Document:

Exhibit 10.1

 

STOCK PURCHASE AGREEMENT

 

by and among

 

TRUCK COMPONENTS INC.

 

ACCURIDE CORPORATION

 

and

 

GREDE HOLDINGS LLC

 

dated as of

 

September 2, 2016

 

 

Table of Contents

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
Article I
    	
Definitions
    	
 
    	
1
    
	
Article II
    	
Purchase and Sale
    	
 
    	
10
    
	
Section 2.01
    	
Purchase and Sale
    	
 
    	
10
    
	
Section 2.02
    	
Purchase Price
    	
 
    	
10
    
	
Section 2.03
    	
Closing Deliverables
    	
 
    	
10
    
	
Section 2.04
    	
Closing
    	
 
    	
12
    
	
Section 2.05
    	
Purchase Price Adjustment
    	
 
    	
12
    
	
Article III
    	
Representations and Warranties of Seller
    	
 
    	
14
    
	
Section 3.01
    	
Organization and Authority of Seller and Parent
    	
 
    	
14
    
	
Section 3.02
    	
Organization, Authority and Qualification of the   Company
    	
 
    	
14
    
	
Section 3.03
    	
Capitalization
    	
 
    	
15
    
	
Section 3.04
    	
No Subsidiaries
    	
 
    	
15
    
	
Section 3.05
    	
No Conflicts; Consents
    	
 
    	
15
    
	
Section 3.06
    	
Financial Statements
    	
 
    	
16
    
	
Section 3.07
    	
Undisclosed Liabilities
    	
 
    	
16
    
	
Section 3.08
    	
Absence of Certain Changes, Events and Conditions
    	
 
    	
16
    
	
Section 3.09
    	
Material Contracts
    	
 
    	
17
    
	
Section 3.10
    	
Title to Assets; Real Property
    	
 
    	
18
    
	
Section 3.11
    	
Intellectual Property
    	
 
    	
19
    
	
Section 3.12
    	
Insurance
    	
 
    	
19
    
	
Section 3.13
    	
Legal Proceedings; Governmental Orders
    	
 
    	
20
    
	
Section 3.14
    	
Compliance With Laws; Permits
    	
 
    	
20
    
	
Section 3.15
    	
Environmental Matters
    	
 
    	
21
    
	
Section 3.16
    	
Employee Benefit Matters
    	
 
    	
21
    
	
Section 3.17
    	
Employment Matters
    	
 
    	
23
    
	
Section 3.18
    	
Taxes
    	
 
    	
23
    
	
Section 3.19
    	
Customers and Suppliers
    	
 
    	
25
    
	
Section 3.20
    	
Brokers
    	
 
    	
25
    
	
Article IV
    	
Representations and Warranties of Buyer
    	
 
    	
25
    
	
Section 4.01
    	
Organization and Authority of Buyer
    	
 
    	
25
    
	
Section 4.02
    	
No Conflicts; Consents
    	
 
    	
26
    
	
Section 4.03
    	
Investment Purpose
    	
 
    	
26
    
	
Section 4.04
    	
Brokers
    	
 
    	
26
    
	
Section 4.05
    	
Sufficiency of Funds
    	
 
    	
26
    
	
Section 4.06
    	
Legal Proceedings
    	
 
    	
26
    
	
Section 4.07
    	
Limitation on Seller Representations and Warranties;   Independent Investigation
    	
 
    	
26
    
	
Article V
    	
Covenants
    	
 
    	
27
    
	
Section 5.01
    	
Employees; Benefit Plans
    	
 
    	
27
    
	
Section 5.02
    	
Director and Officer Indemnification and Insurance
    	
 
    	
30
    
					

 

i

 

Table of Contents

(continued)

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
Section 5.03
    	
Confidentiality
    	
 
    	
31
    
	
Section 5.04
    	
Governmental Approvals and Other Third-party   Consents
    	
 
    	
31
    
	
Section 5.05
    	
Books and Records
    	
 
    	
32
    
	
Section 5.06
    	
Public Announcements
    	
 
    	
32
    
	
Section 5.07
    	
Further Assurances
    	
 
    	
32
    
	
Section 5.08
    	
Transfer Taxes
    	
 
    	
33
    
	
Section 5.09
    	
Non-Competition; Non-Solicitation Covenants of   Seller and Seller’s Affiliates
    	
 
    	
33
    
	
Section 5.10
    	
Confidential Information
    	
 
    	
34
    
	
Section 5.11
    	
Code §338(h)(10)
    	
 
    	
35
    
	
Section 5.12
    	
Other Tax Matters
    	
 
    	
36
    
	
Article VI
    	
Indemnification
    	
 
    	
38
    
	
Section 6.01
    	
Survival
    	
 
    	
38
    
	
Section 6.02
    	
Indemnification By Seller and Parent
    	
 
    	
38
    
	
Section 6.03
    	
Indemnification By Buyer
    	
 
    	
39
    
	
Section 6.04
    	
Certain Limitations
    	
 
    	
39
    
	
Section 6.05
    	
Indemnification Procedures
    	
 
    	
40
    
	
Section 6.06
    	
Tax Treatment of Indemnification Payments
    	
 
    	
42
    
	
Section 6.07
    	
Exclusive Remedies
    	
 
    	
42
    
	
Article VII
    	
Miscellaneous
    	
 
    	
43
    
	
Section 7.01
    	
Expenses
    	
 
    	
43
    
	
Section 7.02
    	
Notices
    	
 
    	
43
    
	
Section 7.03
    	
Interpretation
    	
 
    	
44
    
	
Section 7.04
    	
Headings
    	
 
    	
44
    
	
Section 7.05
    	
Severability
    	
 
    	
44
    
	
Section 7.06
    	
Entire Agreement
    	
 
    	
45
    
	
Section 7.07
    	
Successors and Assigns
    	
 
    	
45
    
	
Section 7.08
    	
No Third-party Beneficiaries
    	
 
    	
45
    
	
Section 7.09
    	
Amendment and Modification; Waiver
    	
 
    	
45
    
	
Section 7.10
    	
Governing Law; Submission to Jurisdiction; Waiver of   Jury Trial
    	
 
    	
45
    
	
Section 7.11
    	
Specific Performance
    	
 
    	
46
    
	
Section 7.12
    	
Counterparts
    	
 
    	
46
    
	
Section 7.13
    	
Non-Recourse
    	
 
    	
46
    
	
 
    	
 
    	
 
    
	
EXHIBITS
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Exhibit A —   Transition Services Agreement
    	
 
    	
 
    
	
Exhibit B —   Release of Buyer and the Company
    	
 
    	
 
    
	
Exhibit C —   Release of Seller and Parent
    	
 
    	
 
    
	
Exhibit D —   Historical Working Capital Calculations
    	
 
    	
 
    
	
Exhibit E —   Physical Inventory Policies, Procedures and Practices
    	
 
    	
 
    
					

 

ii

 

 

STOCK PURCHASE AGREEMENT

 

This Stock Purchase Agreement (this “Agreement”), dated as of September 2, 2016, is entered into by and among Truck Components Inc., a Delaware corporation (“Seller”), Accuride Corporation, a Delaware corporation (“Parent”), solely with respect to Sections 3.01, 3.05, 5.10, 5.11, 5.12, 6.02, 6.04, 6.05, 6.06 and 6.07, and Grede Holdings LLC, a Delaware limited liability company (“Buyer”). Seller and Buyer are sometimes each referred to herein individually as a “Party” and collectively as the “Parties”).

 

RECITALS

 

A.            Seller owns all of the issued and outstanding shares of common stock of Brillion Iron Works, Inc., a Delaware corporation (the “Company”), which consists of ten thousand (10,000) shares of common stock, par value $0.01 (the “Shares”).

 

B.            Seller wishes to sell to Buyer, and Buyer wishes to purchase from Seller, the Shares, subject to the terms and conditions set forth herein.

 

AGREEMENT

 

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

 

ARTICLE I
 DEFINITIONS

 

The following terms have the meanings specified or referred to in this Article I:

 

“338(h)(10) Election” has the meaning set forth in Section 5.11(a).

 

“Affected Employees and Dependents” has the meaning set forth in Section 5.01(c).

 

“Affiliate” of a Person means any other Person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, such Person. The term “control” (including the terms “controlled by” and “under common control with”) means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting securities, by contract or otherwise.

 

“Agreement” has the meaning set forth in the preamble.

 

“Balance Sheet” has the meaning set forth in Section 3.06.

 

“Balance Sheet Date” has the meaning set forth in Section 3.06.

 

“Benefit Plan” has the meaning set forth in Section 3.16(a).

 

 

“Brillion Collective Bargaining Agreements” means those collective bargaining agreements and other similar agreements described in Section 3.17(a) of the Seller Disclosure Schedules.

 

“Business Day” means any day except Saturday, Sunday or any other day on which commercial banks located in New York, New York are authorized or required by Law to be closed for business.

 

“Buyer” has the meaning set forth in the preamble.

 

“Cash and Cash Equivalents” means cash, cash equivalents and other short-term liquid investments of the Company, as of the date of determination, less the amounts of any unpaid checks, drafts and wire transfers issued on or prior to the date of determination (but without duplication of any such unpaid amounts being taken into account in the determination of the Closing Working Capital), whether in Company bank accounts or otherwise in the Company’s possession or under its control, less any fees, Taxes payable by the Company, withholdings or expenses necessary to liquidate such amounts.

 

“CERCLA” means the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended, 42 U.S.C. §§ 9601 et seq.

 

“Closing” has the meaning set forth in Section 2.04.

 

“Closing Date” has the meaning set forth in Section 2.04.

 

“Closing Working Capital” means (a) the Current Assets of the Company, less (b) the Current Liabilities of the Company, determined as of the open of business on the Closing Date.

 

“Closing Working Capital Statement” has the meaning set forth in Section 2.05(b)(i).

 

“COBRA” means Part 6 of Subtitle B of Title I of ERISA, Code § 4980B and any similar state Law.

 

“Code” means the Internal Revenue Code of 1986, as amended.

 

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

 

“Company Business” means the Company’s business, as conducted on the Closing Date, of manufacturing and selling gray, ductile and austempered ductile iron castings for use in a variety of industrial markets, including casting, finishing and engineering services related thereto. For added certainty, the Company Business does not include any business or activity carried on by the Gunite Business, except for certain castings made by the Company for Gunite pursuant to one or more written agreements between the Company and Gunite which such certain castings Gunite is free to source internally or from any third party except as may be expressly provided in a signed written agreement between the Company and Gunite.

 

“Company Intellectual Property” has the meaning set forth in Section 3.11(b).

 

“Confidential Information” means information, whether or not patentable, copyrightable or trademarkable, regarding the Company or Company Business not generally available to the public, including the following: (a) information regarding operations, assets,

 

2

 

liabilities or financial condition; (b) information regarding pricing, sales, sales methods, marketing, capital expenditures, costs, joint ventures, business alliances, or purchasing; (c) information regarding employees, including their identities, responsibilities, competence and compensation; (d) customer lists or other information regarding current or prospective customers, including information regarding their identities, contact persons and purchasing patterns; (e) information regarding current or prospective vendors, suppliers, distributors, sales representatives, distributors, licensees or other business partners, product specifications, manufacturing procedures, methods, equipment, compositions, technology; (f) forecasts, projections, budgets, business plans, customer usages and requirements; (g) planned or pending acquisitions, divestitures or other business combinations, and (h) Intellectual Property, trade secrets and proprietary information.

 

“Confidentiality Agreement” means the Confidentiality Agreement, dated as of March 24, 2016, between Buyer’s parent, Metaldyne Performance Group Inc., and Seller.

 

“Continuing Bargained Employees” has the meaning set forth in Section 5.01(a)(i).

 

“Continuing Employees” has the meaning set forth in Section 5.01(a).

 

“Covered Person” has the meaning set forth in Section 5.02(a).

 

“Current Assets” means accounts receivable, inventory, prepaid expenses and other current assets, all as specifically set forth on Exhibit D, but excluding (a) the portion of any prepaid expense of which Buyer will not receive the benefit following the Closing, (b) deferred Tax assets and net operating losses, (c) Cash and Cash Equivalents and (d) receivables from any of the Company’s Affiliates (other than Gunite), directors, employees, officers or stockholders and any of their respective Affiliates, determined in accordance with GAAP applied using the same accounting methods, practices, principles, policies and procedures, with consistent classifications, judgments and valuation and estimation methodologies that were used in the preparation of the Year-End Financial Statements for the most recent fiscal year end as if such accounts were being prepared as of a fiscal year end.

 

“Current Liabilities” means, except for the Sales Tax Audit, accounts payable, accrued Taxes and accrued expenses, all as specifically set forth on Exhibit D, but excluding payables to any of the Company’s Affiliates (other than Gunite), directors, employees, officers or stockholders and any of their respective Affiliates, deferred Tax liabilities and Indebtedness (including short-term portions thereof), determined in accordance with GAAP applied using the same accounting methods, practices, principles, policies and procedures, with consistent classifications, judgments and valuation and estimation methodologies that were used in the preparation of the Year-End Financial Statements for the most recent fiscal year end as if such accounts were being prepared as of a fiscal year end.

 

“Customer Claim” has the meaning set forth in Section 6.05(a).

 

“Data Room” means the electronic documentation site established by R.R. Donnelley on behalf of Seller.

 

“Disputed Amounts” has the meaning set forth in Section 2.05(c)(iii).

 

3

 

“Deductible” has the meaning set forth in Section 6.04(a).

 

“Direct Claim” has the meaning set forth in Section 6.05(c).

 

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

 

“D&O Claim” has the meaning set forth in Section 5.02(a).

 

“D&O Indemnification Provisions” has the meaning set forth in Section 5.02(a).

 

“Employees” means those Persons employed by the Company immediately prior to the Closing.

 

“Encumbrance” means any lien, pledge, mortgage, deed of trust, security interest, charge, claim, easement, encroachment or other similar encumbrance.

 

“Environmental Claim” means any action, suit, claim, investigation, notice of violation, notice of non-compliance or other legal proceeding by any Person alleging liability for Losses (including, but not limited to, the costs of enforcement proceedings, investigations, and cleanup; natural resources damages; penalties; and actual, reasonable attorney fees and litigation costs) arising out of, based on or resulting from: (a) the Release of Hazardous Materials; or (b) any actual non-compliance with any Environmental Law or Environmental Permit or any such non-compliance that has been alleged in writing.

 

“Environmental Law” means any applicable Law or Governmental Order (a) relating to pollution (or the cleanup thereof) or the protection of natural resources, endangered or threatened species, human health or safety, or the environment; or (b) concerning the Release of, or the storage, treatment, generation, discharge, disposal or remediation of Hazardous Materials. The term “Environmental Law” includes the following (including their implementing regulations and any state analogs): CERCLA; the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act of 1976, as amended by the Hazardous and Solid Waste Amendments of 1984, 42 U.S.C. §§ 6901 et seq.; the Federal Water Pollution Control Act of 1972, as amended by the Clean Water Act of 1977, 33 U.S.C. §§ 1251 et seq.; the Toxic Substances Control Act of 1976, as amended, 15 U.S.C. §§ 2601 et seq.; the Emergency Planning and Community Right-to-Know Act of 1986, 42 U.S.C. §§ 11001 et seq.; the Clean Air Act of 1966, as amended by the Clean Air Act Amendments of 1990, 42 U.S.C. §§ 7401 et seq.; and the Occupational Safety and Health Act of 1970, as amended, 29 U.S.C. §§ 651 et seq. The term “Environmental Law” includes any common law of nuisance or trespass, any law or regulation relating to any emission, discharge or Release of Hazardous Materials into the environment (including ambient air, indoor air, surface water, groundwater, land surface or subsurface strata).

 

“Environmental Notice” means any written directive, notice of violation, non-compliance or infraction, notice respecting any Environmental Claim relating to actual or alleged non-compliance with any Environmental Law or Environmental Permit or any other notice received from a Governmental Authority relating to any Environmental Law or Environmental Permit.

 

4

 

“Environmental Permit” means any Permit required under or issued, granted, given, authorized by or made pursuant to Environmental Law.

 

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and the regulations promulgated thereunder.

 

“ERISA Affiliate” means, with respect to any entity (a) a member of any “controlled group” (as defined in Code §414(b)) of which that entity is also a member, (b) a trade or business, whether or not incorporated, under common control (within the meaning of section Code §414(c)) with that entity, or (c) a member of any affiliated service group (within the meaning of Code §414(m)) of which that entity is also a member.

 

“Financial Statements” has the meaning set forth in Section 3.06.

 

“GAAP” means United States generally accepted accounting principles in effect from time to time.

 

“Governmental Authority” means any federal, state, local or foreign government or political subdivision thereof, or any agency or instrumentality of such government or political subdivision, or quasi-governmental authority (to the extent that the rules, regulations or orders of such organization or authority have the force of Law), or any arbitrator, court or tribunal of competent jurisdiction.

 

“Governmental Order” means any order, writ, judgment, injunction, decree, stipulation, determination or award entered by or with any Governmental Authority.

 

“Gunite” means Gunite Corporation, a wholly-owned subsidiary of Seller.

 

“Gunite Business” means the business carried on by Gunite as of the Closing, of designing, developing, manufacturing (including making and having made iron castings) marketing and/or selling wheel-end components (including brake drums, hubs, rotors, slack-adjusters and spoke wheels).

 

“Gunite Supply Agreement” means that certain Long Term Supply Agreement dated July 1, 2016 by and between the Company and Gunite, as amended.

 

“Hazardous Materials” means: (a) any material, substance, solid, liquid, gas, odor, chemical, mixture or waste that is specifically listed or which is hazardous, acutely hazardous, toxic, or words of similar import pursuant to Environmental Law; (b) any petroleum or petroleum-derived products, urea, formaldehyde foam insulation, polychlorinated biphenyls, radioactive materials or wastes, asbestos in any form, lead or lead-containing materials within any habitable building on the Real Property.

 

“Indebtedness” means, with respect to a Person, without duplication, (a) the principal, premium (including prepayment premium or penalty), if any, and accrued interest in respect of indebtedness of such Person for money borrowed, whether or not evidenced by notes, debentures, bonds or other similar instruments and for the payment of which such Person is responsible or liable, directly or indirectly, either severally or jointly with any other Person, (b) all obligations of such Person issued or assumed as the deferred purchase price of property,

 

5

 

all conditional sale obligations of such Person and all obligations of such Person under any title retention agreement (but excluding trade accounts payable and other accrued current liabilities arising in the ordinary course of business and not more than thirty (30) days past due in accordance with their payment terms or disputed in good faith), (c) all obligations of such Person under leases required to be capitalized in accordance with GAAP consistent with such Person’s past practices, (d) all obligations of such Person for the reimbursement of any obligor on any letter of credit, banker’s acceptance or similar credit transaction, (e) all obligations of the type referred to in the foregoing clauses (a) through (d) of any other Person, the payment of which such Person is responsible or liable, directly or indirectly, as obligor, guarantor, surety or otherwise, either severally or jointly with any other Person; (f) all obligations of the type referred to in the foregoing clauses (a) through (e) of such Person or any other Person secured by any Encumbrance on any of such Person’s assets (whether or not such obligation is assumed by such other Person); (g) all obligations of the type referred to in the foregoing clauses (a) through (f) of such Person secured by any Encumbrance on the property or assets of any other Person (whether or not such obligation is assumed by such other Person); and (h) any pension obligations or similar obligations of such Person.

 

“Indemnified Party” has the meaning set forth in Section 6.04.

 

“Indemnifying Party” has the meaning set forth in Section 6.04.

 

“Independent Accountant” has the meaning set forth in Section 2.05(c)(iii).

 

“Insurance Policies” has the meaning set forth in Section 3.12.

 

“Intellectual Property” has the meaning set forth in Section 3.11(a).

 

“Interim Balance Sheet” has the meaning set forth in Section 3.06.

 

“Interim Balance Sheet Date” has the meaning set forth in Section 3.06.

 

“Interim Financial Statements” has the meaning set forth in Section 3.06.

 

“Knowledge of Seller or Seller’s Knowledge” or any other similar knowledge qualification, means the actual knowledge of Dave Adams, Jerry Kellrooney, Gregg Neumeyer, Don Krampe and Brad Rolfe or the knowledge that a reasonable person should have serving in the roles of any of such persons, and in addition, as to matters relating to Environmental Laws, the actual knowledge of Garlyn Kligora, who is primarily responsible for compliance with Environmental Laws.

 

“Law” means any statute, law, ordinance, regulation, rule, code, order, constitution, treaty, common law, judgment, decree, other requirement or rule of law of any Governmental Authority.

 

“Liens” means, as used in Section 3.18, all liens, pledges, charges, claims, security interests, purchase agreements, options, restrictions on transfer, mortgages, title defects, licenses, permits, approvals and conditions or other similar restrictions or limitations of any nature whatsoever.

 

6

 

“Losses” means actual out-of-pocket losses, damages, liabilities, costs or expenses, including reasonable attorneys’ fees.

 

“Material Adverse Effect” means any event, occurrence, fact, condition or change that is materially adverse to (a) the business, results of operations, financial condition or assets of the Company, or (b) the ability of Seller to consummate the transactions contemplated hereby; provided, however, that “Material Adverse Effect” shall not include any event, occurrence, fact, condition or change, directly or indirectly, arising out of or attributable to: (i) general economic or political conditions; (ii) conditions generally affecting the industries in which the Company operates; (iii) any changes in financial, banking or securities markets in general, including any disruption thereof and any decline in the price of any security or any market index or any change in prevailing interest rates; (iv) acts of war (whether or not declared), armed hostilities or terrorism, or the escalation or worsening thereof; (v) any action required or permitted by this Agreement or any action taken (or omitted to be taken) with the written consent of or at the written request of Buyer; (vi) any matter of which Buyer is aware on the date hereof; (vii) changes in applicable Laws or accounting rules (including GAAP) or the enforcement, implementation or interpretation thereof; (viii) any natural or man-made disaster or acts of God; or (ix) any failure by the Company to meet any internal or published projections, forecasts or revenue or earnings predictions (provided that the underlying causes of such failures (subject to the other provisions of this definition) shall not be excluded). For purposes of item (vi) above, Buyer will be deemed to be aware of something if the information was (a) provided to Buyer in writing; (b) included in the electronic data room to which Buyer had access; (c) of a type that Buyer would be aware as an industry participant; (d) of a type that a reasonable person with industry experience would identify during a walk-through of the areas of Brillion’s facility to which representatives of Buyer actually had access; or (e) something of which Buyer had actual knowledge.

 

“Material Contracts” has the meaning set forth in Section 3.09(a).

 

“Meridian Assignment” has the meaning set forth in Section 2.03(a)(v).

 

“Meridian Equipment Sublease Agreement” has the meaning set forth in Section 2.03(a)(vi).

 

“Meridian Lease” means that certain Master Lease Agreement dated March 27, 2013 by and between Parent and Meridian Leasing Corporation, as the same has been and may be supplemented, amended and/or modified from time to time.

 

“New Plans” has the meaning set forth in Section 5.01(a)(iii).

 

“Non-Bargained Continuing Employees” has the meaning set forth in Section 5.01(a)(ii).

 

“Organizational Documents” means (a) in the case of a Person that is a corporation, its articles or certificate of incorporation and its bylaws, regulations or similar governing instruments required by the laws of its jurisdiction of incorporation; (b) in the case of a Person that is a partnership, its articles or certificate of partnership, formation or association, and its partnership agreement (in each case, limited, limited liability, general or otherwise); (c) in the

 

7

 

case of a Person that is a limited liability company, its articles or certificate of formation or organization, and its limited liability company agreement or operating agreement; and (d) in the case of a Person that is none of a corporation, partnership (limited, limited liability, general or otherwise), limited liability company or natural person, its governing instruments as required or contemplated by the laws of its jurisdiction of organization.

 

“Parent” has the meaning set forth in the preamble.

 

“Parent Benefit Plan Costs” has the meaning set forth in Section 5.01(e).

 

“Party” has the meaning set forth in the preamble.

 

“Permit” means any permit, license, franchise, approval, authorization, and consent required to be obtained from any Governmental Authority.

 

“Permitted Encumbrances” has the meaning set forth in Section 3.10(a).

 

“Person” means an individual, corporation, partnership, joint venture, limited liability company, Governmental Authority, unincorporated organization, trust, association or other entity.

 

“Pre-Closing Tax Period” means any taxable period ending on or before the Closing Date and the portion through the end of the Closing Date for any taxable period that includes (but does not end on) the Closing Date.

 

“Post-Closing Adjustment” has the meaning set forth in Section 2.05(b)(ii).

 

“Post-Closing Tax Period” means any taxable period starting on or after the Closing Date and the portion starting the day immediately following the Closing Date for any taxable period that includes (but does not end on) the Closing Date.

 

“Purchase Price” has the meaning set forth in Section 2.02.

 

“Qualified Benefit Plan” has the meaning set forth in Section 3.16(b).

 

“Real Property” means the real property currently owned, leased or subleased by the Company, together with all buildings, structures and facilities located thereon.

 

“Release” means any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping, abandonment, migrating or disposing into the environment, regardless of media.

 

“Representative” means, with respect to any Person, any and all directors, officers, employees, consultants, financial advisors, counsel, accountants and other agents of such Person.

 

“Resolution Period” has the meaning set forth in Section 2.05(c)(ii).

 

“Restricted Period” has the meaning set forth in Section 5.09.

 

“Review Period” has the meaning set forth in Section 2.05(c)(i).

 

“Sales Representative Agreements” means (a) that certain Representation Agreement, dated January 14, 2015, by and between the Company and Southland Metals, Inc.; (b) that certain Manufacturer’s Representative Agreement, dated April 13, 2015, by and between the

 

8

 

Company and Innovative Solutions II, LLC; (c) that certain Sales Representative Agreement, dated April 22, 2015, by and between the Company and Talbot Associates, Inc.; (d) that certain Sales Representative Agreement, dated May 24, 2016, by and between the Company and Global Sales & Marketing, LLC; and (e) that certain Sales Representative Agreement, dated October 23, 2015, by and between the Company and Casting Solutions, Inc.

 

“Sales Tax Audit” means that certain regular, four-year audit of the Company’s sales and use Taxes paid for fiscal years 2010 through 2013 currently being conducted by the Wisconsin Department of Revenue, Income, Sales & Excise Tax Division.

 

“Seller” has the meaning set forth in the preamble.

 

“Seller Disclosure Schedules” means the disclosure schedules delivered by Seller to Buyer concurrently with the execution and delivery of this Agreement.

 

“Seller Group” means (a) the affiliated group as defined in Section 1504(a) of the Code of which Parent, Seller and Company are included, and (b) with respect to each state, local or foreign jurisdiction in which Parent, Seller or its Subsidiaries files a consolidated, combined or unitary Tax Return and in which the Company is or is required to be included, the group with respect to which such Tax Return is filed.

 

“Shares” has the meaning set forth in the recitals.

 

“Side Indemnification Agreement” has the meaning set forth in Section 2.03(a)(viii).

 

“Straddle Period” means any taxable period beginning on or prior to, and ending after, the Closing Date.

 

“Statement of Objections” has the meaning set forth in Section 2.05(c)(ii).

 

“Subsidiary” means with respect to any Person, any corporation, entity or other organization whether incorporated or unincorporated, of which (a) such Person directly or indirectly owns or controls at least a majority of the securities or other interests having by their terms ordinary voting power to elect a majority of the board of directors or other performing similar functions or (b) such person is a general partner or managing member.

 

“Target Working Capital” means an amount equal to $1,800,000.

 

“Taxes” means all federal, state, local, foreign and other income, gross receipts, sales, use, production, ad valorem, transfer, franchise, registration, profits, license, lease, service, service use, withholding, payroll, employment, unemployment, estimated, excise, severance, environmental, stamp, occupation, premium, property (real or personal), real property gains, windfall profits, customs, duties or other taxes, fees, assessments or charges of any kind whatsoever, together with any interest, additions or penalties with respect thereto and any interest in respect of such additions or penalties.

 

“Tax Return” means any return, declaration, report, claim for refund, information return or statement or other document required to be filed with respect to Taxes, including any schedule or attachment thereto, and including any amendment thereof.

 

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“Third-Party Claim” has the meaning set forth in Section 6.05(a).

 

“Transition Coverage” has the meaning set forth in Section 5.01(c).

 

“Transition Coverage Costs” has the meaning set forth in Section 5.01(c).

 

“Transition Period” has the meaning set forth in Section 5.01(c).

 

“Transition Plans” has the meaning set forth in Section 5.01(c).

 

“Transition Services Agreement” has the meaning set forth in Section 2.03(a)(ii).

 

“Treasury Regulations” means the temporary and final regulations promulgated under the Code.

 

“Year-End Financial Statements” has the meaning set forth in Section 3.06.

 

ARTICLE II
 PURCHASE AND SALE

 

Section 2.01                            Purchase and Sale. Subject to the terms and conditions set forth herein, Seller hereby sells to Buyer, and Buyer hereby purchases from Seller, the Shares for the consideration specified in Section 2.02. Seller hereby represents and warrants to Buyer that the Sales Tax Audit is not a liability of the Company as of the Closing Date.

 

Section 2.02                            Purchase Price. The aggregate purchase price for the Shares shall be Fourteen Million and 00/100 (US $14,000,000) Dollars (the “Purchase Price”), subject to adjustment pursuant to Section 2.05.

 

Section 2.03                            Closing Deliverables.

 

(a)                                 At the Closing, Buyer shall deliver, or cause to be delivered, to Seller:

 

(i)                                     the Purchase Price by wire transfer of immediately available funds to an account of Seller designated in writing by Seller to Buyer no later than two (2) Business Days prior to the Closing Date;

 

(ii)                                  a transition services agreement in the form attached hereto as Exhibit A between the Company and Parent (the “Transition Services Agreement”), duly executed by the Company (which shall automatically be deemed delivered immediately following the Closing);

 

(iii)                               a general release of claims against Seller and all of Seller’s Affiliates in the form attached hereto as Exhibit B, duly executed by Buyer and the Company (which shall, with respect to the Company, automatically be deemed delivered immediately following the Closing);

 

(iv)                              a certificate dated the Closing Date and signed by the Secretary or an Assistant Secretary of Buyer and certifying (i) that attached thereto are true and complete copies of all resolutions adopted by the managing member of Buyer authorizing the execution, delivery and performance of this Agreement and the consummation of the transactions contemplated

 

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hereby, and that all such resolutions are in full force and effect and are all the resolutions adopted in connection with the transactions contemplated hereby, and (ii) the names and signatures of the officers of Buyer authorized to sign this Agreement and any other documents to be delivered hereunder;

 

(v)                                 an Assignment, Assumption and Adoption Agreement (the “Meridian Assignment”) regarding the Meridian Lease, in a form reasonably acceptable to Parent, duly executed by Buyer;

 

(vi)                              an Equipment Sublease Agreement (the “Meridian Equipment Sublease Agreement”) regarding certain equipment currently leased to Parent under the Meridian Lease, in a form reasonably acceptable to Parent, duly executed by Buyer;

 

(vii)                           a form of press release that is mutually acceptable to the parties hereto, as contemplated in Section 5.06; and

 

(viii)                        a side indemnification agreement in a form that is mutually acceptable to the parties hereto (the “Side Indemnification Agreement”), duly executed by Buyer.

