponsor and (c) the date on which none of the Sponsors are shareholders in the Company. 

  

	8.2.	This Agreement shall cease to bind a Sponsor, Syndicatee or Management LP that no longer has, together with its Affiliates, a direct or indirect interest in any Shares
in each case (A) without prejudice to rights and obligations accrued prior to such cessation or termination and (B) subject to Article 5 and Section 9.9 remaining in force. 

ARTICLE 9. MISCELLANEOUS 
  

	9.1.	Aggregation of Holdings of Shares. Notwithstanding anything to the contrary contained herein: 

 

	 	(a)	for the purpose of calculating the percentage of Shares owned by AHCL pursuant to this Agreement, the Shares owned by AHCL shall be aggregated with: (i) all Shares
held by the OHA Syndicatee and any Affiliate thereof; and (ii) AHCL’s Aggregation Pro Rata Share of the Shares held by the GS Syndicatees; 

  

	 	(b)	for the purpose of calculating the percentage of Shares owned by AAIL pursuant to this Agreement, the Shares owned by AAIL shall be aggregated with: (i) all Shares
held by the USS Syndicatee and any Affiliate thereof; and (ii) AAIL’s Aggregation Pro Rata Share of the Shares held by the GS Syndicatees; and 

  

	 	(c)	for the purpose of calculating the percentage of Shares owned by Idamante pursuant to this Agreement, the Shares owned by Idamante shall be aggregated with:
(i) all Shares held by the Railpen Syndicatee and any Affiliate thereof; and (ii) Idamante’s Aggregation Pro Rata Share of the Shares held by the GS Syndicatees, 

 provided that any Shares purchased by a Syndicatee after the Closing Date shall not be taken
into account for the purposes of this Section 9.1. 
  

	9.2.	Shares held by Syndicatees. Except for Article 4, and notwithstanding anything else in this Agreement (including, for the avoidance of doubt, Sections 2.1 and
3.2) the terms of this Agreement shall not apply to any Shares purchased by a Syndicatee after the Closing Date. 

  

	9.3.	Agency. 

  

	 	(a)	Each of the OHA Syndicatee and the GS Syndicatees (in respect of AHCL’s Aggregation Pro Rata Share of the Shares held by such GS Syndicatees only) hereby
irrevocably appoints and instructs AHCL as its sole agent to: 

  

	 	(i)	enter into and perform as agent any documents that are required to implement a transfer of Shares by the OHA Syndicatee or the GS Syndicatees (as applicable) pursuant
to Section 3.2 of this Agreement (each an OHA/GS Transfer Document); 

  

	 	(ii)	pay any amounts to be paid to the OHA Syndicatee or the GS Syndicatees (as applicable) pursuant to any OHA/GS Transfer Document (less any expenses incurred by ACHL on
behalf of the OHA Syndicatee or the GS Syndicatees (as applicable) in connection with such OHA/GS Transfer Document calculated on a pro rata basis); and 

  

	 	(iii)	give and receive such representations, warranties, undertakings and indemnities reasonably requested from a non-controlling selling shareholder, and assume such other
rights and obligations as any OHA/GS Transfer Document provides are to be given, assumed, received, made or done by the OHA Syndicatee or the GS Syndicatees (as applicable), 

and ACHL hereby accepts such appointments and instructions. 

 

	 	(b)	Each of the USS Syndicatee and the GS Syndicatees (in respect of AAIL’s Aggregation Pro Rata Share of the Shares held by such GS Syndicatees only) hereby
irrevocably appoints and instructs AAIL as its sole agent to: 

  

	 	(i)	enter into and perform as agent any documents that are required to implement a transfer of Shares by the USS Syndicatee or the GS Syndicatees (as applicable) pursuant
to Section 3.2 of this Agreement (each a USS/GS Transfer Document); 

  

	 	(ii)	pay any amounts to be paid to the USS Syndicatee or the GS Syndicatees (as applicable) pursuant to any USS/GS Transfer Document (less any expenses incurred by AAIL on
behalf of the USS Syndicatee or the GS Syndicatees (as applicable) in connection with such USS/GS Transfer Document calculated on a pro rata basis); and 

	 	(iii)	give and receive such representations, warranties, undertakings and indemnities reasonably requested from a non-controlling selling shareholder, and assume such other
rights and obligations as any USS/GS Transfer Document provides are to be given, assumed, received, made or done by the USS Syndicatee or the GS Syndicatees (as applicable), 

and AAIL hereby accepts such appointments and instructions. 

 

	 	(c)	Each of the Railpen Syndicatee and the GS Syndicatees (in respect of Idamante’s Aggregation Pro Rata Share of the Shares held by such GS Syndicatees only) hereby
irrevocably appoints and instructs Idamante as its sole agent to: 

  

	 	(i)	enter into and perform as agent any documents that are required to implement a transfer of Shares by the Railpen Syndicatee or the GS Syndicatees (as applicable)
pursuant to Section 3.2 of this Agreement (each a Railpen/GS Transfer Document); 

  

	 	(ii)	pay any amounts to be paid to the Railpen Syndicatee or the GS Syndicatees (as applicable) pursuant to any Railpen/GS Transfer Document (less any expenses incurred by
Idamante on behalf of the Railpen Syndicatee or the GS Syndicatees (as applicable) in connection with such Railpen/GS Transfer Document calculated on a pro rata basis); and 

 

	 	(iii)	give and receive such representations, warranties, undertakings and indemnities reasonably requested from a non-controlling selling shareholder, and assume such other
rights and obligations as any Railpen/GS Transfer Document provides are to be given, assumed, received, made or done by the Railpen Syndicatee or the GS Syndicatees (as applicable), 

and Idamante hereby accepts such appointments and instructions. 

 

	9.4.	Severability. It is the desire and intent of the Parties hereto that the provisions of this Agreement be enforced to the fullest extent permissible under the
Laws and public policies applied in each jurisdiction in which enforcement is sought. Accordingly, if any particular provision of this Agreement shall be adjudicated by a court of competent jurisdiction to be invalid, prohibited or unenforceable for
any reason, such provision, as to such jurisdiction, shall be ineffective, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of this Agreement or affecting the validity or enforceability of
such provision in any other jurisdiction. Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid, prohibited or unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so narrowly
drawn, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction. 

 

	9.5.	 Entire Agreement. This Agreement and the other agreements referred to herein and to be executed and delivered in connection herewith embody the
entire agreement and 

	 	
understanding among the Parties hereto with respect to the subject matter hereof and thereof and supersede and preempt any and all prior and contemporaneous understandings, agreements,
arrangements or representations by or among the Parties, whether written or oral, which may relate to the subject matter hereof or thereof in any way including, for the avoidance of doubt, the registration rights agreement dated as of May 21,
2010, as amended, among Avolon Investments S.à r.l. (Avolon Investments) and the investors party thereto, and the investment and shareholders’ deed relating to Avolon Investments dated May 20, 2010, as amended and
restated, among Avolon Investments and the shareholders party thereto. Other than this Agreement, and the other agreements referred to herein and to be executed and delivered in connection herewith, there are no other agreements continuing in effect
relating to the subject matter hereof. 

  

	9.6.	Successors and Assigns. Except as otherwise provided herein, this Agreement will bind and inure to the benefit of and be enforceable by the Company and its
successors and assigns, the Sponsors, the Syndicatees and the Management LPs. Neither this Agreement nor any right, remedy, obligation or liability arising hereunder or by reason hereof shall be assignable by any Party hereto, except that:

  

	 	(a)	each Sponsor may assign rights hereunder to any Third Party purchaser of the Shares held by such Sponsor (other than a Third Party purchaser of Shares pursuant to a
Public Sale) provided that such Sponsor has first received the Requisite Consent from the Sponsors; 

  

	 	(b)	each Syndicatee may assign rights hereunder to a Third Party purchaser of Shares pursuant to Section 3.3 provided that such Syndicatee has first received the
consent of each of the Sponsors in accordance with Section 3.3; and 

  

	 	(c)	each Sponsor, Syndicatee and Management LP may assign rights hereunder to any Affiliate of such Sponsor, Syndicatee or Management LP (as applicable), including for the
avoidance of doubt in the case of a Management LP the individual or individual(s) on whose behalf the Management LP holds the Shares, in connection with any transfer of Shares held by such Sponsor, Syndicatee or Management LP (as applicable) to such
Affiliate. 

 Any such transferee shall (unless already bound hereby) execute and deliver to the Company a Joinder
Agreement and shall thenceforth be a Sponsor, Syndicatee or Management LP, as applicable. 
  

	9.7.	Counterparts. This Agreement may be executed in any number of counterparts, and each such counterpart hereof shall be deemed to be an original instrument, but
all such counterparts together shall constitute but one agreement. Facsimile or other electronic counterpart signatures to this Agreement shall be acceptable and binding. 

 

	9.8.	Remedies. 

  

	 	(a)	 Each Party to hereto shall have all rights and remedies reserved for such Party pursuant to this Agreement and all rights and remedies which such Party
has been granted at any time under any other agreement or contract and 

	 	
all of the rights which such holder has under any Law or equity. Any Person having any rights under any provision of this Agreement will be entitled to enforce such rights specifically, to
recover damages by reason of any breach of any provision of this Agreement and to exercise all other rights granted by Law or equity. 

  

	 	(b)	The Parties hereto agree that if any Parties seek to resolve any dispute arising under this Agreement pursuant to a legal proceeding, the prevailing Parties to such
proceeding shall be entitled to receive reasonable fees and expenses (including reasonable attorneys’ fees and expenses) incurred in connection with such proceedings. 

 

	 	(c)	Each Party hereto acknowledges that the other Parties would be irreparably damaged in the event of a breach or a threatened breach by such Party of any of its
obligations under this Agreement. As a consequence, each Party hereto agrees that, in the event of a breach or a threatened breach by any Party of any obligation hereunder, any other Party shall, in addition to any other rights and remedies
available to it in respect of such breach, be entitled to an injunction from a court of competent jurisdiction (without any requirement to post bond) granting it specific performance by such Party of its obligations under this Agreement.

  

	9.9.	Notices. 

  

	 	(a)	All notices or other communications which are required or otherwise delivered hereunder shall be deemed to be sufficient and duly given if contained in a written
instrument (a) personally delivered or sent by telecopier or other electronic delivery, (b) sent by nationally–recognized overnight courier guaranteeing next Business Day delivery or (c) sent by first class registered or
certified mail, postage prepaid, return receipt requested, addressed as follows: 

  

	 	(i)	if to the Company, to: 

 Avolon
Holdings Limited 
 The Oval, Building 1 
 Shelbourne Road 
 Ballsbridge, Dublin 4 

Ireland 

Attention: Ed Riley 
 Facsimile: +353 1231 5889 
 Email: eriley@avolon.aero 

 

	 	(ii)	if to AAIL, to: 

 20 Avenue
Monterey 
 L-2163 
 Luxembourg 
 Attention: The Directors 

Facsimile: +352 2668 6220 
 Email: mmouget@cvc.com 

	 	(iii)	if to Idamante, to: 

 4 Rue
Albert Borschette 
 L-1246 
 Luxembourg 
 Attention: The Directors 

Facsimile: +352 2609 5230 
  

	 	(iv)	if to AHCL, to: 

 Avolon Holding
Corporation (Luxembourg) I, S.À.R.L. 
 Avolon Holding Corporation (Luxembourg) II, S.À.R.L. 

