Document:

Exhibit

Execution Version
Exhibit 10.2

FOURTH AMENDMENT AND ADDITIONAL TRANCHES OF TERM LOANS AMENDMENT TO
THIRD AMENDED AND RESTATED CREDIT AGREEMENT

THIS FOURTH AMENDMENT AND ADDITIONAL TRANCHES OF TERM LOANS AMENDMENT TO THIRD AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”) dated as of July 29, 2015, by and among HEALTHSOUTH CORPORATION, a Delaware corporation (the “Borrower”), the LENDERS party hereto and BARCLAYS BANK PLC, as administrative agent for the Lenders (in such capacity, the “Administrative Agent”).

WHEREAS, the Borrower, the Lenders, the Administrative Agent and the other parties thereto have entered into that certain Third Amended and Restated Credit Agreement dated as of August 10, 2012 (as amended, supplemented, restated or otherwise modified from time to time, the “Credit Agreement”);

WHEREAS, the Borrower, each Lender executing a signature page to this Amendment as an “Incremental Lender” with respect to the 2015A Term Loans (as defined below) (each a “2015A Incremental Lender”) and the Administrative Agent desire to amend the Credit Agreement to establish a Class of Additional Tranche Term Loans in the aggregate principal amount of up to $250,000,000 as provided in Section 2.20 of the Credit Agreement; 

WHEREAS, the Borrower, each Lender executing a signature page to this Amendment as an “Incremental Lender” with respect to the 2015B Term Loans (as defined below) (each a “2015B Incremental Lender”) and the Administrative Agent desire to amend the Credit Agreement to establish a Class of Additional Tranche Term Loans in the aggregate principal amount of up to $250,000,000 as provided in Section 2.20 of the Credit Agreement; 

WHEREAS, the Borrower, each 2014 Incremental Lender (as defined below) and the Administrative Agent desire to amend certain terms of the 2014 Term Loans on the terms and conditions contained herein; 

WHEREAS, the Borrower, each 2014A Incremental Lender (as defined below) and the Administrative Agent desire to amend certain terms of the 2014A Term Loans on the terms and conditions contained herein; and

WHEREAS, the Borrower, the Lenders and the Administrative Agent desire to amend certain other provisions of the Credit Agreement on the terms and conditions contained herein.

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the parties hereto, the parties hereto agree as follows:

Section 1.  Definitions.  Capitalized terms used in this Amendment and not otherwise defined herein shall have the respective meanings given such terms in the Credit Agreement.  

Section 2.  Additional Tranches of Term Loans.  

(a)    The Borrower, the 2015A Incremental Lenders and the Administrative Agent agree as follows:

(i)    Establishment of Class.  Pursuant to Section 2.20 of the Credit Agreement, there is hereby established under the Credit Agreement a new Class

LEGAL_US_E # 115916998.7 

of Term Loans (the “2015A Term Loans”) to be made available by the 2015A Incremental Lenders.  The respective amounts of the Term Commitments of each 2015A Incremental Lender to make 2015A Term Loans (each a “2015A Term Commitment”) are as set forth on Schedule A attached hereto.  Subject to the terms and conditions hereof and of the other Loan Documents, upon a request from the Borrower to the Administrative Agent pursuant to the following subsection (a)(ii), each 2015A Incremental Lender severally and not jointly agrees to make 2015A Term Loans to the Borrower during the period from the Amendment Effective Date through and including December 31, 2015, in an aggregate principal amount of up to $250,000,000.  The Borrowing of 2015A Term Loans shall be in an aggregate minimum amount of $15,000,000 and integral multiples of $1,000,000 in excess thereof.  Upon the funding of a 2015A Term Loan by a 2015A Incremental Lender, the 2015A Term Commitment of such Lender shall be reduced by the amount of such 2015A Term Loan.  In addition, at the close of business on December 31, 2015, the 2015A Term Commitments shall terminate whether or not drawn prior to such date.

(ii)    Borrowing Mechanics for 2015A Term Loans.  To request a Borrowing of 2015A Term Loans, the Borrower shall submit a Borrowing Request to the Administrative Agent which shall be submitted in the same manner and at the same times as, and subject to the same requirements of, a Borrowing Request for a Revolving Borrowing as provided in Section 2.03(b) of the Credit Agreement.  The Borrower may not submit more than three (3) Borrowing Requests for 2015A Term Loans.

(iii)    Terms of 2015A Term Loans.  The terms of the 2015A Term Loans shall be as follows:

(A)    The Maturity Date of the 2015A Term Loans shall be July 29, 2020.  The principal balance of the 2015A Term Loans shall be payable in equal consecutive quarterly installments with each such installment equal to 1.25% of the aggregate principal amount of 2015A Term Loans outstanding as of December 31, 2015 (after giving effect to any Borrowing on such date), commencing on March 31, 2016, on the last Business Day of each March, June, September and December of each year.

(B)    The Borrower agrees to pay to the Administrative Agent for the account of each 2015A Incremental Lender a commitment fee, which shall accrue at 0.375% per annum on the daily amount of the 2015A Term Commitment of such 2015A Incremental Lender during the period from and including the Amendment Effective Date to but excluding the date on which the 2015A Term Commitments terminate; provided, that (i) any commitment fee accrued with respect to any of the 2015A Term Commitment of a Defaulting Lender during the period prior to the time such Lender became a Defaulting Lender and unpaid at such time shall be payable by the Borrower so long as such commitment fee shall otherwise have been due and payable by the Borrower prior to such time of such Lender becoming a Defaulting Lender and (ii) no commitment fee shall accrue on any of the 2015A Term Commitment of a Defaulting Lender so long as such Lender shall be a Defaulting Lender.  

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Accrued commitment fees shall be payable in arrears on the date on which the last of the 2015A Term Commitments terminate.  All commitment fees shall be computed on the basis of a year of 360 days and shall be payable for the actual number of days elapsed (including the first day but excluding the last day).

(C)    The Applicable Rate for the 2015A Term Loans shall be (a) from the Amendment Effective Date until the date of delivery of the Compliance Certificate pursuant to Section 5.01(a)(iii) of the Credit Agreement for the first fiscal quarter ended after the Amendment Effective Date, a percentage, per annum, determined by reference to Category 2 in the below table; and (b) thereafter, at the applicable rate per annum set forth below under the caption “ABR Spread”, or “Eurodollar Spread”, as the case may be, based upon the Borrower’s Leverage Ratio as of the most recent determination date:

	
			
	Leverage Ratio:
	ABR 
Spread (%)
	Eurodollar 
Spread (%)

	Category 1 
> 4.50 to 1.00
	

1.25
	

2.25

	Category 2 
> 3.00 to 1.00 but ≤ 4.50 to 1.00
	

1.00
	

2.00

	Category 3 
> 1.75 to 1.00 but ≤ 3.00 to 1.00
	

0.75
	

1.75

	Category 4 
≤ 1.75 to 1.00
	

0.50
	

1.50

Except as set forth below, the Leverage Ratio used on any date to determine the Applicable Rate for 2015A Term Loans shall be based on the Leverage Ratio set forth in the certificate most recently delivered by the Borrower pursuant to Section 5.01(a)(iii) of the Credit Agreement; provided that (i) if any certificate required to have been delivered under Section 5.01(a)(iii) of the Credit Agreement shall not have been delivered, the Applicable Rate with respect to 2015A Term Loans shall, until such certificate shall have been delivered, be determined by reference to Category 1 in the above table and (ii) in the event of the incurrence of any Additional Tranche Term Loans in addition to the 2015A Term Loans, the Leverage Ratio used on any date on or after the date of such incurrence and prior to the date of delivery of the certificate pursuant to Section 5.01(a)(iii) at the time of delivery of the financial statements for the fiscal quarter during which such incurrence has occurred shall reflect the incurrence of such Additional Tranche Term Loans.  The determination of the Applicable Rate for 2015A Term Loans shall be subject to the provisions of Section 2.18(f) of the Credit Agreement.

    

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(D)    The Borrower shall have the right at any time and from time to time to prepay any Borrowing of 2015A Term Loans in whole or in part, subject to the requirements of Section 2.11 of the Credit Agreement.

(b)    The Borrower, the 2015B Incremental Lenders and the Administrative Agent agree as follows:

(i)    Establishment of Class.  Pursuant to Section 2.20 of the Credit Agreement, there is hereby established under the Credit Agreement a new Class of Term Loans (the “2015B Term Loans”) to be made available by the 2015B Incremental Lenders.  The respective amounts of the Term Commitments of each 2015B Incremental Lender to make 2015B Term Loans (each a “2015B Term Commitment”) are as set forth on Schedule A attached hereto.  Subject to the terms and conditions hereof and of the other Loan Documents, upon a request from the Borrower to the Administrative Agent pursuant to the following subsection (b)(ii), each 2015B Incremental Lender severally and not jointly agrees to make 2015B Term Loans to the Borrower during the period from the Amendment Effective Date through and including December 31, 2015, in an aggregate principal amount of up to $250,000,000.  The Borrowing of 2015B Term Loans shall be in an aggregate minimum amount of $15,000,000 and integral multiples of $1,000,000 in excess thereof.  Upon the funding of a 2015B Term Loan by a 2015B Incremental Lender, the 2015B Term Commitment of such Lender shall terminate.  In addition, at the close of business on December 31, 2015, the 2015B Term Commitments shall terminate if not drawn prior to such date.

(ii)    Borrowing Mechanics for 2015B Term Loans.  To request a Borrowing of 2015B Term Loans, the Borrower shall submit a Borrowing Request to the Administrative Agent which shall be submitted in the same manner and at the same times as, and subject to the same requirements of, a Borrowing Request for a Revolving Borrowing as provided in Section 2.03(b) of the Credit Agreement.  The Borrower may not submit more than one (1) Borrowing Request for 2015B Term Loans.

(iii)    Terms of 2015B Term Loans.  The terms of the 2015B Term Loans shall be as follows:

(A)    The Maturity Date of the 2015B Term Loans shall be July 29, 2020.  The principal balance of the 2015B Term Loans shall be payable in equal consecutive quarterly installments with each such installment equal to 1.25% of the aggregate principal amount of 2015B Term Loans outstanding as of December 31, 2015 (after giving effect to any Borrowing on such date), commencing on March 31, 2016, on the last Business Day of each March, June, September and December of each year.

(B)    The Borrower agrees to pay to the Administrative Agent for the account of each 2015B Incremental Lender a commitment fee, which shall accrue at 0.375% per annum on the daily amount of the 

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2015B Term Commitment of such 2015B Increment Lender during the period from and including the Amendment Effective Date to but excluding the date on which the 2015B Term Commitments terminate; provided, that (i) any commitment fee accrued with respect to any of the 2015B Term Commitment of a Defaulting Lender during the period prior to the time such Lender became a Defaulting Lender and unpaid at such time shall be payable by the Borrower so long as such commitment fee shall otherwise have been due and payable by the Borrower prior to such time of such Lender becoming a Defaulting Lender and (ii) no commitment fee shall accrue on any of the 2015B Term Commitment of a Defaulting Lender so long as such Lender shall be a Defaulting Lender.  Accrued commitment fees shall be payable in arrears on the date on which the last of the 2015B Term Commitments terminate.  All commitment fees shall be computed on the basis of a year of 360 days and shall be payable for the actual number of days elapsed (including the first day but excluding the last day).

(C)    The Applicable Rate for the 2015B Term Loans shall be (a) from the Amendment Effective Date until the date of delivery of the Compliance Certificate pursuant to Section 5.01(a)(iii) of the Credit Agreement for the first fiscal quarter ended after the Amendment Effective Date, a percentage, per annum, determined by reference to Category 2 in the below table; and (b) thereafter, at the applicable rate per annum set forth below under the caption “ABR Spread”, or “Eurodollar Spread”, as the case may be, based upon the Borrower’s Leverage Ratio as of the most recent determination date:

	
			
	Leverage Ratio:
	ABR 
Spread (%)
	Eurodollar 
Spread (%)

	Category 1 
> 4.50 to 1.00
	

1.25
	

2.25

	Category 2 
> 3.00 to 1.00 but ≤ 4.50 to 1.00
	

1.00
	

2.00

	Category 3 
> 1.75 to 1.00 but ≤ 3.00 to 1.00
	

0.75
	

1.75

	Category 4 
≤ 1.75 to 1.00
	

0.50
	

1.50

Except as set forth below, the Leverage Ratio used on any date to determine the Applicable Rate for 2015B Term Loans shall be based on the Leverage Ratio set forth in the certificate most recently delivered by the Borrower pursuant to Section 5.01(a)(iii) of the Credit Agreement; provided that (i) if any certificate required to have been delivered under Section 5.01(a)(iii) of the Credit Agreement shall not have been delivered, the Applicable Rate with respect to, 2015B Term Loans shall, 

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until such certificate shall have been delivered, be determined by reference to Category 1 in the above table and (ii) in the event of the incurrence of any Additional Tranche Term Loans in addition to the 2015B Term Loans, the Leverage Ratio used on any date on or after the date of such incurrence and prior to the date of delivery of the certificate pursuant to Section 5.01(a)(iii) at the time of delivery of the financial statements for the fiscal quarter during which such incurrence has occurred shall reflect the incurrence of such Additional Tranche Term Loans.  The determination of the Applicable Rate for 2015B Term Loans shall be subject to the provisions of Section 2.18(f) of the Credit Agreement.

(D)    The Borrower shall have the right at any time and from time to time to prepay any Borrowing of 2015B Term Loans in whole or in part, subject to the requirements of Section 2.11 of the Credit Agreement.