 

(b)                                 At the Closing, Seller shall deliver, or cause to be delivered, to Buyer:

 

(i)                                     stock certificates evidencing the Shares, free and clear of all Encumbrances, duly endorsed in blank or accompanied by stock powers or other instruments of transfer duly executed in blank, with all required stock transfer tax stamps affixed thereto;

 

(ii)                                  the Transition Services Agreement, duly executed by Parent;

 

(iii)                               a general release of claims against the Company in the form attached hereto as Exhibit C, duly executed by Seller and Parent;

 

(iv)                              a certificate dated the Closing Date and signed by the Secretary or an Assistant Secretary of each of Seller and Parent and certifying (i) that attached thereto are true and complete copies of all resolutions adopted by the board of directors of Seller or Parent, as applicable, authorizing the execution, delivery and performance of this Agreement and the consummation of the transactions contemplated hereby, and that all such resolutions are in full force and effect and are all the resolutions adopted in connection with the transactions contemplated hereby, and (ii) the names and signatures of the officers of Seller and Parent, as applicable, authorized to sign this Agreement and any other documents to be delivered hereunder;

 

(v)                                 the resignations of those directors and/or officers of the Company listed on Section 2.03(b)(v) of the Seller Disclosure Schedules, in form and substance reasonably satisfactory to Buyer, duly executed by such persons;

 

(vi)                              those consents and/or waivers listed on Section 2.03(b)(vi) of the Seller Disclosure Schedules;

 

(vii)                           the Meridian Assignment in a form reasonably acceptable to Buyer, duly executed by Parent;

 

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(viii)                        the Meridian Equipment Sublease Agreement in a form reasonably acceptable to Buyer, duly executed by Parent;

 

(ix)                              a form of press release that is mutually acceptable to the parties hereto, as contemplated in Section 5.06;

 

(x)                                 an amendment to the Gunite Supply Agreement in a form reasonably acceptable to Buyer, duly executed by Gunite and the Company; and

 

(xi)                              the Side Indemnification Agreement, duly executed by Seller and Parent.

 

Section 2.04                            Closing. The purchase and sale of the Shares contemplated hereby shall take place (the “Closing”) and be deemed effective at 7:00 a.m., eastern time, on the date hereof (the “Closing Date”).

 

Section 2.05                            Purchase Price Adjustment.

 

(a)                                 Closing Adjustment. Exhibit D contains the historical calculations for the working capital of the Company and was prepared in accordance with GAAP applied using the same accounting methods, practices, principles, policies and procedures, with consistent classifications, judgments and valuation and estimation methodologies that were used in the preparation of the Year-End Financial Statements for the most recent fiscal year then ended as if such calculations were being prepared as for a fiscal year end.  Exhibit D shall be used for reference with respect to calculating the Closing Working Capital.

 

(b)                                 Post-Closing Adjustment.

 

(i)                                     Within twenty-four hours after the Closing, Buyer and Seller, together with Buyer’s independent auditors, will jointly conduct a physical inventory at the Facility. Buyer and Seller will conduct such physical inventory in accordance with the policies, procedures and practices specified on Exhibit E attached hereto. The results of such physical inventory will be as determined by the auditors and will be used to calculate the Closing Working Capital.

 

(ii)                                  Within sixty (60) days after the Closing Date, Buyer shall prepare and deliver to Seller a statement setting forth its calculation of Closing Working Capital, which statement shall contain an unaudited balance sheet of the Company as of the Closing Date (without giving effect to the transactions contemplated herein), a calculation of Closing Working Capital (the “Closing Working Capital Statement”) and a certificate of the Chief Financial Officer, or such other similar officer, of Buyer that the Closing Working Capital Statement was prepared in accordance with GAAP applied using the same accounting methods, practices, principles, policies and procedures, with consistent classifications, judgments and valuation and estimation methodologies that were used in the preparation of the Year-End Financial Statements for the most recent fiscal year end as if such Closing Working Capital Statement was being prepared as of a fiscal year end.

 

(iii)                               The post-Closing adjustment shall be an amount equal to the Closing Working Capital minus the Target Working Capital (the “Post-Closing Adjustment”). If the

 

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Post-Closing Adjustment is a positive number, Buyer shall pay to Seller an amount equal to the Post-Closing Adjustment. If the Post-Closing Adjustment is a negative number, Seller shall pay to Buyer an amount equal to the Post-Closing Adjustment.

 

(c)                                  Examination and Review.

 

(i)                                     Examination. After receipt of the Closing Working Capital Statement, Seller shall have thirty (30) days (the “Review Period”) to review the Closing Working Capital Statement. During the Review Period, Seller and Seller’s Representatives shall have reasonable access to the books and records of the Company, the personnel of, and work papers prepared by, Buyer and/or Buyer’s Representatives to the extent that they relate to the Closing Working Capital Statement and to such historical financial information (to the extent in Buyer’s possession) relating to the Closing Working Capital Statement as Seller may reasonably request for the purpose of reviewing the Closing Working Capital Statement and to prepare a Statement of Objections, provided, that such access shall be in a manner that does not unreasonably interfere with the normal business operations of Buyer or the Company.

 

(ii)                                  Objection. On or prior to the last day of the Review Period, Seller may object to the Closing Working Capital Statement by delivering to Buyer a written statement setting forth Seller’s objections in reasonable detail, indicating each disputed item or amount and the basis for Seller’s disagreement therewith (the “Statement of Objections”). If Seller fails to deliver the Statement of Objections before the expiration of the Review Period, the Closing Working Capital Statement and the Post-Closing Adjustment, as the case may be, reflected in the Closing Working Capital Statement shall be deemed to have been accepted by Seller. If Seller delivers the Statement of Objections before the expiration of the Review Period, Buyer and Seller shall negotiate in good faith to resolve such objections within thirty (30) days after the delivery of the Statement of Objections (the “Resolution Period”), and, if the same are so resolved within the Resolution Period, the Post-Closing Adjustment and the Closing Working Capital Statement with such changes as may have been previously agreed in writing by Buyer and Seller, shall be final and binding.

 

(iii)                               Resolution of Disputes. If Seller and Buyer fail to reach an agreement with respect to all of the matters set forth in the Statement of Objections before expiration of the Resolution Period, then any amounts remaining in dispute (“Disputed Amounts”) shall be submitted for resolution to the office of Grant Thornton LLP or, if such Person is unable to serve, Buyer and Seller shall appoint by mutual agreement the office of an impartial nationally recognized firm of independent certified public accountants other than Seller’s accountants or Buyer’s accountants (the “Independent Accountant”) who, acting as experts and not arbitrators, shall resolve the Disputed Amounts only and make any adjustments to the Post-Closing Adjustment, as the case may be, and the Closing Working Capital Statement. The Parties agree that all adjustments shall be made without regard to materiality. The Independent Accountant shall only decide the specific items under dispute by the Parties and the Independent Accountant’s decision for each Disputed Amount must be within the range of values assigned to each such item in the Closing Working Capital Statement and the Statement of Objections, respectively.

 

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(iv)                              Fees of the Independent Accountant. The fees and expenses of the Independent Accountant shall be paid equally by Seller and Buyer.

 

(v)                                 Determination by Independent Accountant. The Independent Accountant shall make a determination as soon as practicable within thirty (30) days (or such other time as the Parties shall agree in writing) after their engagement, and their resolution of the Disputed Amounts and their adjustments to the Closing Working Capital Statement and/or the Post-Closing Adjustment shall be conclusive and binding upon the Parties.

 

(vi)                              Payments of Post-Closing Adjustment. Except as otherwise provided herein, any payment of the Post-Closing Adjustment, shall (A) be due (x) within ten (10) Business Days of acceptance of the applicable Closing Working Capital Statement or (y) if there are Disputed Amounts, then within ten (10) Business Days of the resolution described in clause (v) above; and (B) be paid by wire transfer of immediately available funds to such account as is directed by Buyer or Seller, as the case may be.

 

(d)                                 Adjustments for Tax Purposes. Any payments made pursuant to this Section 2.05 shall be treated as an adjustment to the Purchase Price by the Parties for Tax purposes, unless otherwise required by Law.

 

ARTICLE III
 REPRESENTATIONS AND WARRANTIES OF SELLER

 

Except as set forth in the Seller Disclosure Schedules, Seller represents and warrants to Buyer that the statements contained in this Article III are true and correct as of the date hereof.

 

Section 3.01                            Organization and Authority of Seller and Parent. Each of Seller and Parent is a corporation duly organized, validly existing and in good standing under the Laws of the state of Delaware. Each of Seller and Parent has all necessary corporate power and authority to enter into this Agreement, to carry out its obligations hereunder and to consummate the transactions contemplated hereby. The execution and delivery by each of Seller and Parent of this Agreement, the performance by each of Seller and Parent of its obligations hereunder and the consummation by each of Seller and Parent of the transactions contemplated hereby have been duly authorized by all requisite corporate action on the part of each of Seller and Parent. This Agreement has been duly executed and delivered by each of Seller and Parent, and (assuming due authorization, execution and delivery by the other parties hereto) this Agreement constitutes a legal, valid and binding obligation of each of Seller and Parent, enforceable against each of Seller and Parent in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or similar Laws affecting creditors’ rights generally and by general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

 

Section 3.02                            Organization, Authority and Qualification of the Company. The Company is a corporation duly organized, validly existing and in good standing under the Laws of the state of Delaware and has all necessary corporate power and authority to own, operate

 

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and/or lease the properties and assets now owned, operated and/or leased by it and to carry on its business as it is currently conducted. The Company is duly licensed or qualified to do business and is in good standing in each jurisdiction in which the properties owned or leased by it or the operation of its business as currently conducted makes such licensing or qualification necessary, except where the failure to be so licensed, qualified or in good standing would not have a Material Adverse Effect. All corporate actions taken by the Company in connection with this Agreement have been duly authorized at the time of or prior to the Closing.

 

Section 3.03                            Capitalization.

 

(a)                                 The authorized capital stock of the Company consists of ten thousand (10,000) shares of common stock, par value $0.01, all of which are issued and outstanding and constitute the Shares. All of the Shares have been duly authorized, are validly issued, fully paid and non-assessable, and are owned of record and beneficially by Seller, free and clear of all Encumbrances, other than those Encumbrances set forth in Section 3.03(a) of the Seller Disclosure Schedules.

 

(b)                                 There are no outstanding or authorized options, warrants, convertible securities or other rights, agreements, arrangements or commitments of any character relating to the capital stock of the Company or obligating Seller or the Company to issue or sell any shares of capital stock of, or any other interest in, the Company. The Company does not have outstanding or authorized any stock appreciation, phantom stock, profit participation or similar rights. There are no voting trusts, stockholder agreements, proxies or other agreements or understandings in effect with respect to the voting or transfer of any of the Shares.

 

Section 3.04                            No Subsidiaries. The Company does not own, or have any interest in any shares or have an ownership interest in any other Person.

 

Section 3.05                            No Conflicts; Consents. The execution, delivery and performance by each of Seller and Parent of this Agreement, and the consummation of the transactions contemplated hereby, do not and will not: (a) result in a violation or breach of any provision of the certificate of incorporation or by-laws of either Seller, Parent or the Company; (b) result in a violation or breach of any provision of any Law or Governmental Order applicable to either Seller, Parent or the Company; or (c) except as set forth in Section 3.05 of the Seller Disclosure Schedules, require the consent, notice or other action by any Person under, conflict with, result in a violation or breach of, constitute a default under or result in the acceleration of any Material Contract, except in the cases of clauses (b) and (c), where the violation, breach, conflict, default, acceleration or failure to give notice would not have a Material Adverse Effect. No consent, approval, Permit, Governmental Order, declaration or filing with, or notice to, any Governmental Authority is required by or with respect to Seller, Parent or the Company in connection with the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby, except as set forth in Section 3.05 of the Seller Disclosure Schedules and except for such consents, approvals, Permits, Governmental Orders, declarations, filings or notices which, in the aggregate, would not have a Material Adverse Effect.

 

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Section 3.06                            Financial Statements. Copies of the Company’s unaudited financial statements consisting of the balance sheet of the Company as at December 31st in each of the years 2013, 2014 and 2015 and the related statements of income and retained earnings, stockholders’ equity and cash flow for the years then ended (the “Year-End Financial Statements”), and unaudited financial statements consisting of the balance sheet of the Company as at June 30, 2016 and the related statements of income and retained earnings, stockholders’ equity and cash flow for the six (6) month period then ended (the “Interim Financial Statements” and together with the Year-End Financial Statements, the “Financial Statements”) have been delivered or made available to Buyer in the Data Room. The Financial Statements have been prepared in accordance with GAAP applied on a consistent basis throughout the period involved and fairly present in all material respects the financial condition of the Company as of the respective dates they were prepared and the results of the operations of the Company for the periods indicated, in each case, except (a) as may be disclosed therein, and (b) with respect to the Interim Financial Statements, (i) for normal year-end adjustments, and (ii) for the omission of notes and schedules required by GAAP. The balance sheet of the Company as of December 31, 2015 is referred to herein as the “Balance Sheet” and the date thereof as the “Balance Sheet Date” and the balance sheet of the Company as of June 30, 2016 is referred to herein as the “Interim Balance Sheet” and the date thereof as the “Interim Balance Sheet Date”.

 

Section 3.07                            Undisclosed Liabilities. The Company has no liabilities, obligations or commitments of a type required to be reflected on a balance sheet prepared in accordance with GAAP, except (a) those which are adequately reflected or reserved against in the Balance Sheet as of the Balance Sheet Date or the Interim Balance Sheet as of the Interim Balance Sheet Date, (b) those which have been incurred in the ordinary course of business since the Interim Balance Sheet Date, (c) those incurred in connection with the transactions contemplated by this Agreement, (d) those that will be discharged in connection with the Closing, if any, and (e) those that individually or in the aggregate would not have a Material Adverse Effect.

 

Section 3.08                            Absence of Certain Changes, Events and Conditions. Except as expressly contemplated by the Agreement or as set forth on Section 3.08 of the Seller Disclosure Schedules, from the Balance Sheet Date until the date of this Agreement, the Company has operated in the ordinary course of business in all material respects and there has not been, with respect to the Company, any:

 

(a)                                 event, occurrence or development that has had a Material Adverse Effect;

 

(b)                                 amendment of the charter, by-laws or other Organizational Documents of the Company;

 

(c)                                  split, combination or reclassification of any shares of its capital stock;

 

(d)                                 issuance, sale or other disposition of any of its capital stock, or grant of any options, warrants or other rights to purchase or obtain (including upon conversion, exchange or exercise) any of its capital stock;

 

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(e)                                  declaration or payment of any dividends or distributions on or in respect of any of its capital stock or redemption, purchase or acquisition of its capital stock;

 

(f)                                   material change in any method of accounting or accounting practice of the Company, except as required by GAAP or applicable Law or as disclosed in the notes to the Financial Statements;

 

(g)                                  incurrence, assumption or guarantee of any indebtedness for borrowed money in an aggregate amount exceeding $100,000, except unsecured current obligations and liabilities incurred in the ordinary course of business;

 

(h)                                 sale or other disposition of any of the assets shown or reflected on the Balance Sheet, except in the ordinary course of business and except for any assets having an aggregate value of less than $100,000;

 

(i)                                     increase in the compensation of its Employees, other than as provided for in any written agreements executed prior to the Balance Sheet Date in the ordinary course of business;

 

(j)                                    adoption, amendment or modification of any Benefit Plan;

 

(k)                                 acquisition by merger or consolidation with, or by purchase of a substantial portion of the assets or stock of, or by any other manner, any business or any Person or any division thereof;

 

(l)                                     adoption of any plan of merger, consolidation, reorganization, liquidation or dissolution or filing of a petition in bankruptcy under any provisions of federal or state bankruptcy Law or consent to the filing of any bankruptcy petition against it under any similar Law; or

 

(m)                             any agreement to do any of the foregoing, or any action or omission that would result in any of the foregoing.

 

Section 3.09                            Material Contracts.

 

(a)                                 Section 3.09(a) of the Seller Disclosure Schedules lists each of the following currently effective contracts and other agreements of the Company (collectively, the “Material Contracts”):

 

(i)                                     each agreement of the Company involving aggregate consideration in excess of $100,000 or requiring performance by any party more than one (1) year from the date hereof, which, in each case, cannot be cancelled by the Company without penalty or without more than ninety (90) days’ notice;

 

(ii)                                  all agreements with any (A) customer of the Company as of August 31, 2016 or (B) supplier of the Company for consideration in excess of $50,000 in any single year;

 

(iii)                               all agreements related to any Real Property owned or leased by the Company;

 

(iv)                              all agreements that relate to the sale of any of the Company’s assets, other than in the ordinary course of business, for consideration in excess of $100,000;

 

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(v)                                 all agreements that relate to the acquisition of any business, a material amount of stock or assets of any other Person or any real property (whether by merger, sale of stock, sale of assets or otherwise), in each case involving amounts in excess of $500,000;

 

(vi)                              except for agreements relating to trade receivables, all agreements relating to indebtedness (including guarantees) of the Company, in each case having an outstanding principal amount in excess of $100,000;

 

(vii)                           all agreements between or among the Company on the one hand and Seller or any Affiliate of Seller (other than the Company) on the other hand;

 

(viii)                        all agreements between the Company and any employee or contractor of the Company; and

 

(ix)                              all collective bargaining agreements or agreements with any labor organization, union or association to which the Company is a party.

 

(b)                                 Except as set forth on Section 3.09(b) of the Seller Disclosure Schedules, the Company and, to the Company’s knowledge, any other party to such Material Contract, is not in breach of, or default under, any Material Contract, except for such breaches or defaults that would not have a Material Adverse Effect.

 

Section 3.10                            Title to Assets; Real Property.

 

(a)                                 The Company has good and valid (and, in the case of owned Real Property, good and marketable fee simple) title to, or a valid leasehold interest in, all Real Property and tangible personal property and other assets reflected in the Year-End Financial Statements or acquired after the Balance Sheet Date, other than properties and assets sold or otherwise disposed of in the ordinary course of business since the Balance Sheet Date. All such properties and assets (including leasehold interests) are free and clear of Encumbrances except for the following (collectively referred to as “Permitted Encumbrances”):

 

(i)                                     those items set forth in Section 3.10(a) of the Seller Disclosure Schedules;

 

(ii)                                  liens for Taxes not yet due and payable or being contested in good faith by appropriate procedures;

 

(iii)                               mechanics, carriers’, workmen’s, repairmen’s or other like liens arising or incurred in the ordinary course of business;

 

(iv)                              easements, rights of way, zoning ordinances and other similar encumbrances affecting Real Property;

 

(v)                                 all matters of record;

 

(vi)                              other than with respect to owned Real Property, liens arising under original purchase price conditional sales contracts and equipment leases with third parties entered into in the ordinary course of business; or

 

(vii)                           other imperfections of title or Encumbrances, if any, that have not had, and would not have, a Material Adverse Effect.

 

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(b)                                 Section 3.10(b) of the Seller Disclosure Schedules lists the street address of each parcel of owned Real Property. The Company does not have any leased Real Property.

 

Section 3.11                            Intellectual Property.

 

(a)                                 “Intellectual Property” means any and all of the following in any jurisdiction throughout the world: (i) trademarks and service marks, including all applications and registrations and the goodwill connected with the use of and symbolized by the foregoing; (ii) copyrights, including all applications and registrations related to the foregoing; (iii) trade secrets and confidential know-how; (iv) patents and patent applications; (v) internet domain name registrations; and (vi) other intellectual property and related proprietary rights, interests and protections.

 

(b)                                 Section 3.11(b) of the Seller Disclosure Schedules lists all active patents, pending patent applications, live trademark registrations and pending applications for registration, copyright registrations and pending applications for registration and internet domain name registrations owned by the Company. Except as would not have a Material Adverse Effect, to Seller’s Knowledge, the Company owns or has the right to use, transfer and assign all Intellectual Property necessary to conduct the business as currently conducted by the Company (the “Company Intellectual Property”) and there are no royalties, fees or payments required for Company’s practice or use of the Company Intellectual Property.

 

(c)                                  Except as would not have a Material Adverse Effect, to Seller’s Knowledge: (i) the Company’s conduct of its business as currently conducted, does not infringe, misappropriate or otherwise violate the Intellectual Property of any Person, and no Person has made any claim, assertion or threat to the Company regarding infringement of such Person’s Intellectual Property by the Company; (ii) no Person is infringing, misappropriating or otherwise violating any Intellectual Property owned by the Company; (iii) no Person has been granted by the Company any interest, license or right to use in any manner in any jurisdiction the Intellectual Property owned by the Company; (iv) the Intellectual Property owned by the Company is free from any liens, encumbrances, outstanding injunctions, judgments, orders, decrees, rulings and security interests; (v) the Company has obtained the assignment of, and all interests and rights in and to the Intellectual Property owned by the Company, including from Employees, and possesses all necessary rights and privileges to cause the Intellectual Property owned by the Company to be filed in, registered by, or issued by, an intellectual property office of any jurisdiction; and (vi) the Company has put into place protections from public disclosure of the Intellectual Property owned by the Company that constitutes Confidential Information, including with Company’s Employees. This Section 3.11(c) constitutes the sole representation and warranty of Seller under this Agreement with respect to any actual or alleged infringement, misappropriation or other violation by Seller and the Company of the Intellectual Property of any other Person.

 

Section 3.12                            Insurance. Section 3.12 of the Seller Disclosure Schedules sets forth a list, as of the date hereof, of all insurance policies maintained by the Company or with respect to which the Company is a named insured or otherwise the beneficiary of coverage (collectively,

 

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the “Insurance Policies”). Such Insurance Policies are in full force and effect on the date of this Agreement and all premiums due on such Insurance Policies have been paid.

 

Section 3.13                            Legal Proceedings; Governmental Orders.

 

(a)                                 Except as set forth in Section 3.13(a) of the Seller Disclosure Schedules, there are no actions, suits, claims, investigations, unfair labor practices charges, charges of discrimination or any similar charge or complaint, or other legal or administrative proceedings pending or, to Seller’s Knowledge, threatened against or by the Company affecting the Company’s business or operations, or any of its properties or assets (or by or against Seller, Parent or any Affiliate thereof and relating to the Company), which if determined adversely to the Company (or to Seller, Parent or any Affiliate thereof) would result in a Material Adverse Effect.

 

(b)                                 Except as set forth in Section 3.13(b) of the Seller Disclosure Schedules, there are no currently effective outstanding Governmental Orders and no unsatisfied judgments, penalties or awards against or affecting the Company or any of its properties or assets.

 

(c)                                  There are currently no known pending or threatened claims between the Company and Seller or any of Seller’s Affiliates that have not been previously communicated in writing to Buyer which will be released by the release contemplated in Section 2.03(a)(iii). Notwithstanding anything contained herein or in any release to be delivered pursuant to Section 2.03(a)(iii) or Section 2.03(b)(iii), the releases to be delivered hereunder shall not release any Person from any claims, whether known or unknown, that have arisen or that may arise under (i) the Gunite Supply Agreement, including the Mutual Confidentiality and Non-Disclosure Agreement executed in connection therewith; (ii) any predecessor agreement thereto by and between the Company and Gunite; or (iii) any purchase order executed in connection with any of the foregoing or otherwise in the ordinary course of business between the Company and Gunite.

 

Section 3.14                            Compliance With Laws; Permits.

 

(a)                                 The Company is in compliance with all Laws applicable to it or its business, properties or assets, except where the failure to be in compliance would not have a Material Adverse Effect.

 

(b)                                 All Permits required for the Company to conduct its business have been obtained by it and are valid and in full force and effect, except where the failure to obtain such Permits would not have a Material Adverse Effect.

 

(c)                                  None of the representations and warranties contained in this Section 3.14 shall be deemed to relate to environmental matters (which are governed exclusively by Section 3.15), employee benefits matters (which are governed exclusively by Section 3.16), employment matters (which are governed exclusively by Section 3.17) or tax matters (which are governed exclusively by Section 3.18).

 

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Section 3.15                            Environmental Matters.

 

(a)                                 Except as set forth in Section 3.15(a) of the Seller Disclosure Schedules, to Seller’s Knowledge, as of the Closing Date, the Company is in compliance with applicable Environmental Law and has not, and Seller has not, received from any Person any (i) Environmental Notice or Environmental Claim, or (ii) written request for information pursuant to Environmental Law, which, in each case, either remains pending or unresolved, or is the source of ongoing obligations or requirements.

 

(b)                                 The Company has obtained and is in compliance with, and is able to transfer to Buyer if allowed by Environmental Law, each Environmental Permit (each of which is disclosed in Section 3.15(b) of the Seller Disclosure Schedules) necessary for the operation or use of the Company Business.

 

(c)                                  No Real Property is listed on, or has been proposed for listing on, the National Priorities List under CERCLA, or any similar state list.

 

(d)                                 Except as set forth in Section 3.15(d) of the Seller Disclosure Schedules or in compliance with Environmental Law, to Seller’s Knowledge, there has been no Release of Hazardous Materials in violation of Environmental Law on the Real Property.

 

(e)                                  Except in compliance with Environmental Law, to Seller’s Knowledge, Seller has not, nor has it permitted any third party to, use, generate, manufacture, produce, store, or Release any Hazardous Materials on, under or about the Real Property, or to transfer any Hazardous Materials to or from the Real Property.

 

(f)                                   Seller has previously made available to Buyer in the Data Room or otherwise all environmental reports, studies, audits, records, sampling data, site assessments and other similar documents with respect to the Real Property, since January 31, 2005.

 

(g)                                  The representations and warranties set forth in this Section 3.15 are Seller’s sole and exclusive representations and warranties regarding environmental matters.

 

Section 3.16                            Employee Benefit Matters.

 

(a)                                 Section 3.16(a) of the Seller Disclosure Schedules contains a list of each material benefit, retirement, employment, consulting, compensation, incentive, bonus, stock option, restricted stock, stock appreciation right, phantom equity, change in control, severance, vacation, paid time off, welfare and fringe-benefit agreement, plan, policy and program, whether or not reduced to writing, in effect and covering one or more Employees, former employees of the Company, current or former directors of the Company or the beneficiaries or dependents of any such Persons, and is maintained, sponsored, contributed to, or required to be contributed to by the Company, or under which the Company has any material liability for premiums or benefits (as listed on Section 3.16(a) of the Seller Disclosure Schedules, each, a “Benefit Plan”). Section 3.16(a) of the Seller Disclosure Schedules further indicates whether each such Benefit Plan is sponsored by Parent or the Company and whether each such Benefit Plan provides benefits to Employees whose terms and conditions of employment are governed by the Brillion Collective Bargaining Agreements, Employees whose terms and conditions of employment are not governed by the Brillion Collective, or both groups of Employees.

 

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(b)                                 As to each Benefit Plan applicable to the Company, the Company has made available true, correct and complete copies of the document and all related materials, including but not limited to, trust agreements, insurance contracts, policies and related insurer documents, determination and/or opinion letters from the Internal Revenue Service (and, if a request is pending, a copy of such request) summary plan descriptions, the last three years’ Forms 5500, written summaries of any non-written Benefit Plans, and, to the extent applicable, the most recent financial statements for each Benefit Plan.

 

(c)                                  Except as set forth in Section 3.16(c) of the Seller Disclosure Schedules, or as would not have a Material Adverse Effect, to Seller’s Knowledge, each Benefit Plan and related trust complies with all applicable Laws (including ERISA and the Code). Each Benefit Plan that is intended to be qualified under Section 401(a) of the Code (a “Qualified Benefit Plan”) has received a favorable determination letter from the Internal Revenue Service, or with respect to a prototype plan, can rely on an opinion letter from the Internal Revenue Service to the prototype plan sponsor, to the effect that such Qualified Benefit Plan is so qualified and that the plan and the trust related thereto are exempt from federal income Taxes under Sections 401(a) and 501(a), respectively, of the Code, and, to Seller’s Knowledge, nothing has occurred that could reasonably be expected to cause the revocation of such determination letter from the Internal Revenue Service or the unavailability of reliance on such opinion letter from the Internal Revenue Service. Except as set forth in Section 3.16(c) of the Seller Disclosure Schedules, or as would not have a Material Adverse Effect, all benefits, contributions and premiums required by and due under the terms of each Benefit Plan or applicable Law have been timely paid in accordance with the terms of such Benefit Plan, the terms of all applicable Laws and GAAP.

 

(d)                                 No Benefit Plan: (i) is subject to the minimum funding standards of Section 302 of ERISA or Section 412 of the Code; or (ii) is a “multiemployer plan” (as defined in Section 3(37) of ERISA).

 

(e)                                  Except as set forth in Section 3.16(e) of the Seller Disclosure Schedules, neither the Company nor any ERISA Affiliate has ever contributed or had an obligation to contribute to any plan subject to Title IV of ERISA or any multiemployer plan within the preceding six (6) years, nor does the Company have any liability, contingent or otherwise, with respect to a plan subject to Title IV of ERISA or a multiemployer plan.

 

(f)                                   Except as set forth in Section 3.16(f) of the Seller Disclosure Schedules and other than as required under Section 4980B of the Code or other applicable Law, no Benefit Plan provides benefits or coverage in the nature of health, life or disability insurance following retirement or other termination of employment (other than death benefits when termination occurs upon death).

 

(g)                                  Except as set forth in Section 3.16(g) of the Seller Disclosure Schedules, or as would not have a Material Adverse Effect: (i) there is no pending or, to Seller’s Knowledge, threatened action relating to a Benefit Plan; and (ii) no Benefit Plan has within the three (3) years prior to the date hereof been the subject of an examination or audit by a Governmental Authority.

 

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(h)                                 Except as set forth in Section 3.16(h) of the Seller Disclosure Schedules, or as would not have a Material Adverse Effect, no Benefit Plan exists that could: (i) result in the payment to any Employee, director or consultant of any money or other property; or (ii) accelerate the vesting of or provide any additional rights or benefits (including funding of compensation or benefits through a trust or otherwise) to any Employee, director or consultant, except as a result of any partial plan termination resulting from this Agreement. Neither the execution of this Agreement nor the consummation of the transactions contemplated hereby will result in “excess parachute payments” within the meaning of Section 280G(b) of the Code.

 

(i)                                     The representations and warranties set forth in this Section 3.16 are Seller’s sole and exclusive representations and warranties regarding employee benefit matters.

 

Section 3.17                            Employment Matters.

 

(a)                                 Except as set forth in Section 3.17(a) of the Seller Disclosure Schedules, the Company is not a party to, or bound by, any collective bargaining or other agreement with a labor organization representing any of its Employees. Except as set forth in Section 3.17(a) of the Seller Disclosure Schedules, since January 1, 2013, there has not been, nor, to Seller’s Knowledge, has there been any threat of, any strike, slowdown, work stoppage, lockout, concerted refusal to work overtime or other similar labor activity or dispute affecting the Company.