Avolon Holding Corporation (Luxembourg) III, S.À.R.L. 
 c/o Oak Hill Capital Partners III, L.P. 
 201 Main Street, Suite 1018 

Fort Worth, Texas 76102 
 Attention: Controller 
 Facsimile: (817) 339-7350 

Email: shessing@oakhillcapital.com 
 with a copy to: 
 Kevin G. Levy 

Keystone Group, L.P. 
 201 Main Street, Suite 3100 
 Fort Worth, Texas 76102 

Facsimile: (817) 887-5876 
 Email: klevy@keystoneftw.com 
  

	 	(v)	if to VIPL, to: 

 c/o Government
of Singapore Investment Corporation (London Office) Pte Ltd 
 1st and 2nd Floors 
 York House 
 45 Seymour Street 

London 
 W1H
7LX 
 Attention: Robin Jarratt and Vinit Nagarajan 
 Email: robinjaratt@gic.com.sg; vinitnagarajan@gic.com.sg 
  

	 	(vi)	if to the GS Syndicatees (or any of them), to: 

 Goldman, Sachs & Co. 
 200 West Street 

15th Floor 
 NY 10282 
 Attention: Brandon Press 

Facsimile: +1 212 428 4677 

	 	(vii)	if to the OHA Syndicatee, to: 

Oak Hill Advisors, L.P. 
 114 Avenue of the Americas 
 27th Floor 

New York 
 New
York 10036 
 Attention: Jeffrey Kirt and Gregory Rubin 

Facsimile: +1 212 838 8411 
  

	 	(viii)	if to the Railpen Syndicatee, to: 

 Cinven Limited 
 Tudor House 

Le Bordage 
 St
Peter Port 
 Guernsey GY1 3PP 
 Attention: Sarah-Jane Stratford 
 Facsimile: +44 1481 747 749 

With a copy to: 

Cinven Partners LLP 
 Warwick Court 
 Paternoster Square 

London EC4M 7AG 

Attention: Kevin Whale 
 Facsimile: +44 20 7661 3843 
  

	 	(ix)	if to the USS Syndicatee, to: 

 6th Floor

 60 Threadneedle Street 
 London EC2R 8HP 
 Attention: Geoffrey Geiger 

Email: Ggeiger@uss.co.uk 
 with a copy to: 
 6th Floor 

60 Threadneedle Street 
 London EC2R 8HP 
 Attention: Legal 

Email: legal@uss.co.uk 

	 	(x)	if to any Management LP, to: 

c/o Agraffe No.2 Limited 
 PO Box 309 
 Ugland House 

Grand Cayman 

KY1-1104 Cayman Islands 
  

	 	(xi)	if to any other Sponsor, to him, her or it at his, her or its address set forth on the register of members of the Company; or 

 

	 	(xii)	to such other address as the Party to whom notice is to be given may have furnished to each other Party in writing in accordance herewith. 

 

	 	(b)	Any such notice or communication shall be deemed to have been received (i) when delivered, if personally delivered or sent by telecopier or other electronic
delivery, (ii) on the first Business Day after dispatch, if sent by nationally recognized, overnight courier guaranteeing next Business Day delivery and (iii) on the fifth Business Day following the date on which the piece of mail
containing such communication is posted, if sent by mail. 

  

	9.10.	Governing Law; Consent to Jurisdiction; Waiver of Jury Trial. 

  

	 	(a)	This Agreement shall be governed by and construed in accordance with the internal Laws of the State of New York applicable to agreements made and to be performed
entirely within such State, without regard to the conflicts of Law principles of such state. 

  

	 	(b)	Each Party irrevocably submits to the jurisdiction of (a) the Supreme Court of the State of New York, New York County, and (b) the United States District
Court for the Southern District of New York, for the purposes of any suit, action or other proceeding arising out of this Agreement or any transaction contemplated hereby. Each Party further agrees that service of any process, summons, notice or
document by U.S. registered mail to such Party’s respective address set forth above shall be effective service of process for any action, suit or proceeding in New York with respect to any matters to which it has submitted to jurisdiction in
this Section 9.10. Each Party irrevocably and unconditionally waives any objection to the laying of venue of any action, suit or proceeding arising out of this Agreement or the transactions contemplated hereby in (i) the Supreme Court of
the State of New York, New York County, or (ii) the United States District Court for the Southern District of New York, and hereby and thereby further irrevocably and unconditionally waives and agrees not to plead or claim in any such court
that any such action, suit or proceeding brought in any such court has been brought in an inconvenient forum. 

	 	(c)	EACH PARTY HEREBY WAIVES TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT TO ANY LITIGATION DIRECTLY OR INDIRECTLY
ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY. Each Party (a) certifies that no representative, agent or attorney of any other Party has represented, expressly or otherwise, that such other
Party would not, in the event of litigation, seek to enforce the foregoing waiver and (b) acknowledges that it and the other Parties hereto have been induced to enter into this Agreement and the ancillary agreements, as applicable, by, among
other things, the mutual waivers and certifications in this Section 9.10. 

  

	9.11.	Further Assurances. Each Party hereto shall do and perform or cause to be done and performed all such further acts and things and shall execute and deliver all
such other agreements, certificates, instruments, and documents, not inconsistent herewith, as any other Party hereto reasonably may request in order to carry out the provisions of this Agreement and the consummation of the transactions contemplated
hereby. 

  

	9.12.	Representations and Warranties. Each Sponsor, each Syndicatee, each Management LP and each Management LP (each, a Holder) (as to himself or itself
only) represents and warrants to the Company and the other Holders that, as of the time such Holder becomes a Party to this Agreement: 

  

	 	(a)	this Agreement has been duly and validly executed and delivered by such Holder and this Agreement constitutes a legal and binding obligation of such Holder ,
enforceable against such Holder in accordance with its terms; and 

  

	 	(b)	the execution, delivery and performance by such Holder of this Agreement and the consummation by such Holder of the transactions contemplated hereby will not, with or
without the giving of notice or lapse of time, or both (i) violate any Law applicable to it, or (ii) conflict with, or result in a breach or default under, any term or condition of any agreement or other instrument to which such Holder is
a party or by which such Holder is bound, except for such violations, conflicts, breaches or defaults that would not, in the aggregate, materially affect such Holder’s ability to perform its obligations hereunder. 

 

	9.13.	Brokers. Each Holder (as to himself or itself only) represents and warrants to the Company and the other Holders that, as of the time such Holder becomes a Party
to this Agreement, there is no investment banker, broker, finder or other intermediary that has been retained by or is authorized to act on behalf of such Holder or its Affiliates that is entitled to any fee or commission from the Company or any
Subsidiary of the Company. 

  

	9.14.	No Partnership. No provision of this Agreement is intended to create a partnership between any of the Parties or makes a Party the agent of another Party for any
purpose. Unless specifically provided otherwise, no Party has authority or power to bind, to contract in the name of, or to create a liability for another Party in any way or for any purpose. 

	9.15.	No Third Party Reliance. Anything contained herein to the contrary notwithstanding, the covenants of the Company contained in this Agreement (a) are being
given by the Company as an inducement to the Sponsors, the Syndicatees and the Management LPs to enter into this Agreement (and the Company acknowledges that the Sponsors, the Syndicatees and the Management LPs have expressly relied thereon) and
(b) are solely for the benefit of the Sponsors, Syndicatees and Management LPs. This Agreement is for the sole benefit of the Parties hereto and their permitted assigns and nothing herein expressed or implied shall give or be construed to give
to any person, other than the Parties hereto and such assigns, any legal or equitable rights hereunder. 

  

	9.16.	Certain Waivers. Each Sponsor agrees that it shall not, and shall cause each of its Affiliates not to, and hereby waives any right to bring or participate in
(either as claimant or counterclaimant) any claim, suit, action, arbitration, complaint, charge, investigation or proceeding (each an Action) either on its own behalf or by or in the right of the Company, against any Majority Sponsor
Director, for actions taken or omitted to be taken by such Majority Sponsor Director in connection with (a) any Board Reserved Matters or Stockholder Reserved Matters and (b) any Outside Activities (including the income or profits derived
from any Outside Activities), including without limitation in each paragraph (a) and (b) any claims based upon breaches or alleged breaches of fiduciary duties under the Law of the Cayman Islands. The foregoing shall not limit the ability
of any Sponsor to bring an Action to enforce its express rights under this Agreement. Nothing in this Section 9.16 shall limit any liability for fraud. 

 SIGNATURE 
 AS WITNESS whereof this Agreement has been duly executed on the day and year first before written. 
  

			
	Executed for and on behalf of	 	)
	IDAMANTE S.À R.L.,	 	)
	a company constituted in Luxembourg,	 	)
	by persons who, in accordance	 	)
	with the laws of that territory, are	 	)
	duly authorised to act on behalf of the	 	)
	company	 	)
		
	Executed for and on behalf of	 	)
	AAIL HOLDINGS S.À R.L.,	 	)
	a company constituted in Luxembourg,	 	)
	by persons who, in accordance	 	)
	with the laws of that territory, are	 	)
	duly authorised to act on behalf of the	 	)
	company	 	)
		
	Executed for and on behalf of	 	)
	AVOLON HOLDING CORPORATION	 	)
	(LUXEMBOURG) I S.À R.L.,	 	)
	a company constituted in Luxembourg,	 	)
	by a Class A Manager and a Class B Manager	 	)
	who, in accordance	 	)
	with the laws of that territory, are	 	)
	duly authorised to act on behalf of the	 	)
	company	 	)
		
	Executed for and on behalf of	 	)
	AVOLON HOLDING CORPORATION	 	)
	(LUXEMBOURG) II S.À R.L.,	 	)
	a company constituted in Luxembourg,	 	)
	a company constituted in Luxembourg,	 	)
	by a Class A Manager and a Class B Manager	 	)
	who, in accordance	 	)
	with the laws of that territory, are	 	)
	duly authorised to act on behalf of the	 	)
	company	 	)

			
	Executed for and on behalf of	 	)
	AVOLON HOLDING CORPORATION	 	)
	(LUXEMBOURG) III S.À R.L.,	 	)
	a company constituted in Luxembourg,	 	)
	by persons who, in accordance	 	)
	with the laws of that territory, are	 	)
	duly authorised to act on behalf of the	 	)
	company	 	)
		
	Executed by a	 	)
	director, for and on behalf of	 	)
	VIGOROUS INVESTMENT PTE LTD	 	)

  

			
	PRIVATE EQUITY PARTNERS X DIRECT L.P.
	BY:	 	GOLDMAN SACHS PEP X DIRECT INVESTMENT ADVISORS, L.L.C.
	BY:	 	GSAM GEN-PAR, L.L.C., ITS MANAGING MEMBER
	
	  

		
	By:	 	

  

			
	PRIVATE EQUITY PARTNERS IX DIRECT LP
	BY:	 	GOLDMAN SACHS PEP X DIRECT INVESTMENT ADVISORS, L.L.C.
	BY:	 	GSAM GEN-PAR, L.L.C., ITS MANAGING MEMBER
	
	  

		
	By:	 	

  

			
	PEG AVOLON HOLDINGS
		
	By:	 	GSAM GEN-PAR, L.L.C., ITS SOLE DIRECTOR
	
	  

		
	By:	 	

  

			
	Executed for and on behalf of	 	)
	OHA AVAERO HOLDING S.À R.L.,	 	)
	a company constituted in Luxembourg,	 	)
	by persons who, in accordance	 	)
	with the laws of that territory, are	 	)
	duly authorised to act on behalf of the	 	)
	company	 	)

			
	Executed by Cinven Capital Management	 	)
	(G4) Limited as General Partner of Cinven	 	)
	Capital Management (IV) Limited	 	)
	Partnership as General Partner of FOURTH	 	)
	CINVEN (RAILPEN 2011)	 	)
	CO-INVESTMENT LIMITED	 	)
	PARTNERSHIP	 	)
		
	Executed for and on behalf of	 	)
	USS INVESTMENT MANAGEMENT	 	)
	LIMITED (as agent for and on behalf of	 	)
	Universities Superannuation Scheme Limited	 	)
	(in its capacity as sole corporate trustee of	 	)
	the Universities Superannuation Scheme))	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS I, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS II, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS III, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS VIII, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS XI, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS XII, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)

			
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS XV, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed for and on behalf of	 	)
	AGRAFFE INVESTMENTS XVI, LP	 	)
	by AGRAFFE NO. 2 LIMITED,	 	)
	its general partner	 	)
		
	Executed by a director, for and on behalf of	 	)
	AVOLON HOLDINGS LIMITED	 	)

 SCHEDULE 1 
 NUMBER OF SHARES HELD BY PARTIES 
  

			
	 	  	Number of Shares held
		
	Sponsors	  	
		
	Idamante	  	
		
	AAIL	  	
		
	AHCL	  	
		
	VIPL	  	
		
	Syndicatees	  	
		
	GS Syndicatees (in aggregate)	  	
		