(E)    If after the Amendment Effective Date the Borrower or any Restricted Subsidiary shall issue or incur any Capital Markets Indebtedness (as defined below) and at the time of such issuance or incurrence the 2015B Term Commitments are in effect or any 2015B Term Loans are outstanding, then the amount of the 2015B Term Commitments shall be reduced, or if 2015B Term Loans are then outstanding, the Borrower shall cause to be prepaid an aggregate principal amount of 2015B Term Loans, in either case, by an amount equal to the lesser of (x) the Net Proceeds received from such issuance or incurrence of Capital Markets Indebtedness and (y) the amount of such 2015B Term Commitments or aggregate outstanding principal balance of 2015B Term Loans, as applicable; provided that the requirements of this sentence shall only apply if, and only to the extent that, the aggregate amount of Net Proceeds received by the Borrower or any Restricted Subsidiary from the issuance or incurrence of Capital Markets Indebtedness after the Amendment Effective Date exceeds $300,000,000.  The Borrower shall make any prepayment of the 2015B Term Loans required under this clause (E) on or prior to the date which is ten (10) Business Days after the receipt by the Borrower or such Restricted Subsidiary of such Net Proceeds.  Any reduction in the 2015B Term Commitments required under this clause (E) shall occur at the time of the issuance or incurrence of the applicable Capital Markets Indebtedness requiring such reduction.  For purposes of this clause (E), the term “Capital Markets Indebtedness” means any Indebtedness (other than Pari Passu Indebtedness) (i) in the form of, or represented by, bonds (other than surety bonds, indemnity bonds, performance bonds or bonds of a similar nature) or other securities or any Guarantee thereof and (ii) that is, or may be, quoted, listed or purchased and sold on any stock exchange, automated trading system or over-the-counter or other securities market (including, without prejudice to the generality of the foregoing, the market for securities eligible for resale pursuant to Rule 144A under the Securities Act).  It is understood and agreed by the parties hereto that concurrently with any payment of the principal of the Term Loans under the Credit Agreement (other than pursuant to this 

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clause (E), pursuant to Section 2.11(a) of the Credit Agreement with respect to a Borrowing of the 2015B Term Loans or otherwise expressly set forth in any other applicable Additional Tranche Term Loan Amendment), the principal of the 2015B Term Loans shall be deemed paid ratably based on the amounts of the outstanding principal amount of the Term Loans held by the 2015B Incremental Lenders.

(c)    To the extent any terms or conditions under this Amendment shall contradict or be in conflict with any terms or conditions under Section 2.20 of the Credit Agreement, each Lender party hereto hereby waives any such contradiction or conflict and agrees that the terms and conditions of this Amendment shall control.

Section 3.  Amendments to Terms of 2014 Term Loans.  The Borrower, the 2014 Incremental Lenders (as defined in the Second Amendment (as defined below)) and the Administrative Agent agree that the terms of the 2014 Term Loans (as defined in the Second Amendment) set forth in Section 2(c) of that certain Second Amendment and Additional Tranche Term Loan Amendment to Third Amended and Restated Credit Agreement dated as of September 22, 2014 (the “Second Amendment”), by and among the Borrower, the Lenders party thereto and the Administrative Agent are amended as follows:

(a)    Section 2(c)(i) of the Second Amendment is amended by restating such Section in its entirety as follows:

(i)    The Maturity Date of the 2014 Term Loans shall be July 29, 2020.  The principal balance of the 2014 Term Loans shall be payable in equal consecutive quarterly installments with each such installment equal to 1.25% of the aggregate principal amount of 2014 Term Loans outstanding as of March 31, 2015 (after giving effect to any Borrowing on such date), commencing on March 31, 2015, on the last Business Day of each March, June, September and December of each year other than September 30, 2015 and December 31, 2015.

(b)    Section 2(c)(iii) of the Second Amendment is amended by restating in its entirety the paragraph therein beginning with the phrase “Except as set forth below” as follows:

Except as set forth below, the Leverage Ratio used on any date to determine the Applicable Rate for 2014 Term Loans shall be based on the Leverage Ratio set forth in the certificate most recently delivered by the Borrower pursuant to Section 5.01(a)(iii) of the Credit Agreement; provided that (i) if any certificate required to have been delivered under Section 5.01(a)(iii) of the Credit Agreement shall not have been delivered, the Applicable Rate with respect to 2014 Term Loans shall, until such certificate shall have been delivered, be determined by reference to Category 1 in the above table and (ii) in the event of the incurrence of any Additional Tranche Term Loans in addition to the 2014 Term Loans, the Leverage Ratio used on any date on or after the date of such incurrence and prior to the date of delivery of the certificate pursuant to Section 5.01(a)(iii) at the time of delivery of the financial statements for the fiscal quarter during which such incurrence has occurred shall reflect the incurrence of such Additional Tranche Term Loans.  The determination of the Applicable Rate for 2014 Term Loans shall be subject to the provisions of Section 2.18(f) of the Credit Agreement.

Section 4. Amendments to Terms of 2014A Term Loans.  The Borrower, the 2014A Incremental Lenders (as defined in the 2014A Term Loan Tranche Amendment (as defined below)) and the Administrative Agent agree that the terms of the 2014A Term Loans (as defined in the 2014A Term Loan 

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Tranche Amendment) set forth in Section 2(c) of that certain Additional Tranche Term Loan Amendment to Third Amended and Restated Credit Agreement dated as of December 23, 2014 (the “2014A Term Loan Tranche Amendment”), by and among the Borrower, the 2014A Incremental Lenders and the Administrative Agent are amended as follows:

(a)    Section 2(c)(i) of the 2014A Term Loan Tranche Amendment is amended by restating such Section in its entirety as follows:  

(i)    The Maturity Date of the 2014A Term Loans shall be July 29, 2020.  The principal balance of the 2014A Term Loans shall be payable in equal consecutive quarterly installments with each such installment equal to 1.25% of the aggregate principal amount of 2014A Term Loans outstanding as of March 31, 2015 (after giving effect to any Borrowing on such date), commencing on March 31, 2015, on the last Business Day of each March, June, September and December of each year other than September 30, 2015 and December 31, 2015.

(b)    Section 2(c)(iii) of the 2014A Term Loan Tranche Amendment is amended by restating in its entirety the paragraph therein beginning with the phrase “Except as set forth below” as follows:

Except as set forth below, the Leverage Ratio used on any date to determine the Applicable Rate for 2014A Term Loans shall be based on the Leverage Ratio set forth in the certificate most recently delivered by the Borrower pursuant to Section 5.01(a)(iii) of the Credit Agreement; provided that (i) if any certificate required to have been delivered under Section 5.01(a)(iii) of the Credit Agreement shall not have been delivered, the Applicable Rate with respect to, 2014A Term Loans shall, until such certificate shall have been delivered, be determined by reference to Category 1 in the above table and (ii) in the event of the incurrence of any Additional Tranche Term Loans in addition to the 2014A Term Loans, the Leverage Ratio used on any date on or after the date of such incurrence and prior to the date of delivery of the certificate pursuant to Section 5.01(a)(iii) at the time of delivery of the financial statements for the fiscal quarter during which such incurrence has occurred shall reflect the incurrence of such Additional Tranche Term Loans.  The determination of the Applicable Rate for 2014A Term Loans shall be subject to the provisions of Section 2.18(f) of the Credit Agreement.

Section 5.  General Amendments to the Credit Agreement.  The parties hereto agree that the Credit Agreement is amended as follows:

(a)The Credit Agreement is amended by adding the following definitions in Section 1.01 thereof in the proper alphabetical order:

“2014 Term Loans” has the meaning assigned to such term in that certain Second Amendment and Additional Tranche Term Loan Amendment to Third Amended and Restated Credit Agreement dated as of September 22, 2014, by and among the Borrower, the Lenders party thereto and the Administrative Agent.

“2015A Term Loans” has the meaning assigned to that term in that certain Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement dated as of July 29, 2015, by and among the Borrower, the Lenders party thereto and the Administrative Agent.

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(b)The Credit Agreement is amended by replacing the reference to “September 20, 2019” in clause (a) of the definition of “Maturity Date” with a reference to “July 29, 2020”.
 
(c)The Credit Agreement is amended by restating the following definitions contained in Section 1.01 thereof in its entirety as follows:

“Defaulting Lender” means, subject to the second paragraph of Section 2.21, any Lender that (a) has failed to (i) fund all or any portion of its Loans within two Business Days of the date such Loans were required to be funded hereunder unless such Lender notifies the Administrative Agent and the Borrower in writing that such failure is the result of such Lender’s determination that one or more conditions precedent to funding (each of which conditions precedent, together with any applicable default, shall be specifically identified in such writing) has not been satisfied, or (ii) pay to the Administrative Agent, any Issuing Bank, any Swingline Lender or any other Lender any other amount required to be paid by it hereunder (including in respect of its participation in Letters of Credit or Swingline Loans) within two Business Days of the date when due, (b) has notified the Borrower, the Administrative Agent or any Issuing Bank or Swingline Lender in writing that it does not intend to comply with its funding obligations hereunder, or has made a public statement to that effect (unless such writing or public statement relates to such Lender’s obligation to fund a Loan hereunder and states that such position is based on such Lender’s determination that a condition precedent to funding (which condition precedent, together with any applicable default, shall be specifically identified in such writing or public statement) cannot be satisfied), (c) has failed, within three Business Days after written request by the Administrative Agent or the Borrower, to confirm in writing to the Administrative Agent and the Borrower that it will comply with its prospective funding obligations hereunder (provided that such Lender shall cease to be a Defaulting Lender pursuant to this clause (c) upon receipt of such written confirmation by the Administrative Agent and the Borrower), or (d) has, or has a direct or indirect parent company that has, (i) become the subject of a proceeding under any Debtor Relief Law, or (ii) had appointed for it a receiver, custodian, conservator, trustee, administrator, assignee for the benefit of creditors or similar Person charged with reorganization or liquidation of its business or assets, including the Federal Deposit Insurance Corporation or any other state or federal regulatory authority acting in such a capacity.  Any determination by the Administrative Agent that a Lender is a Defaulting Lender under any one or more of clauses (a) through (d) above shall be conclusive and binding absent manifest error, and such Lender shall be deemed to be a Defaulting Lender (subject to the second paragraph of Section 2.21) upon delivery of written notice of such determination to the Borrower, each Issuing Bank, each Swingline Lender and each Lender.  Notwithstanding the foregoing, a Lender shall not be a Defaulting Lender solely by virtue of the ownership or acquisition of any equity interest in that Lender or any direct or indirect parent company thereof by a Governmental Authority so long as such ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the United States or from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or such Governmental Authority) to reject, repudiate, disavow or disaffirm any contracts or agreements made with such Lender.

“Permitted Incremental Amount” means, at any time, (a) $300,000,000, less (b) the sum of (i) the aggregate principal amount of Pari Passu Indebtedness outstanding at such time, (ii) the aggregate principal amount of all Additional Tranche Term Loans 

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outstanding (excluding the 2014 Term Loans and the 2015A Term Loans) and all Additional Revolving Commitments outstanding at such time pursuant to Section 2.20(a) and (iii) the aggregate principal amount of any outstanding Indebtedness (including outstanding Commitments in respect of such Indebtedness) secured by Liens permitted under Section 6.06(e) prior to such time.

(d)The Credit Agreement is amended by adding after the end of Section 2.21 thereof the following new paragraph:

“If the Borrower, the Administrative Agent and each Swingline Lender and Issuing Bank agree in writing that a Lender is no longer a Defaulting Lender, the Administrative Agent will so notify the parties hereto, whereupon as of the effective date specified in such notice and subject to any conditions set forth therein (which may include arrangements with respect to any cash collateral), that Lender will, to the extent applicable, purchase at par that portion of outstanding Loans of the other Lenders or take such other actions as the Administrative Agent may determine to be necessary to cause the Loans to be held pro rata by the Lenders in accordance with their respective Commitments and funded and unfunded participations in Letters of Credit and Swingline Loans to be held pro rata by the Lenders in accordance with the Revolving Commitments (in each case, without giving effect to this first paragraph of this Section 2.21, whereupon such Lender will cease to be a Defaulting Lender; provided that no adjustments will be made retroactively with respect to fees accrued or payments made by or on behalf of the Borrower while that Lender was a Defaulting Lender; and provided, further, that except to the extent otherwise expressly agreed by the affected parties, no change hereunder from Defaulting Lender to Lender will constitute a waiver or release of any claim of any party hereunder arising from that Lender’s having been a Defaulting Lender.”

(e)The Credit Agreement is amended by restating Section 6.01(b) thereof in its entirety as follows:

(b)    Leverage Ratio.  The Borrower will not permit the Leverage Ratio at any time during any period set forth below to exceed the ratio set forth below opposite such period.

	
		
	Period
	Maximum Ratio

	Effective Date through December 31, 2010
	5.00 to 1.00

	January 1, 2011 through September 30, 2012
	4.75 to 1.00

	October 1, 2012 through September 30, 2014
	4.50 to 1.00

	October 1, 2014 through July 28, 2015
	4.25 to 1.00

	July 29, 2015 through June 30, 2017
	4.50 to 1.00

	July 1, 2017 and thereafter
	4.25 to 1.00

Section 6.  Conditions Precedent.  This Amendment shall become effective as of the date (the “Amendment Effective Date”) on which each of the following conditions precedent shall have first been satisfied (or waived, with respect to the 2015A Term Commitment and the making of any 2015A Term Loans, by the 2015A Incremental Lenders, with respect to the 2015B Term Commitment and the making of any 2015B term Loans, by the 2015B Incremental Lenders, with respect to the amendments contained in Section 3, all 2014 Incremental Lenders, with respect to the amendments contained in Section 4, all 2014A Incremental Lenders, and with respect to the amendments contained in Section 5, all Lenders): 

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(a)    The Administrative Agent shall have received counterparts of this Amendment duly executed by the Borrower, the Guarantors, and each of the Lenders.

(b)    The Administrative Agent shall have received favorable written opinions (addressed to the Administrative Agent and the Lenders and dated the Amendment Effective Date) of (a) the general counsel of the Borrower and (b) Alston & Bird LLP and other counsel for the Loan Parties, covering such matters relating to the Loan Parties or this Amendment as the Administrative Agent shall reasonably request and otherwise in form and substance reasonably satisfactory to the Administrative Agent.

(c)    The Administrative Agent shall have received from the Secretary or Assistant Secretary (or other individual performing similar functions) of each Loan Party a certificate certifying that any certified copies of any articles or certificate of incorporation or formation, operating agreement, partnership agreement, bylaws or similar organizational documents and resolutions of such Loan Party previously delivered to the Administrative Agent with respect to such Loan Party in connection with the Credit Agreement have not been amended, supplemented or otherwise modified since the date of such delivery, or if any of the foregoing has been amended, supplemented or otherwise modified (or, in the case of resolutions, if any additional resolutions regarding the Amendment have been adopted), copies of such amendments, supplements, modifications or resolutions certified by the Secretary or Assistant Secretary (or other individual performing similar functions) of such Loan Party.