 

(b)                                 The Company is in compliance with all applicable Laws pertaining to employment and employment practices to the extent they relate to employees of the Company, except to the extent non-compliance would not result in a Material Adverse Effect. Except as set forth in Section 3.17(b) of the Seller Disclosure Schedules, or as would not have a Material Adverse Effect, there are no actions, suits, claims, investigations, grievances under any applicable collective bargaining agreement, unfair labor practice charge, charges of discrimination or other legal or administrative proceedings against the Company pending, or to Seller’s Knowledge, threatened to be brought or filed, by or with any Governmental Authority or arbitrator in connection with the employment of any current or former employee of the Company, including any claim relating to unfair labor practices, employment discrimination, harassment, retaliation, equal pay or any other employment related matter arising under applicable Laws.

 

(c)                                  The representations and warranties set forth in this Section 3.17 are Seller’s sole and exclusive representations and warranties regarding employment matters.

 

Section 3.18                            Taxes.

 

(a)                                 Except as set forth in Section 3.18 of the Seller Disclosure Schedules:

 

(i)                                     The Company has timely filed, or will timely file (taking into account any valid extensions) with the appropriate Governmental Authority, all Tax Returns required to be filed by the Company on or before the Closing Date. All such Tax Returns are, or will be, true, complete and correct in all material respects. The Company is not currently the beneficiary of

 

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any extension of time within which to file any material Tax Return other than extensions of time to file Tax Returns obtained in the ordinary course of business. All material Taxes due and owing by the Company (whether or not show on any Tax Return) have been, or will be, timely paid or accrued. Each Seller Group has timely filed, or will timely file (taking into account extensions of time in which to file), with the appropriate Governmental Authority all income Tax Returns that it is required to file on or before the Closing Date for each taxable period when the Company was a member of the Seller Group. All such Tax Returns are, or will be, true, complete and correct in all material respects. All income Taxes due and owing by any member of the Seller Group (whether or not shown on any Tax Return) have been, or will be, timely paid for any taxable period when the Company was a member of the Seller Group.

 

(ii)                                  The amount of the Company’s Liability for unpaid Taxes for all periods ending on or before December 31, 2015 does not, in the aggregate, exceed the amount of accruals for Taxes (excluding reserves for deferred Taxes) reflected on the Financial Statements. The amount of the Company’s Liability for unpaid Taxes for all periods following the end of the most recent period covered by the Financial Statements shall not, in the aggregate, exceed the amount of accruals for Taxes (excluding reserves for deferred Taxes) as adjusted for the passage of time in accordance with the past custom and practice of the Company (and which accruals shall not exceed comparable amounts incurred in similar periods in prior years).

 

(iii)                               There are no Liens for Taxes upon the assets of the Company (except where such Lien arises as a matter of law prior to the due date for paying the related Taxes).

 

(iv)                              No extensions, agreements, waivers or other arrangements extending the statutes of limitations have been given or requested with respect to the assessment or collection of any Taxes of the Company.

 

(v)                                 There are no ongoing, pending or threatened audits, examinations, actions, suits, claims, investigations or other legal proceedings by any taxing authority against the Company.

 

(vi)                              The Company is not and has not ever been a party to or bound by any Tax indemnity agreement, Tax sharing agreement, Tax allocation agreement or other similar agreement.

 

(vii)                           The Company has complied in all material respects with all applicable Laws relating to the payment and withholding of Taxes and has properly and timely withheld all Taxes required to be withheld by the Company in connection with amounts paid or owing to any employee, former employee, independent contractor, creditor, shareholder, Affiliate, customer, supplier or other Person. The Company has properly and timely paid all such withheld Taxes to the appropriate Governmental Authority or has properly set aside such withheld amounts in accounts for such purpose.

 

(viii)                        Seller has delivered to Buyer or made available to Buyer in Seller’s electronic data room copies of (i) the portion of Seller’s federal Tax Returns relating to the Company for taxable periods ending on or after December 31, 2012, (ii) any state, local or foreign Tax Returns of the Company ending on or after December 31, 2012 and (iii) any audit

 

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report or statement of deficiencies assessed against, agreed to by, or with respect to the Company for all Tax periods ending on or after December 31, 2012.

 

(ix)                              Neither the execution of this Agreement nor any of the transactions contemplated by this Agreement will result in “excess parachute payments” within the meaning of Section 280G(b) of the Code.

 

(b)                                 Except for certain representations related to Taxes in Section 3.16, the representations and warranties set forth in this Section 3.18 are Seller’s sole and exclusive representations and warranties regarding Tax matters.

 

Section 3.19                            Customers and Suppliers. Section 3.19 of the Seller Disclosure Schedules sets forth a list of the Company’s 10 largest customers and 10 largest suppliers by annual sales/purchases for the Company’s 2015 fiscal year. Seller is not aware of any customer or supplier of the Company that intends to terminate its relationship with the Company and/or transition a significant portion of its business away from the Company. Except as set forth in Section 3.19 of the Seller Disclosure Schedules, to Seller’s Knowledge, there is no default (by either party) under any agreement between the Company on the one hand and a customer or supplier on the other.

 

Section 3.20                            Brokers. Except for BMO Capital Markets Corp., who will be paid by Seller, no broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of Seller.

 

ARTICLE IV
 REPRESENTATIONS AND WARRANTIES OF BUYER

 

Buyer represents and warrants to Seller that the statements contained in this Article IV are true and correct as of the date hereof.

 

Section 4.01                            Organization and Authority of Buyer. Buyer is a limited liability company duly organized, validly existing and in good standing under the Laws of the state of Delaware. Buyer has all necessary company power and authority to enter into this Agreement, to carry out its obligations hereunder and to consummate the transactions contemplated hereby. The execution and delivery by Buyer of this Agreement, the performance by Buyer of its obligations hereunder and the consummation by Buyer of the transactions contemplated hereby have been duly authorized by all requisite company action on the part of Buyer. This Agreement has been duly executed and delivered by Buyer, and (assuming due authorization, execution and delivery by Seller and Parent) this Agreement constitutes a legal, valid and binding obligation of Buyer, enforceable against Buyer in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or similar Laws affecting creditors’ rights generally and by general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

 

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Section 4.02                            No Conflicts; Consents. The execution, delivery and performance by Buyer of this Agreement, and the consummation of the transactions contemplated hereby, do not and will not: (a) result in a violation or breach of any provision of the Organizational Documents of Buyer; (b) result in a violation or breach of any provision of any Law or Governmental Order applicable to Buyer related to this transaction; or (c) require the consent, notice or other action by any Person under, conflict with, result in a violation or breach of, constitute a default under or result in the acceleration of any agreement to which Buyer is a party, except in the cases of clauses (b) and (c), where the violation, breach, conflict, default, acceleration or failure to give notice would not have a material adverse effect on Buyer’s ability to consummate the transactions contemplated hereby. No consent, approval, Permit, Governmental Order, declaration or filing with, or notice to, any Governmental Authority is required by or with respect to Buyer in connection with the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby, except for such consents, approvals, Permits, Governmental Orders, declarations, filings or notices which would not have a material adverse effect on Buyer’s ability to consummate the transactions contemplated hereby.

 

Section 4.03                            Investment Purpose. Buyer is acquiring the Shares solely for its own account for investment purposes and not with a view to, or for offer or sale in connection with, any distribution thereof. Buyer acknowledges that the Shares are not registered under the Securities Act of 1933, as amended, or any state securities laws, and that the Shares may not be transferred or sold except pursuant to the registration provisions of the Securities Act of 1933, as amended or pursuant to an applicable exemption therefrom and subject to state securities laws and regulations, as applicable. Buyer is able to bear the economic risk of holding the Shares for an indefinite period (including total loss of its investment), and has sufficient knowledge and experience in financial and business matters so as to be capable of evaluating the merits and risk of its investment.

 

Section 4.04                            Brokers. No broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of Buyer.

 

Section 4.05                            Sufficiency of Funds. Buyer has sufficient cash on hand or other sources of immediately available funds to enable it to make payment of the Purchase Price and consummate the transactions contemplated by this Agreement.

 

Section 4.06                            Legal Proceedings. There are no actions, suits, claims, investigations or other legal proceedings pending or, to Buyer’s knowledge, threatened against or by Buyer or any Affiliate of Buyer that challenge or seek to prevent, enjoin or otherwise delay the transactions contemplated by this Agreement.

 

Section 4.07                            Limitation on Seller Representations and Warranties; Independent Investigation. BUYER HEREBY ACKNOWLEDGES THAT THE REPRESENTATIONS AND WARRANTIES OF SELLER IN THIS AGREEMENT CONSTITUTE THE SOLE AND

 

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EXCLUSIVE REPRESENTATIONS AND WARRANTIES OF SELLER TO BUYER IN CONNECTION WITH THE TRANSACTIONS CONTEMPLATED HEREBY, AND BUYER UNDERSTANDS, ACKNOWLEDGES AND AGREES THAT, ALL OTHER REPRESENTATIONS AND WARRANTIES OF ANY KIND OR NATURE EXPRESS OR IMPLIED (INCLUDING ANY RELATING TO THE FUTURE OR HISTORICAL FINANCIAL CONDITION, RESULTS OF OPERATIONS, ASSETS OR LIABILITIES OF THE COMPANY OR THE BUSINESS, OR ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE) ARE SPECIFICALLY DISCLAIMED BY SELLER AND THE COMPANY. Subject to Seller timely and fully providing Buyer access to all information Buyer requests to conduct its own independent investigation, as detailed by Buyer to Seller, Buyer has conducted its own independent investigation, review and analysis of the business, results of operations, prospects, condition (financial or otherwise) or assets of the Company, and acknowledges that it has been provided adequate access to the personnel, properties, assets, premises, books and records, and other documents and data of Seller and the Company for such purpose. Buyer acknowledges and agrees that in making its decision to enter into this Agreement and to consummate the transactions contemplated hereby, Buyer has relied solely upon its own investigation and the express representations and warranties of Seller set forth in this Agreement (including the related portions of the Seller Disclosure Schedules).

 

ARTICLE V
 COVENANTS

 

Section 5.01                            Employees; Benefit Plans.

 

(a)                                 Except for those employees of the Company set forth in Section 5.01(a) of the Seller Disclosure Schedules, Buyer agrees that following the Closing each Employee shall continue his or her employment with the Company on substantially the same employment terms that existed prior to the Closing Date (the “Continuing Employees”). In this regard:

 

(i)                                     each Continuing Employee whose terms and conditions of employment are governed by the Brillion Collective Bargaining Agreements (the “Continuing Bargained Employees”) shall continue to be governed by the Brillion Collective Bargaining Agreements and Buyer agrees that following the Closing it shall cause the Company to: (A) honor and continue to be bound by and continue to perform under and in accordance with the Brillion Collective Bargaining Agreements; and (B) provide employee benefits to the Continuing Bargained Employees that are as described in, or required by the Brillion Collective Bargaining Agreements, by causing the Company to retain the Benefit Plans listed on Section 5.01(a)(i) of the Seller Disclosure Schedules and all associated liabilities. In addition, with respect to any Benefit Plans covering the Continuing Bargained Employees that are sponsored by Parent, Buyer acknowledges that, effective as of the Closing Date, the Continuing Bargained Employees will cease to participate in and accrue benefits under any such Benefit Plans and that Buyer shall cause the Company to provide employee benefits that are as described in, or required by, the Brillion Collective Bargaining Agreements.

 

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(ii)                                  with respect to each Continuing Employee whose terms and conditions of employment are not governed by the Brillion Collective Bargaining Agreements (the “Non-Bargained Continuing Employees”), Buyer shall cause the Company to retain the Benefit Plans listed in Section 5.01(a)(ii) of the Seller Disclosure Schedules, and all associated liabilities. In addition, with respect to any Benefit Plans covering Non-Bargained Continuing Employees that are sponsored by Parent, Buyer acknowledges that:  (A) effective as of the Closing Date, except as provided in Section 5.01(c), the Non-Bargained Continuing Employees will cease to participate in and accrue any benefits under any such Benefit Plans; and (B) Buyer shall cause the Company to provide employee benefits to the Non-Bargained Continuing Employees that are no less favorable in the aggregate than those provided by Buyer to its most similarly situated employees.

 

(iii)                               Buyer agrees that, from and after the Closing Date, Buyer shall cause the Company to grant all of the Continuing Employees with credit for any service with the Company and/or its ERISA Affiliates earned prior to the Closing Date (A) for eligibility and vesting purposes and (B) for purposes of vacation accrual and severance benefit determinations under any benefit or compensation plan, program, agreement or arrangement that may be established or maintained by Buyer or the Company or any of its subsidiaries, if any, on or after the Closing Date (the “New Plans”). In addition, Buyer hereby agrees that Buyer shall take, and shall cause the Company to take, commercially reasonable steps to (1) cause to be waived all actively-at-work requirements and similar limitations, eligibility waiting periods and evidence of insurability requirements under any New Plans to the extent waived or satisfied by an employee under any Benefit Plan as of the Closing Date and (2) cause any covered expenses incurred on or before the Closing Date during 2016 by any employee (or covered dependent thereof) of the Company to be taken into account for purposes of satisfying applicable deductible, coinsurance and maximum out-of-pocket provisions after the Closing Date under any applicable New Plan with respect to the 2016 calendar year. Nothing contained herein, express or implied, is intended to confer upon any employee of the Company any right to continued employment for any period or constitute an amendment to, or any other modification of, any New Plan or Benefit Plan.

 

(b)                                 Parent shall make available group health plan continuation or conversion coverage required under Section 4980B of the Code, Part 7 of Title 1 of ERISA, or applicable state or local laws with respect to each “M&A qualified beneficiary” within the meaning of Treasury Regulations Section 54.4908B-9, Q&A-4(a) who participated in a Parent sponsored group health plan, due to a qualifying event occurring before the Closing Date. Buyer agrees that the Company shall be responsible for any group health plan continuation or conversion coverage required under Section 4980B of the Code, Part 7 of Title 1 of ERISA, or applicable state or local laws with respect to each “M&A qualified beneficiary” within the meaning of Treasury Regulation Section 54.4908B-9, Q&A-4(a) who participated in a Company sponsored group health plan, due to a qualifying event occurring at any time before or after the Closing Date. Pursuant to Treasury Regulation Section 54.4980B-9, Q&A-5, the sale of the Company is not a qualifying event with respect to the employees who continue to be employed by the Company after the Closing Date, or their dependents.

 

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(c)                                  For a period of time commencing on the Closing Date and ending on the earlier of (i) December 31, 2016, (ii) a date selected by Buyer with thirty (30) days’ advance notice to Parent, or such other date mutually agreed upon by Buyer and Parent, or (iii) the date Parent terminates Transition Plan Coverage for failure of Buyer to timely pay Transition Coverage Costs under this Section 5.01(c) or Parent Benefit Plan Costs under Section 5.01(e) (the “Transition Period”), Parent shall take commercially reasonable efforts to allow Affected Employees and Dependents to continue to participate in the following of Parent’s Benefit Plans: (1) Health Savings Account; (2) Accuride Corporation Master Section 125 Plan for Salaried and Non-Union Hourly Employees; (3) Accuride Corporation Master Short-Term Disability Plan; (4) Accuride Corporation Master Welfare Benefit Plan; (5) Accuride Corporation Master Health Benefit Plan; and (6) Accuride Corporation Educational Assistance Plan (collectively, the “Transition Plans”). For purposes of this Section 5.01(c), “Affected Employees and Dependents” means: (A) Continuing Employees and their eligible dependents who were participating in the Transition Plans on the Closing Date; and (B) Continuing Employees hired before the Closing Date who would first be eligible to participate in the Transition Plans after the Closing Date and their eligible dependents. The coverage for the Affected Employees and Dependents described in clause (B) of the foregoing sentence will commence in accordance with the normally applicable provisions of the Transition Plans. Nothing in this Section 5.01(c) shall be construed as allowing employees hired by the Company after the Closing Date to participate in the Transition Plans. The coverage provided to the Affected Employees and Dependents during the Transition Period shall be referred to as “Transition Coverage”. If, during the Transition Period, an Affected Employee or Dependent experiences a qualifying event that would entitle him or her to elect COBRA continuation coverage under a Transition Plan, Parent shall cause the Transition Plan to offer COBRA continuation coverage to such individual(s). Buyer agrees that the Company shall be responsible for paying all costs, whatsoever (which for the self-funded Transition Plans shall include, but not be limited to, aggregate claims under the Transition Plans for the Affected Employees and Dependents (including those on COBRA continuation coverage), and related stop-loss insurance premiums), insurance premiums, and administrative fees attributable to the Transition Coverage through, and including, any claims run-out periods associated with the Transition Coverage (collectively, the “Transition Coverage Costs”). Buyer shall (or shall cause the Company to) pay such Transition Coverage Costs within three (3) days of being billed by Parent or a third party, such as an insurer or third party claims administrator. Some billings may be as frequent as weekly. If the Company fails to timely pay Transition Coverage Costs when billed by Parent or a third party, Parent may, with seven (7) days’ advance notice to Buyer and the Company, terminate the Transition Coverage provided for hereunder, although a third party, such as an insurer, could terminate coverage sooner for the Company’s failure to pay; provided, however, that the Company shall remain liable for all Transition Coverage Costs. All coverage provided for under this Section 5.01(c), including any COBRA continuation coverage, shall terminate at the end of the Transition Period. At the end of the Transition Period, Buyer or the Company shall have established a group health plan or plans under which the Affected Employees and Dependents will be covered and under which Buyer and the Company shall assume the responsibility to make any remaining COBRA continuation coverage available to such individuals.

 

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(d)                                 This Section 5.01 shall be binding upon and inure solely to the benefit of each of the Parties, and nothing in this Section 5.01, express or implied, shall confer upon any other Person any rights or remedies of any nature whatsoever under or by reason of this Section 5.01. Nothing contained herein, express or implied, shall be construed to establish, amend or modify any benefit plan, program, agreement or arrangement. The Parties acknowledge and agree that the terms set forth in this Section 5.01 shall not create any right in any Employee or any other Person to any continued employment with the Company, Buyer or any of their respective Affiliates or compensation or benefits of any nature or kind whatsoever. Nothing in this Agreement shall be deemed to limit the right of the Buyer or the Company to change, modify, or terminate any assumed Benefit Plan or New Plan in accordance with its terms.

 

(e)                                  Although coverage under certain of Parent’s Benefit Plans may terminate as of the Closing Date, Buyer agrees that the Company shall, with respect to all current or former Company employees and their dependents, including COBRA qualified beneficiaries, be responsible for paying all costs, whatsoever (which for Parent’s self-funded Benefit Plans shall include, but not be limited to, aggregate claims and related stop-loss insurance premiums), insurance premiums and administrative fees attributable to Parent’s Benefit Plans through, and including, any claims run-out periods associated with Parent’s Benefit Plans (collectively, the “Parent Benefit Plan Costs”). Buyer shall (or shall cause the Company to) pay such Parent Benefit Plan Costs within three (3) days of being billed by Parent or a third party, such as an insurer or third party claims administrator; provided that Parent or such third party provides reasonable supporting documentation to support that such invoiced amounts are Parent Benefit Plan Costs. Some billings may be as frequent as weekly. If the Company fails to timely pay Parent Benefit Plan Costs when billed by Parent or a third party, Parent may, with seven (7) days’ advance notice to Buyer and the Company, terminate the Transition Coverage provided for under Section 5.01(c), although a third party, such as an insurer, could terminate coverage sooner for Company’s failure to pay; provided, however, that Company shall remain liable for all Parent Benefit Plan Costs.

 

Section 5.02                            Director and Officer Indemnification and Insurance.

 

(a)                                 From and after the Closing Date, the Company shall, and Buyer shall cause the Company to: (i) indemnify and hold harmless each present or former officer, manager or director of the Company (each, a “Covered Person”) from and against any Losses resulting from or arising in connection with any threatened, pending or completed proceeding arising out of or pertaining to any act, omission, event or circumstance occurring on or prior to the Closing Date, whether asserted or commenced prior to, on or after the Closing Date (each, a “D&O Claim”), to the fullest extent required or permitted by the provisions as in effect on the date hereof (the “D&O Indemnification Provisions”) of the Company’s Organizational Documents or pursuant to any applicable Law with respect to the indemnification of Covered Persons; (ii) advance expenses to any applicable Covered Persons in connection with any D&O Claim involving such Covered Person to the fullest extent required or permitted by the D&O Indemnification Provisions; and (iii) honor the D&O Indemnification Provisions as contract rights in favor of the Covered Persons with respect to any D&O Claim.

 

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(b)                                 All rights to exculpation and indemnification now existing in favor of the Covered Persons as provided in the Company’s Organizational Documents on the date hereof shall be maintained in such documents and shall survive the Closing and shall continue in full force and effect in accordance with their terms. Buyer shall not cause or permit the Company to amend the Company’s Organizational Documents in any way that would violate the foregoing provisions of this Section 5.02, except to the extent required by applicable Law. If the Company is reorganized into any other form of legal entity other than a Delaware corporation, Buyer shall ensure that the Organizational Documents for such reorganized entity contain substantially equivalent provisions for the continued exculpation and indemnification of the Covered Persons as provided in the Company’s certificate of incorporation and bylaws existing on the date hereof.

 

(c)                                  The obligations of Buyer and the Company under this Section 5.02 shall not be terminated or modified in such a manner as to adversely affect any director or officer to whom this Section 5.02 applies without the consent of such affected director or officer (it being expressly agreed that the directors and officers to whom this Section 5.02 applies shall be third-party beneficiaries of this Section 5.02, each of whom may enforce the provisions of this Section 5.02).

 

(d)                                 In the event Buyer, the Company or any of their respective successors or assigns (i) consolidates with or merges into any other Person and shall not be the continuing or surviving corporation or entity in such consolidation or merger or (ii) transfers all of substantially all of its properties and assets to any Person, then, and in either such case, proper provision shall be made so that the successors and assigns of Buyer or the Company, as the case may be, shall assume all of the obligations set forth in this Section 5.02.

 

Section 5.03                            Confidentiality. Buyer acknowledges and agrees that the Confidentiality Agreement remains in full force and effect and, in addition, covenants and agrees to keep confidential, in accordance with the provisions of the Confidentiality Agreement, information provided to Buyer pursuant to this Agreement related solely to Seller, Parent or any Affiliate, except to the extent such information also relates to the Company and its business and/or operations.

 

Section 5.04                            Governmental Approvals and Other Third-party Consents.

 

(a)                                 Each Party shall cooperate fully with the other Party and its Affiliates in promptly seeking to obtain all consents, authorizations, orders and approvals from all Governmental Authorities that were not obtained prior to Closing and that may be or become necessary for a Party to consummate the transactions contemplated by, or perform its obligations pursuant to, this Agreement. The Parties shall not willfully take any action that will have the effect of delaying, impairing or impeding the receipt of any required consents, authorizations, orders and approvals.

 

(b)                                 Seller and Buyer, as applicable, shall use commercially reasonable efforts to give all notices to, and obtain all consents from, all third parties that are described in Section 3.05 and Section 4.02, including any correspondingly numbered sections of the Seller Disclosure

 

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Schedules or Buyer Disclosure Schedules that were not obtained prior to Closing; provided, however, that Seller shall not be obligated to pay any consideration therefor to any third party from whom consent or approval is requested.

 

Section 5.05                            Books and Records.

 

(a)                                 In order to facilitate the resolution of any claims made against or incurred by Seller prior to the Closing, or for any other reasonable purpose, for a period of seven (7) years after the Closing, Buyer shall:

 

(i)                                     retain the books and records (including personnel files) of the Company relating to periods prior to the Closing; and

 

(ii)                                  upon reasonable notice, which notice includes a commercially reasonable purpose for such access, afford the Representatives of Seller reasonable access (including the right to make, at Seller’s expense, photocopies), during normal business hours, to such books and records.

 

(b)                                 In order to facilitate the resolution of any claims made by or against or incurred by Buyer or the Company after the Closing, or for any other reasonable purpose, for a period of seven (7) years following the Closing, Seller shall:

 

(i)                                     retain the books and records (including personnel files) of Seller which relate to the Company and its operations for periods prior to the Closing; and

 

(ii)                                  upon reasonable notice, which notice includes a commercially reasonable purpose for such access, afford the Representatives of Buyer or the Company reasonable access (including the right to make, at Buyer’s expense, photocopies), during normal business hours, to such books and records.

 

(c)                                  No Party shall be obligated to provide any other Party with access to any books or records (including personnel files) pursuant to this Section 5.05 where such access would violate any Law.

 

Section 5.06                            Public Announcements. At or prior to the Closing, the parties hereto shall mutually agree upon an acceptable form of a press release that may be issued by any party hereto within one (1) Business Day of the Closing. Unless otherwise permitted by the preceding sentence or required by applicable Law or stock exchange requirements (based upon the reasonable advice of counsel), no Party shall make any public announcements in respect of this Agreement or the transactions contemplated hereby or otherwise communicate with any news media without the prior written consent of the other Party (which consent shall not be unreasonably withheld or delayed), and the Parties shall cooperate as to the timing and contents of any such announcement.

 

Section 5.07                            Further Assurances. Following the Closing, each of the Parties shall, and shall cause their respective Affiliates to, execute and deliver such additional documents, instruments, conveyances and assurances, and take such further actions as may be reasonably

 

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required to carry out the provisions hereof and give effect to the transactions contemplated by this Agreement.

 

Section 5.08                            Transfer Taxes. Notwithstanding anything to the contrary in this Agreement, all transfer, real estate property transfer, documentary, sales, use, stamp, registration, value added, and other such taxes and fees (including any penalties and interest) incurred in connection with the transactions contemplated by this Agreement, including any interest or penalties in respect thereof, shall be borne equally by Seller and Buyer, regardless of the Person liable for such obligations under applicable law or the Person making payment to the applicable Governmental Authority or other third party. Seller and Buyer shall cooperate with each other and use their commercially reasonable efforts to minimize the amount of such transfer Taxes.

 

Section 5.09                            Non-Competition; Non-Solicitation Covenants of Seller and Seller’s Affiliates. For a three (3)-year period beginning on the Closing Date (the “Restricted Period”), Seller and Parent hereby covenant and agree that, unless expressly permitted in writing by Buyer (which permission shall be in Buyer’s sole discretion to give or withhold), Seller and Parent shall not, and shall not cause or permit any of their Affiliates (whether now existing or later formed or acquired) to, directly or indirectly, whether or not through the use of any interposed Person (excluding the ownership of less than five percent (5%) of the outstanding voting stock of any corporation whose common stock is listed on any national securities exchange or automated dealer quotation system), to:

 

(a)                                 own, invest in, manage, operate, conduct, enter into any partnership or joint venture with, or engage in any business that competes with the Company Business anywhere in North America (provided that it is understood and agreed by the Parties that Parent’s, Gunite’s or any of their Affiliate’s conduct of the Gunite Business shall not constitute a breach of this Section 5.09(a));

 

(b)                                 call on or solicit any Person that is, as of the date hereof, or has been in the past twelve (12) months from the date hereof, a customer of the Company Business for purposes of diverting Buyer’s or the Company’s business with such Person to a competing business, or induce or encourage (or attempt to induce or encourage) any then-current customer, vendor, supplier, licensor, licensee or other Person to cease conducting business with the Company or Buyer; or

 

(c)                                  solicit for employment or engagement as a contracted service provider any employee of the Company; provided, however, that neither the offer by Seller, Parent or any of their Affiliates of employment through public advertising or general solicitations (including via print or broadcast media or through internet postings) that is not specifically targeted at employees of the Company nor the hiring by Seller, Parent or any of their Affiliates of any Person who voluntarily on his or her own initiative seeks employment or contracted engagement with Seller, Parent or any such Affiliate without solicitation (other than as permitted herein) by Seller, Parent or any such Affiliate shall be considered a breach of this Section 5.09(c).

 

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Notwithstanding anything to the contrary set forth in this Agreement, it shall not be a violation of this Section 5.09 if Seller, Parent or any Affiliate thereof acquires any existing company or business which has a division generating less than ten percent (10%) of the gross annual revenues of such company or business that is competitive with the Company Business. Further, if a change of control of Parent occurs during the Restricted Period, the provisions of this Section 5.09 shall not apply to the Person or Persons acquiring control of Parent, as applicable, or to any of such acquiring Person’s Affiliates (other than Parent and any  of Parent’s Affiliates that are controlled by Parent) that existed before the occurrence of such change of control. For purposes of this Section 5.09, “change of control” means (i) any sale, merger, consolidation, tender offer or other transaction or series of related transactions that results in at least a majority of the voting power of a Person ceasing to be held, directly or indirectly, by the Person(s) who held such voting power prior to such transactions, or (ii) a sale or other disposition of all or substantially all of a Person’s assets, whether in one transaction or a series of related transactions. Buyer may not sell, assign or otherwise transfer this covenant not to compete, in whole or in part, to any Person. Recognizing the specialized nature of the Company Business, Seller and Parent acknowledge and agree that the duration, geographic scope and activity restrictions of this Section 5.09 are reasonable.

 

Section 5.10                            Confidential Information. During the Restricted Period, Seller and Parent shall, and shall cause each of their Affiliates to, maintain all Confidential Information in confidence and not disclose any Confidential Information to any Person other than Buyer and the Company, and not use any Confidential Information for such Person’s own benefit or the benefit of any third party. Nothing in this Agreement, however, shall prohibit Seller, Parent or any Affiliate thereof from using or disclosing Confidential Information: (a) to the extent reasonably necessary for Seller or Parent to enforce the terms of this Agreement or any other agreement or instruments executed in connection herewith, (b) to the extent Seller, Parent or any applicable Affiliate determines that such use or disclosure is reasonably necessary for the pursuit or defense of any proceeding by or against Seller, Parent or any Affiliate thereof, including in connection with challenging or defending any claim for indemnification under Section 6.02, (c) to the extent any such Confidential Information constitutes shared information that is used by Seller, Parent or any Affiliate thereof in the ordinary course of its own business, (d) to the extent required by Law (including the rules and regulations of any U.S. stock exchange or automated dealer quotation system) or accounting requirements, including in connection with any accounting, audit, Tax or regulatory compliance of Seller, Parent or any Affiliate thereof, (e) to the extent disclosure is mandated by any Governmental Order, or (f) to the extent such information relates to the Sales Tax Audit; provided that, in the case of (b), (d) and (e) above, Seller, Parent or such other Affiliate (i) provides Buyer with written notice of such mandated disclosure prior to such disclosure being made, (ii) cooperates reasonably with Buyer in any Buyer effort to obtain a protective order or other confidentiality treatment with respect to such Confidential Information whose disclosure is mandated, and (iii) discloses only that portion of such Confidential Information required to be disclose.

 

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Section 5.11                            Code §338(h)(10).

 

(a)                                 Buyer and Seller agree to make an election pursuant to Section 338(h)(10) of the Code (and of any corresponding provisions of applicable state, local, and foreign tax law) (a “338(h)(10) Election”) with respect to the purchase of the Shares.

 

(b)                                 Seller shall include any income, gain, loss, deduction, or other tax item resulting from the 338(h)(10) Election on its Tax Returns to the extent required by Law and such items will be treated as occurring in the Pre-Closing Tax Period.