	OHA Syndicatee	  	
		
	Railpen Syndicatee	  	
		
	USS Syndicatee	  	
		
	Limited Partnerships	  	
		
	Agraffe Investments I, LP	  	
		
	Agraffe Investments II, LP	  	
		
	Agraffe Investments III, LP	  	
		
	Agraffe Investments VIII, LP	  	
		
	Agraffe Investments XI, LP	  	
		
	Agraffe Investments XII, LP	  	

			
	 	  	Number of Shares held
		
	Agraffe Investments XV, LP	  	
		
	Agraffe Investments XVI, LP	  	

 SCHEDULE 2 
 LIMITED PARTNERSHIPS 
 Agraffe Investments I, LP 

Agraffe Investments II, LP 
 Agraffe
Investments III, LP 
 Agraffe Investments VIII, LP 
 Agraffe Investments XI, LP 
 Agraffe Investments XII, LP 

Agraffe Investments XV, LP 
 Agraffe
Investments XVI, LP 

 SCHEDULE 3 
 FORM OF JOINDER AGREEMENT 
 The undersigned is executing and delivering this Joinder
Agreement dated as of [—],                      (this Agreement),
pursuant to the Shareholders’ Agreement dated as of [—], 2014 (as amended or otherwise modified from time to time, the Shareholders’ Agreement), among, amongst
others, Idamante S.à r.l., AAIL Holdings S.à r.l., Avolon Holding Corporation (Luxembourg) I S.à r.l., Avolon Holding Corporation (Luxembourg) II S.à r.l., Avolon Holding Corporation (Luxembourg) III S.à r.l.,
Vigorous Investment Pte Ltd and Avolon Holdings Limited. 
 Capitalized terms used but not defined in this Agreement have the meanings assigned
to such terms in the Shareholders’ Agreement. 
 By executing and delivering this Agreement to the Company, the undersigned hereby agrees
as follows: 
  

	1.	The undersigned (the New Shareholder), is hereby made a party to the Shareholders’ Agreement, and the New Shareholder hereby agrees to be bound by
and obligated to comply with all the terms and provisions of the Shareholders’ Agreement applicable to the selling [Sponsor] [Syndicatee] [Management LP] thereunder. 

 

	2.	The New Shareholder represents and warrants to the Company, the Sponsors, the Syndicatees and the Management LPs that: 

 

	 	(a)	this Agreement has been duly and validly executed and delivered by such New Shareholder and this Agreement and the Shareholders’ Agreement constitute legal and
binding obligations of such New Shareholder, enforceable against such New Shareholder in accordance with its terms; 

  

	 	(b)	the execution and delivery by such New Shareholder of this Agreement and performance by such New Shareholder of this Agreement and the Shareholders’ Agreement and
the consummation by such New Shareholder of the transactions contemplated hereby and thereby will not, with or without the giving of notice or lapse of time, or both (A) violate any Law applicable to it, or (B) conflict with, or result in
a breach or default under, any term or condition of any agreement or other instrument to which the New Shareholder is a party or by which the New Shareholder is bound, except for such violations, conflicts, breaches or defaults that would not, in
the aggregate, materially affect the New Shareholder’s ability to perform its obligations hereunder and thereunder; and 

  

	 	(c)	there is no investment banker, broker, finder or other intermediary that has been retained by or is authorized to act on behalf of such New Shareholder or its
Affiliates that is entitled to any fee or commission from the Company or any Subsidiary of the Company. 

  

	3.	The New Shareholder acknowledges and agrees that, in the event that it acquired its Shares from an existing Sponsor, except as expressly set forth in the
Shareholders’ Agreement, it shall not have any of the rights or privileges of the relevant [Sponsor] [Syndicatee] [Management LP] under this Agreement but will be bound by and obligated to comply with the terms and provisions of this Agreement
as if it were such [Sponsor] [Syndicatee] [Management LP]. 

	4.	The notice details for the New Shareholder for the purposes of Section 9.9 of the Shareholders’ Agreement are:
[—]. 

  

	5.	All of the terms and conditions of the Shareholders’ Agreement are unmodified and shall continue in full force and effect and shall be binding upon the New
Shareholder and its assigns in accordance with the terms thereof. 

 IN WITNESS WHEREOF, the New Shareholder has executed
this Agreement as of the date first above written. 
  

			
	SIGNED	 	)
	for and on behalf of	 	)
	[—]	 	)Exhibit 10.11

 

	
CITIGROUP GLOBAL MARKETS INC.

390 Greenwich Street

New York, NY 10013
    	
 
    	
MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED

BANK OF AMERICA, N.A.

One Bryant Park

New York, NY 10036
    
	
 
    	
 
    	
 
    
	
WF INVESTMENT HOLDINGS, LLC

WELLS FARGO SECURITIES, LLC

550 S. Tryon Street, 6th Floor

Charlotte, NC 28202
    	
 
    	
JPMORGAN CHASE BANK, N.A.

270 Park Avenue

New York, NY 10017

 
    
	
 
    	
 
    	
 
    
	
WELLS FARGO BANK, NATIONAL ASSOCIATION

1000 Louisiana St., 9th Floor

Houston, TX 77002
    	
 
    	
J. P. MORGAN SECURITIES LLC

383 Madison Avenue

New York, NY 10179
    

 

July 15, 2014

 

C&J Energy Services, Inc.

3900 Rogerdale

Houston, TX 77042

Attention:  Randall C. McMullen, Jr.

 

PROJECT NAVY

AMENDED AND RESTATED COMMITMENT LETTER

 

Ladies and Gentlemen:

 

Reference is made to the commitment letter dated as of June 25, 2014 (the “Original Commitment Letter”) between C&J Energy Services, Inc., a Delaware corporation (the “Company” or “you”), and Citigroup Global Markets Inc. (“CGMI”).  This Amended and Restated Commitment Letter amends and restates the Original Commitment Letter in its entirety.

 

You have advised Citi (as defined below), Bank of America, N.A. (“BofA”), Merrill Lynch, Pierce, Fenner & Smith Incorporated (“MLPFS”), Wells Fargo Bank, National Association (“WF”), WF Investment Holdings, LLC (“WF Investment”), Wells Fargo Securities, LLC (“WFS”), JPMorgan Chase Bank, N.A. (“JPMCB”) and J.P. Morgan Securities LLC (“JPMS” and, together with Citi, BofA, MLPFS, WF, WF Investment, WFS and JPMCB, each a “Commitment Party” and collectively, the “Commitment Parties”, “we” or “us”) that a newly-formed Delaware corporation (“Merger Sub”) that is a wholly-owned subsidiary of Nabors Red Lion Limited, a Bermuda exempted company (“Red Lion”), which is a wholly-owned subsidiary of Nabors Industries Ltd., a Bermuda exempted company (“Navy”) intends to merge

 

 

(the “Merger”) with the Company pursuant to the Merger Agreement (as defined in Exhibit A attached hereto).

 

You have further advised us that, in connection with the Merger, Red Lion and/or a newly-formed Delaware corporation that is an indirect wholly-owned subsidiary of Red Lion (“USAcq”), intends to establish the Term B Facility, the Revolving Credit Facility and the Bridge Facility described herein and you intend to consummate the other Transactions described in the Transaction Description attached hereto as Exhibit A (the “Transaction Description”).  Capitalized terms used but not defined herein shall have the meanings assigned to them in the Transaction Description or the Summaries of Principal Terms and Conditions attached hereto as Exhibits B, C and D (the “Term Sheets”; this commitment letter, the Transaction Description, the Term Sheets, the Summary of Additional Conditions attached hereto as Exhibit E and the Fee Letter, collectively, the “Commitment Letter”).

 

Subject to the terms and conditions of this Commitment Letter:

 

(a)                                 Citigroup Global Markets Inc. (“CGMI”), on behalf of itself, Citibank, N.A., Citicorp USA, Inc., Citicorp North America, Inc. and/or any of their affiliates as may be appropriate to consummate the transactions contemplated hereby (collectively, “Citi”), is pleased to inform the Company of Citi’s several, but not joint, commitment to provide (i) $300,000,000 of the Revolving Credit Facility, (ii) 50% of the Term B Facility and (iii) 50% of the Bridge Facility (the Bridge Facility, together with the Revolving Credit Facility and the Term B Facility, the “Facilities”);

 

(b)                                 BofA is pleased to inform the Company of BofA’s several, but not joint, commitment to provide (i) $120,000,000 of the Revolving Credit Facility, (ii) 20% of the Term B Facility and (iii) 20% of the Bridge Facility;

 

(c)                                  WF is pleased to inform the Company of WF’s several, but not joint, commitment to provide (i) $90,000,000 of the Revolving Credit Facility and (ii) 15% of the Term B Facility, and WF Investment is pleased to inform the Company of WF Investment’s several, but not joint, commitment to provide 15% of the Bridge Facility; and

 

(d)                                 JPMCB is pleased to inform the Company of JPMCB’s several, but not joint, commitment to provide (i) $90,000,000 of the Revolving Credit Facility, (ii) 15% of the Term B Facility and (iii) 15% of the Bridge Facility.

 

Upon the receipt by Red Lion or USAcq of gross cash proceeds from the issuance of any Notes (as defined below), and to the extent the proceeds of such Notes are available to consummate the Transactions (as defined below), the commitments of the Commitment Parties under the Bridge Facility shall automatically be reduced on a pro rata basis by an amount equal to the gross cash proceeds received by Red Lion or USAcq from such issuance.

 

Section 1.  Conditions Precedent.  Each Commitment Party’s commitments and other obligations hereunder are subject solely to the satisfaction of the conditions set forth in this Section 1 and (a) the conditions set forth in the section entitled “Closing Conditions” in Exhibit B hereto, solely in the case of the commitments with respect to the Revolving Credit Facility and the Term B Facility (collectively, the “Senior Secured Facilities”), (b) the conditions set forth in

 

2

 

the section entitled “Closing Conditions” in Exhibit C hereto, solely in the case of the commitments with respect to the Bridge Facility, and (c) the conditions set forth in Exhibit D hereto and, upon satisfaction (or waiver by the Commitment Parties) of such conditions, the initial funding of the Facilities shall occur.

 

In addition, the Commitments of each Commitment Party hereunder are subject to the execution and delivery of the Facilities Documentation by the Borrowers and the Guarantors party thereto subject in each case to the Certain Funds Provisions set forth below.

 

“Facilities Documentation” shall mean definitive documentation with respect to each of the Revolving Credit Facility, the Term B Facility and the Bridge Facility, including without limitation credit agreements, security agreements, guarantees and other agreements incorporating substantially the terms and conditions outlined in this Commitment Letter and Term Sheets and otherwise reasonably satisfactory to the Commitment Parties and you.

