Document:

crisp_agreementxfilewith

EXECUTION VERSION 

 

TABLE OF CONTENTS Page Article I PURCHASE AND SALE........................................................................................ 2 Section 1.1 Purchase and Sale of Assets........................................................................... 2 Section 1.2 Excluded Assets.............................................................................................. 2 Section 1.3 Assumed Liabilities........................................................................................ 2 Section 1.4 Excluded Liabilities........................................................................................ 3 Section 1.5 Purchase Price................................................................................................. 4 Article II OTHER CLOSING TRANSACTIONS................................................................. 4 Section 2.1 Closing............................................................................................................ 4 Section 2.2 Certain Closing Deliveries.............................................................................. 4 Section 2.3 Closing Payments........................................................................................... 6 Section 2.4 Post-Closing Adjustment................................................................................ 6 Section 2.5 Deferred Consideration................................................................................... 9 Section 2.6 Earnout Consideration.................................................................................... 9 Section 2.7 Payments for Administrative Convenience.................................................... 10 Section 2.8 Withholding.................................................................................................... 10 Article III REPRESENTATIONS AND WARRANTIES OF SELLERS............................. 11 Section 3.1 Due Organization and Good Standing............................................................ 11 Section 3.2 Title to Purchased Assets; Sufficiency of Purchased Assets.......................... 11 Section 3.3 Authority; Binding Nature of Agreement....................................................... 11 Section 3.4 Non-Contravention; Consents........................................................................ 12 Section 3.5 Financial Statements; Undisclosed Liabilities................................................ 13 Section 3.6 Absence of Certain Changes........................................................................... 14 Section 3.7 Intellectual Property........................................................................................ 14 Section 3.8 Information Technology................................................................................. 17 Section 3.9 Privacy............................................................................................................ 18 Section 3.10 TPCA and FTC Matters.................................................................................. 19 Section 3.11 Real Property.................................................................................................. 19 Section 3.12 Material Contracts.......................................................................................... 20 Section 3.13 Compliance with Laws; Permits..................................................................... 22 Section 3.14 Compliance with Sanctions; Anti-Corruption; Customs and Trade Laws..... 23 Section 3.15 Claims; Orders................................................................................................ 24 Section 3.16 Certain Payments............................................................................................ 24 Section 3.17 Tax Matters..................................................................................................... 24 Section 3.18 Employee Benefits.......................................................................................... 26 Section 3.19 Labor Matters.................................................................................................. 28 Section 3.20 Environmental Matters................................................................................... 30 i 

 

Section 3.21 Insurance......................................................................................................... 30 Section 3.22 Key Customers and Suppliers......................................................................... 30 Section 3.23 Credit Support Arrangements......................................................................... 31 Section 3.24 Solvency......................................................................................................... 31 Section 3.25 Affiliate Transactions..................................................................................... 31 Section 3.26 Brokers............................................................................................................ 32 Section 3.27 Unregistered Securities................................................................................... 32 Section 3.28 Books and Records......................................................................................... 33 Article IV REPRESENTATIONS AND WARRANTIES OF PARENT AND BUYER...... 33 Section 4.1 Due Organization and Good Standing............................................................ 33 Section 4.2 Authority; Binding Nature of Agreement....................................................... 33 Section 4.3 Non-Contravention; Consents........................................................................ 34 Section 4.4 Claims; Orders................................................................................................ 35 Section 4.5 Sufficient Funds.............................................................................................. 35 Section 4.6 Brokers............................................................................................................ 35 Section 4.7 DMS Class A Common Stock........................................................................ 35 Section 4.8 Compliance with Rule 144............................................................................. 35 Section 4.9 SEC Documents and Other Reports............................................................... 35 Section 4.10 Litigation......................................................................................................... 36 Section 4.11 Compliance with Laws................................................................................... 36 Section 4.12 Post-Closing Solvency.................................................................................... 36 Article V COVENANTS AND AGREEMENTS................................................................... 36 Section 5.1 Non-Competition; Non-Solicitation; Non-Disparagement............................. 36 Section 5.2 Employment Matters...................................................................................... 38 Section 5.3 Continued Protection of Acquired IP and Computer Code; Termination of  Seller Rights to Acquired IP................................................................................................... 40 Section 5.4 Publicity; Confidentiality................................................................................ 41 Section 5.5 Transfers of Parent Shares.............................................................................. 41 Section 5.6 Registration Rights......................................................................................... 41 Section 5.7 Listing of Parent Shares.................................................................................. 41 Section 5.8 R&W Insurance Policy................................................................................... 41 Section 5.9 Further Assurances......................................................................................... 42 Section 5.10 Third Party Consents...................................................................................... 42 Section 5.11 Inadvertent Payments...................................................................................... 42 Article VI INDEMNIFICATION........................................................................................... 42 Section 6.1 Survival........................................................................................................... 42 Section 6.2 Indemnification............................................................................................... 43 Section 6.3 Monetary Limitations..................................................................................... 44 Section 6.4 Indemnification Procedures............................................................................ 44 Section 6.5 Losses; Investigation; Materiality Scrape....................................................... 46 Section 6.6 Exclusive Remedies; Escrow Releases........................................................... 46 i 

 

Section 6.7 Adjustments for Tax Purposes........................................................................ 48 Article VII TAX MATTERS.................................................................................................. 48 Section 7.1 Straddle Periods.............................................................................................. 48 Section 7.2 Cooperation Related to Taxes......................................................................... 48 Section 7.3 Transfer Taxes................................................................................................ 49 Section 7.4 Allocation....................................................................................................... 49 Section 7.5 Seller Tax Consequences................................................................................ 50 Section 7.6 Code Section 483 Accounting........................................................................ 50 Section 7.7 Bulk Sales Waiver.......................................................................................... 50 Article VIII MISCELLANEOUS PROVISIONS................................................................... 50 Section 8.1 Seller Representative...................................................................................... 50 Section 8.2 Amendment..................................................................................................... 52 Section 8.3 Waiver............................................................................................................. 52 Section 8.4 Entire Agreement; Counterparts..................................................................... 52 Section 8.5 Applicable Law; Jurisdiction; WAIVER OF JURY TRIAL.......................... 53 Section 8.6 Remedies; Specific Performance.................................................................... 53 Section 8.7 Payment of Expenses...................................................................................... 53 Section 8.8 Assignability; Third-Party Rights................................................................... 54 Section 8.9 Notices............................................................................................................ 54 Section 8.10 Severability..................................................................................................... 55 Section 8.11 Acknowledgment by Parties........................................................................... 55 Section 8.12 Construction.................................................................................................... 55 Section 8.13 Definitions...................................................................................................... 56 Exhibits Exhibit A Form of Escrow Agreement  Exhibit B Form of Employment Agreement Exhibit C Form of Lock-Up Agreement Exhibit D Form of Assignment and Assumption Agreement Exhibit E Form of Domain Name Transfer Agreement Exhibit F Form of D/B/A Assignment Agreement Exhibit G Earnout Consideration Exhibit H Sample Calculation of Net Working Capital Exhibit I Purchase Price Allocation Methodology Schedules Schedule A Purchased Assets Schedule B Pro Rata Shares Schedule C Seller Disclosure Schedule ii 

 

ASSET PURCHASE AGREEMENT This ASSET PURCHASE AGREEMENT (as may be amended from time to time,  the “Agreement”) is made and entered into as of April 1, 2021, by and among Digital Media  Solutions, Inc., a Delaware corporation (“Parent” or “DMS”), Edge Marketing, LLC,  a  Delaware limited liability company (“Buyer”) and wholly owned subsidiary of Digital Media  Solutions, LLC (“DMS LLC”), Crisp Marketing, LLC, a Florida limited liability company, d/b/a  Crisp Results (“Crisp Results”), and Union Health, LLC, a Florida limited liability company, d/b/ a Crisp Connections (“Crisp Connections” and, together with Crisp Results, “Sellers”), and  Justin Ferreira, a natural person, in his capacity as Sellers’ representative (“Seller  Representative”).  Parent, Buyer, Sellers and Seller Representative are sometimes referred to  herein collectively as the “Parties” and each individually as a “Party”. RECITALS WHEREAS, Sellers operate the Business (as defined below) and, in connection  with operating the Business, own certain call center and computer software, related  documentation, and intellectual property and contractual rights related to computer applications  used and held for use in connection with the conduct of its Business, all as set forth in Schedule  A hereto (collectively, the “Purchased Assets”). WHEREAS, Sellers desires to sell and assign to Buyer, and Buyer desires to  purchase from Sellers, the Purchased Assets, and Buyer is willing to assume the Assumed  Liabilities (as defined below), in each case upon the terms and subject to the conditions set forth  herein; WHEREAS, a portion of the purchase price payable by Buyer to Sellers in respect  of the Purchased Assets will be placed in escrow by Buyer, the release of which shall be  contingent upon certain events and conditions, all as set forth in this Agreement and the Escrow  Agreement (as defined herein); WHEREAS, in accordance with the terms and subject to the conditions set forth  herein, a portion of the purchase price payable by Buyer to Sellers in consideration for the  Purchased Assets shall be in the form of shares of Class A common stock, par value $0.0001 per  share, of DMS (the “DMS Class A Common Stock”); WHEREAS, in accordance with the terms and subject to the conditions set forth  herein, a portion of the purchase price payable by Buyer to Sellers in consideration for the  Purchased Assets shall be in the form of a deferred payment in the form of cash or shares of  DMS Class A Common Stock;  WHEREAS, in accordance with the terms and subject to the conditions set forth  herein, a portion of the purchase price payable by Buyer to Sellers in consideration for the  Purchased Assets shall be in the form of contingent earnout payments in the form of cash, shares  of DMS Class A Common Stock or a combination thereof; and 1 

 

WHEREAS, substantially concurrently with the execution and delivery hereof,  Buyer has entered into a binder agreement for a buyer-side representations and warranties  insurance policy in connection with the transactions contemplated hereby which will serve as  recourse for certain indemnity matters in connection with this Agreement.   NOW, THEREFORE, in consideration of the foregoing Recitals and the  representations, warranties, covenants and agreements set forth in this Agreement, and intending  to be legally bound by this Agreement, the Parties agree as follows: Article I PURCHASE AND SALE  Section I.1 Purchase and Sale of Assets. Upon the terms and subject to the  conditions set forth in this Agreement, at the Closing, Sellers do hereby sell, grant, transfer assign  and convey to Buyer, and Buyer does hereby purchase, accept and acquire from Sellers, all right,  title and interest in and to the Purchased Assets, free and clear of all Liens (such purchase of the  Purchased Assets, the “Acquisition”), including, without limitation, sole and exclusive ownership  of all of the Acquired Contracts and of the Intellectual Property in and to the Acquired IP, and all  applicable rights, remedies and proceeds, including the right to sue and collect damages for  infringement, misappropriation, or other violation of any such Acquired Contracts and Intellectual  Property occurring prior to or following the Closing Date. For the avoidance of doubt, as between  the parties, any new versions, releases, modifications, enhancements, or improvements of  software that form part of the Acquired IP that are developed following the Closing and all  Intellectual Property thereto (“Acquired IP Improvements”), shall be the sole and exclusive  property of Buyer, regardless of who authors, invents, creates, or develops the same, and Sellers  hereby assign to Buyer all right, title, and interest in and to the Acquired IP Improvements. Section I.2 Excluded Assets. Notwithstanding anything to the contrary  contained in this Agreement, nothing in this Agreement shall constitute or be construed as  conferring on Buyer, and Buyer is not acquiring, any right, title or interest in and to any of the  following properties, assets, business, operation or division of Sellers or any of its Affiliates  (a) all cash and cash equivalents, (b) all minute books, corporate records and corporate seals,  (c) all insurance policies, (d) all Tax assets and claims for refunds (other than any such Tax assets  or claims for refunds that are Purchased Assets), (e) all rights and any assets in connection with  the employee benefit plans, (f) the contracts listed on Section 1.2(e) of the Seller Disclosure  Schedule, and (g) all third-party Software for which Seller's licenses are not transferable to Buyer,  per their contract terms, as listed on Section 1.2(f) of the Seller Disclosure Schedule.  Such assets,  properties and rights are excluded from the Purchased Assets and shall remain the property of  Sellers after the Closing (collectively, the “Excluded Assets”). Section I.3 Assumed Liabilities. Upon the terms and subject to the conditions  set forth herein, Buyer hereby assumes and agrees to perform and discharge in accordance with  their terms, without recourse to Sellers, only the following Liabilities of Sellers (the “Assumed  2 

 

Liabilities”), with such assumption to be effected herein and set forth in the Assignment and  Assumption Agreement: (a) all Liabilities in respect of the Acquired Contracts but only to the  extent that such Liabilities thereunder required to be performed after the Closing Date do not  relate to any failure to perform, improper performance, warranty or other breach, default or  violation by Sellers on or prior to the Closing;  (b) any Liabilities for Taxes imposed with respect to, arising out of or  relating to the Purchased Assets, the Assumed Liabilities or the Business, in each case  exclusively to the extent such Liabilities are incurred in, or attributable to, taxable periods or  portions thereof beginning after the Closing Date (such Taxes for a Straddle Period to be  allocated in accordance with Section 7.1); (c) any Transfer Taxes for which Buyer is responsible under  Section 7.3; (d) all accounts payable and all accrued expenses, to the extent subject  to the calculation of Net Working Capital hereunder;  (e) all lease obligations listed on Section 1.3(e) of the Seller  Disclosure Schedule; and  (f) all obligations and liabilities arising out of the operation of the  Business or ownership of the Purchased Assets on or after the Effective Time;  provided, for the avoidance of doubt, that Buyer is not assuming any debt, liability or obligation  of any Seller or any Affiliate of Seller, other than the Assumed Liabilities, and Sellers and their  Affiliates shall retain all other Liabilities and obligations of Sellers and their Affiliates or  otherwise related to the Business or the Purchased Assets, whether accrued, absolute, contingent  or otherwise, or whether known or unknown, including, without limitation, the Excluded  Liabilities. Section I.4 Excluded Liabilities. Notwithstanding anything to the contrary  contained in this Agreement,  Buyer and its Affiliates shall not assume by virtue of this  Agreement or any Other Transaction Agreement, or the transactions contemplated hereby or  thereby, or otherwise, and shall have no liability for, and Sellers shall retain and be fully  responsible for paying, performing and discharging when due, any and all Liabilities of Sellers or  any of their Affiliates other than the Assumed Liabilities (collectively, the “Excluded  Liabilities”):  Without limiting the generality of the foregoing, the Excluded Liabilities include: (a) any Liabilities of Sellers in respect of any Excluded Assets or other  assets of Sellers that are not  Purchased Assets; (b) (i) any Liabilities for Taxes imposed with respect to, arising out of  or relating to the Purchased  Assets, the Assumed Liabilities or the Business that are incurred in,  3 

 

or attributable to, any Pre-Closing Tax Period (such Taxes for a Straddle Period to be allocated in  accordance with Section 7.1); (ii) any Transfer Tax allocated to Sellers under Section 7.3;  (iii) any Taxes imposed under, or triggered by, any applicable “bulk sales”, “bulk transfer” or  similar Laws as a result of the transactions contemplated by this Agreement, other than Transfer  Taxes payable pursuant to Section 7.3; (iv) any withholding Taxes imposed on Buyer or any of  its Affiliates resulting from the transactions contemplated by this Agreement, to the extent not  withheld pursuant to Section 2.8; (v) any Taxes imposed with respect to, arising out of or relating  to any Excluded Asset or Excluded Liability; and (vi) any Taxes imposed on the Sellers or any of  their Affiliates other than Taxes allocated to Buyer pursuant to this Agreement; (c) any fines and penalties imposed by any Governmental Entity  resulting from any act or omission of Sellers and not related to the Purchased Assets and any  Liabilities arising out of, in respect of or in connection with the failure by Sellers or any of  Sellers’ Affiliates to comply with any Law or Order; (d) any Liabilities of Sellers arising as a result of their execution and  delivery of this Agreement or any Other Transaction Agreement, the performance of Sellers’  obligations hereunder or thereunder or the consummation by Sellers of the transactions  contemplated hereby or thereby; (e) any Liabilities of Sellers or their Affiliates relating to current or  former employees or  independent contracts of Sellers or its Affiliates; and (f) any indebtedness for borrowed money of Sellers. Section I.5 Purchase Price. The aggregate purchase price for the Acquisition is  an amount, payable as set forth in this Agreement, equal to the sum of (i) the Closing Cash  Consideration, plus (ii) the Closing Parent Shares, plus (iii) the Additional Consideration, plus  (iv) the Deferred Consideration, plus (v) the Earnout Consideration (such sum, in the aggregate,  the “Purchase Price”), plus the assumption of the Assumed Liabilities. Article II OTHER CLOSING TRANSACTIONS  Section II.1 Closing. The consummation of the purchase and sale of the  Purchased Assets, the assumption of the Assumed Liabilities and transactions contemplated  hereby (the “Closing”) shall take place at the offices of Skadden, Arps, Slate, Meagher & Flom  LLP, 1440 New York Avenue, NW, Washington, DC 20005, or electronically (including by  email) by the exchange of required closing deliveries, at 11:00 a.m., New York City time,  simultaneously with the execution of this Agreement. For purposes hereof, the “Closing Date”  means the date on which the Closing actually occurs. The Closing shall be effective for all  purposes as of 12:01 a.m. Central time on the Closing Date (the “Effective Time”). 4 

 

Section II.2 Certain Closing Deliveries. (a) At the Closing, Sellers shall deliver, or cause to be delivered, to  Buyer the following: (i) the Escrow Agreement, substantially in the form attached  as Exhibit A hereto, duly executed by Seller Representative and the Escrow Agent; (ii) the employment agreements, substantially in the form  attached as Exhibit B hereto (the “Employment Agreements”), duly executed by Justin  Ferreira and Chris Henry; (iii) a lock-up agreement, substantially in the form attached as  Exhibit C hereto (the “Lock-Up Agreement”), duly executed by Sellers; (iv) an assignment and assumption agreement, substantially in  the form attached as Exhibit D hereto (the “Assignment and Assumption Agreement”), duly  executed by Sellers; (v) a domain name transfer agreement in the form of Exhibit E  hereto (the “Domain Name Transfer Agreement”) and duly executed by Seller, transferring all of  Seller's right, title and interest in and to the domain names included in the Acquired IP to Buyer; (vi) a d/b/a/ assignment agreement, substantially in the form  attached as Exhibit F hereto (the “D/B/A Assignment Agreement”), duly executed by Seller; (vii) a properly executed IRS Form W-9 from each Seller; (viii) certificate of the Secretary (or equivalent officer) of each  Seller certifying that attached thereto are true and complete copies of all resolutions adopted by  the managers or members or governing bodies of each Seller authorizing the execution, delivery  and performance of this Agreement and the Other Transaction Agreements, and the  consummation of the transactions contemplated hereby and thereby, and that all such resolutions  are in full force and effect and are all the resolutions adopted in connection with the transactions  contemplated hereby and thereby;  (ix) a release form from Justin Ferreira and Chris Henry; and (x) such other customary instruments of transfer, assumption,  filings or documents, in form and substance reasonably satisfactory to Buyer, as may be required  to give effect hereto.   (b) At the Closing, Buyer shall deliver to the Sellers the following: (i) the Escrow Agreement, duly executed by Parent;  (ii) the Employment Agreements, duly executed by Buyer; 5 

 

(iii) the Lock-Up Agreement, duly executed by Parent; and (iv) the Assignment and Assumption Agreement, duly executed  by Buyer;  (v) the Domain Name Transfer Agreement, duly executed by  Buyer; (vi) the D/B/A Assignment Agreement, duly executed by  Buyer; (vii) evidence of placement of the R&W Insurance Policy; and (viii) certificate of an authorized officer of Buyer certifying that  attached thereto are true and complete copies of all resolutions adopted by the board of  managers authorizing the execution, delivery and performance of this Agreement and the  Other Transaction Agreements, and the consummation of the transactions contemplated  hereby and thereby.   Section II.3 Closing Payments. (a) Payment Statement. No later than one (1) Business Day prior to the  Closing Date, Sellers shall  deliver to Parent a written statement (the “Payment Statement”),  which Sellers shall have prepared in good faith and in a manner consistent with the terms of  (including the definitions contained in) this Agreement, setting forth the following: (i) Sellers’ good-faith estimate of the Estimated Closing Cash  Consideration, including Sellers’  good-faith estimate of (1) the Closing Date  Indebtedness (the “Estimated Closing Date Indebtedness”) and (2) the Net Working  Capital Adjustment Amount (the “Estimated Net Working Capital Adjustment Amount”),  in each case, with reasonable detail and reasonable supporting documentation; and (ii) the account of each Seller (or, if desired, directly to Justin  Ferreira and Chris Henry, as directed  by the Sellers in accordance with Section 2.7) to  which the payment contemplated by Section 2.3(c)(i) should be made. (b) Payment of Escrow Cash Amount. At the Closing, pursuant to the  Escrow Agreement, Buyer  shall pay or cause to be paid to the Escrow Agent, by wire transfer of  immediately available funds to the applicable accounts set forth in the Escrow Agreement, the  following: (i) the Adjustment Escrow Amount to be held in the  Adjustment Escrow Account; and  (ii) the Indemnification Escrow Cash Amount to be held in the  Indemnification Escrow Account.  6 

 

(c) Payment of Estimated Closing Cash Consideration; Issuance of  Closing Parent Shares. At the  Closing, (i) Buyer shall pay, or cause to be paid, to each Seller, by  wire transfer of immediately available funds to the respective account of such Seller set forth in  the Payment Statement, such Seller’s Pro Rata Share of the Estimated Closing Cash  Consideration and (ii) Buyer shall direct Parent to, and Parent shall, on behalf of Buyer, issue or  cause to be issued, to each Seller in book-entry form, such Seller’s Pro Rata Share of the Closing  Parent Shares. Section II.4 Post-Closing Adjustment. (a) Within seventy-five (75) days after the Closing Date, Buyer shall  prepare and deliver to Seller Representative a written statement (the “Buyer Statement”) setting  forth, in reasonable detail and with reasonable supporting information, Buyer’s calculation of the  Closing Cash Consideration, including the Buyer’s calculation of the Closing Adjustment  Amount and the components thereof. Buyer shall prepare the Buyer Statement in good faith and  in a manner consistent with the terms of (including the definitions contained in) this Agreement. (b) Seller Representative shall have thirty (30) days from the date on  which the Buyer Statement is delivered to Seller Representative (the “Review Period”) to review  the Buyer Statement. Unless Seller Representative delivers written notice to the Buyer prior to  5:00 p.m. New York City time on the last day of the Review Period that it objects to any item or  items shown or reflected in the Buyer Statement, and specifying in reasonable detail the item or  items to which it objects and reasons therefor (such item or items, the “Disputed Items” and,  such notice, the “Dispute Notice”), then the Buyer Statement shall be deemed accepted by  Sellers for all purposes of this Agreement. In the event that the Seller Representative delivers a  Dispute Notice prior to 5:00 p.m. New York City time on the last day of the Review Period, then  Seller Representative and Buyer shall attempt in good faith to resolve each Disputed Item, and  any resolution agreed to by them in writing shall be final, binding and conclusive for all purposes  of determining the payments in Section 2.4(c). In the event that, for any reason, Seller  Representative and Buyer are unable to resolve in writing each Disputed Item within fifteen (15)  days (or such longer period as Seller Representative and Buyer may agree in writing) following  the delivery of the Dispute Notice, the Parties will then retain the New York, New York office of  Grant Thornton LLP (the “Independent Accountant”), and each unresolved Disputed Item shall  be referred to the Independent Accountant.  If any Disputed Item is referred to the Independent  Accountant, each of Buyer, on the one hand, and Seller Representative, on the other hand, shall  prepare separate written reports of each such Disputed Item and deliver such reports to the  Independent Accountant within twenty (20) days after the date the Independent Accountant is  retained. Each of the Parties shall use their respective commercially reasonable efforts to cause  the Independent Accountant, acting as an expert, as soon as practicable and in any event, barring  exceptional circumstances, within thirty (30) days after receiving such written reports, to  determine the manner in which the Disputed Items shall be treated in the Buyer Statement;  provided, however, that the dollar amount of each Disputed Item shall be determined within the  range of dollar amounts proposed by the Buyer, on the one hand, and Seller Representative, on  7 

 

the other hand. The Parties acknowledge and agree that (i) the review by and determination of  the Independent Accountant shall be limited only to the Disputed Items contained in the reports  prepared and submitted to the Independent Accountant by the Parties and (ii) the determinations  by the Independent Accountant shall be based solely on (1) such reports submitted by the Parties  and the basis for their respective positions and (2) the terms of (including the definitions  contained in) this Agreement. None of the Parties shall authorize the Independent Accountant to  modify or amend any term or provision of this Agreement or modify items previously agreed in  writing between the Parties. Each of Buyer and Seller Representative shall (A) enter into an  engagement letter with the Independent Accountant containing customary terms and conditions  for this type of engagement and (B) use their respective commercially reasonable efforts to  cooperate with and provide information and documentation, including work papers, to assist the  Independent Accountant. Any such information or documentation provided by Buyer or Seller  Representative to the Independent Accountant shall be concurrently delivered to such other  Party, subject, in the case of independent accountant work papers, to such other Party entering  into a customary confidentiality and release agreement with respect thereto. Neither Party shall  disclose to the Independent Accountant, and the Independent Accountant shall not consider for  any purposes, any settlement discussions or settlement offers made by any of the Parties with  respect to any Disputed Item. The determinations by the Independent Accountant as to the  Disputed Items shall be in writing and shall be an expert determination that is final, binding and  conclusive for all purposes of determining the adjustments in Section 2.4(c), if any, and such  determination may be entered and enforced in any court of competent jurisdiction. The costs and  expenses of the Independent Accountant shall be allocated between Buyer, on the one hand, and  Sellers, on the other hand, based on the percentage which the portion of all Disputed Items  submitted to the Independent Accountant that are not resolved in favor of Seller Representative  bears to the amount of all Disputed Items submitted to the Independent Accountant. As an  illustrative example, if Disputed Items asserting that the Closing Cash Consideration should be  increased by $1,000 are submitted to the Independent Accountant, and the Independent  Accountant finally determines that the Closing Cash Consideration should be increased by $300,  then the costs and expenses of the Independent Accountant shall be allocated 70% (i.e., $700/ $1000) to Seller Representative and 30% (i.e., $300/$1,000) to Buyer. (c) Post-Closing Adjustment Amount. (i) If the Closing Cash Consideration, as finally determined  pursuant to Section 2.4(b) (the “Final Closing Cash Consideration”), exceeds the  Estimated Closing Cash Consideration, then within two (2) Business Days after the final  determination of the Final Closing Cash Consideration in accordance with Section 2.4(b),  (A) Buyer shall deposit, by wire transfer of immediately available funds to an account  designated by Seller Representative, an amount in cash equal to the full amount by which  the Final Closing Cash Consideration exceeds the Estimated Closing Cash Consideration,  and as promptly as practicable thereafter, Seller Representative shall distribute, or cause  to be distributed, such amount of cash to Sellers in accordance with their respective Pro  Rata Shares, and (B) Buyer and Seller Representative shall provide a joint written  instruction to the Escrow Agent to release promptly from the Adjustment Escrow  8 

 

Account, in accordance with the Escrow Agreement, the full amount of the Adjustment  Escrow Account. (ii) If (1) the Estimated Closing Cash Consideration exceeds  the Final Closing Cash Consideration  or (2) the Estimated Closing Cash Consideration  equals the Final Closing Cash Consideration, as finally determined in accordance with  Section 2.4(b), then within two (2) Business Days after the final determination of the  Final Closing Cash Consideration in accordance with Section 2.4(b), Buyer and Seller  Representative shall provide a joint written instruction to the Escrow Agent to release  promptly from the Adjustment Escrow Account, in accordance with the Escrow  Agreement, (A) the full amount by which the Estimated Closing Cash Consideration  exceeds the Final Closing Cash Consideration to Buyer, and (B) to Sellers, in accordance  with their respective Pro Rata Shares, the amount of the funds remaining in the  Adjustment Escrow Account, after giving effect to the foregoing clause (A), if any;  provided, however, that the Parties agree that the Adjustment Escrow Amount shall not  be the sole source of Buyer’s right to receive the full amount by which the Estimated  Closing Cash Consideration exceeds the Final Closing Cash Consideration, and that  Sellers shall be liable for any shortfall. (d) The Parties hereby acknowledge and agree that (i) any payments  made pursuant to Section 2.4 shall be treated for Tax purposes as an adjustment to the Purchase  Price, unless otherwise required by applicable Law and (ii) Sellers shall be treated as the owners  for Tax purposes of all amounts in the Adjustment Escrow Account from the Closing until the  final disbursement of the funds held in the Adjustment Escrow Account. Section II.5 Deferred Consideration.  (a) On the eighteen (18)-month anniversary of the Closing Date,  Buyer shall (i) pay, or cause to be paid, to each Seller, an amount in cash by wire transfer of  immediately available funds or (ii) direct Parent to, and Parent shall, on behalf of Buyer, issue or  cause to be issued, to each Seller, shares of DMS Class A Common Stock in book-entry form, as  the case may be, equal to such Seller’s Pro Rata Share of the Deferred Consideration; provided  that Buyer shall have the right, in its sole discretion, to elect such form of consideration  applicable to the payment of the Deferred Consideration, provided, however in the event Buyer  is prohibited by any contract from satisfying the Deferred Consideration payment obligation in  cash, Buyer shall satisfy such obligation by issuance of DMS Class A Common Stock; and  provided, further, that if Buyer elects, or is obligated, to pay the Deferred Consideration in the  form of DMS Class A Common Stock, the number of such shares issued to Sellers, in the  aggregate, shall be equal to the quotient of (a) the Deferred Consideration, divided by (b) the Per  Share Value as of such date. Section II.6 Earnout Consideration. (a) From and after the Closing, at such times as provided in Exhibit G,  Buyer shall (i) pay, or cause  to be paid, to Sellers, cash by wire transfer of immediately available  funds and/or (ii) direct Parent to issue, or cause to be issued, shares of DMS Class A Common  9 

 

Stock, to Sellers, in each case, as set forth in, and on and subject to the terms, conditions,  contingencies, procedures and definitions set forth in, Exhibit G attached hereto (such cash or  shares, collectively, the “Earnout Consideration”). (b) The Parties acknowledge, understand and agree that (i) the  contingent right to receive any portion of the Earnout Consideration shall not be represented by  any form of certificate or other instrument and such right is not transferable, except by operation  of law, and does not solely constitute an equity or ownership interest in Parent, Buyer or any of  their Affiliates, (ii) no Seller shall have any rights as a holder of the securities of Parent, Buyer or  any of their Affiliates solely as a result of such Seller’s contingent right to receive any portion of  the Earnout Consideration under this Section 2.6 and (iii) no interest shall be payable with  respect to any portion of the Earnout Consideration. (c) Notwithstanding anything to the contrary contained herein, in the  event a Parent Change in  Control occurs during any applicable period for the payment of  Earnout Consideration as set forth and in accordance with Exhibit G, then any and all amounts  contemplated to be payable as Earnout Consideration pursuant to this Section 2.6 and Exhibit G  shall automatically accelerate and be payable in full (for the avoidance of doubt, to the extent not  previously paid or finally determined not to be payable in accordance herewith or with Exhibit  G).   (d) For the avoidance of doubt, the Parties acknowledge and agree  that, from and after the Closing,  Buyer shall have sole control with regard to operational matters  relating to the operation of the Business and use of the Purchased Assets (from and after the  Closing); provided that Buyer shall not take any action in bad faith for the purpose of avoiding or  reducing any payment or issuance of the Earnout Consideration; provided, further,  notwithstanding the foregoing, from and after the Closing, until the expiration of the periods  applicable to the payment of the Earnout Consideration in accordance with Exhibit G, (i) Parent  or Buyer shall not take action, directly or indirectly, which has the cause to delay, minimize or  prevent payment of the Earnout Consideration, (ii) Parent and Buyer will act in good faith with  respect to the operation of the Business and use of the Purchased Assets (from and after the  Closing) and will use commercially reasonable efforts to generate profitability growth and  operate in the ordinary course of business and consistent with past practices, except upon the  prior written consent of Sellers (such consent shall not to be unreasonably withheld, conditioned  or delayed) and (iii) Parent shall maintain separate books and records of Buyer, and Buyer shall  be maintained as a separate entity and no management fees will be paid by Buyer to Parent or its  Affiliates with respect to the Business or operation of the Purchased Assets (from and after the  Closing). Section II.7 Payments for Administrative Convenience. As a matter of  administrative convenience, Sellers may request (which request shall be made in writing not later  than two (2) Business Days prior to the date of the applicable payment or issuance, as the case  may be) that any payment of cash or issuance of DMS Class A Common Stock by Buyer or  Parent, as the case may be, pursuant to this Article II be made directly to Justin Ferreira and Chris  Henry, in the percentages and to the accounts designated by Sellers in such written request, as a  10 

 

matter of administrative convenience. The Parties hereby acknowledge and agree that (i) any such  payment or issuance is being made to Justin Ferreira and Chris Henry as an accommodation for  Sellers, and that, for all Tax purposes, such cash or shares shall be treated as having been paid or  issued, as the case may be, to Sellers and (ii) any shares of DMS Class A Common Stock included  in the Closing Parent Shares, the Deferred Consideration or the Earnout Consideration are being  issued directly to Sellers (or directly to Justin Ferreira and Chris Henry, if so directed by Sellers  pursuant to this Section 2.7) as a matter of administrative convenience, and that, for all Tax  purposes, Parent shall be treated as having transferred such shares indirectly (i.e., through the  intermediate entity) to Digital Media Solutions Holdings, LLC, a Delaware limited liability  company (“DMSH LLC”), and DMSH LLC shall be treated as having transferred such shares to  the applicable Seller. Section II.8 Withholding. Buyer and its Affiliates shall be entitled to deduct  and withhold from any amounts  otherwise payable pursuant to this Agreement such amounts as  are required to be deducted or withheld from such payments under the Code, the Treasury  Regulations or other applicable Law (including any state, local or non-U.S. Law). Any amounts  so deducted or withheld and timely remitted to the appropriate Governmental Entity (to the extent  required by Law) shall be treated for all purposes of this Agreement as having been paid to the  Person in respect of which such deduction and withholding was made. Article III REPRESENTATIONS AND WARRANTIES OF SELLERS Subject to the provisions hereof and as qualified and supplemented by the Seller  Disclosure Schedule, Sellers hereby represent and warrant to Parent and Buyer as follows: Section III.1 Due Organization and Good Standing. Each Seller is duly  organized and validly existing and in good standing under the Laws of the jurisdiction of its  incorporation, organization or formation, as applicable, and has all requisite corporate, limited  liability company or other power and authority to own, lease and operate its properties and assets  and to conduct its businesses in the manner in which its businesses are currently being conducted.  Each Seller is duly licensed or qualified to do business, and is in good standing, under the Laws of  the jurisdictions where the nature of its businesses or the character of its owned and leased  properties and assets requires such qualification, except where the failure to be so qualified would  not be material to such Seller. Sellers have made available to Parent and Buyer true, complete and  correct copies of the Organizational Documents of each Seller, in each case as amended through  the date hereof, and each such Organizational Document is in full force and effect. No Seller is in  violation of its Organizational Documents.  Section III.2 Title to Purchased Assets; Sufficiency of Purchased Assets. (a) Schedule A contains an accurate and complete listing of all of the  Purchased Assets. All of the  tangible Purchased Assets are free of defects and in reasonable  11 

 

working order and repair, except for ordinary wear and tear. Seller owns, and has good and valid  title to, all of the Purchased Assets, free and clear of any Lien or other restriction on transfer,  other than the Assumed Liabilities. At the Closing, Sellers will convey to Buyer good and valid  title to all of the Purchased Assets, free and clear of any Lien or other restriction on transfer.  Except for that certain non-transferable Software listed in Section 1.2(f) of the Seller Disclosure  Schedule, the Purchased Assets include Seller’s assets necessary for Buyer to operate the  Business in substantially the same manner immediately following the Closing as Seller has been  operating the Business in the ordinary course of business. Other than certain leasing and  licensing arrangements and equipment described in Schedule A, Seller does not use assets owned  by another Person in the operation of the Business. (b) Section 3.2 of the Seller Disclosure Schedule sets forth (i) each of  Sellers, including its name, jurisdiction of incorporation, formation or organization, as  applicable. Each Seller owns of record, free and clear of any Liens, and is the sole record owner  of, its respective Purchased Assets.   (c) Each Seller acknowledges that its respective Pro Rata Share set  forth on Schedule B hereto is a fair and accurate allocation of such Seller’s aggregate ownership  interest, expressed as a percentage, in the Business and the Purchased Assets (taken as a whole)  and right to receive the proceeds of the Purchase Price. Section III.3 Authority; Binding Nature of Agreement. Each Seller has the  requisite power and authority to enter into, and to perform its covenants and agreements under,  this Agreement and each Other Transaction Agreement to which such Seller is or shall be a party  and to consummate the Acquisition and the other transactions contemplated by this Agreement  and each Other Transaction Agreement to which such Seller is or shall be a party. The execution,  delivery and performance of this Agreement by each Seller and each Other Transaction  Agreement to which such Seller is or shall be a party and the consummation by such Seller of the  Acquisition and the other transactions contemplated by this Agreement and each Other  Transaction Agreement to which such Seller is or shall be a party have been duly and validly  authorized by all necessary corporate action on the part of such Seller, and no other corporate  proceedings on the part of such Seller are necessary to authorize this Agreement or each Other  Transaction Agreement to which such Seller is or shall be a party, the performance by such Seller  of its covenants and agreements under this Agreement and each Other Transaction Agreement to  which such Seller is or shall be a party or the consummation of the Acquisition or the other  transactions contemplated by this Agreement and each Other Transaction Agreement to which  such Seller is or shall be a party. This Agreement and each Other Transaction Agreement to  which such Seller is or shall be a party has been or shall be, as applicable, duly and validly  executed and delivered on behalf of such Seller and, assuming the due authorization, execution  and delivery of this Agreement and each Other Transaction Agreement to which such Seller is or  shall be a party by Parent or Buyer, as applicable, constitutes a legal, valid and binding obligation  of such Seller, enforceable against such Seller in accordance with its terms, subject to (i) Laws of  general application relating to bankruptcy, insolvency, reorganization, moratorium and other  Laws affecting creditors’ rights generally and (ii) rules of law governing specific performance,  injunctive relief and other equitable remedies. 12 

 

Section III.4 Non-Contravention; Consents. (a) The execution, delivery and performance of this Agreement, and  each Other Transaction Agreement to which each Seller is or shall be a party, by such Seller and  the consummation by such Seller of the Acquisition and the other transactions contemplated by  this Agreement and each Other Transaction Agreement to which such Seller is or shall be a party  does not and shall not (i) contravene, conflict with or result in any violation or breach of any of  the provisions of the Organizational Documents of such Seller, (ii) contravene, conflict with or  result in any violation or breach of any Law or (iii) require any consent, approval or  authorization of (each, a “Consent”), or any notice to or filing with (each, a “Filing”), any Third  Party with respect to, result in any breach or violation of or constitute a default (or an event  which with or without notice or lapse of time or both would become a default) or result in the  loss of a benefit or result in the imposition of an obligation under, or give rise to any right of  termination, cancellation, amendment or acceleration of, or of any right or obligation of such  Seller, or result in the creation of a Lien on any of the Purchased Assets, under, any (1) Contract  to which such Seller is a party or by which such Seller or any of the Purchased Assets or any  properties or assets of the Business are bound or (2) Permit held by such Seller or pursuant to  which such Seller or any of the Purchased Assets or properties or assets of the Business is  subject.  (b) None of Sellers are required to make any Filing with or to, or to  obtain any Consent from, any Governmental Entity in connection with the execution and  delivery of this Agreement or any Other Transaction Agreement to which any Seller is or shall  be a party or the performance and consummation by Sellers of the transactions contemplated  hereby and thereby. Section III.5 Financial Statements; Undisclosed Liabilities; Indebtedness. (a) Section 3.5(a) of the Seller Disclosure Schedule sets forth true,  complete and correct copies of (i)  the unaudited consolidated balance sheet of Sellers as of  December 31, 2020 (the “Latest Balance Sheet”), and the related consolidated statements of  income (loss), members’ equity and cash flow for the twelve (12) month period then ended, and  (ii) the unaudited consolidated balance sheets of the Business as of December 31, 2019,  December 31, 2018 and December 31, 2017, and the related consolidated statements of income  (loss), members’ equity and cash flow for the years then ended (all such financial statements  referred to in the foregoing clauses (i) and (ii), the “Financial Statements”). The Financial  Statements were prepared from the books and records of Sellers and fairly present, in all material  respects, the consolidated financial position of Sellers as at the respective dates thereof and the  consolidated results of operations and cash flows of Sellers for the respective periods covered  thereby in accordance with GAAP applied on a consistent basis throughout the periods covered  (except as may be indicated in the notes to such financial statements or, in the case of unaudited  statements, subject to the absence of notes not required by GAAP and normal year-end  adjustments). (b) Sellers maintain accurate books and records reflecting the  Purchased Assets, Assumed Liabilities  and all of the other assets and liabilities of the Business  13 

 

and maintain and have maintained for all periods reflected in the Financial Statements, proper  and adequate internal accounting controls that provide assurance that (i) transactions are  recorded as necessary to permit accurate preparation of their financial statements and to maintain  accurate accountability for their assets, (ii) the reporting of their assets is compared with existing  assets at regular intervals and (iii) accounts, notes and other receivables and inventory are  recorded accurately, and proper and adequate procedures are implemented to effect the collection  thereof on a current and timely basis. None of Sellers or any auditor, accountant or other  Representative of a Seller has received or otherwise had or obtained knowledge of any material  complaint, allegation, assertion or claim, whether written or oral, regarding the accounting or  auditing practices, procedures, methodologies or methods of Sellers or their respective internal  accounting controls, including any material complaint, allegation, assertion or claim that any  Seller has engaged in fraudulent or questionable accounting or auditing practices. (c) No equity interests of any Seller are registered under the Securities  Act or the Exchange Act or is  listed on any securities exchange. No Seller is subject to the  periodic reporting requirements of the Exchange Act or the periodic reporting or corporate  governance requirements of any foreign Governmental Entity that performs a similar function to  that of the SEC or the requirements of any securities exchange or quotation system.  (d) No Seller has any Liabilities, except for Liabilities (i) reflected or  reserved for in the Latest Balance Sheet, (ii) incurred in the ordinary course of business since the  date of the Latest Balance Sheet or (iii) incurred in connection herewith, the Other Transaction  Agreements and the transactions contemplated hereby or thereby.  (e) Section 3.5(e) of the Seller Disclosure Schedule sets forth a list of  all Indebtedness of Sellers. (f) As of March 1, 2021, the PPP Loan was forgiven in full by the  SBA, and none of Sellers have incurred any loan, directly or indirectly, pursuant to the Paycheck  Protection Program, established by the CARES Act, or any other lending program authorized by  the CARES Act and/or administered by the SBA, other than the Seller PPP Loan. Section III.6 Absence of Certain Changes. Since December 31, 2020, (a) each  Seller has conducted the Business, and operated and used the Purchased Assets, in each case, in  all material respects only in accordance with the ordinary course of such businesses consistent  with past practices, (b) there has not occurred a Material Adverse Effect or any event, change,  circumstance, development, occurrence, condition, effect or state of facts that would reasonably  be expected to result in a Material Adverse Effect and (c) no Seller has (i) entered into any  Contract that would constitute a Material Contract; (ii) incurred, assumed or guaranteed any  indebtedness for borrowed money (except in the ordinary course of business consistent with past  practice); (iii) transferred, assigned, sold or otherwise disposed of any Purchased Assets or any  other assets; (iv) transferred, assigned or granted any license or sublicense under or with respect  to any Company IP; (v) accelerated, terminated, materially modified or cancelled any material  Contract included in the Purchased Assets or by which any of the Purchased Assets is bound;  (vi) imposed any Lien upon any of the Purchased Assets or the properties or assets of Sellers or  otherwise used in connection with the Business; (vii) entered into a new line of business or  14 

 

abandonment or discontinuance of existing lines of business; (viii) adopted any plan of merger,  consolidation, reorganization, liquidation or dissolution or filed of a petition in bankruptcy under  any provisions of federal or state bankruptcy Law or consented to the filing of any bankruptcy  petition against it under any similar Law; (ix) purchased, leased or other acquired the right to  own, use or lease any property or assets for an amount in excess of $100,000, individually or  $250,000 in the aggregate, except for purchases of inventory or supplies in the ordinary course of  business consistent with past practice; (x) acquired by merger or consolidation with, or by  purchase of a substantial portion of the assets or stock of, or by any other manner, any business or  any Person or any division thereof; (xi) made, changed or rescinded any Tax election, amended  any Tax Return or taken any position on any Tax Return, taken any action, omitted to take any  action or entered into any other transaction that would have the effect of increasing the Tax  liability or reducing any Tax asset of Buyer in respect of any taxable period (or portion thereof)  beginning after the Closing Date; or (xii) entered into any Contract to do, or taken any action or  omission that would result in, any of the foregoing. Section III.7 Intellectual Property. (a) Section 3.7(a) of the Seller Disclosure Schedule sets forth a true,  correct and complete list of all (i) issued patents and patent applications (published or  unpublished), (ii) trademark registrations and applications and material unregistered trademarks,  (iii) internet domain names, registrations and social media accounts registered by Sellers with  any domain name registrar, including for each item the registrant of record, (iv) copyright  registrations and applications, and (v) any other material Intellectual Property that is subject to a  registration or application with any Governmental Entity, in each case which is owned by Sellers  and used in connection with the operation of the Business or use of the Purchased Assets.  All of  such foregoing Intellectual Property is subsisting, and to the Knowledge of Sellers, valid and  enforceable in all material respects. (b) Sellers are the sole and exclusive beneficial and, with respect to  applications and registrations (including patents), record owner of all Company IP (including all  of the Intellectual Property set forth on Section 3.7(a) of the Seller Disclosure Schedule). Any  third party who has any moral or similar rights in or to any Intellectual Property set forth on  Schedule 3.7 (a) or any other material Company IP has irrevocably waived such rights. Sellers  hold valid licenses for all Intellectual Property that is not Company IP and is used by Sellers in  connection with the conduct of the Business and their respective businesses (including the sale of  the products and services and use of the Purchased Assets) as currently conducted. (c) Sellers have not, during the past three (3) years, including in  connection with the creation, distribution and support of its products and services, (i) transferred,  conveyed, sold, assigned, pledged, mortgaged or granted a security interest in any material  Intellectual Property then owned by Sellers, including any Company IP, to any third party,  (ii) entered into any license, franchise, right (including covenant not to sue) or other agreement  with respect to any material Company IP with any third party or (iii) has otherwise encumbered  (excluding any licenses or covenants not to sue or Permitted Liens) any of the material Company  IP, except for nonexclusive licenses or use rights granted in the ordinary course of business  15 

 

solely for customer end use or vendor use solely for the benefit of Sellers in connection with the  business of Sellers.  (d) No support, funding, resources or assistance from any  Governmental Entity were used, directly or indirectly, in connection with the development,  conception or reduction to practice of the Intellectual Property listed in Section 3.7(a) of the  Seller Disclosure Schedule or the inventions claimed therein or any other material Company IP. (e) There are no judgments, injunctions, writs, decrees or orders of  any court or administrative agency that affect the Intellectual Property listed in Section 3.7(a) of  the Seller Disclosure Schedule or any other material Company IP, or imposing on any Seller any  material restriction or requirement with respect to any Intellectual Property that is material to the  Business or the operation and use of the Purchased Assets. (f) (i) The conduct of the Business, including any product or service  marketed, used, licensed, sold, or otherwise provided by such Seller, as currently conducted and  as has been conducted in the past three (3) years (or longer time period to the extent there is any  current liability therefor), does not infringe, misappropriate or otherwise violate, and has not  infringed, misappropriated or otherwise violated in any material respect, any  Intellectual  Property owned by any other Person and (ii) to the Knowledge of Sellers, no Person is  infringing, misappropriating or otherwise violating, and has not in the past three (3) years  infringed misappropriated or otherwise violated, any material Company IP. No Claim is pending  or has been asserted or, to the Knowledge of Sellers, threatened in writing (including in the form  of offer or invitations to obtain a license) in the past three (3) years, (1) against any Seller that is  based upon any Claim that such Seller is or was infringing, misappropriating or otherwise  violating any Intellectual Property owned by any other Person or challenging the scope, validity,  enforceability or ownership of, or the right to use, any Company IP or (2) by any Seller against  any other Person that is or was based upon any Claim that another Person is infringing any  Company IP or challenging the scope, validity, enforceability or ownership of, or the right to use,  any Intellectual Property owned by any third party. (g) Each current and former employee and officer of each Seller who  has been or is responsible for developing, contributing to, modifying or improving material  Company IP for Sellers has executed a proprietary information and inventions agreement  assigning to a Seller such employee’s or officer’s rights in any material Company IP which were  developed, contributed to, modified or improved by such employee or officer, within the scope  of their employment or relating to the business of Sellers. Except to the extent acquired from  third parties under Contracts set forth on Section 3.7(g) of the Seller Disclosure Schedule, all of  the Company IP, was created by employees in the ordinary course of their employment, or by  contractors, who have transferred and assigned all of their rights in and to such Intellectual  Property to Sellers pursuant to written agreements. (h) Each Seller has taken reasonable steps to protect the confidentiality  of its material Trade Secrets, including requiring all Persons having access thereto to execute  written non-disclosure agreements. There has not been any disclosure of or access to any  material Trade Secret of any of Sellers (including, any such information of any other Person  16 

 

disclosed in confidence to any of Sellers) or the Business to any Person that has resulted in, or  likely resulted in, the loss of trade secret or other proprietary rights in and to such information. (i) With respect to all Software included in the Company IP that is  used in the delivery of products or services, Sellers are in actual possession or control of the  applicable source code, object code, code writes, and related material notes, documentation, and  know-how to the extent required for use, distribution, development, enhancement, maintenance  and support of such Software. Sellers (i) are the sole and exclusive owner of such source code for  Software included in the Company IP and are readily able to compile the object code versions of  all applicable products and services of Sellers, and (ii) have not disclosed any source code for  any such Software included in the Company IP to any third party, and, to the Knowledge of  Sellers, no Person other than Sellers is in possession of, access to, or has any right, title or  interest in or to (including, for clarity, contingent rights such as through escrow arrangements),  any such source code in any material respect with regard to the Software included in the  Company IP.   (j) To the Knowledge of Sellers, there has been no unauthorized theft,  reverse engineering, decompiling, disassembling or other unauthorized disclosure to a third party  of or access by a third party to any material source code for any Software incorporated into a  product or service that is owned by any of Sellers. (k) A list of Sellers' products and services currently offered for sale,  license or use by, or supported by Sellers for, any customers are set forth in Section 3.7(k) of the  Disclosure Schedule. All products and services of Sellers offered for sale or use by customers  substantially conform to their applicable specifications for such products and services when used  for their intended use in accordance with their specifications.   (l) Sellers own certain proprietary Software which incorporate certain  Open Source Materials utilized by Sellers in the products and services it currently offers.  Except  as disclosed in Section 3.7(l) of the Disclosure Schedule no Open Source Materials have been  incorporated into, modified, linked with or combined with, any products or services, or any  Software incorporated therein, currently offered for sale, license or use, or supported, by Sellers  in a manner that would require any source code to be disclosed, licensed (in object or source  code form, or on open source license terms), publicly distributed, provided for a nominal fee or  other material fee requirement or dedicated to the public. Section III.8 Information Technology. (a) Section 3.8(a) of the Seller Disclosure Schedule contains (i) a list  of all leases relating to the IT Systems and (ii) a listing of the IT Systems, the name of the facility  and location where the IT Systems used in connection with the Business are operated. (b) Sellers are the exclusive owners of, or have contractual rights to  use the IT Systems free from Liens, except for Permitted Liens, and no Seller has received  written notice from a third party alleging that such Seller is currently in default under any license  or lease relating to the IT Systems. 17 

 

(c) Sellers own or have valid Contracts in place with all applicable  third parties to use the IT Systems in the operation of the Business as currently conducted. (d) Each of Sellers is in material compliance with any Contracts  related to Intellectual Property used in the operation of the IT Systems. (e) To the Knowledge of Sellers, the IT Systems and Software of  Sellers do not contain Harmful Code.  Sellers have taken commercially reasonable steps and  implemented commercially reasonable safeguards to ensure that the IT Systems and Software are  free from Harmful Code (including preventative steps and safeguards for such IT Systems and  Software). (f) Sellers have adopted, maintained and enforced commercially  reasonable policies regarding use and integrity of the IT Systems by its employees and  contractors. The IT Systems are sufficient for the needs of the Business as currently operated,  including as data transport, data storage, capacity and scalability; and the IT Systems are in good  working condition to perform material computing, information technology and data processing  operations necessary for the operation of the Business as currently operated. (g) The IT Systems have been reasonably maintained and supported,  and, if and to the extent a Seller is a party to maintenance or support Contracts in respect of the  IT Systems, neither party is in material breach thereof, Sellers are current on all payment  obligations thereunder, and none of such Contracts that are material to Sellers will be terminable  or result in a material change therein as a result of the consummation of the transactions  contemplated by this Agreement. (h) In the past three (3) years: (i) there has been no failure, breakdown  or continued substandard performance of any IT Systems that has caused a material disruption or  interruption in or to the operations of Sellers or a material breach of any Contract by a Seller,  (ii) the IT Systems have not been subject to any Security Incident, and (iii) no Seller has received  any notice alleging the occurrence of a Security Incident. There are no facts or circumstances  that would require any Seller to give notice to any customers or other similarly-situated Persons  of any Security Incident pursuant to applicable Laws requiring notice of such a Security Incident. (i) Sellers have taken commercially reasonable steps to provide for the  remote-site back-up of data and information material to the conduct of the Business in a  commercially reasonable attempt to avoid disruption to, or interruption in, the conduct of the  Business or loss of material data.  Sellers have back-up systems (including electrical power,  telecommunications, heating, ventilating, air conditioning and water systems) and disaster  recovery plans, procedures and facilities that reasonably ensure the continuing availability of the  functionalities provided by the IT Systems and material data and continued services to the  customers of the Business in accordance with its customer Contracts, in the event of any  malfunction, Security Incident or other form of disaster affecting the IT Systems.  Sellers have  taken commercially reasonable steps and implemented commercially reasonable procedures  appropriate to safeguard the IT Systems and reasonably protect against the risk of unauthorized  access thereto. 18 

 

Section III.9 Privacy.  (a) Sellers have provided a true and correct copy of each the internal  and external facing privacy policies in place at any time over the past three (3) years of each of  Sellers.  In the past (3) three years, each Seller has complied (i) in all material respects with all  applicable Laws, (ii) with its own rules, policies, and procedures, (iii) if applicable, with industry  self-regulatory bodies to which any Seller is subject to the rules, regulations and other  requirements of such bodies and (iv) with contractual obligations, in each case, regarding the  privacy, security, protection, collection, use and other processing of Personal Data (collectively,  the “Privacy/Cybersecurity Obligations”). (b) No Claim has been asserted or threatened in writing against any  Seller alleging a violation of its obligation to protect Personal Data or otherwise alleging that any  Seller has violated any Privacy/Cybersecurity Obligation.  The consummation of the transactions  contemplated by this Agreement shall not constitute a breach of any Privacy/Cybersecurity  Obligation in any material respect. No Seller is currently or has in the past three (3) years been  under investigation by any Governmental Entity or industry self-regulatory body, required to  make any notification of a data breach with respect to Personal Data, or subject to any Order or  any settlement agreement with respect to Privacy/Cybersecurity Obligations.  Each Seller takes  reasonable measures and has reasonable security measures in place designed to ensure that  Personal Data is protected against unauthorized access, use, modification, or other misuse. (c) Sellers have entered into contracts with all third parties that  receive, collect or otherwise process Personal Data from or on behalf of a Seller or who have  access to the databases, to comply with applicable Privacy/Cybersecurity Obligations and to  implement reasonable and otherwise required security measures with respect to Personal Data,  and such third parties are in compliance with all such obligations in all material respects. (d) Any and all material privacy or data security issues and  vulnerabilities that have been identified or otherwise notified in writing to a Seller have been  fully remediated (including identifying and remediating the root cause thereof). Each Seller has  not, and has not permit any third party to, sell or rent or otherwise provide or use for the benefit  of any person any Personal Data, except in the ordinary course of business in compliance with  Sellers' customer contracts with respect to Personal Data relating to such customer or to vendors  solely to provide services to Sellers, in each case in accordance with applicable Sellers' privacy  policies. Section III.10 TPCA and FTC Matters. Without limitation to Section 3.13, each  of Sellers and the Business, including the operation of the Purchased Assets, has been, and is  being, operated and used, in compliance in all material respects with the Controlling the Assault  of Non-Solicited Pornography and Marketing Act of 2003, federal and state anti-kickback  statutes, wiretapping statutes, the Telemarketing Sales Rule and the Telephone Consumer  Protection Act. 19 

 

Section III.11 Real Property.  (a) No Seller owns any real property. (b) Section 3.11(b) of the Seller Disclosure Schedule sets forth the  addresses and the names of the fee owners, landlords, tenants, subtenants and sub-subtenants, as  applicable, of each real property leased, subleased, sub-subleased, licensed or otherwise  occupied, or used, by a Seller (the “Leased Real Property”), as well as any and all leases,  subleases, sub-subleases, licenses, occupancy agreements, and purchase options thereunder, and  all amendments, terminations and modifications thereof (collectively, the “Real Estate Leases”).  Sellers have a valid leasehold interest in, and enjoy actual, exclusive, peaceful and undisturbed  possession of, the relevant Leased Real Property, in each case free and clear of any Lien (other  than Permitted Liens). There are no leases, subleases, licenses, occupancy agreements, options,  rights or other agreements or arrangements to which any Seller is a party granting to any Person  the right to use, occupy or otherwise obtain a real property interest in all or any portion of a  Leased Real Property. (c) The Leased Real Property is in material compliance with all Laws  related to the business currently being conducted on such Leased Real Property. Each Seller is in  material compliance with all Liens and other matters of record affecting the Leased Real  Property, and no Seller has received any written notice alleging any default under any of such  Liens or other matters of record. (d) Except as provided by the Real Estate Leases, there are no  outstanding Contracts, commitments, options, rights of reverter or rights of first refusal (i) to  which any Seller is a party or (ii) to which any landlord or sub-landlord, as applicable, and  parties other than Seller are a party, in each case, granted to third parties to purchase or lease any  Leased Real Property, or any portion thereof or interest therein. (e) There are no pending or threatened Claims regarding  condemnation or eminent domain with respect to any of the Leased Real Property. There are no  pending Claims initiated by or on behalf of any Seller to change or redefine the zoning or land  use classification of any such real property, no Seller has received notice of any such Claim and  there is no proposed Claim of such kind. Section III.12 Material Contracts.  (a) Section 3.12 of the Seller Disclosure Schedule sets forth each  Contract described below to which any Seller is a party or by which any Seller or its assets or  properties relating to the Purchased Assets is bound (each, a “Material Contract”): (i) any Contract to which a Person other than any Seller is a  party with respect to a joint venture, partnership, limited liability company or other  similar agreement or arrangement, related to the formation, creation, operation,  management or control of any partnership, joint venture or limited liability company; 20 

 

(ii) any Contract relating to Indebtedness, any obligation to  purchase, redeem, retire, defease or otherwise acquire for value any capital stock or  equity interests or any warrants, rights or options to acquire such capital stock or equity  interests; (iii) any Contract relating to an acquisition, divestiture, merger  or similar transaction of, with or into a Seller that contains representations, covenants,  indemnities or other obligations (including payment, indemnification, “earnout” or other  contingent obligations) that are in effect on the date hereof; (iv) any Contract, other than a Contract related to an acquisition  subject to Section 3.12(a)(iii), that obligates any Seller to make any capital commitment  or expenditure (including pursuant to any joint venture); (v) any Contract that prohibits the payment of dividends or  distributions in respect of the securities or equity interests of Sellers or otherwise,  prohibits the pledging of any such securities or equity interests or prohibits the issuance  of guarantees by any Seller; (vi) any Contract containing any covenant limiting or  prohibiting the right of any Seller (1) to use the Purchased Assets or engage in any line of  business or conduct business in any geographic area, (2) to distribute or offer any  products or services or (3) to compete with any other Person in any line of business or in  any geographic area or levying a fine, charge or other payment for doing any of the  foregoing; (vii) any Contract that grants any right of first refusal, right of  first offer or similar right with respect to any material assets, rights or properties of any  Seller (including, for the avoidance of doubt, the Purchased Assets); (viii) any Contract not with employees that would reasonably be  expected to involve payments by or to any Seller in excess of $500,000 during the  calendar year ending December 31, 2020; (ix) any Contract with any Governmental Entity; (x) any Contract pursuant to which any of the benefits  thereunder, to any Seller or to any other party thereto, shall be increased, or the vesting of  benefits of which shall be accelerated, by the consummation of the Acquisition or the  other transactions contemplated by this Agreement or the value of any of the benefits of  which shall be calculated on the basis of any of the transactions contemplated by this  Agreement; (xi) any Contract (1) relating to the employment of, or the  performance of services by, any director, employee, individual consultant or individual  independent contractor (excluding any Contracts with providers who are individual  21 

 

consultants or independent contractors) that requires payment of base salary (or  compensation) in excess of $200,000 on an annual basis to any Person, (2) of which the  terms obligate or may in the future obligate any Seller to make any severance or  termination payment to any current employee or (3) pursuant to which any Seller may be  obligated to make any bonus payment in excess of $50,000 to any current  employee or  director; (xii) any Real Estate Lease; (xiii) any Contract pursuant to which any Seller (1) has granted  or agreed to grant to any other Person the right to exploit any material Company IP  (including any license agreements, coexistence agreements and covenants not to sue) or  (2) has received or agreed to receive from any other Person rights to exploit any material  Intellectual Property, excluding Contracts concerning commercially available shrink- wrap or off-the-shelf software that has an acquisition price of less than $50,000 per unit  or per year; (xiv) any Contract under which a Seller (1) has been assigned or  had developed, or is granted a license or right to (whether present or contingent), any  material Company IP, (2) has granted any material right with respect to Company IP, or  (3) is materially restricted in its rights to use, register, or otherwise exploit any  Intellectual Property (including, for clarity, coexistence agreements and covenants not to  sue), except, in each of case (1) or (2), for (A) any license for commercially available  Software or hardware or other commercially available technology with a replacement  cost of less than $50,000, and (B) any Contract with a customer, supplier, service  provider or other vendor or contractor entered into in the ordinary course of business in  which grants of rights to Intellectual Property are nonexclusive and purely incidental to  and not a material purpose of such Contract. (xv) any Contract with (1) any Affiliate, director, manager or  officer of any Seller or (2) any Affiliate of, or any “associate” or any member of the  “immediate family” (as such terms are defined in Rules 12b-2 and 16a-1 under the  Exchange Act) of, any Seller or any such Affiliate, director, manager or officer  (collectively, the “Affiliate Contracts”); (xvi) any Contract obligating a Seller to purchase or otherwise  obtain any product or service exclusively from any Person or sell any product or service  exclusively to any Person;  (xvii) any Contract relating to leases of equipment, vehicles or  other personal property that, in each case, during calendar year 2020 involved annual  payments to or by any Seller in excess of $100,000;  (xviii) any stockholders, investors rights, registration rights or  similar agreement or arrangement; 22 

 

(xix) any Contract with a Key Customer or Key Supplier; (xx) any Contract under which any Person provides marketing,  advertising or sales services to any Seller; (xxi) any Contract pursuant to which any Seller has an obligation  to indemnify, defend or hold harmless any Person;  (xxii) any Contract the termination or breach of which, or in  respect of which the failure to obtain any Consent required in connection with this  Agreement or any Other Transaction Agreement, would be or would reasonably be  expected to be material, individually or in the aggregate, to any Seller. (b) Prior to the date hereof, Sellers have made available to Parent and  Buyer true, complete and correct copies of each Material Contract (including all exhibits and  schedules thereto). (c) Each Material Contract is in full force and effect and is the legal,  valid and binding obligation of the Seller party thereto and the other parties thereto, enforceable  against each of them in accordance with its terms, subject to (i) Laws of general application  relating to bankruptcy, insolvency, reorganization, moratorium and other Laws affecting  creditors’ rights generally and (ii) rules of law governing specific performance, injunctive relief  and other equitable remedies. No Seller is in material breach of or in material default under any  Material Contract, and no other party to any Material Contract is in material breach of or material  default thereunder, and no event has occurred that with notice or lapse of time or both would  constitute a material breach or material default of the Seller party thereto or any other party  thereto. No party to any Material Contract has provided notice to any other party requesting any  indemnification or defense under such Material Contract. No party to any Material Contract has  provided written notice exercising any termination rights with respect thereto, and no party to  any of the Material Contracts has given notice of any material dispute with respect to any  Material Contract or any intent to terminate, adversely modify, not renew or challenge the  validity or enforceability of any Material Contract.  Section III.13 Compliance with Laws; Permits. (a) Each Seller is, and since January 1, 2018 has been, in compliance  in all material respects with all applicable Laws.  Since January 1, 2018, no Seller has received  written notice alleging or asserting that any Seller is not in compliance in any material respect  with any Laws. No Governmental Entity is conducting, and since January 1, 2018, no  Governmental Entity has conducted, any investigation into any Seller’s potential noncompliance  in a material respect with any applicable Law. (b) Each Seller holds all Permits necessary for the lawful conduct of  its business, the Business, including the operation and use of the Purchased Assets, as it is  currently being conducted. Such Permits are valid and in full force and effect. Each Seller is in  material compliance with the terms and requirements of such Permits, and no Seller is in material  23 

 

default or material violation (and no event has occurred which, with or without the giving of  notice, lapse of time or both, would constitute a material default or material violation) of any  term, condition or provision of any material Permit. No Seller has received any notice from any  Governmental Entity (and no Governmental Entity has threatened any notice) (i) asserting any  material violation of any term or requirement of any such Permit, (ii) notifying any Seller of the  revocation or withdrawal of any such Permit or (iii) imposing any condition, limitation,  modification or amendment on any such Permit, in each case that has not been cured or waived. Section III.14 Compliance with Sanctions; Anti-Corruption; Customs and Trade  Laws. (a) Each Seller is, and since February 1, 2016 has been, in compliance  with applicable Laws related to (i) anti-corruption or anti-bribery, including the U.S. Foreign  Corrupt Practices Act of 1977, 15 U.S.C. §§ 78dd-1, et seq., the UK Bribery Act 2010, and any  other equivalent or comparable Laws of other countries (collectively, “Anti-Corruption Laws”),  (ii) Sanctions, (iii) Customs & Trade Laws, and (iv) anti-money laundering, including the Money  Laundering Control Act of 1986, 18 U.S.C. §§ 1956, 1957, and any other equivalent or  comparable Laws of other countries. (b) Each Seller has in place controls and systems reasonably designed  to ensure compliance with Sanctions and Customs & Trade Laws in each of the jurisdictions in  which such Seller operates or does business.   (c) No Seller, nor any director or officer, nor, to the Knowledge of the  Sellers, any employee or agent of any Seller (acting on behalf of any Seller) (i) is or is acting  under the direction of, on behalf of or for the benefit of a Person that is a Sanctioned Person or a  Person that is otherwise the target or subject of Sanctions, (ii) has participated in any transaction  or dealing involving a Sanctioned Person, Restricted Person, or a Person who is otherwise the  target or subject of Sanctions, or (iii) is or is acting under the direction of, on behalf of or for the  benefit of a Person that is an officer or employee of any Governmental Entity or public  international organization, or officer of a political party or candidate for political office. (d) Since January 1, 2016, each Seller has conducted all export  transactions in accordance with applicable Customs & Trade Laws, including: (a) obtaining all  export licenses and other approvals, timely filed all required filings, and assigning the  appropriate export classifications to all products, in each case as required for its exports of  products, software and technologies from the United States and any other applicable jurisdiction  and (b) complying with the terms of all applicable export licenses, classifications, filing  requirements or other approvals or authorizations. (e) No Seller has received written notice of, nor, to the Knowledge of  the Sellers, any of their respective officers, employees, agents or third-party representatives is or  has been the subject of, any investigation, inquiry or enforcement proceedings by any  Governmental Entity regarding any offense or alleged offense under Anti-Corruption Laws,  Sanctions, or Customs & Trade Laws (including by virtue of having made any disclosure relating  to any offense or alleged offense) and, to the Knowledge of the Sellers, there is no such  24 

 

investigation, inquiry or enforcement proceeding threatened by any Governmental  Entity and  there are no circumstances likely to give rise to any such investigation, inquiry or proceeding. Section III.15 Claims; Orders. (a) There is no material Claim pending or being threatened, and, since  January 1, 2018, there has not been any material Claim, against any Seller or any present or  former executive officer, director or manager of any Seller in his or her capacity as such. There is  no material Order outstanding against any Seller or any present or former officer or director of  any Seller in his or her capacity as such or to which any of the foregoing is subject. (b) There is no Claim pending or being threatened against any Seller  that would reasonably be expected prevent, impair or hinder such Seller from complying with its  obligations hereunder. There is no Order outstanding against any Seller that would reasonably be  expected prevent, impair or hinder such Seller from complying with its obligations hereunder. Section III.16 Certain Payments. None of the Sellers, nor any officer or director  thereof, nor to the Knowledge of Sellers, any agent or employee of a Seller or any other Person  acting at the direction of any of them, in each case, with respect to Seller or in respect of its  Business, has directly or indirectly made any contribution, gift, bribe, rebate, payoff, influence  payment, kick-back or other payment to any Person, private or public, regardless of form, whether  in money, property or services: (a) to obtain favorable treatment in securing business, to pay for  favorable treatment for business secured, to obtain special concessions or for special concessions  already obtained, for or in respect of a Seller, in each case which reasonably could be expected to  subject such Seller, the Business or the Purchased Assets to any material damage or penalty in  any Claim or (b) in violation of any applicable Laws. Section III.17 Tax Matters. (a) All material Tax Returns required to be filed with respect to the  Purchased Assets, the Assumed Liabilities or the Business have been timely filed, and all such  Tax Returns are true, correct and complete in all material respects. (b) All material Taxes due and payable with respect to the Purchased  Assets, the Assumed Liabilities or the Business, whether or not shown to be due on any Tax  Return, have been or, to the extent first due and payable between the date hereof and the Closing  Date, will be, timely paid in full. With respect to any period for which Tax Returns have not yet  been filed or for which Taxes are not yet due or payable, the Sellers have made due and  sufficient accruals for such Taxes on the Financial Statements. No liability for material Taxes has  been incurred with respect to the Purchased Assets, the Assumed Liabilities or the Business since  the date of the most recent Financial Statements, except for Taxes incurred in the ordinary course  of business. (c) All material amounts of Taxes required to have been withheld and  paid, deducted or collected by the Sellers under applicable Law with respect to the Purchased  Assets, the Assumed Liabilities and the Business, including in connection with amounts paid or  25 

 

owing to any current or former employee, independent contractor, creditor, shareholder or other  Person, have been timely withheld, deducted or collected and paid to the appropriate Taxing  Authority, and all IRS Forms W-2 and 1099 and other applicable forms required with respect  thereto have been properly completed and timely filed. (d) The Sellers have timely collected all material sales, use, value- added and similar Taxes required to be collected by them with respect to the Purchased Assets,  the Assumed Liabilities and the Business, and have remitted, or will remit, in each case on a  timely basis, such amounts to the appropriate Governmental Entity. (e) No deficiency with respect to Taxes has been claimed, proposed,  asserted or assessed against or with respect to any Seller with respect to the Purchased Assets,  the Assumed Liabilities or the Business which has not been fully paid or finally settled.  (f) There is no audit, claim or assessment pending, proposed,  contemplated, asserted or threatened in writing (or, to the Knowledge of the Sellers, otherwise)  with respect to any Tax or Tax Return related to the Purchased Assets, the Assumed Liabilities  and the Business, and no Taxing Authority has indicated in writing an intent to investigate,  commence or open such an audit, claim or assessment with respect to any such Tax or Tax  Return. (g) Neither the Business nor any of the Purchased Assets or Assumed  Liabilities is subject to any Tax Sharing Agreement. (h) No closing agreements (as described in Section 7121 of the Code  or any corresponding, analogous or similar provision of state, local or non-U.S. Law), private  letter rulings, technical advice memoranda or similar agreements or rulings have been entered  into or requested with respect to the Purchased Assets, the Assumed Liabilities or the Business. (i) There are no Liens with respect to Taxes (other than Permitted  Liens) upon any of the Purchased Assets. (j) No claim has been made in writing (or, to the Knowledge of the  Sellers, otherwise) by a Taxing Authority in a jurisdiction where any Seller does not file Tax  Returns or Taxes are not paid with respect to the Purchased Assets, the Assumed Liabilities or  the Business that such Seller is subject to taxation by that jurisdiction or such Taxes are required  to be paid. (k) There are no currently outstanding agreements, consents or  applications to extend or waive any statute of limitations with respect to any Tax Returns or  Taxes with respect to the Purchased Assets, the Assumed Liabilities or the Business that will  remain in effect as of the Closing Date. No power of attorney has been granted with respect to  any matter relating to Taxes payable with respect to the Purchased Assets, the Assumed  Liabilities or the Business that will be in effect as of the Closing Date. 26 

 

(l) No Income Tax election has been made with respect to any of the  Purchased Assets, the Assumed Liabilities or the Business that has, or may have, continuing  effect for income tax purposes, after the Closing Date. (m) None of the Purchased Assets or the Assumed Liabilities is, nor is  any property relating to the Business, “tax-exempt use property” within the meaning of Section  168(h) of the Code. (n) Section 3.17(n) of the Seller Disclosure Schedule sets forth all  material Tax exemptions, Tax holidays or other Tax reduction agreements or orders to which the  Business or any of the Purchased Assets or Assumed Liabilities is currently subject. Sellers have  made available to Buyer all material documents relating to such Tax exemptions, Tax holidays or  other Tax reduction arrangements or orders. Sellers are in material compliance with the  requirements for any such Tax exemption, Tax holiday or other Tax reduction arrangement or  order. (o) No Purchased Asset or Assumed Liability is a “United States real  property interest” under Section 897 of the Code. (p) No Purchased Asset or Assumed Liability is an equity interest in a  Person for Tax purposes. Section III.18 Employee Benefits. (a) Section 3.18(a) of the Seller Disclosure Schedule contains a true,  complete and correct list of each employee benefit plan, program and arrangement (including  any “employee benefit plan” as defined in Section 3(3) of ERISA) and any other employment,  consulting, bonus, stock option, stock purchase, equity, phantom equity, incentive, deferred  compensation, supplemental retirement, health, life or disability insurance, dependent care,  severance and other material fringe or employee benefit plans, programs, arrangements or  agreements sponsored or maintained by any Seller or to which any Seller makes contributions or  with respect to which any Seller has or would reasonably be expected to have any liability  (contingent or otherwise) or that otherwise provides compensation or benefits to any current or  former employee, officer, director, consultant or other natural person service provider of any  Seller in their capacity as such (collectively, the “Crisp Plans”). Sellers have described or  provided or made available to Parent and Buyer current, accurate and complete copies of all (A)  Crisp Plans, including all amendments thereto and all related trust documents, (B) the most  recent annual report (Form Series 5500), if any, required under ERISA or the Code in connection  with each Crisp Plan, (C) the most recent actuarial report (if applicable) for all Crisp Plans, (D)  the most recent summary plan description, if any, required under ERISA with respect to each  Crisp Plan and (E) the most recent Internal Revenue Service determination or opinion letter  issued with respect to each Crisp Plan intended to be qualified under Section 401(a) of the Code.  No Seller has any express or implied commitment to create any other material employee benefit  plan, program or arrangement or to materially modify, change or terminate any Crisp Plan, other  than with respect to a modification, change or termination required by ERISA or the Code. 27 

 

(b) Each Crisp Plan that is intended to be qualified under Section  401(a) of the Code has received a favorable determination from the Internal Revenue Service  stating that such Crisp Plan is so qualified or is a prototype plan to whose sponsor a favorable  opinion letter has been issued by the Internal Revenue Service and nothing has occurred that  caused or is reasonably likely to cause the loss of such qualification or the imposition of any  penalty or Tax liability. Each Crisp Plan has been operated in material compliance with its terms  and all applicable Laws and complies in form and in operation in all material respects with all  applicable Laws. (c) No current or former employee, officer, director, consultant or  other service provider of any Seller is or may become entitled under any Crisp Plan to receive  health, life insurance or other welfare benefits (whether or not insured), beyond their retirement  or other termination of service, other than health continuation coverage as required by Section  4980B of the Code or other similar applicable Laws.  Section 3.18(c) of the Seller Disclosure  Schedule sets forth a true and complete list of any former employee of Seller who was  involuntarily terminated by Seller in the eighteen (18) month period preceding the date of this  Agreement. (d) Each Crisp Plan that constitutes in any part a nonqualified deferred  compensation plan within the meaning of Section 409A of the Code has been operated and  maintained in all material respects in operational and documentary compliance with Section  409A of the Code and all Internal Revenue Service guidance promulgated thereunder. (e) Neither the execution and delivery hereof nor the consummation of  the Acquisition will, either alone or in combination with any other event, (i) entitle any current or  former employee, officer, director, consultant or other natural person service provider of the  Sellers to severance pay unless required by Law, or (ii) accelerate the time of payment or  vesting, or increase the amount of or otherwise enhance any benefit due any such employee,  officer, director, consultant or other natural person service provider.  (f) No Seller is a party to any Contract (including any Crisp Plan) that  has resulted or would result, separately or in the aggregate, in connection with the transactions  contemplated by this Agreement (either alone or in combination with any other events), in the  payment of any “excess parachute payments” within the meaning of Section 280G of the Code. (g) Other than benefit Claims made in the ordinary course of business,  there are no Claims which have been asserted, instituted or, to the Knowledge of Sellers,  threatened against any Crisp Plan, the assets of any Crisp Plan or any Seller or the plan  administrator or any fiduciary of the Crisp Plans with respect to the operation of such Crisp  Plans. (h) No Seller has incurred any material liability for any Tax, fine or  penalty under the Code, ERISA or other applicable Law in connection with the existence or  operation of any Crisp Plan, and to the Knowledge of Sellers no fact or event exists which could  give rise to any such material liability. 28 

 

(i) None of the Sellers or any ERISA Affiliate sponsors, contributes  to, or has any liability (contingent or actual) with respect to, a multiemployer plan within the  meaning of Section 3(37) or Section 4001(a)(3) of ERISA (“Multiemployer Plan”), a multiple  employer welfare arrangement within the meaning of Section 3(40) of ERISA (a “MEWA”) or  an arrangement subject to Section 302 or Title IV of ERISA or Section 412 of the Code (a “Title  IV Plan”), and during the preceding six (6) years none of the Sellers or any ERISA Affiliate has  maintained, sponsored or contributed to or been required to contribute to a Multiemployer Plan,  MEWA or Title IV Plan.  (j) None of the Sellers or any ERISA Affiliate has used the services of  workers provided by third-party contract labor suppliers, temporary employees, “leased  employees” within the meaning of Section 414(n) of the Code or individuals who have provided  services as independent contractors in a manner that could result in the disqualification of any  Crisp Plan or the imposition of penalties or excise Taxes with respect to any Crisp Plan by the  Internal Revenue Service, the Department of Labor or any other Governmental Entity. Section III.19 Labor Matters. (a) Section 3.19(a) of the Seller Disclosure Schedule contains a true,  complete and correct list of (i) all of the employees of the Sellers as of the date hereof (including  and indicating any such individual on leave of absence) (collectively, the “Seller Employees”)  and their title, compensation, employment status (full-time, part-time or temporary), location of  employment and classification as exempt or non-exempt, and accrued vacation; (ii) individual  independent contractors providing services to the Sellers as of the date hereof; and (iii) leased  employees of the Sellers as of the date hereof. (b) No Seller is party to, or bound by, any labor agreement, collective  bargaining agreement or any other labor-related agreements or arrangements with any labor  union, trade union or labor organization (“Collective Bargaining Agreements”), and there are no  Collective Bargaining Agreements that pertain to work performed by any of the employees on  behalf of any Seller; and no employees of any Seller are represented by any labor union, works  council, trade union or labor organization with respect to their employment with any Seller. (c) No labor union, trade union, labor organization or group of  employees of any Seller has made a pending demand for recognition or certification, and, to the  Knowledge of Sellers, there are no representation or certification proceedings or petitions  seeking a representation proceeding presently pending or threatened in writing to be brought or  filed with the National Labor Relations Board or any other labor relations tribunal or authority.  To the Knowledge of Sellers, there have been no union organizing activities with respect to any  employees of any Seller. (d) Since January 1, 2018, (i) there has been no actual or threatened  material arbitrations, material grievances, strikes, lockouts, slowdowns, work stoppages or  material labor-related Claims or disputes (collectively, “Labor Disputes”) against  any Seller, and  no such Labor Disputes are pending, and (ii) to the Knowledge of Sellers, none of the Sellers  have committed any unfair labor practice as defined in the National Labor Relations Act. The  29 

 

Sellers (i) are not in material violation of any Collective Bargaining Agreement or Law  pertaining to labor, employment or employment practices including all Laws regarding worker  classification, health and safety, wages and hours, labor relations, employment discrimination,  disability rights or benefits, equal opportunity, immigration, plant closures and layoffs,  affirmative action, employee leave issues, unemployment insurance and workers’ compensation  and (ii) are not, and have not been since January 1, 2018, a party to any Claim alleging a  violation of any Collective Bargaining Agreement or Law pertaining to labor, employment or  employment practices, and no such Claim is pending or been threatened. (e) The Sellers (i) have properly classified and treated all of its  workers as independent contractors or employees, (ii) have properly classified and treated all of  its employees as “exempt” or “nonexempt” in compliance with all applicable Laws pertaining to  wages and hours, overtime requirements and Taxes, (iii) are not delinquent in any payments to,  or on behalf of, any current or former independent contractors or employees of any Seller for any  services, benefits or amounts required to be reimbursed or otherwise paid or provided, (iv) have  withheld and reported all amounts required by Law or by agreement to be withheld and reported  with respect to wages, salaries and other payments to any current or former independent  contractors or employees of any Seller and (v) are not liable for any payment to any trust or other  fund governed by or maintained by or on behalf of any Governmental Entity with respect to  unemployment compensation benefits, social security or other benefits or obligations for any  current or former independent contractors or employees of any Seller (other than routine  payments to be made in the ordinary course of business and consistent with past practice). Since  January 1, 2018, none of the Sellers has been subject to any audit or investigation by any  Governmental Entity with respect to its employee classification or wage and hour practices or  compliance. The Sellers do not have any material liability as a result of any misclassification of  any Person as an independent contractor rather than as an employee or as “exempt” or  “nonexempt” from wage and hour requirements under applicable Law.  (f) No Seller is or has been (i) a “contractor” or “subcontractor” (as  defined by Executive Order 11246), (ii) required to comply by Executive Order 11246 or  (ii) required to maintain an affirmative action plan. (g) To the Knowledge of Sellers, no employee of any Seller is in  material violation of any term of any employment agreement, nondisclosure agreement, common  law nondisclosure obligation, fiduciary duty, noncompetition agreement, restrictive covenant or  other obligation (i) to any Seller or (ii) to a former employer of any such employee relating (1) to  the right of any such employee to be employed by any Seller or (2) to the knowledge or use of  trade secrets or proprietary information. (h) The Sellers are and have been in compliance with all notice and  other requirements under the WARN Act. In the eighteen (18) months prior to the date hereof,  none of the Sellers has (i) effectuated a “plant closing” (as defined in the WARN Act),  (ii) effectuated a “mass layoff” (as defined in the WARN Act) or (iii) undertaken any other  similar action requiring notice under the WARN Act. 30 