 

(c)                                  Seller and Buyer shall report, in connection with the determination of income, franchise or other Taxes measured, the transactions being undertaken pursuant to this Agreement in a manner consistent with the 338(h)(10) Election and this Agreement. Buyer shall be responsible for the preparation of two copies of all forms and documents required in connection with the 338(h)(10) Election (including Internal Revenue Service Form 8023). Buyer shall properly and timely prepare documents and forms as may be required by applicable Laws to complete and make the 338(h)(10) Election, and Buyer shall timely deliver two copies of such forms and documents to Seller, no later than eight (8) months after the Closing Date. Seller shall execute both copies no later than ten (10) days following receipt by Seller of such forms and timely file one copy of such forms and documents with the Internal Revenue Service and return the other copy to Buyer for timely filing; provided that if Seller determines in good faith that there is an error in any such form or document, then Seller shall promptly notify Buyer of such error and cooperate with Buyer to correct promptly any such error. If Buyer shall deliver to Seller any such forms and documents necessary to make the 338(h)(10) Election prior to Closing, Seller shall execute such forms and documents prior to Closing and deliver one copy to Buyer at Closing.

 

(d)                                 To the extent permitted by state, local or foreign Laws, the principles and procedures of this Section 5.11 shall also apply with respect to a 338(h)(10) Election under any applicable state, local or foreign law. Seller and Buyer shall make any election similar to the 338(h)(10) Election which is optional under any applicable state, local or foreign law, and shall each cooperate and join in any election made to effect such an election so as to treat the transactions contemplated herein as a sale of assets for state, local and foreign income Tax purposes.

 

(e)                                  In connection with the 338(h)(10) Election made with respect to the Shares, the Purchase Price (and any other amounts required to be treated as purchase price consideration for the assets of the Company under the Law) shall be allocated among the assets of the Company in accordance with Code Section 338 and the Treasury Regulations promulgated thereunder (and any similar provision of state, local or foreign law, as applicable) in the manner set forth in this Section 5.11(e). No later than three (3) months after the Closing Date, Seller shall prepare and deliver to Buyer an allocation of the Purchase Price and any other amounts required to be treated as purchase price consideration for the assets of the Company under the Law) among the assets of the Company in accordance with Code Section 338 and the Treasury Regulations promulgated thereunder (and any similar provision of state, local or foreign law, as applicable), which allocation shall be made in accordance with the following methodology:  the fair market value allocated  to Class III and Class IV assets shall be their net book value as reflected on the

 

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Closing Working Capital Statement as further adjusted pursuant to Section 2.05 and the remainder of the Purchase Price (and any other amounts required to be treated as purchase price consideration for the assets of the Company under the Law) shall be allocated to Class V assets.  Buyer shall thereafter provide any comments to Seller within one (1) month after receiving Seller’s proposed allocation.  Buyer and Seller shall cooperate in good faith to finalize the allocation of the Purchase Price (and any other amounts required to be treated as purchase price consideration for the assets of the Company under the Law) consistent with the methodology set forth in this Section 5.11(e).  If Buyer and Seller are unable to finalize the allocation within two (2) months after Buyer has received Seller’s proposed allocation, then Buyer and Seller shall submit only those disputed items that have not been resolved to the Independent Accountant for determination in a manner consistent with the methodology set forth in this Section 5.11(e).  The Independent Accountant’s determination as to each item of dispute shall be binding on the parties, and the allocation shall be amended in accordance with the Independent Accountant’s determination (as to the disputed items) and the agreement of the Buyer and Seller (as to the items that are not disputed) and shall become the final allocation.  Buyer, Seller and their respective Affiliates shall report, act and file Tax Returns in all respects and for all purposes consistent with the allocation set forth in this Section 5.11(e). Seller shall timely and properly prepare, execute, file and deliver all such documents, forms and other information as Buyer may reasonably request to prepare such allocation. Neither Buyer nor Seller shall take any position (whether in audits, Tax Returns or otherwise) that is inconsistent with the final allocation unless required to do so by Law.

 

Section 5.12                            Other Tax Matters. The following provisions shall govern the allocation of responsibility as among Buyer, Parent and Seller for certain Tax matters:

 

(a)                                 Straddle Period. In the case of any Straddle Period, (i) the amount of any Taxes based on or measured by income, receipts, payroll or sales of the Company that are related to the Pre-Closing Tax Period shall be determined based on an interim closing of the books as of the close of business on the Closing Date, and (ii) the amount of other Taxes of the Company that are related to the Pre-Closing Tax Period shall be deemed to be the amount of such Tax for the entire taxable period multiplied by a fraction, the numerator of which is the number of days in the taxable period ending on the Closing Date and the denominator of which is the number of days in such Straddle Period. All determinations necessary to give effect to the foregoing allocations shall be made in a manner consistent with reasonable prior practice of the Company except as otherwise required by Law.

 

(b)                                 Responsibility for Filing Tax Returns.

 

(i)                                     For any federal (and to the extent applicable, state) income Tax periods ending on or before the Closing Date, the Company shall be included on the federal consolidated income Tax return of Parent. Buyer, Seller and Parent agree and acknowledge that it is intended that the taxable year of the Company shall end as of the close of business on the Closing Date for United States federal income Tax purposes; provided, however, that any transaction that occurs on the Closing Date that is outside the ordinary course of business other than any transaction contemplated by this Agreement and properly allocable to the Company’ income after the

 

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Closing shall be treated for all federal income Tax purposes as occurring at the beginning of the following day.

 

(ii)                                  Buyer will prepare or cause to be prepared, and cause to be timely filed, any Tax Return of the Company with respect to Pre-Closing Tax Periods that is not described in Section 5.12(b)(i) that are due after the Closing Date and for any Straddle Period. Buyer will provide Seller and Parent with a draft of any such Tax Return that relates to a Pre-Closing Tax Period for Seller’s and Parent’s review at least ten (10) days prior to the due date thereof (giving effect to any extensions thereto), and Buyer will accept and incorporate any reasonable comments of Seller and/or Parent to any such Tax Return that are received within five (5) days after delivery of such Tax Return to Seller and/or Parent; provided that such comments do not have a material impact on Buyer. The preparation and filing of any Tax Return of the Company that does not relate to a Pre-Closing Tax Period shall be exclusively within the control of Buyer. Seller shall pay to Buyer an amount equal to the portion of the Taxes with respect to any such Tax Returns that relates to the Pre-Closing Tax Period (as determined pursuant to Section 5.12(a)), and to the extent such Taxes are not included or reflected on the Closing Working Capital Statement, at the later of five (5) Business Days prior to the due date (including extensions) of such Tax Returns or upon written demand therefore.

 

(iii)                               Except as specifically provided in Section 5.12(b)(ii), neither Buyer nor any of its Affiliates shall (or after the Closing, shall cause or permit the Company to) file, amend, refile or otherwise modify (or grant an extension of any statute of limitations with respect to) any Tax Return relating in whole or in part to the Company with respect to any Pre-Closing Tax Period without the prior written consent of Parent, which consent shall not be unreasonably withheld, delayed or conditioned.

 

(c)                                  Cooperation on Tax Matters. Buyer, Parent and Seller shall cooperate in connection with the filing of Tax Returns pursuant to this Section 5.12 and in connection with any audit, litigation or other proceeding with respect to Taxes, including:

 

(i)                                     retaining until the expiration of the statute of limitations (and, to the extent notified by Buyer, any extensions thereof) and (upon request) sharing relevant records and information and providing explanations with respect thereto;

 

(ii)                                  prior to transferring, destroying or discarding any Tax Returns, schedules and work papers, records and other documents in its possession relating to Tax matters of the Company for any taxable period beginning before the Closing Date, Seller or Buyer (as the case may be) shall provide the other party with reasonable written notice and offer the other party the opportunity to take custody of such materials.

 

(iii)                               using commercially reasonable efforts to obtain any certificate or other document from any Governmental Authority or other Person as may be necessary to mitigate, reduce or eliminate any Tax that could be imposed (including with respect to the transactions contemplated hereby); and

 

(iv)                              providing information required to report pursuant to Code Section 6043, Code Section 6043A or Treasury Regulations promulgated thereunder.

 

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(d)                                 Tax Sharing Agreements. All Tax sharing agreements or similar agreements with respect to or involving the Company shall be terminated as of the Closing Date and, after the Closing Date, the Company shall not be bound thereby or have any liability thereunder.

 

(e)                                  Tax Refunds. Any Tax refund or credit against Tax (or portion thereof that relates to a Pre-Closing Tax Period) that is received by Buyer, the Company, or any Affiliate of either of them, that relates to any Pre-Closing Tax Period of the Company shall be for the account of Seller, and Buyer shall pay over to Seller, within fifteen (15) days after receipt thereof or entitlement thereto, an amount equal to such refund or credit net of the reasonable expenses incurred to obtain such refund or credit.

 

ARTICLE VI
 INDEMNIFICATION

 

Section 6.01                            Survival. Subject to the limitations and other provisions of this Agreement, and except for the representations and warranties contained in Sections 3.15, 3.16, 3.17 and 3.18 which shall survive for the applicable statute of limitations period, the representations and warranties contained herein shall survive the Closing and shall remain in full force and effect until the date that is one (1) year from the Closing Date. None of the covenants or other agreements contained in this Agreement shall survive the Closing Date other than those which by their terms contemplate performance after the Closing Date, and each such surviving covenant and agreement shall survive the Closing for the period contemplated by its terms. Notwithstanding the foregoing, any claims asserted in good faith with reasonable specificity (to the extent known at such time) and in writing by notice from the non-breaching Party to the breaching Party prior to the expiration date of the applicable survival period shall not thereafter be barred by the expiration of such survival period and such claims shall survive until finally resolved.

 

Section 6.02                            Indemnification By Seller and Parent. Subject to the other terms and conditions of this Article VI, Seller and Parent shall jointly and severally indemnify Buyer against, and shall hold Buyer harmless from and against, any and all Losses incurred or sustained by, or imposed upon, Buyer based upon, arising out of, with respect to or by reason of:

 

(a)                                 any inaccuracy in or breach of any of the representations or warranties of Seller contained in this Agreement;

 

(b)                                 any breach or non-fulfillment of any covenant, agreement or obligation to be performed by Seller pursuant to this Agreement; or

 

(c)                                  the Sales Tax Audit.

 

Section 6.03                            Indemnification By Buyer. Subject to the other terms and conditions of this Article VI, Buyer shall indemnify Seller against, and shall hold Seller harmless from and against, any and all Losses incurred or sustained by, or imposed upon, Seller based upon, arising out of, with respect to or by reason of:

 

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(a)                                 any inaccuracy in or breach of any of the representations or warranties of Buyer contained in this Agreement;

 

(b)                                 any breach or non-fulfillment of any covenant, agreement or obligation to be performed by Buyer pursuant to this Agreement, including those obligations of Buyer under Section 5.11(a);

 

(c)                                  except to the extent related to the Sales Tax Audit, any liability for Taxes of the Company during the Post-Closing Tax Period;

 

(d)                                 any and all amounts due on or after the Closing Date under the Sales Representative Agreements;

 

(e)                                  except to the extent arising from any matter giving rise to a claim for indemnification under Section 6.02, any liability or third-party claim to the extent arising out of or in connection with (i) the Company’s ownership, leasing, licensing or use of any of its assets, (ii) the Company’s conduct of the Company Business or any other business following the Closing Date, and/or (iii) any workers’ compensation claims related to the Company or its current or former employees, whether or not occurring before, on or after the Closing Date.

 

Section 6.04                            Certain Limitations. The Person making a claim under this Article VI is referred to as the “Indemnified Party”, and the Person against whom such claims are asserted under this Article VI is referred to as the “Indemnifying Party”. The indemnification provided for in Section 6.02 and Section 6.03 shall be subject to the following limitations:

 

(a)                                 Neither Seller nor Parent shall, together in the aggregate, be liable to Buyer for indemnification under Section 6.02(a) until the aggregate amount of all Losses in respect of indemnification under Section 6.02(a) exceeds $225,000 (the “Deductible”), in which event Seller and/or Parent, as the case may be, shall, together in the aggregate, only be required to pay or be liable for Losses in excess of the Deductible. With respect to any claim as to which Buyer may be entitled to indemnification under Section 6.02(a), Seller and/or Parent, as the case may be, shall, together in the aggregate, not be liable for any individual or series of related Losses which do not exceed $5,000 (which Losses shall not be counted toward the Deductible).

 

(b)                                 Buyer shall not be entitled to recover under Section 6.02 (i) to the extent the matter in question has specifically been reserved for in a line item in the Closing Working Capital as determined based on the balance sheet delivered as part of the Closing Working Capital Statement (as the same may be adjusted pursuant to Section 2.5(c)), and (ii) with respect to any environmental condition or any costs arising out of any environmental condition to the extent caused, created, aggravated or exacerbated by Buyer, any Affiliate of Buyer or any of their respective Representatives or invitees.

 

(c)                                  The aggregate amount of all Losses for which an Indemnifying Party shall be liable pursuant to Section 6.02(a) or Section 6.03(a) as the case may be, shall not exceed $1,500,000, and the aggregate amount of all Losses for which Seller and/or Parent, as the case may be, shall, together in the aggregate, be liable pursuant to Section 6.02(a)-(b) shall not exceed the Purchase Price.

 

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(d)                                 Payments by an Indemnifying Party pursuant to Section 6.02 or Section 6.03 in respect of any Loss shall be limited to the amount of any liability or damage that remains after deducting therefrom any insurance proceeds and any indemnity, contribution or other similar payment received by the Indemnified Party (or the Company) in respect of any such claim. The Indemnified Party shall use its commercially reasonable efforts to recover under insurance policies or indemnity, contribution or other similar agreements for any Losses prior to seeking indemnification under this Agreement.

 

(e)                                  Payments by an Indemnifying Party pursuant to Section 6.02 or Section 6.03 in respect of any Loss shall be reduced by an amount equal to any Tax benefit realized or reasonably expected to be realized as a result of such Loss by the Indemnified Party.

 

(f)                                   In no event shall any Indemnifying Party be liable to any Indemnified Party for any punitive, incidental, consequential, special or indirect damages, including loss of future revenue or income, loss of business reputation or opportunity relating to the breach or alleged breach of this Agreement, or diminution of value or any damages based on any type of multiple.

 

(g)                                  Each Indemnified Party shall take, and cause its Affiliates to take, all reasonable steps to mitigate any Loss upon becoming aware of any event or circumstance that would be reasonably expected to, or does, give rise thereto, including incurring costs only to the minimum extent necessary to remedy the breach that gives rise to such Loss.

 

(h)                                 Seller and/or Parent, as the case may be, shall, together in the aggregate, not be liable under this Article VI for any Losses based upon or arising out of any inaccuracy in or breach of any of the representations or warranties of Seller contained in this Agreement if Buyer is aware of such inaccuracy or breach prior to the Closing. For purposes of this Section 6.04(h), Buyer will be deemed to be aware of something if Buyer would be deemed to be aware of such information based on the applicable standard described in the definition of Material Adverse Effect.

 

Section 6.05                            Indemnification Procedures.

 

(a)                                 Third-Party Claims. If any Indemnified Party receives notice of the assertion or commencement of any action, suit, claim or other legal proceeding made or brought by any Person who is not a Party or an Affiliate of a Party or a Representative of the foregoing (a “Third-Party Claim”) against such Indemnified Party with respect to which the Indemnifying Party is obligated to provide indemnification under this Agreement, the Indemnified Party shall give the Indemnifying Party prompt written notice thereof. The failure to give such prompt written notice shall not, however, relieve the Indemnifying Party of its indemnification obligations, except and only to the extent that the Indemnifying Party forfeits rights or defenses by reason of such failure. Such notice by the Indemnified Party shall describe the Third-Party Claim in reasonable detail, shall include copies of all material written evidence thereof and shall indicate the estimated amount, if reasonably practicable, of the Loss that has been or may be sustained by the Indemnified Party. The Indemnifying Party shall have the right to participate in, or, except when such Third-Party Claim is brought by a then current customer of the Company and the Indemnified Party reasonably assumes the defense of such claim (each, a “Customer

 

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Claim”), by giving written notice to the Indemnified Party, to assume the defense of any Third-Party Claim at the Indemnifying Party’s expense and by the Indemnifying Party’s own counsel, and the Indemnified Party shall cooperate in good faith in such defense. In the event that the Indemnifying Party assumes the defense of any Third-Party Claim, subject to Section 6.05(b), it shall have the right to take such action as it deems necessary to avoid, dispute, defend, appeal or make counterclaims pertaining to any such Third-Party Claim in the name and on behalf of the Indemnified Party. The Indemnified Party shall have the right, at its own cost and expense, to participate in the defense of any Third-Party Claim with counsel selected by it subject to the Indemnifying Party’s right to control the defense thereof. If the Indemnifying Party elects not to compromise or defend such Third-Party Claim or fails to promptly notify the Indemnified Party in writing of its election to defend as provided in this Agreement, the Indemnified Party may, subject to Section 6.05(b), pay, compromise, defend such Third-Party Claim and seek indemnification for any and all Losses based upon, arising from or relating to such Third-Party Claim. The Parties shall cooperate with each other in all reasonable respects in connection with the defense of any Third-Party Claim, including making available (subject to the provisions of Section 5.03) records relating to such Third-Party Claim and furnishing, without expense (other than reimbursement of actual out-of-pocket expenses) to the defending party, management employees of the non-defending party as may be reasonably necessary for the preparation of the defense of such Third-Party Claim.

 

(b)                                 Settlement of Third-Party Claims. Notwithstanding any other provision of this Agreement, the Indemnifying Party shall not enter into settlement of any Third-Party Claim without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld or delayed), except as provided in this Section 6.05(b). If a firm offer is made to settle a Third-Party Claim without leading to liability or the creation of a financial or other obligation on the part of the Indemnified Party and provides, in customary form, for the unconditional release of each Indemnified Party from all liabilities and obligations in connection with such Third-Party Claim and the Indemnifying Party desires to accept and agree to such offer, the Indemnifying Party shall give written notice to that effect to the Indemnified Party. If the Indemnified Party fails to consent to such firm offer within ten (10) days after its receipt of such notice, the Indemnified Party may continue to contest or defend such Third-Party Claim and in such event, the maximum liability of the Indemnifying Party as to such Third-Party Claim shall not exceed the amount of such settlement offer. If the Indemnified Party fails to consent to such firm offer and also fails to assume defense of such Third-Party Claim, the Indemnifying Party may settle the Third-Party Claim upon the terms set forth in such firm offer to settle such Third-Party Claim. If the Indemnified Party has assumed the defense of a Third-Party Claim (including without limitation a Customer Claim) pursuant to Section 6.05(a), it shall not agree to any settlement without the written consent of the Indemnifying Party (which consent shall not be unreasonably withheld or delayed).  In the event that a dispute arises as to whether consent that may not be unreasonably withheld or delayed has been unreasonably withheld or delayed by either the Indemnified Party or the Indemnifying Party under this Section 6.05(b), as applicable, the prevailing party to such dispute shall be entitled to receive its reasonable attorneys’ fees and costs with respect to such dispute.

 

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(c)                                  Direct Claims. Any claim by an Indemnified Party on account of a Loss which does not result from a Third-Party Claim (a “Direct Claim”) shall be asserted by the Indemnified Party giving the Indemnifying Party prompt written notice thereof. The failure to give such prompt written notice shall not, however, relieve the Indemnifying Party of its indemnification obligations, except and only to the extent that the Indemnifying Party forfeits rights or defenses by reason of such failure. Such notice by the Indemnified Party shall describe the Direct Claim in reasonable detail, shall include copies of all material written evidence thereof and shall indicate the estimated amount, if reasonably practicable, of the Loss that has been or may be sustained by the Indemnified Party. The Indemnifying Party shall have thirty (30) days after its receipt of such notice to respond in writing to such Direct Claim. During such thirty (30)-day period, the Indemnified Party shall allow the Indemnifying Party and its professional advisors to investigate the matter or circumstance alleged to give rise to the Direct Claim, and whether and to what extent any amount is payable in respect of the Direct Claim and the Indemnified Party shall assist the Indemnifying Party’s investigation by giving such information and assistance (including access to the Company’s premises and personnel and the right to examine and copy any accounts, documents or records) as the Indemnifying Party or any of its professional advisors may reasonably request. If the Indemnifying Party does not so respond within such thirty (30)-day period, the Indemnifying Party shall be deemed to have rejected such claim, in which case the Indemnified Party shall be free to pursue such remedies as may be available to the Indemnified Party on the terms and subject to the provisions of this Agreement.

 

Section 6.06                            Tax Treatment of Indemnification Payments. All indemnification payments made under this Agreement shall be treated by the Parties as an adjustment to the Purchase Price for Tax purposes, unless otherwise required by Law.

 

Section 6.07                            Exclusive Remedies. Subject to Section 7.11, the Parties acknowledge and agree that their sole and exclusive remedy with respect to any and all claims (other than claims arising from intentional fraud on the part of a Party in connection with the transactions contemplated by this Agreement) for any breach of any representation, warranty, covenant, agreement or obligation set forth herein or otherwise relating to the subject matter of this Agreement, shall be pursuant to the indemnification provisions set forth in this Article VI. In furtherance of the foregoing, each Party hereby waives, to the fullest extent permitted under Law, any and all rights, claims and causes of action for any breach of any representation, warranty, covenant, agreement or obligation set forth herein or otherwise relating to the subject matter of this Agreement it may have against the other Party and its Affiliates and each of their respective Representatives arising under or based upon any Law, except pursuant to the indemnification provisions set forth in this Article VI. Nothing in this Section 6.07 shall limit any Person’s right to seek and obtain any equitable relief to which any Person shall be entitled pursuant to Section 7.11 or to seek any remedy on account of intentional fraud by any Party.

 

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ARTICLE VII
 MISCELLANEOUS

 

Section 7.01                            Expenses. Except as otherwise expressly provided herein (including Section 5.08 hereof), all costs and expenses, including fees and disbursements of counsel, financial advisors and accountants, incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the Party incurring such costs and expenses; provided, however, that Seller shall pay all amounts payable to BMO Capital Markets Corp pursuant to Seller’s engagement thereof.

 

Section 7.02                            Notices. All notices, requests, consents, claims, demands, waivers and other communications hereunder shall be in writing and shall be deemed to have been given: (a) when delivered by hand (with written confirmation of receipt); (b) when received by the addressee if sent by a nationally recognized overnight courier (receipt requested); or (c) on the third (3rd) day after the date mailed, by certified or registered mail, return receipt requested, postage prepaid. For purposes of expediency, any communication may be sent initially by email, but shall not be deemed to have been duly given hereunder except as provided in clauses (a) through (c) of this Section 7.02. All communications must be sent to the respective parties hereto at the following addresses (or at such other address for a party hereto as shall be specified in a notice given in accordance with this Section 7.02):

 

	
If to Seller:
    	
 
    	
Truck Components Inc.
   c/o Accuride Corporation
   7140 Office Circle
   Evansville, Indiana 47715
   Attention: General Counsel
   Tel: (812) 962-5000
   E-mail: smartin@accuridecorp.com
    
	
 
    	
 
    	
 
    
	
with a copy (which shall not constitute notice) to:
    	
 
    	
Snell & Wilmer L.L.P.
   15 West South Temple, Suite 1200
   Salt Lake City, Utah 84101
   Attention: John G. Weston
   Tel: (801) 257-1900
   E-mail: jweston@swlaw.com
    
	
 
    	
 
    	
 
    
	
If to Parent:
    	
 
    	
Accuride Corporation
   7140 Office Circle
   Evansville, Indiana 47715
   Attention: General Counsel
   Tel: (812) 962-5000
   E-mail: smartin@accuridecorp.com
    
	
 
    	
 
    	
 
    
	
with a copy (which shall not 
    	
 
    	
Snell & Wilmer L.L.P.
   15 West South Temple, Suite 1200
    

 

43

 

	
constitute notice) to:
    	
 
    	
Salt Lake City, Utah 84101
   Attention: John G. Weston
   Tel: (801) 257-1900
   E-mail: jweston@swlaw.com
    
	
 
    	
 
    	
 
    
	
If to Buyer:
    	
 
    	
Grede Holdings LLC
   One Towne Square, Suite 550
   Southfield, MI 48076
   Attention: Vice President
   Tel: (248) 440-9552
   E-mail: theavin@grede.com
    
	
 
    	
 
    	
 
    
	
with a copy (which shall not constitute notice) to:
    	
 
    	
Metaldyne Performance Group Inc.
   One Towne Square, Suite 550
   Southfield, MI 48076
   Attention: General Counsel
   Tel: (248) 727-1823
   E-mail: tdono@mpgdriven.com
    

 

Section 7.03                            Interpretation. For purposes of this Agreement: (a) the words “include,” “includes” and “including” shall be deemed to be followed by the words “without limitation”; (b) the word “or” is not exclusive; and (c) the words “herein,” “hereof,” “hereby,” “hereto” and “hereunder” refer to this Agreement as a whole. Unless the context otherwise requires, references herein: (i) to Articles, Sections, Seller Disclosure Schedules, Buyer Disclosure Schedules and Exhibits mean the Articles and Sections of, and Seller Disclosure Schedules, Buyer Disclosure Schedules and Exhibits attached to, this Agreement; (ii) to an agreement, instrument or other document means such agreement, instrument or other document as amended, supplemented and modified from time to time to the extent permitted by the provisions thereof; and (iii) to a statute means such statute as amended from time to time and includes any successor legislation thereto and any regulations promulgated thereunder. This Agreement shall be construed without regard to any presumption or rule requiring construction or interpretation against the Party drafting an instrument or causing any instrument to be drafted. The Seller Disclosure Schedules, Buyer Disclosure Schedules and Exhibits referred to herein shall be construed with, and as an integral part of, this Agreement to the same extent as if they were set forth verbatim herein.

 

Section 7.04                            Headings. The headings in this Agreement are for reference only and shall not affect the interpretation of this Agreement.

 

Section 7.05                            Severability. If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable such term or provision in any other jurisdiction. Upon such determination that any term or other provision is

 

44

 

invalid, illegal or unenforceable, the Parties shall negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the greatest extent possible.

 

Section 7.06                            Entire Agreement. This Agreement (including the Exhibits and the Seller Disclosure Schedules and Buyer Disclosure Schedules) constitutes the sole and entire agreement of the Parties to this Agreement with respect to the subject matter contained herein, and supersede all prior and contemporaneous representations, warranties, understandings and agreements, both written and oral, with respect to such subject matter. In the event of any inconsistency between the statements in the body of this Agreement, the Exhibits, the Seller Disclosure Schedules and the Buyer Disclosure Schedules (other than an exception expressly set forth as such in the Seller Disclosure Schedules or Buyer Disclosure Schedules), the statements in the body of this Agreement will control.

 

Section 7.07                            Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the parties and their respective successors and permitted assigns. No party hereto may assign its rights or obligations hereunder without the prior written consent of the other parties, which consent shall not be unreasonably withheld or delayed. No assignment shall relieve the assigning party of any of its obligations hereunder.

 

Section 7.08                            No Third-party Beneficiaries. Except as provided in Section 5.02 and Article VI, this Agreement is for the sole benefit of Buyer, Seller and Parent and their respective successors and permitted assigns (it being expressly understood that Parent is an express intended beneficiary of this entire Agreement) and nothing herein, express or implied, is intended to or shall confer upon any other Person or entity any legal or equitable right, benefit or remedy of any nature whatsoever under or by reason of this Agreement.

 

Section 7.09                            Amendment and Modification; Waiver. This Agreement may only be amended, modified or supplemented by an agreement in writing signed by each Party. No waiver by any Party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the Party so waiving. No waiver by any Party shall operate or be construed as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege.

 

Section 7.10                            Governing Law; Submission 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 Delaware without giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction).

 

45

 

(b)                                 EACH  PARTY  ACKNOWLEDGES  AND  AGREES  THAT  ANY  CONTROVERSY  WHICH  MAY  ARISE  UNDER  THIS  AGREEMENT  OR  ANY  OTHER  DOCUMENTS  DELIVERED  IN  CONNECTION  HEREWITH  IS  LIKELY  TO  INVOLVE  COMPLICATED  AND  DIFFICULT  ISSUES  AND,  THEREFORE,  EACH  SUCH  PARTY  IRREVOCABLY  AND  UNCONDITIONALLY  WAIVES  ANY  RIGHT  IT  MAY  HAVE  TO  A  TRIAL  BY  JURY  IN  RESPECT  OF  ANY  LEGAL  ACTION  ARISING  OUT  OF  OR  RELATING  TO  THIS  AGREEMENT,  OR  ANY  OTHER  DOCUMENTS  DELIVERED  IN  CONNECTION  HEREWITH  OR  THE  TRANSACTIONS  CONTEMPLATED  HEREBY  OR  THEREBY.  EACH  PARTY  CERTIFIES  AND  ACKNOWLEDGES  THAT  (I)  NO  REPRESENTATIVE  OF  ANY  OTHER  PARTY  HAS  REPRESENTED,  EXPRESSLY  OR  OTHERWISE,  THAT  SUCH  OTHER  PARTY  WOULD  NOT  SEEK  TO  ENFORCE  THE  FOREGOING  WAIVER  IN  THE  EVENT  OF  A  LEGAL  ACTION,  (II)  SUCH  PARTY  HAS  CONSIDERED  THE  IMPLICATIONS  OF  THIS  WAIVER,  (III)  SUCH  PARTY  MAKES  THIS  WAIVER  VOLUNTARILY,  AND  (IV)  SUCH  PARTY  HAS  BEEN  INDUCED  TO  ENTER  INTO  THIS  AGREEMENT  BY,  AMONG  OTHER  THINGS,  THE  MUTUAL  WAIVERS  AND  CERTIFICATIONS  IN  THIS  SECTION  7.10(b).

 

Section 7.11                            Specific Performance. The Parties agree that irreparable damage would occur if any provision of this Agreement were not performed in accordance with the terms hereof and that the Parties shall be entitled to specific performance of the terms hereof, in addition to any other remedy to which they are entitled at law or in equity.

 

Section 7.12                            Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile, e-mail or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.

 

Section 7.13                            Non-Recourse. This Agreement may only be enforced against, and any claim, action, suit or other legal proceeding based upon, arising out of, or related to this Agreement, or the negotiation, execution or performance of this Agreement, may only be brought against the entities that are expressly named as parties hereto and then only with respect to the specific obligations set forth herein with respect to such party. No past, present or future director, officer, employee, incorporator, manager, member, partner, stockholder, Affiliate, agent, attorney or other Representative of any party hereto or of any Affiliate of any party hereto, or any of their successors or permitted assigns, shall have any liability for any obligations or liabilities of any party under this Agreement or for any claim or Action based on, in respect of or by reason of the transactions contemplated hereby.