(d)    The Administrative Agent shall have received a certificate, dated the Amendment Effective Date and signed by a Financial Officer of the Borrower, confirming that on the Amendment Effective Date: (i) the conditions set forth in paragraphs (a) and (b) of Section 4.02 of the Credit Agreement are satisfied, (ii) the Borrower is in pro forma compliance with the financial covenants set forth in Section 6.01 of the Credit Agreement both immediately before and immediately after the Amendment Effective Date and (iii) after giving effect to the 2015A Term Loans and 2015B Term Loans on a pro forma basis (assuming for purposes thereof that the 2015A Term Commitments and 2015B Term Commitments have been fully drawn), the Borrower and its Restricted Subsidiaries will be in compliance with a Senior Secured Leverage Ratio of not greater than 2.00:1.00.

(e)    The Administrative Agent and each applicable Lender shall have received all fees agreed to in writing by the Borrower and the Administrative Agent and to the extent invoiced at least one Business Day prior to the date of this Amendment, reimbursement or payment of all out-of-pocket expenses required to be reimbursed or paid by the Borrower pursuant to Section 9.03(a) of the Credit Agreement.

Section 7.  Representations.  The Borrower represents and warrants to the Lenders that:

(a)    Authorization.  Each of the Borrower and the other Loan Parties has the power and authority, and has taken all requisite corporate actions (including any required shareholder approval) required for the lawful execution, delivery and performance of this Amendment and the performance of the Credit Agreement, as amended by this Amendment, in accordance with their respective terms.  This Amendment has been duly executed and delivered by each Loan Party, and both this Amendment and the Credit Agreement, as amended by this Amendment, are legal, valid and binding obligations of the Borrower and are enforceable against the Borrower in accordance with their respective terms except as the enforceability thereof may be limited by bankruptcy, moratorium, insolvency, reorganization or similar laws affecting the enforceability of creditors’ rights generally and to the effect of general  principles of equity (whether considered in a proceeding at law or in equity).

(b)    Compliance with Organizational Documents.  The execution, delivery and performance of this Amendment and the other Loan Documents to which any Loan Party is a party (i) do not and will 

 11 

not violate any provisions of (A) any applicable law, rule or regulation, (B) any judgment, writ, order, determination, decree or arbitral award of any Governmental Authority or arbitral authority binding on the Borrower or any Restricted Subsidiary or its or any Restricted Subsidiary’s properties, or (C) the certificate of incorporation, bylaws or other organizational documents of the Borrower or any Restricted Subsidiary, as applicable; (ii) do not and will not be in conflict with, result in a breach of, violate, give rise to a right of prepayment under or constitute a default under, any material contract, indenture, agreement or other instrument or document to which the Borrower or any Restricted Subsidiary is a party, or by which the properties or assets of the Borrower or any Restricted Subsidiary are bound; and (iii) do not and will not result in the creation or imposition of any Lien upon any of the properties or assets of the Borrower or any Restricted Subsidiary (other than the Liens created by the Loan Documents).

(c)    Representations and Warranties.  The representations and warranties of the Borrower set forth in the Credit Agreement as amended hereby are true and correct in all material respects on and as of the Amendment Effective Date (except to the extent that any representation or warranty expressly relates to an earlier date, in which case such representation or warranty shall have been true and correct as of such earlier date); provided that any representation and warranty that is qualified as to materiality or material adverse effect shall, after giving effect to such qualifications as set forth therein, be true and correct in all respects.

(d)    No Default.  At the time of and immediately after giving effect to this Amendment, no
Default has occurred or is continuing.

Section 8.  Certain References.  Each reference to the Credit Agreement in any of the Loan Documents shall be deemed to be a reference to the Credit Agreement as amended by this Amendment.  

Section 9.  Benefits.  This Amendment shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns.

Section 10.  GOVERNING LAW.  THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

Section 11.  Effect.  Except as expressly set forth herein, this Amendment shall not by implication or otherwise limit, impair, constitute a waiver of or otherwise affect the rights and remedies of the Lenders or the Administrative Agent under the Credit Agreement or any other Loan Document, and shall not alter, modify, amend or in any way affect any of the terms, conditions, obligations, covenants or agreements contained in the Credit Agreement or any other provision of the Credit Agreement or any other Loan Document, all of which are ratified and affirmed in all respects and shall continue in full force and effect.  

Section 12.  Counterparts.  This Amendment may be executed in any number of counterparts, each of which shall be deemed to be an original and shall be binding upon all parties, their successors and assigns.  Delivery of an executed counterpart of a signature page of this Amendment by facsimile or other electronic transmission will be effective as delivery of a manually executed counterpart hereof.

Section 13.  Confirmation of Loan Documents.  As of the date of hereof and after giving effect to this Amendment, the Borrower hereby confirms and ratifies all of its obligations under the Credit Agreement and each other Loan Document to which it is a party.  By its execution on the respective signature lines provided below, as of the date hereof and after giving effect to this Amendment, each of the Guarantors hereby (a) confirms and ratifies all of its obligations and the Liens granted by it under the Loan Documents to which it is a party, (b) represents and warrants that the representations and warranties set forth herein, the Credit Agreement and in such other Loan Documents are true and correct in all 

 12 

material respects on the date hereof as if made on and as of such date (except to the extent that any representation or warranty expressly relates to an earlier date, in which case such representation or warranty shall have been true and correct as of such earlier date); provided that any representation and warranty that is qualified as to materiality or material adverse effect shall, after giving effect to such qualifications as set forth therein, be true and correct in all respects and (c) confirms that all references in such Loan Documents to the “Credit Agreement” (or words of similar import) refer to the Credit Agreement as amended hereby as of the date hereof without impairing any such obligations or Liens in any respect.  This Amendment is deemed to be a “Loan Document”, an “Additional Tranche Term Loan Amendment” with respect to the 2015A Term Loans, and an “Additional Tranche Term Loan Amendment” with respect to the 2015B Term Loans for the purposes of the Credit Agreement.  

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 13 

IN WITNESS WHEREOF, the parties hereto have caused this Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement to be executed as of the date first above written.

HEALTHSOUTH CORPORATION
		
	By:
	/s/ Douglas E. Coltharp     
Name: Douglas E. Coltharp 
Title: Executive Vice President and 

          Chief Financial Officer

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

GUARANTORS, in each case solely for the purpose of making the representations contained in the second sentence of Section 10:

CMS Jonesboro Rehabilitation, Inc.
Continental Medical of Arizona, Inc.
Continental Medical Systems, Inc.
Continental Rehabilitation Hospital of Arizona, Inc.
HEALTHSOUTH LTAC of Sarasota, Inc.
HEALTHSOUTH of Dothan, Inc.
HEALTHSOUTH of Nittany Valley, Inc.
HealthSouth Rehabilitation Institute of San Antonio (RIOSA), Inc.
HEALTHSOUTH of South Carolina, Inc.
HEALTHSOUTH of Spring Hill, Inc.
HEALTHSOUTH of Treasure Coast, Inc.
HEALTHSOUTH of Yuma, Inc.
HEALTHSOUTH Rehabilitation Center, Inc.
HealthSouth Rehabilitation Hospital The Woodlands, Inc.
HealthSouth Rehabilitation Center of New Hampshire, Inc.
HealthSouth Rehabilitation Hospital of Austin, Inc.
HEALTHSOUTH Rehabilitation Hospital of Manati, Inc.
HealthSouth Rehabilitation Hospital of Montgomery, Inc.
HealthSouth Rehabilitation Hospital of San Juan, Inc.
HealthSouth Rehabilitation Hospital of Texarkana, Inc.
Lakeshore System Services of Florida, Inc.
Rehab Concepts Corp.
REHABILITATION HOSPITAL OF COLORADO 
     SPRINGS, INC.
Rehabilitation Hospital of Nevada - Las Vegas, Inc.
SHERWOOD REHABILITATION HOSPITAL, INC.
TARRANT COUNTY REHABILITATION HOSPITAL, 
     INC.
Tyler Rehabilitation Hospital, Inc.
Western Neuro Care, Inc.

By: /s/ Edmund M. Fay                     
     Name: Edmund M. Fay 
     Title: Treasurer

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

Lakeview Rehabilitation Group Partners
		
	By:
	Continental Medical of Kentucky, Inc., its General Partner

Southern Arizona Regional Rehabilitation Hospital, L.P.
		
	By:
	Continental Rehabilitation Hospital of Arizona, Inc., its General Partner

Western Medical Rehab Associates, L.P.
		
	By:
	Western Neuro Care, Inc., 

 its Managing General Partner

By: /s/ Edmund M. Fay     
     Name: Edmund M. Fay 
     Title: Treasurer

Advantage Health, LLC 
HealthSouth Arizona Real Estate, LLC
HealthSouth Aviation, LLC 
HealthSouth Bakersfield Rehabilitation Hospital, LLC
HealthSouth California Real Estate, LLC
HealthSouth Cardinal Hill Rehabilitation Hospital, LLC
HealthSouth Colorado Real Estate, LLC
HealthSouth Deaconess Holdings, LLC
HealthSouth East Valley Rehabilitation Hospital, LLC
HealthSouth Harmarville Rehabilitation Hospital, LLC
HealthSouth Johnson City Holdings, LLC
HealthSouth Joint Ventures Holdings, LLC
HealthSouth Kansas Real Estate, LLC
HealthSouth Kentucky Real Estate, LLC
HealthSouth Littleton Rehabilitation, LLC
HealthSouth Martin County Holdings, LLC
HealthSouth Middletown Rehabilitation Hospital, LLC
HealthSouth Nevada Real Estate, LLC
HealthSouth New Mexico Real Estate, LLC
HealthSouth Pennsylvania Real Estate, LLC
HealthSouth Northern Kentucky Rehabilitation Hospital, LLC
HealthSouth of East Tennessee, LLC 
HealthSouth of Erie, LLC 
HealthSouth of Fort Smith, LLC 
HealthSouth of Pittsburgh, LLC 
HealthSouth Reading Rehabilitation Hospital, LLC 
HealthSouth of Toms River, LLC 
HealthSouth of York, LLC 
HealthSouth Ohio Real Estate, LLC
By: /s/ Edmund M. Fay         
     Name: Edmund M. Fay 
     Title: Treasurer

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

HealthSouth Owned Hospitals Holdings, LLC
HealthSouth Plano Rehabilitation Hospital, LLC
HealthSouth Properties, LLC 
HealthSouth Real Estate, LLC 
HealthSouth Real Property Holding, LLC 
HealthSouth Rehabilitation Hospital at Drake, LLC
HealthSouth Rehabilitation Hospital of Arlington, LLC
HealthSouth Rehabilitation Hospital of Beaumont, LLC
HealthSouth Rehabilitation Hospital of Charleston, LLC
HealthSouth Rehabilitation Hospital of Cypress, LLC
HealthSouth Rehabilitation Hospital of Desert Canyon, LLC
HealthSouth Rehabilitation Hospital of Fort Worth, LLC
HealthSouth Rehabilitation Hospital of Fredericksburg, LLC
HealthSouth Rehabilitation Hospital of Gadsden, LLC
HealthSouth Rehabilitation Hospital of Henderson, LLC
HealthSouth Rehabilitation Hospital of Humble, LLC
HealthSouth Rehabilitation Hospital of Largo, LLC
HealthSouth Rehabilitation Hospital of Las Vegas, LLC
HealthSouth Rehabilitation Hospital of Marion County, LLC
HealthSouth Rehabilitation Hospital of Mechanicsburg, LLC
HealthSouth Rehabilitation Hospital of Miami, LLC
HealthSouth Rehabilitation Hospital of Midland/Odessa, LLC
HealthSouth Rehabilitation Hospital of Modesto, LLC
HealthSouth Rehabilitation Hospital of New Mexico, LLC
HealthSouth Rehabilitation Hospital of Newnan, LLC
HealthSouth Rehabilitation Hospital of Northern Virginia, LLC
HealthSouth Rehabilitation Hospital of Petersburg, LLC
HealthSouth Rehabilitation Hospital of Sarasota, LLC
HealthSouth Rehabilitation Hospital of Seminole County, LLC
HealthSouth Rehabilitation Hospital of Sewickley, LLC 
HealthSouth Rehabilitation Hospital of South Jersey, LLC 
HealthSouth Rehabilitation Hospital of Sugar Land, LLC 
HealthSouth Rehabilitation Hospital of Tallahassee, LLC
HealthSouth Rehabilitation Hospital of Utah, LLC
HealthSouth Rehabilitation Institute of Tucson, LLC 
HealthSouth Savannah Holdings, LLC
HealthSouth Scottsdale Rehabilitation Hospital, LLC
HealthSouth Sea Pines Holdings, LLC
HealthSouth Specialty Hospital of North Louisiana, LLC

By: /s/ Edmund M. Fay     
     Name: Edmund M. Fay 
     Title: Treasurer

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

HealthSouth South Carolina Real Estate, LLC 
HealthSouth Sub-Acute Center of Mechanicsburg, LLC
HealthSouth Sunrise Rehabilitation Hospital, LLC
HealthSouth Support Companies, LLC
HealthSouth Texas Real Estate, LLC
HealthSouth Tucson Holdings, LLC
HealthSouth Utah Real Estate, LLC
HealthSouth Valley of the Sun Rehabilitation Hospital, LLC
HealthSouth Virginia Real Estate, LLC
HealthSouth Walton Rehabilitation Hospital, LLC 
HealthSouth Westerville Holdings, LLC
HealthSouth West Virginia Real Estate, LLC
New England Rehabilitation Management Co., LLC
Print Promotions Group, LLC 
Rebound, LLC 
Rehabilitation Hospital Corporation of America, LLC
Rehabilitation Hospital of Plano, LLC 
Rehabilitation Institute of Western Massachusetts, LLC 