 

Notwithstanding anything in this Commitment Letter (including the Term Sheets), the Fee Letter, the Facilities Documentation or any other letter agreement or other undertaking concerning the financing of the Transactions to the contrary, (i) the only representations or warranties the accuracy of which shall be a condition to the availability of the Facilities on the Closing Date shall be (A) such of the representations made by Navy in the Merger Agreement as are material to the interests of the Commitment Parties or the Lenders, but only to the extent that you (or your affiliate) have the right to terminate your (or its) obligations under the Merger Agreement (or decline to consummate the Merger pursuant to the Merger Agreement) as a result of a breach of such representations in the Merger Agreement (to such extent, the “Specified Merger Agreement Representations”) and (B) the Specified Representations (as defined below) in the Facilities Documentation and (ii) the terms of the Facilities Documentation shall be in a form such that they do not impair the availability of the Facilities on the Closing Date if the relevant conditions set forth in this Section 1, under the heading “Closing Conditions” in Exhibit B, under the heading “Closing Conditions” in Exhibit C and the conditions set forth in Exhibit D are satisfied or otherwise waived, it being understood that, (x) to the extent any lien search or Collateral (including the creation or perfection of any security interest) is not or cannot be provided on the Closing Date after your use of commercially reasonable efforts to do so or without undue burden or expense (other than, to the extent required under the Term Sheets, (1) creation and perfection of a lien on Collateral that may be perfected solely by the filing of a financing statement under the UCC (or similar provisions of foreign law) or filings with the United States Patent and Trademark Office or United States Copyright Office and (2) a pledge of certificated equity interests owned by any Credit Party, along with stock (or similar) powers endorsed in blank) with respect to which a lien may be perfected on the Closing Date by the delivery of a stock (or similar) certificate), then the provision of any such lien search and/or the provision and/or perfection of such Collateral shall not constitute a condition precedent to the availability and initial funding and/or availability of the Facilities on the Closing Date but may instead be delivered and/or perfected within 90 days after the Closing Date pursuant to arrangements to be mutually agreed by the parties hereto acting reasonably (or such longer period or extensions as the administrative agent under the Senior Secured Facilities may reasonably agree in its reasonable discretion), and (y) without limitation of clause (x), with respect to guarantees and security to be provided by any subsidiary that is otherwise required to become a Guarantor, if such guarantees and security cannot be provided as a condition precedent solely because the directors or managers of such entities have not authorized such guarantees and

 

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security and the election of new directors or managers to authorize such guarantees and security has not taken place prior to the funding of the Facilities, such guarantees and security may be provided not later than 11:59 p.m. (New York City time) on the Closing Date.  For purposes hereof, “Specified Representations” means, with respect to the Facilities, the representations and warranties of USAcq, the Company and the other Guarantors relating to corporate or other organizational existence of USAcq, the Company and the other Guarantors, power and authority of USAcq, the Company and the other Guarantors with respect to the relevant Facilities Documentation, due authorization, execution and delivery by USAcq, the Company and the other Guarantors of the relevant Facilities Documentation, enforceability of the relevant Facilities Documentation against USAcq, the Company and the other Guarantors, no violation of, or conflict with USAcq’s, the Company’s or any other Guarantor’s organizational documents related to the entering into and performance of the relevant Facilities Documentation, validity, priority and perfection of security interests (subject to the foregoing provisions of this paragraph), solvency as of the Closing Date (after giving effect to the Transactions) of USAcq and its subsidiaries on a consolidated basis (with solvency to be defined in a manner consistent with the solvency certificate to be delivered in the form set forth in Annex I attached to Exhibit E hereto), Federal Reserve margin regulations, the Investment Company Act, the Patriot Act, OFAC and use of proceeds not in violation of FCPA.  The provisions of this paragraph are referred to as the “Certain Funds Provisions”.

 

Section 2.  Commitment Termination.  Each Commitment Party’s commitments and other obligations set forth in this Commitment Letter with respect to the Facilities will terminate on the earlier of (a) the fifth business day following the earlier of (i) termination of the Merger Agreement pursuant to Section 8.1 of the Merger Agreement as in effect on June 25, 2014 and (ii) December 31, 2014, if the Merger shall not have been consummated on or prior to that date; provided that if the “End Date” (as defined in the Merger Agreement) is extended beyond December 31, 2014 pursuant to Section 8.1(c) of the Merger Agreement (as in effect on June 25, 2014), such date shall be, upon written notice of such extension to the Commitment Parties, automatically extended for such period (but in any event not beyond March 31, 2015), and (b) the consummation of the Merger with or without the funding of the Facilities, unless in either case the Commitment Parties shall agree to an extension in writing.  In addition, each Commitment Party’s commitments and other obligations set forth in this Commitment Letter with respect to the Bridge Facility will terminate upon the issuance by the Company of Notes to the extent the gross cash proceeds therefrom received by the Company equals or exceeds the aggregate amount of commitments to the Bridge Facility hereunder and to the extent the proceeds of such Notes are available to consummate the Transactions.  Notwithstanding the foregoing, the termination of the Commitment Parties’ commitment and other obligations hereunder will not affect Sections 4 through 13, which provisions will survive any such termination; provided that your obligations under this Commitment Letter (other than your obligations with respect to (a) assistance to be provided in connection with the syndication thereof (including supplementing and/or correcting Information and Projections), (b) confidentiality of the Fee Letter and the contents thereof and (c) the Fee Letter) shall automatically terminate and be superseded by the provisions of the Facilities Documentation to the extent covered thereby upon the initial funding thereunder, and you shall automatically be released from all liability in connection therewith at such time.  You may terminate this Commitment Letter and/or the Commitment Parties’ commitments and other obligations set forth in this Commitment Letter with respect to the Facilities (or a portion thereof) hereunder at any time subject to the provisions of the preceding sentence.

 

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Each of the parties hereto agrees that this Commitment Letter is a binding and enforceable agreement with respect to the subject matter contained herein (except to the extent that the enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws generally affecting creditors’ rights and by equitable principles (regardless of whether enforcement is sought in equity or at law)), it being acknowledged and agreed that the commitments provided hereunder are subject solely to the conditions expressly stated herein.  The Facilities Documentation shall be negotiated in good faith.

 

Section 3.  Syndication.  Each Commitment Party reserves the right, before or after the execution of the Facilities Documentation, to syndicate all or a portion of each Facility (including all or part of such Commitment Party’s commitments thereunder) to one or more other financial institutions acceptable to the Company (which acceptance (x) will not be unreasonably withheld or delayed and (y) will not be required after the execution of the Facilities Documentation if there is an event of default thereunder or in connection with any assignment to other Lenders (or to affiliates or certain approved funds thereof)) that will become parties to the applicable Facilities Documentation pursuant to a syndication to be managed by the Lead Arrangers (as defined below) (the financial institutions becoming parties to the Facilities Documentation being collectively referred to herein as the “Lenders”); it being understood that the Lead Arrangers will not syndicate to any Disqualified Institutions (as defined below).  “Disqualified Institution” means (i) any person identified by name in writing to the Lead Arrangers on or prior to the date of the Original Commitment Letter, (ii) any other person identified in writing to the Lead Arrangers after the date of the Original Commitment Letter to the extent such person is or becomes a competitor or is or becomes an affiliate of a competitor of you, your subsidiaries, Navy or Navy’s subsidiaries, which designations shall be in the form of a list provided to the Lead Arrangers and the Lenders but which designations shall not apply retroactively to disqualify any persons that have previously acquired an assignment or participation interest in any Facilities and (iii) any affiliate of any person referred to in clauses (i) or (ii) above that is readily identifiable as such based on its name.

 

Citi, MLPFS, WFS and JPMS will act as lead arrangers (collectively, the “Lead Arrangers”) with respect to the Facilities and, in such capacity, will manage all aspects of the syndication of the Facilities in consultation with the Company, including the timing of all offers to potential Lenders, the determination of the amounts offered to potential Lenders, the acceptance of commitments of the Lenders, the assignment of any titles and the compensation to be provided to the Lenders.  Notwithstanding the Commitment Parties’ right to syndicate the Facilities and receive commitments with respect thereto, it is agreed that neither the commencement nor completion of the syndication of, nor receipt of commitments in respect of, all or any portion of the commitments hereunder shall be a condition to the Commitment Parties’ commitments and, unless you otherwise agree in writing, (i) each Commitment Party shall retain exclusive control over all rights and obligations with respect to its commitments, including all rights with respect to consents, modifications and amendments, until the Closing Date has occurred and (ii) except as set forth in the following paragraph, no Commitment Party shall be relieved, released or novated from its obligations hereunder (including its obligation to fund the Facilities on the date of the consummation of the Merger) until and after the Closing Date has occurred.

 

Notwithstanding the foregoing, not later than August 9, 2014, you may (x) arrange for additional financial institutions (each, an “Additional Co-Manager”) selected by you in consultation with us to assume (pursuant to customary joinder documentation reasonably

 

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satisfactory to you and us) a ratable portion of the commitments of the Commitment Parties with respect to the Term B Facility and the Bridge Facility (in which case the commitments of the Commitment Parties hereunder will be reduced on a pro rata basis by the amount of the commitments assumed by such Additional Co-Managers); provided that, (1) in no event shall the aggregate commitments in respect of the Term B Facility and the Bridge Facility allocated to the Additional Co-Managers exceed 12.5% of the aggregate commitments of the Commitment Parties under the Term B Facility and the Bridge Facility on the date hereof and (2) any such allocation of commitments to any Additional Co-Manager shall reduce the commitments of the Commitment Parties on a pro rata basis, and (y) appoint any Additional Co-Manager as non-bookrunning co-agent or confer other titles (other than bookrunner) in respect of the Facilities in a manner determined by you in consultation with the Lead Arrangers; provided that (i) the portion of the fees payable to each Additional Co-Manager shall be in proportion to its commitments and (ii) no Additional Co-Manager shall receive economics greater than the economics received by any Commitment Party party hereto on the date hereof.  It is understood and agreed that Citi will have “left” placement in all marketing materials and other documentation used in connection with the Facilities; provided that to the extent any other Commitment Party (or one of its affiliates) is designated as Administrative Agent under the Revolving Credit Facility, such Commitment Party may have “left” placement solely with respect to marketing materials and other documentation used in connection with the Revolving Credit Facility.  Each party hereto agrees to execute such joinders, amendments and other documents as are required to give effect to this paragraph.  From and after the execution by any financial institution of such joinder documentation, such financial institution (and any relevant affiliate) shall constitute, with respect to each Facility, a “Lead Arranger” and/or a “Commitment Party”, as applicable, hereunder.

 

Until the earlier of (x) the date of completion of a Successful Syndication (as defined in the Fee Letter) and (y) the date that is 60 days after the Closing Date (in either case, the “Syndication Date”), the Company will take all action, as the Lead Arrangers may reasonably request, to assist the Lead Arrangers in forming a syndicate reasonably acceptable to the Lead Arrangers and the Company (which acceptance will not be unreasonably withheld or delayed).  The Company’s assistance in forming such a syndicate will include, without limitation (a) making senior management and representatives of the Company available (and your using commercially reasonable efforts to cause Navy and Red Lion to make their respective senior management and representatives available) to participate in information meetings with potential Lenders and rating agencies at such times and, to the extent applicable, places, to be mutually agreed; (b) using commercially reasonable efforts to ensure that the syndication efforts benefit from the Company’s existing lending relationships and, to the extent practical and appropriate, the existing lending relationships of Navy and Red Lion; (c) assisting (including your using commercially reasonable efforts to cause your affiliates and advisors and Navy and Red Lion to assist) in the preparation of a confidential information memorandum for each Facility and other marketing and rating agency materials to be used in connection with the syndication of each Facility; (d) promptly preparing and providing all financial and other information as we may reasonably request with respect to you, Red Lion (to the extent that such information is available to you through the exercise of commercially reasonable efforts without a breach of any applicable confidentiality agreements), your and its respective subsidiaries and the Transactions, including, but not limited to, financial projections relating to the foregoing; (e) hosting, with the Lead Arrangers, a reasonable number of meetings with prospective Lenders at such times and places to be mutually agreed; and (f) using commercially reasonable efforts to obtain, at your expense, monitored public corporate

 

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credit/family ratings (but not a specific rating) of USAcq and ratings (but not a specific rating) of the Notes that are used to take out the Bridge Facility from Moody’s Investors Service and Standard & Poor’s Ratings Group and participate actively in the process of securing such ratings.

 

The Company acknowledges that (a) the Lead Arrangers may make available any Information and Projections (each as defined in Section 8) (collectively, the “Company Materials”) to potential Lenders by posting the Company Materials on IntraLinks, Debtdomain, the Internet or another similar password-protected electronic system (the “Platform”) and (b) certain of the potential Lenders may be public side Lenders (i.e., Lenders that do not wish to receive material non-public information with respect to the Company, Navy or their respective securities) (each, a “Public Lender”).  The Company agrees that: (i) at the request of the Lead Arrangers, it will prepare a version of the information package and presentation to be provided to potential Lenders that does not contain material non-public information concerning the Company, Navy or their respective securities for purposes of United States federal and state securities laws; (ii) all Company Materials that are to be made available to Public Lenders will be clearly and conspicuously marked “PUBLIC” which, at a minimum, will mean that the word “PUBLIC” will appear prominently on the first page thereof; (iii) by marking Company Materials “PUBLIC,” the Company will be deemed to have authorized the Lead Arrangers and the proposed Lenders to treat such Company Materials as not containing any material non-public information (although they may be confidential or proprietary) with respect to the Company, Navy or their respective securities for purposes of United States federal and state securities laws; (iv) all Company Materials marked “PUBLIC” are permitted to be made available through a portion of the Platform designated “Public Lender”; and (v) the Lead Arrangers will be entitled to treat any Company Materials that are not marked “PRIVATE” as being suitable for posting on a portion of the Platform designated “Public Lender.”