 

(i) Since January 1, 2016, none of the Sellers have entered into a  settlement agreement with a current or former officer, employee or independent contractor of any  Seller that involves allegations relating to sexual harassment by either (i) an officer of any Seller  or (ii) an employee of any Seller at the level of Vice President or above. Since January 1, 2016,  no allegations of sexual harassment have been made against (1) any officer of any Seller or (2)  an employee of any Seller at a level of Vice President or above. (j) For purposes of this Section 3.19, reference to any Seller includes  any professional employer organization engaged by a Seller in the provision of labor or  employment related services for any Seller and reference to employees of a Seller shall include  any employees engaged through or with a professional employer organization. Section III.20 Environmental Matters. Each Seller is and has been compliance  with all applicable Environmental Laws in all material respects. Each Seller has obtained all  Permits required for the use of the Purchased Assets and operation of the Business as currently  conducted under applicable Environmental Laws and maintained and complied in all material  respects with such Permits. There are no pending or, to the Knowledge of any Seller, threatened  Claims relating to or arising out of the Environmental Laws or any Permits required under  Environment Laws and, since January 1, 2018, Sellers have not received any written notice from  any Governmental Entity or any other Person alleging that a Seller is not in compliance with any  Environmental Law. The Leased Real Property and the existing uses and activities thereon,  including the use, maintenance and operation of the Business as currently conducted, comply with  all applicable Environmental Laws. Section III.21 Insurance. Section 3.21 of the Seller Disclosure Schedules sets  forth a true, complete and correct list of all Insurance Policies. Sellers have made available to  Parent and Buyer all material Insurance Policies. The Insurance Policies are in full force and  effect and shall remain in full force and effect following the Closing. Sellers have not received  any notice of cancellation of, premium increase with respect to, or alteration of coverage under,  any Insurance Policy. All premiums due on the Insurance Policies have either been paid or, if due  and payable prior to Closing, will be paid prior to Closing in accordance with the payment terms  of each Insurance Policy. The Insurance Policies do not provide for any retrospective premium  adjustment or other experience-based liability. All Insurance Policies (a) are valid and binding in  accordance with their terms, (b) are provided by carriers who are financially solvent and (c) have  not been subject to any lapse in coverage. There are no Claims pending under any Insurance  Policy. There has been no Claim under any Insurance Policy as to which coverage has been  questioned, denied or disputed or in respect of which there is or was an outstanding reservation of  rights. None of Sellers are in default under, or has otherwise failed to comply with, any Insurance  Policy. The Insurance Policies are of the type and in the amounts customarily carried by Persons  conducting a business similar to the Business and are sufficient for compliance with all applicable  Laws and Contracts to which each Seller is a party or by which it or any of the Purchased Assets  is bound. As used herein, “Insurance Policy” means any policies or binder of fire, liability,  professional liability, product liability, umbrella liability, real and personal property, workers’  compensation, vehicular, directors’ and officers’ liability, cyber liability, technology errors and  omissions liability, fiduciary liability and other casualty and property insurance maintained by  31 

 

any Seller or under which any Seller is an insured or beneficiary, or otherwise relating to the  assets, business, operations, employees, officers and directors of any Seller or the Purchased  Assets. Section III.22 Key Customers and Suppliers. (a) Section 3.22(a) of the Seller Disclosure Schedule sets forth the  (i) twenty (20) largest customers of the Business of Sellers, measured by revenue during the  period of January 1, 2020 through December 31, 2020 (each, a “Key Customer”) and (ii) all  amounts paid to Sellers by each Key Customer during such period. (b) Section 3.22(b) of the Seller Disclosure Schedule sets forth (i) any  entities with which any Seller has an agreement for the supply of goods or services pursuant to  which such Seller is reasonably expected to make payments in excess of $10,000 per year (each,  a “Key Supplier”) and (ii) all amounts paid by Sellers to each Key Supplier during such period. (c) Since January 1, 2021, there has been no termination or  cancellation of, and no adverse modification or change in, the business relationship of Sellers  with respect to any of the Key Customers or any Key Suppliers. Sellers have not received written  notice that the benefits of any relationship with any of the Key Customers or Key Suppliers will  not continue after the Closing in substantially the same manner as before the date of this  Agreement, and no Key Customers or any Key Suppliers have notified Sellers in writing or, to  the Knowledge of Sellers, orally to modify or change in any material manner any existing  agreement with Sellers. Sellers have not received any notice from any Person alleging or  asserting that the performance of any of Sellers’ products or services, (i) is or has been deficient  or substandard or (ii) is or has been adverse to, or caused substantial disruption to, the businesses  or operations of any Key Customer or Key Supplier. Section III.23 Credit Support Arrangements. No Seller guarantees, or is  otherwise liable for, the Indebtedness of any other Person (other than the Closing Date  Indebtedness) or is party to any Credit Support Arrangement in favor of any other Person. Section III.24 Solvency. Each Seller is able to pay its debts as they become due  and owns assets and property that have a fair saleable value greater than the amounts required to  pay its debts (including a reasonable estimate of the amount of all contingent liabilities). Each  Seller has and will maintain adequate capital to carry on its businesses as currently conducted. No  Seller (a) is an insolvent person within the meaning of applicable bankruptcy and insolvency  Laws, (b) has made an assignment in favor of its creditors or a proposal in bankruptcy to its  creditors or any class thereof, nor has it had any petition for a receiving order presented in respect  of it, (c) has initiated or subject to any Claim commenced, contemplated or threatened by any  other Person with respect to a compromise or arrangement with its creditors or for its winding-up,  liquidation or dissolution, (d) has been appointed a receiver in respect of any of its assets or (e)  has any execution or distress levied upon any of its assets, and none of this Agreement, any Other  Transaction Agreement or consummation of the transactions contemplated hereby or thereby will  cause or result in the occurrence of any of the foregoing.  32 

 

Section III.25 Affiliate Transactions. Sellers have not (a) made any payment or  loan that is currently outstanding to, or borrowed any monies that are currently outstanding from  any officer, director or employee of any Seller or any of their respective Affiliates, other than the  payment of compensation and benefits and travel advances made in the ordinary course of  business or (b) entered into any Contract with any officer, director or employee of any Seller or  any of their respective Affiliates, other than agreements related to employment or service and for  equity-compensation arrangements. Section III.26 Brokers. Except as set forth on Section 3.26 of the Seller  Disclosure Schedule, no broker, finder or investment banker is entitled to any brokerage, finder’s  or other similar fee or commission in connection with the transactions contemplated by this  Agreement based upon arrangements made by or on behalf of any Seller. Section III.27 Unregistered Securities. (a) Each Seller is an “accredited investor” within the meaning of Rule  501(a) of Regulation D under the Securities Act. Each such Seller will execute and deliver to the  Buyer such documents as the Buyer may reasonably request in order to confirm the accuracy of  the foregoing.  Each Seller is able to bear the risk of its investment in the Parent Shares for an  indefinite period. Each Seller has such knowledge and experience in financial and business  matters that it is capable of evaluating the merits and risks of the acquisition of the Parent Shares  as contemplated by this Agreement. Each Seller is able to bear the economic risk of an  investment in the Parent Shares and is able to afford a complete loss of such investment. (b) Each Seller has been furnished with materials relating to the  business, finances and operations of Parent and relating to the offer and sale of the Parent Shares  that have been requested by such Seller and that such Seller deems necessary to evaluate the  merits and risks of an investment in the Parent Shares. Each Seller has been afforded the  opportunity to ask questions of Parent or its Representatives and receive answers concerning the  terms and conditions of the offering and to obtain any additional information which Parent  possesses or can acquire without unreasonable effort or expense. Each Seller has sought its own  accounting, legal and tax advice as it has considered necessary to make an informed investment  decision with respect to its investment in the Parent Shares.  The decision to execute this  Agreement and to acquire the Parent Shares have not been based on any verbal or written  representations as to fact or otherwise made by or on behalf of the Buyer, other than such written  representations as are expressly contained in this Agreement. (c) Each Seller is acquiring the Parent Shares for its own account and  not with a view to, or for resale in connection with, a distribution in violation of any Laws,  including securities Laws. Each Seller has been advised and understands and acknowledges that  the Parent Shares have not been registered under the Securities Act or under the “blue sky” Laws  of any jurisdiction and may be resold only if registered pursuant to the provisions of the  Securities Act or if an exemption from registration is available, except under circumstances  where neither such registration nor such an exemption is required by Law and Parent is not  required to register the Parent Shares. Sellers have been advised of and is aware of the provisions  33 

 

of Rule 144 promulgated under the Securities Act. The acquisition of the Parent Shares by  Sellers has not been solicited by or through anyone other than Parent.  (d) Each Seller understands and acknowledges that, until such time as  the Parent Shares have been registered pursuant to the provisions of the Securities Act, or the  Parent Shares are eligible for resale pursuant to Rule 144 promulgated under the Securities Act  without any restriction as to the number of securities as of a particular date that can then be  immediately sold, the Parent Shares shall bear the following restrictive legend: “THESE  SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,  AS AMENDED. THESE SECURITIES MAY NOT BE SOLD, OFFERED FOR SALE,  PLEDGED OR HYPOTHECATED IN THE ABSENCE OF A REGISTRATION STATEMENT  IN EFFECT WITH RESPECT TO THE SECURITIES UNDER SUCH ACT AND  APPLICABLE STATE SECURITIES LAWS OR PURSUANT TO AN EXEMPTION FROM  REGISTRATION THEREUNDER AND, IN THE CASE OF A TRANSACTION EXEMPT  FROM REGISTRATION, THE ISSUER HAS RECEIVED DOCUMENTATION  REASONABLY SATISFACTORY TO IT (WHICH MAY INCLUDE AN OPINION OF  COUNSEL) THAT SUCH TRANSACTION DOES NOT REQUIRE REGISTRATION  UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS.”  (e) Each Seller understands and acknowledges that the Parent Shares  are being offered and sold in reliance on a transactional exemption from the registration  requirements of federal and state securities Laws, and that Parent is relying in part upon the truth  and accuracy of the representations, warranties, agreements, acknowledgments and  understandings of Sellers set forth in this Agreement, and in any other document that the Buyer  may reasonably request, in (i) concluding that the issuance and sale of the Parent Shares is a  “private offering” and, as such, is exempt from the registration requirements of the Securities  Act, and (ii) determining the applicability of such exemptions and the suitability of each Seller to  acquire the Parent Shares. Section III.28 Books and Records. The minute books and stock record books of  Sellers (the “Minute Books”) are complete and correct and have been maintained in accordance  with sound business practices. Sellers have made available to Parent and Buyer the Minute Books.  The Minute Books contain accurate and complete records of all meetings, and actions taken by  written consent of, the stockholders or the board of directors or similar governing bodies (or any  committees thereof) of each Seller, and no meeting, or action taken by written consent, of any  such stockholders, board of directors or similar governing body (or any committee thereof) has  been held for which minutes have not been prepared and are not contained in the Minute Books.  Article IV REPRESENTATIONS AND WARRANTIES OF PARENT AND BUYER Parent and Buyer hereby represent and warrant to Sellers as follows: Section IV.1 Due Organization and Good Standing. Each of Parent and Buyer  has been duly organized and is validly existing and in good standing under the Laws of the State  34 

 

of Delaware and has all requisite limited liability company or corporate power and authority to  own, lease and operate its properties and assets and to conduct its businesses in the manner in  which its businesses are currently being conducted. Section IV.2 Authority; Binding Nature of Agreement. Each of Parent and  Buyer has the requisite limited liability company or corporate power and authority to enter into  and to perform its covenants and agreements under this Agreement and each Other Transaction  Agreement to which it is a party and, subject to the adoption and authorization of the execution,  delivery and performance of this Agreement and the Other Transaction Agreements by the board  of managers or board of directors or similar governing body of Parent and Buyer, as applicable, to  consummate the Acquisition and the other transactions contemplated by this Agreement and each  Other Transaction Agreement to which it is a party. The execution, delivery and performance of  this Agreement and each Other Transaction Agreement to which Parent or either of Buyer is or  shall be a party, the performance by Parent and Buyer of their obligations hereunder and  thereunder and the consummation by Parent and Buyer of the transactions contemplated hereby  and thereby, have been duly and validly authorized by all requisite limited liability company or  corporate action on the part of Parent and Buyer, subject to the adoption and authorization of the  execution, delivery and performance of this Agreement and the Other Transaction Agreements by  the board of managers or board of directors or similar governing body of Parent and Buyer. This  Agreement and each Other Transaction Agreement to which Parent or Buyer is or shall be a party  has been duly and validly executed and delivered by or on behalf of Parent and Buyer, as  applicable, and, assuming the due authorization, execution and delivery of this Agreement and  each Other Transaction Agreement to which Parent or Buyer is or shall be a party by the other  parties thereto, constitutes a legal, valid and binding obligation of Parent and Buyer, enforceable  against Parent and Buyer in accordance with its terms, subject to (a) Laws of general application  relating to bankruptcy, insolvency, reorganization, moratorium and other Laws affecting  creditors’ rights generally and (b) rules of law governing specific performance, injunctive relief  and other equitable remedies. Section IV.3 Non-Contravention; Consents.  (a) The execution, delivery and performance of this Agreement and  each Other Transaction Agreement to which Parent and Buyer is or shall be a party, and the  consummation of the transactions contemplated hereby and thereby, by Parent and Buyer, as  applicable, does not and shall not (i) contravene, conflict with or result in any violation or breach  of any of the provisions of the Organizational Documents of Parent or Buyer, (ii) subject to  making or obtaining, as applicable, the Consents and Filings described in Section 4.3(b),  contravene, conflict with or result in any violation or breach of any Law or (iii) require any  Consent of or Filing with or to any Third Party with respect to, result in any breach or violation  of or constitute a default (or an event which with or without notice or lapse of time or both would  become a default) or result in the loss of a benefit or result in the imposition of an obligation  under, or give rise to any right of termination, cancellation, amendment or acceleration of, or of  any right or obligation of Parent or Buyer, or result in the creation of a Lien on any asset of  Parent or Buyer, under, any (1) Contract to which Parent or Buyer is a party or by which Parent  or Buyer or any of their respective properties or assets are bound or (2) Permit held by Parent or  35 

 

Buyer or pursuant to which Parent or Buyer or any of their respective properties or assets are  subject , except, in the case of the foregoing clauses (i) and (ii), as would not result in a material  adverse effect on the ability of Parent or Buyer to comply with its obligations under this  Agreement. (b) None of Parent or Buyer is required to make any Filing with or to,  or to obtain any Consent from, any Governmental Entity in connection with the execution and  delivery of this Agreement, or any Other Transaction Agreement to which Parent or Buyer is or  shall be a party or the performance and consummation by Parent and Buyer of the transactions  contemplated by this Agreement or any Other Transaction Agreement to which Parent or Buyer  is or shall be a party, except any Filing with the SEC of such reports under, and such other  compliance with, the Exchange Act or the Securities Act, and the rules and regulations of the  SEC promulgated thereunder, as may be required in connection with this Agreement or the  Acquisition. Section IV.4 Claims; Orders. There is no material Claim pending (or, to Parent’s  Knowledge, being threatened) against Parent or Buyer, and there is no material Order outstanding  against Parent or Buyer or to which Parent or Buyer is subject, in each case that would result in a  material adverse effect on the ability of Parent or Buyer to comply with its obligations hereunder. Section IV.5 Sufficient Funds. Buyer and Parent have and, assuming that the  conditions to the obligations of Buyer and Parent to consummate the Acquisition have been  satisfied or waived, shall have at the Closing (directly or through one (1) or more Affiliates) funds  immediately available, as and when needed, that are necessary to (a) consummate the Acquisition  at the Closing, (b) otherwise perform their respective obligations hereunder and (c) pay any fees,  expenses or other amounts payable by Buyer or Parent in connection with the consummation of  the transactions contemplated by this Agreement. Section IV.6 Brokers. No broker, finder or investment banker is entitled to any  brokerage, finder’s or other similar fee or commission which could be payable by any Seller in  connection with the Acquisition based upon arrangements made by or on behalf of Buyer or  Parent. Section IV.7 DMS Class A Common Stock. The Parent Shares, when issued and  delivered in accordance with the terms hereof, will be validly issued, fully paid and nonassessable  and free of restrictions on transfer other than restrictions on transfer under the Lock-Up  Agreement, and applicable federal and state securities laws, and will be issued in compliance with  all applicable federal and state securities Laws.  Section IV.8 Compliance with Rule 144.  If the Parent was previously a shell  company, Parent represents and warrants that it (i) is currently subject to the periodic reporting  requirements of Section 13 or 15(d) of the Exchange Act, (ii) has filed all required reports since  July 15, 2020 (or any shorter period during which the company has been subject to the reporting  requirements), and (iii) has filed Form 10 information with the SEC reflecting that it is no longer  a shell company (a one-year waiting period after filing of the Form 10 information must elapse  before such securities become eligible for sale under Rule 144).  36 

 

Section IV.9 SEC Documents and Other Reports.  Parent has filed all required  documents with the SEC since December 31, 2020 (the "Parent SEC Documents").  As of their  respective dates, the Parent SEC Documents complied in all material respects with the  requirements of the Securities Act or the Exchange Act, as amended, as the case may be, and, at  the respective times they were filed, none of the Parent SEC Documents contained any untrue  statement of a material fact or omitted to state a material fact required to be stated therein or  necessary to make the statements therein, in light of the circumstances under which they were  made, not misleading.  The consolidated Financial Statements (including, in each case, any notes  thereto) of Parent and Buyer included in the Parent SEC Documents complied as to form in all  material respects with applicable accounting requirements and the published rules and regulations  of the SEC with respect thereto, were prepared in accordance with GAAP (except, in the case of  the unaudited statements, as permitted by Form 10 Q or the SEC) applied on a consistent basis  during the periods involved (except as may be indicated therein or in the notes thereto) and fairly  present in accordance with GAAP the consolidated financial position of Parent and Buyer and its  consolidated subsidiaries as at the respective dates thereof and the consolidated results of their  operations and their consolidated cash flows for the periods then ended (subject, in the case of  unaudited statements, to any other adjustments described therein and normal year end audit  adjustments). Section IV.10 Litigation.  There are no actions, suits, proceedings or  governmental investigations pending or, to the best of Parent’s and Buyer’s knowledge,  threatened (a) against or involving Parent and/or Buyer which would have a Material Adverse  Effect or (b) against Parent and/or Buyer challenging the validity or propriety of, or otherwise  relating to or involving, this Agreement or the consummation of the transactions contemplated  hereby. Section IV.11 Compliance with Laws.  Since December 31, 2020, (a) Parent and  Buyer have complied, in all material respects, with any such Laws, judgments, orders, decrees,  rulings, rules and regulations of Governmental Entities applicable to Parent and Buyer and (b)  neither Parent nor Buyer have received any written claim or notice that either Parent or Buyer is  not in compliance with any such Laws, judgments, orders, decrees, rulings, rules and regulations.   Section IV.12 Post-Closing Solvency.  Assuming that the representations and  warranties of the Sellers set forth in Article III are true and correct in all respects as of the  Closing, immediately after giving effect to the transactions contemplated by this Agreement,  neither of the Parent nor Buyer will (i) be insolvent (either because its financial condition is such  that the sum of its debts is greater than the fair value of its assets or because the fair salable value  of its assets is less than the amount required to pay its probable liability on its existing debts as  they mature), or (ii) have incurred debts beyond its ability to pay as they become due. 37 

 

Article V COVENANTS AND AGREEMENTS Section V.1 Non-Competition; Non-Solicitation; Non-Disparagement. (a) Non-Competition. Subject to the Transition Services Agreement,  during the Restricted Period, each Seller shall not, and shall cause its Affiliates not to, directly or  indirectly, (i) engage, or assist any other Person in engaging, in the Business (including, without  limitation, undertaking any efforts towards incorporating, financing, commencing or continuing  any Business) in the United States (the “Territory”), (ii) possess any interest in any Person that  engages or seeks to engage, directly or indirectly, in the Business in the Territory in any capacity  (including as a partner, shareholder or equityholder, member, employee, principal, agent, trustee  or consultant) other than Parent, or (iii) intentionally interfere in any respect with any business  relationships that existed as of the date of this Agreement between the Sellers, Parent or Buyer,  on one hand, and any customers or suppliers of the Sellers, Parent or Buyer on the other hand;  provided, however, that notwithstanding the foregoing, each Seller may own, directly or  indirectly, solely as an investment, securities of any Person traded on any national securities  exchange if such Seller is not a controlling Person of, or a member of a group which controls,  such Person and does not, directly or indirectly, own five percent (5%) or more of any class of  securities of such Person; provided, further, that, for the avoidance of doubt, this Section 5.1  shall be subject to, and nothing herein shall limit any of the terms and conditions set forth in, the  Employment Agreements.  (b) Non-Solicitation. During the Restricted Period, each Seller shall  not and shall cause its Affiliates not to, directly or indirectly: (i) solicit to employ, employ, or arrange or assist in the  employment (as an employee, consultant, independent contractor or otherwise) of, any  employee of the Sellers, Parent or Buyer as of  the Closing Date with whom the Seller  had material contact in the one (1) year prior to the Closing, otherwise induce, encourage  or attempt to persuade any such employee to leave such employment or hire any such  employee who has voluntarily left such employment; provided that, notwithstanding the  above, the prohibitions in this Section shall not apply to a general solicitation which is  not directed specifically to such employees, even if it results in the hiring of the  employee, or employees who are terminated by the Sellers); or (ii) solicit or entice, attempt to solicit or entice, or assist or  encourage any other Person to solicit, any clients or customers of the Sellers, Parent or  Buyer either at the Closing or in the one (1) year period prior to Closing, for purposes of  diverting their business or services from the Sellers, Parent or Buyer, or otherwise  attempt to induce any clients or customers to cease or refrain from doing business with  the Sellers, Parent or Buyer. (c) Non-Disparagement. During the Restricted Period, each Seller  shall not, and shall cause its Affiliates not to, take any public action or publicly communicate,  38 

 

publish or make any statements, in each case which would reasonably be expected to disparage  or otherwise damage the reputation of the Sellers, Parent or Buyer.  During the Restricted Period,  the Sellers, Parent or Buyer's officers and directors shall not take any public action or publicly  communicate, publish or make any statements, in each case which would reasonably be expected  to disparage or otherwise damage the reputation of the Seller.  Notwithstanding the above, this  Section 5.1(c) shall not apply to any actions or statements: (i) required in order to comply with  applicable Law; or (ii) made in response to legal process. (d) Each Seller acknowledges that a breach or violation of this  Section 5.1 would give rise to irreparable harm to Parent and Buyer, for which monetary  damages would not be an adequate remedy, and hereby agrees that, in the event of a breach or  violation (or a threatened breach or violation) by such Seller of any its obligations set forth in  this Section 5.1, each of Parent and Buyer shall, in addition to any and all other rights and  remedies that may be available to it in respect of such breach, be entitled to seek equitable relief,  including a temporary restraining order, an injunction, specific performance and any other relief  that may be available from and issued by any court of competent jurisdiction. (e) Sellers acknowledge that the restrictions contained in this  Section 5.1 (including with respect to time, geographical area and scope of activity) are  reasonable and necessary to protect the legitimate interests of Parent and Buyer and constitute a  material inducement to Parent and Buyer to enter into this Agreement and consummate the  transactions contemplated by this Agreement. In the event that any covenant contained in this  Section 5.1 should ever be adjudicated to exceed the time, geographic, product or service, or  other limitations permitted by applicable Law in any jurisdiction, then any court is expressly  empowered to reform such covenant, and such covenant shall be deemed reformed, in such  jurisdiction to the maximum time, geographic, product or service, or other limitations permitted  by applicable Law. The covenants contained in this Section 5.1 and each provision hereof are  severable and distinct covenants and provisions. The invalidity or unenforceability of any such  covenant or provision as written shall not invalidate or render unenforceable the remaining  covenants or provisions hereof, and any such invalidity or unenforceability in any jurisdiction  shall not invalidate or render unenforceable such covenant or provision in any other jurisdiction.  Section V.2 Employment Matters. (a) Promptly after the Closing, effective as of April 1, 2021, Buyer, or  an Affiliate of Buyer, shall offer employment to all of the employees providing services to the  Business identified on Section 5.2(a) of the Seller Disclosure Schedule (collectively, the  “Company Group Employees”) with such employment to commence on the Closing Date on  terms and conditions consistent with Section 5.2(b)(v) and in accordance with the form of offer  letter previously provided to Seller; provided, that in each case, any such offer of employment  shall be subject to the condition that such employee satisfies the standard employee  qualifications and hiring processes of Buyer, or its applicable Affiliate, including providing  verification of employment eligibility and completing a Form I-9. The Company Group  Employees who are offered and accept Buyer’s offer of employment are referred to hereinafter  as “Designated Employees.” All Company Group Employees who decline employment with  39 

 

Buyer are referred to hereinafter as “Non-Designated Employees.”  The Parties will cooperate to  implement the Parties’ intention that Buyer will be responsible for the Company Group  Employees’ wages, benefits and payroll taxes effective from April 1, 2021, which may include  reimbursement by Buyer of such costs of Seller with respect to Non-Designated Employees,  effective as of April 1, 2021, but, for the avoidance of doubt, excluding any severance expense. (b) Employee Benefits. (i) Except as expressly provided otherwise herein or pursuant  to applicable Law, coverage of each of the Designated Employees, their respective  dependents and beneficiaries under any Crisp Plan will in all respects terminate effective  as of the date such Designated Employee accepts Buyer’s offer of employment in  accordance with the terms of such offer of employment and Seller will cause the  Designated Employees to cease actively participating in the Crisp Plans effective as of  such date except to the extent required by Section 4980B of the Code (COBRA) or other  applicable Law. Except as provided in Section 5.2(a), Buyer will have no liability with  respect to any Non-Designated Employees at any time and, for the avoidance of doubt,  Sellers and the Company Group Employees, as applicable, hereby irrevocably and  unconditionally release Parent, Buyer and their Affiliates from any and all such Claims or  causes of actions arising out of or relating to the employment of any Non-Designated  Employee at any time.  (ii) Seller will remain liable for and continue to pay all benefits  and claims under any Crisp Plan, and Buyer and its Affiliates shall have no liability with  respect thereto, including but not limited to, medical, dental, vision, short-term or long- term disability and life insurance plan expenses, workers’ compensation and all other  benefits for each Company Group Employee (including the Designated Employees) with  respect to claims incurred or attributable to any period through the Closing Date in  respect of such Company Group Employees or their covered dependents and all such  expenses and benefits for each Non-Designated Employee with respect to such claims  incurred or attributable to any period prior to or after the Closing Date (except as  provided in Section 5.2(a)). Seller shall be responsible for all severance, change in  control payments or benefits that are payable on or prior to the Closing or are otherwise  payable due to the transactions contemplated hereby.  Buyer will be liable for any  medical, dental, vision, short-term and long-term disability and life insurance plan  expenses and benefits provided to Designated Employees or their covered dependents  thereof under any applicable employee benefit plan of Buyer (or, at Buyer’s option, any  of its Affiliates) commencing on the date such the Designated Employees accept Buyer’s  offer of employment and are onboarded in accordance with the terms of such offer letter.  For purposes of this Section 5.2, a claim is deemed to be incurred when the service(s)  giving rise to such claim are performed.  (iii) To the extent required by COBRA, Seller will be  responsible for any continuation of group health plan coverage required under  Section 4980B of the Code or Sections 601-608 of ERISA with respect to a “qualifying  40 

 

event” (as defined in Section 4980B of the Code) incurred by a Company Group  Employee or any prior employee of either of the Sellers, or any dependent of a Company  Group Employee, or any dependent of a prior employee of either of the Sellers, in either  case that qualifies as a “qualified beneficiary” (as defined in Section 4980B of the Code)  on or prior to the Closing, including any Company Group Employee entitled to COBRA  continuation coverage as a result of the transactions contemplated by this Agreement.   Seller will be responsible for all Losses (after accounting for any tax credits that may  offset costs)  incurred by Buyer associated with entitlement to COBRA continuation  coverage for any former employees of the Seller who were involuntarily terminated by  Sellers prior to the Closing.   (iv) With respect to any other Crisp Plans or all other employee  benefit plans, policies or programs for which Seller has any liability not specifically  addressed in this Agreement, including, but not limited to, any pension plans, deferred  compensation plans, post-retirement plans, incentive plans, bonus plans, equity-based  compensation plans, severance and fringe benefit plans, Seller will retain all liability  therefor and Buyer and its Affiliates will have no liability therefor. (v) For a period of one (1) year following the Closing, Parent,  Buyer or their Affiliates shall provide, or cause to be provided, to each of the Designated  Employees base salary and base wages, bonus opportunities and benefits (excluding  equity based compensation) that are substantially comparable in the aggregate to such  base salary and base wages, bonus opportunities and benefits (excluding equity based  compensation) provided to such individuals immediately prior to the Closing; provided,  that, subject to and in accordance with this Section 5.2, such obligations shall not  commence until the date such Designated Employee accepts Buyer’s offer of  employment and is onboarded.  In addition, to the extent that service is relevant for  eligibility, vesting or allowances (including paid time off) under any benefit plan of  Parent, Buyer or their Affiliates, then Parent, Buyer or their Affiliates shall use  commercially reasonable efforts to ensure that such benefit plans shall, for purposes of  eligibility, vesting and allowances (including paid time off) but not for purposes of  benefit accrual, credit Designated Employees for service with Seller prior to Closing.   Except as prohibited by applicable Law, Seller shall timely pay to each Designated  Employee the value of all accrued but unused vacation, paid time off, personal and sick  time to such Designated Employee as of the date such Designated Employee accepts  Buyer’s offer of employment in accordance with the terms of the offer of employment.   Nothing contained in this Section 5.2(b)(v) or elsewhere in this Agreement shall be  construed to create a right in any employee to employment with Parent, Buyer or their  Affiliates and the employment of each Designated Employee shall be “at will”  employment. (c) Workers’ Compensation and the WARN Act. Seller will retain all  liability under the WARN Act incurred on or prior to the Closing and Seller will retain all  liability for any workers’ compensation claims of Company Group Employees arising from or  relating to any injury, illness or condition incurred or existing prior to the Closing.  Seller will  41 

 

retain the benefit of all insurance coverage for any such workers’ compensation claims. Buyer  shall be responsible for and indemnify Sellers for all liability under the WARN Act due to  actions occurring after the Closing, including but not limited to, liability resulting from any offer  of employment not being accepted.   (d) Nothing in this Section 5.2 shall be treated as an amendment of, an  undertaking to amend or terminate, or a limitation on the ability of Parent, Buyer or their  Affiliates to amend or terminate any employee benefit plan (including any Crisp Plan). Nothing  in this Agreement shall require Parent or Buyer to continue to employ the services of any  particular individual following the Closing. No provision of this Agreement shall create any  third-party beneficiary rights in any employee or any other natural person service provider of any  Seller or any beneficiary or dependents thereof with respect to the compensation, terms and  conditions of employment and benefits that may be provided. Section V.3 Continued Protection of Acquired IP and Computer Code;  Termination of Seller Rights to Acquired IP.  (a) From and after the Closing, Sellers shall assist Buyer in the  continued protection of the Acquired IP, which shall include, but not be limited to, using  commercially reasonable efforts to help obtain all required assignment documents to transfer  ownership, inventor declarations, and other required documentation, as reasonably requested by  Buyer. Sellers hereby agrees to assist in the enforcement of Acquired IP against third parties by,  for example, making employees available for reasonable discovery at Buyer’s expense. Sellers  shall use their reasonable best efforts to maintain the confidentiality of all computer code,  documentation, and other work product related to the Acquired IP. (b) For clarity, all of Sellers' right, title and interest in and to Acquired  IP shall transfer as of the Closing to Buyer in accordance with this Agreement, and any licenses,  implied rights and other usage rights that any Sellers may have had prior to the Closing, shall  terminate as of the Closing. Section V.4 Publicity; Confidentiality. None of the Parties or any of their  Representatives shall issue any press release or make any public announcement or comment  concerning this Agreement or the transactions contemplated by this Agreement without obtaining  the prior written consent of the other Parties, unless any such release, announcement or comment  is reasonably necessary to comply with such Party’s obligations under applicable Law or under  the rules of any national securities exchange on which the securities of such Party or any of its  Affiliates are listed. Sellers acknowledge and agree that they have consented to Parent’s initial  press release concerning this Agreement and the transactions contemplated hereby. Each Party  agrees that this Agreement and the terms and conditions hereof, and any other agreement entered  into in connection with this Agreement and the terms and conditions thereof, shall be kept  confidential and shall not be disclosed or otherwise made available to any other Person and that  copies of this Agreement and such other agreements shall not be publicly filed or otherwise made  available to the public, except where such disclosure, availability or filing, is reasonably  necessary to comply with applicable Law or the rules of any national securities exchange on  which the securities of such Party or any of its Affiliates are listed.   42 

 

Section V.5 Transfers of Parent Shares. Each Seller shall not sell, transfer or  otherwise dispose of any Parent Shares (including, for the avoidance of doubt, any shares of DMS  Class A Common Stock received by such Seller pursuant to any payment of Earnout  Consideration) or any interest therein, except (a) in a transaction registered pursuant to the  provisions of the Securities Act or in a transaction exempt from or not subject to the registration  requirements of the Securities Act and (b) for the avoidance of doubt, subject to, and in  accordance with the terms and conditions of, the Lock-Up Agreement. Section V.6 Registration Rights. As soon as practicable following the Closing,  and in any event within thirty (30) days following the Closing Date, Parent shall file and, as soon  as practicable, use commercially reasonable efforts to have declared effective by the SEC a  registration statement on Form S-1 or Form S-3 if Parent is eligible to use such form (or any  successor forms thereto) providing for the registration under the Securities Act of all of the Parent  Shares. Section V.7 Listing of Parent Shares. Parent shall cause the Parent Shares to be  approved for listing on NYSE, subject to official notice of issuance, prior to the Closing.  Section V.8 R&W Insurance Policy. Buyer shall cause the R&W Insurance  Policy to expressly provide that the insurer writing such policy shall not pursue any subrogation  rights against the Parent, Sellers, the Sellers or any of their respective Affiliates and/or any of  their respective equityholders, officers, directors, employees, agents, advisors or representatives  under this Agreement or any Other Transaction Agreement, except in the case of Fraud by the  Parent or the Sellers, as applicable. From and after the date hereof, Buyer shall not (and shall  cause its Affiliates to not) grant any right of subrogation or otherwise amend, modify, terminate  or waive any term or condition set forth in the R&W Insurance Policy in a manner inconsistent  with the immediately preceding sentence.   Section V.9 Further Assurances. Subject to the terms and conditions of this  Agreement, at any time or from time to time after the Closing, at any Party’s reasonable request  and without further consideration, each Party shall do all acts and things as may be reasonably  necessary and within its control to carry out the intent of this Agreement, including executing and  delivering further instruments of sale, transfer, conveyance, assignment or confirmation and other  documents that may be reasonably required, and providing additional materials and information  related thereto. Section V.10 Third Party Consents. To the extent that Sellers’ rights under any  Contract or Permit constituting a Purchased Asset, or any other Purchased Asset, may not be  assigned to Buyer without the Consent of another Person which has not been obtained, this  Agreement shall not constitute an agreement to assign the same if an attempted assignment would  constitute a breach thereof or be unlawful, and the Parties shall use their commercially reasonable  efforts to obtain any such required Consent(s) as promptly as possible. If any such Consent shall  not be obtained or if any attempted assignment would be ineffective or would impair Buyer's  rights under the Purchased Asset in question so that Buyer would not in effect acquire the benefit  of all such rights, Sellers, to the maximum extent permitted by applicable Law and the Purchased  Asset, shall act after the Closing as Buyer's agent in order to obtain for it the benefits thereunder  43 

 

and shall cooperate, to the maximum extent permitted by applicable Law and the Purchased  Asset, with Buyer in any other reasonable arrangement designed to provide such benefits to  Buyer.  Section V.11 Inadvertent Payments.  Following the Closing, if any payment of  any accounts receivable purchased by the Buyer is collected by the Sellers, Sellers shall promptly  remit such amounts to the Buyer.  In the event the Buyer receives a refund attributable to pre- Closing matters (other than any such refund that is a Purchased Asset), Buyer shall promptly  remit such refund (net of any costs or expenses, including Taxes, incurred by Buyer or any of its  Affiliates in connection with the receipt of such refund or the payment thereof to the Sellers) to  the Sellers.   Article VI INDEMNIFICATION Section VI.1 Survival.  (a) Subject to the limitations and other provisions hereof, the  representations and warranties of the Parties contained herein shall survive the Closing until, and  all Claims with respect thereto shall terminate on, the date that is eighteen (18) months after the  Closing Date (the “General Termination Date”); provided, however, that (i) the Fundamental  Representations (and all Claims with respect thereto) shall survive the Closing until sixty (60)  days after the expiration of the applicable statute of limitations (including extensions and waivers  thereof) and (ii) the representations and warranties set forth in Section 3.17 (Tax Matters) (and  all Claims with respect thereto) shall survive until sixty (60) days after the expiration of the  applicable statute of limitations (including extensions and waivers thereof). (b) All of the covenants and agreements of the Parties contained in this  Agreement and any Other Transaction Agreement shall survive the Closing until, and all Claims  with respect thereto shall terminate on, the date provided in such covenants and agreements, if  any, or, if no specific date is identified, until the date on which they are performed in accordance  with their respective terms. (c) Notwithstanding the foregoing, if a Claim Notice with respect to a  Claim for indemnification under Section 6.2 has been delivered pursuant to Section 6.4 prior to  the expiration of the applicable survival period set forth in this Section 6.1, the representations,  warranties, covenants or agreements that are the subject of such Claim Notice shall survive with  respect to such Claim Notice until such Claim is finally and fully resolved.  (d) This Section 6.1 shall operate as a contractual statute of  limitations; provided, however, that nothing in this Section 6.1 shall limit any Party’s rights to  bring a Claim for Fraud in the making of any of the representations and warranties set forth in  this Agreement. Section VI.2 Indemnification. 44 

 

(a) From and after the Closing, subject to the other provisions and  limitations set forth in this Article VI, Sellers shall indemnify Parent for, and defend and hold  Parent harmless from and against, without duplication, any and all Losses actually suffered, paid  or incurred by Parent, Buyer or their Representatives as a result of or related to: (i) any inaccuracy in or breach (or failure to be true and  correct as of the Closing Date) of any of the representations and warranties of the Sellers  set forth in this Agreement or in any Other Transaction Agreement;  (ii) any breach or nonfulfillment of any covenant, agreement or  obligation to be performed by Sellers or the Sellers pursuant to this Agreement or any  Other Transaction Agreement; (iii) any Excluded Liability or Excluded Asset; and (iv) any matter set forth on Section 6.2(a)(iv) of the Seller  Disclosure Schedule. (b) From and after the Closing, subject to the other provisions and  limitations of this Article VI, Parent shall indemnify Sellers for, and defend and hold each of  them harmless from and against, any and all Losses actually suffered, paid or incurred by Sellers  or their respective Representatives (excluding the Sellers) as a result of or related to: (i) any inaccuracy in or breach (or failure to be true and  correct as of the Closing Date) of any of the representations and warranties of Parent or  Buyer set forth in this Agreement or in any Other Transaction Agreement; (ii) any breach or nonfulfillment of any covenant, agreement or  obligation of Parent or Buyer pursuant to this Agreement or any Other Transaction  Agreement; and  (iii) any Assumed Liability.   Section VI.3 Monetary Limitations.  (a) Except with respect to Fraud, Sellers shall not have any obligation  to indemnify Parent under Section 6.2(a)(i) until the aggregate amount of all Losses for which  Sellers are obligated to indemnify Parent pursuant to Section 6.2(a)(i) exceeds $225,000 (the  “Basket”), at which point Sellers shall indemnify Parent for all such Losses in excess of the  Basket (subject to the Cap); provided, however, that Sellers’ aggregate liability to Parent (i)  under Section 6.2(a)(i) shall not exceed the Indemnification Escrow Cash Amount and (ii) under  Section 6.2(a)(ii), Section 6.2(a)(iii) and Section 6.2(a)(iv) shall not exceed the sum of (x) the  Indemnification Escrow Cash Amount plus (y) the aggregate value of the Deferred Consideration  and the Earnout Consideration (collectively, the “Cap”).  (b) Parent shall not have any obligation to indemnify Sellers under  Section 6.2(b)(i) until the aggregate amount of all Losses for which Parent is obligated to  45 

 

indemnify Sellers pursuant to Section 6.2(b)(i) exceeds the Basket, at which point Parent shall  indemnify Sellers for all such Losses in excess of the Basket (subject to the Cap) and Parent’s  aggregate liability to Sellers under Section 6.2(b)(i) shall not exceed the Cap. (c) NO PARTY HERETO SHALL BE LIABLE TO ANY OTHER  PARTY FOR ANY INCIDENTAL DAMAGES, LOST PROFITS, PUNITIVE DAMAGES OR  CONSEQUENTIAL DAMAGES UNLESS CLAIMED BY A THIRD-PARTY AND SUBJECT  TO AN INDEMNIFICATION OBLIGATION IN SUCH REGARD.  (d) Except with respect to Taxes, each of the Parties agrees to take  commercially reasonable steps to mitigate, subject to compliance with applicable Laws, any  Losses and related expenses for which such Party seeks indemnification under this Agreement. Section VI.4 Indemnification Procedures.   (a) Any Person seeking indemnification under Section 6.2 (each, an  “Indemnified Person”) shall assert any Claim for indemnification, including any Third-Party  Claim, by delivering written notice thereof (a “Claim Notice”) in accordance with Section 8.9 to  the Party from which indemnification is sought pursuant to Section 6.2 (the “Indemnifying  Party”). Each Claim Notice shall describe in reasonable detail the nature of the Claim and attach  copies of all material written evidence thereof that the Indemnified Person has received from any  Person that is not a Party or a Person Affiliated with a Party (a “Third Party”) to the date of the  Claim Notice. (b) Upon receipt by an Indemnifying Party of a Claim Notice in  respect of a Claim brought by a Third Party (a “Third-Party Claim”), the Indemnifying Party  shall be entitled to (i) assume and have sole control over the defense and investigation of such  Third-Party Claim at its sole cost and expense (subject to the last sentence of this Section 6.4(b))  and with counsel of its own choosing if it gives notice of its intention to do so to the Indemnified  Person within thirty (30) days after the delivery of such Claim Notice by the Indemnified Person  and (ii) negotiate a settlement or compromise of, or consent to the entry of an Order with respect  to, such Claim; provided that, if (1) such settlement, compromise or consent does not include a  full and unconditional waiver and release by such Third Party of all applicable Indemnified  Persons for all Losses with respect to such Third-Party Claim, (2) such settlement, compromise  or consent imposes a Lien on any of the assets of any such Indemnified Person or (3) such  settlement, compromise or consent results or would reasonably be expected to result in any  restriction or condition that would apply to or affect any such Indemnified Person, or the conduct  of any such Indemnified Person’s business, or would have an adverse effect on the reputation of  such Indemnified Person or any of its Affiliates, such settlement, compromise or consent shall be  permitted only with the prior written consent of such Indemnified Person (whether or not such  Indemnified Person is an actual or potential party to such Third-Party Claim), which consent  shall not be unreasonably withheld, conditioned or delayed. If the Indemnifying Party elects to  assume control of the defense and investigation of any such Third-Party Claim, then the  Indemnified Person shall be entitled to participate in (but not control) such defense and  investigation with counsel reasonably acceptable to the Indemnifying Party at such Indemnified  Person’s sole cost and expense; provided, however, that, if in the reasonable opinion of counsel  46 

 

to the Indemnified Person, there are legal defenses available to the Indemnified Person that are  different from or additional to those available to the Indemnifying Party or there exists a conflict  of interest between the Indemnifying Party and the Indemnified Person that cannot be waived,  the Indemnifying Party shall be liable for the reasonable fees and expenses of an attorney  selected by the Indemnified Person. (c) Notwithstanding anything to the contrary in Section 6.4(b), the  Indemnifying Party shall not be entitled to assume and control the defense or investigation of any  Third-Party Claim that (i) seeks an injunction or other equitable relief against an Indemnified  Person, (ii) involves an allegation that an Indemnified Person committed a criminal act or (iii)  would reasonably be expected to result in Losses to all applicable Indemnified Persons which,  taken with other then-existing Losses for which such Indemnifying Party is obligated to provide  indemnification under this Article VI would exceed the then-remaining limit of liability of such  Indemnified Person under Section 6.3; provided, however, that in the event of clause (iii) above,  if the Indemnified Persons elect to assume and control defense or investigation of the Third-Party  Claim, said Indemnified Persons shall do so at their sole cost and expense, including payment of  all legal fees and expenses incurred in such defense and/or investigation. If, within thirty (30)  days after delivery by an Indemnified Person of any Claim Notice with respect to a Third-Party  Claim, the Indemnifying Party (1) (A) notifies such Indemnified Person in writing that the  Indemnifying Party does not elect to defend and investigate such Third-Party Claim or (B) fails  to deliver to the Indemnified Person a written election to assume the defense and investigation of  such Third-Party Claim or (2) is not entitled to assume the defense or investigation of such  Third-Party Claim, then (I) such Indemnified Person may, at its option, defend, investigate, settle  or compromise, or consent to an entry of an Order with respect to, such Third-Party Claim;  provided that any such settlement, compromise or consent shall be permitted only with the  written consent of the Indemnifying Party (whether or not the Indemnifying Party is an actual or  potential party to such Third-Party Claim), which consent shall not be unreasonably withheld,  conditioned or delayed, and (II) the Indemnifying Party may participate in (but not control) any  such defense and investigation at its sole cost and expense. Section VI.5 Losses; Investigation; Materiality Scrape.  (a) The amount of any and all Losses of an Indemnified Person that is  indemnifiable under this Article VI shall be determined net of any amounts actually recovered by  such Indemnified Person under any insurance policy or any indemnity or reimbursement  arrangement or Contract under which such Indemnified Person has rights to recovery related to  such Losses (in each case, except for the R&W Insurance Policy, subject to the provisions of this  Section 6.5 and Section 6.6 below). (b) To the extent (i) Sellers make an indemnification payment, directly  or indirectly through the Indemnification Escrow Account, pursuant to a Buyer Indemnified  Person’s Claim for indemnification or through a set-off and (ii) there is a recovery from the  R&W Insurance Policy with respect to the specific Losses so indemnified, then Buyer shall  reimburse Sellers up to the amount of the previous indemnification, but only to the extent the  amount of the previous indemnification payment exceeds the retention amount (to the extent not  47 

 

otherwise previously exhausted or satisfied, in whole or in part) under the R&W Insurance  Policy, so as to avoid a double recovery by Buyer Indemnified Persons. (c) The obligations of an Indemnifying Party under Section 6.2(a) or  Section 6.2(b), as applicable, and an Indemnified Person’s right to indemnification thereunder,  shall not be affected or deemed waived by reason of (a) any investigation made by or on behalf  of such Indemnified Person (including by any of its Representatives) or (b) the fact that such  Indemnified Person or any of its Representatives knew or should have known that any  representation or warranty in this Agreement or any Other Transaction Agreement is, was or  might be breached or not be true and correct as of the date hereof or as of the Closing Date as if  made as of the Closing Date. (d) For purposes of this Article VI only, in the event of a breach of a  representation or warranty in this Agreement or in any Other Transaction Agreement, the amount  of Losses in respect of any such breach or failure shall be determined without regard to any such  limitation or qualification as to materiality, “material” or “Material Adverse Effect” or similar  language set forth in such representation or warranty. Section VI.6 Exclusive Remedies; Escrow Releases. (a) Without limiting any Person’s right to bring a Claim for Fraud  (including Fraud arising from or related to any breach of any of the representations and  warranties set forth in this Agreement or in any Other Transaction Agreement or any failure of  any such representations and warranties to be true and correct as of the Closing Date as if made  as of the Closing Date), (i) right to injunctive relief with respect to a breach of the restrictive  covenants set forth in Section 5.1, (ii) the provisions of this Article VI, and (iii) the R&W  Insurance Policy shall be the sole and exclusive remedies for any Claim (whether in contract, tort  or otherwise, or whether at law (including at common law or by statute) or in equity) that may be  based on, arise out of or relate hereto, the negotiation, execution, performance or subject matter  hereof, the transactions contemplated hereby or any Losses alleged to be suffered by any Party as  a result of the actions or failure to act by any Party in connection herewith or the transactions  contemplated hereby and all other remedies and rights, whether created by law or otherwise,  except for Fraud are hereby waived. (b) The Indemnification Escrow Account shall serve as security for the  indemnification obligations of Sellers under Section 6.2(a), in each case, as set forth in this  Section 6.6(b), Section 6.6(d) and Section 6.6(e). The Indemnification Escrow Account shall be  the exclusive source of funding for any indemnification obligation of Sellers under Section 6.2(a)  until such time as no funds remain in the Indemnification Escrow Account. Any funds that have  been released to Parent from the Indemnification Escrow Account in respect of any  indemnification obligation described under the foregoing clause shall be aggregated for purposes  of determining whether, as of any particular time, Sellers have indemnified Parent under Section  6.2(a) (except with respect to Fraud (including Fraud arising from or related to any breach of any  of the representations and warranties set forth in this Agreement or in any Other Transaction  Agreement or any failure of any such representations and warranties to be true and correct as of  the Closing Date as if made as of the Closing Date).  48 

 

(c) Notwithstanding the foregoing or anything contained herein to the  contrary, with respect to Losses for which Sellers have an indemnification obligation under  Section 6.2(a)(i), the indemnification owed to any Buyer Indemnified Persons will be satisfied as  follows: (i) first, from the Indemnification Escrow Account until the retention amount under the  R&W Insurance Policy is satisfied or until the Indemnification Escrow Account has been  exhausted or released; (ii) second, to the extent coverage is available thereunder, by submission  of a claim under the R&W Insurance Policy until the applicable limits of the R&W Insurance  Policy have been exhausted; (iv) third, directly from Sellers and/or, at DMS’s election, as a set- off against the Deferred Consideration or any application Earnout Consideration actually paid or  payable to Sellers in accordance with Section 2.6 and Exhibit G, in each case, subject to  Section 6.3.  In the event of a set off, the amount of set off shall be held with an independent  third party until the matter has been resolved in accordance with the Agreement. (d) Although the specific provisions relating to the release of the funds  held in the Indemnification Escrow Account shall be set forth in the Escrow Agreement, the  Parties agree that, not later than five (5) Business Days following the General Termination Date,  the Escrow Agent and Seller Representative shall release to Sellers, in accordance with their  respective Pro Rata Shares and the Escrow Agreement, the Initial Release Amount. To the extent  required by the Escrow Agent, Seller Representative and Parent shall provide a joint written  instruction to Escrow Agent, as required to effectuate such release of the Initial Release Amount  and any Resolved Amount. As used in this Agreement, the “Initial Release Amount” means an  amount equal to the difference of (i) the sum of amount of all funds in the Indemnification  Escrow Account as of the date of release, minus (ii) the sum of (1) all amounts, if any, that, as of  the General Termination Date, represent claimed Losses under then-pending indemnification  Claims subject to Claim Notices pursuant to the terms of the Escrow Agreement (“Outstanding  Claims”), plus (2) any amount due to Parent from the Indemnification Escrow Account pursuant  to indemnification Claims that have been finally resolved in accordance with this Agreement and  the Escrow Agreement but which the Escrow Agent has not yet released from the  Indemnification Escrow Account to Parent. (e) With respect to any Outstanding Claim, the Parties agree that,  subject to the terms and conditions of the Escrow Agreement, the Escrow Agent shall release, in  accordance with the Escrow Agreement, as and when any such Outstanding Claim is resolved, to  Sellers, in accordance with their respective Pro Rata Shares, the amount of the applicable  Resolved Amount. As used herein, “Resolved Amount” means, with respect to any Outstanding  Claim, an amount equal to the difference of (i) the amount claimed by Parent with respect to  such Outstanding Claim, minus (ii) all amounts released from the Indemnification Escrow  Account to Parent with respect to such Outstanding Claim. Section VI.7 Adjustments for Tax Purposes. The Parties hereby acknowledge  and agree that (i) any indemnification payments made pursuant to this Agreement shall be treated  for Tax purposes as an adjustment to the Purchase Price, unless otherwise required by applicable  Law and (ii) Sellers shall be treated as the owners for Tax purposes of the Indemnification Escrow  Account from the Closing until the final disbursement of the Indemnification Escrow Account. 49 

 

Article VII TAX MATTERS Section VII.1 Straddle Periods. For purposes of this Agreement, whenever it is  necessary to determine the liability for Taxes with respect to the Purchased Assets, the Assumed  Liabilities or the Business for any Straddle Period, the determination of such Taxes for the portion  of the Straddle Period ending on and including, and the portion of the Straddle Period beginning  after, the Closing Date shall be determined by assuming that the Straddle Period consisted of two  (2) taxable years or periods, one which ended on (and included) the Closing Date and the other  which began on the day following the Closing Date, and all taxable items with respect to the  Purchased Assets, the Assumed Liabilities or the Business for the Straddle Period shall be  apportioned ratably between such two (2) taxable years or periods based on the number of days  for the portion of the Straddle Period ending on and including the Closing Date, on the one hand,  and the number of days for the portion of the Straddle Period beginning after the Closing Date, on  the other hand. Section VII.2 Cooperation Related to Taxes. The Parties shall cooperate fully, as  and to the extent reasonably requested by the other party, in connection with (i) the preparation  and filing of Tax Returns with respect to the Purchased Assets, the Assumed Liabilities, or the  Business, (ii) determining any liability for Taxes with respect to the Purchased Assets, the  Assumed Liabilities, or the Business, (iii) any audit, demand, claim, proposed adjustment,  assessment, examination or other administrative or court proceeding involving Taxes payable  with respect to the Purchased Assets, the Assumed Liabilities, or the Business, (iv) any  information necessary or reasonably requested to allow Parent, Buyer or any of their respective  Affiliates to comply with any information reporting or withholding requirements contained in the  Code or other applicable Laws, and (v) any certificates or forms, and executing such certificates  or forms, that are necessary or appropriate to establish an exemption from (or reduction in) any  Transfer Tax. Such cooperation shall include the retention and (upon the other Party’s written  request) the provision of records and information that are reasonably relevant to any such audit,  demand, claim, proposed adjustment, assessment, examination or other administrative or court  proceeding and making employees reasonably available on a mutually convenient basis to provide  additional information and explanation of any material provided hereunder. Any information  obtained pursuant to this Section 7.2 or pursuant to any other provision of this Article VII  providing for the sharing of information or review of any Tax Return or other schedule relating to  Taxes with respect to any Seller shall be kept, unless otherwise required by applicable Law,  confidential by the Parties hereto and their respective legal and tax advisors. Section VII.3 Transfer Taxes. Any Transfer Taxes shall be borne one-half by  Buyer, on the one hand, and one-half by Sellers (in accordance with their respective Pro Rata  Shares), on the other hand. The Parties shall reasonably cooperate to minimize any such Transfer  Taxes and shall each file or cause an Affiliate of each of them to sign and file all documentation  with the relevant Taxing Authority relating to such Transfer Taxes as it may be required to sign or  file under applicable Law. 50 

 

Section VII.4 Allocation. The payments contemplated by Article II and any other  relevant items for Tax purposes (including the Assumed Liabilities, the “Allocable Amount”)  shall be allocated among the Purchased Assets and the covenants and agreements set forth in  Section 5.1 in accordance with Section 1060 of the Code and the other applicable requirements in  the Code and the Treasury Regulations and comparable provisions of state and local Tax Law  (including for purposes of determining each Seller’s gain or loss recognized for income Tax  purposes and determining Buyer’s basis in assets acquired for income Tax purposes pursuant to  the transactions contemplated by this Agreement) using the methodology set forth in the  allocation schedule attached hereto as Exhibit I. As soon as practicable following the  determination of the Final Closing Cash Consideration in accordance with Section 2.4 (but in no  event more than one hundred eighty (180) days after the Closing Date), Buyer shall prepare a  draft schedule reflecting the allocation of the Allocable Amount (including to the covenants and  agreements set forth in Section 5.1) in accordance with Exhibit I and shall submit such allocation  to Seller Representative for review. Seller Representative shall review such draft schedule and  provide any comments thereon in writing to Buyer within thirty (30) days after Buyer’s delivery  of such draft schedule; provided, that if Seller Representative does not provide any such written  comments prior to the expiration of such thirty (30)-day period, the draft schedule as prepared by  Buyer shall be final, binding and conclusive on Buyer and Sellers. If Seller Representative  provides written comments within such thirty (30)-day period, Buyer and Seller Representative  shall use commercially reasonable efforts to agree on the amount and proper allocation of the  Allocable Amount. If Buyer and Seller Representative have not agreed on the allocation within  forty-five (45) days after Buyer’s delivery of the draft schedule, then Buyer, on the one hand, and  Seller Representative, on the other hand, shall each have the right to deliver notice to the other  party of its intent to refer the matter for resolution to the Independent Accountant. Buyer and  Seller Representative will each deliver to the other Party and to the Independent Accountant a  notice setting forth in reasonable detail their proposed allocations. Within thirty (30) days after  receipt thereof, the Independent Accountant will deliver the allocation schedule and provide a  written description of the basis for its determination of the allocations therein (such allocations,  whether agreed to by Buyer and Seller Representative or determined by the Independent  Accountant, shall be final, binding and conclusive on Buyer and Sellers). Fifty percent (50%) of  all fees, costs and expenses of retaining the Independent Accountant shall be borne by Buyer and  fifty (50%) of such fees, costs and expenses of retaining the Independent Accountant shall be  borne by Sellers. Each of Buyer and Sellers shall, and shall cause their respective Affiliates to, file  all Tax Returns consistent with the allocation as finally determined pursuant to this Section 7.4  and to not take any position contrary thereto in any Tax proceeding (except pursuant to a  settlement or determination by a Tax authority or as otherwise required by applicable Law). Section VII.5 Seller Tax Consequences. Each Seller acknowledges that such  Seller has had an opportunity to review with such Seller’s own tax advisors the Tax consequences  of the transactions contemplated by this Agreement. Each Seller understands that such Seller must  rely solely on such Seller’s own tax advisors and not on any statements or representations made  by Parent, Buyer, their Affiliates or any of their respective counsel, advisors, agents or  representatives. Such Seller understands that such Seller (and not Parent, Buyer or their Affiliates)  shall be responsible for any Tax liability for such Seller that may arise as a result of the  transactions contemplated by this Agreement. Notwithstanding anything in this Agreement to the  51 

 

contrary, this Section 7.5 shall not affect the covenants and agreements of the Parties contained in  Section 7.4. Section VII.6 Code Section 483 Accounting. Within forty-five (45) days of any  payment to Sellers pursuant to this Agreement or the Escrow Agreement that is subject to Section  483 of the Code, Buyer shall provide to Seller Representative for Seller Representative’s review  and comment an accounting of such payment, for Tax purposes, setting forth the amount of such  payment that constitutes interest and the amount of such payment that constitutes principal,  computed in accordance with Section 483 of the Code and the Treasury Regulations promulgated  thereunder. In the event there is a disagreement as to whether revisions requested by Seller  Representative should be made to such allocation, the disagreement shall be submitted to the  Independent Accountant for resolution (the expenses of which shall be shared in a manner similar  to that set forth in Section 7.4). Each of Buyer and Sellers shall (i) timely file all forms and Tax  Returns required to be filed in connection with such accounting, (ii) be bound by such filings, (iii)  prepare and file, and cause their respective Affiliates to prepare and file, their Tax Returns on a  basis consistent with such accounting, and (iv) not take any position, or cause their respective  Affiliates to take any position, inconsistent with such accounting on any Tax Return or in any Tax  proceeding; provided, that notwithstanding anything in this Section 7.6 to the contrary, the Parties  shall be permitted to take a position inconsistent with that set forth in this Section 7.6 if required  to do so by a change in applicable Law after the date hereof or by a “determination” within the  meaning of Section 1313(a) of the Code. Section VII.7 Bulk Sales Waiver. Notwithstanding anything to the contrary  herein, each of Buyer and Sellers hereby waive compliance with all “bulk sales,” “bulk transfer”  and similar Laws that may be applicable with respect to the sale and transfer of any or all of the  Purchased Assets to Buyer. Article VIII MISCELLANEOUS PROVISIONS Section VIII.1 Seller Representative. (a) Each Seller hereby appoints, authorizes and empowers Seller  Representative to act as the representative, exclusive agent and attorney-in-fact for the benefit of  Sellers in connection with, and to facilitate the consummation of, the transactions contemplated  hereby, in each case, which shall include the power and authority: (i) to execute and deliver any Other Transaction Agreement (with  such modifications or changes therein as to which Seller Representative, in its sole discretion,  shall have consented) and to agree to such amendments or modifications thereto as Seller  Representative, in its sole discretion, determines to be desirable; (ii) to execute and deliver such waivers and consents in connection  with this Agreement and any Other Transaction Agreement as Seller Representative, in its sole  discretion, may deem necessary or desirable; 52 

 

(iii) to enforce and protect the rights and interests of Sellers under or  relating to this Agreement and any Other Transaction Agreement, and to take any and all actions  that Seller Representative believes are necessary or appropriate hereunder for and on behalf of  Sellers, including asserting or pursuing any Claim against Parent, Buyer or their Representatives,  in each case, to the extent such Claims are permitted hereunder, compromising or settling any  such Claims, conducting negotiations with Parent, Buyer and their Representatives regarding  such Claims and, in connection therewith, to (A) assert or institute any Claim, (B) investigate,  defend, contest or litigate any Claim initiated by a Party, its Affiliates or any other Person, or by  any federal, state or local Governmental Entity against Seller Representative, any of Sellers and  receive process on behalf of any Seller in any such Claim or investigation and compromise or  settle on such terms as Seller Representative shall determine to be appropriate, and give receipts,  releases and discharges related to, any such Claim or investigation, (C) file any proofs of debt,  claims and petitions as Seller Representative may deem advisable or necessary and (D) file and  prosecute appeals from any Order rendered in any such Claim or investigation, it being  understood that Seller Representative shall not have any obligation to take any such actions and  shall not have any liability for any failure to take any such actions; (iv) to receive or provide any notice or communication hereunder and  under any Other Transaction Agreement; (v) to refrain from enforcing any right of any Seller under or relating  to this Agreement or any Other Transaction Agreement; provided, however, that no such failure  to act on the part of Seller Representative, except as otherwise provided herein, shall be deemed  a waiver of any such right or interest by Seller Representative or Sellers, unless such waiver is  made under Section 8.3; and (vi) to make, execute, acknowledge and deliver all such other  Contracts, agreements, guarantees, orders, receipts, endorsements, notices, requests, instructions,  certificates, stock powers, letters and other writings, and, in general, to do any and all things and  to take any and all action that Seller Representative, in its sole and absolute discretion, may  consider necessary or proper or convenient in connection with or to carry out the transactions  contemplated by this Agreement or any Other Transaction Agreement. (b) Seller Representative shall be entitled to reimbursement from each Seller  for such Seller’s Pro Rata Share of Seller Representative’s out-of-pocket fees, costs and expenses  incurred in the performance of his duties as Seller Representative under this Agreement or any  Other Transaction Agreement. In connection with this Agreement and any Other Transaction  Agreement, and in exercising or failing to exercise all or any of the powers conferred on Seller  Representative hereunder, Seller Representative shall incur no responsibility or liability  whatsoever to any Seller by reason of any error in judgment or other act or omission performed  or omitted hereunder or any Other Transaction Agreement. Sellers shall indemnify, defend and  hold harmless Seller Representative from and against any and all losses, liabilities, damages,  claims, penalties, fines, forfeitures, actions, fees, costs and expenses (including the fees and  expenses of counsel and experts and their staffs and all expense of document location,  duplication and shipment) (collectively, “Representative Losses”) related to Seller  53 

 

Representative’s execution and delivery of, performance of its covenants and agreements under  or the exercise of its rights or duties hereunder and any agreements ancillary hereto, in each case,  as such Representative Loss is suffered or incurred. In no event shall Seller Representative be  required to advance its own funds on behalf of any Seller.  (c) Parent, Buyer and their Affiliates shall have the right to rely upon all  actions taken or omitted to be taken by Seller Representative pursuant to this Agreement or any  Other Transaction Agreement and all such actions or omissions shall be legally binding on  Sellers. (d) The appointment and grant of power and authority to Seller Representative  hereunder (i) is coupled with an interest and shall be irrevocable and survive bankruptcy or  liquidation of any Seller and (ii) shall survive the consummation of the transactions contemplated  hereby. Section VIII.2 Amendment. This Agreement may be amended, supplemented or  changed only by a written instrument signed by each of the Parties.  Section VIII.3 Waiver. No failure on the part of any Party to exercise any power,  right, privilege or remedy under this Agreement, and no delay on the part of any Party in  exercising any power, right, privilege or remedy under this Agreement, shall operate as a waiver  of such power, right, privilege or remedy, and no single or partial exercise of any such power,  right, privilege or remedy shall preclude any other or further exercise thereof or of any other  power, right, privilege or remedy. No Party shall be deemed to have waived any Claim arising out  of this Agreement, or any power, right, privilege or remedy under this Agreement, unless the  waiver of such Claim, power, right, privilege or remedy is expressly set forth in a written  instrument duly executed and delivered on behalf of such party, and any such waiver shall not be  applicable or have any effect except in the specific instance in which it is given. Section VIII.4 Entire Agreement; Counterparts. This Agreement and the Other  Transaction Agreements constitute the entire agreement, and supersede all prior agreements and  understandings, both written and oral, among or between any of the Parties with respect to the  subject matter hereof and thereof. This Agreement may be executed in several counterparts, each  of which shall be deemed an original and all of which shall constitute one and the same  instrument. Delivery of an executed counterpart of this Agreement by facsimile or other electronic  transmission shall be effective as delivery of an original counterpart hereof. Section VIII.5 Applicable Law; Jurisdiction; WAIVER OF JURY TRIAL. This  Agreement, and all Claims and causes of action (whether in contract or in tort or otherwise, or  whether at law (including at common law or by statute) or in equity) that may be based on, arise  out of or relate to this Agreement or the negotiation, execution, performance or subject matter  hereof, shall be governed by the Laws of the State of Delaware applicable to agreements made  and to be performed solely therein, without giving effect to principles of conflicts of law. Except  as set forth in Section 2.4, in any action among or between any of the Parties arising out of or  relating to this Agreement, each Party (a) irrevocably and unconditionally consents and submits to  the exclusive jurisdiction and venue of the Court of Chancery of the State of Delaware or, to the  54 

 

extent such court does not have subject matter jurisdiction, the Superior Court of the State of  Delaware or the U.S. District Court for the District of Delaware, (b) agrees that all Claims in  respect of such action or proceeding shall be heard and determined exclusively in accordance with  clause (a) of this Section 8.5, (c) waives any objection to laying venue in any such action or  proceeding in such courts, (d) waives any objection that any such court is an inconvenient forum  or does not have jurisdiction over any Party and (e) agrees that service of process upon such Party  in any such action shall be effective if such process is given as a notice in accordance with  Section 8.9. EACH PARTY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO  TRIAL BY JURY IN ANY CLAIM ARISING OUT OF OR RELATED TO THIS  AGREEMENT OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. Section VIII.6 Remedies; Specific Performance. (a) Except as otherwise provided herein, any and all remedies herein  expressly conferred upon a party shall be deemed cumulative with and not exclusive of any other  remedy conferred by this Agreement, or by law or equity upon such party, and the exercise by a  party of any one remedy shall not preclude the exercise of any other remedy. (b) The Parties acknowledge and agree that irreparable damage would  occur in the event that any of the provisions of this Agreement were not performed in accordance  with their specific terms or were otherwise breached and that monetary damages, even if  available, would not be an adequate remedy therefor. It is accordingly agreed that, at any time  prior to the termination of this Agreement, the Parties shall be entitled to an injunction or  injunctions to prevent breaches of this Agreement and to enforce specifically the performance of  terms and provisions of this Agreement, including the right of a Party to cause each other Party  to consummate the Acquisition and the other transactions contemplated by this Agreement, in  any court referred to in Section 8.5, without proof of actual damages (and each Party waives any  requirement for the securing or posting of any bond in connection with such remedy), this being  in addition to any other remedy to which they are entitled at law or in equity. The Parties further  agree not to assert that a remedy of specific enforcement is unenforceable, invalid, contrary to  Law or inequitable for any reason, nor to assert that a remedy of monetary damages would  provide an adequate remedy for any such breach.  Section VIII.7 Payment of Expenses. Except as otherwise set forth herein, each  Party shall pay its own expenses incident to preparing for, entering into and carrying out this  Agreement and the transactions contemplated hereby. Section VIII.8 Assignability; Third-Party Rights. Neither this Agreement nor any  of the rights, interests or obligations under this Agreement may be assigned or delegated, in whole  or in part, by operation of law or otherwise, by any Party without the prior written consent of the  other Parties, and any such assignment without such prior written consent shall be null and void;  provided, however, that each of Parent and Buyer shall be permitted to assign or delegate its  rights, interests and obligations hereunder to an Affiliate without the prior written consent of any  other Party. This Agreement shall be binding upon, and shall be enforceable by and inure to the  benefit of, the Parties and their respective successors and assigns. Nothing in this Agreement is  55 

 

intended to or shall confer upon any Person (other than the Parties) any right, benefit or remedy of  any nature whatsoever. Section VIII.9 Notices. All notices and other communications under this  Agreement shall be in writing and shall be deemed given (a) when delivered personally by hand  (with written confirmation of receipt by other than automatic means, whether electronic or  otherwise), (b) when sent by email (with written confirmation of transmission) or (c) one (1)  Business Day following the day sent by an internationally recognized overnight courier (with  written confirmation of receipt), in each case, at the following addresses and email addresses (or  to such other address or email address as a Party may have specified by notice given to the other  Party pursuant to this provision): if to Parent or Buyer: Digital Media Solutions, Inc. 4800 140th Avenue N., Suite 101  Clearwater, FL 33762 Email:  legal@dmsgroup.com Attention:  Tony Saldana with a copy (which shall not constitute notice) to: Skadden, Arps, Slate, Meagher & Flom LLP 1440 New York Avenue, N.W. Washington, DC 20005 Email:  katherine.ashley@skadden.com Attention:  Katherine D. Ashley if to Seller Representative: Justin Ferreira 110 E. Broward Boulevard Suite 1600 Fort Lauderdale, FL  33301  Email: jferreira@crisp-results.com  with a copy (which shall not constitute notice) to: Quarles & Brady LLP 411 E. Wisconsin Avenue  Suite 2400 Milwaukee, WI  53202 Email: Walter.Skipper@quarles.com  Attention:  Walter J. Skipper  56 

 

Section VIII.10 Severability. Any term or provision of this Agreement that is  invalid or unenforceable in any situation in any jurisdiction shall not affect the validity or  enforceability of the remaining terms and provisions hereof or the validity or enforceability of the  offending term or provision in any other situation or in any other jurisdiction. Section VIII.11 Acknowledgment by Parties. Each of Buyer, on the one hand, and  Sellers, on the other hand, acknowledges that the consummation of the transactions contemplated  hereby are not done in reliance upon, and such Party specifically disclaims any reliance upon, any  representation or warranty by the other Parties or any of their respective Affiliates, employees or  representatives, or any other Person, in each case, except for each of the representations and  warranties specifically set forth in 𝅺Article III by Sellers and in Article IV (by Parent and Buyer)  and any representation and warranty by any of the Parties set forth in the Other Transaction  Agreements. THE EXPRESS REPRESENTATIONS AND WARRANTIES BY THE PARTIES  SET FORTH IN ARTICLE III AND ARTICLE IV AND ANY OTHER TRANSACTION  AGREEMENT CONSTITUTE THE SOLE AND EXCLUSIVE REPRESENTATIONS AND  WARRANTIES OF THE PARTIES IN CONNECTION WITH THE TRANSACTIONS  CONTEMPLATED HEREBY AND THEREBY, AND EACH PARTY UNDERSTANDS,  ACKNOWLEDGES AND AGREES THAT ALL OTHER REPRESENTATIONS AND  WARRANTIES AND OMISSIONS OF ANY KIND OR NATURE, EXPRESS OR IMPLIED  (INCLUDING, BUT NOT LIMITED TO, ANY RELATING TO THE FUTURE OR  HISTORICAL FINANCIAL CONDITION, RESULTS OF OPERATIONS, ASSETS OR  LIABILITIES OF THE ACQUIRED ENTITIES), ARE SPECIFICALLY DISCLAIMED BY  SUCH PARTY, AND SUCH PARTY SPECIFICALLY DISCLAIMS RELIANCE THEREON.   Section VIII.12 Construction. (a) Time Periods. When calculating the period of time before which,  within which or following which any act is to be done or step taken pursuant to this Agreement,  (i) the date that is the reference date in calculating such period shall be excluded and (ii) if the  last day of such period is a not a Business Day, the period in question shall end on the next  succeeding Business Day. (b) Dollars. Unless otherwise specifically indicated, any reference  herein to “$” means U.S. dollars. (c) Gender and Number. Any reference herein to gender shall include  all genders, and words imparting the singular number only shall include the plural and vice versa. (d) Articles, Sections and Headings. When a reference is made herein  to an Article or a Section, such reference shall be to an Article or a Section of this Agreement  unless otherwise indicated. The table of contents and headings contained herein are for reference  purposes only and shall not affect in any way the meaning or interpretation of this Agreement. (e) Include. Whenever the words “include,” “includes” or “including”  are used herein, they shall be deemed to be followed by the words “without limitation.” 57 

 

(f) Hereof. The words “hereof,” “hereto,” “hereby,” “herein” and  “hereunder” and words of similar import when used herein shall refer to this Agreement as a  whole and not to any particular provision of this Agreement. (g) Extent. The word “extent” in the phrase “to the extent” means the  degree to which a subject or other thing extends, and such phrase shall not mean simply “if.” (h)  Contracts; Laws. Any Contract or Law defined or referred to  herein means such Contract or Law as from time to time amended, modified or supplemented,  unless otherwise specifically indicated.  (i) Persons. References to a person are also to its successors and  permitted assigns.  (j) Exhibits and Disclosure Schedule. The Exhibits to this Agreement  and the Disclosure Schedules are incorporated and made a part hereof and are an integral part of  this Agreement. Sellers may, at their option, include in the Seller Disclosure Schedule items that  are not material in order to avoid any misunderstanding, and such inclusion, or any references to  dollar amounts herein or in the Seller Disclosure Schedule, shall not be deemed to be an  acknowledgement or representation that such items are material, to establish any standard of  materiality or to define further the meaning of such terms for purposes of this Agreement or  otherwise. The Seller Disclosure Schedule shall be organized into sections that correspond to the  Sections of this Agreement. Any item set forth in any section of the Seller Disclosure Schedule  that corresponds to a Section of this Agreement shall apply to and qualify only such Section of  this Agreement and any other Section of this Agreement that contains a representation or  warranty if such item’s relevance to such other Section is reasonably apparent on its face without  further inquiry and shall apply to and qualify such representation or warranty regardless of  whether there is a reference to such Section of the Seller Disclosure Schedule in such Section of  this Agreement. Any capitalized term used in any Exhibit or the Seller Disclosure Schedule but  not otherwise defined therein shall have the meaning given to such term herein.   (k) Made Available. A document or information shall be deemed to  have been “made available” or otherwise delivered to Parent or Buyer only if, prior to the date  hereof, such document or information has been posted to the virtual data room maintained by  Sellers in connection with the transactions contemplated by this Agreement in a folder thereof to  which Parent, Buyer or their Representatives have downloading and printing access. Section VIII.13 Definitions. (a) As used in this Agreement, each of the following capitalized terms  has the meaning specified in this Section 8.13(a): “Acquired Contracts” means, collectively, all of the Contracts set forth under the  “Customer Contract,” “Supplier Contracts” and “Other Contracts” headings on Schedule A  hereto.   58 

 

“Acquired IP” means those assets described under the “Acquired IP” heading on  Schedule A hereto. “Additional Consideration” means, collectively, (a) a contingent right to receive the  aggregate amount of the funds held in the Adjustment Escrow Account, if any, that is released to  Sellers pursuant to Section 2.4(c), in each case, in cash and without interest, and (b) a contingent  right to receive the aggregate amount of the funds held in the Indemnification Escrow Account,  if any, that is released to Sellers pursuant to Section 6.6(d), in each case, in cash and without  interest and payable as set forth in Section 6.6(d) and the Escrow Agreement. “Adjustment Escrow Account” means the escrow account established pursuant to the  Escrow Agreement in respect of the Adjustment Escrow Amount. “Adjustment Escrow Amount” means $125,000. “Affiliate” means, with respect to any Person, any other Person which directly or  indirectly controls, is controlled by or is under common control with such Person. For purposes  of the immediately preceding sentence, the term “control” (including, with correlative meanings,  the terms “controlling,” “controlled by” and “under common control with”), as used with respect  to any Person, means the possession, directly or indirectly, of the power to direct or cause the  direction of the management and policies of such Person, whether through ownership of voting  securities, by contract or otherwise. “Base Cash Amount” means $20,000,000. “Binder Agreement” means the Binder Agreement, dated as of the date hereof, between  the Underwriting Representative and Buyer. “Business” means the business of providing digital lead generation, digital customer  acquisition services and digital brand awareness solutions designed to reach, engage and acquire  potential customers for clients as conducted by or reasonably comparable to that conducted by,  as applicable, Sellers or otherwise related to the operation of the Purchased Assets of the date  hereof or at any time within the three (3) years prior to the date hereof.  “Business Day” means a day, other than a Saturday, a Sunday or other day on which  commercial banks in New York, New York are authorized or required by Law to close. “Buyer Fundamental Representations” means the representations and warranties of Parent  and Buyer in Section 4.1, Section 4.2 and Section 4.6. “Claim” means any action, arbitration, audit, charge, claim, complaint, investigation,  legal proceeding (whether at law or in equity), notice of violation, petition, suit or other litigation  or similar proceeding, whether civil, criminal, administrative, arbitral or investigative.  “Closing Adjustment Amount” means the difference of (a) the Closing Date Cash, minus  (b) the Closing Date Indebtedness, minus (c) the Net Working Capital Adjustment Amount;  provided that the Closing Adjustment Amount may be positive or negative. 59 

 

“Closing Cash Consideration” means an amount equal to (a) the Base Cash Amount, plus  (b) the Closing Adjustment Amount, minus (c) the Escrow Cash Amount. “Closing Date Cash” means an amount equal to the sum of all cash and cash equivalents  (including marketable securities and short-term investments) held in the Business as of  immediately prior to the Closing and determined in accordance with GAAP; provided that  Closing Date Cash shall not include the amount of (a) any restricted cash of any Seller, (b) any  outstanding but undrawn checks of any Seller or (c) any outstanding or authorized but  unconsummated wire transfer by any Seller. “Closing Date Indebtedness” means an amount equal to the Payoff Amount, without  double counting and as of immediately prior to the Closing. “Closing Parent Shares” means a number of shares of DMS Class A Common Stock,  rounded down to the nearest whole number, equal to the quotient of (a) $20,000,000, divided by  (b) the Per Share Value as of the Closing Date. “Code” means the Internal Revenue Code of 1986. “Confidentiality Agreement” means that certain Nondisclosure Agreement, dated as of  January 14, 2021, by and between Parent and Sellers.  “Contract” means any written agreement, deed, mortgage, lease, license, instrument, note,  commitment, undertaking, arrangement or contract. “Company IP” means all Intellectual Property owned, or purported to be owned, by any  Seller. “Credit Support Arrangement” means any arrangement by a Person in which guaranties  (including guaranties of performance or payment under agreements, commitments, obligations  and permits), keepwells, letters of credit or other credit or credit support arrangements, including  bid bonds, advance payment bonds, performance bonds, payment bonds, retention and/or  warranty bonds or other bonds or similar instruments, were or are issued, entered into or  otherwise put in place by such Person to support or facilitate, or otherwise in respect of, the  obligations of another Person. “Customs & Trade Laws” means all applicable export, import, customs and trade, and  anti-boycott laws, regulations, or programs administered, enacted or enforced by any  Governmental Entity, including but not limited to: (a) the laws, regulations, and programs  administered or enforced by U.S. Customs and Border Protection, U.S. Immigration and  Customs Enforcement, the U.S. International Trade Commission, the U.S. Department of  Commerce, and the U.S. Department of State; (b) the U.S. Tariff Act of 1930, as amended;  (c) the U.S. Export Control Reform Act of 2018 and the Export Administration Regulations,  including related restrictions with regard to persons or entities on the U.S. Department of  Commerce’s Denied Persons List, Unverified List or Entity List; (d) the U.S. Arms Export  Control Act, as amended, and the International Traffic in Arms Regulations, including related  60 