By: /s/ Edmund M. Fay     
     Name: Edmund M. Fay 
     Title: Treasurer

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

BARCLAYS BANK PLC, as Administrative Agent, as Collateral Agent, as an Incremental Lender and as a Lender

By: /s/ Christopher R. Lee        
     Name: Christopher R. Lee
     Title:   Vice President

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

2015A INCREMENTAL LENDERS

BARCLAYS BANK PLC, as Administrative Agent, as Collateral Agent, as an Incremental Lender and as a Lender

By: /s/ Christopher R. Lee            
     Name: Christopher R. Lee
     Title:   Vice President

Bank of America, N.A., as an Incremental Lender and a Lender

By: /s/ Joseph L. Corah            
     Name: Joseph L. Corah
     Title:   Director

CITIBANK, N.A., as an Incremental 
Lender and a Lender

By: /s/ Stuart Dickson                
     Name: Stuart Dickson
     Title:   Managing Director

GOLDMAN SACHS BANK USA, as an Incremental Lender and a Lender

By: /s/ Ryan Durkin                
     Name: Ryan Durkin
     Title:   Authorized Signatory

JPMORGAN CHASE BANK N.A., as an Incremental 
Lender and a Lender

By: /s/ Dawn Lee Lum                
     Name: Dawn Lee Lum
     Title:   Executive Director

Morgan Stanley Bank, N.A., as an Incremental Lender
and a Lender

By: /s/ Michael King                
     Name: Michael King
     Title:   Authorized Signatory

[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

SunTrust Bank, as an Incremental Lender and a Lender

By: /s/ Joshua Turner                
     Name: Joshua Turner
     Title:   Vice President

Wells Fargo Bank National Association, as an incremental Lender and a Lender

By: /s/ Kirk Tesch                
     Name: Kirk Tesch
     Title:   Managing Director

ROYAL BANK OF CANADA, as an Incremental Lender and a Lender

By: /s/ Amy Promaine                
     Name: Amy Promaine
     Title:   Authorized Signatory

REGIONS BANK, as an Incremental Lender and a Lender

By: /s/ David A. Simmons            
     Name: David A. Simmons
     Title:   Senior Vice President

CADENCE BANK, N.A., as an Incremental Lender and a Lender

By: /s/ Gaines Livingston                
     Name: Gaines Livingston
     Title:   VP

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[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

2015B INCREMENTAL LENDERS

BARCLAYS BANK PLC, as Administrative Agent, as Collateral Agent, as an Incremental Lender and as a Lender

By: /s/ Christopher R. Lee            
     Name: Christopher R. Lee
     Title:   Vice President

Bank of America, N.A., as an Incremental Lender and a Lender

By: /s/ Joseph L. Corah            
     Name: Joseph L. Corah
     Title:   Director

CITIBANK, N.A., as an Incremental Lender and a Lender

By: /s/ Stuart Dickson                
     Name: Stuart Dickson
     Title:   Managing Director

GOLDMAN SACHS BANK USA, as an Incremental Lender and a Lender

By: /s/ Ryan Durkin                
     Name: Ryan Durkin
     Title:   Authorized Signatory

JPMORGAN CHASE BANK N.A., as an Incremental 
Lender and a Lender

By: /s/ Dawn Lee Lum                
     Name: Dawn Lee Lum
     Title:   Executive Director

Morgan Stanley Bank, N.A., as an Incremental Lender
and a Lender

By: /s/ Michael King                
     Name: Michael King
     Title:   Authorized Signatory

[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

SunTrust Bank, as an Incremental Lender and a Lender

By: /s/ Joshua Turner                
     Name: Joshua Turner
     Title:   Vice President

Wells Fargo Bank National Association, as an
Incremental Lender and a Lender

By: /s/ Kirk Tesch                
     Name: Kirk Tesch
     Title:   Managing Director

ROYAL BANK OF CANADA, as an Incremental Lender and a Lender

By: /s/ Amy Promaine                
     Name: Amy Promaine
     Title:   Authorized Signatory

[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

LENDERS

BARCLAYS BANK PLC, as Administrative Agent, as Collateral Agent, as an Incremental Lender and as a Lender

By: /s/ Christopher R. Lee            
     Name: Christopher R. Lee
     Title:   Vice President

Bank of America, N.A., as an Incremental Lender and a Lender

By: /s/ Joseph L. Corah            
     Name: Joseph L. Corah
     Title:   Director

CITIBANK, N.A., as an Incremental Lender and a Lender

By: /s/ Stuart Dickson                
     Name: Stuart Dickson
     Title:   Managing Director

GOLDMAN SACHS BANK USA, as an Incremental Lender and a Lender

By: /s/ Ryan Durkin                
     Name: Ryan Durkin
     Title:   Authorized Signatory

JPMORGAN CHASE BANK N.A., as an Incremental 
Lender and a Lender

By: /s/ Dawn Lee Lum                
     Name: Dawn Lee Lum
     Title:   Executive Director

Morgan Stanley Bank, N.A., as an Incremental Lender
and a Lender

By: /s/ Michael King                
     Name: Michael King
     Title:   Authorized Signatory

[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

SunTrust Bank, as an Incremental Lender and a Lender

By: /s/ Joshua Turner                
     Name: Joshua Turner
     Title:   Vice President

Wells Fargo Bank National Association, as an
Incremental Lender and a Lender

By: /s/ Kirk Tesch                
     Name: Kirk Tesch
     Title:   Managing Director

ROYAL BANK OF CANADA, as an Incremental Lender and a Lender

By: /s/ Amy Promaine                
     Name: Amy Promaine
     Title:   Authorized Signatory

REGIONS BANK, as an Incremental Lender and a Lender

By: /s/ David A. Simmons            
     Name: David A. Simmons
     Title:   Senior Vice President

CADENCE BANK, N.A., as an Incremental Lender and a Lender

By: /s/ Gaines Livingston            
     Name: Gaines Livingston
     Title:   VP

IBERIABANK, as a Lender

By: /s/ Joe Meduri                
     Name: Joe Meduri
     Title:   Senior Vice President

SYNOVUS BANK, as a Lender

By: /s/ Anne H. Lovette                
     Name: Anne H. Lovette
     Title:   Director
[Signature Page to Fourth Amendment and Additional Tranches of Term Loans Amendment to Third Amended and Restated Credit Agreement]

Schedule A

2015A Term Commitments of 2015A Incremental Lenders

	
		
	2015A Incremental Lender
	2015A Term Commitment

	Barclays Bank PLC
	$30,625,000

	Bank of America, N.A.
	$24,375,000

	Citibank, N.A.
	$24,375,000

	Goldman Sachs Bank USA
	$24,375,000

	JPMorgan Chase Bank, N.A.
	$24,375,000

	Morgan Stanley Bank, N.A.
	$24,375,000

	SunTrust Bank
	$24,375,000

	Wells Fargo Bank, N.A.
	$24,375,000

	Royal Bank of Canada
	$32,515,723

	Regions Bank
	$14,150,943

	Cadence Bank NA
	$2,083,334

	TOTAL
	$250,000,000

2015B Term Commitments of 2015B Incremental Lenders

	
		
	2015B Incremental Lender
	2015B Term Commitment

	Barclays Bank PLC
	$27,777,778

	Bank of America, N.A.
	$27,777,778

	Citibank, N.A.
	$27,777,778

	Goldman Sachs Bank USA
	$27,777,778

	JPMorgan Chase Bank, N.A.
	$27,777,778

	Morgan Stanley Bank, N.A.
	$27,777,778

	SunTrust Bank
	$27,777,778

	Wells Fargo Bank, N.A.
	$27,777,778

	Royal Bank of Canada
	$27,777,776

	TOTAL
	$250,000,000

LEGAL_US_E # 115916998.7EX-4.8

 Exhibit 4.8 

CHENIERE ENERGY, INC. 

2015 EMPLOYEE INDUCEMENT INCENTIVE PLAN 

1. ESTABLISHMENT OF PLAN. Cheniere Energy, Inc. establishes the “Cheniere Energy, Inc. 2015 Employee Inducement Incentive
Plan” effective as of the Effective Date. Awards granted under the Plan shall be subject to the terms and conditions of the Plan as set forth herein, as it may be amended from time to time. Each Award under the Plan is intended to qualify as an
inducement grant to a new employee under NYSE MKT Company Guide Section 711(a) (the “Listing Rule”) and, accordingly, notwithstanding any other provision of the Plan, no Awards shall be made under the Plan that are not in
compliance with the purpose, conditions and requirements of the Listing Rule. 
 2. PURPOSES. The purposes of the Plan are to
provide the Company an opportunity to attract and retain the best available Employees and to promote the growth and success of the Company’s business by aligning the financial interests of such Employees with that of the stockholders of the
Company. 
 3. DEFINITIONS. As used herein, unless the context requires otherwise, the following terms have the meanings
indicated below. 
 (a) “Affiliate” means (i) any entity in which the Company, directly or indirectly, owns 10%
or more of the combined voting power, as determined by the Committee, (ii) any “parent corporation” of the Company (as defined in section 424(e) of the Code), (iii) any “subsidiary corporation” of any such parent
corporation (as defined in section 424(f) of the Code) of the Company and (iv) any trades or businesses, whether or not incorporated which are members of a controlled group or are under common control (as defined in Sections 414(b) or
(c) of the Code) with the Company; provided, however, with respect to Awards of Options and Stock Appreciation Rights that are intended to be excluded from the application of Section 409A of the Code, the term affiliate will
be applied in a manner to ensure that the Common Stock covered by such Awards would be “service recipient stock” with respect to the Participants to whom the Awards are granted. 

(b) “Award” means any right granted under the Plan, including a Non-Qualified Stock Option, a Restricted Stock Award,
a Stock Appreciation Right, a Performance Award, a Phantom Stock Award or an Other Stock-Based Award, whether granted singly or in combination, to a Participant pursuant to the terms, conditions and limitations that the Committee may establish in
order to fulfill the objectives of the Plan. An Award may be granted under the Plan pursuant to a written Award agreement between the Company and a Participant, a written Award notice provided to the Participant of the Award, or a written program
adopted by the Company or the Committee establishing Awards under the Plan. Notwithstanding any other provision of the Plan relating to Award agreements, an Award of an Option or a Restricted Stock Award and related documents, including the Plan and
any prospectus for the Plan, may be delivered to a Participant in electronic format pursuant to such policies and procedures as adopted from time to time by the Company. If an Award or related documents are delivered in an electronic format and the
Participant consents to participate in the electronic Award procedures established by the Company with respect to the Plan by using his personal identification number to access the Award documents, such action by the Participant shall constitute the
Participant’s electronic signature and acceptance of the terms and conditions of the Award. 

 (c) “Board” means the Board of Directors of the Company. 

(d) “Cause” means, except as otherwise defined in the applicable Award agreement: 

(i) in the case of a Director, the commission of an act of fraud or intentional misrepresentation or an act of embezzlement,
misappropriation or conversion of assets or opportunities of the Company or any Affiliate; 
 (ii) in the case of a
Participant whose employment with the Company or an Affiliate is subject to the terms of a written employment agreement between such Participant and the Company or Affiliate, which employment agreement includes a definition of “Cause,” the
term “Cause” as used in the Plan or any agreement establishing an Award shall have the meaning set forth in such employment agreement during the period that such employment agreement remains in effect; and 

(iii) in all other cases, 

(A) the commission by Participant of a crime or other act of misconduct that causes or is likely to cause economic damage to
the Company or an Affiliate or injury to the business reputation of the Company or Affiliate; 
 (B) the commission by a
Participant of an act of fraud or dishonesty in the performance of Participant’s duties (or in the case of a Consultant, Participant’s services) on behalf of the Company or an Affiliate; 

(C) the violation by the Participant of the Company’s Code of Business Conduct and Ethics Policy; or 

(D) the failure of Participant to perform his or her duties at a level and in a manner satisfactory to the Company in its sole
discretion. 
 The determination of whether Cause exists with respect to an Executive Officer shall be made by the Board in its sole
discretion and the determination of whether Cause exists with respect to all other Participants shall be made by the Company’s Vice President of Human Resources in his or her sole discretion in consultation with the Company’s General
Counsel. 
 (e) “Change of Control” means the occurrence during the term hereof of any of the following events: 

(i) any “person” (as defined in Section 3(a)(9) of the Exchange Act and as modified in Section 13(d) and
14(d) of the Exchange Act) other than (A) the Company or any of its subsidiaries, (B) any employee benefit plan of the Company or any of its subsidiaries, (C) any Affiliate, (D) a company owned, directly or indirectly, by

  
 2 

 
stockholders of the Company, or (E) an underwriter temporarily holding securities pursuant to an offering of such securities, becomes the “beneficial owner” (as defined in Rule
13d-3 of the Exchange Act), directly or indirectly, of securities of the Company representing 30% or more of the shares of voting stock of the Company then outstanding; 

(ii) the consummation of any merger, organization, business combination or consolidation of the Company or one of its
subsidiaries with or into any other company, other than a merger, reorganization, business combination or consolidation which would result in the holders of the voting securities of the Company outstanding immediately prior thereto holding
securities which represent immediately after such merger, reorganization, business combination or consolidation more than 50% of the combined voting power of the voting securities of the Company or the surviving company or the parent of such
surviving company; 
 (iii) individuals who, as of the Effective Date, constitute the Board (the “Incumbent
Board”) cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the Effective Date whose election by the Board, was approved by a vote of at
least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs
as a result of an election contest with respect to the election or removal of directors or other solicitation of proxies or consents by or on behalf of a person other than the Board; or 

(iv) the consummation of a sale or disposition by the Company of all or substantially all of the Company’s assets, other
than a sale or disposition if the holders of the voting securities of the Company outstanding immediately prior thereto hold securities immediately thereafter which represent more than 50% of the combined voting power of the voting securities of the
acquiror, or parent of the acquiror, of such assets. 
 (f) “Code” means the Internal Revenue Code of 1986,
as amended, and any successor statute. Reference in the Plan to any section of the Code shall be deemed to include any amendments or successor provisions to such section and any Treasury regulations promulgated under such section. 

(g) “Committee” means a committee of the Board that satisfies the requirements for independence under the
Listing Rule and is comprised solely of two or more Non-Employee Directors in accordance with Rule 16b-3.  
 (h)
“Common Stock” means the common stock of the Company, $0.003 par value per share or the common stock that the Company may in the future be authorized to issue. 