 

It is understood that in connection with your assistance described above, you will provide customary authorization letters (in the case of a public-side version of the Company Materials, containing a representation as to the absence of material non-public information therefrom), reasonably satisfactory to the Lead Arrangers, authorizing the distribution of the Company Materials to prospective Lenders, which letters shall include a customary 10b-5 representation.

 

To ensure an effective syndication of each Facility, until the Syndication Date, the Company will not, and will not permit any of its affiliates to, syndicate or issue, attempt to syndicate or issue, or announce or authorize the announcement of, the syndication or issuance of, any debt facility or debt security (including any renewals thereof) that could reasonably be expected to materially impair syndication of the Facilities other than (i) the Bridge Facility (including (a) the Notes and (b) any securities issued under a related securities demand), (ii) the Revolving Credit Facility, (iii) the Term B Facility, (iv) ordinary course capital leases and (v) any Permitted Surviving Debt, in each case without the prior written consent of the Lead Arrangers.

 

Notwithstanding anything to the contrary contained in this Commitment Letter, the Fee Letter or any other agreement or undertaking concerning the financing of the Transactions to the contrary, (i) none of the foregoing (including your compliance with the terms of this Section 3) shall constitute a condition to the commitments of any Commitment Party to the Facilities hereunder or the funding or availability of the Facilities on the Closing Date and (ii) neither the commencement nor the completion of the syndication of the Facilities shall constitute a

 

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condition to the commitments of any Commitment Party to the Facilities hereunder or the funding or availability of the Facilities on the Closing Date.

 

Section 4.  Fees.  In addition to the fees described in this Commitment Letter, the Company will pay (or cause to be paid) the non-refundable fees set forth in the letter agreement dated the date hereof (as amended or otherwise modified from time to time, the “Fee Letter”) between the Company and the Commitment Parties delivered herewith.  The terms of the Fee Letter are an integral part of the Commitment Parties’ commitments and other obligations hereunder and constitute part of this Commitment Letter for all purposes hereof.

 

Section 5.  Indemnification.  The Company will indemnify and hold harmless each Commitment Party and each of its affiliates and each of their respective officers, partners, directors, employees, advisors, agents and representatives (each, an “Indemnified Party”) from and against any and all claims, damages, losses, liabilities and out-of-pocket expenses, including reasonable and documented out-of-pocket legal expenses (limited to one counsel for all Indemnified Parties taken as a whole and, if necessary, a single local counsel for all Indemnified Parties taken as a whole in each relevant jurisdiction and, solely in the case of an actual or perceived conflict of interest (in which case, such Indemnified Party shall endeavor to notify the Company of such conflict of interest, but the failure to so notify the Company shall not affect the Company’s obligations under this Section 5), one additional counsel in each relevant jurisdiction to each group of affected Indemnified Parties taken as a whole, but in each case, excluding costs of in-house counsel), that may be incurred by or asserted or awarded against any Indemnified Party (including without limitation, in connection with any investigation, litigation or proceeding or the preparation of a defense in connection therewith (any of the foregoing, a “Proceeding”)), in each case, arising out of or in connection with or by reason of this Commitment Letter or the Facilities Documentation or the transactions contemplated hereby or thereby or any actual or proposed use of the proceeds of any Facility, except (i) to the extent resulting from the willful misconduct, bad faith or gross negligence of such Indemnified Party or any of its Related Indemnified Parties (as defined below), as determined by a court of competent jurisdiction in a non-appealable, final judgment, (ii) to the extent arising from a material breach of the obligations of such Indemnified Party or any of its Related Indemnified Parties under this Commitment Letter, as determined by a court of competent jurisdiction in a non-appealable, final judgment or (iii) to the extent arising from any dispute solely among Indemnified Parties and not arising out of any act or omission of you or any of your respective subsidiaries or affiliates (other than any claims against any Commitment Party in its capacity or in fulfilling its role as Administrative Agent or Lead Arranger under any Facility).  In the case of a Proceeding to which the indemnity in this paragraph applies, such indemnity will be effective whether or not such Proceeding is brought by the Company, USAcq, Navy, Red Lion, any of their respective affiliates, directors, security holders or creditors, an Indemnified Party or any other person or an Indemnified Party is otherwise a party thereto and whether or not the transactions contemplated hereby are consummated.  The reimbursement and indemnity obligations of the Company under this paragraph will be in addition to any liability which the Company may otherwise have, will extend upon the same terms and conditions to any affiliate of any Commitment Party and the partners, directors, agents, employees and controlling persons (if any), as the case may be, of such Commitment Party and any such affiliate, and will be binding upon and inure to the benefit of any successors and assigns of the Company, such Commitment Party, any such affiliate and any such person.  No Indemnified Party will have any liability (whether direct or indirect, in contract, tort or otherwise) to the Company or any of its affiliates or any of their respective

 

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security holders or creditors for or in connection with the transactions contemplated hereby, except to the extent such liability is determined in a final non-appealable judgment by a court of competent jurisdiction to have resulted primarily from such Indemnified Party’s willful misconduct, bad faith or gross negligence.  In no event will any party hereto be liable on any theory of liability for any special, indirect, consequential or punitive damages (including without limitation, any loss of profits, business or anticipated savings); provided that, nothing contained in this sentence shall limit your indemnity and reimbursement obligations to the extent such special, indirect, consequential or punitive damages are included in any third-party claim in connection with which an Indemnified Person is entitled to indemnification hereunder.  It is further agreed that each Commitment Party shall have liability (if any) only to you and shall have no third party liability to any other person (including, without limitation, USAcq, Navy, Red Lion and security holders of Navy).

 

The Company acknowledges that information and other materials related to the Facilities and the transactions contemplated hereby may be transmitted through the Platform.  No Indemnified Party will be liable to the Company or any of its affiliates or any of their respective security holders or creditors for any damages arising from the use by unauthorized persons of information or other materials sent through the Platform that are intercepted by such persons, except to the extent resulting from the willful misconduct, bad faith or gross negligence of such Indemnified Party or any of its Related Indemnified Parties as determined by a court of competent jurisdiction in a non-appealable, final judgment.

 

The Company shall not be liable for any settlement of any Proceeding effected without its written consent (which consent shall not be unreasonably withheld, conditioned or delayed), but if settled with the Company’s written consent or if there is a final and non-appealable judgment by a court of competent jurisdiction for the plaintiff in any such Proceeding, in each case, you agree to indemnify and hold harmless each Indemnified Party from and against any and all claims, damages, losses, liabilities and out-of-pocket expenses by reason of such settlement or judgment in accordance with and to the extent provided in the other provisions of this Section 5.

 

For purposes hereof, a “Related Indemnified Party” of an Indemnified Party means (1) any controlling person or controlled affiliate of such Indemnified Party and (2) the respective directors, officers, partners, employees or agents of such Indemnified Party or any of its controlling persons or controlled affiliates, in the case of this clause (2), acting at the instructions of such Indemnified Party, controlling person or such controlled affiliate.

 

Section 6.  Costs and Expenses.  The Company will pay, or reimburse each Commitment Party within a reasonable period of time of demand for, all reasonable and invoiced out-of-pocket costs and expenses incurred by it (whether incurred before or after the date hereof) in connection with the Facilities and the preparation, negotiation, execution and delivery of this Commitment Letter and the Facilities Documentation, limited, in respect of legal costs and expenses, to the reasonable fees and out-of-pocket expenses of (x) a single counsel to each Administrative Agent identified in the Term Sheets, and (y) if reasonably necessary, of a single local counsel to the Commitment Parties in each relevant jurisdiction), but excluding allocated costs of in-house counsel; provided that, other than with respect to the reasonable fees and out-of-pocket expenses of counsel described above, no such payments or reimbursements shall be required unless the Closing Date occurs.  The Company will also pay all out-of-pocket costs and expenses of each Commitment Party (including, without limitation, the reasonable fees and disbursements of

 

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counsel) incurred in connection with the enforcement of any of its rights and remedies under this Commitment Letter.

 

Section 7.  Confidentiality.  By accepting delivery of this Commitment Letter, the Company agrees that this Commitment Letter is for the Company’s confidential use only and that neither its existence nor its terms will be disclosed by the Company, except (a) to your affiliates and your and their respective officers, directors, agents, employees, attorneys, accountants, controlling persons or equity holders (the “Company Representatives”) who are informed of the confidential nature hereof and thereof (and, in each case, each of their attorneys) on a confidential and need to know basis, (b) if the Commitment Parties consent in writing to such proposed disclosure (it being understood the Commitment Parties consent to the announcement of the Transactions (including the financing) in a customary press release issued in connection with the signing of the Merger Agreement)  or (c) pursuant to the order of any court or administrative agency or in any pending legal, judicial or administrative proceeding, or otherwise as required by applicable law or legal process or to the extent requested or required by governmental and/or regulatory authorities, in each case based on the reasonable advice of your legal counsel (in which case you agree, to the extent practicable and not prohibited by applicable law, to inform us promptly thereof prior to disclosure); provided that (i) you may disclose this Commitment Letter, the Term Sheets and other exhibits and annexes to the Commitment Letter and the contents thereof (but not the Fee Letter) to Navy, its subsidiaries and affiliates and their respective officers, directors, agents, employees, attorneys, accountants, controlling persons or equity holders (and each of their attorneys), on a confidential and need to know basis, (ii) you may disclose the Commitment Letter, the Term Sheets and other exhibits and annexes to the Commitment Letter and the contents thereof (but not the Fee Letter) in any syndication or other marketing materials in connection with the Facilities, in any offering memoranda relating to the Notes or in connection with any public release or filing relating to the Transactions, (iii) you may disclose the Commitment Letter, Term Sheets and other exhibits and annexes to the Commitment Letter, the Fee Letter and in each case the contents thereof, to potential Lenders (provided that disclosure of the Fee Letter to potential Lenders shall only be permitted to the extent in contemplation of adding such Lenders as additional agents, co-agents or bookrunners pursuant to Section 3 hereof) and to rating agencies in connection with obtaining ratings for the Company and the Facilities and Notes (provided that the Fee Letter shall not be disclosed to rating agencies without the Commitment Parties’ consent), (iv) you may disclose the aggregate fee amounts contained in the Fee Letter as part of the Projections, pro forma information or a generic disclosure of aggregate sources and uses related to fee amounts related to the Transactions to the extent customary or required in offering and marketing materials for the Facilities and/or the Notes or to the extent customary or required in any public release or filing relating to the Transactions, (v) you may disclose this Commitment Letter, the Term Sheets and other exhibits and annexes to the Commitment Letter, and the contents thereof (but not the Fee Letter) to the extent that such information becomes publicly available other than by reason of improper disclosure by you in violation of any confidentiality obligations hereunder and (vi) to the extent portions thereof relating to fees, pricing caps and economic flex terms have been redacted in a manner reasonably satisfactory to us, you may disclose the Fee Letter and the contents thereof to Navy, its subsidiaries and affiliates and their respective officers, directors, agents, employees, attorneys, accountants, controlling persons or equity holders (and each of their attorneys), on a confidential basis.  The obligations under this paragraph with respect to the Commitment Letter (but not the Fee Letter) shall terminate automatically after the Facilities Documentation shall have been executed and delivered by the parties thereto.  To the extent not earlier terminated, the

 

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provisions of this paragraph with respect to the Commitment Letter (but not the Fee Letter) shall automatically terminate on the second anniversary hereof.