 

restrictions with regard to persons or entities on the U.S. Department of State’s Debarred List;  (e) the U.S. Foreign Trade Regulations; (f) the anti-boycott laws and regulations administered by  the U.S. Department of Commerce and the U.S. Department of the Treasury; and (g) all other  applicable laws, regulations, or programs.  “Deferred Consideration” means, as applicable, (a) $5,000,000 in cash or (b) a number  of shares of DMS Class A Common Stock, rounded down to the nearest whole number, equal to  the quotient of (i) $5,000,000, divided by (ii) the Per Share Value as of the eighteen (18)-month  anniversary of the Closing Date. “Entity” means any corporation (including any nonprofit corporation), general  partnership, limited partnership, limited liability partnership, joint venture, estate, trust, company  (including any company limited by shares, limited liability company or joint stock company) or  other association, organization or entity (including any Governmental Entity). “Environmental Laws” means all Laws relating to pollution or protection of the  environment or human health and safety, including laws relating to releases or threatened  releases of hazardous materials into the indoor or outdoor environment (including air, surface  water, groundwater, land, surface and subsurface strata) or otherwise relating to the manufacture,  processing, distribution, use, treatment, storage, release, transport or handling of hazardous  materials and all Laws relating to endangered or threatened species of fish, wildlife and plants,  and the management or use of natural resources. “ERISA” means the Employee Retirement Income Security Act of 1974, as amended  from time to time. “ERISA Affiliate” means any Person (whether or not incorporated) that, together with  any Seller, is treated as a single employer under Section 414(b) or (c) of the Code. “Escrow Agent” means Wells Fargo Bank, National Association, a national banking  association. “Escrow Agreement” means an escrow agreement, by and among Parent, Seller  Representative and the Escrow Agent, substantially in the form attached as Exhibit A hereto,  with such changes as reasonably requested by the Escrow Agent. “Escrow Cash Amount” means the sum of (a) the Adjustment Escrow Amount, plus (b)  the Indemnification Escrow Cash Amount. “Estimated Closing Adjustment Amount” means an amount equal to the difference of (a)  the Estimated Closing Date Cash, minus (b) the Estimated Closing Date Indebtedness, minus (c)  the Estimated Net Working Capital Adjustment Amount; provided that the Estimated Closing  Adjustment Amount may be positive or negative. “Estimated Closing Cash Consideration” means an amount equal to (a) the Base Cash  Amount, plus (b) Estimated Closing Adjustment Amount, minus (c) the Escrow Cash Amount. 61 

 

“Exchange Act” means the Securities Exchange Act of 1934 and the rules and regulations  promulgated thereunder. “Fraud” means actual, not constructive, common law fraud (under the Laws of the State  of Delaware). “Fundamental Representations” means the Seller Fundamental Representations and the  Buyer Fundamental Representations. “GAAP” means U.S. generally accepted accounting principles in effect from time to  time. “Governmental Entity” means any government, court, regulatory or administrative  agency, commission or authority or other governmental instrumentality, whether federal, state or  local, domestic, foreign or multinational, any contractor acting on behalf of such agency,  commission, authority or governmental instrumentality, or any quasi-governmental or private  body exercising any regulatory, taxing, importing or other governmental authority. “Harmful Code” means any “back door,” “drop dead device,” “time bomb,” “Trojan  horse,” “virus,” or “worm” (as such terms are commonly understood in the software industry) or  any other code designed or intended to maliciously undertake any of the following functions: (i)  disrupting, disabling, harming, or otherwise impeding in any manner the operation of, or  providing unauthorized access to, a computer system or network or other device on which such  code is stored or installed; or (ii) damaging or destroying any data or file without the user’s  consent. “Indebtedness” means, with respect to any Person, (a) the aggregate indebtedness for  borrowed money, such as any accrued interest, fees and cost or penalty associated with  prepaying such indebtedness and any such obligations evidenced by bonds, debentures, notes or  similar obligations, (b) obligations under any deferred purchase price arrangements, (c)  capitalized lease obligations that are classified as a balance sheet liability in accordance with  GAAP, (d) obligations under any sale and leaseback transaction, synthetic lease or tax ownership  operating lease transaction (whether or not recorded on the balance sheet), (e) obligations with  respect to hedging, swaps or similar arrangements, (f) obligations with respect to the face amount  of all letters of credit, bankers’ acceptances and similar obligations issued for the account of such  Person, (g) any securities or other equity instruments that under the body of accounting  principles applicable to such Person are characterized as debt, (h) all Credit Support  Arrangement obligations of such Person in respect of obligations of the kind referred to in the  foregoing clauses (a)–(g) above and (i) all obligations of the kind referred to in the foregoing  clauses (a) through (h) above secured by (or for which the holder of such obligation has an  existing right, contingent or otherwise, to be secured by) any security interest on property  (including accounts and contract rights) of such Person, whether or not such Person has assumed  or become liable for the payment of such obligation, in each case, owed by such Person.  “Indemnification Escrow Account” means the escrow account established pursuant to the  Escrow Agreement in respect of the Indemnification Escrow Cash Amount. 62 

 

“Indemnification Escrow Cash Amount” means $225,000.00. “Intellectual Property” means all intellectual property rights of every kind and description  under the law of the United States, any other jurisdiction or any international treaties, both  statutory and common law rights, in: (a) utility models, patents and patent applications, invention  disclosures and all related extensions, divisions, continuations, continuations-in-part,  substitutions, reexaminations, and reissues; (b) trademarks and service marks (whether registered  or unregistered), trade names, slogans, internet domain names, applications and reservations for  internet domain names and uniform resource locators, social media account logos, trade dress,  design rights and other similar identifiers of source or origin, together with the goodwill  symbolized by any of the foregoing; (c) copyrights (whether registered or unregistered), moral  rights, and other rights in works of authorship; (d) rights in Software and other computer  programs (whether in source code, object code, or other form), algorithms, databases,  compilations and data, technology supporting the foregoing, and all documentation, including  user manuals and training materials, related to any of the foregoing; and (e) trade secrets and all  other confidential information, ideas, know-how, inventions, proprietary processes, formulae,  models, and methodologies (“Trade Secrets”); and (g) all applications and registrations, and any  renewals, extensions and reversions, for the foregoing. “IRS” means the U.S. Internal Revenue Service or any successor agency. “IT Systems” means the computer, information technology, and data processing systems,  facilities and services controlled by, or used by or for, the Sellers in the conduct of their  respective businesses, including all software, systems hardware, networks, interfaces, platforms  and related systems and services. “Key Employees” means each of Chris Henry and Justin Ferreira. “Knowledge” means (a) with respect to any individual, the actual or constructive  knowledge of such individual and (b) with respect to any Entity, the actual or constructive  knowledge of any director, manager or officer of such Entity, in each case following due inquiry  of the type that would reasonably be expected to be made by such individual in the prudent  exercise of such individual’s job functions and/or duties. “Laws” means any laws (statutory, common or otherwise), constitutions, treaties,  conventions, ordinances, codes, rules, regulations, Orders or other similar requirements enacted,  adopted, promulgated or applied by a Governmental Entity. “Liabilities” means assessments, Claims of any kind or nature, commitments, damages,  deficiencies, demands, fines, interest, liabilities (including any Indebtedness), obligations,  penalties and Taxes, in each case, whether accrued, absolute, contingent or otherwise, known or  unknown, due or to become due, whether or not required to be recorded or reflected on a balance  sheet under GAAP. “Lien” means with respect to any property or asset, including any equity interest, any  lien, security interest, deed of trust, mortgage, pledge, encumbrance, restriction on transfer,  63 

 

proxies, voting trusts or agreements, hypothecation, assignment, claim, right of way, defect in  title, encroachment, easement, restrictive covenant, charge, deposit arrangement or preference,  priority or other security agreement or preferential arrangement of any kind or nature whatsoever  including any conditional sale or other title retention agreement, the interest of a lessor under a  capital lease and any financing lease having substantially the same economic effect as any of the  foregoing, and the filing of any financing statement under the UCC or comparable Law of any  jurisdiction naming the owner of the property or asset to which such lien relates as debtor, or any  restriction on the creation of any of the foregoing. “Losses” means Liabilities, losses, Orders and costs and expenses (including reasonable  fees and expenses of outside legal counsel, accountants, investment bankers, experts, consultants  and other advisors, and the costs of all filing fees and printing costs); provided, however, that  Losses shall not include punitive damages except for punitive damages actually paid to a third  party. “Material Adverse Effect” means any event, change, circumstance, development,  occurrence, condition, effect or state of facts that is or would reasonably be expected to be,  individually or in the aggregate, materially adverse to the operation of the Business or the  Purchased Assets; provided, however, that the following events, changes, circumstances,  developments, occurrences, conditions, effects and states of facts shall not constitute, or be taken  into account in determining, a Material Adverse Effect: (a) the announcement, pendency or  anticipated consummation of the Acquisition or any of the other transactions contemplated by  this Agreement; (b) changes in general economic conditions or the credit, financial or capital  markets; (c) changes in general conditions in any industry in which any Seller operates or  participates; (d) any natural or man-made disaster, pandemic (including the COVID-19  pandemic), act of terrorism, sabotage, military action or war, or any escalation or worsening  thereof; (e) changes in general legal, regulatory or political conditions after the date hereof;  (f) changes in GAAP or applicable Laws or the interpretation thereof after the date hereof;  (g) compliance by the Sellers, the Parent, or Buyer with the terms of, or taking any action  contemplated by, this Agreement or any agreement or document executed in connection  herewith; and (h) the identity of Buyer or Buyer’s plans for the customers, suppliers, employees,  businesses, operations or assets of the Sellers.   “Net Working Capital” means the difference of the (a) accounts receivable and prepaid  expenses (other than any prepaid insurance premiums or prepaid Taxes) related directly to the  Purchased Assets minus (b) trade accounts payable and accrued expenses of Sellers related  directly to the Purchased Assets (other than any Excluded Liabilities), in each case, calculated on  a consolidated basis without double counting as of immediately prior to the Closing and in  accordance with GAAP; provided, however, that Net Working Capital shall exclude all Closing  Date Cash, Closing Date Indebtedness, current income Tax assets and liabilities, and deferred  Tax assets and liabilities, in each case, regardless of whether any such items are current assets or  current liabilities of the Sellers under GAAP. For illustrative purposes only, Exhibit G sets forth  a sample calculation of Net Working Capital as of December 31, 2020. 64 

 

“Net Working Capital Adjustment Amount” means the difference of (a) Target Net  Working Capital, minus (b) Net Working Capital; provided that the Net Working Capital  Adjustment Amount may be positive or negative. “NYSE” means the New York Stock Exchange. “Open Source Materials” means any Software that is distributed as free software, open  source software, or similar licensing or distribution models, including the following licenses or  distribution models, or license or distribution models similar to any of the following: GNU  General Public License, GNU Lesser General Public License, Creative Commons Attribution- Share Alike, GNU Affero General Public License, Apache License, Artistic License, Clarified  Artistic License, Berkeley Database License, Mozilla Public License, Netscape Public License,  Sun Community Source License, Sun Industry Source License, Eclipse Public License, Common  Public License and Common Development and Distribution License. “Order” means any judgment, decree, injunction, rule, order, decision, decree, ruling or  assessment of any arbitrator or Governmental Entity. “Organizational Documents” means any corporate, partnership or limited liability  organizational documents, including certificates or articles of incorporation, bylaws, certificates  of formation, operating agreements (including limited liability company agreement and  agreements of limited partnership), certificates of limited partnership, partnership agreements,  shareholder agreements and certificates of existence, as applicable. “Other Transaction Agreements” means the Confidentiality Agreement, the Escrow  Agreement, the Employment Agreements, the Lock-Up Agreement, the Assignment and  Assumption Agreement, the Domain Name Assignment Agreement, the D/B/A Assignment  Agreement, and any other Contract entered into in connection with this Agreement or any  document or certificate delivered by a Party in connection with this Agreement or any of the  foregoing. “Parent Change in Control”  means (i) a reorganization, merger, consolidation, stock sale  or other corporate transaction involving Parent, in each case, with respect to which the  stockholders of Parent immediately prior to such transaction do not own, immediately after the  transaction, at least fifty percent (50%) of the combined voting power of Parent or other such  successor entity resulting from such transaction or (ii) a sale, liquidation, distribution or other  disposition of all or substantially all of the assets of Parent. “Parent Shares” means, collectively, (a) the Closing Parent Shares, (b) if applicable, any  shares of DMS Class A Common Stock issued pursuant to the payment of the Deferred  Consideration, and (c) if applicable, any shares of DMS Class A Common Stock issued to any  Seller pursuant to an applicable payment of the Earnout Consideration. “Payoff Amount” means the amount due to the lender as of the Closing Date under that  certain Business Loan and Security Agreement by and among FC Marketplace, LLC, Crisp  Marketing LLC and Union Health LLC, dated April 23, 2018. 65 

 

“Per Share Value” means the weighted average closing sale price per share of the DMS  Class A Common Stock as reported on the NYSE for the twenty (20) trading days immediately  prior to the applicable date of transfer.   “Permit” means any permit, license, registration, certificate, franchise, qualification,  waiver, authorization, clearance or similar rights issued, granted or obtained by or from any  Governmental Entity. “Permitted Liens” means (a) statutory Liens for current Taxes not yet due and payable or  the amount or validity of which is being contested in good faith by appropriate proceedings and,  in either case, for which adequate reserves have been established in accordance with GAAP,  (b) Liens or imperfections of title that have arisen in the ordinary course of business, (c) Liens or  imperfections of title relating to Liabilities reflected in the financial statements (including any  related notes) contained in the Financial Statements, (d) easements, covenants, conditions,  restrictions and other similar matters of record affecting title to the Leased Real Property which  do not or would not materially impair the use or occupancy of the Leased Real Property in  connection with the operation of the Business conducted thereon, (e) non-exclusive licenses of  Intellectual Property and any terms and conditions of such licenses and (f) Liens associated with  Indebtedness which will be paid off at Closing. “Person” means any individual or Entity. “Personal Data” means a natural person’s name, street address, telephone number, e-mail  address, photograph, social security number, driver’s license number, debit or credit card  number, passport number, or customer or account number, or any other piece of information that  alone or in combination allows the identification, directly or indirectly, of a natural person. “PPP Loan” means, collectively, the existing loans issued to Sellers, in the original  principal amount of $818,797 (in the aggregate), pursuant to the Paycheck Protection Program  administered by the United States Small Business Administration (“SBA”) under the  Coronavirus Aid, Relief and Economic Security Act (“CARES Act”). “Pre-Closing Tax Period” means any taxable period ending on or before the Closing Date  and the portion of any Straddle Period up to and including the Closing Date. “Pro Rata Share” means, with respect to each Seller, the direct or indirect ownership  interest of such Seller in the Purchased Assets (taken as whole) as of immediately prior to the  Closing, expressed as a percentage, as set forth opposite such Seller’s name on Schedule B  hereto. “R&W Insurance Policy” means that Buyer-Side Representations and Warranties  Insurance Policy to be issued to Buyer pursuant to the Binder Agreement, as such policy may be  amended, modified or supplemented from time to time. 66 

 

“R&W Insurance Policy Costs” means 50% the premium, fees, Taxes and other costs  payable by Buyer under the R&W Insurance Policy (including any deposit related thereto paid  prior to the Closing). “Representatives” means, with respect to any Person, such Person’s officers, directors,  employees, consultants, agents, financial advisors, attorneys, accountants, other advisors,  Affiliates and other representatives. “Restricted Period” means, with respect to each Seller, the period commencing from and  after the Closing Date and ending on the five (5) year anniversary of the Closing Date.  “Restricted Person” means any person or entity identified on the U.S. Department of  Commerce’s Denied Persons List, Unverified List or Entity List or the U.S. Department of  State’s Debarred List or Nonproliferation Sanctions. “Sanctions” means economic or financial sanctions or trade embargoes imposed,  administered or enforced from time to time by any relevant Governmental Entity, including, but  not limited to those administered by the U.S. government through the Office of Foreign Assets  Control of the U.S. Department of the Treasury (“OFAC”) or the U.S. Department of State, the  United Nations Security Council, the European Union, Her Majesty’s Treasury of the United  Kingdom, or a Governmental Entity of any other relevant jurisdiction.  “Sanctioned Person” means any Person that is the target of Sanctions, including, (a) any  Person listed in any Sanctions-related list of sanctioned Persons maintained by OFAC or the U.S.  Department of State, by the United Nations Security Council, the European Union, or Her  Majesty’s Treasury of the United Kingdom, (b) any Person located, organized or resident in a  Sanctioned Territory, or (c) any Person directly or indirectly owned or controlled by any such  Person or Persons described in the foregoing clauses (a) and (b). “Sanctioned Territory” means, at any time, a country or territory which is itself the  subject or target of any country-wide or territory-wide Sanctions (at the time of this Agreement,  Crimea, Cuba, Iran, North Korea and Syria). “SEC” means the U.S. Securities and Exchange Commission. “Securities Act” means the Securities Act of 1933 and the rules and regulations  promulgated thereunder. “Security Incident” means (a) the loss or misuse of Personal Data or third party  confidential information, (b) the accidental, unauthorized and/or unlawful access to the IT  Systems, Personal Data or third party confidential information, or (c) any other act or omission  that compromises the security, confidentiality and/or integrity of IT Systems, Personal Data or  third party confidential information. Security Incidents include, among other things, the loss of  paper files and portable devices, such as laptops and CDs, containing Personal Data or third party  confidential information. 67 

 

“Seller Disclosure Schedule” means the disclosure schedule of Sellers delivered at the  Closing. “Seller Fundamental Representations” means the representations and warranties of  Sellers in Section 3.1, Section 3.2 and Section 3.3.  “Software” means source code, object code, computer software programs (in either  source code, object code or other form), databases, data collections, related documentation,  designs, specifications, and interfaces, and associated documentation.   “Straddle Period” means any taxable period beginning on or prior to and ending after the  Closing Date. “Subsidiary” of any Person means any Entity (a) of which fifty (50%) or more of the  outstanding share capital, voting securities or other voting equity interests are owned, directly or  indirectly, by such Person, (b) of which such Person is entitled to elect, directly or indirectly, at  least fifty percent (50%) of the board of directors or similar governing body of such Entity or (c)  if such Entity is a limited partnership or limited liability company, of which such Person or one  of its Subsidiaries is a general partner or managing member or has the power to direct the  policies, management or affairs. “Target Net Working Capital” means $873,000.  “Taxes” means (a) all U.S. federal, state and local and non-U.S. taxes of any kind  (together with any and all interest, penalties, additions to tax and additional amounts imposed  with respect thereto) imposed, assessed, or collected by or under the authority of any Taxing  Authority, including taxes, levies, assessments, tariffs, duties, or other charges on or with respect  to income, franchises, windfall or other profits, gross receipts, property, capital gains, sales, use,  capital stock, payroll, employment, social security, workers’ compensation, unemployment  compensation, or net worth and taxes or other charges in the nature of an excise tax, withholding  tax, ad valorem tax, business tax, transfer tax, stamp tax, estimated tax, surtax or value added tax  and (b) any liability for amounts described in the foregoing clause (a) of another person under  Treasury Regulations Section 1.1502-6 (or any similar provision of Law), as a result of  transferee liability, by Law, Contract or otherwise. “Tax Return” means any report, return, statement, notice, notification, form, election,  certificate, document, declaration or other information or filing filed with or supplied to, or  required to be filed with or supplied to, any Taxing Authority with respect to Taxes, including  any schedule or attachment thereto and any amendment thereof, any information returns, any  documents with respect to or accompanying payments of estimated Taxes, or with respect to or  accompanying requests for the extension of time in which to file any such report, return,  statement, notice, notification, form, election, certificate, document, declaration or other  information or filing. “Tax Sharing Agreement” means, with respect to any Person, any Tax allocation,  indemnity or sharing agreement or similar agreement, arrangement or understanding to which  68 

 

such Person is a party or is otherwise subject; provided, however, that a Tax Sharing Agreement  with respect to any Person does not include contracts entered into in the ordinary course of  business of such Person the primary purpose of which is not Taxes, and does not include this  Agreement. “Taxing Authority” means the IRS or any other Governmental Entity that has or is  exercising power to impose, assess, determine, administer or collect any Taxes. “Transfer Tax” means all transfer and similar Taxes imposed in respect of the  Acquisition, including documentary, recording, registration, stamp duty, transfer, real estate  transfer, sales and use, value added and similar Taxes and fees in all jurisdictions whenever and  wherever imposed and all penalties, surcharges, charges, interest and additions thereto but  “Transfer Tax” shall not include any income, franchise or similar Taxes. “Treasury Regulations” means the regulations issued under the Code, as such regulations  may be amended from time to time. “WARN Act” means the U.S. Worker Adjustment and Retraining Notification Act and  any similar state or local Law. (b) In addition to the defined terms set forth in Section 8.13(a), as used  in this Agreement, each of the following capitalized terms has the meaning specified in the  Section set forth opposite such term below. Affiliate Contracts Section 3.12(a)(xv) Agreement Preamble Allocable Amount Section 7.4 Anti-Corruption Laws 3.14(a) Assignment and Assumption Agreement Section 2.2(a)(iv) Assumed Liabilities Section 1.3 Basket Section 6.3(a) Binder Agreement 57 Buyer Statement Section 2.4(a) Cap Section 6.3(a) Claim Notice Section 6.4(a) Closing Section 2.1 Closing Date Section 2.1 Collective Bargaining Agreements Section 3.19(b) Company Group Employees Section 5.2(a) Consent  Section 3.4(a) Crisp Plans Section 3.18(a) D/B/A Assignment Agreement   Section 2.2(a)(vi) Designated Employees Section 5.2(a) Dispute Notice Section 2.4(b) Disputed Items Section 2.4(b) DMS Preamble 69 

 

DMS Class A Common Stock Recitals Earnout Consideration 2.6(a) Employment Agreements Section 2.1(a)(ii) Estimated Closing Date Indebtedness Section 2.3(a)(i) Estimated Net Working Capital Adjustment Amount Section 2.3(a)(i) Filing Section 3.4(a) Final Closing Cash Consideration Section 2.4(c)(i) Financial Statements Section 3.5(a) General Termination Date Section 6.1(a) Indemnified Person Section 6.4(a) Indemnifying Party Section 6.4(a) Independent Accountant Section 2.4(b) Initial Release Amount Section 6.6(d) Insurance Policy Section 3.21 Key Customer Section 3.22(a) Key Supplier Section 3.22(b) Labor Disputes Section 3.19(d) Latest Balance Sheet Section 3.5(a) Leased Real Property Section 3.11(b) Lock-Up Agreement Section 2.2(a)(iii) Material Contract Section 3.12(a) MEWA Section 3.18(i) Minute Books Section 3.28 Multiemployer Plan Section 3.18(i) Non-Designated Employees Section 5.2(a) Outstanding Claims Section 6.6(d) Parent Preamble Parties Preamble Party Preamble Payment Statement Section 2.3(a) Privacy/Cybersecurity Obligations Section 3.9(a) Purchase Price Section 1.5 Real Estate Leases Section 3.11(b) Representative Losses 8.1(b) Resolved Amount Section 6.6(e) Review Period Section 2.4(b) Seller Preamble Territory Section 5.1(a) Third Party Section 6.4(a) Third-Party Claim Section 6.4(b) Title IV Plan Section 3.18(i)   [Signature Pages Follow] 70 

 

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The Parties have caused this Agreement to be executed as of the date first written  above. DIGITAL MEDIA SOLUTIONS, INC. By:  /s/ Joseph Marinucci   Name:  Joseph Marinucci  Title: CEO EDGE MARKETING, LLC By:  /s/ Joseph Marinucci   Name:  Joseph Marinucci  Title: CEO  CRISP MARKETING, LLC By:  /s/ Justin Ferreira   Name: Justin Ferreira  Title: Manager UNION HEALTH, LLC By:  /s/ Justin Ferreira   Name: Justin Ferreira  Title: Manager SELLER REPRESENTATIVE  By:  /s/ Justin Ferreira  Name:  Justin Ferreira  

 

 

 

EXHIBIT A FORM OF ESCROW AGREEMENT This Escrow Agreement dated this 1st day of April, 2021 (the “Escrow Agreement”), is entered  into by and among Digital Media Solutions, Inc., a Delaware corporation (“Parent”), Justin  Ferreira, a natural person, solely in his capacity as a representative of Sellers (as defined below)  and not personally (“Seller Representative” and, together with Parent, the “Parties,” and each  individually, a “Party”), and Wells Fargo Bank, National Association, a national banking  association organized under the laws of the United States, as escrow agent (“Escrow Agent”). RECITALS A. The Parties, along with Edge Marketing, LLC, a Delaware limited liability company and  an indirect subsidiary of Parent (“Buyer”), Crisp Marketing, LLC, a Florida limited liability  company, d/b/a Crisp Results (“Crisp Results”), and Union Health, LLC, a Florida limited  liability company, d/b/a Crisp Connections (“Crisp Connections” and together with Crisp  Results, “Sellers”), have entered into that certain Asset Purchase Agreement, dated as of April 1,  2021 (the “Purchase Agreement”), pursuant to which Buyer will acquire from Sellers certain  specified assets, and assume certain liabilities, of the Sellers in accordance with the terms and  conditions set forth therein.  B. Pursuant to the Purchase Agreement and in connection with the transactions  contemplated thereby, the Parties agreed to enter into this Escrow Agreement and to place in  escrow certain funds and the Escrow Agent agrees to hold and distribute such funds in  accordance with the terms of this Escrow Agreement. C. The Parties acknowledge that the Escrow Agent is not a party to, is not bound by, and has  no duties or obligations under, the Purchase Agreement, that all references in this Escrow  Agreement to the Purchase Agreement are for convenience, and that the Escrow Agent shall have  no implied duties beyond the express duties set forth in this Escrow Agreement. D. Pursuant to the Purchase Agreement, each of Sellers has appointed Seller Representative  as agent and attorney-in-fact for each such Seller, with full power and authority to represent each  Seller with respect to all matters arising under this Escrow Agreement, and all actions taken by  Seller Representative under this Escrow Agreement will be binding upon each such Seller as if  expressly authorized, ratified and confirmed in writing by each of them. E. Pursuant to the Purchase Agreement, the Parties have agreed that the Indemnification  Escrow Property (as defined below) is the sole source of funds for satisfaction of certain amounts  that Sellers may owe to Parent, Buyer and their respective affiliates and representatives (the  “Parent Indemnitees”), as provided in, and subject to the limitations of, Article VI of the  Purchase Agreement. 

 

F. Pursuant to the Purchase Agreement, the Parties have agreed that the Adjustment Escrow  Property (as defined below) is the sole source of funds for satisfaction of certain amounts that  Sellers may owe to Parent or Buyer, as provided in Section 2.4 of the Purchase Agreement. In consideration of the promises and agreements of the Parties and for other good and valuable  consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties and the  Escrow Agent agree as follows: ARTICLE 1 ESCROW DEPOSIT Section 1.1. Receipt of Escrow Property.   (a) Following execution hereof, Parent shall deliver, or cause to be delivered, to the  Escrow Agent by wire transfer of immediately available funds: (i) an amount of cash equal to $225,000.00 (together with all interest, gains or  other income earned with respect thereto, and as reduced by any distribution therefrom  pursuant hereto, the “Indemnification Escrow Property”); and (ii) an amount of cash equal to $125,000.00 (together with all interest, gains or  other income earned with respect thereto, and as reduced by any distribution therefrom  pursuant hereto, the “Adjustment Escrow Property” and, together with the  Indemnification Escrow Property, the “Escrow Property”). (b) The Indemnification Escrow Property and the Adjustment Escrow Property shall  be held by the Escrow Agent in separate accounts.  Section 1.2. Investments.   (a) The Escrow Agent is authorized and directed to deposit, transfer, hold and invest  the Escrow Property and any investment income thereon as set forth in Exhibit A hereto or as set  forth in any subsequent joint written instruction signed by Parent and Seller Representative. Any  investment earnings and income on the Escrow Property shall become part of the Escrow  Property, and shall be disbursed in accordance with Section 1.3 or Section 1.6 of this Escrow  Agreement. (b) The Escrow Agent is hereby authorized and directed to sell or redeem any such  investments as it deems necessary to make any payments or distributions required under this  Escrow Agreement.  The Escrow Agent shall have no responsibility or liability for any loss  which may result from any investment or sale of investment made pursuant to this Escrow  Agreement.  The Escrow Agent is hereby authorized, in making or disposing of any investment  permitted by this Escrow Agreement, to deal with itself (in its individual capacity) or with any  one or more of its affiliates, whether it or any such affiliate is acting as agent of the Escrow  Agent or for any third person or dealing as principal for its own account.  The Parties  75 

 

acknowledge that the Escrow Agent is not providing investment supervision, recommendations,  or advice. (c)     The Parties agree that confirmations of permitted investments are not required to be  issue by the Escrow Agent for each month in which a monthly statement is rendered.  No  statement need be rendered for any fund or account if no activity occurred in such fund or  account during such month.  The Parties may obtain confirmations at no additional cost upon its  written request. Section 1.3. Disbursements.   (a) With respect to any claim asserted by a Parent Indemnitee pursuant to or arising  under Section 6.2 of the Purchase Agreement (a “Claim”) and subject to Section 1.5(a), Parent  and Seller Representative shall provide joint written instructions to the Escrow Agent notifying  the Escrow Agent that such Claim is definitively and finally resolved pursuant to Article VI of  the Purchase Agreement (the “Joint Claim Release Notice”) and the Escrow Agent shall,  promptly after the receipt of the Joint Claim Release Notice, release the payment amount(s)  identified in the Joint Claim Release Notice in cash from the Indemnification Escrow Property  via wire transfer of immediately available funds to the Parent (and Parent shall, in turn, be  responsible for paying all or any portion of the amount(s) to any Parent Indemnitees, as  applicable) in accordance with the instructions contained in the Joint Claim Release Notice. (b) No later than two (2) Business Days following the General Termination Date (as  defined in the Purchase Agreement) and subject to Section 1.5(a), Parent and Seller  Representative shall provide joint written instructions to the Escrow Agent (the “Joint Notice of  General Release”) and the Escrow Agent shall, promptly after the receipt of the Joint Notice of  General Release, release the Initial Release Amount (as defined in the Purchase Agreement) to  Seller Representative (for further distribution to Sellers, in accordance with their respective Pro  Rata Shares (as defined in the Purchase Agreement)), in accordance with the instructions  contained in the Joint Notice of General Release. (c) No later than two (2) Business Days following the final determination of the Final  Closing Cash Consideration pursuant to Section 2.4(b) of the Purchase Agreement and subject to  Section 1.5(a), Parent and Seller Representative shall provide joint written instructions to the  Escrow Agent (the “Joint Notice of Cash Consideration Adjustment”) and the Escrow Agent  shall, promptly after the receipt of the Joint Notice of Cash Consideration Adjustment, release  the payment amount(s) identified in the Joint Notice of Cash Consideration Adjustment in cash  from the Adjustment Escrow Property via wire transfer of immediately available funds (A) to  Parent and/or (B) to Seller Representative (for further distribution to Sellers, in accordance with  their respective Pro Rata Shares), in accordance with the instructions contained in the Joint  Notice of Cash Consideration Adjustment. Section 1.4. Security Procedure For Funds Transfers.  The Escrow Agent shall confirm each  funds transfer instruction received in the name of a Party by means of the security procedure  selected by such Party and communicated to the Escrow Agent through a signed certificate in the  76 

 

form of Exhibit B-1 or Exhibit B-2 attached hereto, which upon receipt by the Escrow Agent  shall become a part of this Escrow Agreement.  Once delivered to the Escrow Agent, Exhibit B-1  or Exhibit B-2 may be revised or rescinded only by a writing signed by an authorized  representative of the Party.  Such revisions or rescissions shall be effective only after actual  receipt and following such period of time as may be necessary to afford the Escrow Agent a  reasonable opportunity to act on it.  If a revised Exhibit B-1 or B-2 or a rescission of an existing  Exhibit B-1 or B-2 is delivered to the Escrow Agent by an entity that is a successor-in-interest to  such Party, such document shall be accompanied by additional documentation satisfactory to the  Escrow Agent showing that such entity has succeeded to the rights and responsibilities of the  Party under this Escrow Agreement.   The Parties understand that the Escrow Agent’s inability to receive or confirm funds transfer  instructions pursuant to the security procedure selected by such Party may result in a delay in  accomplishing such funds transfer, and agree that the Escrow Agent shall not be liable for any  loss caused by any such delay. Section 1.5.  Income Tax Allocation and Reporting.   (a) The Parties agree that, for tax reporting purposes, all interest and other income  from investment of the Escrow Property shall, as of the end of each calendar year and to the  extent required by the Internal Revenue Service, be reported by the Escrow Agent to the Internal  Revenue Service on IRS Form 1099 (or other appropriate form) as having been earned by Crisp  Results, whether or not such income was disbursed during such calendar year. Each of Seller  Representative (on behalf of Sellers) and Parent shall provide or cause to be provided to the  Escrow Agent all information reasonably available to such Party that is necessary to allow the  Escrow Agent to comply with any applicable tax reporting obligations, including without  limitation any cost basis reporting obligations under Internal Revenue Code Section 6045. The  Escrow Agent may rely on the information provided to it and shall have no responsibility to  verify or ensure the accuracy of such information. (b) For certain payments made pursuant to this Escrow Agreement, the Escrow Agent  may be required to make a “reportable payment” or “withholdable payment” and in such cases  the Escrow Agent shall have the duty to act as a payor or withholding agent, respectively, that is  responsible for any tax withholding and reporting required under Chapters 3, 4, and 61 of the  United States Internal Revenue Code of 1986, as amended (the “Code”).  The Escrow Agent  shall make the determination as to which payments are “reportable payments” or “withholdable  payments” in accordance with applicable law.  Parent and Seller Representative (on behalf of  Sellers) shall provide an executed IRS Form W-9 or appropriate IRS Form W-8 (or, in each case,  any successor form) for Parent and each Seller, as the case may be, to the Escrow Agent prior to  the date hereof, and shall promptly update any such form to the extent such form becomes  obsolete or inaccurate in any respect.  The Escrow Agent shall have the right to request from  Parent and Seller Representative (on behalf of Sellers), or any other person or entity entitled to  payment hereunder, any additional forms, documentation or other information as may be  reasonably necessary for the Escrow Agent to satisfy its reporting and withholding obligations  under the Code.  To the extent any such forms to be delivered under this Section 1.5(b) are not  77 

 

provided prior to the date hereof or by the time the related payment is required to be made or are  determined by the Escrow Agent to be incomplete and/or inaccurate in any respect, the Escrow  Agent shall be entitled to withhold a portion of any interest or other income earned on the  investment of the Escrow Property or on any such payments hereunder to the extent withholding  is required under Chapters 3, 4, or 61 of the Code, and shall have no obligation to gross up any  such payment. Such withheld amounts shall be timely remitted to the Internal Revenue Service.   (c) To the extent that the Escrow Agent becomes liable for the payment of any taxes  in respect of income derived from the investment of the Escrow Property, the Escrow Agent shall  satisfy such liability to the extent possible from the Escrow Property.  The Parties, jointly and  severally, shall indemnify, defend and hold the Escrow Agent harmless from and against any tax,  late payment, interest, penalty or other cost or expense that may be assessed against the Escrow  Agent on or with respect to the Escrow Property and the investment thereof unless such tax, late  payment, interest, penalty or other expense was directly caused by the gross negligence or willful  misconduct of the Escrow Agent.  The indemnification provided by this Section 1.5(c) is in  addition to the indemnification provided in Section 3.1 and shall survive the resignation or  removal of the Escrow Agent and the termination of this Escrow Agreement.  (d) The Parties hereto acknowledge that, in order to help fight the funding of terrorism  and money laundering activities, Federal law requires all financial institutions to obtain, verify  and record information that identifies each person or corporation who opens an account and /or  enters into a business relationship. The Parties hereby agree that they shall provide the Escrow  Agent with such information as the Escrow Agent may request including, but not limited to, each  Party’s name, physical address, tax identification number and other information that will assist  the Escrow Agent in identifying and verifying each Party’s identity such as organizational  documents, certificates of good standing, licenses to do business, or other pertinent identifying  information. Section 1.6.         Termination.  This Escrow Agreement shall terminate upon the earlier to occur  of (a) the five (5) year anniversary of the date hereof or (b) upon the disbursement of all of the  Escrow Property, including any interest and investment earnings thereon, except that the  provisions of Sections 1.5, 3.1 and 3.2 hereof shall survive termination and the Escrow Agent is  authorized and directed to disburse the Escrow Property in accordance with Section 1.3 of this  Escrow Agreement. . ARTICLE 2 DUTIES OF THE ESCROW AGENT Section 2.1. Scope of Responsibility.  Notwithstanding any provision to the contrary, the  Escrow Agent is obligated only to perform the duties specifically set forth in this Escrow  Agreement, which shall be deemed purely ministerial in nature.  Under no circumstance will the  Escrow Agent be deemed to be a fiduciary to any Party or any other person under this Escrow  Agreement.  The Escrow Agent will not be responsible or liable for the failure of any Party to  perform in accordance with this Escrow Agreement. The Escrow Agent shall neither be  responsible for, nor chargeable with, knowledge of the terms and conditions of any other  78 

 

agreement, instrument, or document other than this Escrow Agreement, whether or not an  original or a copy of such agreement has been provided to the Escrow Agent; and the Escrow  Agent shall have no duty to know or inquire as to the performance or nonperformance of any  provision of any such agreement, instrument, or document.  References in this Escrow  Agreement to any other agreement, instrument, or document are for the convenience of the  Parties, and the Escrow Agent has no duties or obligations with respect thereto. The Escrow  Agent will not be responsible to determine or to make inquiry into any term, capitalized, or  otherwise, not defined herein. This Escrow Agreement sets forth all matters pertinent to the  escrow contemplated hereunder, and no additional obligations of the Escrow Agent shall be  inferred or implied from the terms of this Escrow Agreement or any other agreement.  Section 2.2. Attorneys and Agents.  The Escrow Agent shall be entitled to rely on and shall not  be liable for any action taken or omitted to be taken by the Escrow Agent in accordance with the  advice of counsel or other professionals retained or consulted in good faith by the Escrow Agent.   The Escrow Agent shall be reimbursed as set forth in Section 3.1 for any and all reasonable and  documented compensation (fees, expenses and other costs) paid and/or reimbursed to such  counsel and/or professionals.  The Escrow Agent may perform any and all of its duties through  its agents, representatives, attorneys, custodians, and/or nominees. The Escrow Agent shall not  be responsible for the conduct of agents or attorneys appointed by it with due care. Section 2.3. Reliance.  The Escrow Agent shall not be liable for any action taken or not taken  by it in accordance with the direction or consent of the Parties or their respective agents,  representatives, successors, or assigns.  The Escrow Agent shall not be liable for acting or  refraining from acting upon any notice, request, consent, direction, requisition, certificate, order,  affidavit, letter, or other paper or document reasonably believed by it to be genuine and correct  and to have been signed or sent by the proper person or persons, without further inquiry into the  person’s or persons’ authority.  Concurrent with the execution of this Escrow Agreement, the  Parties shall deliver to the Escrow Agent Exhibit B-1 and Exhibit B-2, which contain authorized  signer designations in Part I thereof.  The Parties represent and warrant that each person signing  this Escrow Agreement is duly authorized and has legal capacity to execute and deliver this  Escrow Agreement, along with each exhibit, agreement, document, and instrument to be  executed and delivered by the Parties to this Escrow Agreement. Section 2.4. Right Not Duty Undertaken.  The permissive rights of the Escrow Agent to do  things enumerated in this Escrow Agreement shall not be construed as duties. Section 2.5. No Financial Obligation.  No provision of this Escrow Agreement shall require  the Escrow Agent to risk or advance its own funds or otherwise incur any financial liability or  potential financial liability in the performance of its duties or the exercise of its rights under this  Escrow Agreement. ARTICLE 3 PROVISIONS CONCERNING THE ESCROW AGENT Section 3.1. Indemnification.  Parent and Seller Representative (solely on behalf of Sellers and  79 

 

in his capacity as Seller Representative), jointly and severally, shall indemnify, defend and hold  harmless the Escrow Agent from and against any and all loss, liability, cost, damage and  expense, including, without limitation, reasonable and documented attorneys’ fees and expenses  or other professional fees and expenses which the Escrow Agent may suffer or incur by reason of  any action, claim or proceeding brought against the Escrow Agent, arising out of or relating in  any way to this Escrow Agreement or any transaction to which this Escrow Agreement relates,  unless such loss, liability, cost, damage or expense shall have been finally adjudicated to have  resulted from the willful misconduct or gross negligence of the Escrow Agent. The provisions of  this Section 3.1 shall survive the resignation or removal of the Escrow Agent and the termination  of this Escrow Agreement.  Notwithstanding anything to the contrary set forth herein, Parent, on  the one hand, and Seller Representative, on the other hand, agree, solely as between themselves,  and without limitation of the Escrow Agent’s rights under Section 1.5(c) and this Section 3.1,  that any obligation for indemnification under Section 1.5(c) and this Section 3.1 shall be borne  by the Party or Parties determined by a court of competent jurisdiction through a final order to be  responsible for causing the loss, liability, damage or expense for which the Escrow Agent is  entitled to indemnification; provided, however, that, if no such determination is made, then  Parent, on the one hand, and Seller Representative (on behalf of Sellers), on the other hand, shall  each be responsible for fifty percent (50%) of any such losses, liabilities, damages or expenses,  (it being agreed and understood that, in the event that either Parent, on the one hand, or Seller  Representative, on the other hand, is obligated to make any payment in excess of fifty percent  (50%) of any such losses, liabilities, damages or expenses, the paying Party shall be entitled to  reimbursement from the non-paying Party).  This Section 3.1 shall not require any payment with  respect to taxes other than taxes directly and solely resulting from any non-tax loss. Section 3.2. Limitation of Liability.  THE ESCROW AGENT SHALL NOT BE LIABLE,  DIRECTLY OR INDIRECTLY, FOR ANY (I) DAMAGES, LOSSES OR EXPENSES  ARISING OUT OF THE SERVICES PROVIDED HEREUNDER, OTHER THAN DAMAGES,  LOSSES OR EXPENSES WHICH HAVE BEEN FINALLY ADJUDICATED TO HAVE  RESULTED FROM THE ESCROW AGENT’S GROSS NEGLIGENCE OR WILLFUL  MISCONDUCT, OR (II) SPECIAL, INDIRECT, PUNITIVE, OR CONSEQUENTIAL  DAMAGES OR LOSSES OF ANY KIND WHATSOEVER (INCLUDING WITHOUT  LIMITATION LOST PROFITS), EVEN IF THE ESCROW AGENT HAS BEEN ADVISED  OF THE POSSIBILITY OF SUCH LOSSES OR DAMAGES AND REGARDLESS OF THE  FORM OF ACTION. Section 3.3. Resignation or Removal.  The Escrow Agent may resign by furnishing written  notice of its resignation to the Parties, and the Parties may remove the Escrow Agent by  furnishing to the Escrow Agent a joint written notice of its removal along with payment of all  fees and expenses to which the Escrow Agent is entitled through the date of removal.  Such  resignation or removal, as the case may be, shall be effective thirty (30) calendar days after the  delivery of such notice or upon the earlier appointment of a successor, and the Escrow Agent’s  sole responsibility thereafter shall be to safely keep the Escrow Property and to deliver the same  to a successor escrow agent as shall be appointed by the Parties, as evidenced by a joint written  notice filed with the Escrow Agent or in accordance with a court order.  If the Parties have failed  to appoint a successor escrow agent prior to the expiration of thirty (30) calendar days following  80 

 

the delivery of such notice of resignation or removal, the Escrow Agent may petition any court of  competent jurisdiction for the appointment of a successor escrow agent or for other appropriate  relief, and any such resulting appointment shall be binding upon the Parties. Section 3.4. Compensation.  The Escrow Agent shall be entitled to compensation for its  services as stated in the fee schedule attached hereto as Exhibit C, which compensation shall be  paid fifty percent (50%) by Parent and fifty percent (50%) by Seller Representative (solely on  behalf of Sellers, in accordance with their respective Pro Rata Shares (as defined in the Purchase  Agreement), and in his capacity as Seller Representative). The fee agreed upon for the services  rendered hereunder is intended as full compensation for the Escrow Agent's services as  contemplated by this Escrow Agreement; provided, however, that in the event that the conditions  for the disbursement of funds under this Escrow Agreement are not fulfilled, or the Escrow  Agent renders any service not contemplated in this Escrow Agreement, or there is any  assignment of interest in the subject matter of this Escrow Agreement, or any material  modification hereof, or if any material controversy arises hereunder, or the Escrow Agent is  made a party to any litigation pertaining to this Escrow Agreement or the subject matter hereof,  then the Escrow Agent shall be compensated for such extraordinary services and reimbursed for  all costs and expenses, including reasonable and documented attorneys’ fees and expenses,  occasioned by any such delay, controversy, litigation or event.  If any amount due to the Escrow  Agent hereunder is not paid within thirty (30) calendar days of the date due, the Escrow Agent in  its sole discretion may charge interest on such amount up to the highest rate permitted by  applicable law.   The Escrow Agent shall have, and is hereby granted, a prior lien upon the  Escrow Property with respect to its unpaid fees, non-reimbursed expenses and unsatisfied  indemnification rights, superior to the interests of any other persons or entities and is hereby  granted the right to set off and deduct any unpaid fees, non-reimbursed expenses and unsatisfied  indemnification rights from the Escrow Property. Section 3.5. Disagreements.  If any conflict, disagreement or dispute arises between, among,  or involving any of the parties hereto concerning the meaning or validity of any provision  hereunder or concerning any other matter relating to this Escrow Agreement, or the Escrow  Agent is, in good faith, in doubt as to the action to be taken hereunder, the Escrow Agent may, at  its option, retain the Escrow Property until the Escrow Agent (i) receives a final non-appealable  order of a court of competent jurisdiction or a final non-appealable arbitration decision directing  delivery of the Escrow Property, (ii) receives a written agreement executed by each of the parties  involved in such disagreement or dispute directing delivery of the Escrow Property, in which  event the Escrow Agent shall be authorized to disburse the Escrow Property in accordance with  such final court order, arbitration decision, or agreement, or (iii) files an interpleader action in  any court of competent jurisdiction, and upon the filing thereof, the Escrow Agent shall be  relieved of all liability as to the Escrow Property and shall be entitled to recover reasonable and  documented attorneys’ fees, expenses and other costs incurred in commencing and maintaining  any such interpleader action.  Any such court order or arbitration decision shall be accompanied  by a written instrument of the presenting Party certifying that such court order or arbitration  decision is final, non-appealable and from a court of competent jurisdiction or from a competent  arbitration panel, upon which instrument the Escrow Agent shall be entitled to conclusively rely  81 

 

without further investigation. The Escrow Agent shall be entitled to act on any such agreement,  court order, or arbitration decision without further question, inquiry, or consent. Section 3.6. Merger or Consolidation.  Any corporation or association into which the Escrow  Agent may be converted or merged, or with which it may be consolidated, or to which it may sell  or transfer all or substantially all of its corporate trust business and assets as a whole or  substantially as a whole, or any corporation or association resulting from any such conversion,  sale, merger, consolidation or transfer to which the Escrow Agent is a party, shall be and become  the successor escrow agent under this Escrow Agreement and shall have and succeed to the  rights, powers, duties, immunities and privileges as its predecessor, without the execution or  filing of any instrument or paper or the performance of any further act. Section 3.7. Attachment of Escrow Property; Compliance with Legal Orders.  In the event that  any Escrow Property shall be attached, garnished or levied upon by any court order, or the  delivery thereof shall be stayed or enjoined by an order of a court, or any order, judgment or  decree shall be made or entered by any court order affecting the Escrow Property, the Escrow  Agent is hereby expressly authorized, in its sole discretion, to respond as it deems appropriate or  to comply with all writs, orders or decrees so entered or issued, or which it is advised by legal  counsel of its own choosing is binding upon it, whether with or without jurisdiction.  In the event  that the Escrow Agent obeys or complies with any such writ, order or decree it shall not be liable  to any of the Parties or to any other person, firm or corporation, should, by reason of such  compliance notwithstanding, such writ, order or decree be subsequently reversed, modified,  annulled, set aside or vacated.  The Escrow Agent shall further have no obligation to pursue any  action that is not in accordance with applicable law. Section 3.8 Force Majeure.  The Escrow Agent shall not be responsible or liable for any  failure or delay in the performance of its obligation under this Escrow Agreement arising out of  or caused, directly or indirectly, by circumstances beyond its reasonable control, including,  without limitation, acts of God; earthquakes; fire; flood; wars; acts of terrorism; civil or military  disturbances; sabotage; epidemic; riots; interruptions, loss or malfunctions of utilities, computer  (hardware or software) or communications services; accidents; labor disputes; acts of civil or  military authority or governmental action; it being understood that the Escrow Agent shall use  commercially reasonable efforts which are consistent with accepted practices in the banking  industry to resume performance as soon as reasonably practicable under the circumstances. ARTICLE 4 MISCELLANEOUS Section 4.1. Binding Agreement; Successors and Assigns.  The Parties and Escrow Agent  represent and warrant that the execution and delivery of this Escrow Agreement and the  performance of such party’s obligations hereunder have been duly authorized and that the  Escrow Agreement is a valid and legal agreement binding on such party and enforceable in  accordance with its terms. This Escrow Agreement shall be binding on and inure to the benefit of  the Parties and the Escrow Agent and their respective successors and permitted assigns. No other  persons shall have any rights under this Escrow Agreement.  No assignment of the interest of any  82 

 

of the Parties shall be binding unless and until written notice of such assignment shall be  delivered to the other Party and the Escrow Agent and shall require the prior written consent of  the other Party and the Escrow Agent (such consent not to be unreasonably withheld). Section 4.2. Escheat.  The Parties are aware that under applicable state law, property which is  presumed abandoned may under certain circumstances escheat to the applicable state.  The  Escrow Agent shall have no liability to the Parties, their respective heirs, legal representatives,  successors and assigns, or any other party, should any or all of the Escrow Property escheat by  operation of law. Section 4.3. Notices.  All notices, requests, demands, and other communications required  under this Escrow Agreement shall be in writing, in English, and shall be deemed to have been  duly given if delivered (i) personally, (ii) by facsimile transmission with written confirmation of  receipt, (iii) on the day of transmission if sent by electronic mail (“e-mail”, as long as such e- mail is accompanied by a PDF signature or similar version of the relevant document bearing an  authorized signature, which such signature shall, in the case of each of the parties, be a signature  set forth in Exhibit B-1 or B-2, as applicable) to the e-mail address given below, and written  confirmation of receipt is obtained promptly after completion of transmission, (iv) on the  Business Day following dispatch if sent by overnight delivery with a reputable national overnight  delivery service, or (v) five (5) Business Days after the date deposit in the United States mail if  by mail or by certified mail, return receipt requested, and postage prepaid. For the purpose of this  Escrow Agreement, “Business Day” shall mean any day other than a Saturday, a Sunday, a  federal or state holiday, and any other day on which the Escrow Agent is required or permitted  by law to be closed. If notice is given to a party, it shall be given at the address for such party set  forth below.  It shall be the responsibility of the Parties to notify the Escrow Agent and the other  Party in writing of any name or address changes.   If to Parent: Digital Media Solutions, Inc. 4800 140th Avenue N., Suite 101  Clearwater, FL 33762 Email: legal@dmsgroup.com Attention:  Anthony Saldana with a copy (which shall not constitute notice) to: Skadden, Arps, Slate, Meagher & Flom LLP 1440 New York Avenue, N.W. Washington, DC 20005 Email:  katherine.ashley@skadden.com Attention:  Katherine D. Ashley If to Seller Representative:   Justin Ferreira 83 

 

110 E. Broward Boulevard, Suite 1600 Fort Lauderdale, FL 33301 Email: jferreira@cirsp-results.com with a copy (which shall not constitute notice) to:   Quarles & Brady LLP   411 E. Wisconsin Avenue, Suite 2400   Milwaukee, WI 53202 Email:  walter.skipper@quarles.com Attention:  Walter J. Skipper If to the Escrow Agent: Wells Fargo Bank, National Association CTSO Mail Operations Attention: Patrick St. Fleur, Corporate Trust Services  600 South 4th Street 7th Floor Minneapolis, MN 55415 MAC: N9300-070 Telephone: (404) 214-6338 Facsimile: (866) 486-4389                         E-mail: patrick.stfleur@wellsfargo.com Section 4.4. Governing Law.  This Escrow Agreement shall be governed by and construed in  accordance with the laws of the State of Delaware. Section 4.5. Entire Agreement.  This Escrow Agreement and the exhibits hereto set forth the  entire agreement and understanding of the parties related to the Escrow Property. Section 4.6. Amendment.  This Escrow Agreement may be amended, modified, superseded,  rescinded, or canceled only by a written instrument executed by the Parties and the Escrow  Agent. Section 4.7. Waivers.  The failure of any party to this Escrow Agreement at any time or times  to require performance of any provision under this Escrow Agreement shall in no manner affect  the right at a later time to enforce the same performance.  A waiver by any party to this Escrow  Agreement of any such condition or breach of any term, covenant, representation, or warranty  contained in this Escrow Agreement, in any one or more instances, shall neither be construed as  a further or continuing waiver of any such condition or breach nor a waiver of any other  condition or breach of any other term, covenant, representation, or warranty contained in this  Escrow Agreement. 84 

 

Section 4.8. Headings.  Section headings of this Escrow Agreement have been inserted for  convenience of reference only and shall in no way restrict or otherwise modify any of the terms  or provisions of this Escrow Agreement.  Section 4.9. Counterparts.  This Escrow Agreement may be executed in one or more  counterparts, each of which when executed shall be deemed to be an original, and such  counterparts shall together constitute one and the same instrument. The exchange of copies of  this Escrow Agreement and of signature pages by facsimile or by electronic image scan  transmission in .pdf format shall constitute effective execution and delivery of this Escrow  Agreement as to the Parties and the Escrow Agent and may be used in lieu of the original Escrow  Agreement for all purposes.  This Escrow Agreement shall be valid, binding, and enforceable  against a party when executed and delivered by an authorized individual on behalf of the party  by means of (i) an original manual signature; (ii) a faxed, scanned, or photocopied manual  signature, or (iii) any other electronic signature permitted by the federal Electronic Signatures in  Global and National Commerce Act, state enactments of the Uniform Electronic Transactions  Act, and/or any other relevant electronic signatures law, including any relevant provisions of the  Uniform Commercial Code (collectively, “Signature Law”), in each case to the extent applicable.  Each faxed, scanned, or photocopied manual signature, or other electronic signature, shall for all  purposes have the same validity, legal effect, and admissibility in evidence as an original manual  signature. Each party hereto shall be entitled to conclusively rely upon, and shall have no liability  with respect to, any faxed, scanned, or photocopied manual signature, or other electronic  signature, of any other party and shall have no duty to investigate, confirm or otherwise verify  the validity or authenticity thereof. Notwithstanding the foregoing, with respect to any notice  provided for in this Escrow Agreement or any instrument required or permitted to be delivered  hereunder, any party hereto receiving or relying upon such notice or instrument shall be entitled  to request execution thereof by original manual signature as a condition to the effectiveness  thereof. Section 4.10. Trial by Jury. Each of the parties hereto hereby irrevocably waives all right to trial  by jury to the extent permitted by law in any litigation, action, proceeding in any court arising  out of, relating to or in connection with this Escrow Agreement. Section 4.11.  Publication; Disclosure.  By executing this Escrow Agreement, the Parties and the  Escrow Agent acknowledge that this Escrow Agreement (including related attachments) contains  certain information that is sensitive and confidential in nature and agree that such information  needs to be protected from improper disclosure, including the publication or dissemination of  this Escrow Agreement and related information to individuals or entities not a party to this  Escrow Agreement.  The Parties further agree to take reasonable measures to mitigate any risks  associated with the publication or disclosure of this Escrow Agreement and information  contained therein, including, without limitation, the redaction of the manual signatures of the  signatories to this Escrow Agreement, or, in the alternative, publishing a conformed copy of this  Escrow Agreement.  If a Party must disclose or publish this Escrow Agreement or information  contained therein pursuant to any regulatory, statutory, or governmental requirement, as well as  any judicial, or administrative order, subpoena or discovery request, it shall notify in writing the  other Party and the Escrow Agent at the time of execution of this Escrow Agreement of the legal  85 

 

requirement to do so.  If any Party becomes aware of any threatened or actual unauthorized  disclosure, publication or use of this Escrow Agreement, that Party shall promptly notify in  writing the other Party and the Escrow Agent and shall be liable for any unauthorized release or  disclosure. [The remainder of this page left intentionally blank.] 86 

 

IN WITNESS WHEREOF, this Escrow Agreement has been duly executed as of  the date first written above.  DIGITAL MEDIA SOLUTIONS, INC., as  Parent By:  _________________________       Name: _________________________        Title: _________________________       SELLER REPRESENTATIVE _________________________□ ______      Name: Justin Ferreira        WELLS FARGO BANK, NATIONAL  ASSOCIATION, as Escrow Agent By:  _________________________       Name: _________________________        Title: _________________________ 

 

EXHIBIT A Agency and Custody Account Direction  For Cash Balances Direction to use money market funds for cash balances for the following account(s) and  all subaccounts thereof: Account name(s): Digital Media Solutions Hldgs, Inc./J. Ferreira Ind. Esc.,  Digital Media Solutions Hldgs, Inc./J. Ferreira Adj. Esc. Account number(s): 92291600, 92291601 Wells Fargo Bank, N.A. or its affiliates, as applicable (Wells Fargo), is hereby directed,  or as I shall direct further from time to time in writing, to invest all cash held in the above  referenced account(s) in one of the money market funds (the fund) on the following page  (please check one) or another permitted investment of my choice. I acknowledge that I have received and reviewed the fund's prospectus and have  determined that the fund is an appropriate investment for the account(s).  I understand that you will not exclude amounts invested in the fund from assets in the  account(s) that are subject to fees under any agreement between us. I understand that fund shares are not deposits or other obligations of, or guaranteed by,  Wells Fargo Bank, N.A., its affiliates or any other depository institution. Fund shares are  not insured or guaranteed by the U.S. Government, the Federal Deposit Insurance  Corporation or any other government agency and may lose value. I acknowledge that I have full power and authority to direct investments of the account(s)  listed above.  I understand that I may change this direction at any time and that it shall continue in  effect until revoked or modified by me by written notice to you. I also understand that if I  choose to communicate this investment direction solely via facsimile or email, then the  investment direction will be understood to be enforceable and binding. 

 

Selection Fund Name Fund Number FORMCHECK BOX Wells Fargo Government MMF 743 FORMCHECK BOX Wells Fargo Treasury Plus MMF 454 FORMCHECK BOX Wells Fargo 100% Treasury MMF 008 FORMCHECK BOX Dreyfus Treasury Obligations Cash  MMF 673 FORMCHECK BOX Dreyfus Treasury Securities Cash  MMF 674 (100% Treasury) FORMCHECK BOX Federated U.S. Treasury Cash  Reserve MMF 632 (100% Treasury) *(Funds above are service class or investor class) Fund shares are not deposits or other obligations of, or guaranteed by. Wells Fargo  Bank, N.A., its affiliates or any other depository institution. Fund shares are not  insured or guaranteed by the U.S. Government, the Federal Deposit Insurance  Corporation or any other government agency and may lose value. I understand from reading the Wells Fargo Advantage Funds prospectus that Wells Fargo  Funds Management, LLC, a wholly-owned subsidiary of Wells Fargo & Company,  provides investment advisory and other administrative services for the Wells Fargo funds  (the funds).  Other affiliates of Wells Fargo & Company may provide subadvisory and  other services for the funds.  The funds are distributed by Wells Fargo Funds Distributor,  LLC, member FINRA or SIPC, an affiliate of Wells Fargo & Company.  I also  understand that these and other affiliates of Wells Fargo & Company may be  

 

compensated for services provided to the funds as described in the prospectus for the  funds.  

 

EXHIBIT B-1 Parent certifies that the names, titles, telephone numbers, e-mail addresses and specimen  signatures set forth in Parts I and II of this Exhibit B-1 identify the persons authorized to provide  direction and initiate or confirm transactions, including funds transfer instructions, on behalf of  Parent, and that the option checked in Part III of this Exhibit B-1 is the security procedure  selected by Parent for use in verifying that a funds transfer instruction received by the Escrow  Agent is that of Parent.   Parent has reviewed each of the security procedures and has determined that the option checked  in Part III of this Exhibit B-1 best meets its requirements; given the size, type and frequency of  the instructions it will issue to the Escrow Agent.  By selecting the security procedure specified in  Part III of this Exhibit B-1, Parent acknowledges that it has elected to not use the other security  procedures described and agrees to be bound by any funds transfer instruction, whether or not  authorized, issued in its name and accepted by the Escrow Agent in compliance with the  particular security procedure chosen by Parent.   NOTICE:  The security procedure selected by Parent will not be used to detect errors in the funds  transfer instructions given by Parent.  If a funds transfer instruction describes the beneficiary of  the payment inconsistently by name and account number, payment may be made on the basis of  the account number even if it identifies a person different from the named beneficiary.  If a funds  transfer instruction describes a participating financial institution inconsistently by name and  identification number, the identification number may be relied upon as the proper identification of  the financial institution.  Therefore, it is important that Parent take such steps as it deems prudent  to ensure that there are no such inconsistencies in the funds transfer instructions it sends to the  Escrow Agent. Part I Name, Title, Telephone Number, Electronic Mail (“e-mail”) Address and Specimen  Signature for person(s) designated to provide direction, including but not limited to funds  transfer instructions, and to otherwise act on behalf of Parent Name Title Telephone Number E-mail Address Specimen Signature Joseph Marinucci CEO 727-287-0427             jmarinucci@thedmsgroup.com  ____________________ Tony Saldana EVP of Compliance and GC  202-674-7679  tsaldana@thedmsgroup.com  ____________________ Part II Name, Title, Telephone Number and E-mail Address for person(s) designated to confirm funds transfer instructions Name Title Telephone Number  E-mail Address Joseph Marinucci CEO                                       727-287-0427                         jmarinucci@thedmsgroup.com Tony Saldana EVP of Compliance and GC 202-674-7679           tsaldana@thedmsgroup.com 

 

Part III Means for delivery of instructions and/or confirmations  The security procedure to be used with respect to funds transfer instructions is checked below: x Option 1.  Confirmation by telephone call-back.  The Escrow Agent shall confirm funds  transfer instructions by telephone call-back to a person at the telephone number  designated on Part II above.  The person confirming the funds transfer instruction shall be  a person other than the person from whom the funds transfer instruction was received,  unless only one person is designated in both Parts I and II of this Exhibit B-1. x CHECK box, if applicable:  If the Escrow Agent is unable to obtain confirmation by telephone call-back, the  Escrow Agent may, at its discretion, confirm by e-mail, as described in Option 2.    ☐ Option 2.  Confirmation by e-mail.  The Escrow Agent shall confirm funds transfer  instructions by e-mail to a person at the e-mail address specified for such person in Part II  of this Exhibit B-1.  The person confirming the funds transfer instruction shall be a  person other than the person from whom the funds transfer instruction was received,  unless only one person is designated in both Parts I and II of this Exhibit B-1.  Parent  understands the risks associated with communicating sensitive matters, including time  sensitive matters, by e-mail.  Parent further acknowledges that instructions and data sent  by e-mail may be less confidential or secure than instructions or data transmitted by other  methods. The Escrow Agent shall not be liable for any loss of the confidentiality of  instructions and data prior to receipt by the Escrow Agent.   ☐ CHECK box, if applicable: If the Escrow Agent is unable to obtain confirmation by e-mail, the Escrow Agent  may, at its discretion, confirm by telephone call-back, as described in Option 1. ☐   *Option 3. Delivery of funds transfer instructions by password protected file transfer  system only - no confirmation.  The Escrow Agent offers the option to deliver funds  transfer instructions through a password protected file transfer system. If Parent wishes to  use the password protected file transfer system, further instructions will be provided by  the Escrow Agent.  If Parent chooses this Option 3, it agrees that no further confirmation  of funds transfer instructions will be performed by the Escrow Agent.  ☐ *Option 4.  Delivery of funds transfer instructions by password protected file transfer  system with confirmation.  Same as Option 3 above, but the Escrow Agent shall confirm  funds transfer instructions by  ☐ telephone call-back or ☐ e-mail (must check at least  one, may check both) to a person at the telephone number or e-mail address designated  on Part II above.  By checking a box in the prior sentence, the party shall be deemed to  have agreed to the terms of such confirmation option as more fully described in Option 1  and Option 2 above. *The password protected file system has a password that expires every 60 days. If you anticipate having infrequent activity on this  account, please consult with your Escrow Agent before selecting this option. Dated this ____ day of ___________, 2021. By ________________________________________ Name: Joseph Marinucci 

 

Title:  CEO 

 

EXHIBIT B-2 Justin Ferreira, in his capacity as Seller Representative, certifies that the names, titles, telephone  numbers, e-mail addresses and specimen signatures set forth in Parts I and II of this Exhibit B-2  identify the persons authorized to provide direction and initiate or confirm transactions, including  funds transfer instructions, on behalf of Seller Representative, and that the option checked in Part  III of this Exhibit B-2 is the security procedure selected by Seller Representative for use in  verifying that a funds transfer instruction received by the Escrow Agent is that of Seller  Representative.   Seller Representative has reviewed each of the security procedures and has determined that the  option checked in Part III of this Exhibit B-2 best meets its requirements; given the size, type and  frequency of the instructions it will issue to the Escrow Agent.  By selecting the security  procedure specified in Part III of this Exhibit B-2, Seller Representative acknowledges that it has  elected to not use the other security procedures described and agrees to be bound by any funds  transfer instruction, whether or not authorized, issued in its name and accepted by the Escrow  Agent in compliance with the particular security procedure chosen by Seller Representative.   NOTICE:  The security procedure selected by Seller Representative will not be used to detect  errors in the funds transfer instructions given by Seller Representative.  If a funds transfer  instruction describes the beneficiary of the payment inconsistently by name and account number,  payment may be made on the basis of the account number even if it identifies a person different  from the named beneficiary.  If a funds transfer instruction describes a participating financial  institution inconsistently by name and identification number, the identification number may be  relied upon as the proper identification of the financial institution.  Therefore, it is important that  Seller Representative take such steps as it deems prudent to ensure that there are no such  inconsistencies in the funds transfer instructions it sends to the Escrow Agent. Part I Name, Title, Telephone Number, Electronic Mail (“e-mail”) Address and Specimen  Signature for person(s) designated to provide direction, including but not limited to funds  transfer instructions, and to otherwise act on behalf of Seller Representative Name Title Telephone Number E-mail Address Specimen Signature Justin Ferreira Manager (561) 504-0289 jferreira@crisp-results.com ______________________   ______________________ Chris Henry Manager (954) 537-3380 chenry@crisp-results.com  ______________________ Part II Name, Title, Telephone Number and E-mail Address for person(s) designated to confirm funds transfer instructions Name Title Telephone Number  E-mail Address Justin Ferreira Manager (561) 504-0289  jferreira@crisp-results.com Chris Henry Manager (954) 537-3380  chenry@crisp-results.com 

 

 

 

Part III Means for delivery of instructions and/or confirmations  The security procedure to be used with respect to funds transfer instructions is checked below: ☐ Option 1.  Confirmation by telephone call-back.  The Escrow Agent shall confirm funds  transfer instructions by telephone call-back to a person at the telephone number  designated on Part II above.  The person confirming the funds transfer instruction shall be  a person other than the person from whom the funds transfer instruction was received,  unless only one person is designated in both Parts I and II of this Exhibit B-2. ☐ CHECK box, if applicable:  If the Escrow Agent is unable to obtain confirmation by telephone call-back, the  Escrow Agent may, at its discretion, confirm by e-mail, as described in Option 2.    ☐ Option 2.  Confirmation by e-mail.  The Escrow Agent shall confirm funds transfer  instructions by e-mail to a person at the e-mail address specified for such person in Part II  of this Exhibit B-2.  The person confirming the funds transfer instruction shall be a  person other than the person from whom the funds transfer instruction was received,  unless only one person is designated in both Parts I and II of this Exhibit B-2.  Seller  Representative understands the risks associated with communicating sensitive matters,  including time sensitive matters, by e-mail.  Seller Representative further acknowledges  that instructions and data sent by e-mail may be less confidential or secure than  instructions or data transmitted by other methods. The Escrow Agent shall not be liable  for any loss of the confidentiality of instructions and data prior to receipt by the Escrow  Agent.   ☐ CHECK box, if applicable: If the Escrow Agent is unable to obtain confirmation by e-mail, the Escrow Agent  may, at its discretion, confirm by telephone call-back, as described in Option 1. ☐   *Option 3. Delivery of funds transfer instructions by password protected file transfer  system only - no confirmation.  The Escrow Agent offers the option to deliver funds  transfer instructions through a password protected file transfer system. If Seller  Representative wishes to use the password protected file transfer system, further  instructions will be provided by the Escrow Agent.  If Seller Representative chooses this  Option 3, it agrees that no further confirmation of funds transfer instructions will be  performed by the Escrow Agent.  ☐ *Option 4.  Delivery of funds transfer instructions by password protected file transfer  system with confirmation.  Same as Option 3 above, but the Escrow Agent shall confirm  funds transfer instructions by  ☐ telephone call-back or ☐ e-mail (must check at least  one, may check both) to a person at the telephone number or e-mail address designated  on Part II above.  By checking a box in the prior sentence, the party shall be deemed to  have agreed to the terms of such confirmation option as more fully described in Option 1  and Option 2 above. *The password protected file system has a password that expires every 60 days. If you anticipate having infrequent activity on this  account, please consult with your Escrow Agent before selecting this option. Dated this ____ day of ___________, 2021. By ________________________________________ Name: 

 

Title: 

 

EXHIBIT C FEES OF ESCROW AGENT To provide escrow agent services Digital Media Solutions, Inc. / Justin Ferreira M&A Escrow Account Approximate size: $300,000 Acceptance Fee Waived A one-time fee for our initial review of governing documents, account set-up, and customary duties and  responsibilities related to the closing. This fee is payable at closing. Annual Administration Fee $5,000 An annual fee for customary administrative services provided by the escrow, including daily routine account  management, cash management transactions processing (including wire and check processing), disbursement  of funds in accordance with the agreement, tax reporting for one entity, and providing account statements to   the parties. The administration fee is payable annually in advance per escrow account established. The first  installment of the administrative fee is payable at closing. Out-of-Pocket Expenses At cost Out-of-pocket expenses will be billed at cost at the sole discretion of Wells Fargo. Extraordinary Services Standard rate The charges for performing services not contemplated at the time of execution of the governing documents  or not specifically covered elsewhere in this schedule will be at Wells Fargo’s rates for such services in  effect at the time the expense is incurred. The review of complex tax forms, including by way of example but  not limited to, IRS Form W-8IMY, shall be considered extraordinary services. Assumptions This proposal is based upon the following assumptions with respect to the role of escrow agent. • Number of escrow accounts to be established: 1 • Amount of escrow account: $300,000  • Term of escrow account: 18 months • Number of tax reporting parties: 1 • Number of parties to the transaction: 3 • Number of cash transactions (deposits or disbursements): 2 deposits / 5 disbursements 1 

 

• Fees quoted assume all transaction account balances will be held invested in money market  mutual funds currently available on Wells Fargo’s sweep platform. • Disbursements shall be made only to the parties specified in the agreement. Any payments to  other parties are at the sole discretion and subject to the requirements of Wells Fargo and shall  be considered extraordinary services. • Wells Fargo reserves the right in its sole discretion to impose a deposit sweep fee on the  average balance in the account(s) over the preceding month. This balance will be calculated on  interest bearing deposits and non-interest bearing deposits held with Wells Fargo Bank, N.A.  subject to contractual arrangements. Terms and Conditions • The recipient acknowledges and agrees that this proposal does not commit or bind Wells Fargo  to enter into a contract or any other business arrangement, and that acceptance of the  appointment described in this proposal is expressly conditioned on all the following: • Compliance with the requirements of the USA Patriot Act of 2001, described below • Satisfactory completion of Wells Fargo’s internal account acceptance procedures • Wells Fargo’s review of all applicable governing documents and its confirmation that all  terms and conditions pertaining to its role are satisfactory to it  • Execution of the governing documents by all applicable parties. • Should this transaction fail to close or if Wells Fargo determines not to participate in the  transaction, any acceptance fee and any legal fees and expenses shall be due and payable. • Legal counsel fees and expenses, any acceptance fee and any first year annual administrative  fee are payable at closing.   • Any annual fee covers a full year or any part thereof and will not be prorated or refunded in a  year of early termination. • Should any of the assumptions, duties or responsibilities of Wells Fargo change, Wells Fargo  reserves the right to affirm, modify, or rescind this proposal. • The fees described in this proposal are subject to periodic review and adjustment by Wells  Fargo.  • Invoices outstanding for over 30 days are subject to a 1.5% per month late payment penalty. • This fee proposal is good for 90 days. Important Information about Identifying Our Customer  To help the government fight the funding of terrorism and money laundering activities, federal law  requires all financial institutions to obtain, verify, and record information that identifies each person  (individual, corporation, partnership, trust, estate, or other entity recognized as a legal person) for  whom we open an account. What this means for you: Before we open an account, Wells Fargo asks for your name, address, date of  birth (for individuals), TIN or EIN or other information that allows for identification of you or your  company. For individuals, this could mean providing a Social Security number. For a corporation,  partnership, trust, estate, or other entity recognized as a legal person, this could mean identifying  documents such as a Certificate of Formation from the issuing state agency.  2 

 

Statement of Confidentiality All of the information contained in or related to this fee proposal is confidential and proprietary to  Wells Fargo (the “Confidential Information”). The recipient(s) of any Confidential Information  acknowledges and agrees that such information shall be held in strict confidence and shall not be  disclosed, duplicated, or used, in whole or in part, for any purpose other than the evaluation of Wells  Fargo’s qualifications for the applicable role(s) described without the prior written consent of Wells  Fargo. Date: March 15, 2021 3 

 

Exhibit B FORM EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (the “Agreement”) is made effective as of the  1st day of April, 2021 (the “Effective Date”) by and between Digital Media Solutions, LLC, a  Delaware limited liability company (the “Company”) and [•], an individual (the “Employee”). RECITALS: A. WHEREAS, the Company has entered into that certain Purchase Agreement, dated as of  the date hereof (the “Purchase Agreement”), pursuant to which the Company’s  subsidiary Edge Marketing, LLC (“Buyer”) acquired  certain assets of Crisp Marketing,  LLC (d/b/a Crisp Results) and its wholly owned subsidiary, Union Health, LLC (d/b/a  Crisp Connections) (each, a “Seller” and, collectively, the “Sellers”) (the “Acquisition”);  and B. WHEREAS, in connection with the Acquisition and as a material inducement for the  Buyer to enter into it (without such inducement the Buyer would not do so), the  Employee has agreed to enter to this Agreement, which provides, among other things,  certain restrictive covenants for the protection of the Company and its Affiliates.     AGREEMENT: NOW THEREFORE, in consideration of the foregoing and of the representations,  warranties, covenants, conditions, agreements and promises contained in this Agreement, and for  other good and valuable consideration, the receipt and sufficiency of which are hereby  acknowledged by the Parties to this Agreement, the Parties agree as follows: ARTICLE 1-DEFINITIONS 1.1 Definitions. Throughout this Agreement, the following terms shall have the following  corresponding meanings: “AAA” has the meaning given to it in Section 6.2. “Acquisition” has the meaning given to it in Recital A. “Affiliate” means, with respect to any Person, any other Person which directly or indirectly  controls, is controlled by or is under common control with such Person. For purposes of the  immediately preceding sentence, the term “control” (including, with correlative meanings, the  terms “controlling,” “controlled by” and “under common control with”), as used with respect to  any Person, means the possession, directly or indirectly, of the power to direct or cause the  direction of the management and policies of such Person, whether through ownership of voting  securities, by contract or otherwise. 4 

 

“Agreement”, “this Agreement”, “the Agreement”, “hereof”, “herein”, “hereto”, “hereby”,  “hereunder” and similar expressions mean this employment agreement dated as of the Effective  Date between the Parties, and all instruments amending or restating this Agreement. All  references to “Articles”, and “Sections” mean and refer to the specified article and section of  this Agreement. “Base Salary” has the meaning given to it in Section 4.1. “Business” means the business of providing digital lead generation, digital customer acquisition  services and digital brand awareness solutions designed to reach, engage and acquire potential  customers for clients as conducted by or reasonably similar to that conducted by, as applicable,  the Buyer or the Company at any time within the three (3) years prior to the Termination Date  and (b) any business the Buyer or the Company has taken material steps to undertake within the  one (1) year prior to the Termination Date. “Business Day” means any day which is not a Saturday, a Sunday or a United States federal  holiday. “Cause” has the meaning given to it in Section 5.1(a). “COBRA” has the meaning given to it in Section 5.2. “Code” has the meaning given to it in Section 6.8. “Company” has the meaning given to it in the Preamble. “Confidential Information” has the meaning given to it in Section 3.2. “Disability” means any physical or mental disability that prevents the Employee from  performing the essential functions of the Employee’s job, even when the Company provides such  reasonable accommodations as it can without incurring undue hardship. “Effective Date” has the meaning given to it the Preamble. “Employee” has the meaning given to it in the Preamble. “Good Reason” has the meaning given to it in Section 5.2(a). “Indemnified Company Obligation” has the meaning given to it in Section 6.7. “Indemnified Executive Party” has the meaning given to it in Section 6.7. 5 

 

"Initial Term" has the meaning given to it in Section 2.1(a). “Intellectual Property” has the meaning given to it in Section 3.6. “Losses” has the meaning given to it in Section 6.7. “Mandatory Payments” has the meaning given to it in Section 5.1(b). “Notice” has the meaning given to it in Section 6.1. “Parties” means, collectively, the Company and the Employee, and “Party” means any of them. “Person” means any individual or Entity. “Purchase Agreement” has the meaning given to it in Recital A. “Restricted Period” means the period commencing on the Effective Date and ending twelve  (12) months after the Termination Date. “Rules” has the meaning given to it in Section 6.2. “Seller” has the meaning given to it in Recital A. “Severance Payment Period” has the meaning given to it in Section 5.2. “Short Term Deferral Period” has the meaning given to it in Section 6.8. “Term” has the meaning given to it in Section 2.1(b).  “Termination Date” has the meaning given to it in Section 2.1(b).  “U.S.A.” means the United States of America. “Works” has the meaning given to it in Section 3.6. 1.2 Certain Rules of Interpretation. In this Agreement: (a) Time – Time is of the essence in and of this Agreement. (b) Calculation of Time – Unless otherwise specified, time periods within or  following which any payment is to be made or act is to be done shall be calculated  by excluding the day on which the period commences and including the day on  which the period ends. Where the last day of any such time period is not a  Business Day, such time period shall be extended to the next Business Day  following the day on which it would otherwise end. 6 

 

(c) Business Days – Whenever any action to be taken or payment to be made  pursuant to this Agreement would otherwise be required to be made on a day that  is not a Business Day, such action shall be taken or such payment shall be made  on the first Business Day following such day. (d) Currency – Unless otherwise specified, all references to amounts of money in  this Agreement refer to the lawful currency of the United States. (e) Headings – The descriptive headings preceding Articles and Sections of this  Agreement are inserted solely for convenience of reference and are not intended  as complete or accurate descriptions of the content of such Articles or Sections.  The division of this Agreement into Articles and Sections shall not affect the  interpretation of this Agreement. (f) Including – Where the word “including” or “includes” is used in this  Agreement, it means “including without limitation” or “includes without  limitation”. (g) Plurals and Gender – The use of words in the singular or plural, or referring to a  particular gender, shall not limit the scope or exclude the application of any  provision of this Agreement to such persons or circumstances as the context  otherwise permits. (h) Statutory References – Any reference to a statute shall mean the statute in force  as at the date of this Agreement (together with all regulations promulgated  thereunder), as the same may be amended, re-enacted, consolidated or replaced  from time to time, and any successor statute thereto, unless otherwise expressly  provided. 1.3 Entire Agreement. This Agreement constitutes the entire agreement between the  Parties pertaining to the employment of the Employee by the Company and supersedes all prior  agreements, understandings, negotiations and discussions, whether oral, written or otherwise, of  the Parties regarding the Employee’s employment by the Company. There are no representations,  warranties, covenants or other agreements between the Parties in connection with the subject  matter of this Agreement except as specifically set forth in this Agreement. The Employee  acknowledges, represents and agrees that the Employee is not relying on any inducement,  representation, promise, or other statement not expressly set forth herein in entering into this  Agreement and accepting employment with the Company. ARTICLE 2-TERM, POSITION AND DUTIES 2.1 Term. 7 

 

(a) The employment of the Employee hereunder shall commence on the Effective  Date and shall continue for a period of one (1) year from the Effective Date,  unless sooner terminated in accordance with the terms of this Agreement, and  shall be automatically renewed for one (1) year terms, unless a Party gives written  notice sixty (60) days prior to the end of the initial or renewal term not to renew  the Agreement (the “Term”). (b) As used in this Agreement, “Termination Date” shall mean the date as of which  Employee’s employment hereunder is terminated for any reason, and “Term”  means the period between the Effective Date and the Termination Date. 2.2 Position. The Employee shall serve as the [TITLE and DEPARTMENT] of the  Company. 2.3 Duties. The Employee shall perform such duties as are regularly and customarily  performed by an [TITLE] of a company. The Employee shall initially report to [REPORTING  MANAGER]. The Employee acknowledges that the Company reserves the right to change  reporting relationships at any time. ARTICLE 3- THE EMPLOYEE’S OBLIGATIONS 3.1 Full Time and Effort. Throughout the Term of his employment hereunder, the  Employee shall devote his full time, effort, and attention to the affairs of the Company. Except as  set forth in Schedule 3.1, the Employee shall not, without the prior approval of the Board, accept  any other employment or serve as a director, consultant or partner of any business or profit  making enterprise or entity other than the Company if such other activity will adversely affect  the conduct of the Employee’s duties and responsibilities of employment as set forth in this  Agreement. Notwithstanding anything to the contrary herein or in the Purchase Agreement, the  Employee’s participation in or conduct of the activities set forth on Schedule 3.1 shall be deemed  not to violate the covenants set forth in this Agreement or in the Purchase Agreement. For the  avoidance of doubt, the Employee shall be free to manage his/her own business interests that are  not competitive with the Business (e.g. personal real estate holdings) and to serve as a director or  consultant, including by providing referrals or introductions, so long as such services are not  competitive with the Business and do not detract from the Employee’s duties to the Company,  whether or not such activities are listed on Schedule 3.1. 3.2 Non-Competition. (a) Employee acknowledges and agrees that: (i) by virtue of the Employee’s  employment with the Company, Employee will have significant access to, and  learn about, the Company’s Confidential Information (as defined below); (ii)  Employee further acknowledges and agrees that its Confidential Information and  goodwill are of vital competitive importance to the Company’s business and that  the Company has invested, and will continue to invest, substantial time, money  and specialized knowledge into developing and protecting its Confidential  Information and goodwill; (iii) the covenants and agreements contained in  8 

 