(i) “Company” means Cheniere Energy, Inc., a Delaware corporation, and any successor corporation. 

(j) “Consultant” means any person (other than an Employee or a Director, solely with respect to rendering
services in such person’s capacity as a Director) who is engaged by the Company or any Affiliate to render consulting or advisory services to the Company or such Affiliate and who is a “consultant or advisor” within the meaning
of Rule 701 promulgated under the Securities Act or Form S-8 promulgated under the Securities Act. 

  
 3 

 (k) “Continuous Service” means, with respect to a Participant, the
provision of services to the Company or an Affiliate, or any successor, initially as an Employee, and continuing as an Employee, Director and/or Consultant without interruption or termination. Except as otherwise provided in a particular Award
agreement, service shall not be considered interrupted or terminated for this purpose in the case of (i) any approved leave of absence, (ii) transfers among the Company, any Affiliate, or any successor, in the capacity of an Employee, or
(iii) any change in status as long as the individual remains in the service of the Company or an Affiliate, or any successor, as an Employee, Director or Consultant. An approved leave of absence shall include sick leave, military leave or any
other authorized personal leave.  
 (l) “Director” means a member of the Board or the board of directors of
an Affiliate. 
 (m) “Disability” means, except as otherwise defined in an applicable Award agreement, the
“disability” of a person as defined in a then effective long-term disability plan maintained by the Company that covers such person or, if such a plan does not exist at any relevant time, the permanent and total disability of a person
within the meaning of Section 22(e)(3) of the Code. Section 22(e)(3) of the Code provides that an individual is totally and permanently disabled if he is unable to engage in any substantial gainful activity by reason of any medically
determinable physical or mental impairment which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than twelve (12) months. 

(n) “Effective Date” means September 16, 2015, the date the Plan was approved by the Compensation
Committee of the Board, as then constituted. 
 (o) “Eligible Individual” means any individual, not
previously an employee or Director of the Company or an Affiliate, or who has had a bona-fide period of non-employment with the Company and its Affiliates within the meaning of the Listing Rule, who is hired by the Company or one of its wholly owned
subsidiaries as an Employee. 
 (p) “Employee” means any person who is employed by the Company or one
of its wholly owned subsidiaries, as determined by the Company in good faith and in the exercise of its discretion.  
 (q)
“Executive Officer” means a person who is an “officer” of the Company or any Affiliate within the meaning of Section 16 of the Exchange Act (whether or not the Company is subject to the requirements of the
Exchange Act). 
 (r) “Exchange Act” means the Securities Exchange Act of 1934, as amended, and any
successor statute. Reference in the Plan to any section of the Exchange Act shall be deemed to include any amendments or successor provisions to such section and any rules and regulations relating to such section. 

(s) “Fair Market Value” means, as of any date, the value of the Common Stock determined as follows: 

  
 4 

 (i) If the Common Stock has an established market by virtue of being listed or
quoted on any registered stock exchange, the Fair Market Value of a share of Common Stock shall be the closing sales price for such a share of Common Stock (or the closing bid price, if applicable) on such exchange (or, if the Common Stock is listed
or traded on more than one registered exchange, on the exchange with the greatest volume of trading in the Common Stock) on the day of determination (or if no such price is reported on that day, on the last market trading day prior to the day of
determination), as reported in The Wall Street Journal or such other source as the Committee deems reliable. 
 (ii) In the
absence of any listing or quotation of the Common Stock on any such registered exchange, the Fair Market Value shall be determined in good faith by the Committee. 

(t) “Non-Employee Director” means a Director of the Company who either (i) is not an Employee or Executive
Officer, does not receive compensation (directly or indirectly) from the Company or an Affiliate in any capacity other than as a Director (except for an amount as to which disclosure would not be required under Item 404(a) of Regulation S-K),
does not possess an interest in any other transaction as to which disclosure would be required under Item 404(a) of Regulation S-K and is not engaged in a business relationship as to which disclosure would be required under Item 404(b) of
Regulation S-K or (ii) is otherwise considered a “non-employee director” for purposes of Rule 16b-3. 
 (u)
“Non-Qualified Stock Option” means an Option that is not intended to satisfy the requirements of Section 422 of the Code. 

(v) “Option” means an Award of an Option granted pursuant to Section 7 to purchase a specified number of
shares of Common Stock during the Option period for a specified exercise price. 
 (w) “Option
Agreement” means the written agreement or notice evidencing the grant of an Option executed by the Company and the Optionee or issued by the Company and accepted by the Optionee, including any amendments thereto. Each Option Agreement
shall be subject to the terms and conditions of the Plan. If an Option Agreement or related document is delivered to a Participant by electronic means, and the Participant consents to participate in the electronic Award procedures adopted by the
Company by using his personal identification number to access the Award documents, such action by the Participant shall constitute the Participant’s electronic signature and acceptance of the terms and conditions of the Award. 

(x) “Optionee” means a Participant to whom an Option has been granted under the Plan. 

(y) “Other Stock-Based Award” means an award granted pursuant to Section 12 that is not otherwise
specifically provided for in the Plan, the value of which is based in whole or in part by reference to, or otherwise based on or related to, shares of Common Stock.  

(z) “Participant” means any Eligible Individual to whom an Award has been granted under the Plan as an
inducement material to such Eligible Individual entering into employment with the Company or one of its wholly owned subsidiaries. The Company shall determine in  

  
 5 

 
good faith and in the exercise of its discretion whether an individual has become or has ceased to be an eligible Participant in accordance with the requirements of the Listing Rule. For purposes
of an individual’s rights, if any, under the Plan as of the time of the Company’s determination, all such determinations by the Company shall be final, binding and conclusive, notwithstanding that the Company or any court of law or
governmental agency subsequently makes a contrary determination. 
 (aa) “Performance Award” means an Award
granted pursuant to Section 11 to a Participant that is subject to the attainment of one or more Performance Goals. 

(bb) “Performance Goal” means a standard established by the Committee based on one or more business criteria
described in Section 11 to determine in whole or in part whether a Performance Award shall be earned. 
 (cc)
“Performance Period” means that period established by the Committee at the time any Performance Award is granted or at any time thereafter, during which any Performance Goals specified by the Committee with respect to such
Award are to be measured. 
 (dd) “Phantom Stock Agreement” means the written agreement evidencing a
Phantom Stock Award. Each Phantom Stock Agreement shall be subject to the terms and conditions of the Plan. 
 (ee)
“Phantom Stock Award” means an Award granted pursuant to Section 9. 
 (ff) “Plan”
means this Cheniere Energy, Inc. 2015 Employee Inducement Incentive Plan, as set forth herein and as it may be amended from time to time. 

(gg) “Regulation S-K” means Regulation S-K promulgated under the Securities Act, as it may be amended from time
to time, and any successor to Regulation S-K. Reference in the Plan to any item of Regulation S-K shall be deemed to include any amendments or successor provisions to such item. 

(hh) “Restricted Period” means the period established by the Committee with respect to an Award during which
the Award is subject to forfeiture or is not exercisable by the Participant and with respect to a Restricted Stock Award, the period during which the Forfeiture Restrictions as described in Section 10(a) apply to the Award. 

(ii) “Restricted Stock Agreement” means the written agreement evidencing the grant of a Restricted Stock Award
executed by the Company and the Participant or issued by the Company and accepted by the Participant, including any amendments thereto. Each Restricted Stock Agreement shall be subject to the terms and conditions of the Plan. If a Restricted Stock
Agreement or related document is delivered to a Participant by electronic means, and the Participant consents to participate in the electronic Award procedures adopted by the Company by using his personal identification number to access the Award
documents, such action by the Participant shall constitute the Participant’s electronic signature and acceptance of the terms and conditions of the Award. 

  
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 (jj) “Restricted Stock Award” means an Award granted under
Section 10 of shares of Common Stock issued to the Participant for such consideration, if any, and subject to such restrictions on transfer, rights of first refusal, repurchase provisions, forfeiture provisions and other terms and conditions,
as are established by the Committee. 
 (kk) “Rule 16b-3” means Rule 16b-3 promulgated under the
Exchange Act, as it may be amended from time to time, and any successor to Rule 16b-3. 
 (ll) “Section”
means a section of the Plan unless otherwise stated or the context otherwise requires. 
 (mm) “Securities
Act” means the Securities Act of 1933, as amended, and any successor statute. Reference in the Plan to any section of the Securities Act shall be deemed to include any amendments or successor provisions to such section and any rules and
regulations relating to such section. 
 (nn) “Stock Appreciation Rights” means an Award granted under
Section 8. 
 (oo) “Stock Appreciation Rights Agreement” means a written agreement with a Participant with
respect to an Award of Stock Appreciation Rights. 
 4. INCENTIVE AWARDS AVAILABLE UNDER THE PLAN. Awards granted under
this Plan may be (a) Non-Qualified Stock Options; (b) Restricted Stock Awards; (c) Stock Appreciation Rights; (d) Performance Awards; (e) Phantom Stock Awards; and (f) Other Stock-Based Awards. 

5. SHARES SUBJECT TO PLAN. Subject to adjustment pursuant to Section 13(a) hereof, the aggregate number of shares of Common
Stock that may be issued with respect to Awards granted under the Plan shall not exceed one million (1,000,000) shares (the “Share Pool Limit”). At all times during the term of the Plan, the Company shall allocate and keep
reserved such number of shares of Common Stock as will be required to satisfy the requirements of outstanding Awards under the Plan. Except as provided in Section 7(i) with respect to certain assumed or substituted options resulting from a
merger transaction, the number of shares reserved for issuance under the Plan in accordance with the previous sentence shall be reduced by the number of shares of Common Stock issued in connection with the exercise or settlement of an Award or used
to determine the amount of cash paid in connection with the exercise of Stock Appreciation Rights and the settlement of Phantom Stock Awards. Any shares of Common Stock covered by an Award (or a portion of an Award) that are forfeited or canceled or
that expire shall be deemed not to have been issued for purposes of determining the maximum aggregate number of shares of Common Stock which may be issued under the Share Pool Limit and shall remain available for Awards under the Plan. The shares to
be delivered under the Plan shall be made available from (a) authorized but unissued shares of Common Stock, (b) Common Stock held in the treasury of the Company, or (c) previously issued shares of Common Stock reacquired by the
Company, including shares purchased on the open market, in each case as the Committee may determine from time to time in its sole discretion. 

6. ELIGIBILITY. Awards may be granted only to an Eligible Individual as a material inducement to the individual becoming an
Employee, as provided in, and subject to  

  
 7 

 
satisfaction of the requirements under, the Listing Rule. The Committee in its sole discretion shall select the recipients of Awards. A Participant may be granted more than one Award under the
Plan as an inducement to his or her becoming an Employee. Awards may be granted at any time or times during the term of the Plan. Subject to the Listing Rule, the grant of an Award to an Employee shall not be deemed either to entitle that individual
to, or to disqualify that individual from, participation in any other grant of Awards under the Plan. All Awards under the Plan shall be approved by the Committee, and, promptly following an issuance of any Award under the Plan in reliance on the
Listing Rule, the Company shall disclose in a press release the material terms of the grant, all in accordance with the Listing Rule. As a condition to the receipt of any Award under the Plan, the Participant shall be deemed to have consented to any
such press release. 
 7. OPTIONS. 

(a) Terms and Conditions of Options. The Committee, in its sole discretion and subject to the terms and conditions of the Plan, may
grant Options to any Eligible Individual as a material inducement to the individual becoming an Employee, which grant shall become effective only if the individual actually becomes an Employee. Each Option under the Plan shall be granted as a
Non-Qualified Stock Option. The Committee shall determine the provisions, terms and conditions of each Option including, but not limited to, the vesting schedule, the number of shares of Common Stock subject to the Option, the exercise price of the
Option, the period during which the Option may be exercised, repurchase provisions, forfeiture provisions, methods of payment, and all other terms and conditions of the Option, subject to the following: 

(i) Form of Option Grant. Each Option granted under the Plan shall be evidenced by a written Option Agreement in such
form (which need not be the same for each Optionee) as the Committee from time to time approves, but which is not inconsistent with the Plan. 

(ii) Date of Grant. The date of grant of an Option shall be the date on which the Committee makes the determination to
grant such Option unless a later date is specified by the Committee at the time of such determination. The Option Agreement evidencing the Option shall be delivered to the Optionee, with a copy of the Plan and other relevant Option documents, within
a reasonable time after the date of grant. 
 (iii) Exercise Price. The exercise price of an Option shall be not less
than the Fair Market Value of the shares of Common Stock on the date of grant of the Option. The exercise price for each Option granted under this Section 7 shall be subject to adjustment pursuant to Section 13(a). 

(iv) Exercise Period. Options shall be exercisable within the time or times or upon the event or events determined by
the Committee and set forth in the Option Agreement; provided, however, that no Option shall be exercisable later than the expiration of ten (10) years from the date of grant of the Option. 

(v) Acceleration of Vesting. Any Option granted hereunder which is not otherwise vested shall vest (unless specifically
provided to the contrary by the Committee in the document or instrument evidencing an Option granted hereunder) upon (A) the involuntary termination of a Participant without Cause; (B) a Change of Control, but only as provided for in
Section 13(c); or (C) death or Disability of the Participant. 

  
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 (b) Transferability of Options. Options granted under the Plan, and any interest therein,
shall not be transferable or assignable by the Optionee, and may not be made subject to execution, attachment or similar process, otherwise than by will or by the laws of descent and distribution, and shall be exercisable during the lifetime of the
Optionee only by the Optionee; provided, however, that the Optionee may designate persons who or which may exercise his Options following his death. Notwithstanding the preceding sentence, Non-Qualified Stock Options may be transferred to
such family members, family member trusts, family limited partnerships and other family member entities as the Committee, in its sole discretion, may provide for in the Optionee’s Option Agreement and approve prior to any such transfer. No such
transfer will be approved by the Committee if the Common Stock issuable under such transferred Option would not be eligible to be registered on Form S-8 promulgated under the Securities Act. 