 

[Remainder of Page Intentionally Blank; Signature Page Follows]

 

46

 

IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

 

	
 
    	
SELLER:
    
	
 
    	
TRUCK   COMPONENTS INC.,
   a Delaware corporation
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Stephen A. Martin
    
	
 
    	
Name:
    	
Stephen   A. Martin
    
	
 
    	
Title:
    	
Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
PARENT   (solely with respect to Sections 3.01, 3.05, 5.10, 5.11, 5.12, 6.02, 6.04 ̧ 6.05, 6.06 and 6.07):
    
	
 
    	
ACCURIDE   CORPORATION,
   a Delaware corporation
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Stephen A. Martin
    
	
 
    	
Name:
    	
Stephen   A. Martin
    
	
 
    	
Title:
    	
Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
BUYER:
    
	
 
    	
GREDE   HOLDINGS LLC,
   a Delaware limited liability company
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Todd Heavin
    
	
 
    	
Name:
    	
Todd   Heavin
    
	
 
    	
Title:
    	
Vice   President
    

 

(Signature Page to Stock Purchase Agreement)EX-4.11

 Exhibit 4.11 

INTRA-CELLULAR THERAPIES, INC. 

Issuer 
 AND 

[                    ] Trustee 

INDENTURE 
 Dated as of
[                    ] 
 Senior Debt
Securities 

 CROSS-REFERENCE TABLE (1) 

 

					
	 Section of Trust Indenture Act of 1939, as Amended
	  	Section of
Indenture	 
		
	 310(a).
	  	 	7.09	  
	 310(b).
	  	 	7.08	  
		  	 	7.10	  
		
	 310(c).
	  	 	Inapplicable	  
	 311(a).
	  	 	7.13(a)	  
	 311(b).
	  	 	7.13(b)	  
	 311(c).
	  	 	Inapplicable	  
	 312(a)
	  	 	5.02(a)	  
	 312(b).
	  	 	5.02(b)	  
	 312(c).
	  	 	5.02(c)	  
	 313(a).
	  	 	5.04(a)	  
	 313(b).
	  	 	5.04(a)	  
	 313(c).
	  	 	5.04(a)	  
		  	 	5.04(b)	  
	 313(d).
	  	 	5.04(b)	  
	 314(a).
	  	 	5.03	  
	 314(b).
	  	 	Inapplicable	  
	 314(c).
	  	 	13.06	  
	 314(d).
	  	 	Inapplicable	  
	 314(e).
	  	 	13.06	  
	 314(f).
	  	 	Inapplicable	  
	 315(a).
	  	 	7.01(a)	  
		  	 	7.02	  
	 315(b).
	  	 	6.07	  
	 315(c).
	  	 	7.01	  
	 315(d).
	  	 	7.01(b)	  
		  	 	7.01(c)	  
	 315(e).
	  	 	6.07	  
	 316(a).
	  	 	6.06	  
		  	 	8.04	  
	 316(b).
	  	 	6.04	  
	 316(c).
	  	 	8.01	  
	 317(a).
	  	 	6.02	  
	 317(b).
	  	 	4.03	  
	 318(a).
	  	 	13.08	  

  

	(1)	This Cross-Reference Table does not constitute part of the Indenture and shall not have any bearing on the interpretation of any of its terms or provisions. 

  
 i 

 TABLE OF CONTENTS (2) 

 

							
	 	  	 	  	Page	 
		
	ARTICLE I DEFINITIONS	  	 	1	  
			
	 SECTION 1.01
	  	 Definitions of Terms.
	  	 	1	  
		
	ARTICLE II ISSUE, DESCRIPTION, TERMS, EXECUTION, REGISTRATION AND EXCHANGE OF SECURITIES	  	 	4	  
			
	 SECTION 2.01
	  	 Designation and Terms of Securities.
	  	 	4	  
	 SECTION 2.02
	  	 Form of Securities and Trustee’s Certificate.
	  	 	5	  
	 SECTION 2.03
	  	 Denominations: Provisions for Payment.
	  	 	6	  
	 SECTION 2.04
	  	 Execution and Authentications.
	  	 	7	  
	 SECTION 2.05
	  	 Registration of Transfer and Exchange.
	  	 	7	  
	 SECTION 2.06
	  	 Temporary Securities.
	  	 	8	  
	 SECTION 2.07
	  	 Mutilated, Destroyed, Lost or Stolen Securities.
	  	 	9	  
	 SECTION 2.08
	  	 Cancellation.
	  	 	9	  
	 SECTION 2.09
	  	 Benefits of Indenture.
	  	 	9	  
	 SECTION 2.10
	  	 Authenticating Agent.
	  	 	9	  
	 SECTION 2.11
	  	 Global Securities
	  	 	10	  
		
	ARTICLE III REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS	  	 	11	  
			
	 SECTION 3.01
	  	 Redemption.
	  	 	11	  
	 SECTION 3.02
	  	 Notice of Redemption.
	  	 	11	  
	 SECTION 3.03
	  	 Payment Upon Redemption.
	  	 	12	  
	 SECTION 3.04
	  	 Sinking Fund.
	  	 	12	  
	 SECTION 3.05
	  	 Satisfaction of Sinking Fund Payments with Securities.
	  	 	12	  
	 SECTION 3.06
	  	 Redemption of Securities for Sinking Fund.
	  	 	12	  
		
	ARTICLE IV COVENANTS	  	 	13	  
			
	 SECTION 4.01
	  	 Payment of Principal, Premium and Interest.
	  	 	13	  
	 SECTION 4.02
	  	 Maintenance of Office or Agency.
	  	 	13	  
	 SECTION 4.03
	  	 Paying Agents.
	  	 	13	  
	 SECTION 4.04
	  	 Appointment to Fill Vacancy in Office of Trustee.
	  	 	14	  
	 SECTION 4.05
	  	 Compliance with Consolidation Provisions.
	  	 	14	  
		
	ARTICLE V SECURITYHOLDERS’ LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE	  	 	14	  
			
	 SECTION 5.01
	  	 Company to Furnish Trustee Names and Addresses of Securityholders.
	  	 	14	  
	 SECTION 5.02
	  	 Preservation of Information; Communications with Securityholders.
	  	 	14	  
	 SECTION 5.03
	  	 Reports by the Company.
	  	 	15	  
	 SECTION 5.04
	  	 Reports by the Trustee.
	  	 	15	  
		
	ARTICLE VI REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT	  	 	16	  
			
	 SECTION 6.01
	  	 Events of Default.
	  	 	16	  
	 SECTION 6.02
	  	 Collection of Indebtedness and Suits for Enforcement by Trustee.
	  	 	17	  
	 SECTION 6.03
	  	 Application of Moneys Collected.
	  	 	18	  

  
 ii 

							
	 SECTION 6.04
	  	 Limitation on Suits.
	  	 	18	  
	 SECTION 6.05
	  	 Rights and Remedies Cumulative; Delay or Omission Not Waiver.
	  	 	19	  
	 SECTION 6.06
	  	 Control by Securityholders.
	  	 	19	  
	 SECTION 6.07
	  	 Undertaking to Pay Costs.
	  	 	20	  
		
	ARTICLE VII CONCERNING THE TRUSTEE	  	 	20	  
			
	 SECTION 7.01
	  	 Certain Duties and Responsibilities of Trustee.
	  	 	20	  
	 SECTION 7.02
	  	 Certain Rights of Trustee.
	  	 	21	  
	 SECTION 7.03
	  	 Trustee Not Responsible for Recitals or Issuance of Securities.
	  	 	22	  
	 SECTION 7.04
	  	 May Hold Securities.
	  	 	22	  
	 SECTION 7.05
	  	 Moneys Held in Trust.
	  	 	22	  
	 SECTION 7.06
	  	 Compensation and Reimbursement.
	  	 	22	  
	 SECTION 7.07
	  	 Reliance on Officers’ Certificate.
	  	 	23	  
	 SECTION 7.08
	  	 Disqualification; Conflicting Interests.
	  	 	23	  
	 SECTION 7.09
	  	 Corporate Trustee Required; Eligibility.
	  	 	23	  
	 SECTION 7.10
	  	 Resignation and Removal; Appointment of Successor.
	  	 	23	  
	 SECTION 7.11
	  	 Acceptance of Appointment By Successor.
	  	 	24	  
	 SECTION 7.12
	  	 Merger, Conversion, Consolidation or Succession to Business.
	  	 	25	  
	 SECTION 7.13
	  	 Preferential Collection of Claims Against the Company.
	  	 	26	  
		
	 ARTICLE VIII CONCERNING THE SECURITYHOLDERS
	  	 	26	  
			
	 SECTION 8.01
	  	 Evidence of Action by Securityholders.
	  	 	26	  
	 SECTION 8.02
	  	 Proof of Execution by Securityholders.
	  	 	26	  
	 SECTION 8.03
	  	 Who May be Deemed Owners.
	  	 	27	  
	 SECTION 8.04
	  	 Certain Securities Owned by Company Disregarded.
	  	 	27	  
	 SECTION 8.05
	  	 Actions Binding on Future Securityholders.
	  	 	27	  
	 SECTION 8.06
	  	 Purposes for Which Meetings May Be Called.
	  	 	27	  
	 SECTION 8.07
	  	 Call Notice and Place of Meetings.
	  	 	27	  
	 SECTION 8.08
	  	 Persons Entitled To Vote at Meetings.
	  	 	28	  
	 SECTION 8.09
	  	 Quorum; Action.
	  	 	28	  
	 SECTION 8.10
	  	 Determination of Voting Rights; Conduct and Adjournment of Meetings.
	  	 	28	  
	 SECTION 8.11
	  	 Counting Votes and Recording Action of Meetings.
	  	 	29	  
		
	 ARTICLE IX SUPPLEMENTAL INDENTURES
	  	 	29	  
			
	 SECTION 9.01
	  	 Supplemental Indentures Without the Consent of Securityholders.
	  	 	29	  
	 SECTION 9.02
	  	 Supplemental Indentures With Consent of Securityholders.
	  	 	30	  
	 SECTION 9.03
	  	 Effect of Supplemental Indentures.
	  	 	31	  
	 SECTION 9.04
	  	 Securities Affected by Supplemental Indentures.
	  	 	31	  
	 SECTION 9.05
	  	 Execution of Supplemental Indentures.
	  	 	31	  
		
	 ARTICLE X SUCCESSOR ENTITY
	  	 	31	  
			
	 SECTION 10.01
	  	 Company May Consolidate, Etc.
	  	 	31	  
	 SECTION 10.02
	  	 Successor Entity Substituted.
	  	 	32	  
	 SECTION 10.03
	  	 Evidence of Consolidation, Etc. to Trustee.
	  	 	32	  

  
 iii 

							
		
	 ARTICLE XI SATISFACTION AND DISCHARGE
	  	 	32	  
			
	 SECTION 11.01
	  	 Satisfaction and Discharge of Indenture.
	  	 	32	  
	 SECTION 11.02
	  	 Discharge of Obligations.
	  	 	33	  
	 SECTION 11.03
	  	 Deposited Moneys to be Held in Trust.
	  	 	33	  
	 SECTION 11.04
	  	 Payment of Moneys Held by Paying Agents.
	  	 	33	  
	 SECTION 11.05
	  	 Repayment to Company.
	  	 	33	  
		
	 ARTICLE XII IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS
	  	 	34	  
			
	 SECTION 12.01
	  	 No Recourse.
	  	 	34	  
		
	 ARTICLE XIII MISCELLANEOUS PROVISIONS
	  	 	34	  
			
	 SECTION 13.01
	  	 Effect on Successors and Assigns.
	  	 	34	  
	 SECTION 13.02
	  	 Actions by Successor.
	  	 	34	  
	 SECTION 13.03
	  	 Surrender of Company Powers.
	  	 	34	  
	 SECTION 13.04
	  	 Notices.
	  	 	34	  
	 SECTION 13.05
	  	 Governing Law.
	  	 	35	  
	 SECTION 13.06
	  	 Treatment of Securities as Debt.
	  	 	35	  
	 SECTION 13.07
	  	 Compliance Certificates and Opinions.
	  	 	35	  
	 SECTION 13.08
	  	 Payments on Business Days.
	  	 	35	  
	 SECTION 13.09
	  	 Conflict with Trust Indenture Act.
	  	 	35	  
	 SECTION 13.10
	  	 Counterparts.
	  	 	36	  
	 SECTION 13.11
	  	 Separability.
	  	 	36	  
	 SECTION 13.12
	  	 Assignment.
	  	 	36	  

  

	(2)	This Table of Contents does not constitute part of the Indenture and shall not have any bearing on the interpretation of any of its terms and provisions. 

  
 iv 

 INDENTURE, dated as of
[                    ], by and between Intra-Cellular Therapies, Inc., a Delaware corporation (the “Company”), and
[                    ], as trustee (the “Trustee”): 

WHEREAS, for its lawful corporate purposes, the Company has duly authorized the execution and delivery of this Indenture to provide for the
issuance of debt securities (hereinafter referred to as the “Securities”), in an unlimited aggregate principal amount to be issued from time to time in one or more series as in this Indenture provided, as registered Securities without
coupons, to be authenticated by the certificate of the Trustee; 
 WHEREAS, to provide the terms and conditions upon which the Securities
are to be authenticated, issued and delivered, the Company has duly authorized the execution of this Indenture; and 
 WHEREAS, all things
necessary to make this Indenture a valid agreement of the Company, in accordance with its terms, have been done. 
 NOW, THEREFORE, in
consideration of the premises and the purchase of the Securities by the holders thereof, it is mutually covenanted and agreed as follows for the equal and ratable benefit of the holders of Securities: 

ARTICLE I 
 DEFINITIONS 

 

	SECTION 1.01	Definitions of Terms. 

 The terms defined in this Section (except as in this Indenture otherwise
expressly provided or unless the context otherwise requires) for all purposes of this Indenture and of any indenture supplemental hereto shall have the respective meanings specified in this Section and shall include the plural as well as the
singular. All other terms used in this Indenture that are defined in the Trust Indenture Act of 1939, as amended, or that are by reference in such Act defined in the Securities Act of 1933, as amended (except as herein otherwise expressly provided
or unless the context otherwise requires), shall have the meanings assigned to such terms in said Trust Indenture Act and in said Securities Act as in force at the date of the execution of this instrument. 

“Authenticating Agent” means an authenticating agent with respect to all or any of the series of Securities appointed with respect
to all or any series of the Securities by the Trustee pursuant to Section 2.10. 
 “Bankruptcy Law” means Title 11, U.S.
Code, or any similar federal or state law for the relief of debtors. 
 “Board of Directors” means the Board of Directors of the
Company or any duly authorized committee of such Board. 
 “Board Resolution” means a copy of a resolution certified by the
Secretary or an Assistant Secretary of the Company to have been duly adopted by the Board of Directors and to be in full force and effect on the date of such certification. 

“Business Day” means, with respect to any series of Securities, any day other than a day on which Federal or State banking
institutions in the Borough of Manhattan, the City and State of New York, are authorized or obligated by law, executive order or regulation to close. 

“Certificate” means a certificate signed by the principal executive officer, the principal financial officer or the principal
accounting officer of the Company. The Certificate need not comply with the provisions of Section 13.07. 
 “Commission”
means the Securities and Exchange Commission. 
 “Company” means the corporation named as the “Company” in the first
paragraph of this instrument until a successor corporation shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Company” shall mean such successor corporation. 

 “Corporate Trust Office” means the office of the Trustee at which, at any particular
time, its corporate trust business shall be principally administered, which office at the date hereof is located at [                    ], except
that whenever a provision herein refers to an office or agency of the Trustee in the Borough of Manhattan, the City and State of New York, such office is located, at the date hereof, at
[                    ]. 

“Custodian” means any receiver, trustee, assignee, liquidator, or similar official under any Bankruptcy Law. 

“Default” means an event which is, or after notice or lapse of time, or both, would constitute an Event of Default. 

“Depositary” means, with respect to Securities of any series, for which the Company shall determine that such Securities will be
issued as a Global Security, The Depository Trust Company, New York, New York, another clearing agency, or any successor registered as a clearing agency under the Exchange Act, or other applicable statute or regulation, which, in each case, shall be
designated by the Company pursuant to either Section 2.01 or Section 2.11. 
 “Event of Default” means, with respect to
Securities of a particular series, any event specified in Section 6.01, continued for the period of time, if any, therein designated. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Global Security” means, with respect to any series of Securities, a Security executed by the Company and delivered by the Trustee
to the Depositary or pursuant to the Depositary’s instruction, all in accordance with this Indenture, which shall be registered in the name of the Depositary or its nominee. 

“Governmental Obligations” means securities that are (i) direct obligations of the United States of America for the payment of
which its full faith and credit is pledged or (ii) obligations of a Person controlled or supervised by and acting as an agency or instrumentality of the United States of America, the payment of which is unconditionally guaranteed as a full
faith and credit obligation by the United States of America that, in either case, are non-callable at the option of the issuer thereof, and shall also include a depositary receipt issued by a bank (as defined in Section 3(a)(2) of the
Securities Act of 1933, as amended) as custodian with respect to any such Governmental Obligation or a specific payment of principal of or interest on any such Governmental Obligation held by such custodian for the account of the holder of such
depositary receipt; provided, however, that (except as required by law) such custodian is not authorized to make any deduction from the amount payable to the holder of such depositary receipt from any amount received by the custodian in respect of
the Governmental Obligation or the specific payment of principal of or interest on the Governmental Obligation evidenced by such depositary receipt. 

“herein,” “hereof” and “hereunder,” and other words of similar import, refer to this Indenture as a whole and
not to any particular Article, Section or other subdivision. 
 “Indenture” means this instrument as originally executed or as it
may from time to time be supplemented or amended by one or more indentures supplemental hereto entered into in accordance with the terms hereof. 

“Interest Payment Date,” when used with respect to any installment of interest on a Security of a particular series, means the date
specified in such Security or in a Board Resolution or in an indenture supplemental hereto with respect to such series as the fixed date on which an installment of interest with respect to Securities of that series is due and payable. 

“Officers’ Certificate” means a certificate signed by the President or a Vice President and by the Chief Financial Officer,
Vice President of Finance, the Treasurer or an Assistant Treasurer or the Controller or an Assistant Controller or the Secretary or an Assistant Secretary of the Company that is delivered to the Trustee in accordance with the terms hereof.
Certificate shall include the statements provided for in Section 13.07, if and to the extent required by the provisions thereof. 

  
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 “Opinion of Counsel” means a written opinion of counsel, who may be counsel to the
Company (and may include directors or employees of the Company) and which opinion is acceptable to the Trustee which acceptance shall not be unreasonably withheld. 

“Outstanding”, when used with reference to Securities of any series, means, subject to the provisions of Section 8.04, as of
any particular time, all Securities of that series theretofore authenticated and delivered by the Trustee under this Indenture, except (a) Securities theretofore canceled by the Trustee or any paying agent, or delivered to the Trustee or any
paying agent for cancellation or that have previously been canceled; (b) Securities or portions thereof for the payment or redemption of which moneys or Governmental Obligations in the necessary amount shall have been deposited in trust with
the Trustee or with any paying agent (other than the Company) or shall have been set aside and segregated in trust by the Company (if the Company shall act as its own paying agent); provided, however, that if such Securities or portions of such
Securities are to be redeemed prior to the maturity thereof, notice of such redemption shall have been given as in Article III provided, or provision satisfactory to the Trustee shall have been made for giving such notice; and (c) Securities in
lieu of or in substitution for which other Securities shall have been authenticated and delivered pursuant to the terms of Section 2.07. 

“Person” means any individual, corporation, limited liability company, partnership, joint-venture, association, joint-stock company,
trust, estate, unincorporated organization or government or any agency or political subdivision thereof. 
 “Predecessor Security”
of any particular Security means every previous Security evidencing all or a portion of the same debt as that evidenced by such particular Security; and, for the purposes of this definition, any Security authenticated and delivered under
Section 2.07 in lieu of a mutilated, destroyed, lost or stolen Security shall be deemed to evidence the same debt as the mutilated, destroyed, lost or stolen Security. 

“Responsible Officer,” when used with respect to the Trustee, means any officer of the Trustee, including any vice president,
assistant vice president, secretary, assistant secretary, the treasurer, any assistant treasurer, the managing director or any other officer of the Trustee customarily performing functions similar to those performed by any of the above designated
officers and also means, with respect to a particular corporate trust matter, any other officer to whom such matter is referred because of such officer’s knowledge of and familiarity with the particular subject. 

“Securities” means the debt Securities authenticated and delivered under this Indenture. 

“Security Register” has the meaning specified in Section 2.05. 

“Security Registrar” has the meaning specified in Section 2.05. 

“Securityholder,” “holder of Securities,” “registered holder,” or other similar term, means the Person or
Persons in whose name or names a particular Security shall be registered in the Security Register. 
 “Subsidiary” means, with
respect to any Person, (i) any corporation at least a majority of whose outstanding Voting Stock shall at the time be owned, directly or indirectly, by such Person or by one or more of its Subsidiaries or by such Person and one or more of its
Subsidiaries, (ii) any general partnership, joint venture or similar entity, at least a majority of whose outstanding partnership or similar interests shall at the time be owned by such Person, or by one or more of its Subsidiaries, or by such
Person and one or more of its Subsidiaries and (iii) any limited partnership of which such Person or any of its Subsidiaries is a general partner. 

“Trustee” means the Person named as the “Trustee” in the first paragraph of this instrument until a successor Trustee
shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Trustee” shall mean such successor Trustee. The term “Trustee” as used with respect to a particular series of the Securities shall
mean the trustee with respect to that series. 
 “Trust Indenture Act” means the Trust Indenture Act of 1939, as amended, subject
to the provisions of Sections 9.01, 9.02, and 10.01, as in effect at the date of execution of this instrument; provided, however, that in the event the Trust Indenture Act is amended after such date, Trust Indenture Act means, to the extent required
by such amendment, the Trust Indenture Act of 1939, as so amended, or any successor statute. 

  
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 “Voting Stock,” as applied to any Person, means shares, interests, participations or
other equivalents in the equity interest (however designated) in such Person having ordinary voting power for the election of a majority of the directors (or the equivalent) of such Person, other than shares, interests, participations or other
equivalents having such power only by reason of the occurrence of a contingency. 
 ARTICLE II 

ISSUE, DESCRIPTION, TERMS, EXECUTION, 

REGISTRATION AND EXCHANGE OF SECURITIES 
  

	SECTION 2.01	Designation and Terms of Securities. 

  

	 	(a)	The aggregate principal amount of Securities that may be authenticated and delivered under this Indenture is unlimited. The Securities may be issued in one or more series up to the aggregate principal amount of
Securities of that series from time to time authorized by or pursuant to a Board Resolution of the Company or pursuant to one or more indentures supplemental hereto. Prior to the initial issuance of Securities of a given series, there shall be
established in or pursuant to a Board Resolution of the Company, and set forth in an Officers’ Certificate of the Company, or established in one or more indentures supplemental hereto: 

 

	 	(1)	the title of the Security of the series (which shall distinguish the Securities of the series from all other Securities); 

  

	 	(2)	the aggregate principal amount of the Securities of such series initially to be issued and any limit upon the aggregate principal amount of the Securities of that series that may be authenticated and delivered under
this Indenture (except for Securities authenticated and delivered upon registration of transfer of, or in exchange for, or in lieu of, other Securities of that series); 

 

	 	(3)	the currency or units based on or relating to currencies in which debt securities of such series are denominated and the currency or units in which principal or interest or both will or may be payable;

  

	 	(4)	the date or dates on which the principal of the Securities of the series is payable and the place(s) of payment; 

  

	 	(5)	the rate or rates at which the Securities of the series shall bear interest or the manner of calculation of such rate or rates, if any; 

 

	 	(6)	the date or dates from which such interest shall accrue, the Interest Payment Dates on which such interest will be payable or the manner of determination of such Interest Payment Dates, the place(s) of payment, and the
record date for the determination of holders to whom interest is payable on any such Interest Payment Dates or the method for determining such dates; 

  

	 	(7)	the right, if any, to extend the interest payment periods or to defer the payment of interest and the duration of such extension; 

  

	 	(8)	the period or periods within which, the price or prices at which and the terms and conditions upon which, Securities of the series may be redeemed, in whole or in part, at the option of the Company; 

  
 4 

	 	(9)	the obligation, if any, of the Company to redeem or purchase Securities of the series pursuant to any sinking fund or analogous provisions (including payments made in cash in satisfaction of future sinking fund
obligations) or at the option of a holder thereof and the period or periods within which, the price or prices at which, and the terms and conditions upon which, Securities of the series shall be redeemed or purchased, in whole or in part, pursuant
to such obligation; 

  

	 	(10)	whether or not the debt securities will be secured or unsecured, and the terms of any secured debt; 

  

	 	(11)	the form of the Securities of the series including the form of the Certificate of Authentication for such series; 

  

	 	(12)	if other than denominations of one thousand U.S. dollars ($1,000) or any integral multiple thereof, the denominations in which the Securities of the series shall be issuable; 

 

	 	(13)	any and all other terms with respect to such series (which terms shall not be inconsistent with the terms of this Indenture, as amended by any supplemental indenture) including any terms which may be required by or
advisable under United States laws or regulations or advisable in connection with the marketing of Securities of that series; 

  

	 	(14)	whether the Securities are issuable as a Global Security and, in such case, the identity of the Depositary for such series; 

  

	 	(15)	whether the Securities will be convertible into shares of common stock or other securities of the Company and, if so, the terms and conditions upon which such Securities will be so convertible, including the conversion
price and the conversion period; 

  

	 	(16)	if other than the principal amount thereof, the portion of the principal amount of Securities of the series which shall be payable upon declaration of acceleration of the maturity thereof pursuant to Section 6.01;
and 

  

	 	(17)	any additional or different Events of Default or restrictive covenants provided for with respect to the Securities of the series. 

All Securities of any one series shall be substantially identical except as to denomination and except as may otherwise be provided in or
pursuant to any such Board Resolution or in any indentures supplemental hereto. 
 If any of the terms of the series are established by
action taken pursuant to a Board Resolution of the Company, a copy of an appropriate record of such action shall be certified by the Secretary or an Assistant Secretary of the Company and delivered to the Trustee at or prior to the delivery of the
Officers’ Certificate of the Company setting forth the terms of the series. 
 Securities of any particular series may be issued at
various times, with different dates on which the principal or any installment of principal is payable, with different rates of interest, if any, or different methods by which rates of interest may be determined, with different dates on which such
interest may be payable and with different redemption dates. 
  

	SECTION 2.02	Form of Securities and Trustee’s Certificate. 

 The Securities of any series and the
Trustee’s certificate of authentication to be borne by such Securities shall be substantially of the tenor and purport as set forth in one or more indentures supplemental hereto or as provided in a Board Resolution of the Company and as set
forth in an Officers’ Certificate of the Company and may have such letters, numbers or other marks of identification or designation and such legends or endorsements printed, lithographed or engraved thereon as the Company may deem appropriate
and as are not inconsistent with the provisions of this Indenture, or as may be required to comply with any law or with any rule or regulation made pursuant thereto or with any rule or regulation of any stock exchange on which Securities of that
series may be listed, or to conform to usage. 

  
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	SECTION 2.03	Denominations: Provisions for Payment. 

 The Securities shall be issuable as registered
Securities and in the denominations of one thousand U.S. dollars ($1,000) or any integral multiple thereof, subject to Section 2.01(a)(12). The Securities of a particular series shall bear interest payable on the dates and at the rate specified
with respect to that series. The principal of and the interest on the Securities of any series, as well as any premium thereon in case of redemption thereof prior to maturity, shall be payable in the coin or currency of the United States of America
that at the time is legal tender for public and private debt, at the office or agency of the Company maintained for that purpose in the Borough of Manhattan, the City and State of New York. Each Security shall be dated the date of its
authentication. Interest on the Securities shall be computed on the basis of a 360-day year composed of twelve 30-day months. 
 The
interest installment on any Security that is payable, and is punctually paid or duly provided for, on any Interest Payment Date for Securities of that series shall be paid to the Person in whose name said Security (or one or more Predecessor
Securities) is registered at the close of business on the regular record date for such interest installment. In the event that any Security of a particular series or portion thereof is called for redemption and the redemption date is subsequent to a
regular record date with respect to any Interest Payment Date and prior to such Interest Payment Date, interest on such Security will be paid upon presentation and surrender of such Security as provided in Section 3.03. 

Any interest on any Security that is payable, but is not punctually paid or duly provided for, on any Interest Payment Date for Securities of
the same series (herein called “Defaulted Interest”) shall forthwith cease to be payable to the registered holder on the relevant regular record date by virtue of having been such holder; and such Defaulted Interest shall be paid by the
Company, at its election, as provided in clause (1) or clause (2) below: 
  

	 	(1)	The Company may make payment of any Defaulted Interest on Securities to the Persons in whose names such Securities (or their respective Predecessor Securities) are registered at the close of business on a special record
date for the payment of such Defaulted Interest, which shall be fixed in the following manner: the Company shall notify the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each such Security and the date of the proposed
payment, and at the same time the Company shall deposit with the Trustee an amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for such
deposit prior to the date of the proposed payment, such money when deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a special record date for
the payment of such Defaulted Interest which shall not be more than 15 nor less than 10 days prior to the date of the proposed payment and not less than 10 days after the receipt by the Trustee of the notice of the proposed payment. The Trustee
shall promptly notify the Company of such special record date and, in the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the special record date therefor to be mailed, first class
postage prepaid, to each Securityholder at his or her address as it appears in the Security Register, not less than 10 days prior to such special record date. Notice of the proposed payment of such Defaulted Interest and the special record date
therefor having been mailed as aforesaid, such Defaulted Interest shall be paid to the Persons in whose names such Securities (or their respective Predecessor Securities) are registered on such special record date. 

 

	 	(2)	The Company may make payment of any Defaulted Interest on any Securities in any other lawful manner not inconsistent with the requirements of any securities exchange on which such Securities may be listed, and upon such
notice as may be required by such exchange, if, after notice given by the Company to the Trustee of the proposed payment pursuant to this clause, such manner of payment shall be deemed practicable by the Trustee. 

  
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 Unless otherwise set forth in a Board Resolution of the Company or one or more indentures
supplemental hereto establishing the terms of any series of Securities pursuant to Section 2.01 hereof, the term “regular record date” as used in this Section with respect to a series of Securities with respect to any Interest Payment
Date for such series shall mean either the fifteenth day of the month immediately preceding the month in which an Interest Payment Date established for such series pursuant to Section 2.01 hereof shall occur, if such Interest Payment Date is
the first day of a month, or the last day of the month immediately preceding the month in which an Interest Payment Date established for such series pursuant to Section 2.01 hereof shall occur, if such Interest Payment Date is the fifteenth day
of a month, whether or not such date is a Business Day. 
 Subject to the foregoing provisions of this Section, each Security of a series
delivered under this Indenture upon transfer of or in exchange for or in lieu of any other Security of such series shall carry the rights to interest accrued and unpaid, and to accrue, that were carried by such other Security. 

 

	SECTION 2.04	Execution and Authentications. 