Sections 3.2, 3.3, 3.4, 3.5, 3.6 and 3.7 (collectively, the “Restrictive Covenants”)  are necessary, fundamental and required for the protection of the goodwill of the  Company or any of its affiliates to be acquired by the Company pursuant to the  Purchase Agreement; (iii) the Restrictive Covenants relate to matters that are of a  special, unique and extraordinary value; (iv) as a condition of the Company’s  willingness to enter into this Agreement, Employee is entering into this  Agreement and agreeing to the Restrictive Covenants; (v) this Agreement is being  executed in connection with the consummation of the transactions contemplated  by the Purchase Agreement; and (vi) this Agreement is intended to comply with  the laws of the State of Florida and all other jurisdictions that might be deemed to  be applicable hereto and which restrict or otherwise limit the enforceability of a  contract that restrains a person from engaging in a lawful profession, trade or  business. (b) During the Restricted Period, Employee shall not, and shall cause its Affiliates not  to, without the prior consent of the Company, directly or indirectly, (i) engage, or  assist any other Person in engaging, in the Business (including, without limitation,  undertaking any efforts towards incorporating, financing, commencing or  continuing any Business) in the U.S.A. or other jurisdictions in which the Sellers  engaged in the Business at any time within the then immediately preceding three  (3) years (the “Territory”), (ii) possess any interest in any Person that engages or  seeks to engage, directly or indirectly, in the Business in the Territory in any  capacity (including as a partner, shareholder or equityholder, member, employee,  principal, agent, trustee or consultant) other than the Company, or (iii)  intentionally interfere in any respect with any business relationships that existed  between the Buyer or the Company, on one hand, and any customers or suppliers  of the Buyer or the Company, on the other hand in the two (2) years prior to the  Termination Date; provided, however, that notwithstanding the foregoing,  Employee may own, directly or indirectly, solely as an investment, securities of  any Person traded on any national securities exchange if such Employee is not a  controlling Person of, or a member of a group which controls, such Person and  does not, directly or indirectly, own five percent (5%) or more of any class of  securities of such Person. 3.3 Non-Solicitation.  During his employment with the Company and during the  Restricted Period, the Employee shall not, and shall cause its Affiliates not to, without the prior  consent of the Company, directly or indirectly:   (a) solicit to employ, employ, or arrange or assist in the employment (as an  employee, consultant, independent contractor or otherwise) of, any employee of  the Buyer or the Company as of the Termination Date with whom the Employee  had material contact in the one (1) year prior to the Termination Date, otherwise  induce, encourage or attempt to persuade any such employee to leave such  employment or hire any such employee who has left such employment; provided  that, notwithstanding the above, the prohibitions in this Section shall not apply to  a general solicitation which is not directed specifically to such employees, even if  9 

 

it results in the hiring of the employee, or employees who are terminated by the  Buyer); or  (b) solicit or entice, attempt to solicit or entice, or assist or encourage any other  Person to solicit, any clients or customers of the Buyer or the Company either at  the Termination Date or in the one (1) year period prior to the Termination Date,  for purposes of diverting their business or services from the Buyer or the  Company or otherwise attempt to induce any clients or customers either at the  Termination Date or in the one (1) year period prior to the Termination Date to  cease or refrain from doing business with the Buyer or the Company. 3.4 Non-Disparagement.  The Employee shall not, and shall cause its Affiliates not to,  take any public action or publicly communicate, publish or make any statements, in each case  which would reasonably be expected to disparage or otherwise damage the reputation of the  Buyer or the Company.  During the Restricted Period, the Company and its  officers and  directors shall not take any public action or publicly communicate, publish or make any  statements, in each case which would reasonably be expected to disparage or otherwise damage  the reputation of the Employee.   3.5 Non-Disclosure of Confidential Information. The Employee acknowledges that  both  in connection with the Purchase Agreement and in the course of performing and fulfilling his  duties and obligations hereunder he will have access to, and will continue to be entrusted with,  confidential information concerning (a) the activities, business operations, financial condition,  markets, market opportunities, new and existing products, and customers and clients of the  Company, (b) similar information pertaining to the Company’s customers and contractors, and  (c) personal, financial, and other job-related information relating to the Company’s officers,  managers, directors, and employees (collectively, the “Confidential Information”). Information  shall cease to be Confidential Information once it is generally known to the public at large (other  than as a result of a breach of this Agreement by the Employee or by disclosure by any other  party which the Employee knows or has reason to know is under an obligation of confidentiality  to the Company). The Employee agrees not to disclose such Confidential Information at any  time, whether during or after the Restricted Period, except with the written consent of the  Company. Notwithstanding any other obligation to the contrary, pursuant to 18 USC Section  1833(b). Employee shall not be held criminally or civilly liable under any federal or state trade  secret law for the disclosure of a trade secret that is made: (1) in confidence to a federal, state, or  local government official, either directly or indirectly, or to an attorney, and solely for the  purpose of reporting or investigating a suspected violation of law; or (2) in a complaint or other  document filed in a lawsuit or other proceeding, if such filing is made under seal.   3.6 Permitted Disclosures.  Nothing in this Agreement or any other agreement by and between the Company and Employee  shall prohibit or restrict Employee from (i) voluntarily communicating with an attorney retained  by Employee, (ii) voluntarily communicating with any law enforcement, government agency,  including the Securities and Exchange Commission (“SEC”), the Equal Employment  Opportunity Commission, any state or a local commission on human rights, or any self- 10 

 

regulatory organization regarding possible violations of law, in each case without advance notice  to the Company, or otherwise initiating, testifying, assisting, complying with a subpoena from, or  participating in any manner with an investigation conducted by such government agency, (iii)  recovering a SEC whistleblower award as provided under Section 21F of the Securities  Exchange Act of 1934, (iv) disclosing any Confidential Information to a court or other  administrative or legislative body in response to a subpoena, provided that Employee first  promptly notify and provide the Company with the opportunity to seek, and join in its efforts at  the sole expense of the Company, to challenge the subpoena or obtain a protective order limiting  its disclosure, or other appropriate remedy, or (v) filing or disclosing any facts necessary to  receive unemployment insurance, Medicaid or other public benefits to which Employee are  entitled. 3.7 Inventions. The Employee agrees that all right, title and interest, of every kind or  nature whatsoever, in the United States and throughout the world, in (i) all Works created, made,  conceived or disclosed (to the Company) by the Employee (whether alone or in conjunction with  any other person) at any time during the Employee’s employment with the Company and all  material embodiments of the Works subject to such rights; and (ii) all inventions, ideas,  formulas, procedures, processes, concepts, discoveries, designs and improvements, whether the  proper subject matter for patent or not, created, made, conceived or disclosed (to the Company)  by the Employee (whether alone or in conjunction with any other person) at any time during the  Employee’s employment with the Company, shall be and remain the sole and exclusive property  of the Company without payment of any further consideration to the Employee or any other  person. The Employee does hereby assign to the Company all of the Employee’s right, title and  interest in and to all such Works, inventions, ideas, formulas, procedures, processes, concepts,  discoveries, designs and improvements, and any copyrights (for the full terms and extensions  thereof in every jurisdiction), patents, trademarks, trade secrets and similar rights which may  exist or be issued with respect thereto (collectively referred to as “Intellectual Property”). For  the purposes of this Section, “Work(s)” means all artwork, articles, blueprints, materials,  memoranda, reports, research, software, programs, promotions, compilations, designs, drawings,  layouts, models, patterns, and any other work, whether in audio, visual, literary or other form,  which may be the subject matter of a copyright under the United States Copyright Act created,  made, conceived, disclosed (to the Company)during the term of this Agreement by the Employee  for or on behalf of the Company or within the scope of the Employee’s duties to or work for the  Company, whether or not ever used by or submitted to the Company. For the purposes of United  States copyright law, each Work shall be deemed created by the Employee pursuant to the  Employee’s duties under this Agreement and within the scope of employment and shall be  deemed a “work made for hire.” In addition to its other rights, the Company shall have the  exclusive right to register with the United States Copyright Office, United States Patent and  Trademark Office and similar agencies worldwide the copyright in all such Works and  Intellectual Property in its name in accordance with the requirements of United States federal and  state copyright, patent and trademark laws, the Universal Copyright Convention, and any other  convention or treaty to which the United States is or may become a party. The Employee agrees  that the Employee shall not claim to have, any right, title or interest of any kind or nature  whatsoever in or to such Intellectual Property and that the Employee shall execute any and all  documents reasonably required by Company in order to evidence, secure, protect or perfect  Company’s ownership of such Intellectual Property. Notwithstanding the foregoing, the Parties  11 

 

agree that Employee owns and is not assigning any rights to the Employer in intellectual property  described on Schedule 3.7 hereto.  Further, this Section does not apply to any Intellectual  Property (a) for which no equipment, supplies, facilities, trade secret information, company  inventions or related intellectual property rights, confidential information or confidential records  of the Company is used, (b) which is developed entirely on the Employee’s own time, and (c)  which does not (1) reasonably relate to the business of the Company, (2) relate to the Company’s  actual or demonstrably anticipated research or development, or (3) result from any work  performed by the Employee for the Company (together with the Intellectual Property described  on Schedule 3.7, the “Excluded Intellectual Property”); provided, that in the event that the  Employee incorporates, deploys or otherwise uses any Excluded Intellectual Property in  connection with any Intellectual Property, the Employee shall and hereby does grant the  Company a non-exclusive, perpetual, irrevocable, worldwide, fully-paid up, royalty free, freely  sublicenseable and freely transferable license in, to and under such Excluded Intellectual  Property as incorporated in or otherwise reasonably required to freely use and exploit such  Intellectual Property in the conduct of its business.   3.8 Conflict of Interest. The Employee acknowledges receipt of the Company’s Code of  Conduct (included as Exhibit C), including the Company’s Conflict of Interest Policy, and agrees  to abide by its terms and conditions during the course of his employment. In furtherance and not  limitation of the foregoing, during the Term, the Employee will not participate in the ownership  of, have any financial involvement with, or work for or assist in any capacity, any other business,  organization, or association which gives rise to, or could be reasonably perceived as giving rise  to, a conflict of interest, given the Employee’s position with the Company. The Employee  acknowledges that if there is any doubt in this respect, the Employee will inform the Company  and obtain written authorization. For the purpose of clarity, the parties agree that nothing in this  Section shall apply to the Employee’s involvement in the businesses or properties identified in  Schedule 3.1 attached hereto.  Further, notwithstanding the above, a violation of the Code of  Conduct shall not be Cause for termination, unless the conduct constitutes Cause under Section  5.1(ii)-(vii). 3.9 Acknowledgement and Agreement. The Employee acknowledges that the Restrictive  Covenants contained in Sections 3.2, 3.3, 3.4, 3.5, 3.6 and 3.7 above have been considered by the  Employee and that the restraints and restrictions on his future activities are reasonable in the  circumstances. The Employee agrees that, in addition to any other remedies at law which the  Company may have (which other remedies the Employee acknowledges to be inadequate to  protect the Company’s legitimate interests), the Company shall be entitled to injunctive relief in  the event of a breach of Sections 3.2, 3.3, 3.4, 3.5, 3.6 and/or 3.7 above. 3.10 Scope of Application. The foregoing restrictions shall apply to any action taken by the  Employee, directly or indirectly, alone or in concert, in partnership or in conjunction with others,  whether as an agent, representative, principal, shareholder, employee, consultant, director or in  any other capacity. ARTICLE 4- COMPENSATION 12 

 

4.1 Annual Base Salary. During the Term, the Company shall pay to the Employee a base  salary of [•] United States Dollars ($[•]) on an annualized basis (the “Base Salary”). The Base  Salary shall accrue from and after the Effective Date and shall be payable during the Term in  equal periodic installments in accordance with Company’s standard payroll practices. If the  Employee’s base salary is increased after the date of this Agreement, “Base Salary” shall mean  such higher base salary regardless of whether this Agreement has been amended to reflect the  same.  The Employee's base salary may not be decreased except as set forth in Section 5.2(b)(i)  hereof. 4.2 Benefits. During the Term, the Employee shall have the right to receive or participate  in other employee benefits and benefit plans that the Company may institute from time to time in  equal scope to other employees or executives of the same title. The Company shall be under no  obligation to maintain any such benefits, which may be changed or eliminated in the Company’s  discretion at any time.  4.3 Bonus.  At the conclusion of the first year of employment, Employee will be eligible to earn an  annual cash bonus paid in accordance with regular bonus payment practices which, in any event,  will result in payment of the bonus no later than March 15th of the year following the year in  which it is earned. Management of the Company will determine, in good faith, whether the bonus  was earned, and the amount, if any, of any bonus payable to Employee. Except as otherwise  stated herein, in order to be eligible to receive any bonus, Employee must remain employed by  the Company through December 31 of the applicable bonus year.  4.4 Reimbursement of Expenses. The Employee shall be entitled to reimbursement of all  reasonable business expenses incurred in good faith upon presentation of appropriate invoices,  receipts and other requested documentation, subject in each case to compliance with the  Company’s applicable policies. 4.5 Vacation. The Employee shall be entitled to paid vacation pursuant to the then-current  Company Vacation/Paid Leave Policy, as set forth in Exhibit B.  4.6 Taxes. All payments under this Agreement shall be subject to withholding of such  amounts, if any, relating to tax or other payroll deductions as the Company may reasonably  determine and should withhold pursuant to any applicable law or regulation.  ARTICLE 5- TERMINATION 5.1 Termination for Cause. (a) The Company or, if applicable, any of its Affiliates, may terminate the  employment of the Employee at any time without notice or payment in lieu of  notice for “Cause,” which, for purposes of this Agreement shall mean: 13 

 

(i) The Employee’s breach of any material term or provision of this  Agreement (including the covenants in Article 3 hereof), provided that a  breach of the Code of Conduct shall not be Cause unless the conduct at  issue constitutes Cause under (ii)-(vii) of this Section; (ii) The Employee’s documented failure to substantially perform the  Employee’s duties under this Agreement; provided that the Employee was  provided notice of such failures, counseled as to how to correct or  remediate such failures, and has failed to correct or remediate such failure  within thirty (30) days; (iii) The Employee’s failure to reasonably cooperate with any lawful  investigation undertaken by the Company; (iv) The Employee’s gross negligence or breach of fiduciary duty provided  that the Employee has been given written notice thereof and has failed  within fifteen (15) days to correct such conduct; (v) Any conviction  of the Employee (A) under any local, state, provincial or  federal statute which makes the performance of the Employee’s duties  impracticable or impossible, (B) of any offense against the Company or its  personnel, Affiliates for whom Employee is providing services, or  customers, or (C) of any other offense involving moral turpitude; (vi) Any misconduct, gross incompetence or conduct incompatible with the  Employee’s duties hereunder, or prejudicial to the Company’s business  provided that the Employee has been given written notice thereof and has  failed within fifteen (15) days to correct such conduct; or (vii) Gross insubordination or willful disobedience to the lawful directions of  management of the Company provided that the Employee has been given  written notice thereof and has failed within fifteen (15) days to correct  such conduct. (b) If the Company exercises its rights under this Agreement to terminate the  Employee’s employment for Cause, the Employee shall not be entitled to receive  any further remuneration or payments of any kind or nature hereunder from and  after the Termination Date, other than any earned but unpaid Base Salary, any  unpaid earned bonuses from the year prior to termination, reimbursement of  reasonable expenses incurred prior to termination in accordance with the terms  hereof, and any other payments required by law (“Mandatory Payments”). 5.2 Termination Without Cause, Due to Non-Renewal, or Resignation by the Employee  for Good Reason. 14 

 

(a) The Company may at any time terminate Employee’s employment hereunder  without Cause. (b) The Employee may terminate his employment hereunder for Good Reason by  delivering written notice of such termination specifying that such termination is  for Good Reason and identifying in reasonable detail the facts resulting in the  Employee’s resignation for Good Reason. For purposes of this Agreement, “Good  Reason” means: (i) The Company reducing the Employee’s then current Base Salary without  the Employee’s express written consent, unless in connection with a  Company-wide salary reduction or salary furlough program that is  applicable to all members of the Company’s senior management and does  not disproportionately impact the Employee; (ii) The Company’s breach of any material term or provision of this  Agreement or any other agreement with the Employee regarding  compensation; (iii) The assignment to the Employee of any duties or responsibilities that  results in a material diminution in the Employee’s function or role with the  Company (it being understood that a change solely in title shall not  provide the basis for Good Reason); or (iv) The relocation of the Employee’s principal place of employment with the  Company that increases his one-way commuting distance by more than  fifty (50) miles. (c) If the Employee’s employment is terminated by the Company without Cause,  because this Agreement is not renewed, or in the alternative if the Employee  terminates this Agreement due to a resignation for Good Reason, as provided for  and in compliance with Section 5.2(b) hereof, Employee will be entitled to  receive the Mandatory Payments. In addition, subject to (x) Employee’s continued  compliance with the Restrictive Covenants and (y) Employee executing a release  of claims in the form attached hereto as Exhibit A  (with such changes thereto as  may be required due to changes in the law or to comply with Older Workers  Benefit Protection Act (“OWBPA”) or state law requirements) (the “Release”),.  pursuant to which the applicable revocation period with respect to the Release  expires within 60 days (or such longer period as required by law) following the  Termination Date (the “Release Effective Date”), Employee will be entitled to  receive: (1) for the greater of either the remainder of the Initial Term or the six  month period following the Termination Date (the “Severance Payment  Period”):  (i) Employee’s base salary (which if the termination is for Good  Reason due to a reduction in Base Salary shall be based on the Base Salary in  effect prior to the reduction), provided, that, the first such payment shall be made  15 

 

on the first regularly scheduled payroll date of the Company that occurs on or  following the Release Effective Date and shall include all payments that would  have been made to Employee had such payments commenced on the first  regularly scheduled payroll date of the Company following the date of termination  and (ii) subject to applicable law and Employee’s timely election of continuation  coverage under Consolidated Omnibus Budget Reconciliation Act of 1985  (“COBRA”), payment of the Company’s portion of premium costs for healthcare  continuation coverage under COBRA at the same level of coverage that the  Executive was a participant at the time of such termination of employment,  subject to the terms and conditions of the applicable plans and policies as may be  in effect at the time of Employee’s termination; and (2) if terminated after the first  year of employment, a payment equal to the total pro-rated target annual cash  bonus contemplated under any cash bonus plan applicable to employee through  the termination date for the current year as well as any unpaid earned bonuses  from the year prior, all of which shall be paid on the first payroll date following  the Release Effective Date. None of the conditions set forth in Sections 5.2(b)(i)-(iv) shall constitute Good  Reason unless (1) the Employee notifies the Company in writing in reasonable  detail of such condition within sixty (60) days of the first occurrence of such  condition, (2) the Company fails to correct such conduct within thirty (30) days of  receiving such notice, and (3) the Employee resigns within sixty (60) days after  the end of such cure period described in the foregoing clause (2). Subject to the  terms and conditions set forth herein (including the right to receive the severance  described in this Section 5.2), if the Employee exercises his rights under this  Section 5.2 to terminate his employment for Good Reason or the Company  exercises its right to terminate without Cause, the Employee shall execute the  Release, pursuant to which the Employee releases and discharges the Company  and its affiliates from all claims or liabilities arising out of or related to his  employment. For the avoidance of doubt, the Employee’s resignation for Good  Reason shall have no effect and will not impact the Employee’s obligations to the  Company pursuant to the Purchase Agreement. 5.3 Resignation by the Employee without Good Reason. In all instances other than a  termination for Good Reason, the Employee may terminate this Agreement by providing the  Company with one (1) months’ prior written notice, specifying the effective date of resignation.  The Company may elect to deem any date prior to the date specified in the notice as the effective  date of resignation, in which event the Employee shall receive payment of all amounts which  would have been due during the remainder of the notice period provided by the Employee, to a  maximum of one (1) month. In such event the Employee shall not be entitled to receive any  further remuneration or payments of any kind or nature from and after the effective date of  resignation other than the Mandatory Payments unless the parties agree otherwise. 5.4 Death or Disability. This Agreement shall terminate: (a) Automatically in the event of the Employee’s death; or 16 

 

(b) In the Company’s discretion, at any time if the Employee is unable to perform the  essential functions of the Employee’s job because of a Disability for a period of  sixty (60) consecutive days, or ninety (90) days in the aggregate during any period  of twelve (12) consecutive months; provided, however, that, the Company may  not terminate the Employee’s employment due to Disability if such termination  would conflict with the Employee’s rights under the Family Medical and Leave  Act, the Americans with Disabilities Act, or any applicable state or federal law. (c) If this Agreement terminates automatically in the event of Employee’s death, or if  the Company terminates the Employee’s employment by reason of the  Employee’s Disability, the Company shall have no further obligation or duties to  the Employee except (i) as otherwise provided herein, (ii) for the Mandatory  Payments and (iii) as may be required by law.  ARTICLE 6- MISCELLANEOUS 6.1 Notices.  All notices, requests, demands or other communications required or permitted  to be given by one Party to another under this Agreement (each, a “Notice”) shall be given in  writing and delivered by personal delivery or delivery by recognized national courier, delivered  by registered mail, postage prepaid, or by email addressed as follows: If to the Company: Digital Media Solutions, LLC 4800 140th Avenue North  Clearwater, FL 33762 E-mail:  jmarinucci@dmsgroup.com Telephone: (727) 287-0427  Attention: Joseph Marinucci With a copy to:  Digital Media Solutions, LLC 4800 140th Avenue North  Clearwater, FL 33762 Email:   legal-hr@dmsgroup.com Attention:  Anthony Saldana, General Counsel If to the Employee:  [EMPLOYEE NAME] c/o [BUSINESS]  [ADDRESS]    E-mail: [•] Any Notice delivered by personal delivery or by courier to the Party to whom it is addressed as  provided above shall be deemed to have been given and received on the day it is so delivered at  such address. If such day is not a Business Day, or if the Notice is received after 4:00 p.m.  (addressee’s local time), then the Notice shall be deemed to have been given and received on the  next Business Day. Any Notice sent by prepaid registered mail shall be deemed to have been  given and received on the fourth Business Day following the date of its receipt. Any Notice  17 

 

transmitted by email shall be deemed to have been given and received on the day in which  transmission is confirmed. If such day is not a Business Day or if the email transmission is  received after 4:00 p.m. (addressee’s local time), then the Notice shall be deemed to have been  given and received on the first Business Day after its transmission is confirmed. 6.2 Governing Law; Arbitration. This Agreement shall be governed by the laws of the  State of Florida (without regard to its conflicts of law principles) and applicable federal law of  the U.S.A. The Employee and the Company mutually agree that any and all existing or future  claims or controversies arising out of or relating to this Agreement, the Employee’s employment,  the termination thereof, or otherwise arising between the Employee and the Company (other than  those arising out of and governed by the Purchase Agreement) shall, in lieu of a jury or other  civil trial, be settled by final and binding arbitration in accordance with the Federal Arbitration  Act. The Employee and the Company also agree to submit claims to the arbitrator regarding  issues of arbitrability, the validity, scope, and enforceability of this Agreement, his or its  jurisdiction, as well as any gateway, threshold, or any other challenges to this Agreement,  including claims that this Agreement is unconscionable. The arbitration shall be administered by  the American Arbitration Association (“AAA”) pursuant to the AAA Employment Arbitration  Rules (“Rules”) in effect at the time of arbitration (available at adr.org/employment). Any such  arbitration shall be conducted in Broward County, Florida. In the event that any term or  provision of the Rules conflicts with any term or provision of this Agreement, the term or  provision of this Agreement shall prevail. Judgment on any award rendered by the arbitrator may  be entered and enforced by any court having jurisdiction thereof. The Employee shall not be  required to pay any type or amount of expense relating to the arbitration if such requirement  would invalidate this Agreement or would otherwise be contrary to the law as it exists at the time  of the arbitration. The prevailing party in any arbitration shall be entitled to recover its  reasonable attorney’s fees and costs, where authorized by statute.  6.3 Modification and Waivers. Except as otherwise expressly set out herein, no waiver of  any provision of this Agreement shall be binding unless it is in writing. No indulgence,  forbearance or other accommodation by a Party shall constitute a waiver of such Party’s right to  insist on performance in full and in a timely manner of all covenants in this Agreement or in any  document delivered pursuant to this Agreement. Waiver of any provision shall not be deemed to  waive the same provision thereafter, or any other provision of this Agreement at any time. 6.4 Severability. If any provision of this Agreement or portion thereof or the application  thereof to any Person or circumstance shall to any extent be illegal, invalid or unenforceable: (a) the remainder of this Agreement or the application of such provision or portion thereof to any  other Person or circumstance shall not be affected thereby; and (b) the Parties will negotiate in  good faith to amend this Agreement to implement the intentions set forth in this Agreement.  Each provision of this Agreement shall be legal, valid and enforceable to the fullest extent  permitted by law. 6.5 Independent Advice. The Employee confirms having had the opportunity to obtain  independent legal advice regarding this Agreement and that the Employee is signing this  Agreement freely and voluntarily with full understanding of its contents. 18 

 

6.6 Successors and Assigns. This Agreement and all rights of the Employee hereunder  shall ensure to the benefit of and be enforceable by the Employee and his personal or legal  representatives, heirs, executors, administrators and successors and shall ensure to the benefit of  and be binding upon the Company, its successors and assigns, provided, however, that Employee  may not assign any of his rights or obligations hereunder without the prior written consent of the  Company. For purposes of this Agreement, “successors” shall include any successor to the  Company by way of (i) any merger, consolidation, share exchange or other similar  reorganization of the Company; (ii) the acquisition of all or substantially all of the assets of the  Company by any Person; or (iii) the acquisition of more than fifty percent (50%) or more of the  outstanding equity ownership interests in the Company by any Person. Without limiting the  foregoing, the Company may assign all or any part of this agreement to its Affiliate without  consent by Employee, and performance by such Affiliate shall constitute performance by the  Company for the purpose of this Agreement provided that the Company guarantees such  Affiliate’s obligations under this Agreement. 6.7 Indemnification.  The Company hereby covenants and agrees with the Employee that  the Company shall reimburse and indemnify the Employee and his heirs, successors or assigns  (“Indemnified Executive Party”) and hold them harmless from, against and in respect of an  amount equal to any and all Losses incurred by any of them due to, arising out of, or in  connection with, (i) a breach of any of the representations or warranties made by the Company in  this Agreement;  (ii) action taken by Employee that is within the scope of his employment with  or on behalf of the Company or its Affiliates; or (iii) as otherwise allowed under the Company's  governing documents (collectively, the “Indemnified Company Obligation”).  In the event of  an Indemnified Company Obligation, the Company will advance legal and other court fees and  costs to the Employee. If an action or proceeding involving an Indemnified Company Obligation  is settled with the approval of the Company, the Company shall be solely responsible for the  payment of any amounts payable in connection with any such settlement.  In the event that a  final non-appealable judgment or determination in any such proceeding is rendered against the  Company, the Company shall be solely responsible for the payment of any amounts payable in  connection with any such judgment or determination.  For the purposes of this Section, “Losses”  shall mean any and all losses liabilities and expenses (including reasonable attorneys’ and  accountants’ and other professionals’ fees and litigation expenses and the costs of enforcement of  any and all indemnification claims under this Section) arising from or in connection with any  such matter that is the subject of indemnification under this Section, whether or not foreseeable. 6.8 409A Compliance.  This Agreement is intended to comply with the provisions of  Section 409A of the Internal Revenue Code (the “Code”) or an exemption thereto and shall be  interpreted and administered accordingly.  If any provision or term of this Agreement would be  prohibited by or inconsistent with the requirements of Section 409A of the Code, then such  provision or term shall be deemed to be reformed to comply with Section 409A of the Code.   Each severance payment shall be treated as a separate and distinct “payment” for purposes of  Code Section 409A.  Accordingly, any such payments that would otherwise be payable (i) within  2-1⁄2 months after the end of the Company’s taxable year in which the right to payment is no  longer subject to a substantial risk of forfeiture, or (ii) within 2-1⁄2 months after Employee’s  taxable year in which the right to payment is no longer subject to a substantial risk of forfeiture,  whichever occurs later (the “Short Term Deferral Period”), are exempt from Code Section  19 

 

409A.  Furthermore, any such payments paid after the Short Term Deferral Period which meet  the conditions for the severance pay exception under Section 409A shall also be exempt from  Section 409A.  All expenses or other reimbursements to Employee under this Agreement, if any,  shall be made on or prior to the last day of the taxable year following the taxable year in which  such expenses were incurred by Employee (provided that if any such reimbursements constitute  taxable income to Employee, such reimbursements shall be paid no later than March 15th of the  calendar year following the calendar year in which the expenses to be reimbursed were incurred),  and no such reimbursement or expenses eligible for reimbursement in any taxable year shall in  any way affect the expenses eligible for reimbursement in any other taxable year.  To the extent  that the Company determines that Employee would be subject to the additional 20% tax imposed  on certain nonqualified deferred compensation plans pursuant to Section 409A of the Code as a  result of any provisions related to severance amounts payable hereunder, such severance  provisions shall be deemed amended to the minimum extent necessary to avoid application of  such additional tax.  The nature of any such amendment shall be determined by the Company  after consultation with Employee. Notwithstanding any other provision of this Agreement, if at  the time of the Employee’s termination of employment, Employee is a “specified employee,”  determined in accordance with Section 409A, any payments and benefits provided under this  Agreement that constitute “nonqualified deferred compensation” subject to Section 409A that are  provided to the Employee on account of Employee's separation from service shall be delayed for  six (6) months.  Any payments that would otherwise have been made during such six-month  period shall be paid in a lump sum within fifteen (15) days after the end of such six-month period  without interest.  If the Employee dies during such six-month period, any delayed payment shall  be paid to the Employee’s estate in a lump sum within fifteen (15) days following the  Employee’s death.  To the extent required by Section 409A, each reimbursement or in-kind  benefit provided under this Agreement shall be provided in accordance with the following:   (i) the amount of expenses eligible for reimbursement, or in-kind benefits provided, during  each calendar year cannot affect the expenses eligible for reimbursement, or in-kind  benefits to be provided, in any other calendar year; (ii) any reimbursement of an eligible expense shall be paid to the Employee on or before  the last day of the calendar year following the calendar year in which the expense was  incurred; and (iii) any right to reimbursements or in-kind benefits under this Agreement shall not be  subject to liquidation or exchange for another benefit. 6.9 Counterparts. This Agreement may be signed in one or more counterparts, each of  which so signed shall be deemed to be an original, and such counterparts together shall constitute  one and the same instrument. Notwithstanding the date of execution or transmission of any  counterpart, each counterpart shall be deemed to have the effective date first written above. [SIGNATURE PAGE TO IMMEDIATELY FOLLOW] 20 

 

IN WITNESS WHEREOF the Parties have duly executed this Agreement effective as of the  date first written above. COMPANY: Digital Media Solutions, LLC By:  Name:   Title:        EMPLOYEE:  ______________________________________          [□ ] 21 

 

Exhibit C FORM LOCK-UP AGREEMENT THIS LOCK-UP AGREEMENT (this “Agreement”) is made and entered into as of April  1, 2021, by and among Digital Media Solutions, Inc., a Delaware corporation (including any  predecessor or successor entity thereto, the “Company”), Crisp Marketing, LLC, a Florida  limited liability company, d/b/a Crisp Results (“Crisp Results”), Union Health, LLC, a Florida  limited liability company, d/b/a Crisp Connections (“Crisp Connections” and, together with  Crisp Results, “Sellers”), Justin Ferreira, a natural person and member of Crisp Results (“J.  Ferreira”), and Chris Henry, a natural person and member of Crisp Results (“C. Henry”).  Capitalized terms used but not otherwise defined in this Agreement will have the meaning  ascribed to such term in the Asset Purchase Agreement, dated as of April 1, 2021, by and among  the Company, Edge Marketing, LLC, a Delaware limited liability company and an indirect  subsidiary of the Company, Sellers and J. Ferreira, in his capacity as Sellers’ representative (as it  may be amended or supplemented from time to time, the “Purchase Agreement”). Pursuant to the  terms of the Purchase Agreement, as a matter of administrative convenience, Sellers may request  that payments of Class A Common Stock of the Company be made directly to J. Ferreira and C.  Henry.  Each of Sellers, J. Ferreira, C. Henry and any person or entity who hereafter becomes a  party to this Agreement pursuant to Section 1 are referred to herein, individually, as a “Holder”  and, collectively, as the “Holders.” WHEREAS, pursuant to the Purchase Agreement, and in view of the valuable  consideration to be received by the parties thereunder, the parties desire to enter into this  Agreement, pursuant to which fifty percent (50%) of the shares of Class A Common Stock of the  Company issued to the Holders at the Closing (the “Restricted Securities”) shall become subject  to limitations on disposition as set forth herein.  For the avoidance of doubt, the other fifty  percent (50%) of the shares of Class A Common Stock of the Company to be issued to the  Holders at the Closing shall not become subject to the limitations set forth in this Agreement, nor  shall any other shares of Class A Common Stock to be received by the Holders pursuant to the  Earnout Consideration or otherwise. NOW, THEREFORE, in consideration of the premises set forth above, which are  incorporated in this Agreement as if fully set forth below, and intending to be legally bound  hereby, the parties hereby agree as follows: 1. Lock-Up Provisions. (a) Each Holder hereby agrees not to, during the period commencing from the  Closing and ending 180 calendar days from the date of the Closing, with respect to the Restricted  Securities held by such Holder (the “Lock-Up Period”), (A) lend, offer, pledge, hypothecate,  encumber, donate, assign, sell, contract to sell, sell any option or contract to purchase, purchase  any option or contract to sell, grant any option, right or warrant to purchase, or otherwise transfer  or dispose of any Restricted Securities, or (B) enter into any swap or other arrangement that  

 

transfers to another, in whole or in part, any of the economic consequences of ownership of the  Restricted Securities, whether any such transaction described in clauses (A) or (B) above is to be  settled by delivery of Restricted Securities or other securities, in cash or otherwise (any of the  foregoing described in clauses (A) or (B), a “Prohibited Transfer”); provided that, for the  avoidance of doubt, nothing in this Agreement shall be deemed to restrict the Company’s  obligation under the Purchase Agreement to use its commercially reasonable efforts to file and  cause to become effective a registration statement with the Securities and Exchange Commission  in respect of the Restricted Securities.  Notwithstanding the foregoing, the Lock-Up Period and  restrictions set forth in this Section 1 shall not apply to the: (A) transfer of any or all of the Restricted Securities by a bona fide gift,  charitable contribution or by will or intestacy; (B) transfer to any trust, partnership or limited liability company for the direct  or indirect benefit of the undersigned or the immediate family of the undersigned  (for purposes of this Agreement, “immediate family” shall mean any relationship  by blood, marriage or adoption, not more remote than first cousin); (C) transfer to a nominee or custodian of the undersigned; (D) establishment of a trading plan pursuant to Rule 10b5-1 under the  Exchange Act for the transfer of Restricted Securities; provided, that such plan  does not provide for the transfer of Restricted Securities during the Lock-Up  Period; provided, however, that in the case of each of clauses (A), (B) and (C), it shall be a  condition to such transfer that the transferee executes and delivers to the Company an agreement  stating that the transferee is receiving and holding the Restricted Securities subject to the  provisions of this Agreement applicable to such holder, and there shall be no further transfer of  such Restricted Securities except in accordance with this Agreement; provided, further, that in  the case of each of clauses (A), (B) and (C) such transfer or distribution shall not involve a  disposition for value. Notwithstanding any other provision contained herein, the undersigned shall be permitted  to tender the Restricted Securities pursuant to a tender offer for the Company’s Class A Common  Stock or any other transaction, including, without limitation, a merger, consolidation or other  business combination, involving a change of control of the Company (including, without  limitation, entering into any lock-up, voting or similar agreement pursuant to which the  undersigned may agree to transfer, sell, tender or otherwise dispose of the Restricted Securities  in connection with any such transaction, or vote any of the Restricted Securities in favor of any  such transaction); provided that all of the Restricted Securities subject to this Agreement that are  not so transferred, sold, tendered or otherwise disposed of shall remain subject to this  Agreement; provided, further, that it shall be a condition of any such transfer, sale, tender or  other disposition that if such tender offer or other transaction is not completed, all of the  undersigned’s Restricted Securities subject to this Agreement shall remain subject to the  restrictions herein. 23 

 

The Holders further agree to execute such agreements as may be reasonably requested by the  Company that are consistent with the foregoing or that are necessary to give further effect  thereto. (b) If any Prohibited Transfer is made or attempted contrary to the provisions of this  Agreement, such purported Prohibited Transfer shall be null and void ab initio, and the Company  shall refuse to recognize any such purported transferee of the Restricted Securities as one of its  equity holders for any purpose. In order to enforce this Section 1, the Company may impose  stop-transfer instructions with respect to the Restricted Securities (and permitted transferees and  assigns thereof) until the end of the Lock-Up Period. (c) During the Lock-Up Period, each certificate, book-entry position or other  designation evidencing any Restricted Securities shall be marked with a legend in substantially  the following form, in addition to any other applicable legends: “THE SECURITIES REPRESENTED HEREBY ARE SUBJECT TO RESTRICTIONS ON  TRANSFER SET FORTH IN A LOCK-UP AGREEMENT, DATED AS OF APRIL 1, 2021,  BY AND AMONG THE ISSUER OF SUCH SECURITIES AND THE REGISTERED  HOLDER OF THE SHARES (OR THE PREDECESSOR IN INTEREST TO THE  SECURITIES). A COPY OF SUCH LOCK-UP AGREEMENT WILL BE FURNISHED  WITHOUT CHARGE BY THE ISSUER TO THE HOLDER HEREOF UPON WRITTEN  REQUEST.” (d) For the avoidance of doubt, each Holder shall retain all of its rights as a  stockholder of the Company with respect to the Restricted Securities during the Lock-Up Period,  including the right to vote any Restricted Securities that are entitled to vote, as well as to receive  any stock or cash dividends, if declared. The Company agrees to (i) instruct its transfer agent to  remove the legend in clause (c) immediately above (if any) upon the expiration of the Lock-Up  Period and (ii) if requested by the transfer agent, cause its legal counsel to deliver the necessary  legal opinions, if any, to the transfer agent in connection with the instruction under subclause (i). 2. Miscellaneous. (a) Binding Effect; Assignment. This Agreement and all of the provisions hereof  shall be binding upon and inure to the benefit of the parties hereto and their respective permitted  successors and assigns. This Agreement and the rights and obligations hereunder shall not be  assignable or transferable by any of the parties, in whole or in part (including by operation of  law), without the prior written consent of the other parties hereto, which any such party may  withhold in its absolute discretion. (b) No Third-Party Beneficiaries. This Agreement is for the sole benefit of the parties  hereto and their respective successors and permitted assigns and nothing in this Agreement  expressed or implied shall give or be construed to give to any person or entity, other than the  24 

 

parties hereto and such successors and permitted assigns, any legal or equitable rights under this  Agreement. (c) Governing Law; Jurisdiction.  (A) This Agreement and all disputes, claims or controversies relating to,  arising out of, or in connection with this Agreement shall be governed by and  construed in accordance with the internal Laws of the State of Delaware  applicable to contracts executed in and to be performed in the State of Delaware,  without giving effect to any choice of Law or conflict of Laws rules or provisions  (whether of the State of Delaware or any other jurisdiction) that would cause the  application of the Laws of any jurisdiction other than the State of Delaware.  (B) Each party irrevocably agrees that any Claim arising out of or relating to  this Agreement brought by any other party or its successors or assigns shall be  brought and determined in the Court of Chancery of the State of Delaware (or,  solely if such courts decline jurisdiction, in any federal court located in the State  of Delaware), and each party hereby irrevocably submits to the exclusive  jurisdiction of the aforesaid courts for itself and with respect to its property,  generally and unconditionally, with regard to any such Claim arising out of or  relating to this Agreement and the transactions contemplated hereby. Each party  agrees not to commence any Claim relating thereto except in the courts described  above in Delaware, other than actions in any court of competent jurisdiction to  enforce any judgment, decree or award rendered by any such court in Delaware as  described herein. Each party further agrees that notice as provided herein shall  constitute sufficient service of process and each party further waives any  argument that such service is insufficient. Each party hereby irrevocably and  unconditionally waives, and agrees not to assert, by way of motion or as a  defense, counterclaim or otherwise, in any Claim arising out of or relating to this  Agreement or the transactions contemplated hereby, (i) any claim that it is not  personally subject to the jurisdiction of the courts in Delaware as described herein  for any reason, (ii) that it or its property is exempt or immune from the  jurisdiction of any such court or from any legal process commenced in such courts  (whether through service of notice, attachment prior to judgment, attachment in  aid of execution of judgment, execution of judgment or otherwise) and (iii) that  (1) the Claim in any such court is brought in an inconvenient forum, (2) the venue  of such Claim is improper or (3) this Agreement, or the subject matter hereof,  may not be enforced in or by such courts. Each party agrees that a final, non- appealable judgment in any action or proceeding so brought shall be conclusive  and may be enforced by suit on the judgment or in any other manner provided by  Law. (d) WAIVER OF JURY TRIAL. EACH PARTY HERETO ACKNOWLEDGES  AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS  AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND  25 

 

THEREFORE IT HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO  THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY  HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR  INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT. EACH PARTY  CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR  ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR  OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF  LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, (ii) IT UNDERSTANDS  AND HAS CONSIDERED THE IMPLICATIONS OF SUCH WAIVER, (iii) IT MAKES  SUCH WAIVER VOLUNTARILY AND (iv) IT HAS BEEN INDUCED TO ENTER INTO  THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVER AND  CERTIFICATIONS IN THIS SECTION 2(D).  (e) Interpretation. The headings, titles and subtitles set forth in this Agreement are for  reference purposes only and shall not affect in any way the meaning or interpretation of this  Agreement. Except when the context requires otherwise, any reference in this Agreement to any  Section or clause shall be to the Sections and clauses of this Agreement. The words “herein,”  “hereto,” “hereof” and “hereby” and other words of similar import in this Agreement shall be  deemed in each case to refer to this Agreement as a whole and not to any particular section or  other subdivision of this Agreement. The term “or” means “and/or”. The words “include,”  “includes” and “including” are deemed to be followed by the phrase “without limitation”.  Reference to any person includes such person’s successors and assigns to the extent such  successors and assigns are permitted by the terms of any applicable agreement, and reference to a  person in a particular capacity excludes such person in any other capacity or individually.  Reference to any agreement (including this Agreement), document or instrument means such  agreement, document or instrument as amended or modified and in effect from time to time in  accordance with the terms thereof and, if applicable, the terms hereof. Reference to any Law  means such Law as amended, modified, codified, replaced or re-enacted, in whole or in part,  including rules, regulations, enforcement procedures and any interpretations promulgated  thereunder, all as in effect on the date of this Agreement. Any reference to the masculine,  feminine or neuter gender shall include such other genders and any reference to the singular or  plural shall include the other, in each case unless the context otherwise requires.  (f) No Presumption Against Drafting Party. Each of the parties acknowledges that it  has participated jointly in the negotiation and drafting of this Agreement and has been  represented by counsel in connection with this Agreement and the transactions contemplated  hereby. Accordingly, any rule of law or any legal decision that would require interpretation of  any claimed ambiguities in this Agreement against the drafting party has no application and is  expressly waived. (g) Notices. All notices or other communications required or permitted to be given  hereunder shall be in writing and shall be delivered by hand or electronic mail (if receipt is  confirmed) or postage prepaid mail (registered or certified) or nationally recognized overnight  courier service and shall be deemed given when so delivered by hand, upon confirmation of  26 

 

receipt if delivered by electronic mail, or if mailed, three (3) days after mailing (one Business  Day in the case of overnight courier service), as follows:  If to the Company, to:  Digital Media Solutions, Inc.  4800 140th Avenue N., Suite 101  Clearwater, FL 33762 Email:  tsaldana@dmsgroup.com Attention:  Anthony Saldana with a copy (which shall not constitute notice) to: Skadden, Arps, Slate, Meagher & Flom LLP 1440 New York Avenue, N.W. Washington, D.C. 20005 Email:  katherine.ashley@skadden.com Attention:  Katherine D. Ashley     If to any Seller to:  c/o Justin Ferreira 110 E. Broward Boulevard, Suite 1600 Fort Lauderdale, FL 33301 Email:  jferreira@cirsp-results.com with a copy (which shall not constitute notice) to: Quarles & Brady LLP 411 E. Wisconsin Avenue, Suite 2400 Milwaukee, WI 53202 Email:  walter.skipper@quarles.com Attention:  Walter J. Skipper  Notices or other communications to any other Holder that becomes a party hereto  pursuant to Section 1 shall be delivered to the address set forth in the applicable joinder  agreement or other instrument executed by such Holder and binding such Holder to the terms of  this Agreement.   (h) Amendments and Waivers. No provision of this Agreement may be waived unless  such waiver is in writing and signed by the party or parties against whom such waiver is to be  effective. No failure or delay of any party in exercising any right or remedy hereunder shall  operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or  any abandonment or discontinuance of steps to enforce such right or power, or any course of  conduct, preclude any other or further exercise thereof or the exercise of any other right or  27 

 

power. The rights and remedies of the parties hereunder are cumulative and are not exclusive of  any rights or remedies that they would otherwise have hereunder. (i) Severability. It is the desire and intent of the parties that the provisions of this  Agreement be enforced to the fullest extent permissible under the laws and public policies  applied in each jurisdiction in which enforcement is sought. Accordingly, if any particular  provision of this Agreement shall be adjudicated by a court of competent jurisdiction to be  invalid, prohibited or unenforceable for any reason, such provision, as to such jurisdiction, shall  be ineffective, without invalidating the remaining provisions of this Agreement or affecting the  validity or enforceability of this Agreement or affecting the validity or enforceability of such  provision in any other jurisdiction. Notwithstanding the foregoing, if such provision could be  more narrowly drawn so as not to be invalid, prohibited or unenforceable in such jurisdiction, it  shall, as to such jurisdiction, be so narrowly drawn, without invalidating the remaining  provisions of this Agreement or affecting the validity or enforceability of such provision in any  other jurisdiction. Specific Performance. The parties agree that irreparable damage would occur in the event that  any of the provisions of this Agreement were not performed in accordance with their specific  terms or were otherwise breached. It is accordingly agreed that the Company shall be entitled to  an injunction or injunctions to prevent breaches of this Agreement by a Holder and to enforce  specifically the terms and provisions hereof.  (j) Entire Agreement. This Agreement constitutes the full and entire agreement and  understanding between the parties with respect to the subject matter hereof and supersedes all  prior agreements and understandings relating to such subject matter; provided that, for the  avoidance of doubt, the foregoing shall not affect the rights and obligations of the parties under  the Purchase Agreement or any documents related thereto or referred to therein. Notwithstanding  the foregoing, nothing in this Agreement shall limit any of the rights or remedies of the Company  or any of the obligations of any of the Holders under any other agreement between any of the  Holders and the Company or any certificate or instrument executed by any of the Holders in  favor of the Company, and nothing in any other agreement, certificate or instrument shall limit  any of the rights or remedies of the Company or any of the obligations of any of the Holders  under this Agreement. (k) Further Assurances. From time to time, at another party’s request and without  further consideration (but at the requesting party’s reasonable cost and expense), each party shall  execute and deliver such additional documents and take all such further action as may be  reasonably necessary to consummate the transactions contemplated by this Agreement. (l) Execution of Agreement. This Agreement may be executed in one (1) or more  counterparts, all of which shall be considered one (1) and the same agreement, and shall become  effective when one (1) or more such counterparts have been signed by each of the parties and  delivered to the other party. Facsimile or electronic mail transmission of counterpart signatures  to this Agreement shall be acceptable and binding. 28 

 

[Remainder of Page Intentionally Left Blank; Signature Pages Follow] 29 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first  written above. COMPANY: DIGITAL MEDIA SOLUTIONS, INC. By:        Name:        Title:     HOLDERS: CRISP MARKETING, LLC    UNION HEALTH, LLC    CHRIS HENRY    JUSTIN FERREIRA    Exhibit D 30 QB\67696788.2 

 

Exhibit D Form of Assignment and Assumption Agreement and Bill of Sale This ASSIGNMENT AND ASSUMPTION AGREEMENT AND BILL OF SALE (this  “Agreement”), dated and effective as of the 1st day of April, 2021 (the “Effective Date”), by and  among Crisp Marketing, LLC, a Florida limited liability company, d/b/a Crisp Results (“Crisp  Results”),  Union Health, LLC, a Florida limited liability company, d/b/a Crisp Connections  (“Crisp Connections” and, together with Crisp Results, “Sellers”), and Edge Marketing, LLC, a  Delaware limited liability company (“Buyer”) and wholly owned subsidiary of Digital Media  Solutions, LLC (“DMS LLC”); WHEREAS, Sellers and Buyer have entered into an Asset Purchase Agreement, dated as  of the date hereof (the “Purchase Agreement”), pursuant to which, among other things,  (i) Buyer has agreed to purchase, acquire and accept, and each Seller has agreed to sell, assign,  transfer, convey and deliver to Buyer, all of such Seller’s right, title and interest in and to the  Purchased Assets and (ii) Buyer has agreed to assume all of the Assumed Liabilities, in each  case, on the terms and conditions set forth in the Purchase Agreement. NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and  agreements set forth herein, Sellers and Buyer hereby agree as follows: 1. Definitions.  All capitalized terms used in this Agreement but not otherwise  defined herein are given the meanings set forth in the Purchase Agreement. 2. Assignment and Assumption.   (a) Effective as of the Closing, and on the terms and subject to the conditions  set forth in the Purchase Agreement, each Seller hereby sells, assigns, transfers, conveys and  delivers to Buyer, and Buyer hereby purchases, acquires and accepts from each Seller, all of such  Seller’s right, title and interest in and to the Purchased Assets, free and clear of all Liens, in  accordance with the Purchase Agreement. (b) Effective as of the Closing, and on the terms and subject to the conditions  set forth in the Purchase Agreement, Buyer hereby assumes from each Seller all of each Seller’s  duties and obligations under the Acquired Contracts and the other Assumed Liabilities in  accordance with the Purchase Agreement.  (c) Notwithstanding anything to the contrary herein, (i) none of Purchased  Assets or Assumed Liabilities that are specifically sold, assigned, transferred, conveyed or  delivered pursuant to the Domain Name Transfer Agreement shall be sold, assigned, transferred,  conveyed or delivered pursuant to this Agreement and (ii) each Seller does not hereby sell,  assign, transfer, convey or deliver to Buyer, and Buyer does not hereby purchase, acquire,  accept, assume or become liable for any of such Seller’s right, title, interest or obligation or  liability in or to the Excluded Assets or the Excluded Liabilities. 

 

(d) Without limitation of any other obligation of the Parties set forth in this  Agreement or the Purchase Agreement, the Parties hereby covenant that, from time to time after  the delivery of this Agreement, at the other Party’s written request and without further  consideration, such Party will execute, acknowledge and deliver, or will cause to be executed,  acknowledged and delivered, all further conveyances, transfers, assignments, powers of attorney  and assurances as reasonably may be required to more effectively convey, transfer to and vest in  Buyer any of the Purchased Assets and assign, transfer and delegate to Buyer the Assumed  Liabilities as contemplated under the Purchase Agreement. 3. Terms of the Purchase Agreement.  The terms of the Purchase Agreement,  including, without limitation, the representations, warranties, covenants, agreements and  indemnities relating to the Purchased Assets are incorporated herein by reference.  The parties  hereto acknowledge and agree that the representations, warranties, covenants, agreements and  indemnities contained in the Purchase Agreement shall not be superseded hereby but shall  remain in full force and effect to the full extent provided therein.  In the event of any conflict or  inconsistency between the terms of the Purchase Agreement and the terms hereof, the terms of  the Purchase Agreement shall govern. 4. Miscellaneous.  The parties hereto agree to execute and deliver such further  instruments and do such further acts as may be required to carry out the intent and purpose of  this Agreement.  This Agreement shall be binding upon and inure to the benefit of the parties  hereto and their respective successors and assigns.  If any provision of this Agreement shall be  held invalid, illegal or unenforceable in any respect by a court of competent jurisdiction, such  invalidity, illegality or unenforceability shall not impede any other provision hereof. This  Agreement may be executed in counterparts, each of which shall be deemed an original, but all  of which together shall constitute one and the same instrument.  This Agreement shall be  governed by and construed in accordance with the laws of the State of Delaware without giving  effect to the principles of conflicts of law thereof.  This Agreement may not be amended except  by a written instrument executed by Sellers and Buyer. [The remainder of this page is intentionally left blank.] 

 

IN WITNESS WHEREOF, the Parties have caused this Agreement to be signed by their  respective duly authorized officers as of the date first above written. CRISP MARKETING, LLC By:_______________________________ Name:  Chris Henry Title:  Manager UNION HEALTH, LLC By:_______________________________ Name:  Chris Henry Title:  Manager EDGE MARKETING, LLC By:_______________________________ Name:   Title:     CONFIDENTIAL Execution Version QB\67682875.4 

 

Exhibit E Form of Domain Name Transfer Agreement This DOMAIN NAMES TRANSFER AGREEMENT (this “Assignment”), dated  as of April 1, 2021, by and among Edge Marketing, LLC, a Delaware limited liability company  (“Assignee”), Crisp Marketing, LLC, a Florida limited liability company, d/b/a Crisp Results  (“Crisp Results”), and Union Health, LLC, a Florida limited liability company, d/b/a Crisp  Connections (“Crisp Connections” and, together with Crisp Results, “Assignors).  Assignors and  Assignee are collectively referred to herein as the “Parties” and individually referred to herein as  a “Party.”  R E C I T A L S WHEREAS, Assignors and Assignee have entered into that certain Asset  Purchase Agreement, dated as of the date hereof (as amended, modified or supplemented from  time to time in accordance with its terms, the “Purchase Agreement”); and WHEREAS, in connection with the transactions contemplated by the Purchase  Agreement, Assignors desire to sell and assign to Assignee, and Assignee desires to purchase  from Assignors, all of Assignors' right, title and interest in and to the Internet domain names  identified on Schedule A attached hereto (collectively, the “Assigned Domain Names”). NOW, THEREFORE, in consideration of the mutual promises and covenants set  forth below and in the Purchase Agreement, the receipt and sufficiency of which are hereby  acknowledged: Assignors hereby sell, grant, assign, transfer and convey to Assignee, and  Assignee hereby accepts, all right, title and interest of Assignors as registrant of the Assigned  Domain Names.  Such assignment shall be effected by Assignors carrying out the domain name  transfer procedures and executing any transfer documents required by the applicable registrar of  the Assigned Domain Names (the “Registrar”) and providing any authorization codes known (or  accessible) to Assignor and necessary to effect the transfer promptly following the date hereof. In  connection with this transfer of the Assigned Domain Names, Assignors shall provide any  necessary information to the Registrar, including, but not limited to, the name or names provided  by Assignee for billing, administrative and technical contacts.  Assignors further hereby  authorize and request the applicable Registrar to transfer the Assigned Domain Names to  Assignee, and Assignee’s successors and assigns. Assignee will provide reasonable assistance to  Assignor in the process of completing the domain name transfer.    Subject to the foregoing  provisions of this paragraph, Assignee will promptly notify Assignors when Assignee’s registrar  has confirmed the transfer of the Assigned Domain Names to Assignee and that Assignee has  administrative and technical access to the Assigned Domain Names. Assignors further agree that they will execute and deliver all such further  documents and instruments of transfer, and take any and all additional actions, as may  

 

reasonably be required to effect the transfer of the Domain Names, at the request of Assignee, its  successors, assigns or other legal representatives and at Assignee’s sole expense.   This Assignment may be executed in one or more counterparts, and by the  different parties in separate counterparts, each of which when executed shall be deemed to be an  original but all of which taken together shall be constitute one and the same instrument.  Delivery  of executed counterparts of a signature page to this Assignment by facsimile or other electronic  method shall be as effective as delivery of a manually executed counterpart of this Assignment.  Nothing in this Assignment, express or implied, is intended to or shall be  construed to modify, expand or limit in any way the provisions of the Purchase Agreement.  In  the event of any conflict, ambiguity or inconsistency between any provision of this Assignment  and any provision of the Purchase Agreement, the applicable provision of the Purchase  Agreement shall be deemed to be controlling. This Assignment, and all Claims and causes of action (whether in contract or in tort or  otherwise, or whether at law (including at common law or by statute) or in equity) that may be  based on, arise out of or relate to this Assignment or the negotiation, execution, performance or  subject matter hereof, shall be governed by the Laws of the State of Delaware applicable to  agreements made and to be performed solely therein, without giving effect to principles of  conflicts of law.  This Assignment may not be modified or amended except by an instrument or  instruments in writing signed by each Party.   The section and article headings contained in this Assignment are inserted for  convenience of reference only and will not affect the meaning or interpretation of this  Assignment. [Remainder of page left blank intentionally; signature page follows] 

 

IN WITNESS WHEREOF, the Parties have caused this Assignment to be  executed by their duly authorized representatives as of the date first written above. EDGE MARKETING, LLC By:      Name:   Title: CRISP MARKETING, LLC By:      Name:   Title: UNION HEALTH, LLC By:      Name:   Title: [Signature Page to Domain Names Transfer Agreement] 

 

Exhibit F Form of D/B/A Assignment Agreement This D/B/A ASSIGNMENT AGREEMENT (this “Agreement”), dated and effective as of  the 1st day of April, 2021 (the “Effective Date”), by and among Crisp Marketing, LLC, a Florida  limited liability company, d/b/a Crisp Results (“Crisp Results”),  Union Health, LLC, a Florida  limited liability company, d/b/a Crisp Connections (“Crisp Connections” and, together with  Crisp Results, “Sellers”), and Edge Marketing, LLC, a Delaware limited liability company  (“Buyer”) and wholly owned subsidiary of Digital Media Solutions, LLC (“DMS LLC”); WHEREAS, Sellers and Buyer have entered into an Asset Purchase Agreement, dated as  of the date hereof (the “Purchase Agreement”), pursuant to which, among other things,  (i) Buyer has agreed to purchase, acquire and accept, and each Seller has agreed to sell, assign,  transfer, convey and deliver to Buyer, all of such Seller’s right, title and interest in and to the  Purchased Assets and (ii) Buyer has agreed to assume all of the Assumed Liabilities, in each  case, on the terms and conditions set forth in the Purchase Agreement. NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and  agreements set forth herein, Sellers and Buyer hereby agree as follows: 1. Definitions.  All capitalized terms used in this Agreement but not otherwise  defined herein are given the meanings set forth in the Purchase Agreement. 2. D/B/A Assignment.  Effective as of the Closing, and on the terms and subject to  the conditions set forth in the Purchase Agreement, each Seller hereby assigns, transfers, conveys  and delivers to Buyer, and Buyer hereby acquires and accepts from each Seller, all of such  Seller’s right, title and interest in and to the assumed, fictious or “d/b/a” names “Crisp Results”  and “Crisp Connections” in any state.   3. Miscellaneous.  The parties hereto agree to execute and deliver such further  instruments and do such further acts as may be required to carry out the intent and purpose of  this Agreement.  This Agreement shall be binding upon and inure to the benefit of the parties  hereto and their respective successors and assigns.  If any provision of this Agreement shall be  held invalid, illegal or unenforceable in any respect by a court of competent jurisdiction, such  invalidity, illegality or unenforceability shall not impede any other provision hereof. This  Agreement may be executed in counterparts, each of which shall be deemed an original, but all  of which together shall constitute one and the same instrument.  This Agreement shall be  governed by and construed in accordance with the laws of the State of Delaware without giving  effect to the principles of conflicts of law thereof.  This Agreement may not be amended except  by a written instrument executed by Sellers and Buyer. [The remainder of this page is intentionally left blank.] 5 

 

IN WITNESS WHEREOF, the Parties have caused this Agreement to be signed by their  respective duly authorized officers as of the date first above written. CRISP MARKETING, LLC By:_______________________________ Name:  Chris Henry Title:  Manager UNION HEALTH, LLC By:_______________________________ Name:  Chris Henry Title:  Manager 

 

EXHIBIT G EARNOUT CONSIDERATION 1. Earnout Issuance. (a) As additional consideration for the transactions contemplated by the Agreement,  at such time as provided in Section 3(c) below, Buyer shall direct Parent to, and  Parent shall, on behalf of Buyer, issue or cause to be issued to Sellers, if the  Earnout EBITDA for the Earnout Period exceeds $[*], a number of shares of  DMS Class A Common Stock having an aggregate value equal to the applicable  Earnout Amount, if any, as set forth in Section 2(a) below with respect to the  applicable EBITDA Threshold that is exceeded by the Earnout EBITDA;  provided that, for purposes hereof, any shares of DMS Class A Common Stock  issued pursuant to this Section 1(a) shall be valued at the Earnout Per Share  Value.   (b) In no event shall Parent or Buyer be required to issue to Sellers pursuant to  Section 1(a) of this Exhibit G an aggregate number of shares of DMS Class A  Common Stock with an aggregate value (valued at the Earnout Per Share Value)  in excess of $10,000,000.   (c) Notwithstanding anything herein to the contrary, Buyer may, in its sole discretion,  in lieu of making any Earnout Issuance, settle such Earnout Issuance in whole or  in part by paying Sellers cash in an amount equal to the value of such Earnout  Issuance. In such case, the provisions of this Exhibit G shall apply, mutatis  mutandis, to such cash payment. In the event Buyer is prohibited by any contract  from satisfying an Earnout payment obligation in cash, Buyer shall satisfy such  obligation by an Earnout Issuance.  (d) The Parties will operate the Business conducted with respect to the Purchased  Assets in a manner consistent with Section 2.6(d) of the Agreement.    2. Certain Definitions. (a) “Earnout Amount” means, with respect to the Earnout Period, the Earnout  Amount set forth opposite the EBITDA Threshold applicable to the Earnout  EBITDA, respectively, in the table below.   

 

EBITDA Threshold Earnout Amount Less than $[*] $[*] $[*]to $[*] $[*] $[*]to $[*] $[*] $[*]0 to $[*] $[*] $[*] to $[*] $[*] $[*]to $[*] $[*] $[*] to $[*] $[*] $[*]to $[*] $[*] $[*]+ $[*] (b) “Earnout EBITDA” means the earnings before interest, taxes, depreciation and  amortization of Buyer, taken as a whole, during the Earnout Period, as determined  in accordance with GAAP. (c) “Earnout Per Share Value” means the average closing sale price per share of the  DMS Class A Common Stock as reported on the NYSE for the twenty (20)  trading days immediately preceding the end of the Earnout Period. (d) “Earnout Period” means the period from and after the date of the Agreement until  and including the date that is the one (1) year anniversary of the date of the  Agreement. (e) “EBITDA Threshold” means, with respect to the Earnout Period, the EBITDA  Threshold applicable to the Earnout EBITDA, respectively, as set forth in the  table in Section 2(a) of this Exhibit G.  3. Procedures.  (a) Earnout Statement. Within ten (10) business days following the filing of Parent’s  quarterly report on Form 10-Q with respect to each three-month quarter during the  Earnout Period, Buyer shall prepare and deliver to Seller Representative a written  statement (the “Earnout Statement”) setting forth, in reasonable detail and with  reasonable supporting information, Buyer’s calculation of the Earnout EBITDA  for the Earnout Period. (b) Dispute Procedures. Seller Representative shall have thirty (30) days from the  date on which the final Earnout Statement after the Earnout Period ends is  delivered to Seller Representative (the “Earnout Review Period”) to review the  Earnout Statement. Unless Seller Representative delivers written notice to Buyer  prior to 5:00 p.m. Eastern Time on or before the last day of the Earnout Review  Period that it objects to any item or items shown or reflected in the Earnout  Statement, and specifying in reasonable detail the item or items to which it objects  and reasons therefor (such item or items, the “Disputed Earnout Items” and such  notice, the “Earnout Dispute Notice”), then the Earnout Statement shall be  

 

deemed accepted by Seller Representative for all purposes hereof. In the event the  Seller Representative delivers an Earnout Dispute Notice, Seller Representative  and Buyer shall attempt in good faith to resolve each Disputed Earnout Item, and  any resolution agreed by them in writing shall be final, binding and conclusive for  all purposes of determining the Earnout Issuance, if any, under this Exhibit G. In  the event that, for any reason, Seller Representative and Buyer are unable to  resolve in writing each Disputed Earnout Item within fifteen (15) days (or such  longer period as Seller Representative and Buyer may agree in writing) following  the delivery of the Earnout Dispute Notice (such fifteen (15) day period, the  “Earnout Resolution Period”), each unresolved Disputed Earnout Item shall be  referred to the Independent Accountant for resolution in accordance with the  processes and procedures set forth in Section 2.4(b) of the Agreement for  purposes of identifying an Independent Accountant and resolving the unresolved  Disputed Earnout Items, as if the term “Buyer Statement” was replaced with  “Earnout Statement,” the term “Disputed Item” was replaced with “Disputed  Earnout Item,” the term “Dispute Notice” was replaced with the term “Earnout  Dispute Notice,” and any reference to “Section 2.4(b)” shall refer to this Section  3(b) of this Exhibit G. (c) Timing of Earnout Issuance. In the event that Buyer is required to make an  Earnout Issuance pursuant to Section 1(a) of this Exhibit G, such Earnout  Issuance shall be made in full no later than ten (10) days following the date on  which the determination of Earnout EBITDA for the Earnout Period becomes  final and binding upon the Parties as provided in this Section 3 of this Exhibit G  (including any final resolution of any Disputed Earnout Items raised by Seller  Representative in an Earnout Dispute Notice). Buyer shall make the applicable  Earnout Issuance to Sellers in book-entry form; provided that Buyer may, at any  time after the Closing Date and prior to the end of the Earnout Period, elect to  make the maximum Earnout Issuance payable to Sellers pursuant to Section 1(a)  of this Exhibit G, as applicable, in advance, which, upon payment thereof, shall  fully release and discharge Buyer, Parent and their successors and assigns from  any further liability or obligation relating to the Earnout Issuance. (d) Right of Set-off. Parent and Buyer shall have the right to withhold and set off  against any Earnout Issuance required to be made pursuant to Section 1(a) of this  Exhibit G any amounts owed by Sellers to Parent or Buyer under Section 6.2(a) of  the Agreement, subject to the terms and conditions set forth thereunder.  In the  event of any set-off, the amount of Earnout Issuance shall be escrowed with an  independent third party until the matter has been resolved in accordance with the  terms of the Agreement. (e) Treatment of Earnout Issuance. For the avoidance of doubt, any Earnout Issuance  shall be treated by the Parties as additional consideration in respect of the  Purchased Assets. 

 

* * * 

 

Exhibit H  Sample Calculation of Net Working Capital Est.ClosingNetWorkingCapital CrispResults Confidential 4/1/21 EstimatedClosingNetWorkingCapital $Amount NetWorkingCapitalCalculation $[*] $[*] $[*] - TargetNetWorkingCapitalAmount EstimatedClosingNetWorkingCapital NetWorkingCapitalAdjustment EstimatedClosingNetWorkingCapitalexceedsTargetEstimated ClosingNetWorkingCapitallessthanTarget 

 

Exhibit I PURCHASE PRICE ALLOCATION METHODOLOGY Pursuant to Section 7.4 of the Purchase Agreement dated as of April 1, 2021 (the “Agreement”),  by and among Digital Media Solutions, Inc., a Delaware corporation (“Parent”), Edge Marketing,  LLC, a Delaware limited liability company and an indirect subsidiary of Parent, and certain other  parties, and in accordance with Treasury Regulations Section 1.1060-1(a)(1), the residual method  of Treasury Regulations Sections 1.338-6 and 1.338-7, and IRS Form 8594, the Parties agree that  the Allocable Amount shall be allocated to the following asset classes in the following manner  and order of priority. All capitalized terms used but not defined in this schedule have the  meanings ascribed thereto in the Agreement.  The portion of the Allocable Amount allocated to the covenants and agreements set forth in  Section 5.1 of the Agreement shall be [$*]. The remainder of the Allocable Amount shall be  allocated to each asset class as follows: Asset Class1 Valuation Method Class I:  Cash and general deposit  accounts, other than certificates of  deposit N/A – Excluded Asset Class II:  Actively traded personal  property (including marketable  securities) and certificates of deposit N/A – Excluded Asset Class III:  Accounts Receivable Net book value at time of Closing Class IV: Inventory Net book value at time of Closing Class V:  All assets other than Class  I, II, III, IV, VI and VII assets Net book value at time of Closing  Class VI:  Intangible Property (Other  than Class VII) Fair market value at time of Closing Class VII:  Goodwill and Going  Concern Value The remainder of the Allocable  Amount not allocated to Classes I-VI 1  See Treasury Regulations Sections 1.338-6(b)(1) and 1.338-6(b)(2)(ii)-(vii).​

Exhibit 10.1
[*]: THE IDENTIFIED INFORMATION HAS BEEN OMITTED FROM THE AGREEMENT BECAUSE IT IS BOTH (i) NOT MATERIAL AND (ii) WOULD BE COMPETITIVELY HARMFUL IF PUBLICLY DISCLOSED
 Dated 17 June 2021
​
​
LEONARDO ONE, LTD.
as Borrower
and
NCL CORPORATION LTD.
as Guarantor
and
NCL INTERNATIONAL, LTD.
as Shareholder
and
NORWEGIAN CRUISE LINE HOLDINGS LTD.
as the Holding
and
THE Banks and FINANCIAL INSTITUTIONS listed IN Schedule 1 
as Lenders
and
CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK
BNP PARIBAS FORTIS S.A./N.V.
HSBC BANK PLC
KFW IPEX-BANK GMBH
CASSA DEPOSITI E PRESTITI S.P.A.
as Joint Mandated Lead Arrangers
and
CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK
as Agent 
and SACE Agent 
and
CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK
as Security Trustee
​
AMENDMENT AND RESTATEMENT AGREEMENT
relating to a facility agreement originally dated 12 April 2017
(as amended and restated by an amendment and restatement agreement dated 21 November 2017, as amended by a supplemental agreement dated 4 June 2020 and as amended and restated by an amendment and restatement agreement dated 17 February 2021)
in respect of the part financing of the 3,300 passenger cruise ship newbuilding
presently designated as Hull No. [*] at Fincantieri S.p.A

​

​

Index
Clause‌Page
1Definitions and Interpretation‌2
2Conditions Precedent and Conditions Subsequent‌4
3Representations‌5
4Amendment and Restatement of Facility Agreement and other Finance Documents‌5
5Further Assurance‌6
6Costs, Expenses and Fees‌6
7Notices‌6
8Counterparts‌7
9Signing Electronically‌7
10Governing Law‌7
11Enforcement‌7
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Schedules
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Schedule 1 The Lenders‌8
Part A The Tranche A Lenders‌8
Part B The Tranche B Lenders‌10
Part C The Tranche C Lenders‌12
Schedule 2 Conditions Precedent‌14
Schedule 3 Conditions Subsequent‌16
Schedule 4 Form of Effective Date Certificate‌17
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Execution
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Execution Pages‌8
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Appendices
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Form of Amended and Restated Facility Agreement (marked to indicate amendments)
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​
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THIS AGREEMENT is made on 17 June 2021
Parties
	(1)	LEONARDO ONE, LTD., an exempted company incorporated under the laws of Bermuda whose registered office is at Park Place, 55 Par-la-Ville Road, Hamilton HM11, Bermuda as borrower (the "Borrower")

	(2)	NCL CORPORATION LTD., an exempted company incorporated under the laws of Bermuda with its registered office at Park Place, 55 Par-la-Ville Road, Hamilton HM11, Bermuda (the "Guarantor")

	(3)	NCL INTERNATIONAL, LTD., a company incorporated under the laws of Bermuda and having its registered office at Park Place, 55 Par-la-Ville Road, Hamilton HM11, Bermuda (the "Shareholder")

	(4)	NORWEGIAN CRUISE LINE HOLDINGS LTD., a company incorporated under the laws of Bermuda with its registered office at Park Place, 55 Par-la-Ville Road, Hamilton HM11, Bermuda (the "Holding")

	(5)	THE FINANCIAL INSTITUTIONS listed in Schedule 1 (The Lenders) as lenders (the "Lenders")

	(6)	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, a French société anonyme having its registered office located at 12, Place des États-Unis, CS 70052, 92547 Montrouge Cedex, France registered under number Siren 304 187 701 at the Registre du Commerce et des Sociétés of Nanterre, France, BNP PARIBAS FORTIS S.A./N.V. of 3, Montagne du Parc, 1 KA1E, 1000 Brussels, Belgium, HSBC BANK PLC of Level 2, 8 Canada Square, London, E14 5HQ, United Kingdom, KFW IPEX-BANK GMBH of Palmengartenstraße, 5-9 60325, Frankfurt, Germany and CASSA DEPOSITI E PRESTITI S.P.A. of Via Goito, 4 – 00185, Roma, Italy as mandated lead arrangers (the "Mandated Lead Arrangers") 

	(7)	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, a French société anonyme having its registered office located at 12, Place des États-Unis, CS 70052, 92547 Montrouge Cedex, France registered under number Siren 304 187 701 at the Registre du Commerce et des Sociétés of Nanterre, France as agent and SACE agent (the "Agent" and the "SACE Agent") 

	(8)	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, a French société anonyme having its registered office located at 12, Place des États-Unis, CS 70052, 92547 Montrouge Cedex, France registered under number Siren 304 187 701 at the Registre du Commerce et des Sociétés of Nanterre, France as security trustee (the "Security Trustee") 

Background
	(A)	By the Original Facility Agreement, the Lenders agreed to make available to the Borrower a facility of (originally) the Dollar Equivalent of up to €640,000,000.00 and the amount of the SACE Premium (but not exceeding $868,108,108.11) for the purpose of assisting the Borrower in financing (a) the payment or reimbursement under the Shipbuilding Contract of all or part of 80% of the Final Contract Price up to the Eligible Amount and (b) reimbursement to the Borrower of 100% of the First Instalment of the SACE Premium paid by it to SACE and payment to SACE of 100% of the Second Instalment of the SACE Premium (as defined therein).

	(B)	Due to the unprecedented and extraordinary impacts of the Covid-19 pandemic on the cruise sector and cruise operators, the Original Facility Agreement was amended pursuant to an 

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		amendment agreement dated 4 June 2020 (the "2020 Amendment Agreement") and amended and restated pursuant to an amendment and restatement agreement dated 17 February 2021 (the "February 2021 Amendment and Restatement Agreement") pursuant to which the parties agreed to the temporary suspension of certain covenants under the Guarantee and addition of certain covenants under the Original Facility Agreement.

	(C)	The Parties have agreed to amend and restate the Facility Agreement as set out in this Agreement for the purposes of, inter alia, providing for an increase of the Facility for the purpose of (i) financing an amount to be applied towards payments relating to the Upsize Allowance (as defined below), (ii) financing an amount to be applied towards the second instalment of the Additional SACE Premium and (iii) financing an amount to be applied towards the Tranche B Premium.

Operative Provisions

	1	Definitions and Interpretation

	1.1	Definitions

In this Agreement: 
"Amended and Restated Facility Agreement" means the Facility Agreement as amended and restated by this Agreement in the form set out in the Appendix. 
"Effective Date" means the date on which the Agent notifies the Borrower, the other Creditor Parties, SACE and SIMEST as to the satisfaction of the conditions precedent as provided in paragraph (a) of Clause 2.1 (Conditions Precedent and Conditions Subsequent).
"Facility Agreement" means the Original Facility Agreement, as amended by the 2020 Amendment Agreement and as amended and restated by the February 2021 Amendment and Restatement Agreement.
"June 2021 Fee Letters" means any letter between the Agent and any Obligor which sets out the fees payable in connection with the arrangements contemplated by this Agreement.
"June 2021 Finance Documents" means this Agreement, each June 2021 Fee Letter and the Supplemental Pre-delivery Security.
"Obligors" means the Borrower, the Guarantor, the Holding and the Shareholder.
"Original Facility Agreement" means the facility agreement dated 12 April 2017 (as amended and restated by an amendment and restatement agreement dated 21 November 2017) and made between, amongst others, (i) the Borrower, (ii) the Lenders, (iii) the Mandated Lead Arrangers, (iv) the Agent and the SACE Agent and (v) the Security Trustee.
"Party" means a party to this Agreement.
"Seventh Addendum" means a seventh addendum to the Original Shipbuilding Contract, entered into in order to include the option of a new allowance of two hundred and thirty-two million Euros (€232,000,000) for Upsize Allowance in the Original Shipbuilding Contract. 

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"Shipbuilding Contract" means a shipbuilding contract dated 21 October 2016, as amended or supplemented from time to time, including on 14 December 2016, 30 January 2017, 27 February 2017, 30 March 2017, 10 April 2017 and as amended by the Sixth Addendum and the Seventh Addendum. 
"Supplemental Pre-delivery Security" means a deed to be entered into pursuant to this Agreement between the Borrower and the Security Trustee, supplemental to the Pre-delivery Security, creating security over the Pre-delivery Contracts. 
"Total Tranche B Commitments" means the aggregate of the Tranche B Commitments (as set out in further detail in Part B of Schedule 1 (The Tranche B Lenders)), being two hundred fifty-eight million, seven hundred forty-four thousand, four hundred forty-four Dollars and forty-four Cents ($258,744,444.44) as at the date of this Agreement.
"Total Tranche C Commitments" means the aggregate of the Tranche C Commitments (as set out in further detail in Part C of Schedule 1 (The Tranche C Lenders)), being sixteen million, eight hundred and sixty thousand, one hundred and fifty-six Dollars and thirty-two Cents ($16,860,156.32) as at the date of this Agreement.
"Tranche B Premium" means an additional premium to be paid by the Borrower to SACE through the SACE Agent regarding the financing of the Upsize Allowance and, with effect from the Effective Date, as further defined in paragraph (a) of clause 8.6 (Tranche B Premium) of the Amended and Restated Facility Agreement. 
"Upsize Allowance" means an allowance in relation to: 
		(a)	the supplies, other items and services linked to the construction, decoration and operation of the Ship as provisionally listed in Section 0014 of the Specification (as defined in the Shipbuilding Contract) and as further agreed between the Borrower (as Owner under the Shipbuilding Contract) and the Builder, pursuant to article 9.2 of the Shipbuilding Contract; and 

		(b)	the improvements, changes and modifications agreed between the Borrower (as Owner under the Shipbuilding Contract) and the Builder, pursuant to article 9.2 of the Shipbuilding Contract.

	1.2	Defined expressions

Defined expressions in the Facility Agreement and, with effect from the Effective Date, the Amended and Restated Facility Agreement, shall have the same meanings when used in this Agreement unless the context otherwise requires or unless otherwise defined in this Agreement.
	1.3	Application of construction and interpretation provisions of Facility Agreement

Clause 1.2 (Construction of certain terms) of the Facility Agreement applies to this Agreement as if it were expressly incorporated in it with any necessary modifications.
	1.4	Designation as a Finance Document

The Borrower and the Agent designate this Agreement as a Finance Document.

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	1.5	Third party rights 

	(a)	Unless provided to the contrary in a Finance Document, a person who is not a Party has no right under the Contracts (Rights of Third Parties) Act 1999 (the "Third Parties Act") to enforce or enjoy the benefit of any term of this Agreement other than SACE and SIMEST, who may enforce or enjoy the benefit of and rely on the provisions of this Agreement and the Amended and Restated Facility Agreement subject to the provisions of the Third Parties Act.

	(b)	Notwithstanding any term of any Finance Document, the consent of any person who is not a Party (other than SACE and SIMEST) is not required to rescind or vary this Agreement at any time. 

	(c)	For the avoidance of doubt and in accordance with clause 36.4 (Third party rights) of the Facility Agreement, nothing in this Clause 1.5 (Third party rights) shall limit or prejudice the exercise by SACE of its rights under this Agreement or the Finance Documents in the event that such rights are subrogated or assigned to it pursuant to the terms of the SACE Insurance Policy. 

	2	Conditions Precedent and Conditions Subsequent 

	2.1	The Effective Date cannot occur unless: 

	(a)	the Agent has received (or on the instructions of all the Lenders, waived receipt of) all of the documents and other evidence listed in Schedule 2 (Conditions Precedent) in form and substance satisfactory to the Agent; 

	(b)	save as disclosed in writing to the Agent and SACE prior to the date of this Agreement, the representations and warranties contained in Clause 3 (Representations) are true and correct on, and as of, each such time as if each was made with respect to the facts and circumstances existing at such time; 

	(c)	save as disclosed in writing to the Agent and SACE prior to the date of this Agreement, no Event of Default, event or circumstance specified in clause 18 (Events of Default) of the Facility Agreement which would (with the expiry of a grace period, the giving of notice, the making of any determination under the Finance Documents or any combination of any of the foregoing) be an Event of Default, event resulting in mandatory prepayment of the Loan pursuant to clause 16.3 (Mandatory prepayment – Sale and Total Loss) and clause 16.4 (Mandatory prepayment – SACE Insurance Policy) of the Facility Agreement shall have occurred and be continuing or would result from the amendment and restatement of the Facility Agreement pursuant to this Agreement; and 

	(d)	the Agent is satisfied that the Effective Date can occur and has not provided any instructions to the contrary informing the Parties that the Effective Date cannot occur. 

	2.2	Within the time periods set out in Schedule 3 (Conditions Subsequent), the Agent shall have received (or on the instructions of all the Lenders, waived receipt of) all of the documents and other evidence listed therein in form and substance satisfactory to the Agent.

	2.3	Upon fulfilment or waiver of the conditions set out in Clause 2.1 above, the Agent shall provide the Borrower and the Creditor Parties, SACE and SIMEST with a copy of the executed certificate in the form set out in Schedule 4 (Form of Effective Date Certificate) confirming that the Effective Date has occurred and such certificate shall be binding on all Parties. 

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	2.4	Other than to the extent that the Majority Lenders notify the Agent in writing to the contrary before the Agent provides the certificate described in Clause 2.3 above, the Creditor Parties authorise (but do not require) the Agent to execute and provide such certificate. The Agent shall not be liable for any damages, costs or losses whatsoever as a result of giving any such certificate.

	3	Representations

	3.1	Facility Agreement representations

On the date of this Agreement and on the Effective Date, each Obligor that is a party to the Facility Agreement makes each of the representations and warranties as set out in clause 11 (Representations and warranties) of the Facility Agreement, as amended and restated by this Agreement and updated with appropriate modifications to refer to this Agreement and (where relevant) the Amended and Restated Facility Agreement, by reference to the circumstances then existing.
	3.2	Finance Document representations

On the date of this Agreement and on the Effective Date, each Obligor (save for the Holding) makes the representations and warranties set out in the Finance Documents (other than the Facility Agreement) to which it is a party, as amended and restated and/or supplemented by this Agreement and updated with appropriate modifications to refer to this Agreement, by reference to the circumstances then existing.
	4	Amendment and Restatement of Facility Agreement and other Finance Documents

	4.1	Specific amendments to the Facility Agreement

With effect on and from the Effective Date, the Facility Agreement shall be amended and restated in the form of the Amended and Restated Facility Agreement and, as so amended and restated, the Facility Agreement shall continue to be binding on each of the parties to it in accordance with its terms as so amended and restated.
	4.2	Confirmation of Guarantee 

With effect on and from the Effective Date the Guarantor confirms that:
	(a)	the Guarantee extends to the obligations of the Borrower under the Finance Documents as amended, restated and/or supplemented by this Agreement; 

	(b)	the obligations of the relevant Obligors under the Finance Documents as amended, restated and/or supplemented by this Agreement are included in the Secured Liabilities (as defined in the Facility Agreement); and 

	(c)	the Guarantee shall continue to be binding on each of the parties to it and have full force and effect in accordance with its original terms and the amendments to the Finance Documents as amended, restated and/or supplemented by this Agreement.