(c) Manner of Exercise. Options may be exercised in such manner as approved by the Company from time to time, including by delivery to
the Company of a written exercise notice or by an exercise election made by a Participant through an electronic procedure authorized by the Company (which method or procedure need not be the same for each Optionee), stating the number of shares of
Common Stock being purchased, the method of payment, and such other matters as may be deemed appropriate by the Company in connection with the issuance of shares of Common Stock upon exercise of the Option, together with payment in full of the
exercise price for the number of shares of Common Stock being purchased and satisfaction of the tax withholding provisions described in Section 15. 

(d) Payment of Exercise Price. Payment of the aggregate exercise price for the shares of Common Stock to be purchased upon exercise of
an Option may be made in cash (by check) or, if elected by the Optionee, in any of the following methods: (i) if a public market for the Common Stock exists, upon the Optionee’s written request, the Company may deliver certificates for the
shares of Common Stock for which the Option is being exercised to a broker for sale on behalf of the Optionee, provided that the Optionee has irrevocably instructed such broker to remit from the proceeds of such sale directly to the Company on the
Optionee’s behalf the full amount of the exercise price plus any taxes the Company is required to withhold; (ii) by surrender to the Company for cancellation of shares of Common Stock owned by the Optionee having an aggregate Fair Market
Value on the date of exercise equal to (or, to avoid the cancellation of fractional shares of Common Stock, less than) the aggregate exercise price of the shares of Common Stock being purchased upon such exercise; provided, that such surrendered
shares are not subject to any pledge or other security interest and have or meet such other requirements, if any, as the Committee may determine necessary in order to avoid an accounting earnings charge in respect of the Option being exercised;
(iii) by a “net exercise” method whereby the Company withholds from the delivery of shares of Common Stock subject to the Option (or the portion thereof that is being exercised) that number of whole shares having an aggregate Fair
Market Value on the date of exercise equal to (or, to avoid the issuance of fractional shares of Common Stock, less than) the aggregate exercise price of the shares of Common Stock being purchased upon such exercise; or (iv) by any combination
of the foregoing, including a cash payment. No shares of Common Stock may be issued until full payment of the purchase price thereof has been made. 

  
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 (e) Exercise of Option Following Termination of Continuous Service. 

(i) Subject to the other provisions of this Section 7(e), an Optionee may exercise an Option for a period of six
(6) months following the date the Optionee’s Continuous Service terminates, but in each case, only to the extent the Optionee was otherwise entitled to exercise the Option on the date the Optionee’s Continuous Service terminates. 

(ii) If the Optionee’s Continuous Service is terminated by the Company or an Affiliate for Cause, the Optionee’s
right to exercise the Option shall immediately terminate. 
 (iii) If the Optionee’s Continuous Service terminates as a
result of the Optionee’s Disability, the Optionee may exercise the Option for a period of one (1) year following the date the Optionee’s Continuous Service terminates. 

(iv) In the event of the termination of the Optionee’s Continuous Service as a result of the Optionee’s death, the
Optionee’s estate, or a person who acquired the right to exercise the Option by bequest or inheritance, may exercise the Option for a period of one (1) year following the Optionee’s date of death. 

(v) An Option shall terminate to the extent not exercised on the last day of the specified post-termination exercise periods
set forth above or the last day of the original term of the Option, whichever occurs first. 
 (vi) The Committee shall have
discretion to determine whether the Continuous Service of an Optionee has terminated, the effective date on which such Continuous Service terminates and whether the Optionee’s Continuous Service terminated as a result of the Disability of the
Optionee. The determination of whether a Participant’s Continuous Service was terminated for Cause shall be determined as provided for in Section 3(d). 

(f) Limitations on Exercise. 

(i) The Committee may specify a reasonable minimum number of shares of Common Stock or a percentage of the shares subject to
an Option that may be purchased on any exercise of an Option; provided, that such minimum number will not prevent Optionee from exercising the full number of shares of Common Stock as to which the Option is then exercisable. 

(ii) The obligation of the Company to issue any shares of Common Stock pursuant to the exercise of any Option shall be subject
to the condition that such exercise and the issuance and delivery of such shares pursuant thereto comply with the Securities Act, all applicable state securities laws and the requirements of any stock exchange or market-quotation system upon which
the shares of Common Stock may then be listed or 

  
 10 

 
quoted, as in effect on the date of exercise. The Company shall be under no obligation to register the shares of Common Stock with the Securities and Exchange Commission or to effect compliance
with the registration, qualification or listing requirements of any state securities laws or stock exchange or market-quotation system, and the Company shall have no liability for any inability or failure to do so. 

(iii) As a condition to the exercise of an Option, the Company may require the person exercising such Option to represent and
warrant at the time of any such exercise that the shares of Common Stock are being purchased only for investment and without any present intention to sell or distribute such shares of Common Stock if, in the opinion of counsel for the Company, such
a representation is required by any securities or other applicable laws. 
 (g) Modification, Extension And Renewal of Options. The
Committee shall have the power to modify, cancel, extend (subject to the provisions of Section 7(a)(iv) hereof) or renew outstanding Options and to authorize the grant of new Options and/or Restricted Stock Awards in substitution therefor, in
each case, to the extent (if any) as may be permitted in accordance with the Listing Rule with respect to employee inducement awards; provided, however, that (i) except as permitted by Section 13(a), any such action may not reprice
any outstanding Option to reduce the exercise price thereof, directly or indirectly, without the approval of the stockholders of the Company and, (ii) without the written consent of any affected Optionee, (A) impair any rights under any
Option previously granted to such Optionee or (B) cause the Option or the Plan to become subject to Section 409A of the Code. Notwithstanding anything to the contrary contained in this Section 7(g), no Option may be replaced with
another Award that would have a higher intrinsic value than the value of the Option at the time of its replacement. 
 (h) Privileges of
Stock Ownership. No Optionee will have any of the rights of a stockholder with respect to any shares of Common Stock subject to an Option until such Option is properly exercised and the purchased shares are issued and delivered to the Optionee,
as evidenced by an appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company. No adjustment shall be made for dividends or distributions or other rights for which the record date is prior to such date of
issuance and delivery, except as provided in the Plan. 
 (i) Acquisitions and Other Transactions. The Committee may, from time to
time, assume outstanding options granted by another entity, whether in connection with an acquisition of such other entity or otherwise, by either (i) granting an Option under the Plan in replacement of or in substitution for the option assumed
by the Company, or (ii) treating the assumed option as if it had been granted under the Plan if the terms of such assumed option could be applied to an Option granted under the Plan. Such assumption shall be permissible if the holder of the
assumed option would have been eligible to be granted an Option hereunder if the other entity had applied the rules of the Plan to such grant. The Committee also may grant Options under the Plan in settlement of or substitution for outstanding
options or obligations to grant future options in connection with the Company or an Affiliate acquiring another entity, an interest in another entity or an additional interest in an Affiliate, whether by merger, stock purchase, asset purchase or
other form of transaction. Shares of Common Stock subject to an assumed or substituted option resulting from a merger transaction involving the Company or an Affiliate will not reduce 

  
 11 

 
the Share Pool Limit described in Section 5. Notwithstanding the foregoing provisions of this Section 7, in the case of an Option issued or assumed pursuant to this Section 7(i),
the exercise price for the Option shall be determined in accordance with the principles of Sections 424(a) and 409A of the Code. 
 8.
STOCK APPRECIATION RIGHTS. The Committee may grant Stock Appreciation Rights to any Eligible Individual as a material inducement to the individual becoming an Employee, which grant shall become effective only if the individual actually
becomes an Employee. The terms and conditions of Stock Appreciation Rights, including the vesting and exercise provisions, shall be set forth in a Stock Appreciation Rights Agreement (which need not be the same for each Participant) in such form as
the Committee approves, but which is not inconsistent with the Plan. A Stock Appreciation Right may be granted (i) if unrelated to an Option, at any time, or (ii) if related to an Option, either at the time of grant or at any time
thereafter during the term of the Option. The exercise price of any Stock Appreciation Right shall be not less than the Fair Market Value of the Common Stock on the grant date of the Award. 

(a) Payment of Stock Appreciation Rights. A Stock Appreciation Right is a right to receive, upon exercise of the right, shares of
Common Stock or their cash equivalent in an amount equal to the increase, if any, in Fair Market Value of the Common Stock between the grant and exercise dates. The Committee may specifically designate in a Stock Appreciation Rights Agreement that
the Award will be settled (i) only in cash, (ii) only in shares of Common Stock or (iii) in such combination of such forms and, if not so provided in the Stock Appreciation Rights Agreement, the Award will be settled in shares of
Common Stock unless the Committee determines, at the time of exercise of the Award, that the Award will be settled in cash or a combination of shares of Common Stock and cash. 

(b) Tandem Rights. Stock Appreciation Rights may be granted in connection with the grant of an Option, in which case (i) the Stock
Appreciation Rights shall be exercisable at such time or times and only to the extent that the related Option is exercisable, (ii) exercise of Stock Appreciation Rights will result in the surrender of the right to purchase the shares under the
Option as to which the Stock Appreciation Rights were exercised and (iii) the Stock Appreciation Rights will not be transferable (other than by will or the laws of descent and distribution) except to the extent the Related Option is
transferable. Upon the exercise of an Option granted in connection with Stock Appreciation Rights, the Stock Appreciation Rights shall be cancelled to the extent of the number of shares of Common Stock as to which the Option is exercised or
surrendered. 
 (c) Stock Appreciation Rights Unrelated to an Option. Stock Appreciation Rights unrelated to Options shall contain
such terms and conditions as to exercisability, vesting and duration as the Committee shall determine, but in no event shall they have a term greater than ten (10) years. Each such Stock Appreciation Right that is unrelated to an Option may be
exercised by the Participant for a period of six (6) months following the date the Participant’s Continuous Service terminates, but only to the extent the Participant was otherwise entitled to exercise the Stock Appreciation Right on the
date the Participant’s Continuous Service terminates (and in no event later than the expiration date of the Award); provided, however, that if the Participant’s Continuous Service terminates for Cause, the Optionee’s right to
exercise the Stock Appreciation Right shall immediately terminate. 

  
 12 

 (d) Date of Grant. The date of grant of an Award of Stock Appreciation Rights shall be the
date on which the Committee makes the determination to grant such Award unless a later date is specified by the Committee at the time of such determination. 

9. PHANTOM STOCK AWARDS. The Committee may, from time to time and subject to the terms of the Plan, grant Phantom Stock Awards
to any Eligible Individual as a material inducement to the individual becoming an Employee, which grant shall become effective only if the individual actually becomes an Employee. Each Phantom Stock Award Agreement shall be in such form and contain
such terms and conditions (which need not be the same for each Participant who receives a Phantom Stock Award) as the Committee shall deem appropriate, but such terms shall take into account the provisions of Section 409A of the Code applicable
to the Award. The Award date of a Phantom Stock Award shall be the date on which the Committee makes the determination to grant the Award unless a later date is specified by the Committee at the time of such determination.  

(a) Payment of Phantom Stock Awards. A Phantom Stock Award is a right to receive a specified number of shares of Common Stock or cash
equal to the Fair Market Value of a specified number of shares of Common Stock issued or paid at the end of a Restricted Period or the last day of a specified deferral period. 

(i) Award and Restrictions. Satisfaction of a Phantom Stock Award shall occur upon expiration of the deferral period or
a Restricted Period specified for such Phantom Stock Award by the Committee (which may include a risk of forfeiture), if any, as the Committee may impose. Such restrictions may lapse at the expiration of the deferral period or at earlier specified
times (including based on achievement of performance goals and/or future service requirements), separately or in combination, installments or otherwise, as the Committee may determine. 

(ii) Award Period; Forfeiture. The Committee shall establish, at the time of grant of each Phantom Stock Award, a
period over which (or the conditions with respect to which) the Award shall vest with respect to the Participant and the time at which the Award will be settled and paid. Except as otherwise determined by the Committee or as may be set forth in any
Phantom Stock Award Agreement, employment or other agreement pertaining to a Phantom Stock Award, upon termination of the Participant’s Continuous Service during the applicable deferral period or Restricted Period (including any applicable
Performance Period) or portion thereof to which forfeiture conditions apply, all Phantom Stock Awards that are at that time subject to deferral of a Restricted Period shall be forfeited; provided that the Committee, subject to the provisions and
limitations contained in Section 11 relating to Performance Awards, may provide at the time of grant of a Phantom Stock Award that restrictions or forfeiture conditions relating to Phantom Stock Awards shall be waived in whole or in part in the
event of terminations of Continuous Service resulting from specified causes. 

  
 13 

 10. RESTRICTED STOCK AWARDS. The Committee may, from time to time and subject to
the terms of the Plan, grant Restricted Stock Awards to any Eligible Individual as a material inducement to the individual becoming an Employee, which grant shall become effective only if the individual actually becomes an Employee. Each Restricted
Stock Agreement shall be in such form and shall contain such terms and conditions as the Committee shall deem appropriate. The terms and conditions of such Restricted Stock Agreements may change from time to time, and the terms and conditions of
separate Restricted Stock Agreements need not be identical, but each such Restricted Stock Agreement shall be subject to the terms and conditions of this Section 10.  

(a) Forfeiture Restrictions. Shares of Common Stock that are the subject of a Restricted Stock Award shall be subject to restrictions
on disposition by the Participant and to an obligation of the Participant to forfeit and surrender the shares to the Company under certain circumstances (the “Forfeiture Restrictions”). The Forfeiture Restrictions and the Restricted
Period shall be determined by the Committee in its sole discretion, and the Committee may provide that the Forfeiture Restrictions and the Restricted Period shall lapse on the passage of time, the attainment of one or more Performance Goals
established by the Committee or the occurrence of such other event or events determined to be appropriate by the Committee. The Forfeiture Restrictions applicable to a particular Restricted Stock Award (which may differ from any other such
Restricted Stock Award) shall be stated in the Restricted Stock Agreement and vesting of such Restricted Stock Award shall occur upon the lapse of the Forfeiture Restrictions applicable to such Restricted Stock Award. 