 

Each Commitment Party and its affiliates will use all information provided to it or such affiliates by or on behalf of you hereunder or in connection with the Transactions and the related Transactions solely for the purpose of providing the services which are the subject of this Commitment Letter and shall treat confidentially all such information and shall not publish, disclose or otherwise divulge, such information; provided that nothing herein shall prevent any Commitment Party and its affiliates from disclosing any such information (a) pursuant to the order of any court or administrative agency or in any pending legal, judicial or administrative proceeding, or otherwise as required by applicable law or compulsory legal process based on the advice of legal counsel (in which case such Commitment Party agrees (except with respect to any audit or examination conducted by bank accountants or any governmental bank regulatory authority exercising examination or regulatory authority), to the extent practicable and not prohibited by applicable law, to inform you promptly thereof prior to disclosure), (b) upon the request or demand of any regulatory authority having jurisdiction over such Commitment Party or any of its affiliates (in which case such Commitment Party agrees, to the extent practicable and not prohibited by applicable law, to inform you promptly thereof prior to disclosure (except with respect to any audit or examination conducted by bank accountants or any governmental bank regulatory authority exercising examination or regulatory authority)), (c) to the extent that such information becomes publicly available other than by reason of improper disclosure by such Commitment Party or any of its affiliates or any of its related parties and their affiliates (including any of the parties referred to in clause (f) below) in violation of any confidentiality obligations owing to you, Navy or any of your or their respective affiliates or any of your or their respective related parties (including those set forth in this paragraph), (d) to the extent that such information is received by such Commitment Party from a third party that is not, to such Commitment Party’s knowledge, subject to contractual or fiduciary confidentiality obligations owing to you, Navy or any of your or their respective affiliates or any of your or their respective related parties, (e) to the extent that such information is independently developed by such Commitment Party, (f) to such Commitment Party’s affiliates and to the respective officers, directors, employees, legal counsel, independent auditors, professionals and other experts or agents of such Commitment Party and its affiliates who need to know such information in connection with the Transactions and who are informed of the confidential nature of such information and are or have been advised of their obligation to keep information of this type confidential, (g) to potential or prospective Lenders, participants or assignees and to any direct or indirect contractual counterparty to any swap or derivative transaction relating to USAcq, the Company or any of their respective subsidiaries, subject to the proviso below, (h) for purposes of establishing a “due diligence” defense in connection with any proceeding related to the offering of the Notes, (i) to ratings agencies, in connection with obtaining the ratings described in Section 3 hereof, in consultation and coordination with you or (j) to the extent you shall have consented to such disclosure in writing; provided that the disclosure of any such information to any Lender or prospective Lender or participant or prospective participant referred to above shall be made subject to the acknowledgment and acceptance by such Lender or prospective Lender or participant or prospective participant that such information is being disseminated on a confidential basis (on substantially the terms set forth in this paragraph or as is otherwise reasonably acceptable to you and the Lead Arrangers, including, without limitation, as agreed in any marketing materials) in accordance with the standard syndication processes of the Lead Arrangers or customary market standards for dissemination of such type of information, which

 

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shall in any event require “click through” or other affirmative actions on the part of the recipient to access such information.  Each Commitment Party’s and its affiliates’, if any, obligations under this paragraph shall terminate automatically and be superseded by the confidentiality provisions in the Facilities Documentation upon the initial funding thereunder.  Notwithstanding anything to the contrary, this paragraph shall automatically terminate on the second anniversary hereof.

 

Notwithstanding any other provision in this Commitment Letter, each Commitment Party hereby confirms that the Company and the Company Representatives will not be limited from disclosing the U.S. tax treatment or U.S. tax structure of any Facility.

 

Section 8.  Representations and Warranties of the Company.  The Company represents and warrants that (a) all written information (with respect to information provided by Navy or concerning Red Lion and the other members of the Red Lion Group prior to the Closing Date, to the best of your knowledge), other than (i) Projections (as defined below), (ii) financial estimates, forecasts, forward looking information and (iii) information of a general economic or industry nature, that has been or will hereafter be made available to the Commitment Parties by or on behalf of the Company, any Company Representatives acting on your behalf, Navy or any affiliate thereof in connection with the transactions contemplated hereby (such written information and data other than set forth in clauses (i), (ii) and (iii) above, the “Information”) is and will be, when taken as a whole, complete and correct in all material respects and does not and will not, when furnished, contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements contained therein not materially misleading in light of the circumstances under which such statements were or are made (in each case after giving effect to all supplements and updates thereto) and (b) all financial projections and forward-looking information (which information, to the extent provided prior to the Closing Date, shall be to the best of your knowledge in the case of Navy, Red Lion or the other members of the Red Lion Group) that have been or will be prepared by the Company or any Company Representatives acting on your behalf and made available to the Commitment Parties, any Lender or any potential Lender (the “Projections”) have been or will be prepared in good faith based upon assumptions that are or were believed by you to be reasonable as of the date of the preparation of such Projections (it being understood that the Projections are predictions as to future events, are not to be viewed as facts and are subject to significant uncertainties and contingencies, many of which are beyond the Company’s control, that no assurance can be given that the Projections will be realized, and that actual results may differ significantly from the projected results, and such differences may be material).  If, at any time from the date hereof until the Syndication Date, any of the representations and warranties in the preceding sentence would not be accurate and complete in any material respect if the Information or Projections were being furnished, and such representations and warranties were being made, at such time, then the Company agrees to (and, prior to the Closing Date, with regard to Navy, Red Lion or the other members of the Red Lion Group, agrees to use commercially reasonable efforts to) cure such inaccuracy and incompleteness promptly by supplementing the Information and/or Projections from time to time so that the representations and warranties contained in this paragraph remain accurate and complete in all material respects under those circumstances.  Notwithstanding anything to the contrary, the accuracy of the foregoing representations, whether or not cured, shall not be a condition to the obligations of any Commitment Party or the funding of the commitments of such Commitment Party hereunder.

 

12

 

In providing this Commitment Letter and in arranging the Facilities, each Commitment Party is relying on the accuracy of the Information furnished to it by or on behalf of the Company or any Company Representatives without independent verification thereof.

 

Section 9.  No Third Party Reliance, Not a Fiduciary, Etc.  The agreements of each Commitment Party hereunder and of any Lender that issues a commitment to provide financing under any Facility are made solely for the benefit of the Company and may not be relied upon or enforced by any other person.  The Company may not assign or delegate any of its rights or obligations hereunder without the Commitment Parties’ prior written consent (not to be unreasonably withheld or delayed) except to Red Lion or USAcq simultaneously with, or immediately prior to, the consummation of the Merger.  This Commitment Letter may not be amended or modified, or any provision hereof waived, except by a written agreement signed by all parties hereto.

 

The Company hereby acknowledges that each Commitment Party is acting pursuant to a contractual relationship on an arm’s length basis, and the parties hereto do not intend that any Commitment Party act or be responsible as a fiduciary to the Company, its management, stockholders, creditors or any other person.  The Company and each Commitment Party hereby expressly disclaim any fiduciary relationship and agrees they are each responsible for making their own independent judgments with respect to any transactions entered into between them.  The Company also hereby acknowledges that no Commitment Party has advised or is advising the Company as to any legal, accounting, regulatory or tax matters, and that the Company is consulting its own advisors concerning such matters to the extent it deems appropriate.

 

The Company understands that each Commitment Party and its affiliates (such Commitment Party, together with its affiliates, being collectively, a “Group”) are engaged in a wide range of financial services and businesses (including investment management, financing, securities trading, corporate and investment banking and research).  Members of each Group and businesses within each Group generally act independently of each other, both for their own account and for the account of clients.  Accordingly, there may be situations where parts of a Group and/or their clients either now have or may in the future have interests, or take actions, that may conflict with the Company’s interests.  For example, a Group may, in the ordinary course of business, engage in trading in financial products or undertake other investment businesses for their own account or on behalf of other clients, including without limitation, trading in or holding long, short or derivative positions in securities, loans or other financial products of the Company or its affiliates or other entities connected with the Facilities or the transactions contemplated hereby.

 

In recognition of the foregoing, the Company agrees that no Group is required to restrict its activities as a result of this Commitment Letter and that each Group may undertake any business activity without further consultation with or notification to the Company.  Neither this Commitment Letter nor the receipt by any Commitment Party of confidential information nor any other matter will give rise to any fiduciary, equitable or contractual duties (including without limitation, any duty of trust or confidence) that would prevent or restrict a Group from acting on behalf of other customers or for its own account.  Furthermore, the Company agrees that no Group nor any member or business of any Group is under a duty to disclose to the Company or use on behalf of the Company any information whatsoever about or derived from those activities or to account for any revenue or profits obtained in connection with such activities.  However,

 

13

 

consistent with each Group’s long-standing policy to hold in confidence the affairs of its customers, no Group will not use confidential information obtained from the Company except in connection with its services to, and its relationship with, the Company; provided, that each Group will be free to disclose information as provided in Section 7 hereof.

 

Section 10.  Governing Law, Etc.  This Commitment Letter and any right, remedy, obligation, claim, controversy, dispute or cause of action (whether in contract, tort or otherwise) based upon, arising out of or relating to this Commitment Letter and the transactions contemplated hereby will be governed by, and construed in accordance with, the law of the State of New York without regard to conflicts of law principles that would lead to the application of laws other than the law of the State of New York.  This Commitment Letter sets forth the entire agreement between the parties with respect to the matters addressed herein and supersedes all prior communications, written or oral, with respect hereto.  This Commitment Letter may be executed in any number of counterparts, each of which, when so executed, will be deemed to be an original and all of which, taken together, will constitute one and the same Commitment Letter.  Delivery of an executed counterpart of a signature page to this Commitment Letter by telecopier will be as effective as delivery of an original executed counterpart of this Commitment Letter.

 

Section 11.  Waiver of Jury Trial.  Each party hereto irrevocably waives all right to trial by jury in any action, proceeding or counterclaim (whether based on contract, tort or otherwise) arising out of or relating to this Commitment Letter or the transactions contemplated hereby or the actions of the parties hereto in the negotiation, performance or enforcement hereof.

 

Section 12.  Consent to Jurisdiction, Etc.  Each of the parties hereto irrevocably and unconditionally (i) agrees that it will not commence any action, litigation or proceeding of any kind or description, whether in law or in equity, whether in contract, tort or otherwise, against any person arising out of or in any way relating to this Commitment Letter or the transactions contemplated hereby in any forum other than the courts of the State of New York sitting in New York County, and of the United States District Court for the Southern District of New York, and any appellate court from any thereof, (ii) to the fullest extent permitted by applicable law, submits to the exclusive jurisdiction of such courts and agrees that all claims in respect of any such action, litigation or proceeding may be heard and determined in such New York State court or in such federal court, (iii) waives, to the fullest extent permitted by applicable law, any objection that it may now or hereafter have to the laying of venue of any such action, litigation or proceeding arising out of or relating to this Commitment Letter in any court referred to in this Section, (iv) waives, to the fullest extent permitted by applicable law, the defense of an inconvenient forum to the maintenance of such action, litigation or proceeding in any such court and (v) consents to the service of any process, summons, notice or document in any such action, litigation or proceeding by registered mail addressed to such person at its address specified on the first page of this Commitment Letter.  A final judgment in any such action, litigation or proceeding will be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.

 

Section 13.  Patriot Act Compliance.  Each Commitment Party hereby notifies the Company that pursuant to the requirements of the USA PATRIOT ACT (Title III of Pub. L. 107-56 (signed into law October 26, 2001)), as amended (the “Patriot Act”), it is required to obtain, verify and record information that identifies the Company, which information includes the name and address of the Company and other information that will allow such Commitment Party to

 

14

 

identify the Company in accordance with the Patriot Act.  In that connection, each Commitment Party may also request corporate formation documents, or other forms of identification, to verify information provided.

 

Please indicate the Company’s acceptance of the provisions hereof by signing the enclosed copy of this Commitment Letter and the Fee Letter and returning them to Mohammed Baabde, Citigroup Global Markets Inc., 390 Greenwich Street, New York, New York 10013 (fax: (646) 441-4554) at or before 11:59 p.m.  (New York City time) on July 15, 2014, the time at which the commitments and other obligations of the Commitment Parties hereunder (if not so accepted or extended by the Commitment Parties prior thereto) will terminate.  If the Company elects to deliver this Commitment Letter by telecopier, please arrange for the executed original to follow by next-day courier.

 

[Remainder of page intentionally left blank; signature pages follow.]