	4.3	Security Confirmation 

On the Effective Date, each Obligor confirms that:

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	(a)	any Security Interest created by it under the Finance Documents extends to the obligations of the relevant Obligors under the Finance Documents as amended, restated and/or supplemented by this Agreement;

	(b)	the obligations of the relevant Obligors under the Finance Documents as amended, restated and/or supplemented by this Agreement are included in the Secured Liabilities (as defined in the Finance Documents to which it is a party); 

	(c)	the Security Interests created under the Finance Documents continue in full force and effect on the terms of the respective Finance Documents; and

	(d)	to the extent that this confirmation creates a new Security Interest, such Security Interest shall be on the terms of the Finance Documents in respect of which this confirmation is given. 

	4.4	Finance Documents to remain in full force and effect

The Finance Documents shall remain in full force and effect and, from the Effective Date:
	(a)	in the case of the Facility Agreement as amended and restated pursuant to Clause 4.1 (Specific amendments to the Facility Agreement);

	(b)	the Facility Agreement and the applicable provisions of this Agreement will be read and construed as one document; and

	(c)	except to the extent expressly waived by the amendments effected by this Agreement, no waiver is given by this Agreement and the Lenders expressly reserve all their rights and remedies in respect of any breach of or other default under the Finance Documents.

	5	Further Assurance

Clause 12.20 (Further assurance) of the Facility Agreement, as amended and restated by this Agreement, applies to this Agreement as if it were expressly incorporated in it with any necessary modifications.
	6	Costs, Expenses and Fees

	6.1	Clause 10.11 (Transaction Costs) of the Facility Agreement, as amended and restated by this Agreement, applies to this Agreement as if it were expressly incorporated in it with any necessary modifications.

	6.2	The Borrower shall pay to each of (i) the Agent for its own account and (ii) the Agent (for the account of each Lender) such fees in the amount and at the times specified in the relevant June 2021 Fee Letters.

	7	Notices

Clause 32 (Notices) of the Facility Agreement, as amended and restated by this Agreement, applies to this Agreement as if it were expressly incorporated in it with any necessary modifications.

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	8	Counterparts

This Agreement may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were on a single copy of this Agreement.
	9	Signing Electronically

The Parties acknowledge and agree that they may execute this Agreement and any variation or amendment to the same, by electronic instrument. The Parties agree that the electronic signatures appearing on the documents shall have the same effect as handwritten signatures and the use of an electronic signature on this Agreement shall have the same validity and legal effect as the use of a signature affixed by hand and is made with the intention of authenticating this Agreement, and evidencing the Parties' intention to be bound by the terms and conditions contained herein. For the purposes of using an electronic signature, the Parties authorise each other to conduct the lawful processing of personal data of the signers for contract performance and their legitimate interests including contract management.
	10	Governing Law

This Agreement and any non-contractual obligations arising out of or in connection with it are governed by English law.
	11	Enforcement

	11.1	Jurisdiction

	(a)	The courts of England have exclusive jurisdiction to settle any dispute arising out of or in connection with this Agreement (including a dispute regarding the existence, validity or termination of this Agreement or any non-contractual obligation arising out of or in connection with this Agreement) (a "Dispute").

	(b)	The Obligors accept that the courts of England are the most appropriate and convenient courts to settle Disputes and accordingly no Obligor will argue to the contrary.

	11.2	Service of process

	(a)	Without prejudice to any other mode of service allowed under any relevant law, each Obligor (other than an Obligor incorporated in England and Wales):

		(i)	irrevocably appoints Hannaford Turner LLP, currently of 107 Cheapside, London UK, EC2V 6DN, as its agent for service of process in relation to any proceedings before the English courts in connection with any Finance Document; and

		(ii)	agrees that failure by a process agent to notify the relevant Obligor of the process will not invalidate the proceedings concerned.

	(b)	If any person appointed as an agent for service of process is unable for any reason to act as agent for service of process, the Borrower (on behalf of all the Obligors) must immediately (and in any event within 10 days of such event taking place) appoint another agent on terms acceptable to the Agent. Failing this, the Agent may appoint another agent for this purpose.

This Agreement has been entered into on the date stated at the beginning of this Agreement.
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7

Leonardo One
Amendment and Restatement Agreement

Execution Pages
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BORROWER
SIGNED by) /s/ Daniel S. Farkas
duly authorised) Daniel Farkas
for and on behalf of)
LEONARDO ONE, LTD. )
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GUARANTOR 
SIGNED by) /s/ Daniel S. Farkas
duly authorised) Daniel Farkas
for and on behalf of)
NCL CORPORATION LTD. )
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SHAREHOLDER
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SIGNED by) /s/ Daniel S. Farkas
for and on behalf of) Daniel Farkas
NCL INTERNATIONAL, LTD.)
as its duly appointed attorney-in-fact)
in the presence of:) /s/ Jared G. Silberhorn
) Jared G. Silberhorn
 )7665 Corporate Center Drive
 )Miami, FL 33126 USA
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HOLDING
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SIGNED by) /s/ Daniel S. Farkas
for and on behalf of) Daniel Farkas
NORWEGIAN CRUISE LINE)
HOLDINGS LTD.)
as its duly appointed attorney-in-fact)
in the presence of:) /s/ Jared G. Silberhorn
) Jared G. Silberhorn
 ) 7665 Corporate Center Drive
) Miami, FL 33126 USA
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Leonardo One
Amendment and Restatement Agreement

LENDERS
SIGNED by ) /s/ Cosmo Fisher
duly authorised ) Cosmo Fisher
for and on behalf of) Attorney-in-Fact
CRÉDIT AGRICOLE CORPORATE)
AND INVESTMENT BANK )
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SIGNED by ) /s/ Bruno Cloquet
duly authorised ) Bruno Cloquet
for and on behalf of)Global Head of Exporters and ECAs Originations
BNP PARIBAS FORTIS S.A./N.V ) 
)/s/ Michel Froidebise
) Michel Froidebise
)Head of Export Finance Nordic Origination
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SIGNED by ) /s/ Maria Gazi
duly authorised ) Maria Gazi
for and on behalf of) Attorney-in-Fact
KFW IPEX-BANK GMBH)
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SIGNED by ) /s/ Alessandro Mazzi
duly authorised ) Alessandro Mazzi
for and on behalf of) MD — Head of Export and Asset Finance, Italy
HSBC CONTINENTAL EUROPE, ITALY)
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SIGNED by ) /s/ Enrico Semprebene
duly authorised ) Enrico Semprebene
for and on behalf of)
CASSA DEPOSITI E PRESTITI S.P.A.)
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MANDATED LEAD ARRANGERS 
SIGNED by ) /s/ Cosmo Fisher
duly authorised) Cosmo Fisher
for and on behalf of) Attorney-in-Fact
CRÉDIT AGRICOLE CORPORATE)
AND INVESTMENT BANK )
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SIGNED by ) /s/ Bruno Cloquet
duly authorised ) Bruno Cloquet
for and on behalf of)Global Head of Exporters and ECAs Origination
BNP PARIBAS FORTIS S.A./N.V ) 
)/s/ Michel Froidebise
) Michel Froidebise
) Head of Export Finance Nordic Origination
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Leonardo One
Amendment and Restatement Agreement

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SIGNED by ) /s/ Varsha Sharan
duly authorised ) Varsha Sharan
for and on behalf of) Director
HSBC BANK PLC)
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SIGNED by ) /s/ Maria Gazi
duly authorised ) Maria Gazi
for and on behalf of) Attorney-in-Fact
KFW IPEX-BANK GMBH)
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SIGNED by ) /s/ Enrico Semprebene
duly authorised ) Enrico Semprebene
for and on behalf of)
CASSA DEPOSITI E PRESTITI S.P.A.)
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AGENT
SIGNED by ) /s/ Cosmo Fisher
duly authorised ) Cosmo Fisher
for and on behalf of) Attorney-in-Fact
CRÉDIT AGRICOLE CORPORATE AND)
INVESTMENT BANK ) 
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SACE AGENT
SIGNED by ) /s/ Cosmo Fisher
duly authorised ) Cosmo Fisher
for and on behalf of) Attorney-in-Fact
CRÉDIT AGRICOLE CORPORATE AND)
INVESTMENT BANK ) 
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SECURITY TRUSTEE
SIGNED by ) /s/ Cosmo Fisher
duly authorised ) Cosmo Fisher
for and on behalf of) Attorney-in-Fact
CRÉDIT AGRICOLE CORPORATE AND)
INVESTMENT BANK )
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APPENDIX
Form of Amended and Restated Facility Agreement (marked to indicate amendments)
​
Amendments are indicated as follows:
	1	additions are indicated by underlined text in blue; and

	2	deletions are shown by strike-through text in red.

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11

Execution version

Originally dated 12 April 2017
(as amended and restated by an amendment and restatement agreement dated 21 November 2017, as amended by a supplemental agreement dated 4 June 2020, as amended and restated by an amendment and restatement agreement dated 17 February 2021 and as further amended and restated pursuant toby an amendment and restatement agreement dated _____ February_______________ 2021)
​
Term Loan Facility
​
LEONARDO ONE, LTD.
as Borrower
and
The Banks and Financial Institutions 
listed in Schedule 1
as Lenders
and
Crédit Agricole Corporate and Investment Bank
BNP PARIBAS Fortis S.A./N.V.
KFW IPEX-BANK GMBH
HSBC Bank PLC
CASSA DEPOSITI E PRESTITI S.P.A.
as Joint Mandated Lead Arrangers
and
Crédit Agricole Corporate and Investment Bank
as Agent and SACE Agent
and
Crédit Agricole Corporate and Investment Bank
as Security Trustee
with the support of
SACE S.p.A.
​
​
AMENDED AND RESTATED Facility Agreement
relating to the part financing of the 3,300 passenger cruise ship
newbuilding presently designated as
Hull No. [*] at Fincantieri S.p.A.
​

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Index
Clause‌Page
​
1Interpretation‌4
2Facility‌3336
3Conditions Precedent‌3539
4Drawdown‌4550
5Repayment‌4855
6Interest‌4855
7Interest Periods‌5360
8SACE Premium and Italian Authorities‌5461
9Fees‌5767
10Taxes, Increased Costs, Costs and Related Charges‌5868
11Representations and Warranties‌6575
12General Undertakings‌7181
13Ship Undertakings‌8393
14Insurance Undertakings‌90100
15Security Value Maintenance‌93103
16Cancellation, Prepayment and Mandatory Prepayment‌95104
17Interest on Late Payments‌98108
18Events of Default‌98108
19Application of sums received‌104114
20Indemnities‌104114
21Illegality, etc.‌107117
22Set-Off‌108118
23Bail-In‌109119
24Changes to the Lenders‌109120
25Changes to the Obligors‌115125
26Role of the Agent and the Joint Mandated Lead Arrangers‌115125
27The Security Trustee‌121131
28Conduct of business by the Creditor Parties‌132143
29Sharing among the Creditor Parties‌132143
30Payment Mechanics‌134144
31Variations and Waivers‌136146
32Notices‌137148
33Confidentiality‌139150
34Legal independence and Unconditional Obligations of the Borrower‌143154
35SACE Subrogation and Reimbursement‌144154
36Supplemental‌146156
37Governing Law‌147157
38Enforcement‌147158
39Confidentiality of Funding Rates and Reference Bank Quotations‌148158
​
Schedules
​
Schedule 1 Lenders and Commitments‌150161
Part A The Tranche A Lenders​ ​161
Part B The Tranche B Lenders​ ​163
Part C The Tranche C Lenders​ ​165
Schedule 2 Form of Drawdown Notice‌151167

‌EUROPE/67815195v7

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Schedule 3 Documents to be produced by the Builder to the Agent on Delivery‌153170
Schedule 4 Form of Transfer Certificate‌154171
Schedule 5 Qualifying Certificate‌158175
Schedule 6 Drawdown ScheduleSchedules‌160177
Part A Drawdown Schedule – Tranche A​ ​177
Part B Drawdown Schedule – Tranche B​ ​178
​
Execution
​
Execution Pages‌161179
​
​
​

‌EUROPE/67815195v7

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THIS AGREEMENT is originally made on 12 April 2017 (as amended and restated by an amendment and restatement agreement dated 21 November 2017, as amended by a supplemental agreement dated 4 June 2020, as amended and restated by an amendment and restatement dated 17 February 2021 and as further amended and restated pursuant toby an amendment and restatement agreement dated _____ February_______________ 2021)
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PARTIES
	(1)
	LEONARDO ONE, LTD., an exempted company incorporated under the laws of Bermuda whose registered office is at Park Place 55, Par-la-Ville Road, Hamilton HM 11, Bermuda as borrower (the "Borrower")

	(2)
	THE BANKS AND FINANCIAL INSTITUTIONS listed in Schedule 1 (Lenders and Commitments) as lenders (the "Lenders")

	(3)
	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, BNP PARIBAS FORTIS S.A./N.V., KFW IPEX-BANK GMBH, HSBC BANK PLC and CASSA DEPOSITI E PRESTITI S.P.A. as joint mandated lead arrangers (the "Joint Mandated Lead Arrangers")

	(4)
	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, acting though its office at 12 Place des États-Unis, CS 70052, 92547, Montrouge Cedex, France, as agent (the "Agent") and SACE agent (the "SACE Agent")

	(5)
	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, acting though its office at 12 Place des États-Unis, CS 70052, 92547, Montrouge Cedex, France, as security trustee (the "Security Trustee")

BACKGROUND
	(A)
	By a shipbuilding contract dated as of 21 October 2016 (as amended or supplemented from time to time, including on 14 December 2016, 30 January 2017, 27 February 2017, 30 March 2017, and 10 April 2017 and 21 November 2017 (the "Original Shipbuilding Contract")) entered into between (i) Fincantieri S.p.A., a company incorporated in Italy with registered office in Trieste, via Genova, 1, and having fiscal code 00397130584 (the "Builder") and (ii) the Borrower, the Builder agreed to design, construct and deliver, and the Borrower agreed to purchase, a 3,300 passenger cruise ship with hull number [*], which is to be delivered to the Borrower on [*] subject to any adjustments of such delivery date in accordance with the Shipbuilding Contract.

	(B)
	The total price payable by the Borrower to the Builder under the Shipbuilding Contract is eight hundred million Euros (€800,000,000) (the "Initial Contract Price") payable on the following terms:

		(i)
	as to [*], being [*], by an initial payment which is to be within 5 Business Days after the effective date of the Shipbuilding Contract in accordance with Article 10.1(A) of the Shipbuilding Contract ("First Shipbuilding Contract Instalment");

		(ii)
	as to [*], being [*], on the later of the date of commencement of steel cutting and the date falling 24 months prior to the Intended Delivery Date;

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		(iii)
	as to [*], being [*], on the later of keel laying in dry-dock and the date falling 18 months prior to the Intended Delivery Date;

		(iv)
	as to [*], being [*], on the later of launching and the date falling 12 months prior to the Intended Delivery Date; and

		(v)
	as to [*], being [*], on delivery of the Ship on the Delivery Date,

as each such event is described in the Shipbuilding Contract.
	(C)
	The agreement was that the Initial Contract Price may be decreased at delivery of the Ship under Articles 13, 14, 16, 17, 19 and 20 of the Shipbuilding Contract (in aggregate the "Liquidated Damages") or by mutual agreement between the parties (the Initial Contract Price adjusted as aforesaid being the "Final Contract Price"). For the avoidance of doubt, under the Shipbuilding Contract the price of the Ship may be increased or decreased pursuant to Article 24 thereof but, for the purposes of this Agreement, the Final Contract Price will not include any increase in the price under Article 24.

	(D)
	By a facility agreement dated 12 April 2017 (the "Original Facility Agreement") entered into between the Borrower, the Lenders, the Joint Mandated Lead Arrangers, the Agent, the SACE Agent and the Security Trustee (as defined therein), the Lenders agreed to make available to the Borrower a Dollar loan facility for the purpose of assisting the Borrower in financing, subject to exchange rate fluctuations, up to eighty per cent. (80%) of the Final Contract Price (and subject to an aggregate amount no greater than the Eligible Amount) and one hundred per cent. (100%) of the SACE Premium.

	(E)
	It is a condition precedent:

		(i)
	under the Original Shipbuilding Contract that each instalment of the price payable under the Original Shipbuilding Contract (save for the delivery instalment) be covered by a Refund Guarantee issued by a Refund Guarantor; and

		(ii)
	under the Original Facility Agreement that no later than the Drawdown Date in respect of each Advance under Tranche A (save for the Delivery Advance under Tranche A), the Agent shall have received a certified copy of any executed Refund Guarantee.

	(F)
	The Builder requested that a sixth addendum to the Original Shipbuilding Contract (the "Sixth Addendum") be signed in order that the Builder should have the option, in case a Refund Guarantee cannot be renewed or extended, to replace any previously issued Refund Guarantee with a cash deposit (the "Acceptable Deposit") (the Original Shipbuilding Contract as amended pursuant to the Sixth Addendum, the "Shipbuilding Contract").

	(G)
	By an amending and restating agreement dated 21 November 2017 (the "2017 Amending and Restating Agreement") entered into between the Borrower, the Lenders, the Agent and the Security Trustee (as defined therein), the Secured Parties (as defined below) agreed to amend the Original Facility Agreement and the other Finance Documents to reflect the changes to the Shipbuilding Contract pursuant to the terms of the Sixth Addendum, provided that:

		(i)
	the Acceptable Deposit be held in an account opened by the Borrower with the Account Bank which shall be pledged in favour of the Lenders, the Joint Mandated Lead Arrangers, the Agent, the SACE Agent and the Security Trustee; and

		(ii)
	the next instalment under the Shipbuilding Contract is covered by a Refund Guarantee.

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	(H)
	Due to the unprecedented and extraordinary impacts of the Covid-19 pandemic on the cruise sector and cruise operators, SACE informed the cruise operators of its availability to evaluate certain measures (the "Temporary Measures") applicable in relation to certain qualifying loan agreements in order to assist companies which are financially sound but dealing with the impact of the temporary but unprecedented Covid-19 pandemic; the possibility to access to such measures was subject, amongst other things, to certain principles titled "Cruise Debt Holiday Principles" offered by SACE dated 15 April 2020 for cruise lines offered by SACE (the "Original Principles"). 

	(I)
	Pursuant to the consent request letter dated 18 April 2020, the Borrower and the Guarantor notified the Agent and the SACE Agent of the wish to benefit from the Temporary Measures in relation to certain loan agreements listed therein, including the Original Facility Agreement (as amended and restated by the 2017 Amending and Restating Agreement), and requested, amongst other things, the temporary suspension of certain covenants under the Original Guarantee (as defined below) and the addition of certain covenants under the Original Facility Agreement (as amended and restated by the 2017 Amending and Restating Agreement) for a period of one year from 1 April 2020 to 31 March 2021 (the "Borrower Request").

	(J)
	On 25 May 2020, the Agent (for and on behalf of the Lenders (as defined in the Original Facility Agreement (as amended and restated by the 2017 Amending and Restating Agreement))) provided its consent to part of the Borrower Request in accordance with and subject to certain conditions as set out in an amendment to the Original Facility Agreement (as amended and restated by the 2017 Amending and Restating Agreement) and to the Original Guarantee dated 4 June 2020 between, amongst others, the Borrower, the Agent and the SACE Agent (the "2020 Amendment Agreement") (the Original Facility Agreement as amended pursuant to the 2017 Amending and Restating Agreement and the 2020 Amendment Agreement, the "Facility Agreement").

	(K)
	Due to the continued impacts of the Covid-19 pandemic on the cruise sector and cruise operators, SACE confirmed on 31 December 2020 its availability to evaluate an extension of the Temporary Measures (the "Extended Temporary Measures"), again subject to certain principles set out in a document titled "Debt Deferral Extension Framework for ECA-backed Export Financings" dated 26 November 2020 for cruise lines offered by SACE (together with the Original Principles, the "Principles"). 

	(L)
	Pursuant to the consent request letter dated 3 December 2020, the Borrower and the Guarantor notified the Agent and the SACE Agent of the wish to benefit from the Extended Temporary Measures in relation to certain loan agreements listed therein, including the Original Facility Agreement (as amended and restated by the 2017 Amending and Restating Agreement and as amended by the 2020 Amendment Agreement), and requested, amongst other things, the further temporary suspension of certain covenants under the Original Guarantee (as amended by the 2020 Amendment Agreement) and the addition of certain covenants under the Facility Agreement (as defined below) for a further period from 1 April 2021 to 31 December 2022 (the "Second Borrower Request"). 

	(M)
	On 25 January 2021, the Agent (for and on behalf of the Lenders (as defined in the 2020 Amendment Agreement)) provided its consent to part of the Second Borrower Request in accordance with and subject to certain conditions as set out in an amendment and restatement agreement to the Original Facility Agreement dated _____(as amended and restated by the 2017 Amending and Restating Agreement and as amended by the 2020 Amendment Agreement) dated 17 February 2021 between, amongst others, the Borrower, the Agent and the SACE Agent (the "February 2021 Amendment and Restatement Agreement"). 

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(the Original Facility Agreement as amended and restated by the 2017 Amending and Restating Agreement, as amended by the 2020 Amendment Agreement and as amended and restated by the February 2021 Amendment and Restatement Agreement, the "Facility Agreement").
	(N)
	A seventh addendum to the Original Shipbuilding Contract (the "Seventh Addendum") has been entered into in order to include the option of a new allowance of two hundred and thirty two million Euros (€232,000,000) for owner supplies and change orders in the Original Shipbuilding Contract (the Original Shipbuilding Contract as amended pursuant to the Sixth Addendum and the Seventh Addendum, the "Shipbuilding Contract").

	(O)
	The Parties have agreed to amend and restate the Facility Agreement as set out in an amendment and restatement agreement dated _____ June 2021 and made between, amongst others, the Borrower, the Agent, the SACE Agent and the Security Trustee in order to, inter alia, provide for an increase of the Facility for the purpose of (i) financing an amount to be applied towards payments relating to the Upsize Allowance (as defined below), (ii) financing an amount to be applied towards the second instalment of the Additional SACE Premium (as defined below) and (iii) financing an amount to be applied towards the Tranche B Premium (as defined below) (the "June 2021 Amendment and Restatement Agreement").

	(NP)
	This Agreement sets out the terms and conditions of the Facility Agreement as amended and restated by the June 2021 Amendment and Restatement Agreement.

OPERATIVE PROVISIONS
	1  
	Interpretation

	1.1
	Definitions

Subject to Clause 1.6 (General Interpretation), in this Agreement:
"2017 Amending and Restating Agreement" has the meaning given to such term in Recital G.
"2020 Amendment Agreement" has the meaning given to such term in Recital J.
"2020 Deferral Effective Date" has the meaning given to the term Effective Date in the 2020 Amendment Agreement. 
"2020 Deferral Fee Letters" means any letter between the Agent and any Obligor which sets out the fees payable in connection with the arrangements contemplated by the 2020 Amendment Agreement. 
"2021 Amendment and Restatement Agreement" has the meaning given to such term in Recital M.
"2021 Deferral Effective Date" has the meaning given to the term Effective Date in the February 2021 Amendment and Restatement Agreement.
"2021 Deferral Fee Letters" means any letter between the Agent or the SACE Agent and any Obligor which sets out the fees payable in connection with the arrangements contemplated by the February 2021 Amendment and Restatement Agreement.
"Acceptable Deposit" means a cash deposit for an amount equal to the cumulative total of the principal and interest secured by the relevant Refund Guarantee which is to be paid by the 

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Builder (a) for security purposes in favour of the Borrower and under its control, the Builder agreeing that it shall not have any control rights in respect of the deposit, that the Borrower may freely assign, charge, pledge or otherwise convey its rights in relation to the deposit to its financiers and SACE without the need to seek or obtain any approval or consent from the Builder, and that the Borrower shall be entitled to claim payment of the deposit in the same circumstances that it could claim payment of a Refund Guarantee, and (b) to the Account Bank by or before the relevant due date for payment of the deposit in accordance with Article 10.3 of the Shipbuilding Contract.
"Account" means a Euro account of the Borrower opened or to be opened with the Account Bank and subject to an Account Pledge.
"Account Bank" means Crédit Agricole Corporate and Investment Bank, being pursuant to the terms of the Shipbuilding Contract, the legal person designated by written notice by the Borrower to the Builder at any time to hold an Acceptable Deposit.
"Account Pledge" means any pledge of an Acceptable Deposit granted in favour of the Security Trustee, the Joint Mandated Lead Arrangers, the Agent, the SACE Agent and the Lenders.
"Additional SACE Premium" has the meaning given to such term in Clause 8.5 (Additional Premium).
"Advance" means the principal amount of each borrowing of all or part of a Tranche by the Borrower under this Agreement.
"Affiliate" means in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other Subsidiary of that Holding Company.
"Agent" means Crédit Agricole Corporate and Investment Bank, a French "société anonyme", having a share capital of seven billion eight hundred and fifty one million six hundred and thirty six thousand three hundred and forty two Euros (€7,851,636,342.00) and its registered office located at 12, Place des États-Unis, CS 70052, 92547 Montrouge Cedex, France, registered under the n° Siren 304 187 701 at the Registre du Commerce et des Sociétés of Nanterre or any successor of it appointed under Clause 26 (Role of the Agent and the Joint Mandated Lead Arrangers).
"Aggregate SACE Premium" means, together, the SACE Premium, the Additional SACE Premium and the Tranche B Premium.
"Amended Maximum Loan Amount" means the aggregate of: 
		(a)
	the Original Maximum Loan Amount, financed or to be financed pursuant to Tranche A, provided that such amount shall not, at any time, exceed the Total Tranche A Commitments; 

(b)
		(i)
	the Dollar Equivalent of Euros one hundred eighty-five million six hundred thousand (€185,600.000), corresponding to the amount to be financed in relation to the Upsize Allowance, financed or to be financed pursuant to Tranche B; 

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		(ii)
	100% of the Tranche B Premium to be paid in accordance with paragraph (a) of Clause 8.6 (Tranche B Premium),

provided that such amount shall not, at any time, exceed the Total Tranche B Commitments; and 
		(c)
	the second instalment of the Additional SACE Premium, calculated in accordance with paragraph (a)(ii) of Clause 8.5 (Additional Premium), financed or to be financed pursuant to Tranche C, provided that such amount shall not, at any time, exceed the Total Tranche C Commitments, 

provided that such aggregate amount shall not, at any time, exceed the Total Commitments.
"Annex VI" means Annex VI (Regulations for the Prevention of Air Pollution from Ships, entered into on 19 May, 2005) to the International Convention for the Prevention of Pollution from Ships 1973, as modified by the Protocol of 1978 relating thereto and by the Protocol of 1997 (MARPOL) and as further revised in October 2008 with such revised version having entered into force on 1 July 2010.
"Approved Broker" means Clarkson Platou, Barry Rogliano Salles, Fearnleys AS, Rocca & Partners, Brax Shipbrokers AS (or any Affiliate of such person through which valuations are commonly issued) or such other shipbroker or ship valuer experienced in valuing cruise ships nominated by the Borrower and approved by the Agent.
"Approved Flag" means the Bermudian flag, the Marshall Islands flag, the Bahamas flag or such other flag as the Agent may, with the approval of the Italian Authorities and at least three Lenders representing as a minimum the Majority Lenders, approve from time to time.
"Approved Manager" means any of the Borrower, NCL Corporation Ltd., NCL (Bahamas) Ltd. or other member of the Group, or any company which is not a member of the Group which the Agent may, with the authorisation of the Majority Lenders, approve from time to time as the manager of the Ship.
"Approved Manager's Undertaking" means, in the event that the Approved Manager is a company other than the Borrower, a letter of undertaking executed or to be executed by the Approved Manager in favour of the Agent, which will include, without limitation, an agreement by the Approved Manager to subordinate its rights against the Ship and the Borrower to the rights of the Secured Parties under the Finance Documents, in the agreed form.
"Article 55 BRRD" means Article 55 of Directive 2014/59/EU establishing a framework for the recovery and resolution of credit institutions and investment firms.
"Availability Period" means, in relation to Tranche A, the period commencing on the date of the Original Facility Agreement and, in relation to Tranche B and Tranche C, the period commencing on the date of this Agreement, and ending on: 
		(a)
	the earlier to occur of (i) the Delivery Date and (ii) 25 February 2023 (or such later date as the Agent may, with the authorisation of the Lenders, agree with the Borrower); or

		(b)
	if earlier, the date on which the Total Commitments are fully borrowed, cancelled or terminated.

"Bail-In Action" means the exercise of any Write-down and Conversion Powers.

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"Bail-In Legislation" means:
		(a)
	in relation to an EEA Member Country which has implemented, or which at any time implements, Article 55 BRRD, the relevant implementing law or regulation as described in the EU Bail-In Legislation Schedule from time to time; and

		(b)
	in relation to any state other than such an EEA Member Country or (to the extent that the United Kingdom is not such an EEA Member Country) the United Kingdom, any analogous law or regulation from time to time which requires contractual recognition of any Write-down and Conversion Powers contained in that law or regulation.

"Base Rate" means one Euro for [*] Dollars.
"Bermudian Obligors" means the Borrower, the Shareholder and the Guarantor.
"Builder" has the meaning given in Recital (A).
"Business Day" means:
		(a)
	for the purposes of Recital (B) above, a day (other than a Saturday or a Sunday) on which banks are open in Paris, New York, Milan and Rome; and

		(b)
	for the purposes of any other provision in this Agreement, a day (other than a Saturday or a Sunday) on which banks are open in London, Frankfurt, Rome, Brussels and Paris and, in relation to any payment to be made to the Builder, Milan and, in respect of a day on which a payment is required to be made under a Finance Document, also in New York City.

"CDP" means Cassa Depositi e Prestiti S.p.A..
"Certified Copy" means in relation to any document delivered or issued by or on behalf of any company, a copy of such document certified as a true, complete and up-to-date copy of the original by any of the directors or the secretary or assistant secretary or any attorney-in-fact for the time being of that company.
"Charged Property" means all of the assets which from time to time are, or are expressed to be, the subject of Security Interests pursuant to the Finance Documents.
"CIRR" (Commercial Interest Reference Rate) means two point fifty-three per cent. (2.53%) per annum or any other CIRR rate being the fixed rate for medium and long term export credits in Dollars applicable to the financing of the Ship according to the Organisation for Economic Co-operation and Development rules as determined by the competent Italian Authorities.
"Code" means the United States Internal Revenue Code of 1986.
"Code of Ethics" means the code of ethics adopted by CDP, available on CDP's website (http://www.cdp.it/static/upload/cdp/cdp_code_ethics.pdf).
"Commitment" means, in relation to a Lender, the percentage of the Maximum Loan Amount set opposite its name in Schedule 1 (Lenders and Commitments), or, as the case may require, the amount specified in the relevant Transfer Certificate, as that amount may be reduced, cancelled or terminated in accordance with this Agreement (and "Total Commitments" means 

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the aggregate of the Commitments of all the Lenders).a Tranche A Commitment, a Tranche B Commitment or a Tranche C Commitment.
"Compliance Certificate" has the meaning given to the term "Compliance Certificate" in the Guarantee.
"Confidential Information" means all information relating to any Obligor, the Group, the Finance Documents or the Loan of which a Secured Party becomes aware in its capacity as, or for the purpose of becoming, a Secured Party or which is received by a Secured Party in relation to, or for the purpose of becoming a Secured Party under, the Finance Documents or the Loan from either:
		(a)
	any member of the Group or any of its advisers; or

		(b)
	another Secured Party, if the information was obtained by that Secured Party directly or indirectly from any member of the Group or any of its advisers,

in whatever form, and includes information given orally and any document, electronic file or any other way of representing or recording information which contains or is derived or copied from such information but excludes information that:
		(i)
	is or becomes public information other than as a direct or indirect result of any breach by that Secured Party of Clause 33 (Confidentiality); or

		(ii)
	is identified in writing at the time of delivery as non-confidential by any member of the Group or any of its advisers; or

		(iii)
	is known by that Secured Party before the date the information is disclosed to it in accordance with paragraphs (a) or (b) above or is lawfully obtained by that Secured Party after that date, from a source which is, as far as that Secured Party is aware, unconnected with the Group and which, in either case, as far as that Secured Party is aware, has not been obtained in breach of, and is not otherwise subject to, any obligation of confidentiality.

"Confidentiality Undertaking" means a confidentiality undertaking in substantially the appropriate form recommended by the LMA from time to time or in any other form agreed between the Borrower and the Agent.
"Contribution" means, in relation to a Lender, the part of the Loan which is owing to that Lender.
"Conversion Rate" means the rate determined by the Agent on the Conversion Rate Fixing Date and notified to the Borrower as being the lower of:
		(a)
	the Base Rate; or

		(b)
	the FOREX Contracts Weighted Average Rate.

"Conversion Rate Fixing Date" means:
		(a)
	in respect of each Advance under a Tranche save for the Delivery Advance under that Tranche, the date falling [*] days before the relevant Drawdown Date under that Tranche; and

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		(b)
	in respect of the Delivery Advance under a Tranche, the date falling [*] days before the Delivery Date.

"Corresponding Debt" means any amount, other than any Parallel Debt, which an Obligor owes to a Creditor Party under or in connection with the Finance Documents.
"Creditor Party" means the Agent, the Security Trustee, the SACE Agent, the Joint Mandated Lead Arrangers or any Lender, whether as at the date of the Original Facility Agreement or at any later time.
"Deferral Fee Letters" means any of the 2020 Deferral Fee Letters and/or the 2021 Deferral Fee Letters.
"Deferral Period" means the period from 1 April 2020 to 31 December 2022. 
"Delivery Advance" means, subject to the provisions of Clause 8.4 (Refund) and paragraphs (e) and (f) of Clause 8.6 (Tranche B Premium), the Advance under a Tranche to be made available (as applicable) for drawing on the Delivery Date.
"Delivery Date" means the date and time of delivery of the Ship by the Builder to the Borrower as stated in the Protocol of Delivery and Acceptance.
"Document of Compliance" has the meaning given to it in the ISM Code.
"Dollar Equivalent" means such amount in Dollars as is calculated by the Agent on the Conversion Rate Fixing Date to be the equivalent of an amount in Euro at the Conversion Rate.
"Dollars" and "$" means the lawful currency for the time being of the United States of America.
"Downgraded Refund Guarantor" means a Refund Guarantor who has become subject to a RG Downgrade Event.
"Drawdown Date" means, in relation to an Advance under a Tranche, the date on which that Advance is drawn down and applied in accordance with Clause 2 (Facility).
"Drawdown Notice" means a notice in the form set out in Schedule 2 (Form of Drawdown Notice) (or in any other form which the Agent approves or reasonably requires).
"Earnings" means all moneys whatsoever which are now, or later become, payable (actually or contingently) to the Borrower and which arise out of the use or operation of the Ship, including (but not limited to):
		(a)
	all freight, hire, fare and passage moneys, compensation payable to the Borrower or the Agent in the event of requisition of the Ship for hire, remuneration for salvage and towage services, demurrage and detention moneys and damages for breach (or payments for variation or termination) of any charterparty or other contract for the employment of the Ship;

		(b)
	all moneys which are at any time payable under Insurances in respect of loss of earnings;

		(c)
	all moneys which are at any time payable to the Borrower in respect of the general average contribution; and

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		(d)
	if and whenever the Ship is employed on terms whereby any moneys falling within paragraphs (a) or (b) above are pooled or shared with any other person, that proportion of the net receipts of the relevant pooling or sharing arrangement which is attributable to the Ship.

"EEA Member Country" means any member state of the European Union, Iceland, Liechtenstein and Norway.
"Eligible Amount" means eighty per cent. (80%) of the lesser of:
		(a)
	the Dollar Equivalent of eight hundred million Euros (€800,000,000); and

		(b)
	the Dollar Equivalent of the Final Contract Price.

"Environmental Approval" means any present or future permit, ruling, variance or other authorisation required under Environmental Laws.
"Environmental Claim" means any claim by any governmental, judicial or regulatory authority or any other person which arises out of an Environmental Incident or an alleged Environmental Incident or which relates to any Environmental Law and, for this purpose, "claim" includes a claim for damages, compensation, contribution, injury, fines, losses and penalties or any other payment of any kind, including in relation to clean-up and removal, whether or not similar to the foregoing; an order or direction to take, or not to take, certain action or to desist from or suspend certain action; and any form of enforcement or regulatory action, including the arrest or attachment of any asset.
"Environmental Incident" means:
		(a)
	any release, emission, spill or discharge into the Ship or into or upon the air, sea, land or soils (including the seabed) or surface water of Environmentally Sensitive Material within or from the Ship; or

		(b)
	any incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or upon the air, sea, land or soils (including the seabed) or surface water from a vessel other than the Ship and which involves a collision between the Ship and such other vessel or some other incident of navigation or operation, in either case, in connection with which the Ship is actually or potentially liable to be arrested, attached, detained or injuncted and/or the Ship and/or any Obligor and/or any operator or manager of the Ship is at fault or allegedly at fault or otherwise liable to any legal or administrative action; or

		(c)
	any other incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or upon the air, sea, land or soils (including the seabed) or surface water otherwise than from the Ship and in connection with which the Ship is actually or potentially liable to be arrested and/or where any Obligor and/or any operator or manager of the Ship is at fault or allegedly at fault or otherwise liable to any legal or administrative action, other than in accordance with an Environmental Approval.

"Environmental Law" means any present or future law relating to pollution or protection of human health or the environment, to conditions in the workplace, to the carriage, generation, handling, storage, use, release or spillage of Environmentally Sensitive Material or to actual or threatened releases of Environmentally Sensitive Material.

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"Environmentally Sensitive Material" means and includes all contaminants, oil, oil products, toxic substances and any other substance (including any chemical, gas or other hazardous or noxious substance) which is (or is capable of being or becoming) polluting, toxic or hazardous.
"Equator Principles" means the standards entitled "A financial industry benchmark for determining, assessing and managing environmental and social risk in projects" dated June 2013 and adopted by certain financial institutions, as the same may be amended or supplemented from time to time.
"EU Bail-In Legislation Schedule" means the document described as such and published by the Loan Market Association (or any successor person) from time to time.
"Euro" and "EUR" means the single currency of the Participating Member States.
"Event of Default" means any of the events or circumstances described in Clause 18.1 (Events of Default).
"Existing Indebtedness" means Financial Indebtedness referred to in the financial statements of the Guarantor delivered to the Agent prior to the date of this Agreement.
"Exporter Declaration" means a declaration to be issued for Advances under Tranche A and Tranche B in respect of which interest is payable at the Fixed Interest Rate, in the form required by SIMEST at the relevant time duly signed by an authorised signatory of the Builder.
"Facility" means the term loan facility under Tranche A, Tranche B and Tranche C, made or to be made available under this Agreement as described in Clause 2.1 (Amount of facility).
"Facility Agreement" has the meaning given to such term in Recital (JM).
"Facility Office" means the office or offices notified by a Lender to the Agent in writing on or before the date it becomes a Lender (or, following that date, by not less than five (5) Business Days' written notice) as the office or offices through which it will perform its obligations under this Agreement.
"FATCA" means:
		(a)
	sections 1471 to 1474 of the Code or any associated regulations;

		(b)
	any treaty, law or regulation of any other jurisdiction, or relating to an intergovernmental agreement between the US and any other jurisdiction, which (in either case) facilitates the implementation of paragraph (a) above; or

		(c)
	any agreement pursuant to the implementation of paragraphs (a) or (b) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction.

"FATCA Application Date" means:
		(a)
	in relation to a "withholdable payment" described in section 1473(1)(A)(i) of the Code (which relates to payments of interest and certain other payments from sources within the US), 1 July 2014;

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		(b)
	in relation to a "withholdable payment" described in section 1473(1)(A)(ii) of the Code (which relates to "gross proceeds" from the disposition of property of a type that can produce interest from sources within the US), 1 January 2019; or

		(c)
	in relation to a "passthru payment" described in section 1471(d)(7) of the Code not falling within paragraphs (a) or (b) above, 1 January 2019,

or, in each case, such other date from which such payment may become subject to a deduction or withholding required by FATCA as a result of any change in FATCA after the date of the Original Facility Agreement.
"FATCA Deduction" means a deduction or withholding from a payment under a Finance Document required by FATCA.
"FATCA Exempt Party" means a Party that is entitled to receive payments free from any FATCA Deduction.
"February 2021 Amendment and Restatement Agreement" has the meaning given to such term in Recital (M).
"Fee Letter" means any letter dated on or about the date of the Original Facility Agreement between the SACE Agent and the Borrower setting out the fees referred to in paragraph (d) of Clause 9 (Fees).
"Finance Documents" means:
		(a)
	the 2017 Amending and Restating Agreement;

		(b)
	the 2020 Amendment Agreement;

		(c)
	the February 2021 Amendment and Restatement Agreement;

		(d)
	the Deferral Fee LettersJune 2021 Amendment and Restatement Agreement; 

		(e)
	this Agreement;

		(f)
	any Fee Letter;

		(g)
	the Deferral Fee Letters;

		(h)
	the June 2021 Fee Letters; 

		(gi)
	the Guarantee;

		(hj)
	the Pre-delivery Security;

		(k)
	the Supplemental Pre-Delivery Security; 

		(il)
	the General Assignment;

		(jm)
	the Mortgage;

		(kn)
	the Post-Delivery Assignment;

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		(lo)
	any Subordinated Debt Security;

		(mp)
	the Shares Security Deed;

		(nq)
	the Approved Manager's Undertaking;

		(or)
	any Transfer Certificate;

		(ps)
	any Compliance Certificate;

		(qt)
	any Drawdown Notice;

		(ru)
	any other document (whether creating a Security Interest or not) which is executed as security for, or for the purpose of establishing any priority or subordination arrangement in relation to, the Secured Liabilities; and

		(sv)
	any other document (whether creating a Security Interest or not) which is designated as a Finance Document by agreement between the Borrower, SACE and the Agent.

"Final Contract Price" has the meaning given in Recital (C).
"Financial Indebtedness" means, in relation to a person (the "debtor"), a liability of the debtor:
		(a)
	for principal, interest or any other sum payable in respect of any moneys borrowed or raised by the debtor;

		(b)
	under any loan stock, bond, note or other security issued by the debtor;

		(c)
	under any acceptance credit, guarantee or letter of credit facility made available to the debtor;

		(d)
	under a financial lease, a deferred purchase consideration arrangement or any other agreement having the commercial effect of a borrowing or raising of money by the debtor;

		(e)
	under any foreign exchange transaction, any interest or currency swap or any other kind of derivative transaction entered into by the debtor or, if the agreement under which any such transaction is entered into requires netting of mutual liabilities, the liability of the debtor for the net amount;

		(f)
	under a guarantee, indemnity or similar obligation entered into by the debtor in respect of a liability of another person which would fall within paragraphs (a) to (e) if the references to the debtor referred to the other person; or

		(g)
	arising from receivables sold or discounted (other than receivables to the extent they are sold on a non-recourse basis).

"First Instalment" means the first instalment of the SACE Premium as more particularly described in paragraph (a) of Clause 8.1 (SACE Premium).
"Fixed Interest Rate" means, in respect of any Interest Period, the rate per annum determined by the Agent to be the aggregate of:
		(a)
	the applicable Margin; and

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		(b)
	the CIRR.

"Floating Interest Rate" means, in respect of any Interest Period, the rate per annum determined by the Agent to be the aggregate of:
		(a)
	the applicable Margin; and

		(b)
	LIBOR for the relevant period.

"FOREX Contracts" means each actual purchase contract, spot or forward contract and any other contract, such as an option or collar arrangement, which is entered into in the foreign exchange markets for the acquisition of Euro intended to pay the instalments under the Shipbuilding Contract, which:
		(a)
	matures not later than each Drawdown Date, provided that for the Delivery Advance, option arrangements may mature up to one month after such date if at the time they are entered into there exists a reasonable uncertainty as to the date on which the Ship will be delivered;

		(b)
	is entered into by the Borrower or the Guarantor or a combination of the foregoing not later than two (2) days before the Conversion Rate Fixing Date so that the Borrower, directly or through the Guarantor, purchases or may purchase Euro with Dollars at a pre-agreed rate; and

		(c)
	is notified to the Agent within ten (10) days of its execution but in any event no later than the day preceding the Conversion Rate Fixing Date, with a Certified Copy of each such contract being delivered to the Agent at such time.

"FOREX Contracts Weighted Average Rate" means the rate determined by the Agent on the Conversion Rate Fixing Date in accordance with the following principles which (inter alia) are intended to take into account any maturity mismatch between the maturity of the FOREX Contracts and each Drawdown Date as well as FOREX Contracts that are unwound as part of the hedging strategy of the Borrower:
		(a)
	FOREX Contracts that are spot or forward foreign exchange contracts, if any, shall be valued at the contract value (taking into account any rescheduling);

		(b)
	the difference between the Euro amount available under (a) above and the Euro amount balance payable to the Builder on each Drawdown Date is assumed to be purchased at the official daily fixing rate of the European Central Bank for the purchase of Euro with Dollars as displayed on World Markets Reuters (or such other pages as may replace that page on that service or a successor service) at or around 1 p.m. (London time) on the Conversion Rate Fixing Date;

		(c)
	any FOREX Contract which is an option or collar arrangement and is not unwound at the Conversion Rate Fixing Date will be marked to market and the resulting profit or loss shall reduce or increase the Dollar countervalue of the purchased Euro;

		(d)
	any FOREX Contract which is an option or collar arrangement and is sold or purchased back at the time FOREX Contract(s) are entered into for an identical Euro amount shall be accounted for the net premium cost or profit, as the case may be.

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Any marked to market valuation, as required in paragraph (c) above, shall be performed by Crédit Agricole Corporate and Investment Bank's dedicated desk in accordance with market practices. The Borrower shall have the right to request indicative valuations from time to time prior to the Conversion Rate Fixing Date.
"Funding Rate" means any individual rate notified by a Lender to the Agent pursuant to sub-paragraph (ii) of paragraph (a) of Clause 6.9 (Cost of funds).
"GAAP" means generally accepted accounting principles in the United States of America consistently applied (or, if not consistently applied, accompanied by details of the inconsistencies) including, without limitation, those set forth in the opinion and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board.
"General Assignment" means an assignment of any Management Agreement, the Earnings, the Insurances and any Requisition Compensation, executed or to be executed by the Borrower and, in the event that the Approved Manager is not a member of the Group and is named as a co-assured in the Insurances, the Approved Manager in favour of the Security Trustee in the agreed form.
"Gross Negligence" means any act or omission, whether deliberate or not, which in the circumstances (including both the probability and seriousness of the consequences likely to result) would reasonably be regarded by those familiar with the nature of the activity in question and with the surrounding circumstances, as amounting to the reckless disregard of, or serious indifference to, the consequences, being in any case more than a negligent failure to exercise proper skill and care.
"Group" means the Guarantor and its Subsidiaries.
"Guarantee" means the Original Guarantee, as amended pursuant to the 2020 Amendment Agreement and as amended and restated pursuant to the February 2021 Amendment and Restatement Agreement, and as may be further amended and/or supplemented from time to time.
"Guarantor" means NCL Corporation Ltd., a Bermuda company with its registered office at Park Place 55, Par-la-Ville Road, Hamilton HM 11, Bermuda.
"Holding" means Norwegian Cruise Line Holdings Ltd., a company incorporated under the laws of Bermuda with its registered office at Park Place 55, Par-la-Ville Road, Hamilton HM 11, Bermuda.
"Holding Company" means, in relation to a person, any other person in respect of which it is a Subsidiary.
"IAPPC" means a valid international air pollution prevention certificate for the Ship issued under Annex VI.
"Illicit Origin" means any origin which is illicit, fraudulent or in breach of Sanctions including, without limitation, drug trafficking, corruption, organised criminal activities, terrorism, money laundering or fraud.
"Information Package" means:

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		(a)
	 the information package in connection with the "Debt Holiday" application in the form set out in schedule [4] (Information Package) of the 2020 Amendment Agreement, submitted by the Borrower (or the Guarantor on its behalf) in order to obtain the benefit of the measures provided for in the Original Principles; and

		(b)
	the information package in connection with the "Debt Holiday" application in the form set out in schedule [4] (Information Package) of the February 2021 Amendment and Restatement Agreement, submitted by the Borrower (or the Guarantor on its behalf) in order to obtain the benefit of the measures provided for in the Principles for the purpose of this Agreement and certain of the Borrower's and the Guarantor's obligations under this Agreement.

"Initial Contract Price" has the meaning given in Recital (B).
"Insurances" means:
		(a)
	all policies and contracts of insurance, including entries of the Ship in any protection and indemnity or war risks association, which are effected in respect of the Ship, its Earnings or otherwise in relation to it; and

		(b)
	all rights and other assets relating to, or derived from any of such policies, contracts or entries, including any rights to a return of a premium.

"Intended Delivery Date" means [*] (the date on which the Ship will be ready for delivery pursuant to the Shipbuilding Contract as at the date of the Original Facility Agreement) or any other date notified by the Borrower to the Agent in accordance with paragraph (a) of Clause 3.123.13 (No later than sixty (60) days before the Intended Delivery Date) or paragraph (b) of Clause 3.143.15 (No later than five (5) Business Days before the Intended Delivery Date) as being the date on which the Builder and the Borrower have agreed that the Ship will be ready for delivery pursuant to the Shipbuilding Contract.
"Interest Make-Up Agreement" means an interest make up agreement (Capitolato) to be entered into between SIMEST and the Agent on behalf of the Lenders and in form and substance acceptable to the Joint Mandated Lead Arrangers, whereby, inter alia, the return to the Lenders on the Loan made hereunder will be supplemented by SIMEST so that it equals that which the Lenders would have received if interest were payable on the Loan at LIBOR plus the Margin.
"Interest Period" means a period determined in accordance with Clause 7 (Interest Periods).
"Interpolated Screen Rate" means, in relation to the Loan or any part of the Loan, the rate which results from interpolating on a linear basis between: 
		(a)
	the applicable Screen Rate for the longest period (for which that Screen Rate is available) which is less than the Interest Period of the Loan or that part of the Loan; and 

		(b)
	the applicable Screen Rate for the shortest period (for which that Screen Rate is available) which exceeds the Interest Period of the Loan or that part of the Loan,

each as of the Specified Time for Dollars. 

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"ISM Code" means the International Safety Management Code for the safe operation of ships and for pollution prevention (including the guidelines on its implementation), adopted by the International Maritime Organisation as the same may be amended or supplemented from time to time.
"ISPS Code" means the International Ship and Port Facility Security (ISPS) Code adopted by the International Maritime Organisation (IMO) Diplomatic Conference of December 2002, as the same may be amended or supplemented from time to time.
"Italian Authorities" means SACE and/or SIMEST and any other relevant Italian authorities involved in the implementation of the Loan.
​
"June 2021 Amendment and Restatement Agreement" has the meaning given to this term in Recital (O). 
"June 2021 Fee Letters" means any letter between the Agent or the SACE Agent and any Obligor which sets out the fees payable in connection with the arrangements contemplated by the June 2021 Amendment and Restatement Agreement. 
"Legislative Decree 231/01" means the Italian legislative decree of 8 June 2001, no. 231 (Disciplina della responsabilità amministrativa delle persone giurdiche, delle società e delle associazioni anche prive di personalità giuridica, a norma dell'articolo 11 della legge 29 settembre 2000, n.300) as amended from time to time, on administrative vicarious liability of corporate entities.
"Lender" means a bank, financial institution, trust, fund or other entity listed in Schedule 1 (Lenders and Commitments) and acting through its Facility Office or its transferee, successor or assign.Tranche A Lender, a Tranche B Lender or a Tranche C Lender.
"LIBOR" means, in relation to the Loan or any part of the Loan:
		(a)
	the applicable Screen Rate as of the Specified Time for Dollars and for a period equal in length to the Interest Period of the Loan or that part of the Loan; or

		(b)
	as otherwise determined pursuant to Clause 6.6 (Unavailability of Screen Rate). 

and if, in either case, that rate is less than zero, LIBOR shall be deemed to be zero.
"Loan" means the aggregate principal amount outstanding for the time being outstanding under this Agreementof the borrowings under the Facility and a "part of the Loan" means an Advance, a Tranche or a part of a Tranche.
"Majority Lenders" means:
		(a)
	before the first Advance under Tranche A has been made, Lenders whose Commitments total [*] per cent. of the Total Commitments; and

		(b)
	after any Advance under any Tranche has been made, Lenders whose Contributions total [*] per cent. of the Loan.

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"Management Agreement" means the management agreement (if any) entered or to be entered into between the Borrower and an Approved Manager which is not a member of the Group with respect to the Ship on terms reasonably acceptable to the Majority Lenders and SACE.
"Margin" means:
		(a)
	in relation to the Fixed Interest Rate zero point fifteen per cent. (0.15%) per annum; and

		(b)
	in relation to the Floating Interest Rate one point sixty-five per cent. (1.65%) per annum.

"Maritime Registry" means the maritime registry which the Borrower will specify to the Lenders no later than 90 days before the Intended Delivery Date, being that of Bermuda, the Marshall Islands, Bahamas or such other registry as the Agent may, with the approval of the Italian Authorities and at least three Lenders representing as a minimum the Majority Lenders, approve.
"Material Adverse Effect" means the occurrence of any event or circumstance which reasonably would be expected to have a material adverse effect on:
		(a)
	the business, operations, property, condition (financial or otherwise) of any Obligor or the Group as a whole; or

		(b)
	the ability of any Obligor to perform its obligations under any Finance Document and/or any Pre-delivery Contract; or

		(c)
	the validity or enforceability of, or the effectiveness or ranking of any Security Interest granted or intended to be granted pursuant to any of, the Finance Documents or the rights or remedies of any Secured Party under any of the Finance Documents.

"Material Provisions" means Article 1 (Subject of the Contract), Article 2 (Vessel's Classification – Rules and Regulations – Certificates), Article 8 (Delivery), Article 9 (Price), Article 13 (Speed – Liquidated Damages), Article 14 (Deadweight – Liquidated Damages), Article 17 (Fuel Oil Consumption – Liquidated Damages), Article 19 (Maximum Amount of Liquidated Damages), Article 20 (Termination of the Contract – Liquidated Damages to be paid by the Builder), Article 23 (Insurance), Article 25 (Guarantee – Liability), Article 26 (Permissible Delay), Article 29 (Assignment of the Contract), and Article 30 (Law of the Contract – Disputes) of the Shipbuilding Contract.
"Maximum Loan Amount" means the aggregate of:
		(a)
	the Dollar Equivalent of six hundred and forty million Euros (€640,000,000.00); and

		(b)
	one hundred per cent. (100%) of the SACE Premium to be paid in accordance with Clause 8.1 (SACE Premium),

provided that such amount shall not, at any time, exceed eight hundred and sixty-eight million, one hundred and eight thousand, one hundred and eight Dollars and eleven Cents ($868,108,108.11).

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"Minor Modification" means a modification of the plans or the specification or the construction of the Ship under Article 24 of the Shipbuilding Contract, resulting in a contract price increase or decrease of less than [*] Euros (€[*]).
"Model" means the principles of the compliance system adopted by CDP pursuant to Legislative Decree 231/01, available on CDP's website (http://www.cdp.it/static/upload/pri/ principles-of-the-compliance-system.pdf).
"Mortgage" means the first priority mortgage on the Ship acceptable for registration on the Approved Flag and, if applicable, deed of covenant, executed or to be executed by the Borrower in favour of the Security Trustee in the agreed form.
"Obligors" means the Borrower, the Guarantor, the Shareholder and (in the event that the Approved Manager is a member of the Group) the Approved Manager.
"Original Facility Agreement" has the meaning given to such term in Recital (D).
"Original Guarantee" means the guarantee issued by the Guarantor in favour of the Security Trustee on 12 April 2017.
"Original Jurisdiction" means, in relation to an Obligor, the jurisdiction under whose laws that Obligor is incorporated as at the date of this Agreement.
"Original Maximum Loan Amount" means the aggregate of:
		(a)
	the Dollar Equivalent of six hundred and forty million Euros (€640,000,000.00); and

		(b)
	one hundred per cent. (100%) of the SACE Premium to be paid in accordance with Clause 8.1 (SACE Premium),

provided that such amount shall not, at any time, exceed eight hundred and sixty-eight million, one hundred and eight thousand, one hundred and eight Dollars and eleven Cents ($868,108,108.11).
"Original Principles" has the meaning given in Recital (H)
"Overnight LIBOR" means, in relation to the Loan or any part of the Loan:
		(a)
	on any date, the applicable day to day Screen Rate as of the Specified Time for Dollars; or

		(b)
	as otherwise determined pursuant to Clause 6.6 (Unavailability of Screen Rate),

and if, in either case, that rate is less than zero, Overnight LIBOR shall be deemed to be zero. 
"Overseas Regulations" means the United Kingdom Overseas Companies Regulations 2009.
"Parallel Debt" means any amount which an Obligor owes to the Security Trustee under Clause 27.2 (Parallel Debt (Covenant to pay the Security Trustee)).
"Participating Member State" means any member state of the European Union that adopts or has adopted the euro as its lawful currency in accordance with legislation of the European Union relating to Economic and Monetary Union.

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"Party" means a party to this Agreement from time to time.
"Permitted Financial Indebtedness" means any Financial Indebtedness:
		(a)
	incurred under the Finance Documents; or

		(b)
	permitted pursuant to Clause 12.14 (Financial Indebtedness and subordination of indebtedness).

"Permitted Security Interests" means:
		(a)
	in the case of the Borrower:

		(i)
	any of the Security Interests referred to in paragraph (b)(ii)(A) below; and

		(ii)
	any of the Security Interests referred to in paragraphs (b)(ii)(B), (b)(ii)(C), (b)(ii)(E), (b)(ii)(H) and (b)(ii)(I) below if, by reason of any chartering or management arrangements for the Ship approved by the Agent pursuant to the provisions of this Agreement, such Security Interests are created by the Borrower in the case of paragraphs (b)(ii)(C) or (b)(ii)(E) or incurred by the Borrower in the case of paragraphs (b)(ii)(B), (b)(ii)(H) or (b)(ii)(I); and

		(b)
	in the case of the Guarantor:

		(i)
	any of the Security Interests referred to in paragraphs (b)(ii)(A), (b)(ii)(D), (b)(ii)(F) and (b)(ii)(G) below; and

		(ii)
	any of the Security Interests referred to in paragraphs (C), (E), (H) and (I) below if, by reason of any chartering or management arrangements for the Ship approved by the Agent pursuant to the provisions of this Agreement, such Security Interests are created by the Guarantor in the case of paragraphs (C) or (E) or incurred by the Guarantor in the case of paragraphs (H) or (I);

		(A)
	any Security Interest created by or pursuant to the Finance Documents and any deposits or other Security Interests placed or incurred in connection with any bond or other surety from time to time provided to the US Federal Maritime Commission in order to comply with laws, regulations and rules applicable to the operators of passenger vessels operating to or from ports in the United States of America;

		(B)
	liens on the Ship up to an aggregate amount at any time not exceeding [*] for current crew's wages and salvage and liens incurred in the ordinary course of trading the Ship;

		(C)
	any deposits or pledges up to an aggregate amount at any time not exceeding [*] to secure the performance of bids, tenders, bonds or contracts required in the ordinary course of business;

		(D)
	any other Security Interest including in relation to the Existing Indebtedness over the assets of any Obligor other than the Borrower notified by the Borrower or any of the Obligors to the Agent and accepted by it prior to the date of this Agreement;

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		(E)
	(without prejudice to the provisions of Clause 12.14 (Financial Indebtedness and subordination of indebtedness)) liens on assets leased, acquired or upgraded after the date of the Original Facility Agreement or assets newly constructed or converted after the date of the Original Facility Agreement provided that (i) such liens secure Financial Indebtedness otherwise permitted under this Agreement, (ii) such liens are incurred at the time of such lease, acquisition, upgrade, construction or conversion and (iii) the Financial Indebtedness secured by such liens does not exceed the cost of such upgrade or the cost of such assets acquired or leased;

		(F)
	other liens arising in the ordinary course of business of the Group unrelated to Financial Indebtedness and securing obligations not yet delinquent or which are being contested in good faith by appropriate proceedings and for which adequate reserves have been established provided that (i) the aggregate amount of all cash and the fair market value of all other property subject to such liens as are described in this paragraph (F) does not exceed [*] and (ii) such cash and/or other property is not an asset of the Borrower;

		(G)
	subject to the other provisions of this Agreement and the Guarantee, any Security Interest in respect of existing Financial Indebtedness of a person which becomes a Subsidiary of the Guarantor or is merged with or into the Guarantor or any of its subsidiaries;

		(H)
	liens in favour of credit card companies on unearned customer deposits pursuant to agreements therewith; and

		(I)
	liens in favour of customers on unearned customer deposits.

"Pertinent Document" means:
		(a)
	any Finance Document;

		(b)
	any policy or contract of insurance contemplated by or referred to in Clause 12 (General Undertakings) or any other provision of this Agreement or another Finance Document;

		(c)
	any other document contemplated by or referred to in any Finance Document; and

		(d)
	any document which has been or is at any time sent by or to the Agent in contemplation of or in connection with any Finance Document or any policy, contract or document falling within paragraphs (b) or (c).

"Pertinent Matter" means:
		(a)
	any transaction or matter contemplated by, arising out of, or in connection with a Pertinent Document; or

		(b)
	any statement relating to a Pertinent Document or to a transaction or matter falling within paragraph (a);

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and covers any such transaction, matter or statement, whether entered into, arising or made at any time before the signing of this Agreement or on or at any time after that signing.
"Poseidon Principles" means the financial industry framework for assessing and disclosing the climate alignment of ship finance portfolios published in June 2019 as the same may be amended or replaced to reflect changes in applicable law or regulation or the introduction of or changes to mandatory requirements of the International Maritime Organisation from time to time.
"Post-Delivery Assignment" means an assignment of the rights of the Borrower in respect of the post-delivery guarantee liability of the Builder under Article 25 of the Shipbuilding Contract executed or to be executed by the Borrower in favour of the Security Trustee in the agreed form.
"Pre-delivery Contracts" means the Shipbuilding Contract and the Refund Guarantee.
"Pre-delivery Security" means:
		(a)
	any document creating security over the Pre-delivery Contracts in agreed form; and/or

		(b)
	an Account Pledge in agreed form.

"Principles" has the meaning given in Recital (K).
"Prohibited Payment" means:
		(a)
	any offer, gift, payment, promise to pay, commission, fee, loan or other consideration which would constitute bribery or an improper gift or payment under, or a breach of Sanctions, any laws of the Republic of Italy, England and Wales, Bermuda, the Council of the European Union, Germany, the United States of America or any other applicable jurisdiction; or

		(b)
	any offer, gift, payment, promise to pay, commission, fee, loan or other consideration which would or might constitute bribery within the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions of 17 December 1997.

"Prohibited Person" means any person (whether designated by name or by reason of being included in a class of persons) against whom Sanctions are directed.
"Protocol of Delivery and Acceptance" means the protocol of delivery and acceptance of the Ship to be signed by the Borrower and the Builder in accordance with Article 8 of the Shipbuilding Contract.
"Qualifying Certificate" means the certificate to be issued by the Builder on each Drawdown Date under Tranche A and under Tranche B and issued to the Agent and copied to the Borrower substantially in the form set out in Schedule 5 (Qualifying Certificate).
"Quotation Day" means in relation to any period for which an interest rate is to be determined, two Business Days before the first day of that period unless market practice differs in the Relevant Interbank Market in which case the Quotation Day will be determined by the Agent in accordance with market practice in the Relevant Interbank Market (and if quotations would 

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normally be given by leading banks in the Relevant Interbank Market on more than one day, the Quotation Day will be the last of those days).
"Reference Bank Quotation" means any quotation supplied to the Agent by a Reference Bank. 
"Reference Bank Rate" means the arithmetic mean of the rates (rounded upwards to four decimal places) as supplied to the Agent at its request by the Reference Banks:
		(ia)
	if: 

		(Ai)
	the Reference Bank is a contributor to the Screen Rate; and 

		(Bii)
	it consists of a single figure, 

as the rate (applied to the relevant Reference Bank and the relevant currency and period) which contributors to the Screen Rate are asked to submit to the relevant administrator; or 
		(iib)
	in any other case, as the rate at which the relevant Reference Bank could fund itself in Dollars for the relevant period with reference to the unsecured wholesale funding market.

"Reference Banks" means such entities as may be appointed by the Agent in consultation with the Borrower. 
"Refund Guarantee" means any irrevocable and unconditional guarantee issued or to be issued by a Refund Guarantor in favour of the Borrower under the Shipbuilding Contract in the form annexed to the Sixth Addendum or in any other form acceptable to the Joint Mandated Lead Arrangers and the SACE Agent.
"Refund Guarantor" means a bank, insurance company or other financial institution acceptable to the Lenders and SACE which, at the time of issue by it of a Refund Guarantee, has a minimum credit rating of at least BBB- at Standard & Poor's (or, where the relevant Refund Guarantor is not rated by Standard & Poor's, the equivalent rating at Moody's or where the relevant Refund Guarantor is not rated by Standard & Poor's or Moody's, the equivalent rating at Fitch).
"Relevant Interbank Market" means the London interbank market.
"Relevant Jurisdiction" means, in relation to an Obligor:
		(a)
	its jurisdiction of incorporation;

		(b)
	any jurisdiction where any asset subject to, or intended to be subject to, any of the Security Interests created, or intended to be created, under the Finance Documents to which it is a party is situated;

		(c)
	any jurisdiction where it conducts its business; and

		(d)
	the jurisdiction whose laws govern the perfection of any of the Security Interests created, or intended to be created, under the Finance Documents to which it is a party.

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"Relevant Nominating Body" means any applicable central bank, regulator or other supervisory authority or a group of them, or any working group or committee sponsored or chaired by, or constituted at the request of, any of them or the Financial Stability Board.
"Repayment Date" means a date on which a repayment is required to be made under Clause 5 (Repayment).
"Replacement Benchmark" means a benchmark rate which is:
		(ia)
	formally designated, nominated or recommended as the replacement for a Screen Rate by: 

		(Ai)
	the administrator of that Screen Rate (provided that the market or economic reality that such benchmark rate measures is the same as that measured by that Screen Rate); or

		(Bii)
	any Relevant Nominating Body,

and if replacements have, at the relevant time, been formally designated, nominated or recommended under both paragraphs, the "Replacement Benchmark" will be the replacement under paragraph (Bii) above; 
		(iib)
	in the opinion of the Majority Lenders and the Borrower, generally accepted in the international or any relevant domestic syndicated loan markets as the appropriate successor to a Screen Rate; or 

		(iiic)
	in the opinion of the Majority Lenders and the Borrower, an appropriate successor to a Screen Rate.

"Representative" means any delegate, agent, manager, administrator, nominee, attorney, trustee or custodian.
"Requisition Compensation" includes all compensation or other moneys payable by reason of any act or event such as is referred to in paragraph (b) of the definition of "Total Loss".
"Restricted Country" means a country or territory that is the subject of any comprehensive Sanctions barring dealings with such country or territory.
"Resolution Authority" means any body which has authority to exercise any Write-down and Conversion Powers.
"RG Downgrade Event" means an event which occurs when a Refund Guarantor ceases to maintain a credit rating of at least BBB- at Standard & Poor's (or, where the relevant Refund Guarantor is not rated by Standard & Poor's, the equivalent rating at Moody's or where the relevant Refund Guarantor is not rated by Standard & Poor's or Moody's, the equivalent rating at Fitch).
"SACE" means SACE S.p.A., an Italian joint stock company (società per azioni) with a sole shareholder, whose registered office is located at Piazza Poli 37/42, 00187 Rome, Italy and registered with the Companies Registry of Rome under number 05804521002.
"SACE Agent" means Crédit Agricole Corporate and Investment Bank, a French "société anonyme", having a share capital of seven billion eight hundred and fifty one million six 

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hundred and thirty six thousand three hundred and forty two Euros (€7,851,636,342.00) and its registered office located at 12, Place des États-Unis, CS 70052, 92547 Montrouge Cedex, France, registered under the n° Siren 304 187 701 at the Registre du Commerce et des Sociétés of Nanterre or any successor of it appointed under Clause 26 (Role of the Agent and the Joint Mandated Lead Arrangers).
"SACE Insurance Policy" means the insurance policy (as amended and supplemented from time to time) in respect of this Agreement (which, in all material respects, is not inconsistent with the commercial terms of this Agreement) issued or to be issued by SACE for the benefit of the Lenders in respect of one hundred per cent. (100%) of the Loan in form and substance satisfactory to the Agent and all the Lenders.
"SACE Premium" means the amount payable by the Borrower to SACE directly or through the Agent in two instalments, being the SACE Premium Instalments, in respect of the SACE Insurance Policy as set out in Clause 88.1 (SACE Premium and Italian Authorities), in addition to the Additional SACE Premium (provided, for the avoidance of doubt, that the Additional SACE Premium shall not be financed).
"SACE Premium Instalments" means each of the First Instalment and Second Instalment.
"SACE Required Documents" means in relation to each Drawdown Notice under Tranche A and under Tranche B:
		(a)
	a duly completed and executed Qualifying Certificate; and

		(b)
	each of the other documents, information and other evidence specified in or required to be enclosed with such Qualifying Certificate.

"Safety Management Certificate" has the meaning given to it in the ISM Code.
"Sanctions" means any sanctions, embargoes, freezing provisions, prohibitions or other restrictions relating to trading, doing business, investment, exporting, financing or making assets available (or other activities similar to or connected with any of the foregoing):
		(a)
	imposed by law or regulation of the United Kingdom, the Council of the European Union, the United Nations or its Security Council or imposed by any member state of the European Union or Switzerland;

		(b)
	imposed by the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC); or

		(c)
	otherwise imposed by any law or regulation.

"Screen Rate" means the London interbank offered rate administered by ICE Benchmark Administration Limited (or any other person which takes over the administration of that rate) for Dollars for the relevant period displayed (before any correction, recalculation or republication by the administrator) on page LIBOR01 of the Thomson Reuters screen (or any replacement Thomson Reuters page which displays that rate) or on the appropriate page of such other information service which publishes that rate from time to time in place of Thomson Reuters. If such page or service ceases to be available, the Agent may specify another page or service displaying the relevant rate after consultation with the Borrower.
"Screen Rate Contingency Period" means fifteen (15) Business Days. 

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"Screen Rate Replacement Event" means, in relation to a Screen Rate: 
		(a)
	the methodology, formula or other means of determining that Screen Rate has, in the opinion of the Majority Lenders and the Borrower materially changed;

(b)
(i)
		(A)
	the administrator of that Screen Rate or its supervisor publicly announces that such administrator is insolvent; or 

		(B)
	information is published in any order, decree, notice, petition or filing, however described, or filed with a court, tribunal, exchange, regulatory authority or similar administrative, regulatory or judicial body which reasonably confirms that the administrator of that Screen Rate is insolvent,

provided that, in each case, at that time, there is no successor administrator to continue to provide that Screen Rate; 
		(ii)
	the administrator of that Screen Rate publicly announces that it has ceased or will cease, to provide that Screen Rate permanently or indefinitely and, at that time, there is no successor administrator to continue to provide that Screen Rate; 

		(iii)
	the supervisor of the administrator of that Screen Rate publicly announces that such Screen Rate has been or will be permanently or indefinitely discontinued; or 

		(iv)
	the administrator of that Screen Rate or its supervisor announces that that Screen Rate may no longer be used; or 

		(v)
	in the case of a Screen Rate for LIBOR, the supervisor of the administrator of that Screen Rate makes a public announcement or publishes information: 

		(A)
	stating that that Screen Rate is no longer or, as of a specified future date will no longer be, representative of the underlying market or economic reality that it is intended to measure and that representativeness will not be restored (as determined by such supervisor); and 

		(B)
	with awareness that any such announcement or publication will engage certain triggers for fallback provisions in contracts which may be activated by any such pre-cessation announcement or publication; or

		(c)
	the administrator of that Screen Rate determines that that Screen Rate should be calculated in accordance with its reduced submissions or other contingency or fallback policies or arrangements and either: 

		(i)
	the circumstance(s) or event(s) leading to such determination are not (in the opinion of the Majority Lenders and the Borrower) temporary; or

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		(ii)
	that Screen Rate is calculated in accordance with any such policy or arrangement for a period no less than the Screen Rate Contingency Period; or

		(d)
	in the opinion of the Majority Lenders and the Borrower, that Screen Rate is otherwise no longer appropriate for the purposes of calculating interest under this Agreement. 

"Second Instalment" means the second instalment of the SACE Premium as more particularly described in paragraph (b) of Clause 8.1 (SACE Premium).
"Secured Liabilities" means all liabilities which the Borrower, the Obligors or any of them have, at the date of the Original Facility Agreement or at any later time or times, under or in connection with any Finance Document or any judgment relating to any Finance Document; and for this purpose, there shall be disregarded any total or partial discharge of these liabilities, or variation of their terms, which is effected by, or in connection with, any bankruptcy, liquidation, arrangement or other procedure under the insolvency laws of any country.
"Secured Party" means SACE, the Agent, the Security Trustee, the SACE Agent, the Joint Mandated Lead Arrangers or any Lender whether at the date of the Original Facility Agreement or any later time.
"Security Interest" means:
		(a)
	a mortgage, charge (whether fixed or floating) or pledge, any maritime or other lien, assignment, hypothecation or any other security interest of any kind or other agreement or arrangement having the effect of conferring security;

		(b)
	the security rights of a plaintiff under an action in rem; and

		(c)
	any arrangement entered into by a person (A) the effect of which is to place another person (B) in a position which is similar, in economic terms, to the position in which B would have been had he held a security interest over an asset of A; but this paragraph (c) does not apply to a right of set off or combination of accounts conferred by the standard terms of business of a bank or financial institution.

"Security Period" means the period commencing on the date of the Original Facility Agreement and ending on the date on which:
		(a)
	all amounts which have become due for payment by the Borrower or any Obligor under the Finance Documents have been paid;

		(b)
	no amount is owing or has accrued (without yet having become due for payment) under any Finance Document;

		(c)
	neither the Borrower nor any other Obligor has any future or contingent liability under Clause 19 (Application of sums received) below or any other provision of this Agreement or another Finance Document; and

		(d)
	the Agent does not consider that there is a significant risk that any payment or transaction under a Finance Document would be set aside, or would have to be reversed or adjusted, in any present or possible future bankruptcy of the Borrower or an Obligor or in any present or possible future proceeding relating to a Finance Document or any asset covered (or previously covered) by a Security Interest created by a Finance Document.

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"Security Property" means:
		(a)
	the Security Interests expressed to be granted in favour of the Security Trustee as trustee for the Secured Parties and all proceeds received or recovered by or on behalf of the Security Trustee under or by virtue of any Security Interest including any money or other assets which are received or recovered by it as a result of the enforcement or exercise by it of such a Security Interest or right;

		(b)
	all obligations expressed to be undertaken by an Obligor to pay amounts in respect of the Secured Liabilities to the Security Trustee as trustee for the Secured Parties and secured by the Security Interests together with all representations and warranties expressed to be given by an Obligor in favour of the Security Trustee as trustee for the Secured Parties;

		(c)
	the Security Trustee's interest in any turnover trust created under the Finance Documents;

		(d)
	any other amounts or property, whether rights, entitlements, choses in action or otherwise, actual or contingent, which the Security Trustee is required by the terms of the Finance Documents to hold as trustee on trust for the Secured Parties,

except:
		(i)
	rights intended for the sole benefit of the Security Trustee; and

		(ii)
	any moneys or other assets which the Security Trustee has transferred to the Agent or (being entitled to do so) has retained in accordance with the provisions of this Agreement.

"Security Requirement" means the amount in Dollars (as certified by the Agent whose certificate shall, in the absence of manifest error, be conclusive and binding on the Borrower and the Agent) which is at any relevant time one hundred and twenty-five per cent (125%) of the Loan.
"Security Trustee" means Crédit Agricole Corporate and Investment Bank, a French "société anonyme", having a share capital of seven billion eight hundred and fifty one million six hundred and thirty six thousand three hundred and forty two Euros (€7,851,636,342.00) and its registered office located at 12, Place des États-Unis, CS 70052, 92547 Montrouge Cedex, France, registered under the n° Siren 304 187 701 at the Registre du Commerce et des Sociétés of Nanterre or any successor of it appointed under Clause 27 (The Security Trustee).
"Security Value" means the amount in Dollars (as certified by the Agent whose certificate shall, in the absence of manifest error, be conclusive and binding on the Borrower and the Agent) which, at any relevant time, is the aggregate of (i) the charter free market value of the Ship as most recently determined in accordance with Clause 13.4 (Valuation of the Ship); and (ii) the market value of any additional security for the time being actually provided to the Agent pursuant to Clause 15 (Security Value Maintenance).
"Servicing Party" means the Agent or the Security Trustee.
"Shares Security Deed" means a Bermudian law document dated 12 April 2017, executed by the Shareholder in favour of the Security Trustee and creating security over the share capital in the Borrower in the agreed form.

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"Shareholder" means NCL International Ltd., a Bermuda company with its registered office at Park Place 55, Par-la-Ville Road, Hamilton HM 11, Bermuda.
"Ship" means the passenger cruise ship currently designated with Hull No. [*] (as more particularly described in the Shipbuilding Contract) to be constructed under the Shipbuilding Contract and to be delivered to, and purchased by, the Borrower and registered in its name under an Approved Flag.
"Shipbuilding Contract" has the meaning given in Recital (FN).
"SIMEST" means Società Italiana per Le Imprese all'Estero - SIMEST Spa, which grants export subsidies in Italy under and according to the Italian Legislative Decree n. 143/98 and its amendments.
"Specified Time" means a day or time determined in accordance with the following: 
		(a)
	if LIBOR is fixed, the Quotation Day as of 11:00 am London time; and

		(b)
	in relation to a Reference Bank Rate calculated by reference to the available quotations in accordance with Clause 6.7 (Calculation of Reference Bank Rate), noon on the Quotation Day.

"Subordinated Debt Security" has the meaning given in paragraph (b)(ii) of Clause 12.14 (Financial Indebtedness and subordination of indebtedness).
"Subsidiary" has the following meaning:
a company (S) is a subsidiary of another company (P) if:
		(a)
	a majority of the issued shares in S (or a majority of the issued shares in S which carry unlimited rights to capital and income distributions) are directly owned by P or are indirectly attributable to P; or

		(b)
	P has direct or indirect control over a majority of the voting rights attaching to the issued shares of S; or

		(c)
	P has the direct or indirect power to appoint or remove a majority of the directors of S; or

		(d)
	P otherwise has the direct or indirect power to ensure that the affairs of S are conducted in accordance with the wishes of P,

and any company of which S is a subsidiary is a parent company of S.
"Supplemental Pre-delivery Security" means a deed to be entered into pursuant to the June 2021 Amendment and Restatement Agreement between the Borrower and the Security Trustee, supplemental to the Pre-delivery Security, creating security over the Pre-delivery Contracts. 
"Tax" means any tax, levy, impost, duty, assessment, fee, deduction or other charge or withholding of a similar nature imposed by any governmental authority (including any penalty or interest payable in connection with any failure to pay or any delay in paying any of the same).

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"Total Commitments" means the aggregate of the Total Tranche A Commitments, the Total Tranche B Commitments and the Total Tranche C Commitments.
"Total Loss" means:
		(a)
	actual, constructive, compromised, agreed or arranged total loss of the Ship;

		(b)
	any expropriation, confiscation, requisition or acquisition of the Ship, whether for full consideration, a consideration less than its proper value, a nominal consideration or without any consideration, which is effected by any government or official authority or by any person or persons claiming to be or to represent a government or official authority, (excluding a requisition for hire for a fixed period not exceeding 1 year without any right to an extension) unless it is within 1 month redelivered to the Borrower's full control;

		(c)
	any arrest, capture, seizure or detention of the Ship (including any hijacking or theft) unless it is within 1 month redelivered to the Borrower's full control.

"Total Loss Date" means:
		(a)
	in the case of an actual loss of the Ship, the date on which it occurred or, if that is unknown, the date when the Ship was last heard of;

		(b)
	in the case of a constructive, compromised, agreed or arranged total loss of the Ship, the earliest of:

		(i)
	the date on which a notice of abandonment is given to the insurers; and

		(ii)
	the date of any compromise, arrangement or agreement made by or on behalf of the Borrower with the Ship's insurers in which the insurers agree to treat the Ship as a total loss; and

		(c)
	in the case of any other type of total loss, on the date (or the most likely date) on which it appears to the Agent acting reasonably and in consultation with the Borrower that the event constituting the total loss occurred.

"Total Tranche A Commitments" means the aggregate of the Tranche A Commitments, being eight hundred and sixty-eight million, one hundred and eight thousand, one hundred and eight Dollars and eleven Cents ($868,108,108.11) as at the date of the Original Facility Agreement. 
"Total Tranche B Commitments" means the aggregate of the Tranche B Commitments, being two hundred and fifty-eight million, seven hundred and forty-four thousand, four hundred and forty-four Dollars and forty-four Cents ($258,744,444.44) as at the date of this Agreement.
"Total Tranche C Commitments" means the aggregate of the Tranche C Commitments, being sixteen million, eight hundred and sixty thousand, one hundred and fifty-six Dollars and thirty-two Cents ($16,860,156.32) as at the date of this Agreement.
"Tranche" means Tranche A, Tranche B or Tranche C. 
"Tranche A" means the part of the Facility made or to be made available by the Tranche A Lenders to the Borrower to finance (i) up to the Eligible Amount, the Dollar Equivalent of six hundred and forty million Euros (€640,000,000.00), corresponding to all or part of eighty per 

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cent. (80%) of the Final Contract Price, (ii) the First Instalment of the SACE Premium and (iii) the Second Instalment of the SACE Premium. 
"Tranche A Commitments" means, in relation to a Tranche A Lender, the amount set opposite its name under the heading "Tranche A Lenders" in Part A of Schedule 1 (Lenders and Commitments) and the amount of any other Tranche A Commitment transferred to it under this Agreement, to the extent not cancelled, reduced, terminated or transferred by it under this Agreement. 
"Tranche A Lender" means a bank, financial institution, trust, fund or other entity listed in Part A of Schedule 1 (Lenders and Commitments) and acting through its Facility Office or its transferee, successor or assign.
"Tranche B" means the part of the Facility to be made available by the Tranche B Lenders to the Borrower to finance: 
		(i)
	up to the Upsize Allowance Eligible Amount, the Dollar Equivalent of Euros one hundred eighty-five million six hundred thousand (€185,600,000), corresponding to all or part of eighty per cent. (80%) of the Upsize Allowance Price; and

		(ii)
	100% of the Tranche B Premium to be paid in accordance with paragraph (a) of Clause 8.6 (Tranche B Premium). 