(b) Rights as Stockholder. Shares of Common Stock awarded pursuant to a Restricted Stock Award shall be represented by a stock
certificate registered in the name of the Participant of such Restricted Stock Award or by a book entry account with the Company’s transfer agent. Except as otherwise provided in the Restricted Stock Agreement, a Participant shall have the
right to receive dividends with respect to the shares of Common Stock subject to a Restricted Stock Award, to vote the shares of Common Stock subject thereto and to enjoy all other stockholder rights with respect to the shares of Common Stock
subject thereto, except that, unless provided otherwise in the Restricted Stock Agreement, (i) the Participant shall not be entitled to delivery of the stock certificates evidencing the shares of Common Stock or release of transfer restrictions
on shares of Common Stock held in a book entry account with the Company’s transfer agent until the Forfeiture Restrictions have expired, (ii) the Company or an escrow agent shall retain custody of the stock certificates evidencing the
shares of Common Stock (or such shares shall be held in a book entry account with the Company’s transfer agent) until the Forfeiture Restrictions expire and (iii) the Participant may not sell, transfer, pledge, exchange, hypothecate or
otherwise dispose of the shares of Common Stock until the Forfeiture Restrictions expire. 
 (c) Release of Common Stock. One or more
stock certificates representing shares of Common Stock, free of Forfeiture Restrictions, shall be delivered to the Participant (or the transfer restrictions on shares of Common Stock held in a book entry account for the Participant will be released)
promptly after, and only after, the Forfeiture Restrictions expire and Participant has satisfied all applicable federal, state and local income and employment tax withholding requirements. The Participant, by his acceptance of the Restricted Stock
Award, shall irrevocably grant to the Company a power of attorney to transfer any shares so forfeited to the 

  
 14 

 
Company and agrees to execute any documents requested by the Company in connection with such forfeiture and transfer, and such provisions regarding transfers of forfeited shares of Common Stock
shall be specifically performable by the Company in a court of equity or law. 
 (d) Payment for Restricted Stock. The Committee
shall determine the amount and form of any payment for shares of Common Stock received pursuant to a Restricted Stock Award; provided, that in the absence of such a determination, the Participant shall not be required to make any payment for shares
of Common Stock received pursuant to a Restricted Stock Award, except to the extent otherwise required by law. 
 (e) Forfeiture of
Restricted Stock. Unless otherwise provided in a Restricted Stock Agreement, on termination of the Participant’s Continuous Service during the Restricted Period, the shares of Common Stock which are still subject to the Restricted Stock
Award shall be forfeited by the Participant. Upon any forfeiture, all rights of the Participant with respect to the forfeited shares of the Common Stock subject to the Restricted Stock Award shall cease and terminate, without any further obligation
on the part of the Company. Notwithstanding the foregoing (but subject to the provisions and limitations contained in Section 11 relating to Performance Awards), unless the Award specifically provides otherwise, all Restricted Stock not
otherwise vested shall vest upon (i) the involuntary termination by the Company or an Affiliate of a Participant without Cause; (ii) a Change of Control, but only as provided for in 13(c); or (iii) death or Disability of the
Participant. 
 (f) Waiver of Forfeiture Restrictions; Committee’s Discretion. The Committee shall have discretion to modify or
waive the Performance Goals or conditions to the grant or vesting of a Restricted Stock Award except as otherwise provided in Section 16(g) or the relevant Award agreement. 

11. PERFORMANCE GOALS. The Committee may, in its sole discretion, condition the grant or vesting of any Award upon the
achievement of one or more Performance Goals over a Performance Period established by the Committee in its sole discretion in accordance with this Section 11 (any such Awards herein referred to as a “Performance Award”). 

 (a) General. The Performance Goals for Performance Awards shall consist of one or more business criteria and a targeted level
or levels of performance with respect to each of such criteria, as specified by the Committee. The Committee may use such business criteria and other measures of performance as it may deem appropriate in establishing any performance conditions. The
Committee may determine that such Performance Awards shall be granted and/or settled upon achievement of any one Performance Goal or that two or more of the Performance Goals must be achieved as a condition to the grant and/or settlement of such
Performance Awards. Performance Goals may differ among Performance Awards granted to any one Participant or for Performance Awards granted to different Participants. 

(b) Business Criteria. The Performance Goals shall be established by the Committee from time to time in its sole discretion.
Performance Goals may relate to performance of one or more business units, divisions or subsidiaries of the Company or the applicable sector of the Company, one or more regions or product lines of the Company’s business, or the Company as a
whole, and if so desired by the Committee, by comparison with a peer group of companies. Any 

  
 15 

 
of Performance Goals may be determined, in the sole discretion of the Committee, on the absolute or relative basis or as compared to the performance of a published or special index deemed
applicable by the Committee including, but not limited to, the Standard & Poor’s 500 Stock Index or a group of comparable companies. 

(c) Performance Period; Timing for Establishing Performance Goals. Achievement of performance goals in respect of Performance Awards
may be measured based on performance over a Performance Period, as specified by the Committee in its sole discretion, or may be determined based on whether or not the performance goals are satisfied at any time prior to the expiration of a
Performance Period. 
 (d) Settlement of Performance Awards; Compensation Contingent Upon Attainment of Performance Goal. In the case
of a performance goal measured over a Performance Period, at or after the end of the Performance Period, the Committee shall determine the amount, if any, of Performance Awards payable to each Participant based upon achievement of the business
criteria over a Performance Period. In the case of a performance goal satisfied based upon whether or not certain specified business criteria are achieved at any time during a Performance Period, at or following the satisfaction of the applicable
business criteria (even if prior to the expiration of the applicable Performance Period), the Committee shall determine the amount, if any, of Performance Awards payable to each Participant upon the achievement of the applicable business criteria.
The Committee shall specify the circumstances in which such Performance Awards shall be paid or forfeited in the event of termination of Continuous Service by the Participant prior to the end of a Performance Period or settlement of Performance
Awards. 
 (e) Written Determinations. The Committee shall have the authority to determine whether the Performance Goals and other
terms and conditions of the Award satisfied all determinations by the Committee as to the establishment of Performance Goals, the amount of any Performance Award, and the achievement of Performance Goals relating to Performance Awards shall be made
in writing in the case of any Award granted to a Participant. 
 (f) Waiver of Performance Goals. The Committee shall have discretion
to modify or waive the Performance Goals or conditions to the grant or vesting of a Performance Award except as otherwise provided in Section 16(g) or the relevant Award agreement. 

12. OTHER STOCK-BASED AWARDS. 

The Committee is hereby authorized to grant to any Eligible Individual as a material inducement to the individual becoming an Employee, which
grant shall become effective only if the individual actually becomes an Employee, Other Stock-Based Awards, which shall consist of a right that (i) is not an Award described in any other Section of the Plan and (ii) is denominated or
payable in, valued in whole or in part by reference to, or otherwise based on or related to, shares of Common Stock (including, without limitation, securities convertible into shares of Common Stock), as deemed by the Committee to be consistent with
the purposes of the Plan. Subject to the terms of the Plan, the Committee shall determine the terms and conditions of any such Other Stock-Based Award. The term of an Award granted under this Section 12 shall in no event exceed a period of ten
(10) years (or if the Award is intended to satisfy the provisions of Section 11, such shorter period provided for in Section 11). 

  
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 13. ADJUSTMENT UPON CHANGES IN CAPITALIZATION AND CORPORATE EVENTS. 

(a) Capital Adjustments. The number of shares of Common Stock (i) covered by each outstanding Award granted under the Plan, the
exercise or purchase price of such outstanding Award, and any other terms of the Award that the Committee determines requires adjustment and (ii) available for issuance under Section 5 shall be proportionately adjusted or an equitable
substitution shall be made with respect to such shares to reflect, as determined by the Committee, any increase or decrease in the number of shares of Common Stock resulting from a stock dividend, stock split, reverse stock split, extraordinary cash
dividend resulting from a nonrecurring event that is not a payment of normal corporate earnings, combination, reclassification or similar change in the capital structure of the Company without receipt of consideration, subject to any required action
by the Board or the stockholders of the Company and compliance with applicable securities laws or other applicable laws; provided, however, that a fractional share will not be issued upon exercise of any Award, and either (i) the value
of any fraction of a share of Common Stock that would have resulted will be cashed out at Fair Market Value or (ii) the number of shares of Common Stock issuable under the Award will be rounded down to the nearest whole number, as determined by
the Committee. Except as the Committee determines, no issuance by the Company of shares of capital stock of any class, or securities convertible into shares of capital stock of any class, shall affect, and no adjustment by reason hereof shall be
made with respect to, the number or price of shares of Common Stock subject to an Award. Notwithstanding the foregoing provisions of this Section 13, no adjustment may be made by the Committee with respect to an outstanding Award that would
cause such Award and/or the Plan to become subject to Section 409A of the Code. 
 (b) Dissolution or Liquidation. The Committee
shall notify the Participant at least twenty (20) days prior to any proposed dissolution or liquidation of the Company. Unless provided otherwise in an individual Award, to the extent that an Award has not been previously exercised or settled,
or the Restricted Period has not lapsed, any such Award other than a Restricted Stock Award shall expire and any such Award that is a Restricted Stock Award shall be forfeited and the shares of Common Stock subject to such Restricted Stock Award
shall be returned to the Company, in each case, immediately prior to consummation of such dissolution or liquidation, and such Award shall terminate immediately prior to consummation of such dissolution or liquidation. A “dissolution or
liquidation of the Company” shall not be deemed to include, or to be occasioned by, any merger or consolidation of the Company with any other corporation or other entity or any sale of all or substantially all of the assets of the Company
(unless that sale is effected as part of a plan of liquidation of the Company in which the Company’s business and affairs are wound up and the corporate existence of the Company is terminated). 

(c) Change of Control. Unless specifically provided otherwise with respect to Change of Control events in an individual Option
Agreement, Stock Appreciation Rights Agreement or in a then-effective written employment agreement between the Participant and the Company, if, during the effectiveness of the Plan, a Change of Control occurs, each Option and Stock Appreciation
Right which is at the time outstanding under the Plan shall (i) automatically become fully vested and exercisable, immediately prior to the specified effective date of such Change of Control, for all of the shares of Common Stock at the time
represented by such Option 

  
 17 

 
or Stock Appreciation Right and (ii) expire twenty (20) days after the Committee gives written notice to the Participant specifying the terms and conditions of the acceleration of the
Participant’s Options or Stock Appreciation Rights, or if earlier, the date by which the Option or Stock Appreciation Right otherwise would expire. To the extent that an Optionee exercises his Option before or on the effective date of the
Change of Control, the Company shall issue all Common Stock purchased by exercise of that Option (subject to Optionee’s satisfaction of the requirements of Section 15), and those shares of Common Stock shall be treated as issued and
outstanding for purposes of the Change in Control. If a Participant does not exercise his Option within the twenty (20) day period described above, or if earlier, the date by which the Option or Stock Appreciation Right otherwise would expire,
the Option or Stock Appreciation Right shall immediately be forfeited and the Participant shall have no further rights to exercise the Option or Stock Appreciation Right. Notwithstanding the foregoing provisions, in the event of any Change of
Control, all of the Company’s obligations regarding Options and Stock Appreciation Rights that were granted hereunder and that are outstanding and vested on the date of such event (taking into consideration any acceleration of vesting in
connection with such transaction) may, on such terms as may be approved by the Committee prior to such event, be (i) assumed by the surviving or continuing corporation (or substituted options of equal value may be issued by such corporation) or
(ii) canceled in exchange for cash, securities of the acquiror or other property in an amount equal to the amount that would have been payable to a Participant pursuant to the Change of Control event if the Participant’s vested Options and
Stock Appreciation Rights had been fully exercised immediately prior to the Change of Control event; provided, however, that if the amount that would have been payable to a Participant pursuant to such transaction if such
Participant’s vested Options and Stock Appreciation Rights had been fully exercised immediately prior thereto would be equal to or less than the aggregate exercise price that would have been payable therefor, the Committee may, in its
discretion, cancel any or all such Options for no consideration or payment of any kind. 
 Unless specifically provided otherwise
with respect to Change of Control events in an individual Award or in a then-effective written employment agreement between the Participant and the Company, if, during the effectiveness of the Plan, a Change of Control occurs, the Restricted Period
applicable to outstanding Restricted Stock Awards and all other outstanding Awards subject to forfeiture provisions (other than Awards consisting of Options or Stock Appreciation Rights) shall lapse and such Awards shall become fully vested and
settled (subject, in each case, to satisfaction by the affected Participant of the requirements of Section 15); provided, however, if the Award is treated as “nonqualified deferred compensation” under Section 409A of the
Code and the Award provides for a payment as a result of a Change of Control, (i) the definition of Change of Control for purposes of applying this Section 13(c) and for purposes of determining whether a payment event has occurred shall,
in lieu of the definition contained in Section 3(f), be the definition assigned to a “change in the ownership or effective control of a corporation, or change in the ownership of a substantial portion of the assets of a corporation”
contained in Treasury Regulation Section 1.409A-3(i)(5), using the default percentages contained in such Treasury Regulation and (ii) the Company must be the relevant corporation described in Treasury Regulation
Section 1.409A-3(i)(5)(ii).  

  
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 14. GENERAL PROVISIONS APPLICABLE TO ALL AWARDS. 

(a) General. In addition to the other terms and conditions of the Plan pursuant to which Awards may be granted, the Committee may
impose on any Award or the exercise thereof, such additional terms and conditions, not inconsistent with the provisions of the Plan, as the Committee shall determine, including terms requiring forfeiture of Awards in the event of termination of
Continuous Service by the Participant and, to the extent permissible under Section 409A of the Code, terms permitting a Participant to make elections relating to his or her Award. The Committee shall retain full power and discretion to
accelerate or waive, at any time, any term or condition of an Award that is not mandatory under the Plan; provided, however, that the Committee shall not have any discretion to accelerate or waive any term or condition of an Award that
would cause the Participant to incur additional taxes under Section 409A of the Code. Except in cases in which the Committee is authorized to require other forms of consideration under the Plan, or to the extent other forms of consideration
must be paid to satisfy the requirements of the Delaware General Corporation Law, no consideration other than services may be required for the grant of any Award. 