 The Securities shall be signed on behalf of the Company by its
President, or one of its Vice Presidents, or its Treasurer, or one of its Assistant Treasurers, or its Secretary, or one of its Assistant Secretaries, under its corporate seal attested by its Secretary or one of its Assistant Secretaries. Signatures
may be in the form of a manual or facsimile signature. The Company may use the facsimile signature of any Person who shall have been a President or Vice President thereof, or of any Person who shall have been a Treasurer or Assistant Treasurer
thereof, or of any Person who shall have been a Secretary or Assistant Secretary thereof, notwithstanding the fact that at the time the Securities shall be authenticated and delivered or disposed of such Person shall have ceased to be the President
or a Vice President, the Treasurer or an Assistant Treasurer or the Secretary or an Assistant Secretary, of the Company. The seal of the Company may be in the form of a facsimile of such seal and may be impressed, affixed, imprinted or otherwise
reproduced on the Securities. The Securities may contain such notations, legends or endorsements required by law, stock exchange rule or usage. Each Security shall be dated the date of its authentication. 

A Security shall not be valid or obligatory for any purpose and shall not be entitled to any benefit under this Indenture, in each case, until
authenticated with a certificate of authentication manually signed by an authorized signatory of the Trustee, or by an Authenticating Agent. Such certificate shall be conclusive evidence, and the only evidence, that the Security so authenticated has
been duly authenticated and delivered hereunder and that the Security is entitled to the benefits of this Indenture. At any time and from time to time after the execution and delivery of this Indenture, the Company may deliver Securities of any
series executed by the Company to the Trustee for authentication, together with a written order of the Company for the authentication and delivery of such Securities, signed by its President or any Vice President and its Secretary or any Assistant
Secretary, and the Trustee in accordance with such written order shall authenticate and deliver such Securities. 
 In authenticating such
Securities and accepting the additional responsibilities under this Indenture in relation to such Securities, the Trustee shall be entitled to receive, and (subject to Section 7.01) shall be fully protected in relying upon, an Opinion of
Counsel stating that the form and terms thereof have been established in conformity with the provisions of this Indenture. 
 The Trustee
shall not be required to authenticate such Securities if the issue of such Securities pursuant to this Indenture will affect the Trustee’s own rights, duties or immunities under the Securities and this Indenture or otherwise in a manner that is
not reasonably acceptable to the Trustee. 
  

	SECTION 2.05	Registration of Transfer and Exchange. 

  

	 	(a)	 Securities of any series may be exchanged upon presentation thereof at the office or agency of the Company
designated for such purpose in the Borough of Manhattan, the City and State of New York, for other Securities of such series of authorized denominations, and for a like aggregate principal amount, upon payment of a sum sufficient to cover any tax or
other governmental charge 

  
 7 

	 	
in relation thereto, all as provided in this Section. In respect of any Securities so surrendered for exchange, the Company shall execute, the Trustee shall authenticate and such office or agency
shall deliver in exchange therefor the Security or Securities of the same series that the Securityholder making the exchange shall be entitled to receive, bearing numbers not contemporaneously outstanding. 

 

	 	(b)	The Company shall keep, or cause to be kept, at its office or agency designated for such purpose in the Borough of Manhattan, the City and State of New York, or such other location designated by the Company a register
or registers (herein referred to as the “Security Register”) in which, subject to such reasonable regulations as it may prescribe, the Company shall register the Securities and the transfers of Securities as in this Article provided and
which at all reasonable times shall be open for inspection by the Trustee. The registrar for the purpose of registering Securities and transfer of Securities as herein provided shall be appointed as authorized by Board Resolution (the “Security
Registrar”). 

 Upon surrender for transfer of any Security at the office or agency of the Company designated for such
purpose, the Company shall execute, the Trustee shall authenticate and such office or agency shall deliver in the name of the transferee or transferees a new Security or Securities of the same series as the Security presented for a like aggregate
principal amount. 
 All Securities presented or surrendered for exchange or registration of transfer, as provided in this Section, shall be
accompanied (if so required by the Company or the Security Registrar) by a written instrument or instruments of transfer, in form satisfactory to the Company or the Security Registrar, duly executed by the registered holder or by such holder’s
duly authorized attorney in writing. 
  

	 	(c)	No service charge shall be made for any exchange or registration of transfer of Securities, or issue of new Securities in case of partial redemption of any series, but the Company may require payment of a sum sufficient
to cover any tax or other governmental charge in relation thereto, other than exchanges pursuant to Section 2.06, Section 3.03(b) and Section 9.04 not involving any transfer. 

 

	 	(d)	The Company shall not be required (i) to issue, exchange or register the transfer of any Securities during a period beginning at the opening of business 15 days before the day of the mailing of a notice of
redemption of less than all the Outstanding Securities of the same series and ending at the close of business on the day of such mailing, nor (ii) to register the transfer of or exchange any Securities of any series or portions thereof called
for redemption. The provisions of this Section 2.05 are, with respect to any Global Security, subject to Section 2.11 hereof. 

  

	SECTION 2.06	Temporary Securities. 

 Pending the preparation of definitive Securities of any series, the
Company may execute, and the Trustee shall authenticate and deliver, temporary Securities (printed, lithographed or typewritten) of any authorized denomination. Such temporary Securities shall be substantially in the form of the definitive
Securities in lieu of which they are issued, but with such omissions, insertions and variations as may be appropriate for temporary Securities, all as may be determined by the Company. Every temporary Security of any series shall be executed by the
Company and be authenticated by the Trustee upon the same conditions and in substantially the same manner, and with like effect, as the definitive Securities of such series. Without unnecessary delay the Company will execute and will furnish
definitive Securities of such series and thereupon any or all temporary Securities of such series may be surrendered in exchange therefor (without charge to the holders), at the office or agency of the Company designated for the purpose in the
Borough of Manhattan, the City and State of New York, and the Trustee shall authenticate and such office or agency shall deliver in exchange for such temporary Securities an equal aggregate principal amount of definitive Securities of such series,
unless the Company advises the Trustee to the effect that definitive Securities need not be executed and furnished until further notice from the Company. Until so exchanged, the temporary Securities of such series shall be entitled to the same
benefits under this Indenture as definitive Securities of such series authenticated and delivered hereunder. 

  
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	SECTION 2.07	Mutilated, Destroyed, Lost or Stolen Securities. 

 In case any temporary or definitive Security
shall become mutilated or be destroyed, lost or stolen, the Company (subject to the next succeeding sentence) shall execute, and upon the Company’s request the Trustee (subject as aforesaid) shall authenticate and deliver, a new Security of the
same series, bearing a number not contemporaneously outstanding, in exchange and substitution for the mutilated Security, or in lieu of and in substitution for the Security so destroyed, lost or stolen. In every case the applicant for a substituted
Security shall furnish to the Company and the Trustee such security or indemnity as may be required by them to save each of them harmless, and, in every case of destruction, loss or theft, the applicant shall also furnish to the Company and the
Trustee evidence to their satisfaction of the destruction, loss or theft of the applicant’s Security and of the ownership thereof. The Trustee may authenticate any such substituted Security and deliver the same upon the written request or
authorization of any officer of the Company. Upon the issuance of any substituted Security, the Company may require the payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other
expenses (including the fees and expenses of the Trustee) connected therewith. In case any Security that has matured or is about to mature shall become mutilated or be destroyed, lost or stolen, the Company may, instead of issuing a substitute
Security, pay or authorize the payment of the same (without surrender thereof except in the case of a mutilated Security) if the applicant for such payment shall furnish to the Company and the Trustee such security or indemnity as they may require
to save them harmless, and, in case of destruction, loss or theft, evidence to the satisfaction of the Company and the Trustee of the destruction, loss or theft of such Security and of the ownership thereof. 

Every replacement Security issued pursuant to the provisions of this Section shall constitute an additional contractual obligation of the
Company whether or not the mutilated, destroyed, lost or stolen Security shall be found at any time, or be enforceable by anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately with any and all other
Securities of the same series duly issued hereunder. All Securities shall be held and owned upon the express condition that the foregoing provisions are exclusive with respect to the replacement or payment of mutilated, destroyed, lost or stolen
Securities, and shall preclude (to the extent lawful) any and all other rights or remedies, notwithstanding any law or statute existing or hereafter enacted to the contrary with respect to the replacement or payment of negotiable instruments or
other securities without their surrender. 
  

	SECTION 2.08	Cancellation. 

 All Securities surrendered for the purpose of payment, redemption, exchange or
registration of transfer shall, if surrendered to the Company or any paying agent, be delivered to the Trustee for cancellation, or, if surrendered to the Trustee, shall be cancelled by it, and no Securities shall be issued in lieu thereof except as
expressly required or permitted by any of the provisions of this Indenture. On request of the Company at the time of such surrender, the Trustee shall deliver to the Company canceled Securities held by the Trustee. In the absence of such request the
Trustee may dispose of canceled Securities in accordance with its standard procedures and deliver a certificate of disposition to the Company. If the Company shall otherwise acquire any of the Securities, however, such acquisition shall not operate
as a redemption or satisfaction of the indebtedness represented by such Securities unless and until the same are delivered to the Trustee for cancellation. 
  

	SECTION 2.09	Benefits of Indenture. 

 Nothing in this Indenture or in the Securities, express or implied,
shall give or be construed to give to any Person, other than the parties hereto and the holders of the Securities any legal or equitable right, remedy or claim under or in respect of this Indenture, or under any covenant, condition or provision
herein contained; all such covenants, conditions and provisions being for the sole benefit of the parties hereto and of the holders of the Securities. 
  

	SECTION 2.10	Authenticating Agent. 

 So long as any of the Securities of any series remain Outstanding there
may be an Authenticating Agent for any or all such series of Securities which the Trustee shall have the right to appoint. Said Authenticating Agent shall be authorized to act on behalf of the Trustee to authenticate Securities of such series issued
upon exchange, transfer or partial redemption thereof, and Securities so authenticated shall be entitled to the benefits of this Indenture and shall be valid and obligatory for all purposes as if authenticated by the Trustee hereunder. All
references in this Indenture 

  
 9 

 
to the authentication of Securities by the Trustee shall be deemed to include authentication by an Authenticating Agent for such series. Each Authenticating Agent shall be acceptable to the
Company and shall be a corporation that has a combined capital and surplus, as most recently reported or determined by it, sufficient under the laws of any jurisdiction under which it is organized or in which it is doing business to conduct a trust
business, and that is otherwise authorized under such laws to conduct such business and is subject to supervision or examination by Federal or State authorities. If at any time any Authenticating Agent shall cease to be eligible in accordance with
these provisions, it shall resign immediately. 
 Any Authenticating Agent may at any time resign by giving written notice of resignation to
the Trustee and to the Company. The Trustee may at any time (and upon request by the Company shall) terminate the agency of any Authenticating Agent by giving written notice of termination to such Authenticating Agent and to the Company. Upon
resignation, termination or cessation of eligibility of any Authenticating Agent, the Trustee may appoint an eligible successor Authenticating Agent acceptable to the Company. Any successor Authenticating Agent, upon acceptance of its appointment
hereunder, shall become vested with all the rights, powers and duties of its predecessor hereunder as if originally named as an Authenticating Agent pursuant hereto. 
  

	SECTION 2.11	Global Securities 

  

	 	(a)	If the Company shall establish pursuant to Section 2.01 that some or all of the Securities of a particular series are to be issued as a Global Security, then the Company shall execute and the Trustee shall, in
accordance with Section 2.04, authenticate and deliver, a Global Security that (i) shall represent, and shall be denominated in an amount equal to the aggregate principal amount of, the Outstanding Securities of such series which are to be
issued as a Global Security, (ii) shall be registered in the name of the Depositary or its nominee, (iii) shall be delivered by the Trustee to the Depositary or pursuant to the Depositary’s instruction and (iv) shall bear a
legend substantially to the following effect: “Except as otherwise provided in Section 2.11 of the Indenture, this Security may be transferred, in whole but not in part, only to another nominee of the Depositary or to a successor
Depositary or to a nominee of such successor Depositary.” 

  

	 	(b)	Notwithstanding the provisions of Section 2.05, the Global Security of a series may be transferred, in whole but not in part and in the manner provided in Section 2.05, only to another nominee of the
Depositary for such series, or to a successor Depositary for such series selected or approved by the Company or to a nominee of such successor Depositary. 

  

	 	(c)	If at any time the Depositary for a series of the Securities notifies the Company that it is unwilling or unable to continue as Depositary for such series or if at any time the Depositary for such series shall no longer
be registered or in good standing under the Exchange Act, or other applicable statute or regulation, and a successor Depositary for such series is not appointed by the Company within 90 days after the Company receives such notice or becomes aware of
such condition, as the case may be, this Section 2.11 shall no longer be applicable to the Securities of such series and the Company will execute, and subject to Section 2.05, the Trustee will authenticate and deliver the Securities of
such series in definitive registered form without coupons, in authorized denominations, and in an aggregate principal amount equal to the principal amount of the Global Security of such series in exchange for such Global Security. In addition, the
Company may at any time determine that the Securities of any series shall no longer be represented by a Global Security and that the provisions of this Section 2.11 shall no longer apply to the Securities of such series. In such event the
Company will execute and subject to Section 2.05, the Trustee, upon receipt of an Officers’ Certificate evidencing such determination by the Company, will authenticate and deliver the Securities of such series in definitive registered form
without coupons, in authorized denominations, and in an aggregate principal amount equal to the principal amount of the Global Security of such series in exchange for such Global Security. Upon the exchange of the Global Security for such Securities
in definitive registered form without coupons, in authorized denominations, the Global Security shall be canceled by the Trustee. Such Securities in definitive registered form issued in exchange for the Global Security pursuant to this
Section 2.11(c) shall be registered in such names and in such authorized denominations as the Depositary, pursuant to instructions from its direct or indirect participants or otherwise, shall instruct the Trustee. The Trustee shall deliver such
Securities to the Depositary for delivery to the Persons in whose names such Securities are so registered. 

  
 10 

 ARTICLE III 

REDEMPTION OF SECURITIES AND 

SINKING FUND PROVISIONS 
  

	SECTION 3.01	Redemption. 

 The Company may redeem the Securities of any series issued hereunder on and after
the dates and in accordance with the terms established for such series pursuant to Section 2.01 hereof. 
  

	SECTION 3.02	Notice of Redemption. 

  

	 	(a)	In case the Company shall desire to exercise such right to redeem all or, as the case may be, a portion of the Securities of any series in accordance with the right reserved so to do, the Company shall, or shall cause
the Trustee to, give notice of such redemption to holders of the Securities of such series to be redeemed by mailing, first class postage prepaid, a notice of such redemption not less than 30 days and not more than 90 days before the date fixed for
redemption of that series to such holders at their last addresses as they shall appear upon the Security Register unless a shorter period is specified in the Securities to be redeemed. Any notice that is mailed in the manner herein provided shall be
conclusively presumed to have been duly given, whether or not the registered holder receives the notice. In any case, failure duly to give such notice to the holder of any Security of any series designated for redemption in whole or in part, or any
defect in the notice, shall not affect the validity of the proceedings for the redemption of any other Securities of such series or any other series. In the case of any redemption of Securities prior to the expiration of any restriction on such
redemption provided in the terms of such Securities or elsewhere in this Indenture, the Company shall furnish the Trustee with an Officers’ Certificate evidencing compliance with any such restriction. 

Each such notice of redemption shall specify the date fixed for redemption and the redemption price at which Securities of that series are to
be redeemed, and shall state that payment of the redemption price of such Securities to be redeemed will be made at the office or agency of the Company in the Borough of Manhattan, the City and State of New York, upon presentation and surrender of
such Securities, that interest accrued to the date fixed for redemption will be paid as specified in said notice, that from and after said date interest will cease to accrue and that the redemption is for a sinking fund, if such is the case. If less
than all the Securities of a series are to be redeemed, the notice to the holders of Securities of that series to be redeemed in whole or in part shall specify the particular Securities to be so redeemed. In case any Security is to be redeemed in
part only, the notice that relates to such Security shall state the portion of the principal amount thereof to be redeemed, and shall state that on and after the redemption date, upon surrender of such Security, a new Security or Securities of such
series in principal amount equal to the unredeemed portion thereof will be issued. 
  

	 	(b)	 If less than all the Securities of a series are to be redeemed, the Company shall give the Trustee at least 30
days’ notice in advance of the date fixed for redemption as to the aggregate principal amount of Securities of the series to be redeemed, and thereupon the Trustee shall select, by lot or in such other manner as it shall deem appropriate and
fair in its discretion and that may provide for the selection of a portion or portions (equal to one thousand U.S. dollars ($1,000) or any integral multiple thereof) of the principal amount of such Securities of a denomination larger than $1,000,
the Securities to be redeemed and shall thereafter promptly notify the Company in writing of the numbers of the Securities to be redeemed, in whole or in part. The Company may, if and whenever it shall so elect, by delivery of instructions signed on
its behalf by its President or any Vice President, instruct the Trustee or any paying agent to call all or any part of the Securities of a particular series for redemption and to give notice of redemption in the manner set forth in this Section,
such notice to be in the name of the Company or its own name as the Trustee or such paying agent may deem advisable. In any case in which notice of redemption is to be given by the 

  
 11 

	 	
Trustee or any such paying agent, the Company shall deliver or cause to be delivered to, or permit to remain with, the Trustee or such paying agent, as the case may be, such Security Register,
transfer books or other records, or suitable copies or extracts therefrom, sufficient to enable the Trustee or such paying agent to give any notice by mail that may be required under the provisions of this Section. 

 

	SECTION 3.03	Payment Upon Redemption. 

  

	 	(a)	If the giving of notice of redemption shall have been completed as above provided, the Securities or portions of Securities of the series to be redeemed specified in such notice shall become due and payable on the date
and at the place stated in such notice at the applicable redemption price, together with interest accrued to the date fixed for redemption and interest on such Securities or portions of Securities shall cease to accrue on and after the date fixed
for redemption, unless the Company shall default in the payment of such redemption price and accrued interest with respect to any such Security or portion thereof. On presentation and surrender of such Securities on or after the date fixed for
redemption at the place of payment specified in the notice, said Securities shall be paid and redeemed at the applicable redemption price for such series, together with interest accrued thereon to the date fixed for redemption (but if the date fixed
for redemption is an interest payment date, the interest installment payable on such date shall be payable to the registered holder at the close of business on the applicable record date pursuant to Section 2.03). 

 

	 	(b)	Upon presentation of any Security of such series that is to be redeemed in part only, the Company shall execute and the Trustee shall authenticate and the office or agency where the Security is presented shall deliver
to the holder thereof, at the expense of the Company, a new Security of the same series of authorized denominations in principal amount equal to the unredeemed portion of the Security so presented. 

 

	SECTION 3.04	Sinking Fund. 

 The provisions of Sections 3.04, 3.05 and 3.06 shall be applicable to any
sinking fund for the retirement of Securities of a series, except as otherwise specified as contemplated by Section 2.01 for Securities of such series. 

The minimum amount of any sinking fund payment provided for by the terms of Securities of any series is herein referred to as a
“mandatory sinking fund payment,” and any payment in excess of such minimum amount provided for by the terms of Securities of any series is herein referred to as an “optional sinking fund payment.” If provided for by the terms of
Securities of any series, the cash amount of any sinking fund payment may be subject to reduction as provided in Section 3.05. Each sinking fund payment shall be applied to the redemption of Securities of any series as provided for by the terms
of Securities of such series. 
  

	SECTION 3.05	Satisfaction of Sinking Fund Payments with Securities. 

 The Company (i) may deliver
Outstanding Securities of a series (other than any Securities previously called for redemption) and (ii) may apply as a credit Securities of a series that have been redeemed either at the election of the Company pursuant to the terms of such
Securities or through the application of permitted optional sinking fund payments pursuant to the terms of such Securities, in each case in satisfaction of all or any part of any sinking fund payment with respect to the Securities of such series
required to be made pursuant to the terms of such Securities as provided for by the terms of such series, provided that such Securities have not been previously so credited. Such Securities shall be received and credited for such purpose by the
Trustee at the redemption price specified in such Securities for redemption through operation of the sinking fund and the amount of such sinking fund payment shall be reduced accordingly. 

 

	SECTION 3.06	Redemption of Securities for Sinking Fund. 

 Not less than 45 days prior to each sinking fund
payment date for any series of Securities, the Company will deliver to the Trustee an Officers’ Certificate specifying the amount of the next ensuing sinking fund payment for that series 

  
 12 

 
pursuant to the terms of the series, the portion thereof, if any, that is to be satisfied by delivering and crediting Securities of that series pursuant to Section 3.05 and the basis for
such credit and will, together with such Officers’ Certificate, deliver to the Trustee any Securities to be so delivered. Not less than 30 days before each such sinking fund payment date the Trustee shall select the Securities to be redeemed
upon such sinking fund payment date in the manner specified in Section 3.02 and cause notice of the redemption thereof to be given in the name of and at the expense of the Company in the manner provided in Section 3.02. Such notice having
been duly given, the redemption of such Securities shall be made upon the terms and in the manner stated in Section 3.03. 
 ARTICLE IV

 COVENANTS 
  

	SECTION 4.01	Payment of Principal, Premium and Interest. 

 The Company will duly and punctually pay or cause
to be paid the principal of (and premium, if any) and interest on the Securities of that series at the time and place and in the manner provided herein and established with respect to such Securities. 

 

	SECTION 4.02	Maintenance of Office or Agency. 

 So long as any series of the Securities remain Outstanding,
the Company agrees to maintain an office or agency in the Borough of Manhattan, the City and State of New York, with respect to each such series and at such other location or locations as may be designated as provided in this Section 4.02,
where (i) Securities of that series may be presented or surrendered for payment, (ii) Securities of that series may be presented as herein above authorized for registration of transfer and exchange, and (iii) notices and demands to or
upon the Company in respect of the Securities of that series and this Indenture may be given or served, such designation to continue with respect to such office or agency until the Company shall, by written notice signed by its President or a Vice
President and delivered to the trustee, designate some other office or agency for such purposes or any of them. If at any time the Company shall fail to maintain any such required office or agency or shall fail to furnish the Trustee with the
address thereof, such presentations, notices and demands may be made or served at the Corporate Trust Office of the Trustee, and the Company hereby appoints the Trustee as its agent to receive all such presentations, notices and demands. 

 

	SECTION 4.03	Paying Agents. 

  

	 	(a)	If the Company shall appoint one or more paying agents for all or any series of the Securities, other than the Trustee, the Company will cause each such paying agent to execute and deliver to the Trustee an instrument
in which such agent shall agree with the Trustee, subject to the provisions of this Section: 

  

	 	(1)	that it will hold all sums held by it as such agent for the payment of the principal of (and premium, if any) or interest on the Securities of that series (whether such sums have been paid to it by the Company or by any
other obligor of such Securities) in trust for the benefit of the Persons entitled thereto; 

  

	 	(2)	that it will give the Trustee notice of any failure by the Company (or by any other obligor of such Securities) to make any payment of the principal of (and premium, if any) or interest on the Securities of that series
when the same shall be due and payable; 

  

	 	(3)	that it will, at any time during the continuance of any failure referred to in the preceding paragraph (a)(2) above, upon the written request of the Trustee, forthwith pay to the Trustee all sums so held in trust by
such paying agent; and 

  

	 	(4)	that it will perform all other duties of paying agent as set forth in this Indenture. 

  
 13 

	 	(b)	If the Company shall act as its own paying agent with respect to any series of the Securities, it will on or before each due date of the principal of (and premium, if any) or interest on Securities of that series, set
aside, segregate and hold in trust for the benefit of the Persons entitled thereto a sum sufficient with monies held by all other paying agents to pay such principal (and premium, if any) or interest so becoming due on Securities of that series
until such sums shall be paid to such Persons or otherwise disposed of as herein provided and will promptly notify the Trustee of such action, or any failure (by it or any other obligor on such Securities) to take such action. Whenever the Company
shall have one or more paying agents for any series of Securities, it will, prior to each due date of the principal of (and premium, if any) or interest on any Securities of that series, deposit with the paying agent a sum sufficient to pay the
principal (an premium, if any) or interest so becoming due, such sum to be held in trust for the benefit of the Persons entitled to such principal, premium or interest, and (unless such paying agent is the Trustee) the Company will promptly notify
the Trustee of this action or failure so to act. 

  

	 	(c)	Notwithstanding anything in this Section to the contrary, (i) the agreement to hold sums in trust as provided in this Section is subject to the provisions of Section 11.05, and (ii) the Company may at any
time, for the purpose of obtaining the satisfaction and discharge of this Indenture or for any other purpose, pay, or direct any paying agent to pay, to the Trustee all sums held in trust by the Company or such paying agent, such sums to be held by
the Trustee upon the same terms and conditions as those upon which such sums were held by the Company or such paying agent; and, upon such payment by any paying agent to the Trustee, such paying agent shall be released from all further liability
with respect to such money. 

  

	SECTION 4.04	Appointment to Fill Vacancy in Office of Trustee. 

 The Company, whenever necessary to avoid or
fill a vacancy in the office of Trustee, will appoint, in the manner provided in Section 7.10, a Trustee, so that there shall at all times be a Trustee hereunder. 
  

	SECTION 4.05	Compliance with Consolidation Provisions. 

 The Company will not, while any of the Securities
remain Outstanding, consolidate with or merge into any other Person, in either case where the Company is not the survivor of such transaction, or sell or convey all or substantially all of its property to any other company unless the provisions of
Article X hereof are complied with. 
 ARTICLE V 

SECURITYHOLDERS’ LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE 

 

	SECTION 5.01	Company to Furnish Trustee Names and Addresses of Securityholders. 

 If the Company is not the
Security Register, the Company will furnish or use reasonable efforts to cause to be furnished to the Trustee (a) on each regular record date (as defined in Section 2.03) a list, in such form as the Trustee may reasonably require, of the
names and addresses of the holders of each series of Securities as of such regular record date, provided that the Company shall not be obligated to furnish or cause to furnish such list at any time that the list shall not differ in any respect from
the most recent list furnished to the Trustee by the Company and (b) at such other times as the Trustee may request in writing within 30 days after the receipt by the Company of any such request, a list of similar form and content as of a date
not more than 15 days prior to the time such list is furnished; provided, however, that, in either case, no such list need be furnished for any series for which the Trustee shall be the Security Registrar. 

 

	SECTION 5.02	Preservation of Information; Communications with Securityholders. 

  

	 	(a)	 The Trustee shall preserve, in as current a form as is reasonably practicable, all information as to the names
and addresses of the holders of Securities contained in the most recent list furnished to 

  
 14 

	 	
it as provided in Section 5.01 and as to the names and addresses of holders of Securities received by the Trustee in its capacity as Security Registrar (if acting in such capacity) and shall
otherwise comply with Section 312(a) of the Trust Indenture Act. 

  

	 	(b)	The Trustee may destroy any list furnished to it as provided in Section 5.01 upon receipt of a new list so furnished. 

  

	 	(c)	Securityholders may communicate as provided in Section 312(b) of the Trust Indenture Act with other Securityholders with respect to their rights under this Indenture or under the Securities. 

 

	SECTION 5.03	Reports by the Company. 

  

	 	(a)	The Company covenants and agrees to file with the Trustee, within 15 days after the Company is required to file the same with the Commission, copies of the annual reports and of the information, documents and other
reports (or copies of such portions of any of the foregoing as the Commission may from time to time by rules and regulations prescribe) that the Company may be required to file with the Commission pursuant to Section 13 or Section 15(d) of
the Exchange Act; or, if the Company is not required to file information, documents or reports pursuant to either of such sections, then to file with the Trustee and the Commission, in accordance with the rules and regulations prescribed from time
to time by the Commission, such of the supplementary and periodic information, documents and reports that may be required pursuant to Section 13 of the Exchange Act, in respect of a security listed and registered on a national securities
exchange as may be prescribed from time to time in such rules and regulations; provided, however, the Company shall not be required to deliver to the Trustee any materials for which the Company has sought and received confidential treatment by the
Commission. The Company also shall comply with the other provisions of Section 314(a) of the Trust Indenture Act. 

  

	 	(b)	The Company covenants and agrees to file with the Trustee and the Commission, in accordance with the rules and regulations prescribed from to time by the Commission, such additional information, documents and reports
with respect to compliance by the Company with the conditions and covenants provided for in this Indenture as may be required from time to time by such rules and regulations. 

 

	 	(c)	The Company covenants and agrees to transmit by mail, first class postage prepaid, or reputable over-night delivery service that provides for evidence of receipt, to the Securityholders, as their names and addresses
appear upon the Security Register, within 30 days after the filing thereof with the Trustee, such summaries of any information, documents and reports required to be filed by the Company pursuant to subsections (a) and (b) of this Section
as may be required by rules and regulations prescribed from time to time by the Commission. 

  

	SECTION 5.04	Reports by the Trustee. 

  

	 	(a)	The Trustee shall transmit to holders as provided in Section 313 of the Trust Indenture Act such reports concerning the Trustee and its actions under this Indenture as may be required by Section 313 of the
Trust Indenture Act at the times and in the manner provided by the Trust Indenture Act. 

  

	 	(b)	A copy of each such report shall, at the time of such transmission to Securityholders, be filed by the Trustee with the Company, with each stock exchange upon which any Securities are listed (if so listed) and, if
required by Section 313 of the Trust Indenture Act, also with the Commission. The Company agrees to notify the Trustee when any Securities become listed on any stock exchange. 

  
 15 

 ARTICLE VI 

REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT 
  

	SECTION 6.01	Events of Default. 

  

	 	(a)	Whenever used herein with respect to Securities of a particular series, “Event of Default” means any one or more of the following events that has occurred and is continuing: 

 

	 	(1)	the Company defaults in the payment of any installment of interest upon any of the Securities of that series, as and when the same shall become due and payable, and continuance of such default for a period of 90 days;
provided, however, that a valid extension of an interest payment period by the Company in accordance with the terms of any indenture supplemental hereto shall not constitute a default in the payment of interest for this purpose; 

 

	 	(2)	the Company defaults in the payment of the principal of (or premium, if any, on) any of the Securities of that series as and when the same shall become due and payable whether at maturity, upon redemption, by
declaration or otherwise, or in any payment required by any sinking or analogous fund established with respect to that series; provided, however, that a valid extension of the maturity of such Securities in accordance with the terms of any indenture
supplemental hereto shall not constitute a default in the payment of principal or premium, if any; 

  

	 	(3)	the Company fails to observe or perform any other of its covenants or agreements with respect to that series contained in this Indenture or otherwise established with respect to that series of Securities pursuant to
Section 2.01 hereof (other than a covenant or agreement that has been expressly included in this Indenture solely for the benefit of one or more series of Securities other than such series) for a period of 90 days after the date on which
written notice of such failure, requiring the same to be remedied and stating that such notice is a “Notice of Default” hereunder, shall have been given to the Company by the Trustee, by registered or certified mail, or to the Company and
the Trustee by the holders of not less than a majority in principal amount of the Securities of that series at the time Outstanding; 

  

	 	(4)	the Company pursuant to or within the meaning of any Bankruptcy Law (i) commences a voluntary case, (ii) consents to the entry of an order for relief against it in an involuntary case, (iii) consents to
the appointment of a Custodian of it or for all or substantially all of its property or (iv) makes a general assignment for the benefit of its creditors; or 

  

	 	(5)	a court of competent jurisdiction enters an order under any Bankruptcy Law that (i) is for relief against the Company in an involuntary case, (ii) appoints a Custodian of the Company for all or substantially
all of its property, or (iii) orders the liquidation of the Company, and the order or decree remains unstayed and in effect for 90 consecutive days. 