"Tranche B Commitments" means, in relation to a Tranche B Lender, the amount set opposite its name under the heading "Tranche B Lenders" in Part B of Schedule 1 (Lenders and Commitments) and the amount of any other Tranche B Commitment transferred to it under this Agreement, to the extent not cancelled, reduced, terminated or transferred by it under this Agreement. 
"Tranche B Lender" means a bank, financial institution, trust, fund or other entity listed in Part B of Schedule 1 (Lenders and Commitments) and acting through its Facility Office or its transferee, successor or assign.
"Tranche B Premium" has the meaning given to this term in paragraph (a) of Clause 8.6 (Tranche B Premium). 
"Tranche C" means the part of the Facility to be made available by the Tranche C Lenders to the Borrower to finance, if applicable, the second instalment of the Additional SACE Premium, calculated in accordance with paragraph (a)(ii) of Clause 8.5 (Additional Premium). 
"Tranche C Commitments" means, in relation to a Tranche C Lender, the amount set opposite its name under the heading "Tranche C Lenders" in Part C of Schedule 1 (Lenders and Commitments) and the amount of any other Tranche C Commitment transferred to it under this Agreement, to the extent not cancelled, reduced, terminated or transferred by it under this Agreement. 
"Tranche C Lender" means a bank, financial institution, trust, fund or other entity listed in Part C of Schedule 1 (Lenders and Commitments) and acting through its Facility Office or its transferee, successor or assign.
"Transaction Documents" means the Finance Documents and the Underlying Documents.

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"Transfer Certificate" means a certificate substantially in the form set out in Schedule 4 (Form of Transfer Certificate) or any other form agreed between the Agent and the Borrower.
"UK Bail-In Legislation" means (to the extent that the United Kingdom is not an EEA Member Country which has implemented, or implements, Article 55 BRRD) Part 1 of the United Kingdom Banking Act 2009 and any other law or regulation applicable in the United Kingdom relating to the resolution of unsound or failing banks, investment firms or other financial institutes or their affiliates (otherwise than through liquidation, administration or other insolvency proceedings).
"Underlying Documents" means the Shipbuilding Contract, the Refund Guarantee, any Management Agreement, any bareboat charter and any charter and associated guarantee in respect of which a notice of assignment is required to be served under the terms of the General Assignment.
"Unpaid Sum" means (i) any sum due and payable but unpaid by an Obligor under the Finance Documents and (ii) any part of the Aggregate SACE Premium unpaid by the Borrower.
"Upsize Allowance" means an allowance in relation to: 
		(a)
	the supplies, other items and services linked to the construction, decoration and operation of the Ship as provisionally listed in Section 0014 of the Specification (as defined in the Shipbuilding Contract) and as further agreed between the Borrower (as Owner under the Shipbuilding Contract) and the Builder, pursuant to article 9.2 of the Shipbuilding Contract; and 

		(b)
	the improvements, changes and modifications agreed between the Borrower (as Owner under the Shipbuilding Contract) and the Builder, pursuant to article 9.2 of the Shipbuilding Contract.

"Upsize Allowance Eligible Amount" means eighty per cent. (80%) of the Dollar Equivalent of the Upsize Allowance Price.
"Upsize Allowance Price" means the price for the Upsize Allowance, in an amount of two hundred and thirty-two million Euros (€232,000,000).
"VAT" means:
		(a)
	any tax imposed in compliance with the Council Directive of 28 November 2006 on the common system of value added tax (EC Directive 2006/112); and

		(b)
	any other tax of a similar nature, whether imposed in a member state of the European Union in substitution for, or levied in addition to, such tax referred to in paragraph (a) above, or imposed elsewhere.

"Write-down and Conversion Powers" means:
		(a)
	in relation to any Bail-In Legislation described in the EU Bail-In Legislation Schedule from time to time, the powers described as such in relation to that Bail-In Legislation in the EU Bail-In Legislation Schedule;

		(b)
	in relation to any other applicable Bail-In Legislation:

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		(i)
	any powers under that Bail-In Legislation to cancel, transfer or dilute shares issued by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or any contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that Bail-In Legislation that are related to or ancillary to any of those powers; and

		(ii)
	any similar or analogous powers under that Bail-In Legislation; and

		(c)
	in relation to any UK Bail-In Legislation:

		(i)
	any powers under that UK Bail-In Legislation to cancel, transfer or dilute shares issued by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or any contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that UK Bail-In Legislation that are related to or ancillary to any of those powers; and

		(ii)
	any similar or analogous powers under that UK Bail-In Legislation.

	1.2
	Construction of certain terms

In this Agreement:
"Agent", the "SACE Agent", the "Joint Mandated Lead Arranger", the "Security Trustee", any "Creditor Party", any "Secured Party", any "Lender", any "Tranche A Lender", any "Tranche B Lender", any "Tranche C Lender", any "Obligor" or any other "person", shall be construed so as to include its successors in title, permitted assigns and permitted transferees.
"approved by the Lenders" (or any similar determination or instruction by the Lenders) means approved in writing by the Agent acting on the instructions of all the Lenders and SACE (on such conditions as they may respectively impose) (or the Lenders only to the extent the SACE Insurance Policy does not cover the event for which such instruction or approval is required) and any requirement for approval by all the Lenders shall mean prior approval.
"approved by the Majority Lenders" (or any similar determination or instruction by the Majority Lenders) means approved in writing by the Agent acting on the instructions of the Majority Lenders and SACE (or the Majority Lenders only to the extent the SACE Insurance Policy does not cover the event for which such instruction or approval is required) (on such conditions as they may respectively impose) and otherwise approved means approved in writing by the Agent (on such conditions as the Agent may impose) and approval and approve shall be construed accordingly and any requirement for approval by the Agent or the Majority Lenders shall mean prior approval.

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"asset" includes every kind of property, asset, interest or right, including any present, future or contingent right to any revenues or other payment.
"company" includes any partnership, joint venture and unincorporated association.
"consent" includes an authorisation, consent, approval, resolution, licence, exemption, filing, registration, notarisation and legalisation.
"contingent liability" means a liability which is not certain to arise and/or the amount of which remains unascertained.
"date of this Agreement" means _____ February_____________ 2021.
"document" includes a deed; also a letter or electronic mail.
"expense" means any kind of cost, charge or expense (including all legal costs, charges and expenses) and any applicable Taxes including VAT.
"including" and "in particular" (and other similar expressions) shall be construed as not limiting any general words or expressions in connection with which they are used.
"indebtedness" includes any obligation (whether incurred as principal or as surety) for the payment or repayment of money, whether present or future, actual or contingent;
"law" includes any order or decree, any form of delegated legislation, any treaty or international convention and any regulation or resolution of the Council of the European Union, the European Commission, the United Nations or its Security Council.
"legal or administrative action" means any legal proceeding or arbitration and any administrative or regulatory action or investigation.
"liability" includes every kind of debt or liability (present or future, certain or contingent), whether incurred as principal or surety or otherwise.
"months" shall be construed in accordance with Clause 1.4 (Meaning of "month").
"parent company" has the meaning given in the definition of "Subsidiary".
"person" includes any individual, firm, company, corporation, government, any state, political sub-division of a state and local or municipal authority, agency of a state or any association, trust, joint venture, consortium or partnership; and any international organisation (whether or not having a separate legal personality).
"proceedings" means, in relation to any enforcement provision of a Finance Document, proceedings of any kind, including an application for a provisional or protective measure.
"regulation" includes any regulation, rule, official directive, request or guideline (whether or not having the force of law) of any governmental, intergovernmental or supranational body, agency, department or regulatory, self-regulatory or other authority or organisation.
	1.3
	Construction of Insurance Terms

"approved" means, for the purposes of Clause 14 (Insurance Undertakings), approved in writing by the Agent.

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"excess risks" means the proportion of claims for general average, salvage and salvage charges not recoverable under the hull and machinery policies in respect of the Ship in consequence of its insured value being less than the value at which the Ship is assessed for the purpose of such claims.
"obligatory insurances" means all insurances effected, or which the Borrower is obliged to effect, under Clause 14 (Insurance Undertakings) or any other provision of this Agreement or another Finance Document.
"policy" in relation to any insurance, includes a slip, cover note, certificate of entry or other document evidencing the contract of insurance or its terms.
"protection and indemnity risks" means the usual risks covered by a protection and indemnity association managed in London, including pollution risks and the proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable under the hull and machinery policies by reason of the incorporation in them of clause 6 of the International Hull Clauses (1/11/02) (1/11/03), clause 8 of the Institute Time Clauses (Hulls) (1/10/83) (1/11/95) or the Institute Amended Running Down Clause (1/10/71) or any equivalent provision.
"war risks" includes the risk of mines and all risks excluded by clause 29 of the International Hull Clauses (1/11/02 or 1/11/03), clause 24 of the Institute Time Clauses (Hulls) (1/11/95) or clause 23 of the Institute Time Clauses (Hulls)(1/10/83).
	1.4
	Meaning of "month"

A period of one or more "months" ends on the day in the relevant calendar month numerically corresponding to the day of the calendar month on which the period started ("the numerically corresponding day"), but:
	(a)
	on the Business Day following the numerically corresponding day if the numerically corresponding day is not a Business Day or, if there is no later Business Day in the same calendar month, on the Business Day preceding the numerically corresponding day; or

	(b)
	on the last Business Day in the relevant calendar month, if the period started on the last Business Day in a calendar month or if the last calendar month of the period has no numerically corresponding day;

and "month" and "monthly" shall be construed accordingly.
	1.5
	Non-applicable provisions between the Obligors and German Lenders

(a)The undertakings and covenants given under paragraph (d) of Clause 12.2 (Information), Clause 12.4 (Illicit Payments), Clause 12.5 (Prohibited Payments), Clause 12.25 (Compliance with laws etc.) or provisions contained in Clause 20.3 (Miscellaneous indemnities) or Clause 21.1 (Illegality and Sanctions) and the representations and warranties given under paragraphs (u), (v), (y), (z) and (jj) of Clause 11.2 (Continuing representations and warranties) and paragraph (j) of Clause 11.3 (Representations on the Delivery Date) respectively shall only be given, and be applicable to, a Lender incorporated in the Federal Republic of Germany insofar as the giving of and compliance with such undertakings and covenants and such representations and warranties do not result in a violation of or conflict with section 7 of the German Foreign Trade Regulation (Außenwirtschaftsverordnung) (in conjunction with section 

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4 paragraph 1 a no.3 foreign trade law (AWG) (Außenwirtschaftsgesetz)), any provision of Council Regulation (EC) 2271/1996 or any similar applicable anti-boycott law or regulation.
	1.6
	General Interpretation

In this Agreement:
	(a)
	references in Clause 1.1 (Definitions) to a Finance Document or any other document being an "agreed form" are to the form agreed between the Agent (acting with the authorisation of each of the Creditor Parties and SACE) and the Borrower with any modifications to that form which the Agent (with the authorisation of the Majority Lenders and SACE in the case of substantial modifications) approves or reasonably requires;

	(b)
	references to, or to a provision of, a Finance Document or any other document are references to it as amended, amended and restated or supplemented, whether before the date of this Agreement or otherwise;

	(c)
	references to Sanctions, for the purposes of Clause 11 (Representations and Warranties), Clause 12 (General Undertakings), Clause 20 (Indemnities), Clause 21 (Illegality, etc.) and the Security Documents shall mean "Sanctions" as defined in Clause 1.1 (Definitions), by which any Obligor is bound or to which it is subject or, as regards a regulation, compliance with which is reasonable in the ordinary course of business of any Obligor.

	(d)
	references to, or to a provision of, any law or regulation include any amendment, extension, re-enactment or replacement, whether made before the date of this Agreement or otherwise;

	(e)
	any English legal term for any action, remedy, method of judicial proceeding, legal document, legal status, court, official or any legal concept or thing shall, in respect of a jurisdiction other than England, be deemed to include that which most nearly approximates in that jurisdiction to the English legal term;

	(f)
	words denoting the singular number shall include the plural and vice versa; and

	(g)
	Clauses 1.1 (Definitions) to 1.6 (General Interpretation) apply unless the contrary intention appears.

	1.7
	Headings

In interpreting a Finance Document or any provision of a Finance Document, all clauses, sub-clauses and other headings in that and any other Finance Document shall be entirely disregarded.
	1.8
	Schedules

The schedules form an integral part of this Agreement.

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	2  
	Facility

	2.1
	Amount of facility

Subject to the other provisions of this Agreement,:
	(a)
	the Tranche A Lenders agree to make available to the Borrower a loan in relation to Tranche A in five (5) Advances not exceeding the Maximum Loan Amount, in aggregate, the Total Tranche A Commitments intended to be applied as follows:

		(ai)
	in reimbursement to the Borrower or in payment to the Builder, up to the Eligible Amount, of all or part of eighty per cent. (80%) of the Final Contract Price;

		(bii)
	in reimbursement to the Borrower of the amount of the First Instalment of the SACE Premium paid by it to SACE in accordance with paragraph (a) of Clause 8.1 (SACE Premium); and

		(ciii)
	in payment to SACE of the amount of the Second Instalment of the SACE Premium payable by the Borrower to SACE in accordance with paragraph (b) of Clause 8.1 (SACE Premium).; 

	(b)
	the Tranche B Lenders agree to make available to the Borrower a loan in relation to Tranche B in two (2) Advances not exceeding, in aggregate, the Total Tranche B Commitments intended to be applied as follows: 

		(i)
	in reimbursement to the Borrower or in payment to the Builder (as set out in the relevant Drawdown Notice) up to the Upsize Allowance Eligible Amount, of all or part of eighty per cent. (80%) of the Upsize Allowance Price; and 

		(ii)
	in reimbursement to the Borrower or in payment to SACE of the amount of the Tranche B Premium payable by the Borrower to SACE in accordance with paragraph (a)(i) of Clause 8.6 (Tranche B Premium);

		(iii)
	in payment to SACE of the amount of the Tranche B Premium payable by the Borrower to SACE in accordance with paragraph (a)(ii) of Clause 8.6 (Tranche B Premium).

	(c)
	the Tranche C Lenders agree to make available to the Borrower a loan in relation to Tranche C in one (1) Advance not exceeding the Total Tranche C Commitments intended to be applied in payment to SACE of the amount of the second instalment of the Additional SACE Premium which may be payable by the Borrower to SACE in accordance with paragraph (a)(ii) of Clause 8.5 (Additional Premium).

	2.2
	Lenders' participations in Loan

Subject to the other provisions of this Agreement,:
	(a)
	each Tranche A Lender shall participate in each Advance under Tranche A in the proportion which, as at the relevant Drawdown Date, its Tranche A Commitment bears to the Total Tranche A Commitments;

	(b)
	each Tranche B Lender shall participate in each Advance under Tranche B in the proportion which, as at the relevant Drawdown Date, its Tranche B Commitment bears to the Total Tranche B Commitments.; and

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	(c)
	each Tranche C Lender shall participate in the Advance under Tranche C in the proportion which, as at the relevant Drawdown Date, its Tranche C Commitment bears to the Total Tranche C Commitments.

	2.3
	Purpose of Loan

The Borrower undertakes with each Secured Party to use each Advance only to pay for:
	(a)
	each Advance under Tranche A only to pay for:

		(ai)
	goods and services of Italian origin incorporated in the design, construction or delivery of the Ship;

		(bii)
	subject to the limits and conditions fixed by the Italian Authorities, goods and services incorporated in the design, construction or delivery of the Ship and originating from countries other than Italy where the provision of such goods or services has been sub-contracted by the Builder and therefore remains the Builder's responsibility under the Shipbuilding Contract;

		(ciii)
	reimbursement to the Borrower of all or part of eighty per cent. (80%) of the First Shipbuilding Contract Instalment;

		(div)
	reimbursement to the Borrower of the First Instalment of the SACE Premium paid by the Borrower direct to SACE in accordance with paragraph (a) of Clause 8.1 (SACE Premium); and

		(ev)
	the Second Instalment of the SACE Premium payable in accordance with paragraph (b) of Clause 8.1 (SACE Premium).;

	(b)
	each Advance under Tranche B only to pay:

		(i)
	for goods and services in relation to the Upsize Allowance; and

		(ii)
	subject to the limits and conditions fixed by the Italian Authorities, goods and services incorporated in the design, construction or delivery of the Ship and originating from countries other than Italy where the provision of such goods or services has been sub-contracted by the Builder and therefore remains the Builder's responsibility under the Shipbuilding Contract; 

provided that the first Advance under Tranche B shall also be used to pay 100% of the Tranche B Premium, payable in accordance with paragraph (a) of Clause 8.6 (Tranche B Premium); and
	(c)
	the Advance under Tranche C only to pay for the second instalment of the Additional SACE Premium which may be payable in accordance with paragraph (a)(ii) of Clause 8.5 (Additional Premium). 

	2.4
	Creditor Parties' rights and obligations

	(a)
	The obligations of each Creditor Party under the Finance Documents are several. Failure by a Creditor Party to perform its obligations under the Finance Documents does not affect the obligations of any other Party under the Finance Documents. No Creditor Party is responsible for the obligations of any other Creditor Party under the Finance Documents.

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	(b)
	The rights of each Creditor Party and SACE under or in connection with the Finance Documents are separate and independent rights and any debt arising under the Finance Documents to a Creditor Party and SACE from an Obligor shall be a separate and independent debt.

	(c)
	A Creditor Party and SACE may not, except as otherwise stated in the Finance Documents, separately enforce its rights under the Finance Documents.

	(d)
	Notwithstanding any other provision of the Finance Documents and subject to the prior written consent of SACE, a Creditor Party may separately sue for any Unpaid Sum due to it without the consent of any other Creditor Party or joining any other Creditor Party to the relevant proceedings (it being understood that a Creditor Party may file a claim noting the amounts due to it in the event insolvency proceedings are commenced against the Borrower by a third party).

	2.5
	Monitoring

No Creditor Party is bound to monitor or verify the application of any amount borrowed pursuant to this Agreement.
	2.6
	Obligations of Lenders several

The obligations of the Lenders under this Agreement are several; and a failure of a Lender to perform its obligations under this Agreement shall not result in:
	(a)
	the obligations of the other Lenders being increased; nor

	(b)
	any Obligor or any other Lender being discharged (in whole or in part) from its obligations under any Finance Document,

and in no circumstances shall a Lender have any responsibility for a failure of another Lender to perform its obligations under this Agreement or any other Finance Document.
	3  
	Conditions Precedent

	3.1
	General

The Borrower may only draw an Advance under a Tranche when the following conditions have been fulfilled to the satisfaction of the Agent and provided no Event of Default shall have occurred and remains unremedied or is likely to occur as a consequence of the drawing of the Advance:
	3.2
	No later than the date of the Original Facility Agreement

The Agent shall have received no later than the date of the Original Facility Agreement:
	(a)
	an opinion from legal counsel acceptable to the Secured Parties as to the laws of the state of Bermuda in form and substance satisfactory to the Agent and the Secured Parties, together with the company documentation of the Bermudian Obligors supporting the opinion, including but without limitation the Memorandum of Association and By-laws as filed with the competent authorities and a certificate of a competent officer or manager of each of the Bermudian Obligors containing specimen signatures of the persons authorised to sign the documents on behalf of each of the Bermudian Obligors, including, without limitation:

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		(i)
	the Bermudian Obligors have been duly formed and are validly existing as companies under the laws of Bermuda;

		(ii)
	the Finance Documents to which each Bermudian Obligor is a party to fall within the scope of the Bermudian Obligors' purpose as defined by their Memoranda of Association and By-laws;

		(iii)
	each Bermudian Obligor's representatives were at the date of the Original Facility Agreement fully empowered to sign the Finance Documents to which it is a party;

		(iv)
	either all administrative requirements applicable to the Bermudian Obligors (whether in Bermuda or elsewhere), concerning the transfer of funds abroad and acquisitions of Dollars to meet their obligations hereunder have been complied with, or that there are no such requirements;

		(v)
	no withholding tax or stamp duty implications arise by virtue of the Bermudian Obligors entering into the Finance Documents to which they are a party respectively;

		(vi)
	a judgment of an English Court in relation to this Agreement and any relevant Finance Documents to which each Bermudian Obligor is a party will be recognised by and acknowledged by the Courts in Bermuda; and

		(vii)
	the Finance Documents to which each Bermudian Obligor is a party constitute the legal, valid and binding obligations of that Bermudian Obligor enforceable in accordance with its terms,

and containing such qualifications and assumptions as are standard for opinions of this type;
	(b)
	an opinion from legal counsel to the Secured Parties as to English law in form and substance satisfactory to the Agent and the Secured Parties in respect of the validity and enforceability of the Original Facility Agreement and the Original Guarantee;

	(c)
	an opinion from legal counsel to the Secured Parties as to Bermudian law in form and substance satisfactory to the Agent and the Secured Parties in respect of the validity and enforceability of the Shares Security Deed;

	(d)
	a Certified Copy of the executed Shipbuilding Contract;

	(e)
	such documentary evidence as the Agent and its legal advisers may require in relation to the due authorisation and execution by the Borrower and the Builder of the Shipbuilding Contract and of all documents to be executed by the Borrower and the Builder;

	(f)
	a confirmation from EC3 Services Limited of The St Botolph Building, 138 Houndsditch, London EC3A 7AR that it will act for the Borrower and the Guarantor as agent for service of process in England in respect of the Original Facility Agreement and any other Finance Document;

	(g)
	duly executed originals of the Original Guarantee and the Shares Security Deed and of each document to be submitted pursuant to it;

	(h)
	such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any Lender or SACE) or any Lender or SACE (for itself) in order for the Agent and such Lender or SACE to carry out and be satisfied it has complied with all necessary "know your 

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customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents;
	(i)
	payment of [*] per cent. ([*]%) of the Joint Mandated Lead Arranger structuring fee payable in accordance with paragraph (a)(i) of Clause 9 (Fees);

	(j)
	payment of the initial portion of the Agent Structuring Fee (as defined in the Fee Letter), payable in accordance with terms of the Fee Letter; and

	(k)
	an agreed form version of the Italian law tax opinion from legal counsel to the Creditor Parties in respect of the tax treatment of payments under the SACE Insurance Policy.

	3.3
	No later than forty-five (45) days before the first Drawdown Date under Tranche A

The Agent shall have received from the Borrower no later than forty-five (45) days before the first Drawdown Date under Tranche A (and on each subsequent date on which a Compliance Certificate is to be received by the Security Trustee pursuant to clause 11.3(c) of the Original Guarantee) a duly completed Compliance Certificate from the Guarantor.
	3.4
	No later than [*] days before the first Drawdown Date under Tranche A

The Agent shall have received from the Borrower no later than [*] days before the first Drawdown Date under Tranche A:
	(a)
	a notification, signed by a duly authorised signatory of the Borrower, specifying which of the Fixed Interest Rate or the Floating Interest Rate shall be applicable to all Advances until the date of payment of the final repayment instalment of the Loan in accordance with the provisions of Clause 6.1 (Fixed or Floating Interest Rate);

	(b)
	the SACE Insurance Policy documentation relating to the transaction contemplated by this Agreement issued on terms whereby the SACE Insurance Policy will enter into full force and effect upon fulfilment of the conditions specified therein to be fulfilled on or before the first Drawdown Date; and

	(c)
	a certified true copy bank statement evidencing receipt by the Builder of the First Shipbuilding Contract Instalment (as described in Recital (B)).

	3.5
	No later than five (5) Business Days before each Drawdown Date under any Tranche

The Agent shall have received no later than five (5) Business Days before each Drawdown Date under any Tranche a Drawdown Notice from the Borrower, signed by a duly authorised signatory of the Borrower, specifying the amount of the Advance to be drawn down.
	3.6
	No later than five (5) Business Days before the First Drawdown Date under Tranche A

The Agent shall have received no later than five (5) Business Days before the first Drawdown Date under Tranche A:
	(a)
	an agreed form version of the Pre-delivery Security and of each document to be issued pursuant to it;

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	(b)
	an agreed form version of the opinion to be issued by legal counsel to the Secured Parties as to English law in form and substance satisfactory to the Agent and the Secured Parties in respect of the validity and enforceability of the Pre-delivery Security;

	(c)
	an agreed form version of the opinion to be issued by legal counsel to the Secured Parties as to Bermuda law in form and substance satisfactory to the Agent and the Secured Parties in respect of the Borrower's execution of the Pre-delivery Security;

	(d)
	an original of the SACE Insurance Policy;

	(e)
	evidence that the First Instalment has been paid;

	(f)
	an agreed form version of the Interest Make-Up Agreement relative to the Loan;

	(g)
	an agreed form version of the opinion to be issued by legal counsel to the Creditor Parties as to Italian law in form and substance satisfactory to the Agent and the Secured Parties in respect of SACE's issuance of the SACE Insurance Policy and compliance with the principles governing the eligibility of credit risk mitigation techniques as per Article 194, paragraph 1, of the Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013;

	(h)
	if applicable, an agreed form version of the Subordinated Debt Security; and

	(i)
	the agreed form version of any opinions to be issued by legal counsel to the Secured Parties relating to the due execution, validity and enforceability of the Subordinated Debt Security (if applicable), in form and substance satisfactory to the Agent and the Secured Parties.

	3.7
	No later than the First Drawdown Date under Tranche A

The Agent shall have received no later than the first Drawdown Date under Tranche A:
	(a)
	a duly executed original of the Pre-delivery Security (excluding any Account Pledge) and of each document to be issued pursuant to it;

	(b)
	an opinion from legal counsel to the Secured Parties as to English law in form and substance satisfactory to the Agent and the Secured Parties in respect of the validity and enforceability of the Pre-delivery Security (excluding any Account Pledge);

	(c)
	an opinion from legal counsel to the Secured Parties as to Bermuda law in form and substance satisfactory to the Agent and the Secured Parties in respect of the Borrower's execution of the Pre-delivery Security (excluding any Account Pledge);

	(d)
	an original of the Interest Make-Up Agreement relative to the Loan and in full force and effect;

	(e)
	an opinion from legal counsel to the Creditor Parties as to Italian law in form and substance satisfactory to the Agent and the Secured Parties in respect of SACE's issuance of the SACE Insurance Policy and compliance with the principles governing the eligibility of credit risk mitigation techniques as per Article 194, paragraph 1, of the Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013; and

	(f)
	an Italian law tax opinion from legal counsel to the Creditor Parties in respect of the tax treatment of payments under the SACE Insurance Policy.

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	3.8
	No later than the First Drawdown Date under Tranche B

The Agent shall have received, no later than the first Drawdown Date under Tranche B:
	(a)
	a duly executed original of the Supplemental Pre-delivery Security and of each document to be issued pursuant to it;

	(b)
	a duly executed original of the relevant addendum to the Interest Make-Up Agreement; 

	(c)
	a duly executed original of the relevant addendum to the SACE Insurance Policy; 

	(d)
	a copy of the Seventh Addendum and any other relevant addendum to the Shipbuilding Contract; 

	(e)
	an opinion from legal counsel to the Secured Parties as to English law in form and substance satisfactory to the Agent and the Secured Parties in respect of the validity and enforceability of the Supplemental Pre-delivery Security; and

	(f)
	an opinion from legal counsel to the Secured Parties as to Bermuda law in form and substance satisfactory to the Agent and the Secured Parties in respect of the Borrower's execution of the Supplemental Pre-delivery Security.

	3.83.9
	No later than the Drawdown Date in respect of each Advance under Tranche A other than first Advance under Tranche A and the Delivery Advance under Tranche A

The Agent shall have received no later than the Drawdown Date in respect of each Advance under Tranche A other than in respect of the first Advance under Tranche A and the Delivery Advance under Tranche A, a copy of the class milestone certificate in respect of the instalment due under the Shipbuilding Contract to which the Advance relates issued by the classification society.
	3.93.10
	No later than the Drawdown Date in respect of each Advance under Tranche A and Tranche B other than the Delivery Advance under Tranche A and Tranche B 

The Agent shall have received no later than the Drawdown Date in respect of each Advance under Tranche A and Tranche B, other than the Delivery Advance under Tranche A and Tranche B:
		(ai)
	a Certified Copy of any executed Refund Guarantee in respect of such Advance and of the power of attorney (or other form of authority) and related corporate authorities pursuant to which such Refund Guarantee was signed;

		(bii)
	as regards any previous Advance, in the event the Refund Guarantee issued in respect of such previous Advance cannot be renewed or extended:

		(iA)
	evidence that an Acceptable Deposit has accordingly been transferred to the Account pursuant to the terms of the Shipbuilding Contract; and

		(iiB)
	unless satisfied for any previous Advance, (x) a certified copy of the executed Account Pledge in respect of the Acceptable Deposit, granted by the Borrower in favour of the Security Trustee, the Joint Mandated Lead Arrangers, the Agent, the SACE Agent and the Lenders, (as defined therein), (y) a certified copy of the power of attorney (or other form of authority) and related 

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corporate authorities pursuant to which such Account Pledge was signed and (z) any usual standard form opinions from legal counsel to the Secured Parties required by the Secured Parties in respect of the execution and/or the validity and enforceability of the Account Pledge;
		(ciii)
	a copy of the relevant invoice from the Builder in respect of the instalment under the Shipbuilding Contract to which the Advance relates;

		(div)
	written confirmation from the SACE Agent that there is no outstanding notice from SACE which terminates, cancels or repudiates, withdraws or suspends the SACE Insurance Policy or states that the SACE Insurance Policy is not effective or not guaranteed by the Republic of Italy;

(v)
		(eA)
	in relation to Tranche A, save for the First Shipbuilding Contract Instalment (in respect of which the Builder shall have received from the Borrower an amount equal to one hundred per cent (100%) of such instalment and the Agent shall have received a certified true copy bank statement evidencing receipt by the Builder of the First Shipbuilding Contract Instalment in accordance with Clause 3.4 (No later than [*] days before the first Drawdown Date)), confirmation in writing from the Builder that it has received from the Borrower an amount equal to twenty per cent. (20%) of the relevant instalment due under the Shipbuilding Contract to which the Advance relates;

		(B)
	in relation to Tranche B (save for an instalment in respect of which the Builder shall have received from the Borrower an amount equal to one hundred per cent (100%) of such instalment and the Agent shall have received a certified true copy bank statement evidencing receipt by the Builder of such full amount and of which 80% shall be reimbursed to the Borrower pursuant to the relevant Advance), confirmation in writing from the Builder that it has received from the Borrower an amount equal to twenty per cent. (20%) of the relevant instalment due under the Shipbuilding Contract to which the Advance relates; 

		(fvi)
	a copy of a duly executed Qualifying Certificate;

		(gvii)
	a certificate confirming that:

		(iA)
	the Shipbuilding Contract continues to be in full force and effect; and,

		(iiB)
	in relation to each instalment under a Pre-Delivery Contract, the proposed Refund Guarantee in respect of such instalment is or is to be provided by a Refund Guarantor who is not subject to an RG Downgrade Event; and,

		(iiiC)
	in relation to any previous instalment under a Pre-Delivery Contract, in respect of which the issued Refund Guarantee cannot be renewed or extended and an Acceptable Deposit has accordingly been transferred to the Account pursuant to the terms of the Shipbuilding Contract, the Account Pledge continues to be in full force and effect; and

		(hviii)
	a certificate of confirmation confirming that:

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		(iA)
	no default or mandatory prepayment event pursuant to Clause 16 (Cancellation, Prepayment and Mandatory Prepayment) is continuing or would result from the proposed Advance;

		(iiB)
	the repeating representations and, in relation to the first Advance and first Drawdown Notice, all of the other representations set out in Clause 11 (Representations and Warranties) (except the representations to be made on the Delivery Date pursuant to paragraph (b) of Clause 11.1 (Timing and repetition)) are true;

		(iix)
	a certificate of confirmation attaching an original or a certified copy of each of the SACE Required Documents and the Agent shall be satisfied that the SACE Required Documents on their face appear properly completed and comply with the requirements of this Agreement and the requirements of the SACE Insurance Policy;

		(jx)
	if applicable, a duly executed original of the Subordinated Debt Security; and

		(kxi)
	any opinions from legal counsel to the Secured Parties relating to the due execution, validity and enforceability of the Subordinated Debt Security (if applicable), in form and substance satisfactory to the Agent and the Secured Parties.

3.103.11No later than four (4) years before the Intended Delivery Date
The Agent shall have received no later than four (4) years before the Intended Delivery Date, payment of the remaining [*] per cent. ([*]%) of the Joint Mandated Lead Arranger structuring fee payable in accordance with paragraph (a)(ii) of Clause 9 (Fees).
3.113.12No later than ninety (90) days before the Intended Delivery Date
The Agent shall have received no later than ninety (90) days before the Intended Delivery Date:
	(a)
	notification from the Borrower of its chosen Maritime Registry; and

	(b)
	notification of the Approved Manager.

3.123.13No later than sixty (60) days before the Intended Delivery Date
The Agent shall have received from the Borrower no later than sixty (60) days before the Intended Delivery Date:
	(a)
	notification of the Intended Delivery Date;

	(b)
	a notice from the Borrower as described in paragraph (a) of Clause 8.4 (Refund) and in paragraph (f) of Clause 8.6 (Tranche B Premium); and

	(c)
	a Bermudian tax opinion from legal counsel to the Secured Parties in respect of the tax treatment of the entry by the Bermudian incorporated Borrower into this Agreement and the other Finance Documents substantially in the form notified to the Borrower on or around the date of this Agreement and updated to reflect any changes in law.

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3.133.14No later than fifteen (15) Business Days before the Intended Delivery Date
The Agent shall have received no later than fifteen (15) Business Days before the Intended Delivery Date insurance documents in form and substance satisfactory to the Lenders confirming that the Insurances have been effected and will be in full force and effect on the Delivery Date.
3.143.15No later than five (5) Business Days before the Intended Delivery Date
The Agent shall have received no later than five (5) Business Days before the Intended Delivery Date:
	(a)
	a Certified Copy of any amendments to the Shipbuilding Contract which are not Minor Modifications arising in the general day to day construction period for a vessel of the type of the Ship and of the power of attorney pursuant to which the authorised signatory of the Borrower signed the relevant Drawdown Notice and a specimen of his signature; and

	(b)
	a final confirmation of the Intended Delivery Date signed by a duly authorised signatory of the Borrower, and counter-signed by a duly authorised signatory of the Builder.

3.153.16No later than the Delivery Date
	(a)
	In respect of the Advance to be made available by the Tranche A Lenders on the Delivery Date, the Agent shall have received no later than the Delivery Date:

		(ai)
	if applicable, a duly executed original of the Subordinated Debt Security;

		(bii)
	any opinions from legal counsel to the Secured Parties relating to the due execution, validity and enforceability of the Subordinated Debt Security, in form and substance satisfactory to the Agent and the Secured Parties;

		(ciii)
	evidence of payment to and receipt by the Builder of any other part of the Final Contract Price as at the Delivery Date not being financed hereunder;

		(div)
	payment of the remaining portion of the Agent Structuring Fee (as defined in the Fee Letter), payable in accordance with terms of the Fee Letter;

		(ev)
	evidence of payment of all amounts which are due and payable hereunder by the Borrower on or prior to the Delivery Date;

		(fvi)
	a certificate from the Borrower, signed by an authorised representative of the Borrower, confirming that the representations and warranties contained in Clause 11 (Representations and Warranties) are true and correct as of the Delivery Date in consideration of the facts and circumstances existing as of the Delivery Date;

		(gvii)
	a certificate of confirmation confirming that:

		(iA)
	the Shipbuilding Contract continues to be in full force and effect;

		(iiB)
	no default or mandatory prepayment event pursuant to Clause 16 (Cancellation, Prepayment and Mandatory Prepayment) is continuing or would result from the Delivery AdvanceAdvances;

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		(iiiC)
	the repeating representations as set out in Clause 11 (Representations and Warranties) are true; and

		(ivD)
	the representations to be made on the Delivery Date pursuant to paragraph (b) of Clause 1111.3 (Representations and Warrantieson the Delivery Date) are true;

		(hviii)
	an original or a certified copy of each of the SACE Required Documents and the Agent shall be satisfied that the SACE Required Documents on their face appear properly completed and comply with the requirements of this Agreement and the requirements of the SACE Insurance Policy; and

	(b)
	In respect of the Advance to be made available by the Tranche B Lenders on Delivery Date, the Agent shall have received no later than the Delivery Date: 

		(i)
	a copy of the relevant invoice from the Builder in respect of the Upsize Allowance to which such Advance relates; 

		(ii)
	the documents, evidence or confirmations, as relevant, set out in paragraphs (a)(i), (a)(v), (a)(vi), (a)(vii) and (a)(viii) of this Clause 3.16 (No later than the Delivery Date) and

		(iii)
	evidence of payment to and receipt by the Builder of any other part of the Upsize Allowance Price as at the Delivery Date not being financed hereunder; 

	(c)
	If applicable, in respect of the Advance to be made available by the Tranche C Lenders on Delivery Date, the Agent shall have received no later than the Delivery Date the documents, evidence or confirmations, as relevant, set out in paragraphs (a)(i), (a)(ii) (a)(v), (a)(vi) and (a)(vii) of this Clause 3.16 (No later than the Delivery Date), 

provided always that, in relation to paragraphs (a), (b) and (c) above, the obligations of the relevant Lenders to make thesuch Advance under each of Tranche A, Tranche B and Tranche C, as applicable, available on the Delivery Date are subject to the Lenders remaining satisfied that each of the SACE Insurance Policy and the Interest Make-Up Agreement will cover the Loan following the advance of the Delivery Advancesuch Advances and delivery to the Agent of the documents listed in Schedule 3 (Documents to be produced by the Builder to the Agent on Delivery).
3.163.17At Delivery
Immediately prior to the delivery of the Ship by the Builder to the Borrower, the Agent shall have received:
	(a)
	evidence that immediately following delivery:

		(i)
	the Ship will be registered in the name of the Borrower in the Maritime Registry;

		(ii)
	title to the Ship will be held by the Borrower free of all Security Interests other than any maritime lien in respect of crew's wages and trade debts arising out of equipment, consumable and other stores placed on board the Ship prior to or concurrently with delivery, none of which is overdue;

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		(iii)
	the Mortgage will be duly registered in the Maritime Registry and constitutes a first priority security interest over the Ship and that all taxes and fees payable to the Maritime Registry in respect of the Ship have been paid in full; and

		(iv)
	the opinions mentioned in paragraphs (b) and (c) of Clause 3.173.18 (Immediately following Delivery), in draft form immediately prior to the delivery of the Ship, and the documents mentioned in paragraph (e) of Clause 3.173.18 (Immediately following Delivery) will be issued to and received by the Agent;

	(b)
	a Certified Copy of a classification certificate (or interim classification certificate) showing the Ship to be classed in accordance with paragraph (c) of Clause 11.3 (Representations on the Delivery Date).

	(c)
	duly executed originals of the General Assignment, any Approved Manager's Undertaking and the Post-Delivery Assignment together with relevant notices of assignment and the acknowledgement of the notice of assignment to be issued pursuant to the General Assignment and the Post-Delivery Assignment;

	(d)
	a Certified Copy of any executed Management Agreement, any bareboat charter and any related security pursuant to paragraph (b) of Clause 13.1 (Pooling of earnings and charters) (if applicable) and any time charterparty in respect of the Ship;

	(e)
	a Certified Copy of any current certificate of financial responsibility in respect of the Ship issued under OPA, a valid Safety Management Certificate (or interim Safety Management Certificate) issued to the Ship in respect of its management by the Approved Manager pursuant to the ISM Code, a valid Document of Compliance (or interim Document of Compliance) issued to the Approved Manager in respect of ships of the same type as the Ship pursuant to the ISM Code, a valid International Ship Security Certificate issued to the Ship in accordance with the ISPS Code and a valid IAPPC issued to the Ship in accordance with Annex VI and, if entered into, any carrier initiative agreement with the United States' Customs and Border Protection under the Customs-Trade Partnership Against Terrorism (C-TPAT) programme along with any other documents required under the ISM Code and the ISPS Code;

	(f)
	a Certified Copy of the power of attorney pursuant to which the authorised signatory(ies) of the Borrower signed the documents referred to in this Clause 3.163.17 (At Delivery) and to which the Borrower is a party and a specimen of his or their signature(s); and

	(g)
	a confirmation from Hannaford Turner LLP, currently of 9 Cloak Lane107 Cheapside, London EC4R 2RU, UK, EC2V 6DN, (or any replacement process agent satisfactory to the Agent acting reasonably) that it will act for each of the relevant Obligors as agent for service of process in England in respect of the deed of covenants constituting part of the Mortgage (if applicable), the General Assignment and the Post-Delivery Assignment.

3.173.18Immediately following Delivery
Immediately following the delivery of the Ship by the Builder to the Borrower, the Agent shall receive:
	(a)
	a duly executed original of the Mortgage;

	(b)
	an opinion from legal counsel acceptable to the Secured Parties as to the law of the Maritime Registry in form and substance satisfactory to the Agent and the Secured Parties confirming:

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		(i)
	the valid registration of the Ship in the Maritime Registry; and

		(ii)
	the Mortgage over the Ship is a first priority security and has been validly registered in the Maritime Registry;

	(c)
	an opinion from legal counsel to the Secured Parties as to English law in form and substance satisfactory to the Agent and the Secured Parties in respect of the validity and enforceability of the deed of covenants constituting part of the Mortgage (if applicable), the General Assignment, the Post-Delivery Assignment and any other relevant security document entered into at delivery;

	(d)
	an opinion from legal counsel acceptable to the Secured Parties as to the laws of the state of Bermuda in form and substance satisfactory to the Agent and the Secured Parties together with the company documentation of the Borrower and a certificate of a competent officer or manager of the Borrower containing specimen signatures of the persons authorised to sign the documents on behalf of the Borrower, confirming that, without limitation:

		(i)
	the Mortgage, the deed of covenants constituting part of the Mortgage, the General Assignment, the Post-Delivery Assignment and the bareboat charter (if applicable) fall within the scope of the Borrower's company purpose as defined by its Memorandum of Association and By-laws and are binding on it; and

		(ii)
	the Borrower's representatives are fully empowered to sign the Protocol of Delivery and Acceptance, the Mortgage, the deed of covenants constituting part of the Mortgage, the General Assignment, the Post-Delivery Assignment and the bareboat charter (if applicable) and any related security pursuant to paragraph (b) of Clause 13.1 (Pooling of earnings and charters); and

	(e)
	the documents listed in Schedule 3 (Documents to be produced by the Builder to the Agent on Delivery).

3.183.19Notification of satisfaction of conditions precedent
The Agent shall notify the Tranche A Lenders and SACE, the Tranche B Lenders, the Tranche C Lenders, SACE and SIMEST, as applicable, promptly upon being satisfied as to the satisfaction of the conditions precedent referred to in this Clause 3 (Conditions Precedent).
3.193.20Waiver of conditions precedent
If the Majority Lenders, at their discretion, subject to the prior written consent of SACE, permit an Advance under a Tranche to be borrowed before any of the conditions precedent referred to in Clause 3 (Conditions Precedent) has been satisfied, the Borrower shall ensure that that condition is satisfied within five (5) Business Days after the date (as specified in the relevant part of Clause 3 (Conditions Precedent)) or such later date as the Agent may agree in writing with the Borrower.
3.203.21Changes to SACE's or SIMEST's requirements
	(a)
	If SACE or SIMEST notifies the Agent in writing of a change of the SACE Insurance Policy or the Interest Make-Up Agreement (as applicable), or gives instructions to the SACE Agent with the effect that, in the opinion of the Agent, this Agreement or certain documents which the Borrower is or may be required to provide for the purpose of drawing an Advance under this Agreement shall be amended to comply with such change or instructions, then the SACE Agent 

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shall promptly notify the Borrower of such a change in SACE's or SIMEST's requirements (as applicable) and of the relevant amendments to be made to this Agreement or any such documents as the Agent considers appropriate.
	(b)
	If the Agent notifies the Borrower of any proposed changes to this Agreement under paragraph (a) above, and provided that:

		(i)
	all the Lenders and the Borrower agree with such changes; and

		(ii)
	the Borrower indemnifies and holds harmless the Agent and the Lenders for any reasonable costs that it may incur arising from or in connection with any such amendments (including legal fees),

then such changes will be made to this Agreement in accordance with the terms hereof.
	(c)
	If, in the opinion of the Lenders, there are any provisions of this Agreement that contradict or conflict with any provision of the SACE Insurance Policy or the Interest Make-Up Agreement (as applicable), such that compliance by any FinanceCreditor Party with the terms of the SACE Insurance Policy or the Interest Make-Up Agreement (as applicable) may result in a breach by such FinanceCreditor Party of the any of the terms of this Agreement or to an extent that the same may have the effect of rendering all or any part of the SACE Insurance Policy or the Interest Make-Up Agreement (as applicable) void, voidable or otherwise not in full force and effect, the Borrower agrees that any relevant terms of this Agreement will be amended to the extent agreed in writing between the Borrower and the Agent to ensure compliance with the terms of the SACE Insurance Policy or the Interest Make-Up Agreement (as applicable).

3.213.22No claim against the FinanceCreditor Parties
The Borrower agrees that the FinanceCreditor Parties may act on the instructions of the Italian Authorities in relation to this Agreement.
3.223.23Examination and reliance on documents by the Agent
	(a)
	The Agent shall ensure that an officer or employee or other person designated by it as its authorised representative is present at the Builder on the Delivery Date for the purpose of examining originals (or certified copies) of the SACE Required Documents duly signed by the parties thereto and collecting copies thereof (which copies shall be certified as true copies by an authorised signatory of the Builder and/or the Borrower, as applicable).

	(b)
	The Agent shall be entitled (but not obliged) to rely and act upon any documentation or information provided under this Clause 3 (Conditions Precedent), which appears on its face to have been duly completed.

	(c)
	The Agent's responsibility to the Borrower and the Lenders for the examination of any Drawdown Notice, and, when applicable, the documents provided by any person other than the Borrower in connection with each Drawdown Notice, shall be limited to the examination of their apparent compliance with the terms and conditions thereof in accordance with Articles 14 (Standard of examination of documents) and 34 (Disclaimer on effectiveness of documents) of the "Uniform Customs and Practice for Documentary Credits" (currently publication number 600 of the International Chamber of Commerce, latest edition) (except that no time limit for examination of documents shall apply).

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	(d)
	The Agent and the Lenders shall not be obliged to enquire as to, or be responsible for, the validity, truthfulness and genuineness and (where the relevant document is a conformed copy) conformity to the original of any Drawdown Notice or any other document which appears on its face to be in order, or of any signatures thereon or any of the statements set out therein and shall be entitled to rely on the accuracy of any such statements.

	(e)
	In case of any discrepancy in any such documents, the Agent shall notify the Borrower in writing thereof and shall request its approval of such discrepancy in writing.

The Agent and the Lenders shall not be responsible for any delay in making available any Advances resulting from any requirement for the delivery of further information or documents reasonably required by the Agent for the relevant conditions precedent in this Agreement to be satisfied.
	4  
	Drawdown

	4.1
	Borrower's irrevocable payment instructions

	(a)
	The Tranche A Lenders shall not be obliged to fulfil their obligation to make an Advance available under Tranche A other than (i) by reimbursing the Borrower or by paying the Builder all or part of eighty per cent. (80%) of the Final Contract Price on behalf of and in the name of the Borrower, (ii) by reimbursing the Borrower for the First Instalment of the SACE Premium which is to be paid by the Borrower to SACE on the earlier of (A) the date falling 30 days after the issuance of the SACE Insurance Policy and (B) the date falling 6 months after the date of SACE's board approval and (iii) by payment to SACE of the Second Instalment of the SACE Premium payable on the first Drawdown Date.  For the avoidance of doubt, the amount of the Loan shall not exceed the Maximum Loan Amountunder Tranche A.

	(b)
	The Tranche B Lenders shall not be obliged to fulfil their obligation to make an Advance available under Tranche B other than:

		(i)
	by reimbursing the Borrower or by paying the Builder (as set out in the relevant Drawdown Notice) all or part of eighty per cent. (80%) of the Upsize Allowance Price on behalf of and in the name of the Borrower; and

(ii)
		(A)
	by reimbursing to the Borrower or by paying SACE, as applicable, the amount of the Tranche B Premium referred to in paragraph (a)(i) of Clause 8.6 (Tranche B Premium); and 

		(B)
	by paying SACE the amount of the Tranche B Premium referred to in paragraph (a)(ii) of Clause 8.6 (Tranche B Premium), 

such amounts of the Tranche B Premium to be paid by the Borrower to SACE in accordance with paragraph (a) of Clause 8.6 (Tranche B Premium).
	(c)
	The Tranche C Lenders shall not be obliged to fulfil their obligation to make an Advance available under Tranche C other than by payment to SACE of the second instalment of the Additional SACE Premium which is to be paid by the Borrower to SACE in accordance with paragraph (a)(ii) of Clause 8.5 (Additional Premium). 

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	(d)
	The Borrower hereby instructs the Tranche A Lenders in accordance with this Clause 4.1 (Borrower's irrevocable payment instructions) and in accordance with Schedule 6 (Drawdown ScheduleSchedules):

		(ai)
	to reimburse to the Borrower and to pay to the Builder, up to the Eligible Amount, all or part of eighty per cent. (80%) of the Final Contract Price in five (5) instalmentsAdvances in accordance with Schedule 6 (Drawdown ScheduleSchedules);

		(bii)
	to reimburse the Borrower on the first Drawdown Date under Tranche A the amount of the First Instalment of the SACE Premium to be paid by the Borrower to SACE on the earlier of (i) the date falling 30 days after the issuance of the SACE Insurance Policy and (ii) 16 June 2017, being the date falling 6 months after the date of SACE's board approval; and

		(ciii)
	to pay to the Agent on behalf of the Tranche A Lenders for onward payment to SACE (such payment to SACE to be made for value on the first Drawdown Date under Tranche A), by drawing under this Agreement, the amount of the Second Instalment of the SACE Premium.

	(e)
	The Borrower hereby instructs the Tranche B Lenders in accordance with this Clause 4.1 (Borrower's irrevocable payment instructions) and in accordance with Schedule 6 (Drawdown Schedules) to:

		(i)
	reimburse to the Borrower or pay to the Builder in accordance with the relevant Drawdown Notice, up to the Upsize Allowance Eligible Amount, all or part of eighty per cent. (80%) of the Upsize Allowance Price in four (4) Advances in accordance with Schedule 6 (Drawdown Schedules); and 

		(ii)
	pay to the Agent on behalf of the Tranche B Lenders:

		(A)
	for reimbursement to the Borrower or for onward payment to SACE (such reimbursement to the Borrower or payment to SACE, as applicable, to be made for value on the first Drawdown Date under Tranche B), by drawing under this Agreement, the amount of the Tranche B Premium referred to in paragraph (a)(i) of Clause 8.6 (Tranche B Premium); and

		(B)
	for onward payment to SACE (such payment to SACE to be made for value on the first Drawdown Date under Tranche B), by drawing under this Agreement, the amount of the Tranche B Premium referred to in paragraph (a)(ii) of Clause 8.6 (Tranche B Premium),

such amounts of the Tranche B Premium to be paid by the Borrower to SACE pursuant to paragraph (a) of Clause 8.6 (Tranche B Premium).
	(f)
	 If applicable, the Borrower hereby instructs the Tranche C Lenders in accordance with this Clause 4.1 (Borrower's irrevocable payment instructions) to pay to the Agent on behalf of the Tranche C Lenders for onward payment to SACE (such payment to SACE to be made for value on the Delivery Date), by drawing under this Agreement, the amount of the second instalment of the Additional SACE Premium to be paid by the Borrower to SACE in accordance with paragraph (a)(ii) of Clause 8.5 (Additional Premium). 

	(g)
	Payment to the Builder of the amounts drawn under paragraph (ad)(i) of this Clause 4.1 (Borrower's irrevocable payment instructions) above shall be made on the relevant Drawdown 

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Date during usual banking hours in Italy to the Builder's account as specified by the Builder in accordance with the Shipbuilding Contract and, in respect of the Delivery Advance under Tranche A, after receipt and verification by the Agent of the documents provided under Schedule 3 (Documents to be produced by the Builder to the Agent on Delivery).
	(h)
	Reimbursement to the Borrower or payment to the Builder of the amounts drawn under paragraph (e)(i) of this Clause 4.1 (Borrower's irrevocable payment instructions) above shall be made on the relevant Drawdown Date either during usual banking hours in Italy to the Builder's account as specified by the Builder in accordance with the Shipbuilding Contract or to the Borrower's account to be specified by the Borrower and, in respect of the Delivery Advance under Tranche B, after receipt and verification by the Agent of the documents provided under Schedule 3 (Documents to be produced by the Builder to the Agent on Delivery). 

	(i)
	Save as contemplated in Clause 4.3 (Modification of payment terms) below, the payment instruction contained in this Clause 4.1 (Borrower's irrevocable payment instructions) is irrevocable.

	4.2
	Conversion Rate for Loan

The Dollar amounts to be drawn down under paragraph (aparagraphs (a), (b) and (c) of Clause 4.1 (Borrower's irrevocable payment instructions) shall be calculated by the Agent on the Conversion Rate Fixing Date in accordance with the definitions of "Eligible Amount", "Upsize Allowance Eligible Amount" and "Conversion Rate" in Clause 1.1 (Definitions).
	4.3
	Modification of payment terms

The Borrower expressly acknowledges that the payment terms set out in this Clause may only be modified with the agreement of the Italian Authorities, the Agent, the Security Trustee, the Lenders and the Borrower in the case of paragraph (aparagraphs (d)(i) and (e)(i) of Clause 4.1 (Borrower's irrevocable payment instructions) and with the agreement of the Italian Authorities, the Agent, the Lenders and the Borrower in the case of paragraphs (bd)(ii), (d)(iii), (e)(ii) and (cf) of Clause 4.1 (Borrower's irrevocable payment instructions); provided that it is the intention of the Borrower, the Lenders, the Security Trustee and the Agent that prior to the Conversion Rate Fixing Date agreement shall be reached with those financial institutions with whom the Borrower has entered into the FOREX Contracts (the "Counterparties") in order that the Euro payments due from the Counterparties under the FOREX Contracts shall be paid to the Agent for holding in escrow and to be released by the Agent simultaneously with (i) the payment of each Advance to the Builder denominated in Euro and (ii) the payment to the Counterparties of the Dollars due to them under the relevant FOREX Contracts out of the Dollar amount available under paragraph (ad)(i) and (e)(i) of Clause 4.1 (Borrower's irrevocable payment instructions), subject to the Borrower having deposited with the Agent before each Drawdown Date, if and to the extent required, any Dollar and/or Euro amounts as may be needed to ensure the payment in full of both the balance of the relevant Advance in Euro and the Dollars owed to the Counterparties under all the relevant FOREX Contracts.
	4.4
	Availability and conditions

	(a)
	A drawing may not be made under this Agreement (and an Advance shall not be available) after the expiry of the Availability Period and any Commitment which is not utilised on the last day of the Availability Period shall then be cancelled.

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	(b)
	Under this Agreement, there will be no more than five (5) Advances under this Agreement.: 

		(i)
	five (5) Advances under Tranche A; 

		(ii)
	two (2) Advances under Tranche B; and 

		(iii)
	one (1) Advance under Tranche C. 

	(c)
	The amount of the first Advance under Tranche A shall not exceed the aggregate of (i) the Dollar Equivalent of 80% of the First Shipbuilding Contract Instalment and (ii) the SACE Premium.

	(d)
	The amount of each Advance under Tranche A (save for the first Advance under Tranche A) shall not exceed the Dollar Equivalent of eighty per cent. (80%) of the amount of the instalment due to the Builder under the Shipbuilding Contract to which that Advance relates.

	(e)
	The amount of the first Advance under Tranche B shall not exceed the aggregate of (i) the Dollar Equivalent of eighty per cent. (80%) of the amount of the instalment due to the Builder under the Shipbuilding Contract to which that Advance relates and (ii) 100% of the Tranche B Premium.

	(f)
	The amount of each Advance under Tranche B (save for the first Advance under Tranche B) shall not exceed the Dollar Equivalent of eighty per cent. (80%) of the amount of the instalment due to the Builder under the Shipbuilding Contract to which that Advance relates.

	(g)
	The amount of the Advance under Tranche C shall not exceed the lower of (i) the amount calculated pursuant to the provisions of paragraph (a)(ii) of Clause 8.5 (Additional Premium) and (ii) the Total Tranche C Commitments.

	(h)
	The aggregate amount of:

		(i)
	the Tranche A Advances cannot exceed the Total Tranche A Commitments;

		(ii)
	the Tranche B Advances cannot exceed the Total Tranche B Commitments;

		(iii)
	the Tranche C Advance cannot exceed the Total Tranche C Commitments; and

		(eiv)
	the aggregate amount of the Advances under all Tranches cannot exceed the Maximum Loan AmountTotal Commitments.

	(fi)
	The Lenders shall not be under any obligation to lend any Advance to the Borrower if prior to that Advance any of the events specified in Article 20.2 of the Shipbuilding Contract occurs.

	4.5
	Notification to Lenders of receipt of a Drawdown Notice

The Agent shall promptly notify the Tranche A Lenders, the Tranche B Lenders and the Tranche C Lenders, as applicable, that it has received a Drawdown Notice in relation to a Tranche and shall inform each relevant Lender of:
	(a)
	the amount of the Advance and the relevant Drawdown Date;

	(b)
	the amount of that Lender's participation in the Advance; and

	(c)
	the duration of the first Interest Period.

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	4.6
	Lenders to make available Contributions

Subject to the provisions of this Agreement, each Lender shall, on and with value on each Drawdown Date under a Tranche, make available to the Agent the amount due from that Lender under Clause 2.2 (Lenders' participations in Loan) on that Drawdown Date.
	4.7
	Disbursement of Advance

Subject to the provisions of this Agreement, the Agent shall on each Drawdown Date pay the amounts which the Agent receives from the Lenders under Clause 4.6 (Lenders to make available Contributions) in the like funds as the Agent received the payments from the Lenders:
	(a)
	in the case of the amount referred to in paragraph (ad)(i) of Clause 4.1 (Borrower's irrevocable payment instructions), to the account of the Builder and the Borrower which the Borrower specifies in the Drawdown Notice; and

	(b)
	in the case of an amount referred to in paragraph (bd)(ii) of Clause 4.1 (Borrower's irrevocable payment instructions) to the account of the Borrower which the Borrower shall specify; and

	(c)
	in the case of an amount referred to in paragraph (d)(iii) of Clause 4.1 (Borrower's irrevocable payment instructions) to the account of SACE which the SACE Agent shall specify; 

	(d)
	in the case of an amount referred to in paragraph (e)(i) of Clause 4.1 (Borrower's irrevocable payment instructions) to the account of the Builder or the Borrower which the Borrower specifies in the Drawdown Notice; 

	(e)
	in the case of an amount referred to in paragraph (e)(ii)(A) of Clause 4.1 (Borrower's irrevocable payment instructions) to the account of the Borrower which the Borrower specifies in the Drawdown Notice or SACE which the SACE Agent shall specify; 

	(f)
	in the case of an amount referred to in paragraph (e)(ii)(B) of Clause ‎4.1 (Borrower's irrevocable payment instructions) to the account of SACE which the SACE Agent shall specify; and 

	(cg)
	in the case of an amount referred to in paragraph (cf) of Clause 4.1 (Borrower's irrevocable payment instructions) to the account of SACE which the SACE Agent shall specify. 

	4.8
	Disbursement of Advance to third party

The payment by the Agent under Clause 4.7 (Disbursement of Advance) shall constitute the making of the Advance and the Borrower shall at that time become indebted, as principal and direct obligor, to each relevant Lender in an amount equal to that Lender's ContributionContributions.
	5  
	Repayment

	5.1
	Number of repayment instalments

The Borrower shall repay the Loan by twenty-four (24) consecutive six-monthly instalments from the earlier of (i) the Delivery Date and (ii) the date of actual disbursement of the respective delivery instalment (the "Starting Point of Repayment").

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	5.2
	Repayment Dates

The first repayment instalment shall be repaid on the date falling six (6) months after the Starting Point of Repayment and the last repayment instalment on the date falling one hundred and forty-four (144) months after the Starting Point of Repayment, each date of payment of an instalment being a "Repayment Date".
	5.3
	Amount of repayment instalments

Each repayment instalment of the Loan shall be of an equal amount.
	5.4
	Final Repayment Date

On the final Repayment Date, the Borrower shall additionally pay to the Agent for the account of the Creditor Parties all other sums then accrued or owing under any Finance Document.
	6  
	Interest

	6.1
	Fixed or Floating Interest Rate

The Borrower shall provide notification, signed by a duly authorised signatory of the Borrower, to the Agent at least [*] days before the first Drawdown Date under Tranche A specifying which of the Fixed Interest Rate or the Floating Interest Rate shall be applicable to all Advances until the date of payment of the final repayment instalment of the Loan.
	6.2
	Fixed Interest Rate

If the Borrower has specified a Fixed Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate), the Loan shall bear interest in respect of each Interest Period at the Fixed Interest Rate. Such interest shall accrue on the actual number of days elapsed based upon a 360 day year and shall be paid on the last day of each Interest Period.
	6.3
	Floating Interest Rate

If:
	(a)
	the Borrower has specified a Floating Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate); or

	(b)
	the Borrower has specified a Fixed Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate) but thereafter for any reason whatsoever the Interest Make-Up Agreement is suspended or otherwise ceases to be in effect; or

	(c)
	SIMEST has requested a change of currency pursuant to the Interest Make-Up Agreement and such change of currency is not agreed by the Borrower or Lenders in accordance with Clause 6.15 (Change of currency); or

	(d)
	SIMEST has failed to make a net payment of interest to the Lenders pursuant to the Interest Make-Up Agreement,

the rate of interest on the Loan in respect of any Interest Period shall be the Floating Interest Rate applicable for that Interest Period and the following provisions of this Clause 6 (Interest) shall apply (in the case of the circumstances referred to in paragraph (b) above, with effect 

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from the date on which the Interest Make-Up Agreement ceases to be in effect, with such consequential amendments as shall be necessary to give effect to the switch from a Fixed Interest Rate to a Floating Interest Rate).
	6.4
	Payment of Floating Interest Rate

Subject to the provisions of this Agreement, interest on the Loan, as applicable, in respect of each Interest Period shall accrue on the actual number of days elapsed based upon a 360 day year and shall be paid by the Borrower on the last day of that Interest Period.
	6.5
	Notification of Interest Periods and Floating Interest Rate

The Agent shall notify the Borrower and each relevant Lender of each Floating Interest Rate and the duration of each Interest Period as soon as reasonably practicable after each is determined and no later than the Quotation Day.
	6.6
	Unavailability of Screen Rate

		(a)
	Interpolated Screen Rate: If no Screen Rate is available for LIBOR for the Interest Period of the Loan or any part of the Loan, the applicable LIBOR shall be the Interpolated Screen Rate for a period equal in length to the Interest Period of the Loan or that part of the Loan. 

		(b)
	Reference Bank Rate: If no Screen Rate is available for LIBOR for:

		(i)
	Dollars; 

		(ii)
	the Interest Period of the Loan or any part of the Loan and it is not possible to calculate the Interpolated Screen Rate, 

the applicable LIBOR shall be the Reference Bank Rate as of the Specified Time and for a period equal in length to the Interest Period of the Loan or that part of the Loan. 
		(c)
	Cost of funds: If paragraph (b) above applies but no Reference Bank Rate is available for Dollars or the relevant Interest Period there shall be no LIBOR for the Loan or that part of the Loan (as applicable) and Clause 6.9 (Cost of funds) shall apply to the Loan or that part of the Loan for that Interest Period. 

	6.7
	Calculation of Reference Bank Rate

	(a)
	Subject to paragraph (b) below, if LIBOR is to be determined on the basis of a Reference Bank Rate but a Reference Bank does not supply a quotation by the Specified Time, the Reference Bank Rate shall be calculated on the basis of the quotations of the remaining Reference Banks. 

	(b)
	If at or about noon on the Quotation Day none or only one of the Reference Banks supplies a quotation, there shall be no Reference Bank Rate for the relevant Interest Period. 

	6.8
	Market Disruption

If before close of business in London on the Quotation Day for the relevant Interest Period the Agent receives notification from a Lender or Lenders (whose participations in the Loan or the relevant part of the Loan in aggregate exceed [*] per cent. of the Loan or the relevant part of 

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the Loan as appropriate) that the cost to it or each of them of funding its participation in the Loan or that part of the Loan from whatever source it may reasonably select would be in excess of LIBOR then Clause 6.9 (Cost of funds) shall apply to the Loan or that part of the Loan (as applicable) for the relevant Interest Period. 
	6.9
	Cost of funds

	(a)
	If this Clause 6.9 (Cost of funds) applies, the rate of interest on the Loan or the relevant part of the Loan for the relevant Interest Period shall be the percentage rate per annum which is the sum of: 

		(i)
	the Margin; and 

		(ii)
	the weighted average of the rates notified to the Agent by each Lender as soon as practicable and in any event before interest is due to be paid in respect of that Interest Period to be that which expresses as a percentage rate per annum the cost to the relevant Lender of funding its participation in the Loan or that part of the Loan from whatever source it may reasonably select. 

	(b)
	If this Clause 6.9 (Cost of funds) applies and the Agent or the Borrower so requiresrequire, the Agent and the Borrower shall enter into negotiations (for a period of not more than 30 days) with a view to agreeing a substitute basis for determining the rate of interest or (as the case may be) an alternative basis for funding. 

	(c)
	Subject to Clause 6.10 (Replacement of Screen Rate), any substitute or alternative basis agreed pursuant to paragraph (b) above shall, with the prior consent of all the Lenders and the Borrower, be binding on all Parties.

	(d)
	If paragraph (e) below does not apply and any rate notified to the Agent under sub-paragraph (ii) of paragraph (a) above is less than zero, the relevant rate shall be deemed to be zero. 

	(e)
	If this Clause 6.9 (Cost of funds) applies pursuant to Clause ‎6.8 (Market disruption) and:

		(i)
	a Lender's Funding Rate is less than LIBOR; or 

		(ii)
	a Lender does not supply a quotation by the time specified in sub-paragraph ‎(ii) of paragraph (a) above, 

the cost to that Lender of funding its participation in the Loan or the relevant part of the Loan for that Interest Period shall be deemed, for the purposes of paragraph (a) above, to be LIBOR. 
	(f)
	If this Clause 6.9 (Cost of funds) applies but any Lender does not supply a quotation by the time specified in sub-paragraph (ii) of paragraph (a) above, the rate of interest shall be calculated on the basis of the quotations of the remaining Lenders. 

	6.10
	Replacement of Screen Rate

If a Screen Rate Replacement Event has occurred in relation to the Screen Rate for Dollars, any amendment or waiver which relates to: 
	(a)
	providing for the use of a Replacement Benchmark; and 

(b)

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		(i)
	aligning any provision of any Finance Document to the use of that Replacement Benchmark;

		(ii)
	enabling that Replacement Benchmark to be used for the calculation of interest under this Agreement (including, without limitation, any consequential changes required to enable that Replacement Benchmark to be used for the purposes of this Agreement);

		(iii)
	implementing market conventions applicable to that Replacement Benchmark;

		(iv)
	providing for appropriate fallback (and market disruption) provisions for that Replacement Benchmark; or 

		(v)
	adjusting the pricing to reduce or eliminate, to the extent reasonably practicable, any transfer of economic value from one Party to another as a result of the application of that Replacement Benchmark (and if any adjustment or method for calculating any adjustment has been formally designated, nominated or recommended by the Relevant Nominating Body, the adjustment shall be determined on the basis of that designation, nomination or recommendation),

may be made with the consent of the Agent (acting on the instructions of the Majorityall Lenders), SACE and SIMEST (if applicable) and the Borrower. 
	(c)
	If, as at 30 September 20212022, this Agreement provides that the rate of interest for the Loan in Dollars is to be determined by reference to the Screen Rate for LIBOR:

		(i)
	a Screen Rate Replacement Event shall be deemed to have occurred on that date in relation to the Screen Rate for Dollars; and

		(ii)
	the Agent (acting on the instructions of the Majorityall Lenders) and the Obligors shall enter into negotiations in good faith with a view to agreeing the use of a Replacement Benchmark in relation to Dollars in place of that Screen Rate from and including a date no later than 30 November 20212022, unless the Borrower and the Agent (acting on the instructions of the Majorityall Lenders) agree to defer the date of the negotiations required under this sub-paragraph (ii) together with the date for the use of such a Replacement Benchmark, in which case such dates shall be those so agreed.

	(d)
	If an amendment is required as contemplated in this Clause 6.10 (Replacement of Screen Rate), the Obligors shall reimburse each of the Agent and the Security Trustee for the amount of all costs and expenses (including legal fees and other professional expenses) incurred by each Secured Party in relation to such amendment.

	6.11
	Notice of prepayment

If no agreement is reached with the Borrower under Clause 6.10 (Replacement of Screen Rate), the Borrower may give the Agent not less than 15 Business Days', or, if the Fixed Interest Rate has been selected pursuant to Clause 6.1 (Fixed or Floating Interest Rate) the Borrower may 

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give the Agent not less than 30 days' notice of its intention to prepay at the end of the interest period set by the Agent.
	6.12
	Prepayment; termination of Commitments

A notice under Clause 6.11 (Notice of prepayment) shall be irrevocable; the Agent shall promptly notify the Lenders and, if the Fixed Interest Rate has been selected by the Borrower, SIMEST of the Borrower's notice of intended prepayment; and:
	(a)
	on the date on which the Agent serves that notice, the Total Commitments shall be cancelled; and

	(b)
	on the last Business Day of the Interest Period set by the Agent, the Borrower shall prepay (without premium or penalty subject to the provisions of Clause 20.2 (Breakage costs and SIMEST arrangements)) the Loan, together with accrued interest thereon at the applicable rate (being either the Floating Interest Rate or the Fixed Interest Rate as specified by the Borrower pursuant to Clause 6.1 (Fixed or Floating Interest Rate)).

	6.13
	Application of prepayment

The provisions of Clause 16 (Cancellation, Prepayment and Mandatory Prepayment) shall apply in relation to the prepayment.
	6.14
	Certain Circumstances

Notwithstanding anything to the contrary in this Agreement:
	(a)
	in the event of any circumstances falling within Clause 6.8 (Market Disruption) which might affect the advance of an Advance under any Tranche on a Drawdown Date (the "Relevant Circumstances"):

		(i)
	occurring and being continuing on the date falling ninety (90) days before the proposed Drawdown Date (the "Relevant Date"), each Lender will notify the Borrower (through the Agent) of the Relevant Circumstances on the Relevant Date or, if the Relevant Date is not a Business Day, on the next following Business Day; and

		(ii)
	occurring after the Relevant Date, each Lender will notify the Borrower (through the Agent) immediately each Lender become aware of the Relevant Circumstances;

	(b)
	in the event of any Relevant Circumstances falling within Clause 6.8 (Market Disruption) (the "Pricing-Related Relevant Circumstances") occurring before the Loan is made available, each Lender will fund its respective Contributions by reference to the agreed alternative rate of interest in accordance with Clauses 6.6 (Unavailability of Screen Rate) 6.7 (Calculation of Reference Bank Rate), 6.8 (Market Disruption), 6.9 (Cost of funds) and 6.10 (Replacement of Screen Rate) as if the provisions of such Clauses applied not only in the event that the Pricing-Related Relevant Circumstances have been notified by the Agent to the Borrower after the making of the Loan but also before the making of the Loan.

	(c)
	in the event of any Relevant Circumstances falling within Clause 6.8 (Market Disruption) (the "Availability-Related Relevant Circumstances") occurring before the Loan is made and notwithstanding the provisions of Clause 6.6 (Unavailability of Screen Rate), each Lender will enter into good faith discussions with the Borrower for a period not exceeding 10 Business Days in order to discuss a basis on which the Lenders could be able to fund their respective 

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Contributions in Dollars (or, if unavailable in Dollars, then in any available currency). Such discussions shall be without obligation on the Lenders provided that during such discussion period, such circumstances continue.
	6.15
	Change of currency

	(a)
	In the event that the Agent notifies the Borrower that SIMEST has requested a change in the currency of the Loan in accordance with clause 6.3 of the Interest Make-Up Agreement, the Borrower and the Lenders shall, without obligation, consider such request for a change of currency acting reasonably for a period of not exceeding 10 Business Days. Following such discussions the Agent shall report the decision of the Borrower and the Lenders to SIMEST, providing their reason for any negative decision.

	(b)
	In the event that a change of currency is agreed the Parties agree to negotiate in good faith the necessary changes to this Agreement, the Finance Documents, the SACE Insurance Policy and the Interest Make-Up Agreement in order to document the change in currency.

	(c)
	In the event that a change in currency is not acceptable to the Lenders or the Borrower, the provision of paragraph (c) of Clause 6.3 (Floating Interest Rate) shall apply.

	7  
	Interest Periods

	7.1
	Commencement of Interest Periods

The first Interest Period applicable to an Advance shall commence on the Drawdown Date in respect of that Advance and each subsequent Interest Period shall commence on the expiry of the preceding Interest Period.
	7.2
	Duration of Interest Periods

Subject to Clause 7.3 (Duration of Interest Periods for Repayment Instalments), each Interest Period shall be:
	(a)
	6 months; or

	(b)
	in the case of the first Interest Period applicable to the second and any subsequent Advance, a period ending on the last day of the Interest Period then current, whereupon all of the Advances shall be consolidated and treated as a single Advance; and

	(c)
	if required, the Interest Period falling immediately prior to the Delivery Date shall be shortened in order for such Interest Period to end on the date falling immediately prior to the date of the Delivery AdvanceAdvances.

	7.3
	Duration of Interest Periods for Repayment Instalments

Any Interest Period that includes a Repayment Date shall expire on such Repayment Date.
	8  
	SACE Premium and Italian Authorities

	8.1
	SACE Premium

The estimated SACE Premium for a maximum amount of [*] (being [*] per cent. ([*]%) of the Original Maximum Loan Amount) is due and payable in two instalments as follows:

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	(a)
	the first instalment of the SACE Premium being an amount of [*] (calculated as being [*] per cent. ([*]%) of [*] per cent. ([*]%) of the Original Maximum Loan Amount) (the "First Instalment") shall be paid by the Borrower to SACE (provided that the Borrower and the Tranche A Lenders have been notified by the SACE Agent that the SACE Insurance Policy has been issued) on the earlier of (i) the date falling 30 days after the issuance of the SACE Insurance Policy and (ii) 16 June 2017, being the date falling 6 months after the date of SACE's board approval; and

	(b)
	the second instalment of the SACE Premium being an amount of [*] (calculated as being [*] per cent. ([*]%) of [*] per cent. ([*]%) of the Original Maximum Loan Amount) (the "Second Instalment") and shall be payable on the first Drawdown Date under Tranche A. For the sake of clarity, no set-off with the First Instalment shall be permitted.

	8.2
	Reimbursement by the Borrower of the SACE Premium

The Borrower irrevocably agrees to pay the First Instalment, and to instruct the Tranche A Lenders to pay the Second Instalment on behalf of the Borrower as follows:
	(a)
	the Borrower has requested and the Tranche A Lenders have agreed to reimburse the payment of one hundred per cent. (100%) of the First Instalment to the Borrower on the first Drawdown Date under Tranche A, it being agreed that such First Instalment shall be paid to SACE by the Borrower in accordance with paragraph (a) of Clause 8.1 (SACE Premium) and upon notification by the Agent to the Borrower (i) of the issuance of the SACE Insurance Policy documentation in the form required by paragraph (d) of Clause 3.6 (No later than five (5) Business Days before the First Drawdown Date), and (ii) of the amount of the First Instalment; and

	(b)
	the Borrower has requested and the Tranche A Lenders have agreed to finance the payment of one hundred per cent. (100%) of the Second Instalment on the first Drawdown Date under Tranche A in accordance with paragraph (ca)(iii) of Clause 2.1 (Amount of facility) of this Agreement.

Consequently, the Borrower hereby irrevocably instructs the Agent on behalf of the Tranche A Lenders to pay the Second Instalment to SACE on the first Drawdown Date under Tranche A in accordance with paragraph (ca)(iii) of Clause 2.1 (Amount of facility) of this Agreement and to reimburse the Borrower by the Borrower drawing under the Loan the amount of the First Instalment in accordance with paragraph (ba)(ii) of Clause 2.1 (Amount of facility) of this Agreement.
The First Instalment and Second Instalment each financed by the Loan will be repayable in any event by the Borrower to the Tranche A Lenders in the manner specified in Clause 5 (Repayment) and under any and all circumstances including but without limitation in the event of prepayment or acceleration of the Loan.
	8.3
	Italian Authorities

	(a)
	The Borrower acknowledges and agrees that the Agent and the Lenders are entitled to provide the Italian Authorities with any information they may have relative to the Loan and the business of the Group, to allow the Italian Authorities to inspect all their records relating to this Agreement and the other Transaction Documents and to furnish them with copies thereof. Any such information relative to the Loan may also be given by any Italian Authorities to international institutions charged with collecting statistical data.

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	(b)
	The Borrower acknowledges that, in the making of any decision or determination or the exercise of any discretion or the taking or refraining to take any action under this Agreement or any of the other Finance Documents, the Agent and the Lenders shall be deemed to have acted reasonably if they have acted on the instructions of either of the Italian Authorities.

	(c)
	Each Party further undertakes not to act in a manner which is inconsistent with the terms of the SACE Insurance Policy and the Interest Make-Up Agreement.

	8.4
	Refund

	(a)
	The Borrower shall, at the latest on the date falling sixty (60) days before the Intended Delivery Date, provide a notice in writing to the SACE Agent (who will promptly forward it to other Lenders and SACE), signed by an authorised signatory of the Borrower, indicating the amount of the Delivery Advance under Tranche A, being the amount set out in Part A of Schedule 6 (Drawdown ScheduleSchedules) under the column entitled "Advance to be drawn under this Agreement" to be drawn on the Delivery Date less (i) any amount cancelled based on the Conversion Rate and (ii) the Refund (as defined below) to be refunded in accordance with paragraph (b), such amount of the Refund to be confirmed by SACE at least six (6) Business Days prior to the Delivery Date. The Borrower hereby agrees and shall confirm in such notice that the remaining Tranche A Commitments shall be deemed to be cancelled. The Borrower acknowledges, for the avoidance of doubt, that the shortfall to be paid to the Builder at the Delivery Date shall be funded and paid directly by the Borrower to the Builder.

	(b)
	If the sum of the Advances under Tranche A drawn by the Borrower together with the amount notified by the Borrower pursuant to paragraph (a) and (a)(i) above (being the amount set out in Part A of Schedule 6 (Drawdown ScheduleSchedules) under the column entitled "Advance to be drawn under this Agreement" to be drawn on the Delivery Date, less any amount cancelled based on the Conversion Rate) equals an aggregate of less than the Original Maximum Loan Amount, and provided that no Event of Default has occurred and is then continuing and no loss has occurred under the SACE Insurance Policy, the Borrower shall be entitled to a refund of the Second Instalment of the SACE Premium in an amount calculated by SACE on the undrawn amount (the "Refund"). For the avoidance of doubt, the First Instalment of the SACE Premium is non-refundable, irrespective of whether any disbursements have been made under this Agreement and irrespective of whether the SACE Insurance Policy has been terminated.

	(c)
	Any refund of the Second Instalment of the SACE Premium, whether in whole or in part, must be expressly requested by the SACE Agent to SACE in writing following receipt by the SACE Agent of the Borrower's notice referred to in paragraph (a) above.

	(d)
	To the extent the Borrower is entitled to the Refund, SACE shall transfer the Refund as soon as practicably possible to the SACE Agent who shall as soon as practicably possible following receipt thereof transfer such amount to the Borrower. The Borrower hereby acknowledges that SACE shall not be liable to pay interest to the Borrower on the amount of the Refund.

	(e)
	Under the terms of the SACE Insurance Policy, the Parties acknowledge that SACE will withhold an amount of [*] per cent. ( [*]%) from the amount of the SACE Premium to be refunded. Such withholding, charged as a lump sum to cover administration and management costs for the SACE Insurance Policy, may not, in any event, amount to less than the equivalent of [*] Euros (€[*]) or more than the equivalent of [*] Euros (€[*]), calculated by SACE at the European Central Bank EUR/USD exchange rate as at the date of the refund request.

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	(f)
	Except as set out in paragraph (a) and (c) above, no part of the SACE Premium is refundable to any Obligor.

	(g)
	In no event shall the SACE Agent be liable for any refund of the SACE Premium to be made by SACE or for the calculation of any Refund and/or withholding thereof.

	8.5
	Additional Premium

	(a)
	The Borrower shall pay (through the SACE Agent) to SACE an additional SACE premium in relation to the changes made to the Facility Agreement following the 2021 Deferral Effective Date (the "Additional SACE Premium"). The Additional SACE Premium is payable, in accordance with the SACE Insurance Policy, in two instalments as follows:

		(i)
	no later than the earlier of a) 30 days from the date of issuance of the relevant addendum to the SACE Insurance Policy in form and substance acceptable to the Lenders and b) the date of the Advance under a Tranche immediately following the 2021 Deferral Effective Date, an amount of $[*], corresponding to the first instalment of the Additional SACE Premium; and

		(ii)
	no later than the Delivery Date, and unless the Guarantor's highest unsecured corporate credit rating is, 60 days before the Intended Delivery Date, BB+ or above at Standard & Poor's or Ba1 or above at Moody's, an amount of $[*], corresponding to the second instalment of the Additional SACE Premium; it being understood that if 60 days before the Intended Delivery Date, the Guarantor's highest unsecured corporate credit rating is between B+ at Standard & Poor's or B1 at Moody's and BB at Standard & Poor's or Ba2 at Moody's, this second instalment of the Additional SACE Premium shall correspond to a) [*]% of (x) $772,544,947.20 being the undrawn amount under the Loan as at 31 December 2020 times (y) the percentage applicable to the Guarantor's highest unsecured corporate credit rating between Standard & Poor's and Moody's in the table set out below (the "Revised SACE Premium Rate") divided by (z) one minus the Revised SACE Premium Rate less b) the Second Instalment of the original SACE Premium of $[*] already paid pursuant to Clause 8.1 (SACE Premium). The amount of the second instalment of the Additional SACE Premium shall be recalculated by the SACE Agent in accordance with the SACE Insurance Policy and communicated by the SACE Agent to SACE no later than 60 days prior to the Intended Delivery Date for verification and then forwarded to the Borrower as soon as practically possible following approval by SACE. 

	Rating S&P and Moody's
	Pricing

	BB / Ba2
	[*]%

	BB- / Ba3
	[*]%

​
​
	(b)
	The Additional SACE Premium is not financed.

	(b)
	The Borrower has requested, and the Tranche C Lenders have agreed to finance the payment of one hundred per cent. (100%) of the second instalment of the Additional SACE Premium to the Borrower on the Delivery Date, it being agreed that such second instalment shall be paid to SACE in accordance with paragraph (a)(ii) of this Clause 8.5 (Additional Premium) and upon 

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notification by SACE to the SACE Agent and the Borrower of the amount of the second instalment of the Additional SACE Premium. 
	(c)
	Consequently, the Borrower hereby irrevocably instructs the Agent on behalf of the Tranche C Lenders to pay the amount of the second instalment of the Additional SACE Premium to SACE on the Delivery Date in accordance with paragraph (c) of Clause 2.1 (Amount of facility) of this Agreement. 