 

15

 

	
 
    	
Very   truly yours,
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
CITIGROUP   GLOBAL MARKETS INC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By
    	
/s/   Kirkwood Roland
    
	
 
    	
 
    	
Name: Kirkwood   Roland
    
	
 
    	
 
    	
Title: Director
    

 

[Signature Page to Amended and Restated Commitment Letter]

 

 

	
 
    	
 
    	
BANK OF AMERICA, N.A.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Gerard P. Rooney
    
	
 
    	
 
    	
Name: Gerard P. Rooney
    
	
 
    	
 
    	
Title: Managing Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
MERRILL LYNCH, PIERCE, FENNER & SMITH   INCORPORATED
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Gerard P. Rooney
    
	
 
    	
 
    	
Name: Gerard P. Rooney
    
	
 
    	
 
    	
Title: Managing Director
    

 

[Signature Page to Amended and Restated Commitment Letter]

 

 

	
 
    	
 
    	
WELLS FARGO BANK, NATIONAL ASSOCIATION
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Michael Janak
    
	
 
    	
 
    	
Name: Michael Janak
    
	
 
    	
 
    	
Title: Managing Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
WELLS FARGO SECURITIES, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Whitney Wall
    
	
 
    	
 
    	
Name: Whitney Wall
    
	
 
    	
 
    	
Title: Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
WF INVESTMENT HOLDINGS, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Whitney Wall
    
	
 
    	
 
    	
Name: Whitney Wall
    
	
 
    	
 
    	
Title: Director
    

 

[Signature Page to Amended and Restated Commitment Letter]

 

 

	
 
    	
 
    	
JPMORGAN   CHASE BANK, N.A.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By
    	
/s/   Correne S. Loeffler
    
	
 
    	
 
    	
Name: Correne   S. Loeffler
    
	
 
    	
 
    	
Title: Authorized   Officer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
J.P.   MORGAN SECURITIES LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By
    	
/s/   Correne S. Loeffler
    
	
 
    	
 
    	
Name: Correne   S. Loeffler
    
	
 
    	
 
    	
Title: Authorized   Officer
    

 

[Signature Page to Amended and Restated Commitment Letter]

 

 

	
ACCEPTED   AND AGREED:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
C&J   ENERGY SERVICES, INC.
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By
    	
/s/ Randall C. McMullen, Jr.
    	
 
    	
 
    
	
 
    	
Name:   Randall C. McMullen, Jr.
    	
 
    	
 
    
	
 
    	
Title:   Chief   Financial Officer and Treasurer
    	
 
    	
 
    

 

[Signature Page to Amended and Restated Commitment Letter]

 

 

EXHIBIT A

 

Project Navy

Transaction Description

 

Capitalized terms used but not defined in this Exhibit A shall have the meanings set forth in the Commitment Letter.  In the case of any such capitalized term that is subject to multiple and differing definitions, the appropriate meaning thereof in this Exhibit A shall be determined by reference to the context in which it is used.

 

You intend to consummate the Merger (the date of the consummation of the Merger, the “Closing Date”) pursuant to the Merger Agreement (as defined below).

 

In connection with the foregoing, it is intended that:

 

(a)                                 Pursuant to the Separation Agreement (together with all exhibits and schedules thereto, collectively, the “Separation Agreement”), entered into between Navy and Red Lion on June 25, 2014, Navy and Red Lion will cause Red Lion to undergo a restructuring (the “Red Lion Restructuring”), pursuant to which Red Lion and certain members of the Red Lion Group (as defined in the Separation Agreement) will engage in the transactions more fully described in the Separation Agreement.

 

(b)                                 Pursuant to the Agreement and Plan of Merger (together with all exhibits and schedules thereto, collectively, the “Merger Agreement” and, together with the Separation Agreement, the “Transaction Documents”) entered into among Navy, Red Lion and the Company on June 25, 2014, the Company and Merger Sub will consummate the Merger and, if applicable, the other transactions described therein or related thereto.  Immediately after giving effect to the Merger, the Company will be the surviving corporation and will become a wholly-owned indirect subsidiary of Red Lion, and the issued and outstanding shares of the Company’s common stock will be converted into the right to receive common stock of Red Lion.

 

(c)                                  Red Lion and/or USAcq will obtain the senior secured revolving credit facility described in Exhibit B to the Commitment Letter in an aggregate principal amount of up to $600.0 million (the “Revolving Credit Facility”) and the senior secured term loan facility described in Exhibit B to the Commitment Letter in an aggregate principal amount of $675.0 million (the “Term B Facility”).

 

(d)                                 Red Lion or USAcq will issue and sell senior unsecured notes (the “Notes”) in a Rule 144A or other private placement on or prior to the Closing Date yielding up to $600.0 million in gross cash proceeds; provided, however, if and to the extent that less than $600.0 million of proceeds of Notes are issued and/or received by you on or prior to the Closing Date, or to the extent that the proceeds of such Notes are not available to consummate the Transactions, Red Lion or USAcq may borrow up to $600.0 million of senior unsecured bridge loans (less the gross cash proceeds received by USAcq from the sale of Notes on or prior to the Closing Date the proceeds of which are available to consummate the Transactions) (the “Bridge Loans”) under a senior

 

A-1

 

unsecured credit facility described in Exhibit C to the Commitment Letter (the “Bridge Facility”).

 

(e)                                  The Company will repay in full and permanently terminate all commitments under its existing Credit Agreement (as amended, amended and restated or otherwise modified up to and including the Closing Date, the “Existing Company Credit Agreement”) (other than obligations in respect of any letters of credit outstanding thereunder and issued by lenders thereunder which are “rolled” or “grandfathered” into the Revolving Credit Facility). The transactions described in this paragraph (e) are referred to herein as the “Existing Revolver Termination”.

 

(f)                                   The proceeds of borrowings under the Facilities and the Notes, if any, will be applied (i) to fund the repayment of certain intercompany notes (the “Intercompany Notes”) and certain other payments to be made pursuant to the Separation Agreement in connection with the Red Lion Restructuring (the “Restructuring Costs”), (ii) to effect the Existing Revolver Termination, (iii) to pay the fees, costs and expenses incurred in connection with the Transactions (such fees and expenses, the “Transaction Costs”), and (iv) to the extent any excess proceeds are available, such proceeds will be used for general corporate purposes.

 

(g)                                  After giving effect to the Red Lion Restructuring, the Merger and the other transactions described above, approximately 53.04% of the outstanding capital stock of Red Lion will be held by Navy.

 

The transactions described above (including the payment of Transaction Costs) are collectively referred to herein as the “Transactions”.

 

A-2

 

EXHIBIT B

 

Project Navy

 

Senior Secured Facilities
  Summary of Principal Terms and Conditions(1)

 

[Superseded.]

 

(1)                                 All capitalized terms used but not defined herein shall have the meanings given to them in the Commitment Letter to which this term sheet is attached, including the exhibits thereto.

 

B-I-1

 

EXHIBIT C

 

Bridge Facility
 Summary of Principal Terms and Conditions(2)

 

[Superseded.]

 

(2)                                 All capitalized terms used but not defined herein shall have the meanings given to them in the Commitment Letter to which this term sheet is attached, including the exhibits thereto.

 

C-1

 

EXHIBIT D

 

Project Navy

Summary of Additional Conditions(3)

 

Subject to the Certain Funds Provision, each Commitment Party’s commitments with respect to the Facilities and any borrowings thereunder shall be subject to the following conditions:

 

1.                                      The Red Lion Restructuring and the Merger shall have been consummated, or substantially simultaneously with the initial borrowing under the Senior Secured Facilities and, if applicable, the Bridge Facility shall be consummated, in accordance with the terms of the Transaction Documents, without giving effect to any modifications, amendments, consents or waivers thereto that are materially adverse to the Lenders or the Lead Arrangers without the prior consent of the Lead Arrangers.  For purposes of the foregoing condition, it is hereby understood and agreed that any change in the payments to be made in connection with the Transactions shall not be deemed to be materially adverse to the interests of the Lenders or the Lead Arrangers if (a) any decrease in the purchase price is allocated to reduce the Facilities on a pro rata, dollar-for-dollar basis or (b) any increase in purchase price is not funded by any incurrence of indebtedness.  The Specified Merger Agreement Representations and the Specified Representations shall be true and correct in all material respects (except (i) in the case of any Specified Merger Agreement Representation or Specified Representation which expressly relates to a given date or period, such representation and warranty shall be true and correct in all material respects as of the respective date or for the respective period, as the case may be and (ii) to the extent any Specified Merger Agreement Representation or Specified Representation is qualified by materiality, such Specified Merger Agreement Representation or Specified Representation shall be true and correct in all respects).

 

2.                                      (a) The Lead Arrangers shall have received reasonably satisfactory evidence that all loans outstanding under, and all other amounts due in respect of, the Existing Company Credit Agreement shall have been repaid in full, the commitments thereunder shall have been permanently terminated and all liens thereunder shall have been released (other than obligations in respect of any letters of credit outstanding thereunder and issued by lenders thereunder which are “rolled” or “grandfathered” into the Revolving Credit Facility) and (b) subject to the foregoing clause (a) and to the Certain Funds Provisions, the Lenders under the Senior Secured Facilities shall have a valid and perfected lien on and security interest in the Collateral, all filings, recordations and searches necessary or desirable in connection with such liens and security interests shall have been duly made, and all filings and recording fees and taxes shall have been duly paid.

 

3.                                      On the Closing Date, after giving effect to the Transactions, none of USAcq, the Company, any other Guarantor, or any of their respective subsidiaries shall have any

 

(3)                                 Capitalized terms used in this Exhibit D shall have the meanings set forth in the Commitment Letter to which this Exhibit D is attached (the “Commitment Letter”) and the other Exhibits attached to the Commitment Letter.  In the case of any such capitalized term that is subject to multiple and differing definitions, the appropriate meaning thereof in this Exhibit D shall be determined by reference to the context in which it is used.

 

D-I-1

 

indebtedness for borrowed money (including any of the Intercompany Notes) other than (i) the Notes (if any), the Revolving Credit Facility, the Term B Facility and the Bridge Facility, and (ii) indebtedness permitted to be incurred or outstanding under the Revolving Credit Facility, the Term B Facility and the Bridge Facility (including ordinary course capital leases, purchase money indebtedness, equipment financings, letters of credit and surety bonds in amounts to be agreed) (the indebtedness described in this clause (i), including any replacements, extensions and renewals of any of the foregoing indebtedness that matures or will be terminated on or prior to the Closing Date, collectively, the “Permitted Surviving Debt”).

 

4.                                      The Lenders shall have received customary legal opinions (including, among other things, customary non-contravention opinions with respect to the existing material debt facilities of the Company, the Target and their respective subsidiaries), customary evidence of authorization, customary officers’ certificates, borrowing notices, good standing certificates (to the extent applicable) of USAcq, the Company, and the other Guarantors in their respective jurisdictions of organization and a solvency certificate of Parent’s chief financial officer in substantially the form of Annex I hereto.

 

5.                                      The Lead Arrangers shall have received (a) audited consolidated balance sheets of the Company, and related statements of operations, stockholders’ equity and cash flows for the three (3) most recently completed fiscal years ended at least 90 days before the Closing Date and (b) unaudited consolidated balance sheets and related statements of operations, stockholders’ equity and cash flows of the Company for each subsequent fiscal quarter after December 31, 2013, in each case ended at least 45 days before the Closing Date (other than the final quarter of any fiscal year); provided that this condition shall be deemed satisfied to the extent such financial statements have been publicly filed with the Securities and Exchange Commission.

 

6.                                      The Lead Arrangers shall have received (a) audited consolidated balance sheets of the Red Lion Business (as defined in the Merger Agreement) (or, at the request of the Company, Blue and Royal (each as defined in the Merger Agreement)), and related statements of operations, stockholders’ equity and cash flows for the three (3) most recently completed fiscal years ended at least 90 days before the Closing Date and (b) unaudited consolidated balance sheets and related statements of operations, stockholders’ equity and cash flows of the Red Lion Business (or, at the request of the Company, Blue and Royal) for each subsequent fiscal quarter after December 31, 2013, in each case ended at least 45 days before the Closing Date (other than the final quarter of any fiscal year); provided that this condition shall be deemed satisfied to the extent such financial statements have been publicly filed on the relevant Form S-4.