  

	 	(b)	In each and every such case, unless the principal of all the Securities of that series shall have already become due and payable, either the Trustee or the holders of not less than a majority in aggregate principal
amount of the Securities of that series then Outstanding hereunder, by notice in writing to the Company (and to the Trustee if given by such Securityholders), may declare the principal (or, if any Securities of that series are discount securities,
that portion of the principal amount as may be specified in the terms of that series pursuant to Section 2.01(a)(16)) of (and premium, if any, on) and accrued and unpaid interest, if any, on all the Securities of that series to be due and
payable immediately, and upon any such declaration the same shall become and shall be immediately due and payable. 

  
 16 

	 	(c)	At any time after the principal of the Securities of that series shall have been so declared due and payable, and before a judgment or decree for the payment of the moneys due shall have been obtained or entered as
hereinafter provided, the holders of a majority in aggregate principal amount of the Securities of that series then Outstanding hereunder (or, by action at a meeting of holders of the Securities of such series in accordance with Section 8.09,
the holders of a majority in aggregate principal amount of the Securities of such series then Outstanding represented at such meeting), by written notice to the Company and the Trustee, may rescind and annul such declaration and its consequences if:
(i) the Company has paid or deposited with the Trustee a sum sufficient to pay all matured installments of interest upon all the Securities of that series and the principal of (and premium, if any, on) any and all Securities of that series that
shall have become due otherwise than by acceleration and (ii) any and all Events of Default under this Indenture with respect to such series, other than the nonpayment of principal of (and premium, if any, on) and accrued and unpaid interest,
if any, on Securities of that series that shall have become due solely because of such acceleration, shall have been remedied, cured or waived as provided in Section 6.06. No such rescission and annulment shall extend to or shall affect any
subsequent default or impair any right consequent thereon. 

  

	 	(d)	In case the Trustee shall have proceeded to enforce any right with respect to Securities of that series under this Indenture and such proceedings shall have been discontinued or abandoned because of such rescission or
annulment or for any other reason or shall have been determined adversely to the Trustee, then and in every such case, subject to any determination in such proceedings, the Company, and the Trustee shall be restored respectively to their former
positions and rights hereunder, and all rights, remedies and powers of the Company and the Trustee shall continue as though no such proceedings had been taken. 

  

	SECTION 6.02	Collection of Indebtedness and Suits for Enforcement by Trustee. 

  

	 	(a)	The Company covenants that (1) in case it shall default in the payment of any installment of interest on any of the Securities of a series, or any payment required by any sinking or analogous fund established with
respect to that series as and when the same shall have become due and payable, and such default shall have continued for a period of 90 Business Days, or (2) in case it shall default in the payment of the principal of (or premium, if any, on)
any of the Securities of a series when the same shall have become due and payable, whether upon maturity of the Securities of a series or upon redemption or upon declaration or otherwise, then, upon demand of the Trustee, the Company will pay to the
Trustee, for the benefit of the holders of the Securities of that series, the whole amount that then shall have been become due and payable on all such Securities for principal (and premium, if any) or interest, or both, as the case may be, with
interest upon the overdue principal (and premium, if any) and (to the extent that payment of such interest is enforceable under applicable law) upon overdue installments of interest at the rate per annum expressed in the Securities of that series;
and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses of collection, and the amount payable to the Trustee under Section 7.06. 

 

	 	(b)	If the Company shall fail to pay such amounts forthwith upon such demand, the Trustee, in its own name and as trustee of an express trust, shall be entitled and empowered to institute any action or proceedings at law or
in equity for the collection of the sums so due and unpaid, and may prosecute any such action or proceeding to judgment or final decree, and may enforce any such judgment or final decree against the Company or other obligor upon the Securities of
that series and collect the moneys adjudged or decreed to be payable in the manner provided by law out of the property of the Company or other obligor upon the Securities of that series, wherever situated. 

 

	 	(c)	 In case of any receivership, insolvency, liquidation, bankruptcy, reorganization, readjustment, arrangement,
composition or judicial proceedings affected the Company, or its creditors or property, the Trustee shall have power to intervene in such proceedings and take any action therein that may be permitted by the court and shall (except as may be
otherwise provided by law) be entitled to file such proofs of claim and other papers and documents as may be necessary or 

  
 17 

	 	
advisable in order to have the claims of the Trustee and of the holders of Securities of such series allowed for the entire amount due and payable by the Company under this Indenture at the date
of institution of such proceedings and for any additional amount that may become due and payable by the Company after such date, and to collect and receive any moneys or other property payable or deliverable on any such claim, and to distribute the
same after the deduction of the amount payable to the Trustee under Section 7.06; and any receiver, assignee or trustee in bankruptcy or reorganization is hereby authorized by each of the holders of Securities of such series to make such
payments to the Trustee, and, in the event that the Trustee shall consent to the making of such payments directly to such Securityholders, to pay to the Trustee any amount due it under Section 7.06. 

 

	 	(d)	All rights of action and of asserting claims under this Indenture, or under any of the terms established with respect to Securities of that series, may be enforced by the Trustee without the possession of any of such
Securities, or the production thereof at any trial or other proceeding relative thereto, and any such suit or proceeding instituted by the Trustee shall be brought in its own name as trustee of an express trust, and any recovery of judgment shall,
after provision for payment to the Trustee of any amounts due under Section 7.06, be for the ratable benefit of the holders of the Securities of such series. 

In case of an Event of Default hereunder, the Trustee may in its discretion proceed to protect and enforce the rights vested in it by this
Indenture by such appropriate judicial proceedings as the Trustee shall deem most effectual to protect and enforce any of such rights, either at law or in equity or in bankruptcy or otherwise, whether for the specific enforcement of any covenant or
agreement contained in this Indenture or in aid of the exercise of any power granted in this Indenture, or to enforce any other legal or equitable right vested in the Trustee by this Indenture or by law. 

Nothing contained herein shall be deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any
Securityholder any plan of reorganization, arrangement, adjustment or composition affecting the Securities of that series or the rights of any holder thereof or to authorize the Trustee to vote in respect of the claim of any Securityholder in any
such proceeding. 
  

	SECTION 6.03	Application of Moneys Collected. 

 Any moneys collected by the Trustee pursuant to this Article
with respect to a particular series of Securities shall be applied in the following order, at the date or dates fixed by the Trustee and, in case of the distribution of such moneys on account of principal (or premium, if any) or interest, upon
presentation of the Securities of that series, and notation thereon the payment, if only partially paid, and upon surrender thereof if fully paid: 
  

			
	FIRST:	  	To the payment of costs and expenses of collection and of all amounts payable to the Trustee under Section 7.06; and
		
	SECOND:	  	To the payment of the amounts then due and unpaid upon Securities of such series for principal (and premium, if any) and interest, in respect of which or for the benefit of which such money has been collected, ratably, without
preference or priority of any kind, according to the amounts due and payable on such Securities for principal (and premium, if any) and interest, respectively.

  

	SECTION 6.04	Limitation on Suits. 

 No holder of any Security of any series shall have any right by virtue or
by availing of any provision of this Indenture to institute any suit, action or proceeding in equity or at law upon or under or with respect to this Indenture or for the appointment of a receiver or trustee, or for any other remedy hereunder, unless
(i) such holder previously shall have given to the Trustee written notice of an Event of Default and of the continuance thereof with respect to the Securities of such series specifying such Event of Default, as hereinbefore provided;
(ii) the holders of not less than a majority in aggregate principal amount of the Securities of such series then Outstanding shall have made written request upon the Trustee to institute such action, suit or proceeding in its own name as
trustee 

  
 18 

 
hereunder; (iii) such holder or holders shall have offered to the Trustee such reasonable indemnity as it may require against the costs, expenses and liabilities to be incurred therein or
thereby; and (iv) the Trustee for 60 days after its receipt of such notice, request and offer of indemnity, shall have failed to institute any such action, suit or proceeding and (v) during such 60 day period, the holders of a majority in
principal amount of the Securities of that series (or such amount as shall have acted at a meeting of the holders of Securities of such series pursuant to the provisions of this Indenture) do not give the Trustee a direction inconsistent with the
request; provided, however, that no one or more of such holders may use this Indenture to prejudice the rights of another holder or to obtain preference or priority over another holder. 

Notwithstanding anything contained herein to the contrary, any other provisions of this Indenture, the right of any holder of any Security to
receive payment of the principal of (and premium, if any) and interest on such Security, as therein provided, on or after the respective due dates expressed in such Security (or in the case of redemption, on the redemption date), or to institute
suit for the enforcement of any such payment on or after such respective dates or redemption date, shall not be impaired or affected without the consent of such holder and by accepting a Security hereunder it is expressly understood, intended and
covenanted by the taker and holder of every Security of such series with every other such taker and holder and the Trustee, that no one or more holders of Securities of such series shall have any right in any manner whatsoever by virtue or by
availing of any provision of this Indenture to affect, disturb or prejudice the rights of the holders of any other of such Securities, or to obtain or seek to obtain priority over or preference to any other such holder, or to enforce any right under
this Indenture, except in the manner herein provided and for the equal, ratable and common benefit of all holders of Securities of such series. For the protection and enforcement of the provisions of this Section, each and every Securityholder and
the Trustee shall be entitled to such relief as can be given either at law or in equity. 
  

	SECTION 6.05	Rights and Remedies Cumulative; Delay or Omission Not Waiver. 

  

	 	(a)	Except as otherwise provided in Section 2.07, all powers and remedies given by this Article to the Trustee or to the Securityholders shall, to the extent permitted by law, be deemed cumulative and not exclusive of
any other powers and remedies available to the Trustee or the holders of the Securities, by judicial proceedings or otherwise, to enforce the performance or observance of the covenants and agreements contained in this Indenture or otherwise
established with respect to such Securities. 

  

	 	(b)	No delay or omission of the Trustee or of any holder of any of the Securities to exercise any right or power accruing upon any Event of Default occurring and continuing as aforesaid shall impair any such right or power,
or shall be construed to be a waiver of any such default or on acquiescence therein; and, subject to the provisions of Section 6.04, every power and remedy given by this Article or by law to the Trustee or the Securityholders may be exercised
from time to time, and as often as shall be deemed expedient, by the Trustee or by the Securityholders. 

  

	SECTION 6.06	Control by Securityholders. 

 The holders of a majority in aggregate principal amount of the
Securities of any series at the time Outstanding, determined in accordance with Section 8.01, shall have the right to direct the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising any
trust or power conferred on the Trustee with respect to such series; provided, however, that such direction shall not be in conflict with any rule of law or with this Indenture or be unduly prejudicial to the rights of holders of Securities of any
other series at the time Outstanding determined in accordance with Section 8.01. Subject to the provisions of Section 7.01, the Trustee shall have the right to decline to follow any such direction if the Trustee in good faith shall, by a
Responsible Officer or Officers of the Trustee, determine that the proceeding so directed would involve the Trustee in personal liability. The holders either (a) through the written consent of not less than a majority in aggregate principal
amount of the Securities of any series at the time Outstanding or (b) by action at a meeting of holders of the Securities of such series in accordance with Section 8.09, by the holders of a majority in aggregate principal amount of the
Securities of such series then Outstanding represented at such meeting, may on behalf of the holders of all of the Securities of such series waive any past default in the performance of any of the covenants contained herein or established pursuant
to Section 2.01 with respect to such series and its consequences, except a default in the payment of the principal of, or premium, if any, or interest on, any of the Securities of that series as and when the same shall

  
 19 

 
become due by the terms of such Securities otherwise than by acceleration (unless such default has been cured and a sum sufficient to pay all matured installments of interest and principal and
any premium has been deposited with the Trustee (in accordance with Section 6.01(c)) and except in respect a provision hereof which, under Section 9.02, cannot be modified or amended without the consent of the holders of each Outstanding
Security affected; provided however that this Section shall not limit the right of holders of Securities of a series to rescind and annul any acceleration as set forth in Section 6.01. Upon any such waiver, the default covered thereby shall be
deemed to be cured for all purposes of this Indenture and the Company, the Trustee and the holders of the Securities of such series shall be restored to their former positions and rights hereunder, respectively; but no such waiver shall extend to
any subsequent or other default or impair any right consequent thereon. The provisions which otherwise would be automatically deemed to be contained in this Indenture pursuant to Section (316)(a)(1) of the Trust Indenture Act are hereby
expressly excluded from this Indenture, except to the extent such provisions are expressly included herein. 
  

	SECTION 6.07	Undertaking to Pay Costs. 

 All parties to this Indenture agree, and each holder of any
Securities by such holder’s acceptance thereof shall be deemed to have agreed, that any court may in its discretion require, in any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Trustee for any
action taken or omitted by it as Trustee, the filing by any party litigant in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs, including reasonable attorneys’ fees,
against any party litigant in such suit, having due regard to the merits and good faith of the claims or defenses made by such party litigant; but the provisions of this Section shall not apply to any suit instituted by the Trustee, to any suit
instituted by any Securityholder, or group of Securityholders, holding more than 10% in aggregate principal amount of the Outstanding Securities of any series, or to any suit instituted by any Securityholder for the enforcement of the payment of the
principal of (or premium, if any) or interest on any Security of such series, on or after the respective due dates expressed in such Security or established pursuant to this Indenture. 

ARTICLE VII 
 CONCERNING THE
TRUSTEE 
  

	SECTION 7.01	Certain Duties and Responsibilities of Trustee. 

  

	 	(a)	The Trustee, prior to the occurrence of an Event of Default with respect to the Securities of a series and after the curing of all Events of Default with respect to the Securities of that series that may have occurred,
shall undertake to perform with respect to the Securities of such series such duties and only such duties as are specifically set forth in this Indenture, and no implied covenants shall be read into this Indenture against the Trustee. In case an
Event of Default with respect to the Securities of a series has occurred (that has not been cured or waived), the Trustee shall exercise with respect to Securities of that series such of the rights and powers vested in it by this Indenture, and use
the same degree of care and skill in their exercise, as a prudent man would exercise or use under the circumstances in the conduct of his own affairs. 

  

	 	(b)	No provision of this Indenture shall be construed to relieve the Trustee from liability for its own negligent action, its own negligent failure to act, or its own willful misconduct, except that: 

 

	 	(1)	prior to the occurrence of an Event of Default with respect to the Securities of a series and after the curing or waiving of all such Events of Default with respect to that series that may have occurred:

  

	 	(i)	the duties and obligations of the Trustee shall with respect to the Securities of such series be determined solely by the express provisions of this Indenture, and the Trustee shall not be liable with respect to the
Securities of such series except for the performance of such duties and obligations as are specifically set forth in this Indenture, and no implied covenants or obligations shall be read into this Indenture against the Trustee; and

  
 20 

	 	(ii)	in the absence of bad faith on the part of the Trustee, the Trustee may with respect to the Securities of such series conclusively rely, as to the truth of the statements and the correctness of the opinions expressed
therein, upon any certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture; but in the case of any such certificates or opinions that by any provision hereof are specifically required to be furnished to
the Trustee, the Trustee shall be under a duty to examine the same to determine whether or not they conform to the requirement of this Indenture; 

  

	 	(2)	the Trustee shall not be liable for any error of judgment made in good faith by a Responsible Officer or Responsible Officers of the Trustee, unless it shall be proved that the Trustee, was negligent in ascertaining the
pertinent facts; 

  

	 	(3)	the Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance with the direction of the holders of not less than a majority in principal amount of the
Securities of any series at the time Outstanding relating to the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee under this Indenture with
respect to the Securities of that series; and 

  

	 	(4)	None of the provisions contained in this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur personal financial liability in the performance of any of its duties or in the exercise of
any of its rights or powers, if there is reasonable ground for believing that the repayment of such funds or liability is not reasonably assured to it under the terms of this Indenture or adequate indemnity against such risk is not reasonably
assured to it. 

  

	SECTION 7.02	Certain Rights of Trustee. 

 Except as otherwise provided in Section 7.01: 

 

	 	(a)	The Trustee may rely and shall be protected in acting or refraining from acting upon any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, approval, bond, security or
other paper or document believed by it to be genuine and to have been signed or presented by the proper party or parties; 

  

	 	(b)	Any request, direction, order or demand of the Company mentioned herein shall be sufficiently evidenced by a Board Resolution or an instrument signed in the name of the Company, by the President or any Vice President
and by the Secretary or an Assistant Secretary or the Treasurer or an Assistant Treasurer thereof (unless other evidence in respect thereof is specifically prescribed herein); 

 

	 	(c)	The Trustee may consult with counsel and the written advice of such counsel or any Opinion of Counsel shall be full and complete authorization and protection in respect of any action taken or suffered or omitted
hereunder in good faith and in reliance thereon; 

  

	 	(d)	The Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request, order or direction of any of the Securityholders, pursuant to the provisions of this
Indenture, unless such Securityholders shall have offered to the Trustee reasonable security or indemnity against the costs, expenses and liabilities that may be incurred therein or thereby; nothing contained herein shall, however, relieve the
Trustee of the obligation, upon the occurrence of an Event of Default with respect to a series of the Securities (that has not been cured or waived) to exercise with respect to Securities of that series such of the rights and powers vested in it by
this Indenture, and to use the same degree of care and skill in their exercise, as a prudent man would exercise or use under the circumstances in the conduct of his own affairs; 

  
 21 

	 	(e)	The Trustee shall not be liable for any action taken or omitted to be taken by it in good faith and believed by it to be authorized or within the discretion or rights or powers conferred upon it by this Indenture;

  

	 	(f)	The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, approval, bond,
security, or other papers or documents, unless requested in writing so to do by the holders of not less than a majority in principal amount of the Outstanding Securities of the particular series affected thereby (determined as provided in
Section 8.04); provided, however, that if the payment within a reasonable time to the Trustee of the costs, expenses or liabilities likely to be incurred by it in the making of such investigation is, in the opinion of the Trustee, not
reasonably assured to the Trustee by the security afforded to it by the terms of this Indenture, the Trustee may require reasonable indemnity against such costs, expenses or liabilities as a condition to so proceeding. The reasonable expense of
every such examination shall be paid by the Company or, if paid by the Trustee, shall be repaid by the Company upon demand; and 

  

	 	(g)	The Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or through agents or attorneys and the Trustee shall not be responsible for any misconduct or
negligence on the part of any agent or attorney appointed with due care by it hereunder. 

  

	SECTION 7.03	Trustee Not Responsible for Recitals or Issuance of Securities. 

  

	 	(a)	The recitals contained herein and in the Securities shall be taken as the statements of the Company, and the Trustee assumes no responsibility for the correctness of the same. 

 

	 	(b)	The Trustee makes no representations as to the validity or sufficiency of this Indenture or of the Securities. 

  

	 	(c)	The Trustee shall not be accountable for the use or application by the Company of any of the Securities or of the proceeds of such Securities, or for the use or application of any moneys paid over by the Trustee in
accordance with any provision of this Indenture or established pursuant to Section 2.01, or for the use or application of any moneys received by any paying agent other than the Trustee. 

 

	SECTION 7.04	May Hold Securities. 

 The Trustee or any paying agent or Security Registrar, in its individual
or any other capacity, may become the owner or pledgee of Securities with the same rights it would have if it were not Trustee, paying agent or Security Registrar. 
  

	SECTION 7.05	Moneys Held in Trust. 

 Subject to the provisions of Section 11.05, all moneys received by
the Trustee shall, until used or applied as herein provided, be held in trust for the purposes for which they were received, but need not be segregated from other funds except to the extent required by law. The Trustee shall be under no liability
for interest on any moneys received by it hereunder except such as it may agree with the Company to pay thereon. 
  

	SECTION 7.06	Compensation and Reimbursement. 

  

	 	(a)	 The Company covenants and agrees to pay to the Trustee, and the Trustee shall be entitled to, such reasonable
compensation (which shall not be limited by any provision of law in regard to the compensation of a trustee of an express trust), as the Company, and the Trustee may from time to time agree in writing, for all services rendered by it in the
execution of the trusts hereby created and in the exercise and performance of any of the powers and duties hereunder of the Trustee, and, except as otherwise expressly provided herein, the Company will pay or reimburse the Trustee

  
 22 

	 	
upon its request for all reasonable expenses, disbursements and advances incurred or made by the Trustee in accordance with any of the provisions of this Indenture (including the reasonable
compensation and the expenses and disbursements of its counsel and of all Persons not regularly in its employ) except any such expense, disbursement or advance as may arise from its negligence or bad faith. The Company also covenants to indemnify
the Trustee (and its officers, agents, directors and employees) for, and to hold it harmless against, any loss, liability or expense incurred without negligence or bad faith on the part of the Trustee and arising out of or in connection with the
acceptance or administration of this trust, including the costs and expenses of defending itself against any claim of liability in the premises. 

  

	 	(b)	The obligations of the Company under this Section to compensate and indemnify the Trustee and to pay or reimburse the Trustee for expenses, disbursements and advances shall constitute additional indebtedness hereunder.
Such additional indebtedness shall be secured by a lien prior to that of the Securities upon all property and funds held or collected by the Trustee as such, except funds held in trust for the benefit of the holders of particular Securities.

  

	SECTION 7.07	Reliance on Officers’ Certificate. 

 Except as otherwise provided in Section 7.01,
whenever in the administration of the provisions of this Indenture the Trustee shall deem it necessary or desirable that a matter be proved or established prior to taking or suffering or omitting to take any action hereunder, such matter (unless
other evidence in respect thereof be herein specifically prescribed) may, in the absence of negligence or bad faith on the part of the Trustee, be deemed to be conclusively proved and established by an Officers’ Certificate delivered to the
Trustee and such certificate, in the absence of negligence or bad faith on the part of the Trustee, shall be full warrant to the Trustee for any action taken, suffered or omitted to be taken by it under the provisions of this Indenture upon the
faith thereof. 
  

	SECTION 7.08	Disqualification; Conflicting Interests. 

 If the Trustee has or shall acquire any
“conflicting interest” within the meaning of Section 310(b) of the Trust Indenture Act, the Trustee and the Company shall in all respects comply with the provisions of Section 310(b) of the Trust Indenture Act. 

 

	SECTION 7.09	Corporate Trustee Required; Eligibility. 

 There shall at all times be a Trustee with respect to
the Securities issued hereunder which shall at all times be a corporation organized and doing business under the laws of the United States of America or any State or Territory thereof or of the District of Columbia, or a corporation or other Person
permitted to act as trustee by the Commission, authorized under such laws to exercise corporate trust powers, having a combined capital and surplus of at least 50 million U.S. dollars ($50,000,000), and subject to supervision or examination by
Federal, State, Territorial, or District of Columbia authority. If such corporation publishes reports of condition at least annually, pursuant to law or to the requirements of the aforesaid supervising or examining authority, then for the purposes
of this Section, the combined capital and surplus of such corporation shall be deemed to be its combined capital and surplus as set forth in its most recent report of condition so published. The Company may not, nor may any Person directly or
indirectly controlling, controlled by, or under common control with the Company, serve as Trustee. In case at any time the Trustee shall cease to be eligible in accordance with the provisions of this Section, the Trustee shall resign immediately in
the manner and with the effect specified in Section 7.10. 
  

	SECTION 7.10	Resignation and Removal; Appointment of Successor. 

  

	 	(a)	 The Trustee or any successor hereafter appointed, may at any time resign with respect to the Securities of one or
more series by giving written notice thereof to the Company and by transmitting notice of resignation by mail, first class postage prepaid, to the Securityholders of such series, as their names and addresses appear upon the Security Register. Upon
receiving such notice of resignation, the Company shall promptly appoint a successor trustee with respect to Securities of such series by written instrument, in duplicate, executed by order of the Board of

  
 23 

	 	
Directors, one copy of which instrument shall be delivered to the resigning Trustee and one copy to the successor trustee. If no successor trustee shall have been so appointed and have accepted
appointment within 30 days after the mailing of such notice of resignation, the resigning Trustee may petition any court of competent jurisdiction for the appointment of a successor trustee with respect to Securities of such series, or any
Securityholder of that series who has been a bona fide holder of a Security or Securities for at least six months may on behalf of himself and all others similarly situated, petition any such court for the appointment of a successor trustee. Such
court may thereupon after such notice, if any, as it may deem proper and prescribe, appoint a successor trustee. 

  

	 	(b)	In case at any time any one of the following shall occur: 

  

	 	(1)	the Trustee shall fail to comply with the provisions of Section 7.08 after written request therefor by the Company or by any Securityholder who has been a bona fide holder of a Security or Securities for at least
six months; or 

  

	 	(2)	the Trustee shall cease to be eligible in accordance with the provisions of Section 7.09 and shall fail to resign after written request therefor by the Company or by any such Securityholder; or 

 

	 	(3)	the Trustee shall become incapable of acting, or shall be adjudged a bankrupt or insolvent, or commence a voluntary bankruptcy proceeding, or a receiver of the Trustee or of its property shall be appointed or consented
to, or any public officer shall take charge or control of the Trustee or of its property or affairs for the purpose of rehabilitation, conservation or liquidation, then, in any such case, the Company may remove the Trustee with respect to all
Securities and appoint a successor trustee by written instrument, in duplicate, executed by order of the Board of Directors, one copy of which instrument shall be delivered to the Trustee so removed and one copy to the successor trustee, or, unless
the Trustee’s duty to resign is stayed as provided herein, any Securityholder who has been a bona fide holder of a Security or Securities for at least six months may, on behalf of that holder and all others similarly situated, petition any
court of competent jurisdiction for the removal of the Trustee and the appointment of a successor trustee. Such court may thereupon after such notice, if any, as it may deem proper and prescribe, remove the Trustee and appoint a successor trustee.

  

	 	(c)	The holders of a majority in aggregate principal amount of the Securities of any series at the time Outstanding may at any time remove the Trustee with respect to such series by so notifying the Trustee and the Company
and may appoint a successor Trustee for such series with the consent of the Company. 

  

	 	(d)	Any resignation or removal of the Trustee and appointment of a successor trustee with respect to the Securities of a series pursuant to any of the provisions of this Section shall become effective upon acceptance of
appointment by the successor trustee as provided in Section 7.11. 

  

	 	(e)	Any successor trustee appointed pursuant to this Section may be appointed with respect to the Securities of one or more series or all of such series, and at any time there shall be only one Trustee with respect to the
Securities of any particular series. 

  

	SECTION 7.11	Acceptance of Appointment By Successor. 

  

	 	(a)	 In case of the appointment hereunder of a successor trustee with respect to all Securities, every such successor
trustee so appointed shall execute, acknowledge and deliver to the Company and to the retiring Trustee an instrument accepting such appointment, and thereupon the resignation or removal of the retiring Trustee shall become effective and such
successor trustee, without any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties 

  
 24 

	 	
of the retiring Trustee; but, on the request of the Company or the successor trustee, such retiring Trustee shall, upon payment of its charges, execute and deliver an instrument transferring to
such successor trustee all the rights, powers, and trusts of the retiring Trustee and shall duly assign, transfer and deliver to such successor trustee all property and money held by such retiring Trustee hereunder. 

 

	 	(b)	In case of the appointment hereunder of a successor trustee with respect to the Securities of one or more (but not all) series, the Company, the retiring Trustee and each successor trustee with respect to the Securities
of one or more series shall execute and deliver an indenture supplemental hereto wherein each successor trustee shall accept such appointment and which (1) shall contain such provisions as shall be necessary or desirable to transfer and confirm
to, and to vest in, each successor trustee all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to which the appointment of such successor trustee relates, (2) shall contain
such provisions as shall be deemed necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series as to which the retiring Trustee is not retiring shall
continue to be vested in the retiring Trustee, and (3) shall add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Trustee, it
being understood that nothing herein or in such supplemental indenture shall constitute such Trustees co-trustees of the same trust, that each such Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or trusts
hereunder administered by any other such Trustee and that no Trustee shall be responsible for any act or failure to act on the part of any other Trustee hereunder; and upon the execution and delivery of such supplemental indenture the resignation or
removal of the retiring Trustee shall become effective to the extent provided therein, such retiring Trustee shall with respect to the Securities of that or those series to which the appointment of such successor trustee relates have no further
responsibility for the exercise of rights and powers or for the performance of the duties and obligations vested in the Trustee under this Indenture, and each such successor trustee, without any further act, deed or conveyance, shall become vested
with all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to which the appointment of such successor trustee relates; but, on request of the Company or any successor trustee, such
retiring Trustee shall duly assign, transfer and deliver to such successor trustee, to the extent contemplated by such supplemental indenture, the property and money held by such retiring Trustee hereunder with respect to the Securities of that or
those series to which the appointment of such successor trustee relates. 

  

	 	(c)	Upon request of any such successor trustee, the Company shall execute any and all instruments for more fully and certainly vesting in and confirming to such successor trustee all such rights, powers and trusts referred
to in paragraph (a) or (b) of this Section, as the case may be. 

  

	 	(d)	No successor trustee shall accept its appointment unless at the time of such acceptance such successor trustee shall be qualified and eligible under this Article. 

 

	 	(e)	Upon acceptance of appointment by a successor trustee as provided in this Section, the Company shall transmit notice of the succession of such trustee hereunder by mail, first class postage prepaid, to the
Securityholders, as their names and addresses appear upon the Security Register. If the Company fails to transmit such notice within ten days after acceptance of appointment by the successor trustee, the successor trustee shall cause such notice to
be transmitted at the expense of the Company. 

  

	SECTION 7.12	Merger, Conversion, Consolidation or Succession to Business. 

 Any corporation into which the
Trustee may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, conversion or consolidation to which the Trustee shall be a party, or any corporation succeeding to the corporate trust business
of the Trustee, shall be the successor of the Trustee hereunder, provided that such corporation shall be qualified under the provisions of Section 7.08 and eligible under the provisions of Section 7.09, without the execution or filing of
any paper or any further act on the part of any of the 

  
 25 

 
parties hereto, anything herein to the contrary notwithstanding. In case any Securities shall have been authenticated, but not delivered, by the Trustee then in office, any successor by merger,
conversion or consolidation to such authenticating Trustee may adopt such authentication and deliver the Securities so authenticated with the same effect as if such successor Trustee had itself authenticated such Securities. 

 

	SECTION 7.13	Preferential Collection of Claims Against the Company. 

 The Trustee shall comply with
Section 311(a) of the Trust Indenture Act, excluding any creditor relationship described in Section 311(b) of the Trust Indenture Act. A Trustee who has resigned or been removed shall be subject to Section 311(a) of the Trust
Indenture Act to the extent included therein. 
 ARTICLE VIII 

CONCERNING THE SECURITYHOLDERS 
  

	SECTION 8.01	Evidence of Action by Securityholders. 