	(d)
	The second instalment of the Additional SACE Premium financed by Tranche C will be repayable in any event by the Borrower to the Tranche C Lenders in the manner specified in Clause 5 (Repayment) and under any and all circumstances including but without limitation in the event of prepayment or acceleration of the Loan. 

	(ce)
	If (i) the Guarantor's highest unsecured corporate credit rating is equal to or higher than BB+ at Standard & Poor's and Ba1 at Moody's at the time of the Intended Delivery Date (as such term is defined in the facility agreement originally dated 19 December 2018 (as amended from time to time) and entered into between, amongst others, (i) Leonardo Six, Ltd. as borrower, (ii) the lenders and mandated lead arrangers as stated therein, (iii) BNP Paribas as facility agent, (iv) Credit Agricole Corporate and Investment Bank as SACE agent and (v) HSBC Corporate Trustee Company (UK) Limited as security trustee in relation to the ship currently under construction and to be delivered to Leonardo Six, Ltd., such date, currently estimated to be 30 June 2027, the "Leonardo Six Intended Delivery Date"), and (ii) no event of default (howsoever defined) is continuing and no Loss has been incurred by SACE in respect of any Financial Indebtedness granted to any company within the Group and supported by SACE, the Borrower may request in writing through the SACE Agent a one-off refund of a portion of the second instalment of the Additional SACE Premium, calculated in accordance with the SACE Insurance Policy and the following formula.

	(df)
	The refund pursuant to paragraph (ce) above will be paid by SACE to the SACE Agent within 30 days in accordance with the terms and conditions of the SACE Insurance Policy and subsequently paid by the SACE Agent to the Borrower., upon which such amount shall be applied to mandatorily prepay part of the Loan in accordance with the provisions of Clause 16.7 (Mandatory Prepayment in case of refund by SACE to the Borrower of the second instalment of the Additional SACE Premium).

SACE Premium refund = Loan amount outstanding at the time of the Leonardo Six Intended Delivery Date x [*]% x ((TTMi + 0.5)/2)/6.25) x (Revised SACE Premium Rate – p%),
where:
		(i)
	TTMi means Time To Maturity at the date of the Leonardo Six Intended Delivery Date being the number of years, with two decimals, between the Leonardo Six Intended Delivery Date and the final Repayment Date.

		(ii)
	p% equals to [*]%.

For avoidance of doubt, in case of discrepancy between this Clause 8.5 (Additional Premium) and the relevant provision of the SACE Insurance Policy, the SACE Insurance Policy shall prevail.
​

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	8.6
	Tranche B Premium

	(a)
	The Borrower shall pay (through the SACE Agent) to SACE an additional SACE premium in relation to Tranche B (the "Tranche B Premium"). The Tranche B Premium is payable, in accordance with the SACE Insurance Policy, as follows:

		(i)
	no later than the earlier of (x) 30 days from the date of issuance of the relevant addendum to the SACE Insurance Policy and (y) the Drawdown Date in respect of the first Advance under Tranche B, an amount equal to $2,483,946.67, corresponding to fifteen per cent (15%) of the Tranche B Premium; and

		(ii)
	no later than the Drawdown Date in respect of the first Advance under Tranche B, an amount equal to $14,075,697.77, corresponding to eighty-five per cent (85%) of the Tranche B Premium. 

	(b)
	The Borrower has requested, and the Tranche B Lenders have agreed to finance the payment of one hundred per cent. (100%) of the Tranche B Premium to the Borrower on the first Drawdown Date under Tranche B, it being agreed that:

		(i)
	the amount referred to in paragraph (a)(i) above shall, as applicable, be reimbursed to the Borrower or paid to SACE; and

		(ii)
	the amount referred to in paragraph (a)(ii) above shall be paid to SACE,

and upon notification by SACE to the SACE Agent and the Borrower of the amount of the Tranche B Premium.
	(c)
	Consequently, the Borrower hereby irrevocably instructs the Agent on behalf of the Tranche B Lenders to:

		(i)
	reimburse to the Borrower or pay to SACE, as applicable, the amount of the Tranche B Premium referred to in paragraph (a)(i) above; and

		(ii)
	pay to SACE the amount of the Tranche B Premium referred to in paragraph (a)(ii) above,

no later than the first Drawdown Date under Tranche B in accordance with paragraphs (b)(ii) and (b)(iii) of Clause 2.1 (Amount of facility) of this Agreement.
	(d)
	The Tranche B Premium financed by part of Tranche B will be repayable in any event by the Borrower to the Tranche B Lenders in the manner specified in Clause ‎5 (Repayment) and under any and all circumstances including but without limitation in the event of prepayment or acceleration of the Loan. 

	(e)
	The Borrower shall, at the latest on the date falling sixty (60) days before the Intended Delivery Date, provide a notice in writing to the SACE Agent (who will promptly forward it to other Lenders and SACE), signed by an authorised signatory of the Borrower, indicating the amount of the Delivery Advance under Tranche B, being the amount set out in Part B of Schedule 6 (Drawdown Schedules) under the column entitled "Advance to be drawn under this Agreement" to be drawn on the Delivery Date less (i) any amount cancelled based on the Conversion Rate and (ii) the Tranche B Refund (as defined below) to be refunded in accordance with paragraph (f), such amount of the Tranche B Refund to be confirmed by SACE at least six (6) Business Days prior to the Delivery Date. The Borrower hereby agrees and shall confirm in 

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such notice that the remaining Tranche B Commitments shall be deemed to be cancelled. The Borrower acknowledges, for the avoidance of doubt, that the shortfall (if any) to be paid to the Builder at the Delivery Date shall be funded and paid directly by the Borrower to the Builder.
	(f)
	If the sum of the Advances under Tranche B drawn by the Borrower together with the amount notified by the Borrower pursuant to paragraph (e) above (being the amount set out in Part B of Schedule 6 (Drawdown Schedules) under the column entitled "Advance to be drawn under this Agreement" to be drawn on the Delivery Date, less any amount cancelled based on the Conversion Rate) equals an aggregate of less than the Total Tranche B Commitments, and provided that no Event of Default has occurred and is then continuing and no loss has occurred under the SACE Insurance Policy, the Borrower shall be entitled to a refund of the Tranche B Premium in an amount calculated by SACE on the undrawn amount (the "Tranche B Refund"). For the avoidance of doubt, the amount of the SACE Premium referred to in paragraph (a)(i) of this Clause 8.6 (Tranche B Premium) is non-refundable, irrespective of whether any disbursements have been made under this Agreement and irrespective of whether the SACE Insurance Policy has been terminated.

	(g)
	Any refund of the amount of the Tranche B Premium referred to in paragraph (a)(ii) of this Clause 8.6 (Tranche B Premium), whether in whole or in part, must be expressly requested by the SACE Agent to SACE in writing following receipt by the SACE Agent of the Borrower's notice referred to in paragraph (e) above.

	(h)
	To the extent the Borrower is entitled to the Tranche B Refund, SACE shall transfer the Tranche B Refund as soon as practicably possible to the SACE Agent who shall as soon as practicably possible following receipt thereof transfer such amount to the Borrower. The Borrower hereby acknowledges that SACE shall not be liable to pay interest to the Borrower on the amount of the Tranche B Refund.

	(i)
	Under the terms of the SACE Insurance Policy, the Parties acknowledge that SACE will withhold an amount of five per cent. (5%) from the amount of the Tranche B Premium to be refunded. Such withholding, charged as a lump sum to cover administration and management costs for the SACE Insurance Policy, may not, in any event, amount to less than the equivalent of three thousand Euros (€3,000) or more than the equivalent of twenty-five thousand Euros (€25,000), calculated by SACE at the European Central Bank EUR/USD exchange rate as at the date of the refund request.

	(j)
	Except as set out in paragraph (e) and (g) above, no part of the Tranche B Premium is refundable to any Obligor.

	(k)
	In no event shall the SACE Agent be liable for any refund of the Tranche B Premium to be made by SACE or for the calculation of any Refund and/or withholding thereof.

​
	9  
	Fees

The following fees shall be paid to the Agent by the Borrower as required hereunder:
	(a)
	for the benefit of the Joint Mandated Lead Arrangers, a Joint Mandated Lead Arranger structuring fee in Euros, computed at the rate of [*] per cent. ([*]%) flat on [*] being the Original Maximum Loan Amount converted into Euros at the Base Rate and:

		(i)
	[*] per cent. ([*]%) of which is payable on the date of the Original Facility Agreement; and

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		(ii)
	[*] per cent. ([*]%) of which is payable four years prior to the Intended Delivery Date,

	(b)
	for the benefit of the Lenders, a commitment fee in Dollars for the period from the date of the Original Facility Agreement to the Delivery Date of the Ship, or the date of receipt by the Agent of the written cancellation notice sent by the Borrower as described in Clause 16.1 (Cancellation), whichever is the earliest, computed at the rate of:

		(i)
	from the date of the Original Facility Agreement to and including 31 December 2017, [*] per cent. ([*]%) per annum;

		(ii)
	from 1 January 2018 to and including 31 December 2019, [*] per cent. ([*]%) per annum;

		(iii)
	from 1 January 2020 to and including 30 September 2020, [*] per cent. ([*]%) per annum; and

		(iv)
	from 1 October 2020 to and including the Delivery Date, [*] per cent ([*]%) per annum,

and calculated on the undrawn amount of the Original Maximum Loan Amount prior to the date of this Agreement and thereafter of the Amended Maximum Loan Amount and payable in arrears on the date falling six (6) months after the date of the Original Facility Agreement and on each date falling at the end of each following consecutive six (6) month period, with the exception of the commitment fee due in respect of the last period, which shall be paid on the Delivery Date, or the date of receipt by the Agent of the written cancellation notice sent by the Borrower as described in Clause 16.1 (Cancellation), whichever is the earliest, such commitment fee to be calculated on the actual number of days elapsed divided by three hundred and sixty (360). For the purpose of the computation of the periodical commitment fee payable to the Lenders, the Original Maximum Loan Amount is assumed to be eight hundred and sixty-eight million, one hundred and eight thousand, one hundred and eight Dollars and eleven Cents ($868,108,108.11) and the Amended Maximum Loan Amount is assumed to be one billion, one hundred and forty-three million, seven hundred and twelve thousand, seven hundred and eight Dollars and eighty-seven Cents ($1,143,712,708.87);
	(c)
	for the Agent, an agency fee of:

		(i)
	[*] payable on the date of the Original Facility Agreement and on or before each anniversary date thereof until the Delivery Date; and

		(ii)
	[*] payable (A) from the Delivery Date, unless an agency fee pursuant to sub-paragraph (i) above has been paid by the Borrower during the same calendar year as the Delivery Date in which case the first payment pursuant to this sub-paragraph (ii) shall occur in the year following the Delivery Date and (B) on or before each anniversary date thereof until total repayment of the Loan; and

	(d)
	for the SACE Agent an Agent structuring fee in the amount and payable at the time separately agreed in writing between the SACE Agent and the Borrower.

	10 
	Taxes, Increased Costs, Costs and Related Charges

	10.1
	Definitions

	(a)
	In this Agreement:

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"Protected Party" means a Secured Party which is or will be subject to any liability, or required to make any payment, for or on account of Tax in relation to a sum received or receivable (or any sum deemed for the purposes of Tax to be received or receivable) under a Finance Document;
"Tax Credit" means a credit against, relief or remission for, or repayment of any Tax.
"Tax Deduction" means a deduction or withholding for or on account of Tax from a payment under a Finance Document other than a FATCA Deduction.
"Tax Payment" means either the increase in a payment made by an Obligor to a Secured Party under Clause 10.2 (Tax gross-up) or a payment under Clause 10.3 (Tax indemnity).
	(b)
	Unless a contrary indication appears, in this Clause 10 (Taxes, Increased Costs, Costs and Related Charges) reference to "determines" or "determined" means a determination made in the absolute discretion of the person making the determination.

	10.2
	Tax gross-up

	(a)
	Each Obligor shall make all payments to be made by it under the Finance Documents without any Tax Deduction, unless a Tax Deduction is required by law.

	(b)
	The Borrower shall promptly upon becoming aware that an Obligor must make a Tax Deduction (or that there is any change in the rate or the basis of a Tax Deduction) notify the Agent accordingly. Similarly, a Lender shall notify the Agent on becoming so aware in respect of a payment payable to that Lender. If the Agent receives such notification from a Lender it shall notify the Borrower and that Obligor.

	(c)
	If a Tax Deduction is required by law to be made by an Obligor, the amount of the payment due from that Obligor shall be increased to an amount which (after making any Tax Deduction) leaves an amount equal to the payment which would have been due if no Tax Deduction had been required.

	(d)
	A payment shall not be increased under paragraph (c) above if on the date on which the payment falls due the Obligor making the payment is able to demonstrate that the payment could have been made to the Lender without the Tax Deduction had that Lender (having been given notice of the documentation requested under Clause 10.7 (Lender Status) at least 30 Business Days prior to such payment date) complied with its obligations under Clause 10.7 (Lender Status).

	(e)
	If an Obligor is required to make a Tax Deduction, that Obligor shall make that Tax Deduction and any payment required in connection with that Tax Deduction within the time allowed and in the minimum amount required by law.

	(f)
	Within thirty days of making either a Tax Deduction or any payment required in connection with that Tax Deduction, the Obligor making that Tax Deduction shall deliver to the Agent for the Secured Party entitled to the payment evidence reasonably satisfactory to that Secured Party that the Tax Deduction has been made or (as applicable) any appropriate payment paid to the relevant taxing authority.

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	10.3
	Tax indemnity

	(a)
	The Borrower shall (within three Business Days of demand by the Agent) pay to a Protected Party an amount equal to the loss, liability or cost which that Protected Party determines will be or has been (directly or indirectly) suffered for or on account of Tax by that Protected Party in respect of a Finance Document.

	(b)
	Paragraph (a) above shall not apply:

		(i)
	with respect to any Tax assessed on a Secured Party:

		(A)
	under the law of the jurisdiction in which that Secured Party is incorporated or, if different, the jurisdiction (or jurisdictions) in which that Secured Party is treated as resident for tax purposes; or

		(B)
	under the law of the jurisdiction in which that Lender's Facility Office is located in respect of amounts received or receivable in that jurisdiction,

if that Tax is imposed on or calculated by reference to the net income received or receivable (but not any sum deemed to be received or receivable) by that Secured Party; or
		(ii)
	to the extent a loss, liability or cost is compensated for by an increased payment under Clause 10.2 (Tax gross-up) or would have been compensated for by an increased payment under Clause 10.2 (Tax gross-up) but was not so compensated solely because an exclusion in paragraph (d) of Clause 10.2 (Tax gross-up) applied, or relates to a FATCA Deduction required to be made by a Party; or

		(iii)
	with respect to the Taxes in the nature of a branch profits tax imposed by Section 884(a) of the Code that is imposed by any jurisdiction described in paragraph (b)(i)(B) above.

	(c)
	A Protected Party making, or intending to make a claim under paragraph (a) above shall promptly notify the Agent of the event which will give, or has given, rise to the claim, following which the Agent shall notify the Borrower.

	(d)
	A Protected Party shall, on receiving a payment from an Obligor under this Clause 10.3 (Tax indemnity), notify the Agent.

	10.4
	Tax Credit

If an Obligor makes a Tax Payment and the relevant Creditor Party determines that:
	(a)
	a Tax Credit is attributable to an increased payment of which that Tax Payment forms part, to that Tax Payment or to a Tax Deduction in consequence of which that Tax Payment was required; and

	(b)
	that Creditor Party has obtained, retained and utilised that Tax Credit,

the Creditor Party shall pay an amount to the Obligor which that Creditor Party determines will leave it (after that payment) in the same after-Tax position as it would have been in had the Tax Payment not been required to be made by the Obligor.

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	10.5
	Stamp taxes

The Borrower shall pay and, within three Business Days of demand, indemnify each Secured Party against any cost, loss or liability that Secured Party incurs in relation to all stamp duty, registration and other similar Taxes payable in respect of any Finance Document.
	10.6
	VAT

	(a)
	All amounts expressed to be payable under a Finance Document by any Party to a Secured Party which (in whole or in part) constitute the consideration for any supply for VAT purposes are deemed to be exclusive of any VAT which is chargeable on that supply, and accordingly, subject to paragraph (b) below, if VAT is or becomes chargeable on any supply made by any Secured Party to any Party under a Finance Document and such Secured Party is required to account to the relevant tax authority for the VAT, that Party must pay to such Secured Party (in addition to and at the same time as paying any other consideration for such supply) an amount equal to the amount of the VAT (and such Secured Party must promptly provide an appropriate VAT invoice to that Party).

	(b)
	If VAT is or becomes chargeable on any supply made by any Secured Party (the "Supplier") to any other Secured Party (the "Recipient") under a Finance Document, and any Party other than the Recipient (the "Relevant Party") is required by the terms of any Finance Document to pay an amount equal to the consideration for that supply to the Supplier (rather than being required to reimburse or indemnify the Recipient in respect of that consideration):

		(i)
	(where the Supplier is the person required to account to the relevant tax authority for the VAT) the Relevant Party must also pay to the Supplier (at the same time as paying that amount) an additional amount equal to the amount of the VAT. The Recipient must (where this paragraph (i) applies) promptly pay to the Relevant Party an amount equal to any credit or repayment the Recipient receives from the relevant tax authority which the Recipient reasonably determines relates to the VAT chargeable on that supply; and

		(ii)
	(where the Recipient is the person required to account to the relevant tax authority for the VAT) the Relevant Party must promptly, following demand from the Recipient, pay to the Recipient an amount equal to the VAT chargeable on that supply but only to the extent that the Recipient reasonably determines that it is not entitled to credit or repayment from the relevant tax authority in respect of that VAT.

	(c)
	Where a Finance Document requires any Party to reimburse or indemnify a Secured Party for any cost or expense, that Party shall reimburse or indemnify (as the case may be) such Secured Party for the full amount of such cost or expense, including such part of it as represents VAT, save to the extent that such Secured Party reasonably determines that it is entitled to credit or repayment in respect of such VAT from the relevant tax authority.

	(d)
	Any reference in this Clause 10.6 (VAT) to any Party being required to account to a tax authority for VAT shall, at any time when such Party is treated as a member of a group for VAT purposes, include a reference to another member of that group being required to so account to the relevant tax authority.

	(e)
	In relation to any supply made by a Secured Party to any Party under a Finance Document, if reasonably requested by such Secured Party, that Party must promptly provide such Secured Party with details of that Party's VAT registration and such other information as is reasonably 

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requested in connection with such Secured Party's VAT reporting requirements in relation to such supply.
	10.7
	Lender Status

	(a)
	Any Lender that is entitled to an exemption from or reduction of withholding Tax with respect to payments made under a Finance Document shall deliver to the Agent and the Borrower, at the time or times reasonably requested by the Agent or the Borrower, such properly completed and executed documentation reasonably requested by the Agent or the Borrower (and which it is reasonable for the Lender to complete and execute) as will permit such payments to be made without withholding or at a reduced rate of withholding. In addition, any Lender, if reasonably requested by the Agent or the Borrower, shall deliver such other documentation as prescribed by applicable law and reasonably requested by the Agent or the Borrower as will enable the Agent or the Borrower to determine whether or not such Lender is subject to backup withholding or information reporting requirements.

	(b)
	Any Lender shall, to the extent it is legally entitled to do so, and where it is entitled to an exemption from, or reduction of, U.S. federal withholding tax, deliver to the Agent and the Borrower on or prior to the date on which such Lender becomes a Lender under this Agreement or promptly thereafter (and from time to time thereafter as prescribed by applicable law or upon the request of the Agent or the Borrower), duly executed and properly completed copies of Internal Revenue Service Form W-9 or W-8, as applicable, certifying that it is not subject to U.S. federal backup withholding and, in the case of a non-U.S. Lender that is eligible for an exemption from, or reduction of, U.S. federal withholding Tax establishing an exemption from, or reduction of, U.S. federal withholding Tax.

	10.8
	FATCA Deduction

	(a)
	Each Party may make any FATCA Deduction it is required to make by FATCA, and any payment required in connection with that FATCA Deduction, and no Party shall be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction.

	(b)
	Each Party shall promptly, upon becoming aware that it must make a FATCA Deduction (or that there is any change in the rate or the basis of such FATCA Deduction) notify the Party to whom it is making the payment and, in addition, shall notify the Borrower, the Agent and the other Secured Parties.

	10.9
	FATCA Information

	(a)
	Subject to paragraph (c) below, each Party shall, within ten Business Days of a reasonable request by another Party:

		(i)
	confirm to that other Party whether it is:

		(A)
	a FATCA Exempt Party; or

		(B)
	not a FATCA Exempt Party;

		(ii)
	supply to that other Party such forms, documentation and other information relating to its status under FATCA as that other Party reasonably requests for the purposes of that other Party's compliance with FATCA; and

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		(iii)
	supply to that other Party such forms, documentation and other information relating to its status as that other Party reasonably requests for the purposes of that other Party's compliance with any other law, regulation, or exchange of information regime.

	(b)
	If a Party confirms to another Party pursuant to paragraph (i) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly.

	(c)
	Paragraph (a) above shall not oblige any Creditor Party to do anything, and paragraph (a)(iii) above shall not oblige any other Party to do anything, which would or might in its reasonable opinion constitute a breach of:

		(i)
	any law or regulation;

		(ii)
	any fiduciary duty; or

		(iii)
	any duty of confidentiality.

	(d)
	If a Party fails to confirm whether or not it is a FATCA Exempt Party or to supply forms, documentation or other information requested in accordance with paragraph (a)(i) or (a)(ii) above (including, for the avoidance of doubt, where paragraph (c) above applies), then such Party shall be treated for the purposes of the Finance Documents (and payments under them) as if it is not a FATCA Exempt Party until such time as the Party in question provides the requested confirmation, forms, documentation or other information.

	(e)
	Each Lender shall, within ten Business Days of (i) where the relevant Lender is a Lender at the date of the Original Facility Agreement, the date of the Original Facility Agreement and, (ii) where the relevant Lender becomes a Lender at the date of this Agreement, the date of this Agreement and (iii) where the relevant Lender is a Transferee Lender, the effective date of a Transfer Certificate under Clause 24.4 (Effective Date of Transfer Certificate), supply to the Agent:

		(i)
	a withholding certificate on Form W-8, Form W-9 or any other relevant form; or

		(ii)
	any withholding statement or other document, authorisation or waiver as the Agent may require to certify or establish the status of such Lender under FATCA or that other law or regulation.

	(f)
	The Agent shall provide any withholding certificate, withholding statement, document, authorisation or waiver it receives from a Lender pursuant to paragraph (e) above to the relevant Borrower.

	(g)
	If any withholding certificate, withholding statement, document, authorisation or waiver provided to the Agent by a Lender pursuant to paragraph (e) above is or becomes materially inaccurate or incomplete, that Lender shall promptly update it and provide such updated withholding certificate, withholding statement, document, authorisation or waiver to the Agent unless it is unlawful for the Lender to do so (in which case the Lender shall promptly notify the Agent). The Agent shall provide any such updated withholding certificate, withholding statement, document, authorisation or waiver to the relevant Borrower.

	(h)
	The Agent may rely on any withholding certificate, withholding statement, document, authorisation or waiver it receives from a Lender pursuant to paragraph (e) or (g) above 

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without further verification. The Agent shall not be liable for any action taken by it under or in connection with paragraphs (e), (f) or (g) above.
	(i)
	CDP confirms, and the Borrower acknowledges, that as at the date of this Agreement CPD is a FATCA Exempt Party.

	10.10
	Increased Costs

	(a)
	If after the date of the Original Facility Agreement by reason of (x) any change in law or in its interpretation or administration and/or (y) compliance with any request from or requirement of any central bank or other fiscal, monetary or other authority including but without limitation the Basel Committee on Banking Regulations and Supervisory Practices whether or not having the force of law:

		(i)
	any of the Lenders incurs a cost as a result of its performing its obligations under this Agreement and/or its making available its Commitment hereunder; or

		(ii)
	there is any increase in the cost to any of the Lenders of funding or maintaining all or any of the advances comprised in a class of advances formed by or including its Commitment advanced or to be advanced by it hereunder; or

		(iii)
	any of the Lenders incurs a cost as a result of its having entered into and/or its assuming or maintaining its commitment under this Agreement; or

		(iv)
	any of the Lenders becomes liable to make any payment on account of Tax or otherwise (other than Tax on its overall net income) on or calculated by reference to the amount of its Commitment advanced or to be advanced hereunder and/or any sum received or receivable by it hereunder; or

		(v)
	any of the Lenders suffers any decrease in its rate of return as a result of any changes in the requirements relating to capital ratios, monetary control ratios, the payment of special deposits, liquidity costs or other similar requirements affecting that Lender,

then the Borrower shall on demand pay to the Agent for the account of the relevant Lender or Lenders amounts sufficient to indemnify the relevant Lender or Lenders against, as the case may be, such cost, such increased cost (or such proportion of such increased cost as is in the reasonable opinion of the relevant Lender or Lenders attributable to the funding or maintaining of its or their Commitment(s) hereunder) or such liability.
	(b)
	This Clause 10.10 (Increased Costs) does not apply to the extent any increased cost is:

		(i)
	attributable to a Tax Deduction required by law to be made by an Obligor;

		(ii)
	attributable to a FATCA Deduction required to be made by a Party;

		(iii)
	compensated for by Clause 10.3 (Tax indemnity) (or would have been compensated for under Clause 10.3 (Tax indemnity) but was not compensated solely because any of the exclusions in paragraph (b) of Clause 10.3 (Tax indemnity) applied); or

		(iv)
	attributable to the wilful breach by the relevant Creditor Party or its Affiliates of any law of regulation.

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In this Clause 10.10 (Increased Costs), a reference to a "Tax Deduction" has the same meaning given to the term in Clause 10.1 (Definitions).
	(c)
	A Lender affected by any provision of this Clause 10.10 (Increased Costs) shall promptly inform the Agent after becoming aware of the relevant change and its possible results (which notice shall be conclusive evidence of the relevant change and its possible results) and the Agent shall, as soon as reasonably practicable thereafter, notify the Borrower of the change and its possible results. Without affecting the Borrower's obligations under this Clause 10.10 (Increased Costs) and in consultation with the Agent and the Italian Authorities, the affected Lender will then take all such reasonable steps as may be open to it to mitigate the effect of the change (for example (if then possible) by changing its Facility Office or transferring some or all of its rights and obligations under this Agreement to another financial institution reasonably acceptable to the Borrower and the Agent and the Italian Authorities). The reasonable costs of mitigating the effect of any such change shall be borne by the Borrower save where such costs are of an internal administrative nature and are not incurred in dealings by any Lender with third parties.

	10.11
	Transaction Costs

The Borrower undertakes to pay to the Agent, upon demand, all costs and expenses, duties and fees, including but without limitation pre-agreed legal costs (which, for avoidance of doubt are exclusive of VAT and disbursements) out of pocket expenses and travel costs, reasonably incurred by the Italian Authorities, the Joint Mandated Lead Arrangers and the Lenders (but not including any bank which becomes a Lender after the date of the Original Facility Agreement) in connection with the negotiation, preparation and execution of all agreements, guarantees, security agreements and related documents entered into, or to be entered into, for the purpose of the transaction contemplated hereby as well as all costs and expenses, duties and fees incurred by the Agent or the Lenders in connection with the registration, filing, enforcement or discharge of the said guarantees or security agreements, including without limitation the fees and expenses of legal advisers and insurance experts (provided that such insurance costs are not to exceed ten thousand Dollars ($10,000)) and the fees and expenses of the Italian Authorities (including the fees and expenses of its legal advisers) payable by the Joint Mandated Lead Arrangers to the Italian Authorities, the cost of registration and discharge of security interests and the related travel and out of pocket expenses; the Borrower further undertakes to pay to the Agent all costs, expenses, duties and fees incurred by the Lenders and the Italian Authorities in connection with any variation of this Agreement and the related documents, guarantees and security agreements, any supplements thereto and waiver given in relation thereto, in connection with the investigation of any potential Event of Default, the enforcement or preservation of any rights under this Agreement and/or the related guarantees and security agreements, including in each case the fees and expenses of legal advisers, and in connection with the consultations or proceedings made necessary or in the opinion of the Agent desirable by the acts of, or failure to act on the part of, the Borrower.
	10.12
	Costs of delayed Delivery Date

The Borrower undertakes to pay to the Agent, upon demand, any costs incurred by the Lenders and/or the Italian Authorities in funding the Loan in the event that the Delivery Date is later than the Intended Delivery Date unless the Borrower has given the Agent at least three (3) Business Days' notification of such delay in the Delivery Date.

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	10.13
	SACE obligations

To the extent that this Clause 10 (Taxes, Increased Costs, Costs and Related Charges) imposes obligations or restrictions on a Secured Party, such obligations or restrictions shall not apply to SACE and SACE shall have no obligations hereunder nor be constrained by such restrictions.
	11 
	Representations and Warranties

	11.1
	Timing and repetition

The following applies in relation to the time at which representations and warranties are made and repeated:
	(a)
	the representations and warranties in Clause 11.2 (Continuing representations and warranties) are made on the date of the Original Facility Agreement (apart from the representation at paragraphs (ee) and (ff) of Clause 11.2 (Continuing representations and warranties) which shall only be made on the date of the Original Facility Agreement and shall not be repeated) and shall be deemed to be repeated, with reference mutatis mutandis to the facts and circumstances subsisting, as if made on each day until the Borrower has no remaining obligations, actual or contingent, under or pursuant to this Agreement or any of the other Finance Documents; and

	(b)
	the representations and warranties in Clause 11.3 (Representations on the Delivery Date) are made on the Delivery Date and shall be deemed to be repeated, with reference mutatis mutandis to the facts and circumstances subsisting, as if made thereafter on each day until the Borrower has no remaining obligations, actual or contingent, under or pursuant to this Agreement or any of the other Finance Documents.

	11.2
	Continuing representations and warranties

The Borrower represents and warrants to each of the Secured Parties that:
	(a)
	each Obligor is a company or body corporate duly organised or (as the case may be) incorporated, constituted and validly existing under the laws of the country of its formation or (as the case may be) incorporation, possessing perpetual existence, the capacity to sue and be sued in its own name and the power to own and charge its assets and carry on its business as it is now being conducted;

	(b)
	the Borrower has an authorised share capital of 12,000 common shares of par value $1 each all of which have been issued to the Shareholder;

	(c)
	the legal title to and beneficial interest in the equity in the Borrower is held free of any security (other than pursuant to the Shares Security Deed) or any other claim by the Shareholder;

	(d)
	none of the equity in the Borrower is subject to any option to purchase, pre-emption rights or similar rights;

	(e)
	each Obligor has the power to enter into and perform this Agreement and those of the other Transaction Documents to which it is a party and the transactions contemplated hereby and thereby and has taken all necessary action to authorise the entry into and performance of this Agreement and such other Transaction Documents and such transactions;

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	(f)
	this Agreement and each other Transaction Document constitutes (or will constitute when executed) legal, valid and binding obligations of each Obligor expressed to be a party thereto enforceable in accordance with their respective terms and in entering into this Agreement and borrowing the Loan, the Borrower is acting on its own account;

	(g)
	the entry into and performance of this Agreement and the other Transaction Documents and the transactions contemplated hereby and thereby do not and will not conflict with:

		(i)
	any law or regulation or any official or judicial order; or

		(ii)
	the constitutional documents of any Obligor; or

		(iii)
	any agreement or document to which any Obligor is a party or which is binding upon such Obligor or any of its assets,

nor result in the creation or imposition of any Security Interest on the Borrower or its assets pursuant to the provisions of any such agreement or document, except for Security Interests which qualify as Permitted Security Interests with respect to the Borrower;
	(h)
	all authorisations, approvals, consents, licences, exemptions, filings, registrations, notarisations and other matters, official or otherwise, required in connection with the entry into, performance, validity and enforceability of this Agreement and each of the other Transaction Documents to which any Obligor is a party and the transactions contemplated thereby have been obtained or effected and are in full force and effect except authorisations, approvals, consents, licences, exemptions, filings and registrations required in the normal day to day course of the operation of the Ship and not already obtained by the Borrower;

	(i)
	it is disregarded as an entity separate from its owner for U.S. federal Tax purposes;

	(j)
	all information furnished by any Obligor relating to the business and affairs of any Obligor in connection with this Agreement and the other Transaction Documents was and remains true and correct in all material respects and there are no other material facts or considerations the omission of which would render any such information misleading;

	(k)
	each Obligor has fully disclosed to the Agent all facts relating to each Obligor which it knows or should reasonably know and which might reasonably be expected to influence the Lenders in deciding whether or not to enter into this Agreement;

	(l)
	the obligations of the Borrower, the Shareholder and the Guarantor under the Finance Documents rank at least pari passu with all its other present unsecured and unsubordinated indebtedness with the exception of any obligations which are mandatorily preferred by law;

	(m)
	the Borrower is and shall remain, after the advance to it of the Loan, solvent in accordance with the laws of Bermuda and the United Kingdom and in particular with the provisions of the Insolvency Act 1986 (as from time to time amended) and the requirements thereof;

	(n)
	neither the Borrower nor any other Obligor has taken any corporate action nor have any other steps been taken or legal proceedings been started or (to the best of its knowledge and belief) threatened against any of them for the reorganisation, winding-up, dissolution or for the appointment of a liquidator, administrator, receiver, administrative receiver, trustee or similar officer of any of them or any or all of their assets or revenues nor has it sought any other relief under any applicable insolvency or bankruptcy law;

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	(o)
	(in relation to any date on which this representation and warranty is deemed to be repeated pursuant to paragraph (a) of Clause 11.1 (Timing and repetition)) the latest available annual consolidated audited accounts of the Guarantor at the date of repetition (which accounts have been prepared in accordance with GAAP) fairly represent the financial condition of the Guarantor as shown in such audited accounts;

	(p)
	none of the Obligors nor any of their respective assets enjoys any right of immunity (sovereign or otherwise) from set-off, suit or execution in respect of their obligations under this Agreement or any of the other Transaction Documents or by any relevant or applicable law;

	(q)
	all the shares in the Borrower and all shares or membership interest in any Approved Manager which is a member of the Group shall be legally and beneficially owned directly or indirectly by (in the case of the Borrower), the Shareholder and (in the case of such Approved Manager) the Guarantor and such structure shall remain so throughout the Security Period;

	(r)
	the copies of the Pre-delivery Contracts are true and complete copies of each such document constituting valid and binding obligations of the parties thereto enforceable in accordance with their respective terms and, subject to paragraph (b) of Clause 12.23 (Pre-delivery Contracts and Pre-delivery Insurance), no amendments thereto or variations thereof have been agreed nor has any action been taken by the parties thereto which would in any way render such document inoperative or unenforceable;

	(s)
	the Borrower is the sole legal and beneficial owner of all rights and interests which each of the Pre-delivery Contracts creates in favour of the Borrower;

	(t)
	any borrowing by the Borrower under this Agreement, and the performance of its obligations under this Agreement and the other Transaction Documents, will be for its own account and will not involve any breach by it of any law or regulatory measure relating to "money laundering" as defined in Article 1 of the Directive (91/308/EEC) of the Council of the European Communities (as amended by Directive 2001/97/EC of the European Parliament and of the Council of 4 December 2001); and

	(u)
	no Obligor is:

		(i)
	a Prohibited Person;

		(ii)
	is owned or controlled by or acting directly or indirectly on behalf of or for the benefit of, a Prohibited Person; or

		(iii)
	owns or controls a Prohibited Person;

	(v)
	no proceeds of the Loan shall be made available directly or indirectly to or for the benefit of a Prohibited Person nor shall they be otherwise directly or indirectly applied in a manner or for a purpose prohibited by Sanctions;

	(w)
	the choice of governing law of each Transaction Documents to which it is a party will be recognised and enforced in its Relevant Jurisdictions and any judgment obtained in relation to a Transaction Document to which it is a party in the jurisdiction of the governing law of that Transaction Document will be recognised and enforced in its Relevant Jurisdictions;

	(x)
	for the purposes of The Council of the European Union Regulation No. 1346/2000 on Insolvency Proceedings (the "Regulation"), its centre of main interest (as that term is used in Article 3(1) of the Regulation) is situated outside of the European Union and it has no 

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"establishment" (as that term is used in Article 2(h) of the Regulation) in European Union country;
	(y)
	no payments made or to be made by the Borrower, the Shareholder or the Guarantor in respect of amounts due under this Agreement or any Finance Document have been or shall be funded out of funds of Illicit Origin and none of the sources of funds to be used by the Borrower, the Shareholder or the Guarantor in connection with the construction of the Ship or its business are of Illicit Origin;

	(z)
	to the best of the Borrower's, the Shareholder's and the Guarantor's knowledge, no Prohibited Payment has been or will be made or provided, directly or indirectly, by (or on behalf of) it, any of its affiliates, its or its officers, directors or any other person acting on its behalf to, or for the benefit of, any authority (or any official, officer, director, agent or key employee of, or other person with management responsibilities in, of any authority) in connection with the Ship, this Agreement and/or the Finance Documents and/or the Pre-delivery Contracts;

	(aa)
	no event has occurred which constitutes a default under or in respect of any Transaction Document to which any Obligor or the Builder is a party or by which any Obligor or the Builder may be bound (including (inter alia) this Agreement) and no event has occurred which constitutes a default under or in respect of any agreement or document to which any Obligor is a party or by which any Obligor may be bound to an extent or in a manner which might have a material adverse effect on the ability of that Obligor to perform its obligations under the Transaction Documents to which it is a party;

	(bb)
	none of the assets or rights of the Borrower is subject to any Security Interest except any Security Interest which (i) qualifies as a Permitted Security Interest with respect to the Borrower or (ii) is permitted by Clause 12.8 (Negative pledge) of this Agreement;

	(cc)
	no litigation, arbitration or administrative proceedings are current or pending or, to its knowledge, threatened, which might, if adversely determined, have a material adverse effect on the ability of an Obligor to perform its obligations under the Transaction Documents to which it is a party;

	(dd)
	to the best of its knowledge, each of the Obligors has complied with all taxation laws in all jurisdictions in which it is subject to taxation and has paid all Taxes due and payable by it;

	(ee)
	it is not required to make any deduction for or on account of Tax from any payment it may make under any Finance Document to which it is a party with respect to any Lender that provides the documentation described in paragraph (b) of Clause 10.7 (Lender Status) indicating that it is not subject to tax withholding;

	(ff)
	under the laws of its Relevant Jurisdictions it is not necessary that any stamp or similar taxes or fees be paid on or in relation to the Finance Documents to which it is a party or the transactions contemplated by those Finance Documents;

	(gg)
	each member of the Group has good and marketable title to all its assets which are reflected in the audited accounts referred to in paragraph (o) of Clause 11.2 (Continuing representations and warranties);

	(hh)
	none of the Obligors has a place of business in any jurisdiction (except as already disclosed) which requires any of the Finance Documents to be filed or registered in that jurisdiction to ensure the validity of the Finance Documents to which it is a party;

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	(ii)
	the Borrower does not have a place of business in any country (except as already disclosed) other than that of its Original Jurisdiction;

	(jj)
	the Borrower is in all material respects (except in the case of compliance with Sanctions which must be complied with in all respects) compliant with all laws or regulations relating to it and its business generally;

	(kk)
	each of the Obligors and each member of the Group:

		(i)
	is in compliance with all Environmental Laws and Environmental Approvals provided that any non-compliance would not be expected to result in a Material Adverse Effect;

		(ii)
	has not received any notice or threat of any Environmental Claim against any member of the Group and no person has claimed that an Environmental Incident has occurred in each case that would reasonably be expected to result in a Material Adverse Effect;

		(iii)
	confirms that no Environmental Incident has occurred and no person has claimed that an Environmental Incident has occurred in each case that would reasonably be expected to result in a Material Adverse Effect;

	(ll)
	each of the Pre-delivery Contracts constitutes legal, valid, binding and enforceable obligations of the Builder and the relevant Refund Guarantor respectively;

	(mm)
	neither the Borrower, the Builder or the relevant Refund Guarantor has waived any of their respective rights under any Pre-delivery Contract;

	(nn)
	the Borrower has read and acknowledged the principles provided under the Code of Ethics and Model;

	(oo)
	the Borrower has implemented adequate internal procedures aimed at preventing commission of crimes provided under Legislative Decree 231/01;

	(pp)
	no litigation is pending against the Borrower in relation to administrative liability provided under Legislative Decree 231/01;

	(qq)
	no final judgment under Legislative Decree 231/01 has been issued against the Borrower and no plea bargain (also known as patteggiamento under Italian law) has been agreed by the Borrower pursuant to article 444 of the Italian code of criminal procedure; and

	(rr)
	neither the Borrower nor any of its assets are subject to any precautionary measure provided under Legislative Decree 231/01.

	11.3
	Representations on the Delivery Date

The Borrower further represents and warrants to each of the Secured Parties on the Delivery Date that:
	(a)
	the Ship is in its absolute and unencumbered ownership save as contemplated by the Finance Documents;

	(b)
	the Ship is registered in its name under the laws and flag of the Maritime Registry;

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	(c)
	the Ship is classed with the highest classification available for a Ship of its type free of all recommendations and qualifications with Lloyd's Register, RINA or Bureau Veritas;

	(d)
	the Ship is operationally seaworthy and in compliance with all relevant provisions, regulations and requirements (statutory or otherwise) applicable to ships registered under the laws and flag of the Maritime Registry;

	(e)
	the Ship is in compliance with the ISM Code, the ISPS Code and Annex VI as they relate to the Borrower, any Approved Manager and the Ship;

	(f)
	the Ship is insured in accordance with the provisions of Clause 14 (Insurance Undertakings) and in compliance with the requirements therein in respect of such insurances;

	(g)
	the Ship is managed by the Approved Manager and, in the event that the Approved Manager is not a member of the Group, on and subject to the terms set out in the Management Agreement;

	(h)
	there is no agreement or understanding to allow or pay any rebate, premium, inducement, commission, discount or other benefit or payment (however described) to the Borrower or any other member of the Group, the Builder or a third party in connection with the purchase by the Borrower of the Ship, other than as disclosed to the Agent in writing on or before the date of this Agreement;

	(i)
	no Obligor has delivered particulars, whether in its name stated in the Finance Documents or any other name, of any UK Establishment to the Registrar of Companies as required under the Overseas Regulations or, if it has so registered, it has provided to the Agent sufficient details to enable an accurate search against it to be undertaken by the Lenders at the Companies Registry;

	(j)
	the Borrower is in all material respects (except in the case of compliance with Sanctions which must be complied with in all respects) compliant with all laws or regulations relating to the Ship, its ownership, employment, operation, management and registration;

	(k)
	the copies of any Management Agreement, any charter and any charter guarantee which require a notice of assignment to be served under the terms of the General Assignment (if any) and any other relevant third party agreements including but without limitation the copies of any documents in respect of the Insurances delivered to the Agent are true and complete copies of each such document constituting valid and binding obligations of the parties thereto enforceable in accordance with their respective terms and, subject to ClausesClause 13.2 (Management and employment), no amendments thereto or variations thereof have been agreed nor has any action been taken by the parties thereto which would in any way render such document inoperative or unenforceable; and

	(l)
	except for:

		(i)
	the filing of UCC-1 Financing Statements in such jurisdictions as the Security Trustee may reasonably require;

		(ii)
	the recording of the Mortgage with the relevant Maritime Registry; and

		(iii)
	the registration of the Ship under an Approved Flag,

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all authorisations, approvals, consents, licences, exemptions, filings, registrations, notarisations and other matters, official or otherwise, required in connection with the entry into, performance, validity and enforceability of this Agreement and each of the other Transaction Documents to which any Obligor is a party and the transactions contemplated thereby have been obtained or effected and are in full force and effect except authorisations, approvals, consents, licences, exemptions, filings and registrations required in the normal day to day course of the operation of the Ship and not already obtained by the Borrower.
	12 
	General Undertakings

	12.1
	General

The Borrower undertakes with each Secured Party to comply with the following undertakings during the Security Period:
	12.2
	Information

The Borrower will provide to the Agent for the benefit of the Lenders and SACE (or will procure the provision of):
	(a)
	as soon as practicable (and in any event within one hundred and twenty (120) days after the close of its financial year) a Certified Copy of the audited consolidated accounts of the Guarantor and its subsidiaries for that year (commencing with accounts made up to 31 December 2016 in the case of the consolidated accounts of the Guarantor);

	(b)
	as soon as practicable (and in any event within forty-five (45) days of the end of the contemplated quarter for the first three quarters in any fiscal year and within 90 days for the final quarter) a copy of the unaudited consolidated quarterly management accounts of the Guarantor (it being understood that the delivery by the Guarantor of quarterly or annual reports as filed with the Securities and Exchange Commission in respect of the Guarantor and its consolidated subsidiaries shall satisfy all the requirements of this paragraph (b));

	(c)
	promptly, such further information in its possession or control regarding the condition or operations of the Ship and its financial condition and operations of the Borrower and those of any company in the Group as the Agent may reasonably request for the benefit of the Secured Parties;

	(d)
	details of any material litigation, arbitration or administrative proceedings (including proceedings relating to any alleged or actual breach of Sanctions, the ISM Code of the ISPS Code) which affect any company in the Group as soon as the same are instituted and served, or, to the knowledge of the Borrower, threatened (and for this purpose proceedings shall be deemed to be material if they involve a claim in an amount exceeding twenty million Dollars or the equivalent in another currency provided that this threshold shall not apply to any proceedings relating to Sanctions); and

	(e)
	any reasonably requested information which the Agent requests about any interest or right of any kind which the Borrower has at any time to, in or in connection with, each of the Pre-delivery Contracts or in relation to any matter arising out of or in connection with any Pre-delivery Contract including the progress of the construction of the Ship, any material dispute, termination, cancellation or suspension, material breach of or under any Pre-delivery Contract or material claim proposed or actual amendments (excluding Minor Modifications) of or under any Pre-delivery Contract, and any material litigation, arbitration, proceeding or investigation 

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in relation to the Borrower and of any other event or matter affecting a Pre-delivery Contract which has or is reasonably likely to have a Material Adverse Effect.
All accounts required under this Clause 12.2 (Information) shall be prepared in accordance with GAAP and shall fairly represent the financial condition of the relevant company.
	12.3
	Equator Principles Compliance

Upon the request of the Agent, the Borrower shall provide to the Agent information as may be reasonably requested by the Lenders for the purposes of monitoring that the Borrower conducts its operations in all material respects in accordance with the Equator Principles.
	12.4
	Illicit Payments

No payments made by the Borrower, the Shareholder, the Guarantor or any Approved Manager which is a member of the Group in respect of amounts due under this Agreement or any Finance Document shall be funded out of funds of Illicit Origin and none of the sources of funds to be used by the Borrower, the Shareholder, the Guarantor or any Approved Manager which is a member of the Group in connection with the construction of the Ship or its business shall be of Illicit Origin.
	12.5
	Prohibited Payments

No Prohibited Payment shall be made or provided, directly or indirectly, by (or on behalf of) the Borrower, the Shareholder, the Guarantor or any of their affiliates, officers, directors or any other person acting on its behalf to, or for the benefit of, any authority (or any official, officer, director, agent or key employee of, or other person with management responsibilities in, of any authority) in connection with the Ship, this Agreement, the Finance Documents and/or the Pre-delivery Contracts.
	12.6
	Notification of default

The Borrower will notify the Agent of any Event of Default forthwith upon becoming aware of the occurrence thereof. Upon the Agent's request from time to time the Borrower will issue a certificate stating whether any Obligor is aware of the occurrence of any Event of Default.
	12.7
	Consents and registrations

The Borrower will procure that (and will promptly furnish Certified Copies to the Agent on the request of the Agent of) all such authorisations, approvals, consents, licences and exemptions as may be required under any applicable law or regulation to enable it or any Obligor to perform its obligations under, and ensure the validity or enforceability of, each of the Transaction Documents are obtained and promptly renewed from time to time and will procure that the terms of the same are complied with at all times. Insofar as such filings or registrations have not been completed on or before the relevant Drawdown Date the Borrower will procure the filing or registration within applicable time limits of each Finance Document which requires filing or registration together with all ancillary documents required to preserve the priority and enforceability of the Finance Documents.
	12.8
	Negative pledge

The Borrower will not create or permit to subsist any Security Interest on the whole or any part of its present or future assets, except for the following:

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	(a)
	Security Interests created with the prior consent of the Agent; or

	(b)
	Security Interests qualifying as Permitted Security Interests with respect to the Borrower and described in paragraphs (a) and (b) of the definition of "Permitted Security Interests" in Clause 1.1 (Definitions); or

	(c)
	Security Interests qualifying as Permitted Security Interests with respect to the Borrower and described in paragraphs (C), (E), (H) or (I) of such definition, provided that insofar as they are enforceable against the Ship they do not prevail over the Mortgage.

	12.9
	Disposals

Except in the case of a sale of the Ship if the completion of the sale is contemporaneous with prepayment of the Loan in accordance with the provisions of Clause 16.3 (Mandatory prepayment – Sale and Total Loss) and except for charters and other arrangements complying with Clause 13.1 (Pooling of earnings and charters) the Borrower shall not without the consent of the Majority Lenders and SACE, either in a single transaction or in a series of transactions whether related or not and whether voluntarily or involuntarily, (i) sell, transfer, lease or otherwise dispose of the Ship or any of the Ship's equipment except in the case of items (a) being replaced (by an equivalent or superior item) or renewed or (b) that are being disposed of in the ordinary course of business provided that in the case of both (a) and (b) the net impact does not reduce the value of the Ship and, in the case of (b), the value of any such disposals during the term of this Agreement do not, in aggregate, exceed ten million Dollars ($10,000,000) (ii) sell, transfer or otherwise dispose of any of its receivables on recourse terms; (iii) enter into any arrangement under which money or the benefit of a bank or other account may be applied, set off or made subject to a combination of accounts, or (iv) enter into any other preferential arrangement having the same effect in circumstances where the arrangement or transaction is entered into primarily as a method of raising financial indebtedness or of financing the acquisition of an asset.
	12.10
	Change of business

Except with the prior consent of the Agent, the Borrower shall not make or threaten to make any substantial change in its business as presently conducted, namely that of a single ship owning company for the Ship, or change its place of business to any country other than that of its Original Jurisdiction, or carry on any other business which is substantial in relation to its business as presently conducted so as to affect, in the opinion of the Agent, the Borrower's ability to perform its obligations hereunder.
	12.11
	Mergers

Except with the prior consent of the Lenders and SACE and subject to compliance with all necessary "know your customer" requirements, the Borrower will not enter into any amalgamation, restructure, substantial reorganisation, merger, de-merger or consolidation or anything analogous to the foregoing nor will it acquire any equity, share capital or obligations of any corporation or other entity.
	12.12
	Maintenance of status and franchises

The Borrower will do all such things as are necessary to maintain its company existence in good standing and will ensure that it has the right and is duly qualified to conduct its business as it is conducted in all applicable jurisdictions and will obtain and maintain all franchises and rights necessary for the conduct of its business.

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	12.13
	Financial records

The Borrower will keep proper books of record and account, in which proper and correct entries shall be made of all financial transactions and the assets, liabilities and business of the Borrower in accordance with GAAP.
	12.14
	Financial Indebtedness and subordination of indebtedness

The following restrictions shall apply:
	(a)
	otherwise than in the ordinary course of business as owner of the Ship, except as contemplated by this Agreement and except any loan, advance or credit extended by the Guarantor or any member of the Group which is a wholly owned Subsidiary of the Guarantor, the Borrower will not create, incur, assume or allow to exist any financial indebtedness, enter into any finance lease or undertake any material capital commitment (including but not limited to the purchase of any capital asset); and

	(b)
	the Borrower shall procure that:

		(i)
	any and all indebtedness (and in particular with any other Obligor) is at all times fully subordinated to the Finance Documents and the obligations of the Borrower hereunder; and

		(ii)
	if required by any applicable laws, the subordinated liabilities created pursuant to such indebtedness shall be subject to security (in form and substance satisfactory to the Secured Parties) in favour of the Security Trustee ("Subordinated Debt Security") and any related legal opinions shall be issued if so required by the Secured Parties.

Upon the occurrence of an Event of Default, the Borrower shall not make any repayments of principal, payments of interest or of any other costs, fees, expenses or liabilities arising from or representing such indebtedness. In this paragraph (b) "fully subordinated" shall mean that any claim of the lender against the Borrower in relation to such indebtedness shall rank after and be in all respects subordinate to all of the rights and claims of the Secured Parties under this Agreement and the other Finance Documents and that the lender shall not take any steps to enforce its rights to recover any monies owing to it by the Borrower and in particular but without limitation the lender will not institute any legal or quasi-legal proceedings under any jurisdiction at any time against the Ship, her Earnings or Insurances or the Borrower and it will not compete with the Secured Parties or any of them in a liquidation or other winding-up or bankruptcy of the Borrower or in any proceedings in connection with the Ship, her Earnings or Insurances.
	12.15
	Investments

The Borrower shall not:
	(a)
	be the creditor in respect of any loan or any form of credit to any person other than another Obligor and where such loan or form of credit is Permitted Financial Indebtedness;

	(b)
	give or allow to be outstanding any guarantee or indemnity to or for the benefit of any person in respect of any obligation of any other person or enter into any document under which the Borrower assumes any liability of any other person other than any guarantee or indemnity given under the Finance Documents.

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	(c)
	enter into any material agreement other than:

		(i)
	the Transaction Documents;

		(ii)
	any other agreement expressly allowed under any other term of this Agreement; and

	(d)
	enter into any transaction on terms which are, in any respect, less favourable to the Borrower than those which it could obtain in a bargain made at arms' length; or

	(e)
	acquire any shares or other securities other than US or UK Treasury bills and certificates of deposit issued by major North American or European banks.

	12.16
	Unlawfulness, invalidity and ranking; Security imperilled

No Obligor shall do (or fail to do) or cause or permit another person to do (or omit to do) anything which is likely to:
	(a)
	make it unlawful for an Obligor to perform any of its obligations under the Transaction Documents;

	(b)
	cause any obligation of an Obligor under the Finance Documents to cease to be legal, valid, binding or enforceable if that cessation individually or together with any other cessations materially or adversely affects the interests of the Secured Parties under the Transaction Documents;

	(c)
	cause any Transaction Document to cease to be in full force and effect;

	(d)
	cause any Security Interest to rank after, or lose its priority to, any other Security Interest; and

	(e)
	imperil or jeopardise any Security Interest.

	12.17
	Dividends and dividend restriction

	(a)
	Subject to paragraph (b) below, the Borrower shall not make or pay any dividend or other distribution (in cash or in kind) in respect of its share capital other than dividends and distributions that are transferred to the Shareholder or the Guarantor provided that no Event of Default has occurred or is continuing or would result from the payment of any dividend.

	(b)
	During the Deferral Period, the Borrower shall not, and shall procure that the Guarantor, the Shareholder and the Holding shall not:

		(i)
	declare, make or pay any dividend or other distribution (or interest on any unpaid dividend or other distribution) (whether in cash or in kind) on or in respect of its share capital (or any class of its share capital);

		(ii)
	repay or distribute any dividend or share premium reserve; 

		(iii)
	make any repayment of any kind under any shareholder loan; or 

		(iv)
	redeem, repurchase (whether by way of share buy-back program or otherwise), defease, retire or repay any of its share capital or resolve to do so, 

except that (A) any Obligor other than the Guarantor may pay dividends and other distributions, directly or indirectly, to the Guarantor for the purpose of providing liquidity to 

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the Guarantor to enable the Guarantor to satisfy payment obligations for which the Guarantor is an obligor and (B) any Obligor may pay dividends in respect of the Tax liability to each relevant jurisdiction in respect of consolidated, combined, unitary or affiliated Tax returns for each relevant jurisdiction of the Group or the Holding or holder of the Guarantor's capital stock with respect to income taxable as a result of any member of the Group or the Holding being taxed as a pass-through entity for U.S. Federal, state and local income tax purposes or attributable to any member of the Group, (C) the Guarantor and the Holding may pay dividends and other distributions (x) in respect of a conversion, exchange, or repurchase of convertible or exchangeable notes and any conversion of preference shares to ordinary shares in connection therewith, provided that the cash portion of a repurchase of convertible or exchangeable notes is limited to the amount of interest that would otherwise be payable through maturity on the amount of such convertible or exchangeable notes being repurchased plus any amount in lieu of fractional shares, and (y) to the extent contractually owed to holders of equity in the Guarantor or the Holding and (D) the Guarantor may pay dividends and other distributions to the Holding for the purposes of providing cash to the Holding for the payment of any Tax payable in connection with the Holding's equity plan,
provided that the actions in paragraphs (B) and (C) above shall only be permitted if there is no Event of Default which is continuing under this Agreement and no Event of Default would arise from the payment of such dividend. 
	12.18
	Loans and guarantees by the Borrower

Otherwise than in the ordinary course of business in its ownership and operation of the Ship following the Delivery Date, the Borrower will not make any loan or advance or extend credit to any person, firm or corporation (other than as permitted pursuant to paragraph (a) of Clause 12.15 (Investments)), or issue or enter into any guarantee or indemnity or otherwise become directly or contingently liable for the obligations of any other person, firm or corporation.
	12.19
	Acquisition of shares

The Borrower will not:
	(a)
	acquire any equity, share capital, assets or obligations of any corporation or other entity; or

	(b)
	permit any of its shares to be directly held other than by the Shareholder.

	12.20
	Further assurance

The Borrower will, from time to time on being required to do so by the Agent, do or procure the doing of all such acts and/or execute or procure the execution of all such documents in a form satisfactory to the Agent as the Agent may reasonably consider necessary for giving full effect to any of the Transaction Documents, the Interest Make-Up Agreement or the SACE Insurance Policy or securing to the Secured Parties the full benefit of the rights, powers and remedies conferred upon the Secured Parties or any of them in any such Transaction Document the Interest Make-Up Agreement or the SACE Insurance Policy.
	12.21
	Irrevocable payment instructions

The Borrower shall not modify, revoke or withhold the payment instructions set out in Clause 4.1 (Borrower's irrevocable payment instructions) without the agreement of the Builder (in the case of paragraph (aparagraphs (b)(i), (d)(i) and (e)(i) of Clause 4.1 (Borrower's irrevocable payment instructions) only), the Agent, SACE and the Lenders.

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	12.22
	"Know your customer" checks

	(a)
	If:

		(i)
	the introduction of or any change in (or in the interpretation, administration or application of) any law or regulation made after the date of the Original Facility Agreement;

		(ii)
	any change in the status of the Borrower after the date of the Original Facility Agreement; or

		(iii)
	a proposed assignment or transfer by a Lender of any of its rights and obligations under this Agreement to a party that is not a Lender prior to such assignment or transfer,

obliges the Agent or any Lender (or, in the case of paragraph (a)(iii) of Clause 12.22 ("Know your customer" checks), any prospective new Lender) to comply with "know your customer" or similar identification procedures in circumstances where the necessary information is not already available to it or the Lenders (acting reasonably) require any additional documents to supplement those already provided, the Borrower shall promptly upon the request of the Agent or any Lender supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any Lender) or any Lender (for itself or, in the case of the event described in paragraph (iii) of Clause 12.22 ("Know your customer" checks), on behalf of any prospective new Lender) in order for the Agent and, such Lender to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents.
	(b)
	Each Lender shall promptly upon the request of a Servicing Party supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Servicing Party (for itself) in order for that Servicing Party to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents.

	12.23
	Pre-delivery Contracts and Pre-delivery Insurance

	(a)
	The Borrower shall:

		(i)
	observe and perform all its obligations and meet all its liabilities under or in connection with each Pre-delivery Contract;

		(ii)
	use its best endeavours to ensure performance and observance by the other parties of their obligations and liabilities under each Pre-delivery Contract;

		(iii)
	take any action, or refrain from taking any action, which the Agent (always acting reasonably and in good faith towards the Borrower) may specify in connection with any material breach, or possible future material breach, of a Pre-delivery Contract by the Borrower or any other party or with any other matter which arises or may later arise out of or in connection with a Pre-delivery Contract which is or could reasonably be expected to become materially prejudicial to the interests, rights or position of the Lenders; and

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		(iv)
	use its best endeavours to ensure that all interests and rights conferred by each Pre-delivery Contract remain valid and enforceable in all respects and retain the priority which they were intended to have.

	(b)
	The Pre-delivery Contracts constitute legal, valid and binding and enforceable obligations of the Builder and the relevant Refund Guarantor respectively, and accordingly the Borrower shall not:

		(i)
	waive, cancel or suspend any Pre-delivery Contract or assign or transfer any of its rights thereunder, and shall comply with any authorisations for the purposes of the Pre-delivery Contracts;

		(ii)
	make any material modification(s) to the Material Provisions of the Shipbuilding Contract (excluding Article 9 (Price) of the Shipbuilding Contract in respect of any increase of the price due to any modifications of the plans or the specification or the construction of the Ship under Article 24 of the Shipbuilding Contract), (including, but not limited to, any written amendments or modifications which could reasonably be expected to be adverse to the interests of the Secured Parties of the SACE Insurance Policy) without the prior written consent of the Lenders and in any event may not modify the Shipbuilding Contract, directly or indirectly, in such a manner that would result in a change of the type, principal dimensions or class of the Ship or decrease the value of the Ship by equal to or greater than 5 per cent (in aggregate) or could reasonably be expected to be adverse to the interests of the Secured Parties or the SACE Insurance Policy; or

		(iii)
	modify theany Refund Guarantee, once issued, without the prior written consent of the Lenders and the form of theany Refund Guarantee to be issued will not be materially different from the agreed form Refund Guarantee attached to the Sixth Addendum, and will not be modified if such modification could reasonably be expected to be adverse to the interests of the Secured Parties or the SACE Insurance Policy.

The Borrower will, therefore, submit to the Agent any proposals for any such modification and SACE and the Agent on behalf of the Lenders will indicate in a timely manner whether the modification proposed will allow the Loan to be maintained. The Borrower also undertakes to notify the Agent of any change in the Intended Delivery Date as soon as practicable after each change has occurred.
The Borrower shall notify the Agent promptly, and in any event within ten (10) Business Days (as defined in limb (a) of the definition of Business Day) of any changes to the Shipbuilding Contract (other than Minor Modifications arising in the general day to day construction period for a vessel of the type of the Ship) and provide copies of the same to the Agent.
	(c)
	The Borrower shall promptly notify the Agent upon any Obligor becoming aware of a Downgraded Refund Guarantor. Where there is a Downgraded Refund Guarantor, the Borrower shall promptly serve written notice on the Builder requiring the Builder to replace that Downgraded Refund Guarantor with a Refund Guarantor which is not subject to any such RG Downgrade Event within a 60 day period. If the Borrower requests any waiver of the above requirement from the Lenders, the Borrower acknowledges that the Lenders (acting on the instructions of SACE) shall not be obliged to provide any such waiver. If a RG Downgrade Event occurs and the Borrower is unable to satisfy the requirements of this paragraph (c), it shall be treated as a mandatory prepayment event pursuant to Clause 16.6 (Mandatory prepayment on default under Shipbuilding Contract).

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	(d)
	The Borrower shall ensure that at all times during construction, the Ship is insured in accordance with the provisions of Article 23 of the Shipbuilding Contract.

	(e)
	In the event that a previously issued Refund Guarantee cannot be extended or replaced, and pursuant to the terms of the Shipbuilding Contract the Builder has chosen to replace such Refund Guarantee with an Acceptable Deposit, the Account shall be opened and such Acceptable Deposit shall be transferred to the Account which shall be pledged in favour of the Lenders, the Joint Mandated Lead Arrangers, the Security Trustee, the Agent and the SACE Agent and shall be deemed to be Pre-delivery Security. For the avoidance of doubt:

		(i)
	any amount of the Acceptable Deposit shall be transferred to and from the Account upon the terms of the Account Pledge and the conditions relating to the mechanics of the Account and Acceptable Deposit shall be set out in the Account Pledge; and

		(ii)
	upon the instructions of the Beneficiaries (as defined in the Account Pledge), the Account Bank shall close the Account upon delivery of the Ship provided no potential Event of Default or Event of Default has occurred.

	12.24
	FOREX Contracts

The Borrower shall:
	(a)
	provide the Agent with a copy of all FOREX Contracts together with all relevant details within ten (10) days of their execution; and

	(b)
	inform the Agent, when requested by the Agent, of its intended hedging policy for purchasing Euro with Dollars.

The Agent shall inform the Lenders within ten (10) days of receipt of such information from the Borrower.
	12.25
	Compliance with laws etc.

The Borrower shall:
	(a)
	comply, or procure compliance with:

		(i)
	in all material respects, all laws and regulations relating to it and its business generally; and

		(ii)
	in all material respects (except in the case of compliance with Sanctions which must be complied with in all respects), all laws or regulations relating to the Ship, its ownership, employment, operation, management and registration,

including the ISM Code, the ISPS Code, all Environmental Laws, all Sanctions and the laws of the Approved Flag;
	(b)
	obtain, comply with and do all that is necessary to maintain in full force and effect any Environment Approvals which are applicable to it; and

	(c)
	without limiting paragraph (a) above, not employ the Ship nor allow its employment, operation or management in any manner contrary to any law or regulation including but not limited to the ISM Code, the ISPS Code, all Environmental Laws and all Sanctions.

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	12.26
	Most favoured nations

	(a)
	The Borrower shall procure that if at any time after the date of the Original Facility Agreement the Guarantor enters into any financial contract or financial document relating to any Financial Indebtedness with or which has the support of any export credit agency and which contains pari passu provisions or cross default provisions which are more favourable to the lenders than those contained in paragraph (l) of Clause 11.2 (Continuing representations and warranties) and Clause 18.6 (Cross default) respectively, the Borrower or the Guarantor shall immediately notify the Agent of such provisions and the relevant provisions contained in this Agreement shall be deemed amended so that such more favourable pari passu provisions or cross default provisions are granted to the Creditor Parties pursuant to this Agreement.

	(b)
	The Borrower undertakes that if at any time after the date of this Agreement, it or any other member of the Group is required to grant additional security in relation to a financial contract or financial document relating to any existing Financial Indebtedness:

		(i)
	with the support of any export credit agency (excluding any extensions, increases or changes to the terms and conditions thereof), such security shall be granted on a pari passu basis to the Lenders (and the Security Trustee agrees to enter and/or procure the entry by the relevant Secured Parties into such intercreditor documentation to reflect such pari passu ranking (in form and substance reasonably satisfactory to the Secured Parties) as may be required in connection with such arrangements); or

		(ii)
	without the support of any export credit agency (excluding any extensions, increases or changes to the terms and conditions thereof), such security shall (without prejudice to any of the Obligors' other obligations under the Finance Documents), subject to the provisions of clause 11.11 (Negative pledge) of the Guarantee and Clause 12.8 (Negative pledge), be permitted provided that it shall not have an adverse effect on any Security Interests or other rights granted to the Secured Parties under the Finance Documents.

	(c)
	In respect of any new Financial Indebtedness (other than Permitted Financial Indebtedness), or any extensions, increases or changes to the terms and conditions of any existing Financial Indebtedness, in each case with or which has the support of any export credit agency, the Borrower shall enter into good faith negotiations with the Security Trustee to grant additional security for the purpose of further securing the Loan, provided that any failure to reach agreement under this paragraph (c) following such good faith negotiations shall not constitute an Event of Default.

	12.27
	New capital raises or financing

	(a)
	Save as provided below: 

		(i)
	no new debt or equity issuance shall be raised and no new Financial Indebtedness shall be incurred by the Group (including, for the avoidance of doubt, inter-company loans); 

		(ii)
	no non-arm's length disposals of any asset relating to the Group fleet shall be made; and 

		(iii)
	no additional Security Interests securing existing Financial Indebtedness will be created or permitted to subsist by any Obligor (unless the Lenders benefit from this new security on a pari passu basis), 

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during the Deferral Period. 
	(b)
	The restrictions in paragraph (a) of Clause 12.27 (New capital raises or financing) above shall not apply in relation to:

		(i)
	any refinancing of any bond issuance of, or loan entered into by, the Group (A) which matures during such period or (B) where not maturing during such period, shall be on terms which include any of the following (evidence of which shall be provided to the Agent by the Guarantor) resulting, when taken as a whole, in an improvement of the ability of the Obligors to meet their obligations under the Finance Documents: an extension of the repayment terms; a decrease in the interest rate; or the conversion of such Financial Indebtedness from secured to unsecured or first to second priority;

		(ii)
	any debt or equity issuance provided prior to 31 December 2022 to provide the Group with crisis and/or recovery related funding in respect of the impact of the Covid-19 pandemic; 

		(iii)
	any debt or equity issuance being raised on or after 31 December 2022 to support the Group with the impact of the Covid-19 pandemic, made with the prior written consent of SACE; 

		(iv)
	any debt or equity issuance being raised to finance any instalment of a cruise vessel already contracted for or contracted for during such period or any refurbishment, maintenance, upgrade or lengthening of a cruise ship during such period (including without limitation any costs incurred by the owner of a cruise ship in connection therewith); 

		(v)
	any debt or equity issuance being raised to finance capital expenditure for projects which are already contracted for but in respect of which committed financing has not yet been obtained, and which, in each case has been (or will be) listed in the Information Package submitted to the Agent prior to the 2021 Deferral Effective Date; 

		(vi)
	any extension or renewal of revolving credit facilities, and made with the prior written consent of SACE if any additional security is to be granted; 

		(vii)
	any new debt or equity issuance otherwise agreed by SACE; or 

		(viii)
	any inter-company loan or operating arrangement which from an accounting perspective has the effect of an intercompany loan (an "intercompany arrangement") which: 

		(A)
	is existing as at the date of the February 2021 Amendment and Restatement Agreement; 

		(B)
	is made among any Group members or any Group member with the Holding provided that: 

		(1)
	any inter-company arrangement is made solely for the purpose of regulatory or Tax purposes carried out in the ordinary course of business and on an arm's length basis; and 

		(2)
	the aggregate principal amount of any inter-company arrangements outstanding pursuant to this paragraph (2)(b)(viii)(B) of Clause 12.27 

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(New capital raises or financing) does not exceed [*] ($[*]) at any time; or 
		(C)
	has been approved with the prior written consent of SACE;

		(ix)
	any Permitted Security Interest;

		(x)
	any Security Interest otherwise approved with the prior written consent of SACE; and 

		(xi)
	any Financial Indebtedness incurred in the ordinary course of business which in the aggregate does not exceed USD [*] during any twelve-month period; and 

		(xii)
	without prejudice to Clauses 12.11 (Mergers) and 12.15 (Investments) and clause 11.13 (No merger) of the Guarantee, the issuance of share capital by any Group member to another Group member.

	12.28
	Code of Ethics and Model

	(a)
	The Borrower shall not behave so as to cause any of the following persons to violate the principles set out in the Code of Ethics and/or Model:

		(i)
	persons who are representatives, administrators or managers of CDP or of any of its organizational units with financial and functional independence;

		(ii)
	persons who are managed or supervised by one of the persons referred to in paragraph (i) above; or

		(iii)
	external advisors of CDP.

	(b)
	The Borrower shall maintain adequate internal procedures aimed at preventing liabilities provided under Legislative Decree 231/01.

	(c)
	The Borrower shall inform CDP of any (i) new pending litigation against it in relation to administrative liability provided under Legislative Decree 231/01; (ii) new final judgment under Legislative Decree 231/01, including, without limitation, any plea bargain (also known as patteggiamento under Italian law) pursuant to article 444 of the Italian code of criminal procedure; and (iii) new precautionary measures under Legislative Decree 231/01.

	13 
	Ship Undertakings

	13.1
	Pooling of earnings and charters

The Borrower will not without the prior written consent of the Agent or SACE enter into in respect of the Ship (such consent for the purposes of paragraph (e) of Clause 13.1 (Pooling of earnings and charters) shall not be unreasonably withheld or delayed), nor permit to exist at any time following the Delivery Date:
	(a)
	any pooling agreement or other arrangement for the sharing of any of the Earnings or the expenses of the Ship except with a member of the Group and provided that it does not adversely affect the rights of the Secured Parties under the Finance Documents in the reasonable opinion of the Agent; or

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	(b)
	any demise or bareboat charter, provided however that such consent shall not be unreasonably withheld in the event that the Borrower wishes to enter into a bareboat charter in a form approved by the Agent with another member of the Group on condition that if so requested by the Agent and without limitation:

		(i)
	any such bareboat charterer shall enter into such deeds (including but not limited to a full subordination and assignment deed in respect of its rights under the bareboat charter and its interest in the Insurances and earnings payable to it arising out of its use of the Ship), agreements and indemnities as the Majority Lenders and SACE shall require prior to entering into the bareboat charter with the Borrower; and

		(ii)
	the Borrower shall assign the benefit of any such bareboat charter and its interest in the Insurances to the Secured Parties by way of further security for the Borrower's obligations under the Finance Documents; or

	(c)
	any charter whereunder two (2) months' charterhire (or the equivalent thereof) is payable in advance in respect of the Ship; or

	(d)
	any charter of the Ship or employment which, with the exercise of options for extension, could be for a period longer than [*]; or

	(e)
	any time charter of the Ship with a company outside the Group (other than a time charter entered into in the ordinary course of business which does not exceed [*] provided that any such time charter (y) is assigned to the Security Trustee and (z) during the period of such time charter, the Ship continues to be managed by the existing Approved Manager), provided however that such consent shall not be unreasonably withheld in the event that:

		(i)
	such time charter is assigned to the Security Trustee and the Borrower agrees to:

		(A)
	serve a notice of assignment of any time charter, the Earnings therefrom and any guarantee of the charterer's obligations on the time charterer and any time charter guarantor; and

		(B)
	use commercially reasonable endeavours to obtain an acknowledgement of such assignment,

and each of the notice of assignment and acknowledgement of assignment being substantially in the form appended to the General Assignment;
		(ii)
	the Agent is satisfied that the income from such time charter will be sufficient to cover the expenses of the Ship and to service repayment of the Loan and all other amounts from time to time outstanding under this Agreement; and

		(iii)
	during the term of such time charter, the Ship continues to be managed by the existing Approved Manager.

	13.2
	Management and employment

The Borrower will not as from the Delivery Date:
	(a)
	permit any person other than an Approved Manager to be the manager of, including providing crewing services to, the Ship, at all times acting upon terms approved in writing by the Agent 

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and having entered into (in the case of the Approved Manager) an Approved Manager's Undertaking; and
	(b)
	permit any amendment to be made to the terms of any Management Agreement unless the amendment is advised by the Borrower's tax counsel or is deemed necessary by the parties thereto to reflect the prevailing circumstances but provided that the amendment does not imperil the security to be provided pursuant to the Finance Documents or adversely affect the ability of any Obligor to perform its obligations under the Transaction Documents; or

	(c)
	permit the Ship to be employed other than within the Norwegian Cruise Line brand unless the Borrower notifies the Lenders that they intend to employ the Ship within another brand of the Group and the ship remains employed within the Group.

	13.3
	Trading with the United States of America

The Borrower shall in respect of the Ship take all reasonable precautions as from the Delivery Date to prevent any infringements of the Anti-Drug Abuse Act of 1986 of the United States of America (as the same may be amended and/or re-enacted from time to time hereafter) or any similar legislation applicable to the Ship in any other jurisdiction in which the Ship shall trade (a "Relevant Jurisdiction") where the Ship trades in the territorial waters of the United States of America or a Relevant Jurisdiction.
	13.4
	Valuation of the Ship

The following shall apply in relation to the valuation of the Ship:
	(a)
	the Borrower will on or before 31 May of each year that commences after the delivery of the Ship and at annual intervals thereafter unless an Event of Default has occurred and remains unremedied, at the Borrower's expense, procure that the Ship is valued by an Approved Broker (such valuation to be made without taking into account the benefit or otherwise of any fixed employment relating to the Ship);

	(b)
	the Borrower shall procure that forthwith upon the issuance of any valuation obtained pursuant to this Clause 13.4 (Valuation of the Ship) a copy thereof is sent directly to the Agent for review; and

	(c)
	in the event that the Borrower fails to procure a valuation in accordance with paragraph (a) of Clause 13.4 (Valuation of the Ship), the Agent shall be entitled to procure a valuation of the Ship on the same basis.

	13.5
	Earnings

The Borrower will procure that the Earnings (if any) are paid in full without set off and free and clear of and without deduction for any taxes, levies, duties, imposts, charges, fees, restrictions or conditions of any nature whatsoever.
	13.6
	Operation and maintenance of the Ship

From the Delivery Date until the end of the Security Period at its own expense the Borrower will keep the Ship in a good and efficient state of repair so as to maintain it to the highest classification notation available for the Ship of its age and type free of all recommendations and qualifications with Bureau Veritas. On the Delivery Date and annually thereafter, it will furnish to the Agent a statement by such classification society that such classification notation 

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is maintained. It will comply with all recommendations, regulations and requirements (statutory or otherwise) from time to time applicable to the Ship and shall have on board as and when required thereby valid certificates showing compliance therewith and shall procure that all repairs to or replacements of any damaged, worn or lost parts or equipment are carried out (both as regards workmanship and quality of materials) so as not to diminish the value or class of the Ship. It will not make any substantial modifications or alterations to the Ship or any part thereof which would reduce the market and commercial value of the Ship determined in accordance with Clause 13.4 (Valuation of the Ship).
	13.7
	Surveys and inspections

The Borrower will:
	(a)
	submit the Ship to continuous survey in respect of its machinery and hull and such other surveys as may be required for classification purposes and, if so required by the Agent, supply to the Agent copies in English of the survey reports;

	(b)
	permit surveyors or agents appointed by the Agent to board the Ship to inspect its condition or satisfy themselves as to repairs proposed or already carried out and afford all proper facilities for such inspections provided that, unless an Event of Default has occurred or there is an accident to the Ship involving repairs the cost of which will or is likely to exceed [*], such inspections shall be limited to one a year and shall be at all reasonable times.

	13.8
	ISM Code

The Borrower will comply, or procure that the Approved Manager will comply, with the ISM Code (as the same may be amended from time to time) or any replacement of the ISM Code (as the same may be amended from time to time) and in particular, without prejudice to the generality of the foregoing, as and when required to do so by the ISM Code and at all times thereafter:
	(a)
	hold, or procure that the Approved Manager holds, a valid Document of Compliance duly issued to the Borrower or the Approved Manager (as the case may be) pursuant to the ISM Code and a valid Safety Management Certificate duly issued to the Ship pursuant to the ISM Code;

	(b)
	provide the Agent with copies of any such Document of Compliance and Safety Management Certificate as soon as the same are issued; and

	(c)
	keep, or procure that there is kept, on board the Ship a copy of any such Document of Compliance and the original of any such Safety Management Certificate.

	13.9
	ISPS Code

The Borrower will comply, or procure that the Approved Manager will comply, with the ISPS Code (as the same may be amended from time to time) or any replacement of the ISPS Code (as the same may be amended from time to time) and in particular, without prejudice to the generality of the foregoing, as and when required to do so by the ISPS Code and at all times thereafter:
	(a)
	keep, or procure that there is kept, on board the Ship the original of the International Ship Security Certificate required by the ISPS Code; and

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	(b)
	keep, or procure that there is kept, on board the Ship a copy of the ship security plan prepared pursuant to the ISPS Code.

	13.10
	Annex VI

The Borrower will comply with Annex VI (as the same may be amended from time to time) or any replacement of Annex VI (as the same may be amended from time to time) and in particular, without limitation, to:
	(a)
	procure that the Ship's master and crew are familiar with, and that the Ship complies with, Annex VI; and

	(b)
	maintain for the Ship throughout the Security Period a valid and current IAPPC and provide a copy to the Agent; and

	(c)
	notify the Agent immediately in writing of any actual or threatened withdrawal, suspension, cancellation or modification of the IAPPC.

	13.11
	Employment of Ship

The Borrower shall:
	(a)
	not employ the Ship or permit its employment in any trade or business which is forbidden by any applicable law or is otherwise illicit or in carrying illicit or prohibited goods or in any manner whatsoever which may render it liable to condemnation in a prize court or to destruction, seizure or confiscation or that may expose the Ship to penalties. In the event of hostilities in any part of the world (whether war be declared or not) it will not employ the Ship or permit its employment in carrying any contraband goods; and

	(b)
	promptly provide the Agent with (i) all information which the Agent may reasonably require regarding the Ship, its employment, earnings, position and engagements (ii) particulars of all towages and salvages and (iii) copies of all charters and other contracts for its employment and otherwise concerning it.

	13.12
	Provision of information

The Borrower shall give notice to the Agent promptly and in reasonable detail upon the Borrower or any other Obligor becoming aware of:
	(a)
	accidents to the Ship involving repairs the cost of which will or is likely to exceed [*];

	(b)
	the Ship becoming or being likely to become a Total Loss;

	(c)
	any recommendation or requirement made by any insurer or classification society or by any competent authority which is not complied with, or cannot be complied with, within any time limit relating thereto and that might reasonably affect the maintenance of either the Insurances or the classification of the Ship;

	(d)
	any writ or claim served against or any arrest of the Ship or the exercise of any lien or purported lien on the Ship, her Earnings or Insurances;

	(e)
	the Ship ceasing to be registered under the flag of the Maritime Registry or anything which is done or not done whereby such registration may be imperilled;

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	(f)
	it becoming impossible or unlawful for it to fulfil any of its obligations under the Finance Documents; and

	(g)
	anything done or permitted or not done in respect of the Ship by any person which is likely to imperil the security created by the Finance Documents.