 

7.                                      The Lead Arrangers shall have received a pro forma consolidated balance sheet and related pro forma consolidated statement of operations of Parent and its subsidiaries based on the financial statements referred to in paragraphs 5 and 6 above as of and for the twelve-month period ending on the last day of the most recently completed four-fiscal quarter period ended at least 45 days prior to the Closing Date (or, if the most recently completed fiscal period is the end of a fiscal year, ended at least 90 days before the Closing Date), prepared after giving effect to the Transactions as if the Transactions had occurred as of such date (in the case of such balance sheet) or at the beginning of such period (in the case of such other financial statements); provided that no such pro forma financial statement shall be required to include adjustments for purchase accounting (including adjustments of the type contemplated by Financial Accounting Standards Board Accounting Standards Codification 805, Business Combinations (formerly

 

D-I-2

 

SFAS 141R)).

 

8.                                      The Lenders shall have received at least three business days prior to the Closing Date all documentation and other information about you, USAcq, the Guarantors and your respective subsidiaries as has been reasonably requested in writing at least ten days prior to the Closing Date by such Lenders that they reasonably determine is required by regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including without limitation the Patriot Act.

 

9.                                      All fees required to be paid on or prior to the Closing Date pursuant to the Term Sheets and Fee Letter and out-of-pocket expenses and reasonable legal fees required to be paid on or prior to the Closing Date pursuant to the Commitment Letter shall, concurrently with the Closing Date, have been paid (which amounts may be offset against the proceeds of the Facilities).

 

10.                               As a condition to the Senior Secured Facilities, the Lead Arrangers shall have received, not later than 15 business days prior to the Closing Date, such information relating to the Senior Secured Facilities as is suitable for use in a customary syndication of bank financing (other than information customarily provided by the Lead Arrangers); provided that the entirety of such period shall occur prior to August 16, 2014 or after September 2, 2014 or prior to December 15, 2014 or after January 2, 2015 and each of (i) July 2, 2014 through July 7, 2014, and (ii) November 24, 2014 through November 30, 2014 shall not be deemed a business day for purposes of calculating such period. If the Company reasonably believes in good faith that it has delivered the Confidential Information Memorandum required to be delivered pursuant to this paragraph, the Company may deliver to the Lead Arrangers written notice to that effect (stating when it believes it completed any such delivery), in which case the Company shall be deemed to have satisfied its requirements under this paragraph on the date specified in such notice and the 15 business day period referenced above shall be deemed to have commenced on the date specified in such notice, unless any Lead Arranger in good faith reasonably believes that the Company has not delivered the Confidential Information Memorandum and, within three business days after receipt of the notice from the Company, such Lead Arranger delivers a written notice to the Company to that effect (stating with specificity which information is required to satisfy the Company’s requirement to provide a Confidential Information Memorandum).

 

11.                               If the commitments in respect of the Bridge Facility have not terminated in accordance with Section 2 of the Commitment Letter, you shall have provided the Investment Banks (as defined in the Fee Letter) with a preliminary offering memorandum suitable for use in a customary (for high yield debt securities) “high yield road show” relating to offering of the Notes in a form customary for offerings under Rule 144A by USAcq, including financial statements, pro forma financial statements, business and other financial data of the type required in a registered offering by Regulation S-X and Regulation S-K under the Securities Act (other than Item 402 of Regulation S-K, Rules 3-10 and 3-16 of Regulation S-X and subject to exceptions customary for private placements pursuant to Rule 144A promulgated under the Securities Act of 1933, including only three years of selected financial data and limited, in the case of financial statements and other financial data to that required to be included in the proxy statement included in the registration statement on Form S-4 filed for the Merger) and in form and substance necessary for the Investment Banks to receive customary “comfort” (including

 

D-I-3

 

“negative assurance” comfort) from independent accountants in connection with the offering of such Notes (which, for the avoidance of doubt, need not include information or financial data customarily excluded from a Rule 144A offering memorandum); provided that this condition shall be deemed satisfied if such offering memorandum excludes sections that would customarily be provided by the Investment Banks (including a “Description of Notes”), but is otherwise complete (collectively, the “Offering Memorandum”).  If the commitments in respect of the Bridge Facility have not terminated in accordance with Section 2 of the Commitment Letter, you shall have afforded the Investment Banks a period of 15 consecutive business days (or less if mutually agreed upon between you and us; provided that the entirety of such period shall occur prior to August 16, 2014 or after September 2, 2014 or prior to December 15, 2014 or after January 2, 2015 and each of (i) July 2, 2014 through July 7, 2014 and (ii) November 24, 2014 through November 30, 2014 shall not be deemed a business day for purposes of calculating such period and shall be deemed to toll such period following the satisfaction of the condition set forth in the immediately preceding sentence (and throughout which such condition remains satisfied (it being understood that the Offering Memorandum may be updated during such period with more recent financial statements and related financial data in order to ensure such condition remains satisfied throughout such period and such period shall not restart as a result of such update)) to seek to offer and sell or privately place the Notes with qualified purchasers thereof.  If the Company reasonably believes in good faith that it has delivered the preliminary offering memorandum required to be delivered pursuant to this paragraph, the Company may deliver to the Investment Banks written notice to that effect (stating when it believes it completed any such delivery), in which case the Company shall be deemed to have satisfied its requirements under this paragraph on the date specified in such notice and the 15 consecutive business day period referenced above shall be deemed to have commenced on the date specified in such notice, unless any Investment Bank in good faith reasonably believes that the Company has not delivered the preliminary offering memorandum and, within three business days after receipt of the notice from the Company, such Investment Bank delivers a written notice to the Company to that effect (stating with specificity which information is required to satisfy the Company’s requirement to provide a preliminary offering memorandum).

 

12.                               Since December 31, 2013, there has not been any event, occurrence, state of facts, circumstance, condition, effect or change that has had, or would be reasonably likely to have, individually or in the aggregate, a Material Adverse Effect on Red Lion that would result in a failure of a condition precedent for the benefit of the Company.

 

“Material Adverse Effect” means, with respect to Red Lion and the Red Lion Business on the one hand, or Penny, on the other hand, any event, occurrence, state of facts, circumstance, condition, effect or change (an “Event”), that is material and adverse to the financial condition, businesses or results of operations of the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny); provided that, a “Material Adverse Effect” shall be deemed not to include any Event to the extent resulting from one or more of the following:  (A) changes in prevailing economic or market conditions of the securities, credit or financial markets in the United States or elsewhere (except to the extent those changes have a materially disproportionate effect on the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny) relative to other similarly situated participants in the industries in which they operate), (B) changes or events, affecting the industries in which it or they operate generally, including changes in market 

 

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prices (except to the extent those changes or events have a materially disproportionate effect on the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny) relative to other similarly situated participants in the industries in which they operate), (C) changes in generally accepted accounting principles (“GAAP”) applicable to the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny), (D) changes in laws, rules or regulations of general applicability or interpretations thereof by any Governmental Entity, (E) the announcement or pendency of this Agreement, including termination of, reduction in or similar negative impact on relationships, contractual or otherwise, with any customers, suppliers, distributors, partners, employees or other business relations of the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny), (F) any weather-related or other force majeure event, including any outbreak of major hostilities in which the United States is involved or any act of terrorism within the United States or directed against its facilities or citizens wherever located (except to the extent those events have a materially disproportionate effect on the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny) relative to other similarly situated participants in the industries in which they operate), (G) any failure, in and of itself, by the Red Lion Business (with respect to Red Lion) or Penny and its Subsidiaries taken as a whole (with respect to Penny) to meet any internal or published projections or forecasts in respect of revenues, earnings or other financial or operating metrics (it being understood that the facts or occurrences giving rise to or contributing to such failure may be deemed to constitute, and may be taken into account in determining whether there has been or would reasonably be expected to be, a Material Adverse Effect), (H) compliance by Navy or Red Lion (with respect to Red Lion) or Penny and its Subsidiaries (with respect to Penny) with the terms of this Agreement or (J) changes in the trading prices or trading volume of Penny’s capital stock or its debt instruments (with respect to Penny) (it being understood that the facts or occurrences giving rise to or contributing to such change in trading prices or trading volume may be deemed to constitute, and be taken into account in determining whether there has been or would reasonably be expected to be, a Material Adverse Effect).  Capitalized terms used in this definition shall have the meanings assigned to such terms in the Merger Agreement.

 

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ANNEX I to

EXHIBIT D

 

SOLVENCY CERTIFICATE

 

To the Administrative Agent and each of the Lenders party to the Credit Agreement referred to below:

 

I, the undersigned chief financial officer of Nabors Red Lion Limited, a Bermuda exempted company ( “Parent”), in that capacity only and not in my individual capacity (and without personal liability), do hereby certify as of the date hereof, and based upon facts and circumstances as they exist as of the date hereof (and disclaiming any responsibility for changes in such facts and circumstances after the date hereof), that:

 

1.                                      This certificate is furnished to the Administrative Agent and the Lenders pursuant to Section      of the Credit Agreement, dated as of                         , among                    (the “Credit Agreement”).  Unless otherwise defined herein, capitalized terms used in this certificate shall have the meanings set forth in the Credit Agreement.

 

2.                                      For purposes of this certificate, the terms below shall have the following definitions:

 

(a)                                 “Fair Value”

 

The amount at which the assets (both tangible and intangible), in their entirety, of Parent and its subsidiaries taken as a whole would change hands between a willing buyer and a willing seller, within a commercially reasonable period of time, each having reasonable knowledge of the relevant facts, with neither being under any compulsion to act.

 

(b)                                 “Present Fair Salable Value”

 

The amount that could be obtained by an independent willing seller from an independent willing buyer if the assets of Parent and its subsidiaries taken as a whole are sold in an arm’s-length transaction under present conditions for the sale of comparable business enterprises insofar as such conditions can be reasonably evaluated.

 

(c)                                  “Liabilities”

 

The recorded liabilities (including contingent liabilities that would be recorded in accordance with GAAP) of Parent and its subsidiaries taken as a whole, as of the date hereof after giving effect to the consummation of the Transactions, determined in accordance with GAAP consistently applied.

 

(d)                                 “Will be able to pay their Liabilities as they mature”

 

For the period from the date hereof through the Maturity Date, Parent and its subsidiaries taken as a whole will have sufficient assets and cash flow to pay their Liabilities as those liabilities mature or (in the case of contingent Liabilities) otherwise become payable, in 

 

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light of business conducted or anticipated to be conducted by the Loan Parties as reflected in the projected financial statements and in light of the anticipated credit capacity.

 

(e)                                  “Do not have Unreasonably Small Capital”

 

Parent and its Subsidiaries taken as a whole after consummation of the Transactions is a going concern and has sufficient capital to reasonably ensure that it will continue to be a going concern for the period from the date hereof through the Maturity Date.  I understand that “unreasonably small capital” depends upon the nature of the particular business or businesses conducted or to be conducted, and I have reached my conclusion based on the needs and anticipated needs for capital of the business conducted or anticipated to be conducted by Parent and its subsidiaries as reflected in the projected financial statements and in light of the anticipated credit capacity.

 

3.                                      For purposes of this certificate, I, or officers of Parent under my direction and supervision, have performed the following procedures as of and for the periods set forth below.

 

(a)                                 I have reviewed the financial statements (including the pro forma financial statements) referred to in Section      of the Credit Agreement.

 

(b)                                 I have knowledge of and have reviewed to my satisfaction the Credit Agreement.

 

(c)                                  As chief financial officer of Parent, I am familiar with the financial condition of Parent and its subsidiaries.

 

4.                                      Based on and subject to the foregoing, I hereby certify on behalf of Parent that after giving effect to the consummation of the Transactions, it is my opinion that (i) the Fair Value of the assets of Parent and its subsidiaries taken as a whole exceeds their Liabilities, (ii) the Present Fair Salable Value of the assets of Parent and its subsidiaries taken as a whole exceeds their Liabilities; (iii) Parent and its subsidiaries taken as a whole do not have Unreasonably Small Capital; and (iv) Parent and its subsidiaries taken as a whole will be able to pay their Liabilities as they mature.

 

* * *

 

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IN WITNESS WHEREOF, Parent has caused this certificate to be executed on its behalf by chief financial officer as of the date first written above.

 

	
 
    	
NABORS   RED LION LIMITED
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
Name:
    
	
 
    	
 
    	
Title:
    

 

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