 Whenever in this Indenture it is provided that the
holders of a majority or specified percentage in aggregate principal amount of the Securities of a particular series may take any action (including the making of any demand or request, the giving of any notice, consent or waiver or the taking of any
other action), the fact that at the time of taking any such action the holders of such majority or specified percentage of that series have joined therein may be evidenced by any instrument or any number of instruments of similar tenor executed by
such holders of Securities of that series in Person or by agent or proxy appointed in writing. 
 If the Company shall solicit from the
Securityholders of any series any request, demand, authorization, direction, notice, consent, waiver or other action, the Company may, at its option, as evidenced by an Officers’ Certificate, fix in advance a record date for such series for the
determination of Securityholders entitled to give such request, demand, authorization, direction, notice, consent, waiver or other action, but the Company shall have no obligation to do so. If such a record date is fixed, such request, demand,
authorization, direction, notice, consent, waiver or other action may be given before or after the record date, but only the Securityholders of record at the close of business on the record date shall be deemed to be Securityholders for the purposes
of determining whether Securityholders of the requisite proportion of Outstanding Securities of that series have authorized or agreed or consented to such request, demand, authorization, direction, notice, consent, waiver or other action, and for
that purpose the Outstanding Securities of that series shall be computed as of the record date; provided, however, that no such authorization, agreement or consent by such Securityholders on the record date shall be deemed effective unless it shall
become effective pursuant to the provisions of this Indenture not later than six months after the record date. 
  

	SECTION 8.02	Proof of Execution by Securityholders. 

 Subject to the provisions of Section 7.01, proof
of the execution of any instrument by a Securityholder (such proof will not require notarization) or his agent or proxy and proof of the holding by any Person of any of the Securities shall be sufficient if made in the following manner: 

 

	 	(a)	The fact and date of the execution by any such Person of any instrument may be proved in any reasonable manner acceptable to the Trustee. 

 

	 	(b)	The ownership of Securities shall be proved by the Security Register of such Securities or by a certificate of the Security Registrar thereof. 

 

	 	(c)	The Trustee may require such additional proof of any matter referred to in this Section as it shall deem necessary. 

  
 26 

	SECTION 8.03	Who May be Deemed Owners. 

 Prior to the due presentment for registration of transfer of any
Security, the Company, the Trustee, any paying agent and any Security Registrar may deem and treat the Person in whose name such Security shall be registered upon the books of the Company as the absolute owner of such Security (whether or not such
Security shall be overdue and notwithstanding any notice of ownership or writing thereon made by anyone other than the Security Registrar) for the purpose of receiving payment of or on account of the principal of, premium, if any, and (subject to
Section 2.03) interest on such Security and for all other purposes; and neither the Company nor the Trustee nor any paying agent nor any Security Registrar shall be affected by any notice to the contrary. 

 

	SECTION 8.04	Certain Securities Owned by Company Disregarded. 

 In determining whether the holders of the
requisite aggregate principal amount of Securities of a particular series have concurred in any direction, consent of waiver under this Indenture, the Securities of that series that are owned by the Company or any other obligor on the Securities of
that series or by any Person directly or indirectly controlling or controlled by or under common control with the Company or any other obligor on the Securities of that series shall be disregarded and deemed not to be Outstanding for the purpose of
any such determination, except that for the purpose of determining whether the Trustee shall be protected in relying on any such direction, consent or waiver, only Securities of such series that the Trustee actually knows are so owned shall be so
disregarded. The Securities so owned that have been pledged in good faith may be regarded as Outstanding for the purposes of this Section, if the pledgee shall establish to the satisfaction of the Trustee the pledgee’s right so to act with
respect to such Securities and that the pledgee is not a Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company or any such other obligor. In case of a dispute as to such right, any
decision by the Trustee taken upon the advice of counsel shall be full protection to the Trustee. 
  

	SECTION 8.05	Actions Binding on Future Securityholders. 

 At any time prior to (but not after) the evidencing
to the Trustee, as provided in Section 8.01, of the taking of any action by the holders of the majority or percentage in aggregate principal amount of the Securities of a particular series specified in this Indenture in connection with such
action, any holder of a Security of that series that is shown by the evidence to be included in the Securities the holders of which have consented to such action may, by filing written notice with the Trustee, and upon proof of holding as provided
in Section 8.02, revoke such action so far as concerns such Security. Except as aforesaid any such action taken by the holder of any Security shall be conclusive and binding upon such holder and upon all future holders and owners of such
Security, and of any Security issued in exchange therefor, on registration of transfer thereof or in place thereof, irrespective of whether or not any notation in regard thereto is made upon such Security. Any action taken by the holders of the
majority or percentage in aggregate principal amount of the Securities of a particular series specified in this Indenture in connection with such action shall be conclusively binding upon the Company, the Trustee and the holders of all the
Securities of that series. 
  

	SECTION 8.06	Purposes for Which Meetings May Be Called. 

 A meeting of holders of any series of Securities
may be called at any time and from time to time pursuant to this Article to make, give or take any request, demand, authorization, direction, notice, consent, waiver or other action provided by this Indenture to be made, given or taken by holders of
such series of Securities. 
 Notwithstanding anything contained in this Article VIII, the Trustee may, during the pendency of a Default or
an Event of Default, call a meeting of holders of any series of Securities in accordance with its standard practices. 
  

	SECTION 8.07	Call Notice and Place of Meetings. 

  

	 	(a)	 The Trustee may at any time call a meeting of holders of any series of Securities for any purpose specified in
Section 8.06 hereof, to be held at such time and at such place in The City of New York. Notice of every meeting of holders of any series of Securities, setting forth the time and the place of such meeting, in general terms the action proposed
to be taken at such meeting and the 

  
 27 

	 	
percentage of the principal amount of the Outstanding Securities of such series which shall constitute a quorum at such meeting, shall be given, in the manner provided in Section 13.04
hereof, not less than 21 nor more than 180 days prior to the date fixed for the meeting to holders of Outstanding Securities of such series. 

  

	 	(b)	In case at any time the Company, pursuant to a Board Resolution, or the holders of at least 10% in principal amount of the Outstanding Securities of any series shall have requested the Trustee to call a meeting of the
holders of Securities of such series for any purpose specified in Section 8.06 hereof, by written request setting forth in reasonable detail the action proposed to be taken at the meeting, and the Trustee shall not have made the first
publication of the notice of such meeting within 21 days after receipt of such request or shall not thereafter proceed to cause the meeting to be held as provided herein, then the Company or the holders of Securities of such series in the amount
specified, as the case may be, may determine the time and the place in The City of New York for such meeting and may call such meeting for such purposes by giving notice thereof as provided in paragraph (a) of this Section. 

 

	SECTION 8.08	Persons Entitled To Vote at Meetings. 

 To be entitled to vote at any meeting of holders of
Securities of a given series, a Person shall be (a) a holder of one or more Outstanding Securities of such series or (b) a Person appointed by an instrument in writing as proxy for a holder or holders of one or more Outstanding Securities
of such series by such holder or holders. The only Persons who shall be entitled to be present or to speak at any meeting of holders shall be the Persons entitled to vote at such meeting and their counsel, any representatives of the Trustee and its
counsel and any representatives of the Company and its counsel. 
  

	SECTION 8.09	Quorum; Action. 

 The Persons entitled to vote a majority in aggregate principal amount of the
Outstanding Securities of a given series shall constitute a quorum with respect to a meeting of holders of Outstanding Securities of such series. In the absence of a quorum within 30 minutes of the time appointed for any such meeting, the meeting
shall, if convened at the request of holders of Securities of such series, be dissolved. In any other case, the meeting may be adjourned for a period of not less than 10 days as determined by the chairman of the meeting prior to the adjournment of
such meeting. In the absence of a quorum at any such adjourned meeting, such adjourned meeting may be further adjourned for a period of not less than 10 days as determined by the chairman of the meeting prior to the adjournment of such adjourned
meeting. Notice of the reconvening of any adjourned meeting shall be given as provided in Section 8.07(a) hereof, except that such notice need be given only once and not less than five days prior to the date on which the meeting is scheduled to
be reconvened. 
 At a meeting or an adjourned meeting duly reconvened and at which a quorum is present as aforesaid, any resolution and all
matters (except as limited by the proviso to the first paragraph of Section 9.02 hereof) shall be effectively passed and decided if passed or decided by the Persons entitled to vote not less than a majority in aggregate principal amount of
Outstanding Securities of a series represented and voting at such meeting with respect to a meeting of holders of Outstanding Securities of such series. 

Any resolution passed or decisions taken at any meeting of holders of Securities duly held in accordance with this Section shall be binding on
all the holders of Securities of such series, whether or not present or represented at the meeting. 
  

	SECTION 8.10	Determination of Voting Rights; Conduct and Adjournment of Meetings. 

  

	 	(a)	Notwithstanding any other provisions of this Indenture, the Trustee may make such reasonable regulations as it may deem advisable for any meeting of holders of Securities in regard to proof of the holding of Securities
and of the appointment of proxies and in regard to the appointment and duties of inspectors of votes, the submission and examination of proxies, certificates and other evidence of the right to vote, and such other matters concerning the conduct of
the meeting as it shall deem appropriate. 

  
 28 

	 	(b)	The Trustee shall, by an instrument in writing, appoint a temporary chairman (which may be the Trustee) of the meeting, unless the meeting shall have been called by the Company or by holders of Securities of a given
series as provided in Section 8.07(b) hereof, in which case the Company or the holders of Securities of such series calling the meeting, as the case may be, shall in like manner appoint a temporary chairman. A permanent chairman and a permanent
secretary of the meeting shall be elected by vote of the Persons entitled to vote a majority in principal amount of the Outstanding Securities of such series represented at the meeting. 

 

	 	(c)	At any meeting, each holder of a Security of the series in respect of which such meeting is being held or proxy shall be entitled to one vote for each $1,000 principal amount of Securities of such series held or
represented by him; provided, however, that no vote shall be cast or counted at any meeting in respect of any Security of such series challenged as not Outstanding and ruled by the chairman of the meeting to be not Outstanding. The chairman of the
meeting shall have no right to vote, except as a holder of a Security of such series or proxy. 

  

	 	(d)	Any meeting of holders of Securities duly called pursuant to Section 8.07 hereof at which a quorum is present may be adjourned from time to time by Persons entitled to vote a majority in principal amount of the
Outstanding Securities of the series in respect of which such meeting is being held represented at the meeting, and the meeting may be held as so adjourned without further notice. 

 

	SECTION 8.11	Counting Votes and Recording Action of Meetings. 

 The vote upon any resolution submitted to any
meeting of holders of Securities of a given series shall be by written ballots on which shall be subscribed the signatures of the holders of Securities of such series or of their representatives by proxy and the principal amounts and serial numbers
of the Outstanding Securities of such series held or represented by them. The permanent chairman of the meeting shall appoint two inspectors of votes who shall count all votes cast at the meeting for or against any resolution and who shall make and
file with the secretary of the meeting their verified written reports in duplicate of all votes cast at the meeting. A record, at least in duplicate, of the proceedings of each meeting of holders of Securities of such series shall be prepared by the
secretary of the meeting and there shall be attached to said record the original reports of the inspectors of votes on any vote by ballot taken thereat and affidavits by one or more Persons having knowledge of the facts setting forth a copy of the
notice of the meeting and showing that said notice was given as provided in Section 8.07 hereof and, if applicable, Section 8.09 hereof. Each copy shall be signed and verified by the affidavits of the permanent chairman and secretary of
the meeting and one such copy shall be delivered to the Company and another to the Trustee to be preserved by the Trustee, the latter to have attached thereto the ballots voted at the meeting. Any record so signed and verified shall be conclusive
evidence of the matters therein stated. 
 ARTICLE IX 

SUPPLEMENTAL INDENTURES 
  

	SECTION 9.01	Supplemental Indentures Without the Consent of Securityholders. 

 In addition to any
supplemental indenture otherwise authorized by this Indenture, the Company and the Trustee may from time to time and at any time enter into an indenture or indentures supplemental hereto (which shall conform to the provisions of the Trust Indenture
Act as then in effect), without the consent of the Securityholders, for one or more of the following purposes: 
  

	 	(a)	cure any ambiguity, correct or supplement any provision herein which may be inconsistent with any other provision herein or which is otherwise defective, or make any other provisions with respect to matters or questions
arising under this Indenture which the Company and the Trustee may deem necessary or desirable and which shall not be inconsistent with the provisions of this Indenture; 

  
 29 

	 	(b)	to comply with Article X; 

  

	 	(c)	to provide for uncertificated Securities in addition to or in place of certificated Securities; 

  

	 	(d)	to add to the covenants of the Company for the benefit of the holders of all or any Series of Securities (and if such covenants are to be for the benefit of less than all series of Securities, stating that such
covenants are expressly being included solely for the benefit of such series) or to surrender any right or power herein conferred upon the Company; 

  

	 	(e)	to add to, delete from, or revise the conditions, limitations, and restrictions on the authorized amount, terms, or purposes of issue, authentication, and delivery of Securities, as herein set forth; 

 

	 	(f)	to make any change that does not adversely affect the rights of any Securityholder in any material respect; 

  

	 	(g)	to provide for the issuance of and establish the form and terms and conditions of the Securities of any series as provided in Section 2.01, to establish the form of any certifications required to be furnished
pursuant to the terms of this Indenture or any series of Securities, or to add to the rights of the holders of any series of Securities; or 

  

	 	(h)	comply with the requirements of the Commission in order to effect or maintain the qualification of this Indenture under the Trust Indenture Act. 

The Trustee is hereby authorized to join with the Company in the execution of any such supplemental indenture, and to make any further
appropriate agreements and stipulations that may be therein contained, but the Trustee shall not be obligated to enter into any such supplemental indenture that affects the Trustee’s own rights, duties or immunities under this Indenture or
otherwise. 
 Any supplemental indenture authorized by the provisions of this Section may be executed by the Company and the Trustee without
the consent of the holders of any of the Securities at the time Outstanding, notwithstanding any of the provisions of Section 9.02. 
  

	SECTION 9.02	Supplemental Indentures With Consent of Securityholders. 

 With the written consent of the
holders of at least a majority in aggregate principal amount of the Outstanding Securities of any series or by action at a meeting of holders of the Securities of such series in accordance with Section 8.09, by the holders of a majority in
aggregate principal amount of the Securities of such series then Outstanding represented at such meeting, the Company, when authorized by Board Resolutions, and the Trustee may from time to time and at any time enter into an indenture or indentures
supplemental hereto (which shall conform to the provisions of the Trust Indenture Act as then in effect) for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Indenture or of any
supplemental indenture or of modifying in any manner not covered by Section 9.01 the rights of the holders of the Securities of such series under this Indenture; provided, however, that no such supplemental indenture shall, without the consent
of the holders of each Security then Outstanding and affected thereby, (i) extend the fixed maturity of any Securities of any series, or reduce the principal amount thereof, or reduce the rate or extend the time of payment of interest thereon,
or reduce any premium payable upon the redemption thereof, (ii) reduce the aforesaid percentage of Securities, the holders of which are required to consent to any such supplemental indenture, or any consent or waiver, (iii) reduce the
principal amount of discount securities payable upon acceleration of the maturity of any Securities of any series or (iv) make the principal of or premium or interest on any Security of a series payable in currency or currency units other than
that stated in the Securities of such series. 

  
 30 

 It shall not be necessary for the consent of the Securityholders of any series affected thereby
under this Section to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if such consent shall approve the substance thereof. 
  

	SECTION 9.03	Effect of Supplemental Indentures. 

 Upon the execution of any supplemental indenture pursuant
to the provisions of this Article or of Section 10.01, this Indenture shall, with respect to such series, be and be deemed to be modified and amended in accordance therewith and the respective rights, limitations of rights, obligations, duties
and immunities under this Indenture of the Trustee, the Company and the holders of Securities of the series affected thereby shall thereafter be determined, exercised and enforced hereunder subject in all respects to such modifications and
amendments, and all the terms and conditions of any such supplemental indenture shall be and be deemed to be part of the terms and conditions of this Indenture for any and all purposes. 

 

	SECTION 9.04	Securities Affected by Supplemental Indentures. 

 Securities of any series affected by a
supplemental indenture, authenticated and delivered after the execution of such supplemental indenture pursuant to the provisions of this Article or of Section 10.01, may bear a notation in form approved by the Company, provided such form meets
the requirements of any exchange upon which such series may be listed, as to any matter provided for in such supplemental indenture. If the Company shall so determine, new Securities of that series so modified as to conform, in the opinion of the
Board of Directors of the Company, to any modification of this Indenture contained in any such supplemental indenture may be prepared by the Company, authenticated by the Trustee and delivered in exchange for the Securities of that series then
Outstanding. 
  

	SECTION 9.05	Execution of Supplemental Indentures. 

 Upon the request of the Company, accompanied by its
Board Resolutions authorizing the execution of any such supplemental indenture, and upon the filing with the Trustee of evidence of the consent of Securityholders required to consent thereto as aforesaid, the Trustee shall join with the Company in
the execution of such supplemental indenture unless such supplemental indenture affects the Trustee’s own rights, duties or immunities under this Indenture or otherwise, in which case the Trustee may in its discretion but shall not be obligated
to enter into such supplemental indenture. The Trustee, subject to the provisions of Section 7.01, may receive an Opinion of Counsel as conclusive evidence that any supplemental indenture executed pursuant to this Article is authorized or
permitted by, and conforms to, the terms of this Article and that it is proper for the Trustee under the provisions of this Article to join in the execution thereof; provided, however, that such Opinion of Counsel need not be provided in connection
with the execution of a supplemental indenture that establishes the terms of a series of Securities pursuant to Section 2.01 hereof. 

Promptly after the execution by the Company and the Trustee of any supplemental indenture pursuant to the provisions of this Section, the
Trustee shall transmit by mail, first class postage prepaid, a notice, setting forth in general terms the substance of such supplemental indenture, to the Securityholders of all series affected thereby as their names and addresses appear upon the
Security Register. Any failure of the Trustee to mail such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such supplemental indenture. 

ARTICLE X 
 SUCCESSOR ENTITY 

 

	SECTION 10.01	Company May Consolidate, Etc. 

 Nothing contained in this Indenture or in any of the Securities
shall prevent any consolidation or merger of the Company with or into any other Person (whether or not affiliated with the Company) or successive consolidations or mergers in which the Company or its successor or successors shall be a party or
parties, or shall prevent any sale, conveyance, transfer or other disposition of the property of the Company or its successor or successors as an entirety, or substantially as an entirety, to any other corporation (whether or not affiliated with the
Company or its 

  
 31 

 
successor or successors) authorized to acquire and operate the same; provided, however, the Company hereby covenants and agrees that, upon any such consolidation or merger (in each case, if the
Company is not the survivor of such transaction), sale, conveyance, transfer or other disposition, the due and punctual payment of the principal of (premium, if any) and interest on all of the Securities of all series in accordance with the terms of
each series, according to their tenor and the due and punctual performance and observance of all the covenants and conditions of this Indenture with respect to each series or established with respect to such series pursuant to Section 2.01 to
be kept or performed by the Company shall be expressly assumed, by supplemental indenture (which shall conform to the provisions of the Trust Indenture Act, as then in effect) satisfactory in form to the Trustee executed and delivered to the Trustee
by the entity formed by such consolidation, or into which the Company shall have been merged, or by the entity which shall have acquired such property. 
  

	SECTION 10.02	Successor Entity Substituted. 

  

	 	(a)	In case of any such consolidation, merger, sale, conveyance, transfer or other disposition and upon the assumption by the successor entity by supplemental indenture, executed and delivered to the Trustee and
satisfactory in form to the Trustee, of the due and punctual payment of the principal of, premium, if any, and interest on all of the Securities of all series Outstanding and the due and punctual performance of all of the covenants and conditions of
this Indenture or established with respect to each series of the Securities pursuant to Section 2.01 to be performed by the Company with respect to each series, such successor entity shall succeed to and be substituted for the Company with the
same effect as if it had been named as the Company herein, and thereupon the predecessor corporation shall be relieved of all obligations and covenants under this Indenture and the Securities. 

 

	 	(b)	In case of any such consolidation, merger, sale, conveyance, transfer or other disposition such changes in phraseology and form (but not in substance) may be made in the Securities thereafter to be issued as may be
appropriate. 

  

	 	(c)	Nothing contained in this Article shall require any action by the Company in the case of a consolidation or merger of any Person into the Company where the Company is the survivor of such transaction, or the acquisition
by the Company, by purchase or otherwise, of all or any part of the property of any other Person (whether or not affiliated with the Company). 

  

	SECTION 10.03	Evidence of Consolidation, Etc. to Trustee. 

 The Trustee, subject to the provisions of
Section 7.01, may receive an Opinion of Counsel as conclusive evidence that any such consolidation, merger, sale, conveyance, transfer or other disposition, and any such assumption, comply with the provisions of this Article. 

ARTICLE XI 
 SATISFACTION AND
DISCHARGE 
  

	SECTION 11.01	Satisfaction and Discharge of Indenture. 

 If at any time: (a) the Company shall have
delivered to the Trustee for cancellation all Securities of a series theretofore authenticated (other than any Securities that shall have been destroyed, lost or stolen and that shall have been replaced or paid as provided in Section 2.07) and
Securities for whose payment money or Governmental Obligations have theretofore been deposited in trust or segregated and held in trust by the Company (and thereupon repaid to the Company or discharged from such trust, as provided in
Section 11.05); or (b) all such Securities of a particular series not theretofore delivered to the Trustee for cancellation shall have become due and payable, or are by their terms to become due and payable within one year or are to be
called for redemption within one year under arrangements satisfactory to the Trustee for the giving of notice of redemption, and the Company shall deposit or cause to be deposited with the Trustee as trust funds the entire amount in moneys or
Governmental Obligations sufficient or a combination thereof, sufficient (assuming that no tax liability will be imposed on the Trustee) in the 

  
 32 

 
opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay at maturity or upon redemption all
Securities of that series not theretofore delivered to the Trustee for cancellation, including principal (and premium, if any) and interest due or to become due to such date of maturity or date fixed for redemption, as the case may be, and if the
Company shall also pay or cause to be paid all other sums payable hereunder with respect to such series by the Company then this Indenture shall thereupon cease to be of further effect with respect to such series except for the provisions of
Sections 2.03, 2.05, 2.07, 4.01, 4.02, 4.03 and 7.10, that shall survive until the date of maturity or redemption date, as the case may be, and Sections 7.06 and 11.05, that shall survive to such date and thereafter, and the Trustee, on demand of
the Company and at the cost and expense of the Company shall execute proper instruments acknowledging satisfaction of and discharging this Indenture with respect to such series. 

 

	SECTION 11.02	Discharge of Obligations. 

 If at any time all such Securities of a particular series not
heretofore delivered to the Trustee for cancellation or that have not become due and payable as described in Section 11.01 shall have been paid by the Company by depositing irrevocably with the Trustee as trust funds moneys or an amount of
Governmental Obligations sufficient to pay at maturity or upon redemption all such Securities of that series not theretofore delivered to the Trustee for cancellation, including principal (and premium, if any) and interest due or to become due to
such date of maturity or date fixed for redemption, as the case may be, and if the Company shall also pay or cause to be paid all other sums payable hereunder by the Company with respect to such series, then after the date such moneys or
Governmental Obligations, as the case may be, are deposited with the Trustee the obligations of the Company under this Indenture with respect to such series shall cease to be of further effect except for the provisions of Sections 2.03, 2.05, 2.07,
4,01, 4.02, 4.03, 7.06, 7.10 and 11.05 hereof that shall survive until such Securities shall mature and be paid thereafter, Sections 7.06 and 11.05 shall survive. 
  

	SECTION 11.03	Deposited Moneys to be Held in Trust. 

 Subject to Section 11.05, all moneys or
Governmental Obligations deposited with the Trustee pursuant to Sections 11.01 or 11.02 shall be held in trust and shall be available for payment as due, either directly or through any paying agent (including the Company acting as its own paying
agent), to the holders of the particular series of Securities for the payment or redemption of which such moneys or Governmental Obligations have been deposited with the Trustee. 

 

	SECTION 11.04	Payment of Moneys Held by Paying Agents. 

 In connection with the satisfaction and discharge of
this Indenture all moneys or Governmental Obligations then held by any paying agent under the provisions of this Indenture shall, upon demand of the Company, be paid to the Trustee and thereupon such paying agent shall be released from all further
liability with respect to such moneys or Governmental Obligations. 
  

	SECTION 11.05	Repayment to Company. 

 Any moneys or Governmental Obligations deposited with any paying agent
or the Trustee, or then held by the Company, in trust for payment of principal of or premium or interest on the Securities of a particular series that are not applied but remain unclaimed by the holders of such Securities for two years after the
date upon which the principal of (and premium, if any) or interest on such Securities shall have respectively become due and payable, shall be repaid to the Company or (if then held by the Company) shall be discharged from such trust in each case,
promptly after the end of any such two-year period or, at the request of the Company, on a later date specified by the Company; and thereupon the paying agent and the Trustee shall be released from all further liability with respect to such moneys
or Governmental Obligations, and the holder of any of the Securities entitled to receive such payment shall thereafter, as an unsecured general creditor, look only to the Company for the payment thereof. 

  
 33 

 ARTICLE XII 

IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS 
  

	SECTION 12.01	No Recourse. 

 No recourse under or upon any obligation, covenant or agreement of this
Indenture, or of any Security, or for any claim based thereon or otherwise in respect thereof, shall be had against any incorporator, stockholder, officer or director, past, present or future as such, of the Company or of any predecessor or
successor corporation, either directly or through the Company or any such predecessor or successor corporation, whether by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being
expressly understood that this Indenture and the obligations issued hereunder are solely corporate obligations, and that no such personal liability whatever shall attach to, or is or shall be incurred by, the incorporators, stockholders, officers or
directors as such, of the Company or of any predecessor or successor corporation, or any of them, because of the creation of the indebtedness hereby authorized, or under or by reason of the obligations, covenants or agreements contained in this
Indenture or in any of the Securities or implied therefrom; and that any and all such personal liability of every name and nature, either at common law or in equity or by constitution or statute, of, and any and all such rights and claims against,
every such incorporator, stockholder, officer or director as such, because of the creation of the indebtedness hereby authorized, or under or by reason of the obligations, covenants or agreements contained in this Indenture or in any of the
Securities or implied therefrom, are hereby expressly waived and released as a condition of, and as a consideration for, the execution of this Indenture and the issuance of such Securities. 

ARTICLE XIII 
 MISCELLANEOUS
PROVISIONS 
  

	SECTION 13.01	Effect on Successors and Assigns. 

 All the covenants, stipulations, promises and agreements in
this Indenture contained by or on behalf of the Company shall bind its successors and assigns, whether so expressed or not. 
  

	SECTION 13.02	Actions by Successor. 

 Any act or proceeding by any provision of this Indenture authorized or
required to be done or performed by any board, committee or officer of the Company shall and may be done and performed with like force and effect by the corresponding board, committee or officer of any corporation that shall at the time be the
lawful successor of the Company. 
  

	SECTION 13.03	Surrender of Company Powers. 

 The Company by instrument in writing executed by authority of its
Board of Directors and delivered to the Trustee may surrender any of the powers reserved to the Company, and thereupon such power so surrendered shall terminate both as to the Company and as to any successor corporation. 

 

	SECTION 13.04	Notices. 

 Except as otherwise expressly provided herein any notice or demand that by any
provision of this Indenture is required or permitted to be given or served by the Trustee or by the holders of Securities to or on the Company may be given or served by being deposited first class postage prepaid in a post-office letterbox addressed
(until another address is filed in writing by the Company with the Trustee), as follows: Intra-Cellular Therapies, Inc., Attn:
[                    ], 430 East 29th Street, New York, New York 10016. Any notice, election, request or demand by the Company or any Securityholder
to or upon the Trustee shall be deemed to have been sufficiently given or made, for all purposes, if given or made in writing at the Corporate Trust Office of the Trustee. Any notice or communication to a holder shall be mailed by first-class mail
to his address shown on the Security Register kept by the Security Registrar. 

  
 34 

 
Failure to mail a notice or communication to a holder or any defect in such notice or communication shall not affect its sufficiency with respect to other holders. If a notice or communication is
mailed or sent in the manner provided above within the time prescribed, it is duly given as of the date it is mailed, whether or not the addressee receives it, except that notice to the Trustee or the Company shall only be effective upon receipt
thereof by the Trustee or the Company, respectively. If the Company mails a notice or communication to holders of Securities, it shall mail a copy to the Trustee at the same time. 

 

	SECTION 13.05	Governing Law. 

 This Indenture and each Security shall be deemed to be a contract made under
the internal laws of the State of New York, and for all purposes shall be construed in accordance with the laws of said State. 
  

	SECTION 13.06	Treatment of Securities as Debt. 

 It is intended that the Securities will be treated as
indebtedness and not as equity for federal income tax purposes. The provisions of this Indenture shall be interpreted to further this intention. 
  

	SECTION 13.07	Compliance Certificates and Opinions. 

  

	 	(a)	Upon any application or demand by the Company to the Trustee to take any action under any of the provisions of this Indenture, the Company, shall furnish to the Trustee an Officers’ Certificate stating that all
conditions precedent provided for in this Indenture relating to the proposed action have been complied with and an Opinion of Counsel stating that in the opinion of such counsel all such conditions precedent have been complied with, except that in
the case of any such application or demand as to which the furnishing of such documents is specifically required by any provision of this Indenture relating to such particular application or demand, no additional certificate or opinion need be
furnished. 

  

	 	(b)	Each certificate or opinion provided for in this Indenture and delivered to the Trustee with respect to compliance with a condition or covenant in this Indenture shall include (1) a statement that the Person making
such certificate or opinion has read such covenant or condition; (2) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based;
(3) a statement that, in the opinion of such Person, he has made such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with; and
(4) a statement as to whether or not, in the opinion of such Person, such condition or covenant has been complied with. 

  

	SECTION 13.08	Payments on Business Days. 

 Except as provided pursuant to Section 2.01 pursuant to a
Board Resolution, and as set forth in an Officers’ Certificate, or established in one or more indentures supplemental to this Indenture, in any case where the date of maturity of interest or principal of any Security or the date of redemption
of any Security shall not be a Business Day, then payment of interest or principal (and premium, if any) may be made on the next succeeding Business Day with the same force and effect as if made on the nominal date of maturity or redemption, and no
interest shall accrue for the period after such nominal date. 
  

	SECTION 13.09	Conflict with Trust Indenture Act. 

 If and to the extent that any provision of this Indenture
limits, qualifies or conflicts with the duties imposed by Sections 310 to 317, inclusive, of the Trust Indenture Act, such imposed duties shall control. 

  
 35 

	SECTION 13.10	Counterparts. 

 This Indenture may be executed in any number of counterparts, each of which
shall be an original, but such counterparts shall together constitute but one and the same instrument. 
  

	SECTION 13.11	Separability. 

 In case any one or more of the provisions contained in this Indenture or in the
Securities of any series shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Indenture or of such Securities, but this
Indenture and such Securities shall be construed as if such invalid or illegal or unenforceable provision had never been contained herein or therein. 
  

	SECTION 13.12	Assignment. 

 The Company will have the right at all times to assign any of its rights or
obligations under this Indenture to a direct or indirect wholly-owned Subsidiary of the Company, provided that, in the event of any such assignment, the Company, will remain liable for all such obligations. Subject to the foregoing, this Indenture
is binding upon and inures to the benefit of the parties thereto and their respective successors and assigns. This Indenture may not otherwise be assigned by the parties thereto. 

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

 

					
	INTRA-CELLULAR THERAPIES, INC.
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	
	
	[                                    
    ],
	As Trustee
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 36

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