(b) Form of Award. Each Award granted under the Plan shall be evidenced by a written Award in such form (which need not be the same for
each Participant) as the Committee from time to time approves, but which is not inconsistent with the Plan, including any provisions that may be necessary to assure that Awards satisfy the requirements of Section 409A of the Code to avoid the
imposition of excise taxes thereunder. 
 (c) Awards Criteria. In determining the amount and value of Awards to be granted, the
Committee may take into account the responsibility level, performance, potential, other Awards and such other considerations with respect to a Participant as it deems appropriate. 

(d) Form and Timing of Payment under Awards. Subject to the terms of the Plan and any applicable Award, payments to be made upon the
exercise or settlement of an Award shall be made as soon as administratively practicable following the date on which the amount is payable. The settlement of any Award may, subject to any specific provisions or limitations set forth in the Award, be
paid in the form of cash, Common Stock or a combination thereof, as determined by the Committee in connection with such settlement; provided, however, that no Award may be paid in cash in lieu of shares of Common Stock if the Committee
determines that such action would cause the Participant to be subject to an additional tax under Section 409A of the Code. 
 (e)
Termination of Continuous Service for Cause. In the event a Participant’s Continuous Service is terminated for Cause, all outstanding Awards that have then not been settled (whether vested or unvested) shall be forfeited immediately and
any shares of Restricted Stock for which the Restricted Period had not lapsed as of the Participant’s termination of Continuous Service shall be transferred immediately out of the Participant’s name. 

(f) Transferability of Awards. Except as provided in Section 7(b) with respect to Non-Qualified Stock Options, Awards granted
under the Plan, and any interest therein, shall not be transferable or assignable by the Participant, and may not be made subject to execution, attachment or similar process, otherwise than by will or by the laws of descent and distribution, and
shall be exercisable or payable during the lifetime of the Participant only by the Participant; provided, that the Participant may designate persons who or which may exercise or receive his Awards following his death. 

  
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 (g) Privileges of Stock Ownership. Except as provided in the Plan in Section 10(b)
with respect to Restricted Stock Awards, no Participant will have any of the rights of a shareholder with respect to any shares of Common Stock subject to an Award until such Award is properly exercised or settled and the purchased or awarded shares
are issued and delivered to the Participant, as evidenced by an appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company. No adjustment shall be made for dividends or distributions or other rights for which
the record date is prior to such date of issuance and delivery, except as provided otherwise in the Plan. 
 (h) Section 409A.

 (i) Separation from Service. Notwithstanding any provision contained in the Plan to the contrary, no amount shall
be paid pursuant to the Plan that is treated being paid from a “nonqualified deferred compensation plan” as described in Section 409A(a)(1) of the Code relating to a Participant’s termination of Continuous Service with the
Company or an Affiliate unless such termination of Continuous Service constitutes a “separation from service” as such term is defined under Treasury Regulation Section 1.409A-1(h) and any successor provision thereto
(“Separation from Service”). 
 (ii) Deferred Payments for Certain Key Employees. Notwithstanding
any other provision contained in the Plan or a related Award document to the contrary, if the Company determines that (i) at the time of the Participant’s Separation from Service the Participant is a “specified employee” for
purposes of Section 409A(a)(2)(B)(i) of the Code and (ii) any payments to be provided to the Participant under the Plan are or may become subject to the additional tax under Section 409A(a)(1)(B) of the Code or any other taxes or
penalties imposed under Section 409A of the Code (“409A Taxes”) if paid at the time such payments are otherwise required under the Plan or a related Award document, then such payments shall be delayed until the earlier of
(A) the date that is six months after the date of the Participant’s Separation from Service or (B) the Participant’s death. If the amounts delayed are payable in installments, the delayed payments will be paid on the first day of
the seventh month following the date of the Participant’s separation from service (or earlier death). The provisions of this Section 15(i)(ii) shall only apply to the minimum extent required to avoid the Participant’s incurrence of
any 409A Taxes. 
 (iii) Section 409A Compliance; Separate Payments. The Plan is intended to be written,
administered, interpreted and construed in a manner such that no payment or benefits provided under the Plan or a related Award document become subject to (A) the gross income inclusion set forth within Section 409A(a)(1)(A) of the Code or
(B) the interest and additional tax set forth within Section 409A(a)(1)(B) of the Code (collectively, “Section 409A Penalties”), including, where appropriate, the construction of defined terms to have meanings that would
not cause the imposition of Section 409A Penalties. For purposes of Section 409A of the Code (including, without limitation, for purposes of Treasury Regulation Section 1.409A-2(b)(2)(iii)), each payment that a Participant may be
eligible to receive under the Plan or a related Award document shall be treated as a separate and distinct payment and shall not collectively be treated as a single payment. 

  
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 15. TAXES.  

(a) Generally. Any issuance of Common Stock pursuant to the exercise of an Option or payment of any other Award under the Plan shall
not be made until appropriate arrangements satisfactory to the Company have been made for the payment of any tax amounts (including, and without limitation, any income and employment taxes (whether federal, state, local or otherwise) and any United
Kingdom income tax and national insurance contributions) that may be required to be withheld or paid by the Company with respect thereto. In addition, on the occurrence of an event with respect to an Award that requires the Company to withhold
taxes, the Participant shall make arrangements satisfactory to the Company whereby such taxes may be paid. Such arrangements may, at the discretion of the Committee, include allowing the person to tender to the Company shares of Common Stock owned
by the person, or to request the Company to withhold shares of Common Stock being acquired pursuant to the Award, whether through the exercise of an Option or as a distribution pursuant to the Award, together with payment of any remaining portion of
such tax amounts in cash or by check payable and acceptable to the Company. 
 Notwithstanding the foregoing, if on the date of an event
giving rise to a tax withholding obligation on the part of the Company the person is an Executive Officer or individual subject to Rule 16b-3, such person may direct that such tax withholding be effectuated by the Company withholding the necessary
number of shares of Common Stock (at the tax rate required by the Code) from such Award payment or exercise. 
 (b) Assumption of
Employer NIC Liability. If and to the extent that the Participant’s earnings are subject to United Kingdom National Insurance Contribution payments in connection with the vesting or settlement of any shares underlying a Non-Qualified Stock
Option or a Restricted Stock Award under the Plan, then to the extent required by the Company in its sole discretion, as a condition to the Participant’s receiving and retaining any such Award, the applicable Participant hereby agrees as
follows: (i) in relation only to the award of a Non-Qualified Stock Option or a Restricted Stock Award, the Participant consents to and agrees to satisfy any liability the Company and/or any subsidiary realizes with respect to United Kingdom
Secondary Class 1 National Insurance Contribution payments required to be paid by the Company and/or any subsidiary in connection with the vesting or settlement of the relevant Non-Qualified Stock Option or Restricted Stock Award; (ii) the
Participant authorizes the Company or any subsidiary to withhold any such Secondary Class 1 National Insurance Contributions from the payroll or the sale of a sufficient number of shares of Common Stock upon the exercise, vesting or settlement of
the relevant Non-Qualified Stock Option or Restricted Stock Award, or in the alternative, Participant agrees to make payment on demand for such contributions by cash or check to the Company or any subsidiary that will remit such contributions to HM
Revenue & Customs; (iii) if additional consents and/or any elections are required to accomplish the foregoing, the Participant agrees to provide them promptly upon request; and (iv) if the foregoing is not allowed under applicable
law, the Company may rescind the relevant Non-Qualified Stock Option or Restricted Stock Award. 

  
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 (c) Election under Section 431 Income Tax (Earnings and Pensions) Act 2003
(“ITEPA”). To the extent that a Participant is subject to United Kingdom income tax in connection with the receipt of a Restricted Stock Award, the Committee may, in its sole discretion, require the Participant, as a condition of
receiving and retaining such an Award, (i) to enter into a joint election (with his or her employer) under section 431 of ITEPA in respect of the any shares or other securities acquired as a result of acquiring and holding such Award and
(ii) to appoint the Company as his attorney to make any joint election and related arrangements under this Section 15(c). 

16. MISCELLANEOUS. 

(a) No Rights to Awards. No Participant or other person shall have any claim to be granted any Award, there is no obligation for
uniformity of treatment of Participants, or holders or beneficiaries of Awards and the terms and conditions of Awards need not be the same with respect to each recipient. 

(b) Governing Law. The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan shall be
determined in accordance with applicable federal law and the laws of the State of Delaware, without regard to any principles of conflicts of law. 

(c) Other Laws. The Committee may refuse to issue or transfer any shares of Common Stock or other consideration under an Award if,
acting in its sole discretion, it determines that the issuance of transfer or such shares or such other consideration might violate any applicable law. 

(d) Administration. The Plan shall be administered by the Committee. The Committee shall interpret the Plan and any Awards granted
pursuant to the Plan and shall prescribe such rules and regulations in connection with the operation of the Plan as it determines to be advisable for the administration of the Plan. The Committee may rescind and amend its rules and regulations from
time to time. The interpretation by the Committee of any of the provisions of the Plan or any Award granted under the Plan shall be final, binding and conclusive upon the Company and all persons having an interest in any Award or any shares of
Common Stock acquired pursuant to an Award. Notwithstanding the authority hereby delegated to the Committee to grant Awards to Eligible Individual under the Plan, the Committee shall have full authority to grant Awards to Employees under the Plan,
to interpret the Plan, to provide, modify and rescind rules and regulations relating to the Plan, to determine the terms and provision of Awards granted to Employees under the Plan and to make all other determinations and perform such actions as the
Committee deems necessary or advisable to administer the Plan, in each case, to the extent (and solely to the extent) permitted under the Listing Rule. No member of the Committee or the Board shall be liable for any action taken or determination
made in good faith with respect to the Plan or any Award granted hereunder. Except to the extent prohibited by applicable securities or other laws (including the Listing Rule), the Committee may delegate to one or more individuals the day-to-day
administration of the Plan and any of the functions assigned to it in this Plan. Such delegation may be revoked at any time. To the extent of any delegation by the Committee, references to the Committee in the Plan and any Award Agreement shall be
deemed also to include reference to the applicable delegate(s). 

  
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 (e) Effect of Plan. Neither the adoption of the Plan nor any action of the Board (or an
authorized committee thereof) or the Committee shall be deemed to give any Eligible Individual, Employee, Executive Officer, Director or other service provider of the Company and its Affiliates any right to be granted an Award or any other rights
except as may be evidenced by the Award, or any amendment thereto, duly authorized by the Committee and executed on behalf of the Company, and then only to the extent and on the terms and conditions expressly set forth therein. The existence of the
Plan and the Awards granted hereunder shall not affect in any way the right of the Board (or an authorized committee thereof), the Committee or the stockholders of the Company to make or authorize any adjustment, recapitalization, reorganization or
other change in the Company’s capital structure or its business, any merger or consolidation or other transaction involving the Company, any issue of bonds, debentures, or shares of preferred stock ahead of or affecting the Common Stock or the
rights thereof, the dissolution or liquidation of the Company or any sale or transfer of all or any part of the Company’s assets or business, or any other corporate act or proceeding by or for the Company. Nothing contained in the Plan or in
any Award, or in other related documents shall confer upon any Participant any right with respect to such person’s Continuous Service or interfere or affect in any way with the right of the Company or an Affiliate to terminate such
person’s Continuous Service at any time, with or without cause. 
 (f) No Effect on Retirement and Other Benefit Plans. Except
as specifically provided in a retirement or other benefit plan of the Company or an Affiliate, Awards shall not be deemed compensation for purposes of computing benefits or contributions under any retirement plan of the Company or an Affiliate, and
shall not affect any benefits under any other benefit plan of any kind or any benefit plan subsequently instituted under which the availability or amount of benefits is related to level of compensation. The Plan is not a “Retirement Plan”
or “Welfare Plan” under the Employee Retirement Income Security Act of 1974, as amended. 
 (g) Amendment or Termination of
Plan. The Board (or an authorized committee thereof) or the Committee in its discretion may, at any time or from time to time after the date of adoption of the Plan, terminate or amend the Plan in any respect, including amendment of any form of
Award, exercise agreement or instrument to be executed pursuant to the Plan; provided, however, to the extent necessary to comply with the Code, other applicable laws, or the applicable requirements of any stock exchange or national market
system, the Company shall obtain stockholder approval of any Plan amendment in such manner and to such a degree as required. No Award may be granted after termination of the Plan. Any amendment or termination of the Plan shall not affect Awards
previously granted, and such Awards shall remain in full force and effect as if the Plan had not been amended or terminated, unless mutually agreed otherwise in a writing (including an amendment to the terms of an Award) signed by the Participant
and the Company. Notwithstanding the preceding sentence, the Board (or an authorized committee thereof) or the Committee unilaterally may amend the Plan to the extent necessary or appropriate to prevent the Plan or an Award from being subject to the
provisions of Section 409A of the Code; provided that any such amendment is permitted by Section 409A of the Code, Treasury regulations issued thereunder or other guidance issued by the Internal Revenue Service. 

(h) Term of Plan. Unless sooner terminated by action of the Board (or an authorized committee thereof) or the Committee, the Plan shall
terminate on the earlier of (i) the tenth (10th) anniversary of the Effective Date or (ii) the date on which no shares of Common Stock subject to the Plan remain available to be granted as Awards under the Plan according to its provisions.

  
 23 

 (i) Severability and Reformation. The Company intends all provisions of the Plan to be
enforced to the fullest extent permitted by law. Accordingly, should a court of competent jurisdiction determine that the scope of any provision of the Plan is too broad to be enforced as written, the court should reform the provision to such
narrower scope as it determines to be enforceable. If, however, any provision of the Plan is held to be wholly illegal, invalid, or unenforceable under present or future law, such provision shall be fully severable and severed, and the Plan shall be
construed and enforced as if such illegal, invalid, or unenforceable provision were never a part hereof, and the remaining provisions of the Plan shall remain in full force and effect and shall not be affected by the illegal, invalid, or
unenforceable provision or by its severance. 
 (j) Interpretive Matters. Whenever required by the context, pronouns and any
variation thereof shall be deemed to refer to the masculine, feminine, or neuter, and the singular shall include the plural, and vice versa. The term “include” or “including” does not denote or imply any limitation. The captions
and headings used in the Plan are inserted for convenience and shall not be deemed a part of the Plan for construction or interpretation. 

  
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