	13.13
	Payment of liabilities

The Borrower shall promptly pay and discharge:
	(a)
	all debts, damages and liabilities, taxes, assessments, charges, fines, penalties, tolls, dues and other outgoings in respect of the Ship and keep proper books of account in respect thereof provided always that the Borrower shall not be obliged to compromise any debts, damages and liabilities as aforesaid which are being contested in good faith subject always that full details of any such contested debt, damage or liability which, either individually or in aggregate exceeds [*] shall forthwith be provided to the Agent. As and when the Agent may so require the Borrower will make such books available for inspection on behalf of the Agent and provide evidence satisfactory to the Agent that the wages and allotments and the insurance and pension contributions of the master and crew are being regularly paid, that all deductions of crew's wages in respect of any tax liability are being properly accounted for and that the master has no claim for disbursements other than those incurred in the ordinary course of trading on the voyage then in progress or completed prior to such inspection;

	(b)
	all liabilities which have given rise, or may give rise, to liens or claims enforceable against the Ship under the laws of all countries to whose jurisdiction the Ship may from time to time be subject and in particular the Borrower hereby agrees to indemnify and hold the Secured Parties, their successors, assigns, directors, officers, shareholders, employees and agents harmless from and against any and all claims, losses, liabilities, damages, expenses (including attorneys, fees and expenses and consultant fees) and injuries of any kind whatsoever asserted against the Secured Parties, with respect to or as a result of the presence, escape, seepage, spillage, release, leaking, discharge or migration from the Ship or other properties owned or operated by the Borrower of any hazardous substance, including without limitation, any claims asserted or arising under any applicable environmental, health and safety laws, codes and ordinances, and all rules and regulations promulgated thereunder of all governmental agencies, regardless of whether or not caused by or within the control of the Borrower subject to the following:

		(i)
	it is the parties' understanding that the Secured Parties do not now, have never and do not intend in the future to exercise any operational control or maintenance over the Ship or any other properties and operations owned or operated by the Borrower, nor in the past, presently, or intend in the future to, maintain an ownership interest in the Ship or any other properties owned or operated by the Borrower except as may arise upon enforcement of the Lenders' rights under the Mortgage;

		(ii)
	unless and until an Event of Default shall have occurred and without prejudice to the right of each Lender to be indemnified pursuant to this paragraph (b):

		(A)
	each Lender will, if it is reasonably practicable to do so, notify the Borrower upon receiving a claim in respect of which the relevant Lender is or may become entitled to an indemnity under this paragraph (b); and

		(B)
	subject to the prior written approval of the relevant Lender which the Lender shall have the right to withhold, the Borrower will be entitled to take, in the 

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name of the relevant Lender, such action as the Borrower may see fit to avoid, dispute, resist, appeal, compromise or defend any such claims, losses, liabilities, damages, expenses and injuries as are referred to above in this paragraph (b) or to recover the same from any third party, subject to the Borrower first ensuring that the relevant Lender is secured to its reasonable satisfaction against all expenses thereby incurred or to be incurred,
provided always that the Borrower shall not be obliged to compromise any liabilities as aforesaid which are being contested in good faith subject always that full details of any such contested liabilities which, either individually or in aggregate, exceed [*] shall be forthwith provided to the Agent. If the Ship is arrested or detained for any reason it will procure its immediate release by providing bail or taking such other steps as the circumstances may require.
	13.14
	Certificate as to liabilities

The Borrower shall give to the Agent at such times as it may from time to time reasonably require a certificate, duly signed on its behalf, as to the total amount of any debts, damages and liabilities relating to the Ship and details of such of those debts, damages and liabilities as are over a certain amount to be specified by the Agent at the relevant time and, if so required by the Agent, forthwith discharge such of those debts, damages and liabilities as the Agent shall require other than those being contested in good faith.
	13.15
	Modifications

The Borrower shall maintain the type of the Ship as at the Delivery Date and not put the Ship into the possession of any person for the purpose of work being done on it in an amount exceeding or likely to exceed [*] unless such person shall first have given to the Agent a written undertaking addressed to the Agent in terms satisfactory to the Agent agreeing not to exercise a lien on the Ship or her Earnings for the cost of such work or for any other reason (or the Borrower is able to demonstrate to the reasonable satisfaction of the Agent that the Borrower or the relevant Group company has set aside and will have funds readily available for payment when due of the cost of the work (to the extent not fully covered by insurance proceeds in the case of a partial loss)).
	13.16
	Registration of Ship

The Borrower shall maintain the registration of the Ship under and fly the flag of the Maritime Registry and not do or permit anything to be done whereby such registration may be forfeited or imperilled.
	13.17
	Environmental Law

The Borrower shall comply with all Environmental Laws, obtain, maintain and ensure compliance with all requisite Environmental Approvals, and implement procedures to monitor compliance with and to prevent liability under any Environmental Law.
	13.18
	Notice of Mortgage

The Borrower shall keep the Mortgage registered against the Ship as a valid first preferred mortgage, carry on board the Ship a certified copy of the Mortgage and place and maintain in a conspicuous place in the navigation room and the master's cabin of the Ship a framed printed notice stating that the Ship is mortgaged by the Borrower to the Security Trustee.

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	13.19
	Environmental claims

Each Obligor shall, (through the Guarantor), promptly upon becoming aware of the same, inform the Agent in writing of:
	(a)
	any Environmental Claim which is likely to result in a Material Adverse Effect against any member of the Group which is current, pending or threatened; and

	(b)
	any facts or circumstances which are reasonably likely to result in any Environmental Claim being commenced or threatened against any member of the Group which is likely to result in a Material Adverse Effect.

	13.20
	Trading in war zones

In the event of hostilities in any part of the world (whether war is declared or not), the Borrower shall not cause or permit the Ship to enter or trade to any zone which is declared a war zone by the Ship's war risks insurers unless:
	(a)
	the prior written consent of the Security Trustee has been given; and

	(b)
	the Borrower has (at its expense) effected any special, additional or modified insurance cover which the Security Trustee may require.

	13.21
	Poseidon Principles

The Borrower shall, upon the request of the Agent and at the cost of the Borrower, on or before 31st July in each calendar year, supply to the Agent all information necessary in order for the Lenders to comply with their obligations under the Poseidon Principles in respect of the preceding year, including, without limitation, all ship fuel oil consumption data required to be collected and reported in accordance with Regulation 22A of Annex VI and any Statement of Compliance, in each case relating to the Ship for the preceding calendar year provided always that, for the avoidance of doubt, such information shall be "Confidential Information" for the purposes of Clause 33 (Confidentiality) but the Borrower acknowledges that, in accordance with the Poseidon Principles, such information will form part of the information published regarding the Lenders' portfolio climate alignment.
	14 
	Insurance Undertakings

	14.1
	General

The undertakings in this Clause 14 (Insurance Undertakings) remain in force on and from the Delivery Date and throughout the rest of the Security Period except as the Agent may otherwise permit.
	14.2
	Maintenance of obligatory insurances

The Borrower shall insure the Ship in its name and keep the Ship insured on an agreed value basis for an amount in the currency in which the Loan is denominated approved by the Agent but not being less than the greater of (x) [*] per cent. ([*]%) of the amount of the Loan; and (y) the full market and commercial value of the Ship determined in accordance with Clause 13.4 (Valuation of the Ship) from time to time through internationally recognised independent first class insurance companies, underwriters, war risks and protection and indemnity 

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associations acceptable to the Agent, acting reasonably, in each instance on terms and conditions approved by the Agent including as to deductibles but at least in respect of:
	(a)
	fire and marine risks including but without limitation hull and machinery and all other risks customarily and usually covered by first-class and prudent shipowners in the global insurance markets under English or Norwegian marine policies or Agent-approved policies containing the ordinary conditions applicable to similar Ships;

	(b)
	war risks (including terrorism, piracy, blocking and trapping and protection and indemnity war risks) up to the insured amount;

	(c)
	excess risks that is to say the proportion of claims for general average and salvage charges and under the running down clause not recoverable in consequence of the value at which the Ship is assessed for the purpose of such claims exceeding the insured value;

	(d)
	protection and indemnity risks with full standard coverage as offered by first-class protection and indemnity associations which are a member of the International Group of P&I Association and up to the highest limit of liability available (for oil pollution risk the highest limit currently available is one billion Dollars ($1,000,000,000) and this to be increased if reasonably requested by the Agent and the increase is possible in accordance with the standard protection and indemnity cover for Ships of its type and is compatible with prudent insurance practice for first class cruise shipowners or operators in waters where the Ship trades from time to time from the Delivery Date until the end of the Security Period);

	(e)
	when and while the Ship is laid-up, in lieu of hull insurance, normal port risks; and

	(f)
	such other risks as the Agent may from time to time reasonably require;

and in any event in respect of those risks and at those levels covered by first class and prudent owners and/or financiers in the international market in respect of similar tonnage provided that if any of such insurances are also effected in the name of any other person (other than the Borrower and/or a Secured Party) such person shall if so required by the Agent execute a first priority assignment of its interest in such insurances in favour of the Secured Parties in similar terms mutatis mutandis to the relevant provisions of the General Assignment.
	14.3
	Mortgagee's interest and pollution risks insurances

The Agent shall take out mortgagee interest insurance on such conditions as the Agent may reasonably require and mortgagee interest insurance for pollution risks as from time to time agreed each for an amount in the currency in which the Loan is denominated of [*] per cent. ([*]%) of the amount of the Loan, the Borrower having no interest or entitlement in respect of such policies; the Borrower shall upon demand of the Agent reimburse the Agent for the costs of effecting and/or maintaining any such insurance(s).
	14.4
	Trading in the United States of America

If the Ship shall trade in the United States of America and/or the Exclusive Economic Zone of the United States of America (the "EEZ") as such term is defined in the US Oil Pollution Act 1990 ("OPA"), to comply strictly with the requirements of OPA and any similar legislation which may from time to time be enacted in any jurisdiction in which the Ship presently trades or may or will trade at any time during the existence of this Agreement and in particular before such trade is commenced and during the entire period during which such trade is carried on:

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	(a)
	to pay any additional premiums required to maintain full standard protection and indemnity cover for oil pollution up to the highest limit available to it for the Ship in the market;

	(b)
	to make all such quarterly or other voyage declarations as may from time to time be required by the Ship's protection and indemnity association and to comply with all obligations in order to maintain such cover, and promptly to deliver to the Agent copies of such declarations;

	(c)
	to submit the Ship to such additional periodic, classification, structural or other surveys which may be required by the Ship's protection and indemnity insurers to maintain cover for such trade and promptly to deliver to the Agent copies of reports made in respect of such surveys;

	(d)
	to implement any recommendations contained in the reports issued following the surveys referred to in paragraph (c) of Clause 14.4 (Trading in the United States of America) within the time limit specified therein and to provide evidence satisfactory to the Agent that the protection and indemnity insurers are satisfied that this has been done;

	(e)
	in particular strictly to comply with the requirements of any applicable law, convention, regulation, proclamation or order with regard to financial responsibility for liabilities imposed on the Borrower or the Ship with respect to pollution by any state or nation or political subdivision thereof, including but not limited to OPA, and to provide the Agent on demand with such information or evidence as it may reasonably require of such compliance;

	(f)
	to procure that the protection and indemnity insurances do not contain a clause excluding the Ship from trading in waters of the United States of America and the EEZ or any other provision analogous thereto and to provide the Agent with evidence that this is so; and

	(g)
	strictly to comply with any operational or structural regulations issued from time to time by any relevant authorities under OPA so that at all times the Ship falls within the provisions which limit strict liability under OPA for oil pollution.

	14.5
	Protections for Secured Parties

	(a)
	The Borrower shall give notice forthwith of any assignment of its interest in the Insurances to the relevant brokers, insurance companies, underwriters and/or associations in the form approved by the Agent;

	(b)
	The Borrower shall execute and deliver all such documents and do all such things as may be necessary to confer upon the Secured Parties legal title to the Insurances in respect of the Ship and to procure that the interest of the Secured Parties is at all times filed with all slips, cover notes, policies and certificates of entry and to procure (a) that a loss payable clause in the form approved by the Agent shall be filed with all the hull, machinery and equipment and war risks policies in respect of the Ship and (b) that a loss payable clause in the form approved by the Agent shall be endorsed upon the protection and indemnity certificates of entry in respect of the Ship; and

	(c)
	In the event of the Borrower making default in insuring and keeping insured the Ship as hereinbefore provided then the Agent may (but shall not be bound to) insure the Ship or enter the Ship in such manner and to such extent as the Agent in its discretion thinks fit and in such case all the cost of effecting and maintaining such insurance together with interest thereon at the interest rate shall be paid on demand by the Borrower to the Agent.

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	14.6
	Copies of polices; letters of undertaking

The Borrower will procure that each of the relevant brokers and associations furnishes the Agent with a letter of undertaking in the standard form available in the relevant insurance market or otherwise in such form as may be required by the Agent and waives any lien for premiums or calls except in relation to premiums or calls solely attributable to the Ship.
	14.7
	Payment of premiums

The Borrower shall punctually pay all premiums, calls, contributions or other sums payable in respect of the Insurances on the Ship and to produce all relevant receipts when so required by the Agent.
	14.8
	Renewal of obligatory insurances

The Borrower shall notify the Agent of the renewal of the obligatory insurances at least five (5) days before the expiry thereof and shall procure that the relevant brokers or associations shall promptly confirm in writing to the Agent that such renewal is effected it being understood by the Borrower that any failure to renew the Insurances on the Ship at least two (2) days before the expiry thereof or to give or procure the relevant notices of such renewal shall constitute an Event of Default.
	14.9
	Guarantees

The Borrower shall arrange for the execution of such guarantees as may from time to time be required by any protection and indemnity and/or war risks association.
	14.10
	Provision of insurances information

The Borrower will furnish the Agent from time to time on request with full information about all Insurances maintained on the Ship and the names of the offices, companies, underwriters, associations or clubs with which such Insurances are placed.
	14.11
	Alteration to terms of insurances

The Borrower shall not make or agree to any variation in the terms of any of the Insurances on the Ship without the prior approval of the Agent nor to do any act or voluntarily suffer or permit any act to be done whereby any Insurances shall or may be rendered invalid, void, voidable, suspended, defeated or unenforceable and not to suffer or permit the Ship to engage in any voyage nor to carry any cargo not permitted under any of the Insurances without first obtaining the consent of the insurers or reinsurers concerned and complying with such requirements as to payment of extra premiums or otherwise as the insurers or reinsurers may impose.
	14.12
	Settlement of claims

The Borrower shall not settle, compromise or abandon any claim in respect of any of the Insurances on the Ship other than a claim of less than [*] Dollars ($[*]) or the equivalent in any other currency and not being a claim arising out of a Total Loss.

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	14.13
	Application of insurance proceeds

The Borrower shall apply or ensure the appliance of all such sums receivable in respect of the Insurances on the Ship for the purpose of making good the loss and fully repairing all damage in respect whereof the insurance monies shall have been received.
	14.14
	Insurance advisers

The Agent shall be entitled, immediately prior to the Delivery Date and thereafter no more frequently than annually on renewals but also additionally at any time when there is a proposed change of underwriters or the terms of any Insurances, to instruct independent reputable insurance advisers for the purpose of obtaining any advice or information regarding any matter concerning the Insurances which the Agent shall deem necessary, it being hereby specifically agreed that the Borrower shall reimburse the Agent on demand for the costs and expenses incurred by the Agent in connection with the instruction of such advisers subject to a limit of ten thousand Dollars ($10,000) at the time of delivery of the Ship or in the event of a change of underwriters or of terms of any Insurances and otherwise ten thousand Dollars ($10,000) annually thereafter.
	15 
	Security Value Maintenance

	15.1
	Security Shortfall

If, upon receipt of a valuation of the Ship in accordance with Clause 13.4 (Valuation of the Ship), the Security Value shall be less than the Security Requirement, the Agent may give notice to the Borrower requiring that such deficiency be remedied and then the Borrower shall (unless the Ship has become a Total Loss) either:
	(a)
	prepay within a period of 30 days of the date of receipt by the Borrower of the Agent's said notice such sum in Dollars as will result in the Security Requirement after such repayment (taking into account any other repayment of the Loan made between the date of the notice and the date of such prepayment) being equal to the Security Value; or

	(b)
	within 30 days of the date of receipt by the Borrower of the Agent's said notice constitute to the reasonable satisfaction of the Agent such further security for the Loan as shall be reasonably acceptable to the Agent having a value for security purposes (as determined by the Agent in its absolute discretion) at the date upon which such further security shall be constituted which, when added to the Security Value, shall not be less than the Security Requirement as at such date.

Clauses 15.2 (Costs) and 15.4 (Documents and evidence) and paragraph (c) of Clause 16.2 (Voluntary prepayment) shall apply to prepayments under paragraph (a) of Clause 15.1 (Security Shortfall).
	15.2
	Costs

All costs in connection with the Agent obtaining any valuation of the Ship referred to in Clause 13.4 (Valuation of the Ship), and obtaining any valuation either of any additional security for the purposes of ascertaining the Security Value at any time or necessitated by the Borrower electing to constitute additional security pursuant to paragraph (b) of Clause 15.1 (Security Shortfall) shall be borne by the Borrower.

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	15.3
	Valuation of additional security

For the purpose of this Clause 15 (Security Value Maintenance), the market value of any additional security provided or to be provided to the Agent shall be determined by the Agent in its absolute discretion without any necessity for the Agent assigning any reason thereto.
	15.4
	Documents and evidence

In connection with any additional security provided in accordance with this Clause 15 (Security Value Maintenance), the Agent shall be entitled to receive such evidence and documents of the kind referred to in Clause 3 (Conditions Precedent) in respect of other Finance Documents as may in the Agent's opinion be appropriate.
	15.5
	Valuations binding

Any valuation under this Clause 15 (Security Value Maintenance) shall be binding and conclusive as regards the Borrower.
	15.6
	Provision of information

	(a)
	The Borrower shall promptly provide the Agent and any shipbroker acting under this Clause 15 (Security Value Maintenance) with any information which the Agent or the shipbroker may reasonably request for the purposes of the valuation.

	(b)
	If the Borrower fails to provide the information referred to in paragraph (a) above by the date specified in the request, the valuation may be made on any basis and assumptions which the shipbroker or the Agent considers prudent.

	16 
	Cancellation, Prepayment and Mandatory Prepayment

	16.1
	Cancellation

At any time prior to the end of the Availability Period, the Borrower may give notice to the Agent in writing that it wishes to cancel the whole or any part of the available Commitments in relation to a Tranche whereupon (without penalty to the Borrower but without prejudice to any liabilities of the Borrower including, without limitation, in respect of fees payable or accrued under this Agreement, arising prior to the date of such cancellation) such available Commitments under that Tranche shall terminate upon the date specified in such notice. Any cancellation under this Clause 16.1 (Cancellation) shall reduce the remaining Commitments under that Tranche of the relevant Lenders rateably.
	16.2
	Voluntary prepayment

	(a)
	The Borrower may prepay all or part of the Loan on a pro rata basis amongst the Tranches (but if in part being an amount that reduces the Loan by a minimum amount of one (1) repayment instalment of principal of the Loan) together with interest thereon. Such prepayment shall, regardless of the date on which such prepayment is made, be made together with all of the amounts that SIMEST is entitled to charge, whether for taxes, costs, expenses, indemnities, penalties, losses or liabilities whatsoever, under and in accordance with the Interest Make-Up Agreement and Clause 20.2 (Breakage costs and SIMEST arrangements) but without any other penalty provided that the prepayment is made on the last day of an Interest Period and thirty-five (35) days prior written notice indicating the intended date of prepayment is given to the Agent and the SACE Agent. However, the following amounts shall be payable to the Agent if 

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any prepayment made pursuant to this Clause 16.2 (Voluntary prepayment) is not made on the last day of an Interest Period:
		(i)
	for the account of the relevant Lenders, whether the Borrower elected a Floating Interest Rate or a Fixed Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate), the difference (if positive), calculated by the relevant Lenders and notified by them to the Agent, between the actual cost for thethose Lenders of the funding for the relevant Advance or Advances under a Tranche and the rate of interest for the monies to be invested by thethose Lenders, applied to the amounts so prepaid for the period from the said prepayment until the last day of the Interest Period during which the prepayment occurs (if prepayment does not occur on the last day of that Interest Period), details of any such calculation being supplied to the Borrower by the Agent on behalf of the Lenders; or

		(ii)
	for the account of SIMEST, if the Borrower elected a Fixed Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate), the sum of charges (if any) imposed by SIMEST representing funding or breakage costs of the Italian Authorities as more specifically set out in Clause 20 (Indemnities).

	(b)
	For the avoidance of doubt, regardless of the date on which a voluntary prepayment is made, such prepayment shall be paid together with all amounts payable in accordance with Clause 20.2 (Breakage costs and SIMEST arrangements) and if a voluntary prepayment is made other than on the last day of an Interest Period, the prepayment shall be paid together with such other amounts payable in accordance with Clauses 20.1 (Indemnities regarding borrowing and repayment of Loan) and 20.2 (Breakage costs and SIMEST arrangements).

	(c)
	If the Borrower has selected the Fixed Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate), the SACE Agent shall give SIMEST thirty (30) days written notice of the intended date of prepayment.

	16.3
	Mandatory prepayment – Sale and Total Loss

The Borrower shall be obliged to prepay the whole of the Loan if the Ship is sold or becomes a Total Loss:
	(a)
	in the case of a sale, on or before the date on which the sale is completed by delivery of the Ship to the buyer; or

	(b)
	in the case of a Total Loss, on the earlier of the date falling 120 days after the Total Loss Date and the date of receipt by the Agent of the proceeds of insurance relating to such Total Loss.

	16.4
	Mandatory prepayment – SACE Insurance Policy

	(a)
	The Borrower shall be obliged to prepay the whole of the Loan if the SACE Insurance Policy is revoked, rescinded, cancelled, terminated, suspended or otherwise becomes unenforceable or ceases to be in full force and effect.

	(b)
	In the event that any other event occurs or any other circumstances arise or develop which would have a material adverse effect on SACE's ability to perform its obligations under the SACE Insurance Policy, the Borrower and the Lenders shall, provided that no Event of Default has occurred and is continuing, negotiate in good faith for a period of not less than 30 days with a view to agreeing such revised terms and conditions as the Lenders may require to enable the Lenders to maintain the entire Loan (and during such 30 day period, no Lender shall be 

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obliged to make available to the Borrower their portion of the Loan to the extent such amounts have not already been drawn). In the event that following such negotiations the Borrower and the Lenders fail to agree on such revised terms, the Borrower shall be obliged to prepay, on demand by the Agent, the outstanding principal amount of the Loan to the extent of the amount covered pursuant to the SACE Insurance Policy. If, during the period while negotiations are on-going pursuant to this paragraph (b) the events described in paragraph (a) of Clause 16.4 (Mandatory prepayment – SACE Insurance Policy) should occur, the Borrower shall be obliged to prepay the Loan in full as required by paragraph (a) of Clause 16.4 (Mandatory prepayment – SACE Insurance Policy).
	16.5
	Breach of new covenants or the Principles

	(a)
	Failure to comply, until the end of the Deferral Period, with the provisions of Clause 12.17 (Dividends and dividend restriction) and Clause 12.27 (New capital raises or financing) or the provisions of paragraph (f) of clause 11.3 (Additional financial reporting), paragraph (c) of clause 11.17 (Dividend restriction), clause 11.19 (New capital raises or financing) and clause 11.20 (Payments under the Shipbuilding contacts) of the Guarantee, or to otherwise duly perform and observe the other requirements and obligations set out in the Principles shall, in each case, not constitute an Event of Default under this Agreement but (in the case of any failure that is capable of remedy (in the opinion of the Agent, at its sole discretion) including any failure to comply with such provisions, only if such failure is not remedied within the Relevant Period pursuant to Clause 18.4 (Breach of other obligations) from the date of such failure to comply) shall result in the reinstatement by the Agent from the date of such breach of the requirement to comply with the financial covenants set out in paragraphs (b) and (c) of clause 11.15 (Financial covenants) of the Guarantee which was otherwise suspended during the Deferral Period.

	(b)
	Save as permitted by Clause 12.27 (New capital raises or financing), if at any time after the 2021 Deferral Effective Date:

		(i)
	the Guarantor or any other Group member enters into any financial contract or financial document relating to any Financial Indebtedness and which contains any debt deferral or covenant waivers of existing debt, or the raising of any new debt intended to reimburse existing debt that benefits from additional security or more favourable terms than those available to the Lenders (unless they are granted to the Lenders on a pari passu basis), the requirement to comply with the financial covenants set out in paragraphs (b) and (c) of clause 11.15 (Financial covenants) of the Guarantee which was otherwise suspended during the Deferral Period shall be reinstated; [or]

		(ii)
	the Guarantor or any other Group member makes a prepayment (save for any mandatory prepayment necessary to avoid an event of default (however defined)) of any Financial Indebtedness (unless this is done on a pari passu basis with the obligations owed to the Lenders hereunder), the requirement to comply with the financial covenants set out in paragraphs (b) and (c) of clause 11.15 (Financial covenants) of the Guarantee which was otherwise suspended during the Deferral Period shall be reinstated.

	16.6
	Mandatory prepayment on default under Shipbuilding Contract

If:

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	(a)
	prior to the delivery of the Ship it becomes unlawful for the Builder to perform its obligations under the Shipbuilding Contract;

	(b)
	prior to the delivery of the Ship any of the events specified in Article 20.2 of the Shipbuilding Contract occurs;

	(c)
	prior to the delivery of the Ship there is a repudiation or termination of the Shipbuilding Contract;

	(d)
	prior to the delivery of the Ship the Builder ceases to carry on all or a substantial part of its cruise ship building business; or

	(e)
	the Ship has not been delivered to, and accepted by, the Borrower by the date specified in Article 8.9 of the Shipbuilding Contract,

then:
		(i)
	the Borrower shall promptly notify the Agent upon becoming aware of that event; and

		(ii)
	if the Majority Lenders so require, the Agent shall, by not less than 3 Business Days' notice to the Borrower, cancel the Facility and declare the Loan, together with accrued interest, and all other amounts accrued under the Finance Documents immediately due and payable, whereupon the Facility will be cancelled and all such outstanding amounts will become immediately due and payable.

	16.7
	Mandatory Prepayment in case of refund by SACE to the Borrower of the second instalment of the Additional SACE Premium

If at any time on or after the Leonardo Six Intended Delivery Date the Borrower receives a refund of the portion of the second instalment of the Additional SACE Premium pursuant to paragraphs (e) and (f) of Clause 8.5 (Additional Premium), the Agent shall declare the part of the Loan that corresponds to that refunded portion, together with any accrued interest thereon, due and payable on demand.
16.716.8Other amounts
Any prepayment of the whole of the Loan shall be made together with all other sums due under this Agreement (including, without limitation, the compensation calculated in accordance with Clause 16.2 (Voluntary prepayment)).
16.816.9Application of partial prepayment
Amounts prepaid shall be applied in accordance with paragraph (b) of Clause 19.1 (Receipts).
16.916.10No reborrowing
Amounts prepaid may not be reborrowed.
	17 
	Interest on Late Payments

	17.1
	Default rate of interest

Without prejudice to the provisions of Clause 18 (Events of Default) and without this Clause in any way constituting a waiver of terms of payment, all sums due by the Borrower under this 

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Agreement will automatically bear interest on a day to day basis from the date when they are payable until the date of actual payment at a rate per annum equal to the higher of:
	(a)
	where the Floating Interest Rate is applicable, the aggregate of:

		(i)
	Overnight LIBOR;

		(ii)
	the applicable Margin; and

		(iii)
	[*] per cent. ([*]%) per annum; or

	(b)
	where the Fixed Interest Rate is applicable, the higher of:

		(i)
	the Fixed Interest Rate plus [*] per cent. ([*]%) per annum; and

		(ii)
	Overnight LIBOR plus the applicable Margin plus [*] per cent. ([*]%) per annum.

	17.2
	Compounding of default interest

To the extent permitted by applicable law, any such interest will itself bear interest at the above rate if it is due for at least three (3) months and thereafter at three monthly intervals.
	18 
	Events of Default

	18.1
	Events of Default

An Event of Default occurs if any of the events or circumstances described in Clauses 18.2 (Non-payment) to 18.20 (Material Adverse Change) occur.
	18.2
	Non-payment

Any Obligor fails to pay when due or (if so payable) on demand any sum payable under a Finance Document or under any document relating to a Finance Document and such failure is not remedied within three (3) Business Days of the due date or (if payable on demand) within three (3) Business Days of receiving the demand.
	18.3
	Non-remediable breaches

The Borrower fails to comply with the provisions of Clauses 12.8 (Negative pledge), 12.9 (Disposals), 12.11 (Mergers) or 12.18 (Loans and guarantees by the Borrower).
	18.4
	Breach of other obligations

	(a)
	Any Obligor fails to comply with any provision of any Finance Document (other than a failure to comply covered by any of the other provisions of Clauses 18.2 (Non-payment) to 18.20 (Material Adverse Change)) and in particular but without limitation the Guarantor fails to comply with the provisions of clause 11 (Undertakings) of its Guarantee or there is any material breach in the opinion of the Majority Lenders and SACE of any of the Underlying Documents provided that (save in respect of Clause 12.2712.28 (Code of Ethics and Model)) no Event of Default shall be deemed to have occurred if, in the opinion of the Majority Lenders and SACE, such failure or material breach is capable of remedy and is remedied within the Relevant Period (as defined below) from the date of its occurrence, if the failure or material breach was known to that Obligor, or from the date the relevant Obligor is notified by the Agent of the failure or material breach, if the failure or material breach was not known to that Obligor, 

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unless in any such case as aforesaid the Majority Lenders and SACE consider that the failure or material breach is or could reasonably be expected to become materially prejudicial to the interests, rights or position of the Lenders, "Relevant Period" meaning for the purposes of this Clause fifteen (15) days in respect of a remedy period commencing after the date of this Agreement;
	(b)
	There is a repudiation or termination of any Transaction Document (save for the Shipbuilding Contract, and, to the extent replaced, (either by another Refund Guarantee or an Acceptable Deposit in the Account subject to the Account Pledge) any of the Refund Guarantee, any Management Agreement and any charter) or any of the parties thereto becomes entitled to terminate or repudiate any of them and evidences an intention so to do; 

	(c)
	Prior to the delivery of the Ship, any of the parties to the Shipbuilding Contract becomes entitled to terminate or repudiate the Shipbuilding Contract and commences the exercise of their rights to do so.

	18.5
	Misrepresentation

Any representation, warranty or statement made or repeated in, or in connection with, any Transaction Document or the SACE Insurance Policy or in any accounts, certificate, statement or opinion delivered by or on behalf of any Obligor thereunder or in connection therewith is materially incorrect or misleading when made or would, if repeated at any time hereafter by reference to the facts subsisting at such time, no longer be materially correct.
	18.6
	Cross default

	(a)
	Any event of default occurs under any financial contract or financial document relating to any Financial Indebtedness of the Borrower; or

	(b)
	any such Financial Indebtedness or any sum payable in respect thereof is not paid when due (after the expiry of any applicable grace period(s)) whether by acceleration or otherwise; or

	(c)
	any other Financial Indebtedness of any member of the Group is not paid when due or is or becomes capable of being declared due prematurely by reason of default or any Security Interest securing the same becomes enforceable by reason of default provided that no Event of Default will arise if the aggregate amount of the relevant Financial Indebtedness and liabilities secured by the relevant Security Interests is less than [*] Dollars ($[*]) or its equivalent in other currencies; or

	(d)
	any other Security Interest over any assets of any member of the Group securing any alleged liability that does not qualify as Financial Indebtedness becomes enforceable where the alleged liability is in respect of a sum of, or sum aggregating, [*] Dollars ($[*]) or its equivalent in other currencies, unless the alleged liability is being contested in good faith by appropriate means by the relevant Group member and the Agent is reasonably satisfied that the relevant member of the Group has reasonable grounds for succeeding in its action; and

	(e)
	No Event of Default will occur, or be deemed to have occurred, under this Clause 18.6 (Cross default) if such Event of Default occurs during the Deferral Period (but without prejudice to the rights of the Lenders in respect of any further breach that may occur following the expiry of the Deferral Period) and is caused solely as a result of a breach of the financial covenants in respect of the Group equivalent to those set out in paragraphs (b) and (c) of clause 11.15 (Financial Covenants) of the Guarantee, under, or in relation to, any other SACE-backed facility agreement to which a Guarantor is a Party or has executed a guarantee and to which the 

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Principles apply, unless at the time of such Event of Default, an event resulting in mandatory prepayment of the Loan pursuant to Clause 16.3 (Mandatory prepayment – sale and total loss) or Clause 16.4 (Mandatory prepayment – SACE insurance policy) has occurred.
	18.7
	Winding-up

Any order is made or an effective resolution passed or other action taken for the suspension of payments or reorganisation, dissolution, termination of existence, liquidation, winding-up or bankruptcy of any Obligor.
	18.8
	Appointment of liquidators etc.

A liquidator, trustee, administrator, receiver, administrative receiver, manager or similar officer is appointed in respect of any Obligor or in respect of all or any substantial part of the assets of any Obligor.
	18.9
	Enforcement of any security

Any corporate action, legal proceeding or other procedure or step is taken in relation to enforcement of any security interests over any assets of the Borrower.
	18.10
	Insolvency

	(a)
	An Obligor is unable or admits inability to pay its debts as they fall due, is deemed to or declared to be unable to pay its debts under applicable law, suspends or threatens to suspend making payments on any of its debts.

	(b)
	The value of the assets of any Obligor is less than its liabilities (taking into account contingent liabilities).

	(c)
	A moratorium in respect of all or any debts of any Obligor or a compromise, composition, assignment or an arrangement with creditors of any Obligor or any similar proceeding or arrangement by which the assets of any Obligor are submitted to the control of its creditors is applied for, ordered or declared or any Obligor commences negotiations with any one or more of its creditors with a view to the general readjustment or rescheduling of all or a significant part of its Financial Indebtedness. If a moratorium occurs, the ending of the moratorium will not remedy any Event of Default caused by that moratorium.

	18.11
	Legal process

Any corporate action, legal proceeding, distress, execution, attachment or other process affects the whole or any substantial part of the assets of any Obligor and remains undischarged for a period of thirty (30) days, any step is taken in relation to enforcement of any security interests over any assets of any Obligor (other than the Borrower) or any uninsured judgment which, in each case, is in excess of [*] Dollars ($[*]) following final appeal, remains unsatisfied for a period of ten (10) days.
	18.12
	Analogous events

Anything analogous to or having a substantially similar effect to any of the events specified in Clauses 18.7 (Winding-up) to 18.11 (Legal process) shall occur under the laws of any applicable jurisdiction.

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	18.13
	Cessation of business

Any Obligor ceases to carry on all or a substantial part of its business.
	18.14
	Revocation of consents

Any authorisation, approval, consent, licence, exemption, filing, registration or notarisation or other requirement necessary to enable any Obligor to comply with any of its obligations under any of the Transaction Documents is materially adversely modified, revoked or withheld or does not remain in full force and effect and within ninety (90) days of the date of its occurrence such event is not remedied to the satisfaction of the Agent consider that such failure is or might be expected to become materially prejudicial to the interests, rights or position of the Lenders provided that the Borrower shall not be entitled to the aforesaid ninety (90) day period if the modification, revocation or withholding of the authorisation, approval or consent is due to an act or omission of any Obligor and the Majority Lenders and SACE are satisfied that the Lenders' interests might reasonably be expected to be materially adversely affected.
	18.15
	Unlawfulness

At any time it is unlawful or impossible for any Obligor to perform any of its material (to the Secured Parties or any of them) obligations under any Transaction Document to which it is a party or it is unlawful or impossible for the Secured Parties or any Lender to exercise any of their or its rights under any of the Transaction Documents provided that no Event of Default shall be deemed to have occurred where the unlawfulness or impossibility does not relate to the payment obligation of any Obligor under any Transaction Document and is cured within the period of twenty one (21) days of the date of occurrence of the event giving rise to the unlawfulness or impossibility and the affected Obligor performs it obligation within such period.
	18.16
	Insurances

The Borrower fails to insure the Ship in the manner specified in Clause 14 (Insurance Undertakings) or fails to renew the Insurances at least five (5) days prior to the date of expiry thereof and produce prompt confirmation of such renewal to the Agent provided that if the insurers withdraw their cover an Event of Default shall be deemed to have occurred upon issue of the insurer's notice of withdrawal.
	18.17
	Disposals

If the Borrower or any other Obligor shall have concealed, removed, or permitted to be concealed or removed, any part of its property, with intent to hinder, delay or defraud its creditors or any of them, or made or suffered a transfer of any of its property which may be fraudulent under any bankruptcy, fraudulent conveyance or similar law; or shall have made any transfer of its property to or for the benefit of a creditor with the intention of preferring such creditor over any other creditor.
	18.18
	Prejudice to security

Anything is done or suffered or omitted to be done by any Obligor which in the reasonable opinion of the Agent would or might be expected to imperil the security created by any of the Finance Documents.

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	18.19
	Governmental intervention

The authority of any Obligor in the conduct of its business is wholly or substantially curtailed by any seizure or intervention by or on behalf of any authority and within ninety (90) days of the date of its occurrence any such seizure or intervention is not relinquished or withdrawn and the Agent reasonably considers that the relevant occurrence is or might be expected to become materially prejudicial to the interests, rights or position of the Lenders provided that the Borrower shall not be entitled to the aforesaid ninety (90) day period if the seizure or intervention executed by any authority is due to an act or omission of any Obligor and the Majority Lenders and SACE are satisfied that the Lenders' interest might reasonably be expected to be materially adversely affected.
	18.20
	Material Adverse Change

	(a)
	Any event or circumstance occurs which results in a Material Adverse Effect; and/or

	(b)
	any event or circumstance occurs (including, without limitation, following the sending of a notice by the Borrower under paragraph (c) of Clause 12.2712.28 (Code of Ethics and Model)), which results in a material adverse effect on the ability of the Borrower, also under an economic and/or financial standpoint, to perform its obligations under this Agreement.

	18.21
	Actions following an Event of Default

On, or at any time after, the occurrence of an Event of Default the Agent may, and if so instructed by the Majority Lenders and SACE, the Agent shall:
	(a)
	serve on the Borrower a notice stating that the Commitments and all other obligations of each Lender to the Borrower under this Agreement are terminated; and/or

	(b)
	serve on the Borrower a notice stating that the Loan (including but without limitation the amount representing the financed First Instalment and Second Instalment of the SACE Premium, the financed second instalment of the Additional SACE Premium and the financed Tranche B Premium), all accrued interest and all other amounts accrued or owing under this Agreement are immediately due and payable or are due and payable on demand; and/or

	(c)
	take any other action which, as a result of the Event of Default or any notice served under paragraph (a) or (b), the Agent and/or the Lenders are entitled to take under any Finance Document or any applicable law.

	18.22
	Termination of Commitments

On the service of a notice under paragraph (a) of Clause 18.21 (Actions following an Event of Default), the Commitments and all other obligations of each Lender to the Borrower under this Agreement shall terminate.
	18.23
	Acceleration of Loan

On the service of a notice under paragraph (b) of Clause 18.21 (Actions following an Event of Default), the Loan, all accrued interest and all other amounts accrued or owing from the Borrower or any Obligor under this Agreement and every other Finance Document shall become immediately due and payable or, as the case may be, payable on demand.

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	18.24
	Further amounts payable

Upon an acceleration of repayment of the Loan following an Event of Default the Borrower shall be liable to pay compensation calculated in accordance with Clause 16.2 (Voluntary prepayment).
	18.25
	Multiple notices; action without notice

The Agent may serve notices under paragraphs (a) and (b) of Clause 18.21 (Actions following an Event of Default) simultaneously or on different dates and it may take any action referred to in paragraph (c) of Clause 18.21 (Actions following an Event of Default) if no such notice is served or simultaneously with or at any time after the service of both or either of such notices.
	18.26
	Notification of Secured Parties and Obligors

The Agent shall send to the Italian Authorities, each Lender and each Obligor a copy or the text of any notice which the Agent serves on the Borrower under Clause 18.21 (Actions following an Event of Default); but the notice shall become effective when it is served on the Borrower, and no failure or delay by the Agent to send a copy or the text of the notice to any other person shall invalidate the notice or provide any Obligor with any form of claim or defence.
	18.27
	Lender's rights unimpaired

Nothing in this Clause 18 (Events of Default) shall be taken to impair or restrict the exercise of any right given to individual Lenders under a Finance Document or the general law; and, in particular, this Clause is without prejudice to Clauses 2.4 (Creditor Parties' rights and obligations) and 2.6 (Obligations of Lenders several).
	18.28
	Exclusion of Secured Party liability

No Secured Party, and no receiver or manager appointed by the Agent, shall have any liability to an Obligor:
	(a)
	for any loss caused by an exercise of rights under, or enforcement of a Security Interest created by, a Finance Document or by any failure or delay to exercise such a right or to enforce such a Security Interest; or

	(b)
	as mortgagee in possession or otherwise, for any income or principal amount which might have been produced by or realised from any asset comprised in such a Security Interest or for any reduction (however caused) in the value of such an asset.

	19 
	Application of sums received

	19.1
	Receipts

Except as any Finance Document may otherwise provide, all sums received under this Agreement or any other Finance Document by the Agent, on behalf of the Lenders, or by any of the Lenders for any reason whatsoever will be applied:
	(a)
	in priority, to payments of any kind due or in arrears in the order of their due payment dates and first, to fees, charges and expenses, second, to interest payable pursuant to Clause 17 (Interest on Late Payments), third, to interest payable pursuant to Clause 6 (Interest), fourth, to the principal of the Loan payable pursuant to Clause 5 (Repayment), fifth, to any sums due 

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pursuant to Clause 20.2 (Breakage costs and SIMEST arrangements) and, sixth, to any other sums due under this Agreement or any other Finance Document and, if relevant, pro rata to each of the Lenders; or
	(b)
	if no payments are in arrears or if these payments have been discharged as set out above, then and to sums remaining due under this Agreement or any other Finance Document and, if relevant, pro rata to each of the Lenders and in each case in inverse order of maturity, the interest being recalculated accordingly.

	20 
	Indemnities

	20.1
	Indemnities regarding borrowing and repayment of Loan

The Borrower shall fully indemnify the Agent and each relevant Lender or SIMEST (but without double counting to the extent that a Lender is making a claim in respect of amounts owing to SIMEST) on the Agent's demand in respect of all claims, expenses, liabilities and losses which are made or brought against or incurred by that Secured Party, or which that Secured Party reasonably and with due diligence estimates that it will incur, as a result of or in connection with:
	(a)
	any part of the Loan not being borrowed on the date specified in a Drawdown Notice for any reason other than a default by the Lender claiming the indemnity;

	(b)
	the receipt or recovery of all or any part of the Loan or an overdue sum otherwise than on the last day of an Interest Period or other relevant period;

	(c)
	any failure (for whatever reason) by the Borrower to make payment of any amount due under a Finance Document on the due date or, if so payable, on demand (after giving credit for any default interest paid by the Borrower on the amount concerned under Clause 17 (Interest on Late Payments)); and

	(d)
	the occurrence and/or continuance of an Event of Default and/or the acceleration of repayment of the Loan under Clause 18 (Events of Default).

	20.2
	Breakage costs and SIMEST arrangements

Without limiting its generality, Clause 20.1 (Indemnities regarding borrowing and repayment of Loan) covers:
	(a)
	any claim, expense, liability or loss, including a loss of a prospective profit, incurred by a Lender in liquidating or employing deposits from third parties acquired or arranged to fund or maintain all or any part of its ContributionContributions and/or any overdue amount (or an aggregate amount which includes its ContributionContributions or any overdue amount);

	(b)
	if the Borrower has selected the Fixed Interest Rate in accordance with Clause 6.1 (Fixed or Floating Interest Rate), all of the amounts that SIMEST is entitled to charge, whether for taxes, costs, expenses, indemnities, penalties, losses or liabilities whatsoever, under and in accordance with the Interest Make-Up Agreement, including without limitation, as a result of any prepayment of all or any part of the Loan under this Agreement (whether voluntary, mandatory, following acceleration of the Loan or otherwise), as a result of an Interest Make-Up Event or as a result of the Borrower deciding to switch from the Fixed Interest Rate to another interest rate after the Drawdown Date and/or an Interest Make-Up Event. Such amounts include, without limitation, (i) breakage costs, (ii) any amount due as a consequence 

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of the close-out of any hedging arrangement entered into by SIMEST in relation to this Agreement, (iii) default interest and penalties (maggiorazioni) whenever applicable, and (iv) all amounts (if any) to be returned by the Agent to SIMEST under and pursuant to the Interest Make-Up Agreement; and
	(c)
	any other costs whatsoever or howsoever arising under or in respect of the Interest Make-Up Agreement which are passed to the Agent,

and any such costs imposed by SIMEST shall be paid by the Borrower to SIMEST through the Agent.
For the purposes of this Clause 20.2 (Breakage costs and SIMEST arrangements) "Interest Make-Up Event" means the occurrence of any circumstances which result in the termination, cancellation, revocation, cessation or suspension (in each case, in whole or in part) of the Interest Make-Up Agreement or the Interest Make-Up Agreement otherwise ceases or may cease to be in full force and effect or the Agent notifies the Borrower that the Fixed Interest Rate is not available for any reason, in each case, in accordance with the terms of the Interest Make-Up Agreement.
	20.3
	Miscellaneous indemnities

The Borrower shall fully indemnify each Secured Party severally on their respective demands in respect of all claims, expenses, liabilities and losses which may be made or brought against or incurred by a Secured Party, in any country, as a result of or in connection with:
	(a)
	any action taken, or omitted or neglected to be taken, under or in connection with any Finance Document by the Agent or any other Secured Party or by any receiver appointed under a Finance Document;

	(b)
	any other Pertinent Matter,

other than claims, expenses, liabilities and losses which are shown to have been directly and mainly caused by the dishonesty or wilful misconduct of the officers or employees of the Secured Party concerned.
Without prejudice to its generality, this Clause 20.3 (Miscellaneous indemnities) covers (i) any claims, expenses, liabilities and losses which arise, or are asserted, under or in connection with any law relating to safety at sea, the ISM Code or any Environmental Laws or any Sanctions and (ii) any claims, expenses, liabilities (including, without limitation, under a reputational standpoint) and losses which arise, or are asserted, against CDP under or in connection with any breach by the Borrower of any of the provisions paragraphs (nn) to (rr) of Clause 11.2 (Continuing representations and warranties) and/or of Clause 12.2712.28 (Code of Ethics and Model).
	20.4
	Currency indemnity

If any sum due from an Obligor to a Secured Party under a Finance Document or under any order or judgment relating to a Finance Document has to be converted from the currency in which the Finance Document provided for the sum to be paid (the "Contractual Currency") into another currency (the "Payment Currency") for the purpose of:
	(a)
	making or lodging any claim or proof against an Obligor, whether in its liquidation, any arrangement involving it or otherwise; or

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	(b)
	obtaining an order or judgment from any court or other tribunal; or

	(c)
	enforcing any such order or judgment,

the Borrower shall indemnify the Secured Party concerned against the loss arising when the amount of the payment actually received by that Secured Party is converted at the available rate of exchange into the Contractual Currency.
In this Clause 20.4 (Currency indemnity) the "available rate of exchange" means the rate at which the Secured Party concerned is able at the opening of business (Paris time) on the Business Day after it receives the sum concerned to purchase the Contractual Currency with the Payment Currency.
This Clause 20.4 (Currency indemnity) creates a separate liability of the Borrower which is distinct from its other liabilities under the Finance Documents and which shall not be merged in any judgment or order relating to those other liabilities.
	20.5
	Certification of amounts

A notice which is signed by 2 officers of a Secured Party, which states that a specified amount, or aggregate amount, is due to that Secured Party under this Clause 20 (Indemnities) and which indicates (without necessarily specifying a detailed breakdown) the matters in respect of which the amount, or aggregate amount, is due shall be prima facie evidence that the amount, or aggregate amount, is due.
	20.6
	Sums deemed due to a Lender

For the purposes of this Clause 20 (Indemnities), a sum payable by the Borrower to the Agent for distribution to a Lender shall be treated as a sum due to that Lender.
	20.7
	SACE obligations

To the extent that this Clause 20 (Indemnities) imposes obligations or restrictions on a Secured Party, such obligations or restrictions shall not apply to SACE and SACE shall have no obligations hereunder nor be constrained by such restrictions.
	21 
	Illegality, etc.

	21.1
	Illegality and Sanctions

This Clause 21 (Illegality, etc.) applies if:
	(a)
	a Lender (the "Notifying Lender") notifies the Agent that:

		(i)
	it becomes unlawful or contrary to any law, regulation or Sanctions – including by way of civil, administrative or criminal liability - in any applicable jurisdiction for the Notifying Lender to perform any of its obligations as contemplated by the Finance Documents or to fund its participation in the Loan; and/or

		(ii)
	it becomes unlawful or contrary to any law, regulation or Sanctions – including by way of civil, administrative or criminal liability - in any applicable jurisdiction for the Notifying Lender to maintain its participation in the Loan; or

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	(b)
	an Obligor is or becomes a Prohibited Person,

(such event, an "Illegality or Sanctions Event").
	21.2
	Notification of illegality

	(a)
	The Agent shall promptly notify the Borrower, the Obligors and the other Lenders of the notice under Clause 21 (Illegality, etc.) which the Agent receives from the Notifying Lender.

	(b)
	Upon receipt of the notice under paragraph (a) above and provided that such Illegality or Sanctions Event is not applicable with immediate effect (in which case paragraph (a) of Clause 21.3 (Prepayment; termination of Commitment) will apply immediately and this paragraph (b) will not apply), the Agent shall, where the Borrower has selected the Fixed Interest Rate pursuant to Clause 6.1 (Fixed or Floating Interest Rate), inform SIMEST in writing in order to start consultations between themselves (pursuant to clause 6 of the Interest Make-Up Agreement) with a view to exploring any possible solution to mitigate the Illegality or Sanctions Event preventing that Lender from performing any of its obligations under a Finance Document or funding or maintaining its share in the Loan. Any solution agreed between the Agent and SIMEST at the end of the consultation period (which shall last for a period of ten (10) days from the service of such notice on SIMEST) will be binding among themselves and shall be notified by the Agent to each Obligor immediately thereafter (and in any case no later than ten (10) days following such decision).

	(c)
	If at the end of the consultation procedure set out in paragraph (b) above, no solution is agreed between the Agent and SIMEST, the Agent must immediately notify the Lenders and the Obligors.

	21.3
	Prepayment; termination of Commitment

	(a)
	After notification under paragraph (c) of Clause 21.2 (Notification of illegality) or (in case the Interest Make-Up Agreement has ceased to be in force and effect or the Fixed Interest Rate has not been selected pursuant to Clause 6.1 (Fixed or Floating Interest Rate)) after notification under paragraph (a) of Clause 21.2 (Notification of illegality) and subject to Clause 21.4 (Mitigation) below the Borrower must repay or prepay that Lender's share in the Loan on the date specified in paragraph (c) below together with any breakage costs payable under Clause 20.2 (Breakage costs and SIMEST arrangements) and any indemnity payable under paragraph (c) of Clause 20.2 (Breakage costs and SIMEST arrangements) in respect of the Interest Make-Up Agreement;

	(b)
	On the Agent notifying the Borrower under paragraph (c) of Clause 21.2 (Notification of illegality), the Notifying Lender's Commitment shall terminate; and thereupon or, if later, on the date specified in the Notifying Lender's notice under Clause 21.1 (Illegality and Sanctions) as the date on which the notified event would become effective the Borrower shall prepay the Notifying Lender's ContributionContributions and shall pay compensation to the Notifying Lender calculated in accordance with Clause 16.2 (Voluntary prepayment).

	(c)
	The date for repayment or prepayment of a Lender's share in the Loan will be:

		(i)
	the date specified by the Agent in the notification under paragraph (b) above; or

		(ii)
	in case the Interest Make-Up Agreement has ceased to be in full force and effect or the Fixed Interest Rate has not been selected pursuant to Clause 6.1 (Fixed or Floating Interest Rate), the last day of the current Interest Period for the relevant Advance or 

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Advances under a Tranche or, if earlier, the date specified by the Lender in the notification under paragraph (a) above and which must not be earlier than the last day of any applicable grace period allowed by law.
	21.4
	Mitigation

	(a)
	Each Secured Party shall, in consultation with the Borrower, take all reasonable steps to mitigate any circumstances which arise and which would result in any amount becoming payable under or pursuant to, or cancelled pursuant to Clause 21.1 (Illegality and Sanctions) including (but not limited to) transferring its rights and obligations under the Finance Documents to another Affiliate or Facility Office.

	(b)
	Paragraph (a) above does not in any way limit the obligations of any Obligor under the Finance Documents.

	22 
	Set-Off

	22.1
	Application of credit balances

Each Creditor Party may without prior notice:
	(a)
	apply any balance (whether or not then due) which at any time stands to the credit of any account in the name of the Borrower at any office in any country of that Creditor Party in or towards satisfaction of any sum then due from the Borrower to that Creditor Party under any of the Finance Documents; and

	(b)
	for that purpose:

		(i)
	break, or alter the maturity of, all or any part of a deposit of the Borrower;

		(ii)
	convert or translate all or any part of a deposit or other credit balance into Dollars;

		(iii)
	enter into any other transaction or make any entry with regard to the credit balance which the Creditor Party concerned considers appropriate.

	22.2
	Existing rights unaffected

No Creditor Party shall be obliged to exercise any of its rights under Clause 22.1 (Application of credit balances); and those rights shall be without prejudice and in addition to any right of set-off, combination of accounts, charge, lien or other right or remedy to which a Creditor Party is entitled (whether under the general law or any document).
	22.3
	Sums deemed due to a Lender

For the purposes of this Clause 22 (Set-Off), a sum payable by the Borrower to the Agent for distribution to, or for the account of, a Lender shall be treated as a sum due to that Lender; and each Lender's proportion of a sum so payable for distribution to, or for the account of, the Lenders shall be treated as a sum due to such Lender.

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	22.4
	No Security Interest

This Clause 22 (Set-Off) gives the Creditor Parties a contractual right of set-off only, and does not create any equitable charge or other Security Interest over any credit balance of the Borrower.
	23 
	Bail-In

Notwithstanding any other term of any Finance Document or any other agreement, arrangement or understanding between the parties to a Finance Document, each Party acknowledges and accepts that any liability of any party to a Finance Document under or in connection with the Finance Documents may be subject to Bail-In Action by the relevant Resolution Authority and acknowledges and accepts to be bound by the effect of:
	(a)
	any Bail-In Action in relation to any such liability, including (without limitation):

		(i)
	a reduction, in full or in part, in the principal amount, or outstanding amount due (including any accrued but unpaid interest) in respect of any such liability;

		(ii)
	a conversion of all, or part of, any such liability into shares or other instruments of ownership that may be issued to, or conferred on, it; and

		(iii)
	a cancellation of any such liability; and

	(b)
	a variation of any term of any Finance Document to the extent necessary to give effect to any Bail-in Action in relation to any such liability.

	24 
	Changes to the Lenders

	24.1
	Transfer by a Lender

Subject to Clause 24.5 (No transfer without Transfer Certificate), Clause 24.17 (Assignment or transfer to SACE) and Clause 24.14 (Change of Facility Office), a Lender (the "Transferor Lender") may at any time provided they have obtained the prior written consent of the Italian Authorities cause:
	(a)
	its rights in respect of all or part of its ContributionContributions; or

	(b)
	its obligations in respect of all or part of its Commitment; or

	(c)
	a combination of (a) and (b),

to be (in the case of its rights) transferred to, or (in the case of its obligations) assumed by, in whole or in part any of its Affiliates or another bank or financial institution or a trust, fund or other entity which is regularly engaged in or established for the purpose of making, purchasing or investing in loans, securities or other financial assets (a "Transferee Lender") by delivering to the Agent a completed certificate in the form set out in Schedule 4 (Form of Transfer Certificate) with any modifications approved or required by the Agent (a "Transfer Certificate") executed by the Transferor Lender and the Transferee Lender.
However any rights and obligations of the Transferor Lender in its capacity as Agent or Security Trustee will have to be dealt with separately in accordance with the provisions of Clauses 26 

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(Role of the Agent and the Joint Mandated Lead Arrangers) and 27 (The Security Trustee) respectively.
	24.2
	Conditions of assignment or transfer

	(a)
	The consent of the Borrower is required at all times (subject to the provisions of Clauses 24.5 (No transfer without Transfer Certificate) and 24.17 (Assignment or transfer to SACE)) for an assignment or transfer by a Lender (the "Existing Lender"), unless (i) there is an Event of Default or (ii) the assignment or transfer is to another Lender or an Affiliate of a Lender.

	(b)
	The consent of the Borrower to an assignment or transfer must not be unreasonably withheld or delayed. The Borrower will be deemed to have given its consent ten (10) Business Days after the Existing Lender has requested it unless consent is expressly refused by that Borrower within that time.

	(c)
	The assignment or transfer must be with respect to a minimum Commitment of [*] Dollars ($[*]) or, if less, the Existing Lender's full Commitment.

	24.3
	Transfer Certificate, delivery and notification

As soon as reasonably practicable after a Transfer Certificate is delivered to the Agent, it shall (unless it has reason to believe that the Transfer Certificate may be defective):
	(a)
	sign the Transfer Certificate on behalf of itself, the Borrower, any other Obligors, the Security Trustee and each of the other Lenders;

	(b)
	on behalf of the Transferee Lender, send to the Borrower and each Obligor letters or emails notifying them of the Transfer Certificate and attaching a copy of it; and

	(c)
	send to the Transferee Lender copies of the letters or emails sent under paragraph (b) above,

but the Agent shall only be obliged to execute a Transfer Certificate delivered to it by the Transferor Lender and the Transferee Lender once it is satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations in relation to the transfer to that Transferee Lender.
	24.4
	Effective Date of Transfer Certificate

A Transfer Certificate becomes effective on the date, if any, specified in the Transfer Certificate as its effective date, provided that it is signed by the Agent under Clause 24.3 (Transfer Certificate, delivery and notification) on or before that date.
	24.5
	No transfer without Transfer Certificate

Except as provided in Clause 24.16 (Security over Lenders' rights), no assignment or transfer of any right or obligation of a Lender under any Finance Document is binding on, or effective in relation to, the Borrower, any Obligor, the Agent or the Security Trustee unless it is effected, evidenced or perfected by a Transfer Certificate.
	24.6
	Lender re-organisation; waiver of Transfer Certificate

However, if a Lender enters into any merger, de-merger or other reorganisation as a result of which all its rights or obligations vest in another person (the "successor"), the Agent may, if it 

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sees fit, by notice to the successor and the Borrower and the Security Trustee waive the need for the execution and delivery of a Transfer Certificate; and, upon service of the Agent's notice, the successor shall become a Lender with the same Commitment and ContributionContributions as were held by the predecessor Lender.
	24.7
	Effect of Transfer Certificate

A Transfer Certificate takes effect in accordance with English law as follows:
	(a)
	to the extent specified in the Transfer Certificate, all rights and interests (present, future or contingent) which the Transferor Lender has under or by virtue of the Finance Documents are assigned to the Transferee Lender absolutely, free of any defects in the Transferor Lender's title and of any rights or equities which the Borrower or any Obligor had against the Transferor Lender;

	(b)
	the Transferor Lender's Commitment is discharged to the extent specified in the Transfer Certificate;

	(c)
	the Transferee Lender becomes a Lender with the ContributionContributions previously held by the Transferor Lender and a Commitment of an amount specified in the Transfer Certificate;

	(d)
	the Transferee Lender becomes bound by all the provisions of the Finance Documents which are applicable to the Lenders generally, including those about pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, the Agent and the Security Trustee and, to the extent that the Transferee Lender becomes bound by those provisions (other than those relating to exclusion of liability), the Transferor Lender ceases to be bound by them;

	(e)
	any part of the Loan which the Transferee Lender advances after the Transfer Certificate's effective date ranks in point of priority and security in the same way as it would have ranked had it been advanced by the transferor, assuming that any defects in the transferor's title and any rights or equities of the Borrower or any Obligor against the Transferor Lender had not existed;

	(f)
	the Transferee Lender becomes entitled to all the rights under the Finance Documents which are applicable to the Lenders generally, including but not limited to those relating to the Majority Lenders and those under Clause 6.8 (Market Disruption) and Clause 9 (Fees), and to the extent that the Transferee Lender becomes entitled to such rights, the Transferor Lender ceases to be entitled to them; and

	(g)
	in respect of any breach of a warranty, undertaking, condition or other provision of a Finance Document or any misrepresentation made in or in connection with a Finance Document, the Transferee Lender shall be entitled to recover damages by reference to the loss incurred by it as a result of the breach or misrepresentation, irrespective of whether the original Lender would have incurred a loss of that kind or amount.

The rights and equities of the Borrower or any Obligor referred to above include, but are not limited to, any right of set off and any other kind of cross-claim.
	24.8
	Maintenance of register of Lenders

During the Security Period the Agent shall maintain a register in which it shall record the name, Commitment, ContributionContributions and administrative details (including the Facility 

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Office) from time to time of each Lender holding a Transfer Certificate and the effective date (in accordance with Clause 24.4 (Effective Date of Transfer Certificate)) of the Transfer Certificate; and the Agent shall make the register available for inspection by any Lender, the Security Trustee and the Borrower during normal banking hours, subject to receiving at least 3 Business Days' prior notice.
	24.9
	Reliance on register of Lenders

The entries on that register shall, in the absence of manifest error, be conclusive in determining the identities of the Lenders and the amounts of their Commitments and Contributions and the effective dates of Transfer Certificates and may be relied upon by the Agent and the other parties to the Finance Documents for all purposes relating to the Finance Documents.
	24.10
	Authorisation of Agent to sign Transfer Certificates

The Borrower, the Security Trustee and each Lender irrevocably authorise the Agent to sign Transfer Certificates on its behalf.
	24.11
	Fees and Costs

In respect of any Transfer Certificate:
	(a)
	the Agent shall be entitled to recover a registration fee of five thousand Euros (€5,000) from the Transferor Lender or (at the Agent's option) the Transferee Lender;

	(b)
	the Transferee Lender shall pay to the Agent, upon demand, all reasonable costs and expenses, duties and fees, including but without limitation legal costs and out of pocket expenses, incurred by the Agent or the Lenders in connection with any necessary amendment to or supplementing of the Transaction Documents or any of them or the SACE Insurance Policy as a consequence of the assignment or transfer; and

	(c)
	the Transferee Lender shall pay to the Agent, upon demand, such amount as is payable to the Italian Authorities to cover its costs of giving its approval under Clause 24.1 (Transfer by a Lender).

	24.12
	Sub-participation; subrogation assignment

A Lender may sub-participate all or any part of its rights and/or obligations under or in connection with the Finance Documents without the consent of, or any notice to, the Borrower, any Obligor, the Agent or the Security Trustee but with the prior written consent of SACE.
	24.13
	Disclosure of information

A Lender may disclose to a potential Transferee Lender or sub participant any information which the Lender has received in relation to the Borrower, any Obligor or their affairs under or in connection with any Finance Document, unless the information is clearly of a confidential nature.
	24.14
	Change of Facility Office

Subject to the prior written consent of SACE, a Lender may change its Facility Office by giving notice to the Agent and the change shall become effective on the later of:

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	(a)
	the date on which the Agent receives the notice; and

	(b)
	the date, if any, specified in the notice as the date on which the change will come into effect, provided that if (i) a Lender assigns or transfers any of its rights or obligations under the Finance Documents or changes its Facility Office, and (ii) as a result of circumstances existing at the date the assignment, transfer or change occurs, an Obligor would be obliged to make a payment or an increased payment to the new Lender or Lender acting through its new Facility Office under Clause 10 (Taxes, Increased Costs, Costs and Related Charges), then the new Lender or Lender acting through its new Facility Office is only entitled to receive payment under that Clause to the same extent as the existing Lender or Lender acting through its previous Facility Office would have been if the assignment, transfer or change had not occurred.

	24.15
	Notification

On receiving such a notice, the Agent shall notify the Borrower and the Security Trustee; and, until the Agent receives such a notice, it shall be entitled to assume that a Lender is acting through the Facility Office of which the Agent last had notice.
	24.16
	Security over Lenders' rights

In addition to the other rights provided to Lenders under this Clause 24 (Changes to the Lenders) each Lender may without consulting with or obtaining consent from the Borrower or any Obligor but subject to the prior written consent of SACE, at any time charge, assign or otherwise create a Security Interest in or over (whether by way of collateral or otherwise) all or any of its rights under any Finance Document to secure obligations of that Lender (i) to the benefit of any Affiliate and/or (ii) within the framework of its, or its Affiliates, direct or indirect funding operations including, without limitation:
	(a)
	any charge, assignment or other Security Interest to secure obligations to a federal reserve, central bank or a multilateral development bank (including the European Investment Bank and the European Investment Fund); and

	(b)
	in the case of any Lender which is a fund, any charge, assignment or other Security Interest granted to any holders (or trustee or representatives of holders) of obligations owed, or securities issued, by that Lender as security for those obligations or securities;

except that no such charge, assignment or Security Interest shall:
		(i)
	release a Lender from any of its obligations under the Finance Documents or substitute the beneficiary of the relevant charge, assignment or Security Interest for the Lender as a party to any of the Finance Documents; or

		(ii)
	alter the obligations of the Obligor or require any payments to be made by the Borrower or any Obligor or grant to any person any more extensive rights than those required to be made or granted to the relevant Lender under the Finance Documents.

	24.17
	Assignment or transfer to SACE

	(a)
	Notwithstanding the above provisions of this Clause 24 (Changes to the Lenders) each Lender and the Agent shall, if so instructed by SACE in accordance with the provisions of the SACE Insurance Policy and without any requirement for the consent of any Obligor, assign its rights or (as the case may be) transfer its rights and obligations to SACE (but for the avoidance of 

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doubt, SACE will not assume any of the Lenders' obligations pursuant to Clauses 10 (Taxes, Increased Costs, Costs and Related Charges) or 33 (Confidentiality) of this Agreement), which assignment or transfer shall take effect upon the date stated in the relevant documentation subject to SACE being satisfied that it has complied with all necessary "know your customer" requirements in relation to such assignment or transfer;
	(b)
	The Agent shall promptly notify the Obligors of any such assignment or transfer to SACE and, following an Event of Default, the Obligors shall pay to the Agent, upon demand, all reasonable costs and expenses, duties and fees, including but without limitation legal costs and out of pocket expenses, incurred by SACE, the Agent or the Lenders in connection with any such assignment or transfer.

	24.18
	No prejudice to SACE rights

Nothing in the Finance Documents shall prejudice or otherwise limit:
	(a)
	the rights of any Lender to assign its rights or transfer its rights and obligations, under, or in connection with, any Finance Document to SACE or as directed by SACE; and

	(b)
	the right of SACE to be subrogated to any Lender's rights under, or in connection with, any Finance Document.

	24.19
	SACE's power to direct

The Creditor Parties agree and the Obligors acknowledge that SACE has the right to direct the decision-making of the Agent and/or the Security Trustee, including (without limitation) following an Event of Default.
	24.20
	Definition of Affiliate

For the purposes of this Clause 24 (Changes to the Lenders), the definition of "Affiliate" in respect of Crédit Agricole Corporate and Investment Bank shall, for the avoidance of doubt, include any other member of Crédit Agricole Group, and in particular:
	(a)
	Crédit Agricole S.A.;

	(b)
	Caisses Régionales de Crédit Agricole;

	(c)
	Crédit Agricole Assurances;

	(d)
	LCL SA; and/or

	(e)
	any company or legal entity in which one or more of the companies or entities referred to in paragraphs (a) to (d) above, together or separately, owns a direct majority interest.

	25 
	Changes to the Obligors

	25.1
	No change without consent

No Obligor may assign any of its rights or transfer any of its rights or obligations under the Finance Documents.

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	26 
	Role of the Agent and the Joint Mandated Lead Arrangers

	26.1
	Appointment of the Agent

	(a)
	Each other Secured Party appoints the Agent to act as its agent under and in connection with this Agreement and the other Finance Documents, the SACE Insurance Policy and the Interest Make Up Agreement.

	(b)
	Each other Secured Party authorises the Agent to exercise the rights, powers, authorities and discretions specifically given to the Agent under or in connection with the Finance Documents together with any other incidental rights, powers, authorities and discretions.

	26.2
	Duties of the Agent

	(a)
	The Agent shall promptly forward to a Party the original or a copy of any document which is delivered to the Agent for that Party by any other Party.

	(b)
	Except where a Finance Document specifically provides otherwise, the Agent is not obliged to review or check the adequacy, accuracy or completeness of any document it forwards to another Party.

	(c)
	If the Agent receives notice from a Party referring to this Agreement, describing an Event of Default and stating that the circumstance described is an Event of Default, it shall promptly notify the other Secured Parties.

	(d)
	If the Agent is aware of the non-payment of any principal, interest, commitment fee or other fee payable to a Secured Party (other than the Agent or a Joint Mandated Lead Arranger) under this Agreement it shall promptly notify the other Secured Parties.

	(e)
	The Agent's duties under the Finance Documents are solely administrative in nature.

	26.3
	Role of Joint Mandated Lead Arrangers

None of the Joint Mandated Lead Arrangers has any obligations of any kind to any other Party under or in connection with any Transaction Document, the Interest Make-Up Agreement or the SACE Insurance Policy.
	26.4
	No fiduciary duties

	(a)
	Nothing in this Agreement constitutes the Agent or any of the Joint Mandated Lead Arrangers as a trustee or fiduciary of any other person.

	(b)
	Neither the Agent nor any of the Joint Mandated Lead Arrangers shall be bound to account to any Lender for any sum or the profit element of any sum received by it for its own account.

	26.5
	Business with the Guarantor

The Agent and each of the Joint Mandated Lead Arrangers may accept deposits from, lend money to and generally engage in any kind of banking or other business with any Affiliate or Subsidiary of the Guarantor.
	26.6
	Rights and discretions of the Agent

	(a)
	The Agent may rely on:

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		(i)
	any representation, notice or document believed by it to be genuine, correct and appropriately authorised; and

		(ii)
	any statement made by a director, authorised signatory or employee of any person regarding any matters which may reasonably be assumed to be within his knowledge or within his power to verify.

	(b)
	The Agent may assume (unless it has received notice to the contrary in its capacity as agent for the Lenders) that:

		(i)
	no Event of Default has occurred (unless it has actual knowledge of an Event of Default); and

		(ii)
	any right, power, authority or discretion vested in any Party or the Lenders has not been exercised.

	(c)
	The Agent may engage, pay for and rely on the advice or services of any lawyers, accountants, surveyors or other experts.

	(d)
	The Agent may act in relation to the Finance Documents through its personnel and agents.

	(e)
	The Agent may disclose to any other Party any information it reasonably believes it has received as the Agent under this Agreement.

	(f)
	Notwithstanding any other provision of any Finance Document to the contrary, neither the Agent nor any of the Joint Mandated Lead Arrangers is obliged to do or omit to do anything if it would or might in its reasonable opinion constitute a breach of any law or regulation or a breach of a fiduciary duty or duty of confidentiality.

	26.7
	Lenders' and SACE's instructions

	(a)
	Unless a contrary indication appears in a Finance Document, the Agent shall:

		(i)
	exercise any right, power, authority or discretion vested in it as Agent in accordance with any instructions given to it by the Majority Lenders and SACE (or, if so instructed by the Majority Lenders and SACE, refrain from exercising any right, power, authority or discretion vested in it as the Agent); and

		(ii)
	not be liable for any act (or omission) if it acts (or refrains from taking any action) in accordance with an instruction of the Majority Lenders and SACE.

	(b)
	Unless a contrary indication appears in a Finance Document, any instructions given by the Majority Lenders and SACE will be binding on all the Secured Parties.

	(c)
	The Agent may refrain from acting in accordance with the instructions of the Majority Lenders and SACE until it has received such security as it may require for any cost, loss or liability (together with any associated VAT) which it may incur in complying with the instructions.

	(d)
	In the absence of instructions from the Majority Lenders and SACE the Agent may act (or refrain from taking action) as it considers to be in the best interest of the Secured Parties.

	(e)
	The Agent is not authorised to act on behalf of a Lender (without first obtaining that Lender's consent) in any legal or arbitration proceedings relating to any Finance Document.

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	(f)
	Notwithstanding anything to the contrary, the Lenders agree that if the Agent (acting in its sole discretion) is of the opinion that or if any Lender notifies the Agent that it is of the opinion that, the prior approval of the Italian Authorities should be obtained in relation to the exercise or non-exercise by the Agent or the Lenders of any power, authority or discretion specifically given to them under or in connection with the Finance Documents or in relation to any other incidental rights, powers, authorities or discretions, then the Agent shall seek such approval of the Italian Authorities prior to such exercise or non-exercise.

	26.8
	Responsibility for documentation

The Agent is not responsible for:
	(a)
	the adequacy, accuracy and/or completeness of any information (whether oral or written) supplied by the Agent, a Joint Mandated Lead Arranger, an Obligor or any other person given in or in connection with any Transaction Document, the SACE Insurance Policy or the Interest Make-Up Agreement; nor for

	(b)
	the legality, validity, effectiveness, adequacy or enforceability of any Transaction Document the SACE Insurance Policy or the Interest Make-Up Agreement or any other agreement, arrangement or document entered into, made or executed in anticipation of or in connection with any Transaction Document, the SACE Insurance Policy or the Interest Make-Up Agreement.

	26.9
	Exclusion of liability

	(a)
	Without limiting paragraph (b) of Clause 26.9 (Exclusion of liability), the Agent will not be liable for any action taken by it under or in connection with any Finance Document, the SACE Insurance Policy or the Interest Make-Up Agreement, unless directly caused by its Gross Negligence or wilful misconduct.

	(b)
	No Party (other than the Agent) may take any proceedings against any officer, employee or agent of the Agent in respect of any claim it might have against the Agent or in respect of any act or omission of any kind by that officer, employee or agent in relation to any Finance Document, the SACE Insurance Policy or the Interest Make-Up Agreement and any officer, employee or agent of the Agent may rely on this Clause subject to Clause 36.4 (Third party rights) and the provisions of the Third Parties Rights Act.

	(c)
	The Agent will not be liable for any delay (or any related consequences) in crediting an account with an amount required under the Finance Documents, the SACE Insurance Policy or the Interest Make-Up Agreement to be paid by the Agent if the Agent has taken all necessary steps as soon as reasonably practicable to comply with the regulations or operating procedures of any recognised clearing or settlement system used by the Agent for that purpose.

	(d)
	Nothing in this Agreement shall oblige the Agent or a Joint Mandated Lead Arranger to carry out any "know your customer" or other checks in relation to any person on behalf of any Lender and each Lender confirms to the Agent and the Joint Mandated Lead Arrangers that it is solely responsible for any such checks it is required to carry out and that it may not rely on any statement in relation to such checks made by the Agent or a Joint Mandated Lead Arranger.

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	26.10
	Lenders' indemnity to the Agent

Each Lender shall (in proportion to its share of the Total Commitments or, if the Total Commitments are then zero, to its share of the Total Commitments immediately prior to their reduction to zero) indemnify the Agent, within three (3) Business Days of demand, against any cost, loss or liability incurred by the Agent (otherwise than by reason of the Agent's Gross Negligence or wilful misconduct) in acting as Agent under the Finance Documents (unless the Agent has been reimbursed by an Obligor pursuant to a Finance Document).
	26.11
	Resignation of the Agent

	(a)
	The Agent may resign and appoint one of its Affiliates as successor by giving notice to the other Creditor Parties, the Borrower and SACE and with the consent of SACE.

	(b)
	Alternatively the Agent may resign by giving notice to the other Secured Parties and the Borrower, in which case the Lenders (after consultation with the Borrower and the prior consent of SACE) may appoint a successor Agent.

	(c)
	If the Lenders have not appointed a successor Agent in accordance with paragraph (b) of Clause 26.11 (Resignation of the Agent) within thirty (30) days after notice of resignation was given, the Agent (after consultation with the Borrower and SACE) may appoint a successor Agent.

	(d)
	The retiring Agent shall, at its own cost, make available to the successor Agent such documents and records and provide such assistance as the successor Agent may reasonably request for the purposes of performing its functions as Agent under the Finance Documents.

	(e)
	The Agent's resignation notice shall only take effect upon the appointment of a successor.

	(f)
	Upon the appointment of a successor, the retiring Agent shall be discharged from any further obligation in respect of the Finance Documents but shall remain entitled to the benefit of this Clause 26 (Role of the Agent and the Joint Mandated Lead Arrangers). Its successor and each of the other Parties shall have the same rights and obligations amongst themselves as they would have had if such successor had been an original Party.

	(g)
	After consultation with the Italian Authorities, the Majority Lenders may, subject to the prior consent of the Italian Authorities, by notice to the Agent, require it to resign in accordance with paragraph (b) of Clause 26.11 (Resignation of the Agent). In this event, the Agent shall resign in accordance with paragraph (b) of Clause 26.11 (Resignation of the Agent) but the cost referred to in paragraph (d) above shall be for the account of the Borrower.

	(h)
	The appointment of a successor Agent pursuant to this Clause 26.11 (Resignation of the Agent) shall be subject to compliance with all necessary "know your customer" requirements of the Lenders.

	26.12
	Confidentiality

	(a)
	In acting as agent for the Secured Parties, the Agent shall be regarded as acting through its agency division which shall be treated as a separate entity from any other of its divisions or departments.

	(b)
	If information is received by another division or department of the Agent, it may be treated as confidential to that division or department and the Agent shall not be deemed to have notice of it.

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	26.13
	Relationship with the Lenders

The Agent may treat each Lender as a Lender, entitled to payments under this Agreement and acting through its Facility Office unless it has received not less than five (5) Business Days' prior notice from that Lender to the contrary in accordance with the terms of this Agreement.
	26.14
	Credit appraisal by the Lenders

Without affecting the responsibility of any Obligor for information supplied by it or on its behalf in connection with any Finance Document, each Lender confirms to the Agent and each of the Joint Mandated Lead Arrangers that it has been, and will continue to be, solely responsible for making its own independent appraisal and investigation of all risks arising under or in connection with any Finance Document including but not limited to:
	(a)
	the financial condition, status and nature of the Guarantor and each Subsidiary of the Guarantor;

	(b)
	the legality, validity, effectiveness, adequacy or enforceability of any Finance Document and any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document;

	(c)
	whether that Lender has recourse, and the nature and extent of that recourse, against any Party or any of its respective assets under or in connection with any Finance Document, the transactions contemplated by the Finance Documents or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document;

	(d)
	the adequacy, accuracy and/or completeness of any information provided by the Agent, any Party or by any other person under or in connection with any Finance Document, the transactions contemplated by the Finance Documents or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document; and

	(e)
	the right or title of any person in or to or the value or sufficiency of any part of the Charged Property, the priority of any Security Interests or the existence of any Security Interest affecting the Charged Property.

	26.15
	Deduction from amounts payable by the Agent

If any Party owes an amount to the Agent under the Finance Documents the Agent may, after giving notice to that Party, deduct an amount not exceeding that amount from any payment to that Party which the Agent would otherwise be obliged to make under the Finance Documents and apply the amount deducted in or towards satisfaction of the amount owed. For the purposes of the Finance Documents that Party shall be regarded as having received any amount so deducted.
	26.16
	Full freedom to enter into transactions

Notwithstanding any rule of law or equity to the contrary, the Agent shall be absolutely entitled:
	(a)
	to enter into and arrange banking, derivative, investment and/or other transactions of every kind with or affecting any Obligor or any person who is party to, or referred to in, a Finance 

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Document (including, but not limited to, any interest or currency swap or other transaction, whether related to this Agreement or not, and acting as syndicate agent and/or security agent for, and/or participating in, other facilities to such Obligor or any person who is party to, or referred to in, a Finance Document);
	(b)
	to deal in and enter into and arrange transactions relating to:

		(i)
	any securities issued or to be issued by any Obligor or any other person; or

		(ii)
	any options or other derivatives in connection with such securities; and

	(c)
	to provide advice or other services to the Borrower or any person who is a party to, or referred to in, a Finance Document,

and, in particular, the Agent shall be absolutely entitled, in proposing, evaluating, negotiating, entering into and arranging all such transactions and in connection with all other matters covered by paragraphs (a), (b) and (c) above, to use (subject only to insider dealing legislation) any information or opportunity, howsoever acquired by it, to pursue its own interests exclusively, to refrain from disclosing such dealings, transactions or other matters or any information acquired in connection with them and to retain for its sole benefit all profits and benefits derived from the dealings transactions or other matters.
	26.17
	SACE Agent, SACE Insurance Policy and Interest Make-Up Agreement

	(a)
	Where the context permits, references to the Agent shall include the SACE Agent. The Agent and the SACE Agent shall be the same entity throughout the Security Period.

	(b)
	With the prior written consent of each of the Lenders, the SACE Agent may amend or modify the SACE Insurance Policy and the Interest Make-Up Agreement provided that such amendments are not inconsistent with the commercial terms of this Agreement, otherwise, the SACE Agent undertakes not to amend or modify the SACE Insurance Policy or the Interest Make-Up Agreement.

	26.18
	Resignation of the Agent in relation to FATCA

The Agent shall resign in accordance with Clause 26.11 (Resignation of the Agent) (and, to the extent applicable, shall use reasonable endeavours to appoint a successor Agent pursuant to paragraph (c) of Clause 26.11 (Resignation of the Agent)) if on or after the date which is three months before the earliest FATCA Application Date relating to any payment to the Agent under the Finance Documents, either:
	(a)
	the Agent fails to respond to a request under Clause 10.9 (FATCA Information) and a Lender reasonably believes that the Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;

	(b)
	the information supplied by the Agent pursuant to Clause 10.9 (FATCA Information) indicates that the Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; or

	(c)
	the Agent notifies the Borrower and the Lenders that the Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;

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and (in each case) a Lender reasonably believes that a Party will be required to make a FATCA Deduction that would not be required if the Agent were a FATCA Exempt Party, and that Lender, by notice to the Agent, requires it to resign.
	27 
	The Security Trustee

	27.1
	Trust

	(a)
	The Security Trustee declares that it shall hold the Security Property on trust for the Secured Parties on the terms contained in this Agreement and shall deal with the Security Property in accordance with this Clause 27 (The Security Trustee) and the other provisions of the Finance Documents.

	(b)
	Each of the parties to this Agreement agrees that the Security Trustee shall have only those duties, obligations and responsibilities expressly specified in this Agreement or in the Finance Documents (and no others shall be implied).

	(c)
	The Security Trustee shall not have any liability to any person in respect of its duties, obligations and responsibilities under this Agreement or the other Finance Documents except as expressly set out in paragraph (a) of Clause 27.1 (Trust) and as excluded or limited by this Clause 27 (The Security Trustee) including in particular Clause 27.8 (Instructions to Security Trustee and exercise of discretion), Clause 27.13 (Responsibility for documentation), Clause 27.14 (Exclusion of liability), Clause 27.16 (Lenders' indemnity to the Security Trustee), Clause 27.23 (Business with the Group) and Clause 27.28 (Full freedom to enter into transactions).

	27.2
	Parallel Debt (Covenant to pay the Security Trustee)

	(a)
	Each Obligor irrevocably and unconditionally undertakes to pay to the Security Trustee its Parallel Debt which shall be amounts equal to, and in the currency or currencies of, its Corresponding Debt.

	(b)
	The Parallel Debt of an Obligor:

		(i)
	shall become due and payable at the same time as its Corresponding Debt;

		(ii)
	is independent and separate from, and without prejudice to, its Corresponding Debt.

	(c)
	For purposes of this Clause 27.2 (Parallel Debt (Covenant to pay the Security Trustee)), the Security Trustee:

		(i)
	is the independent and separate creditor of each Parallel Debt;

		(ii)
	acts in its own name and not as agent, representative or trustee of the Secured Parties and its claims in respect of each Parallel Debt shall not be held on trust; and

		(iii)
	shall have the independent and separate right to demand payment of each Parallel Debt in its own name (including, without limitation, through any suit, execution, enforcement of security, recovery of guarantees and applications for and voting in any kind of insolvency proceeding).

	(d)
	The Parallel Debt of an Obligor shall be:

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		(i)
	decreased to the extent that its Corresponding Debt has been irrevocably and unconditionally paid or discharged; and

		(ii)
	increased to the extent that its Corresponding Debt has increased,

and the Corresponding Debt of an Obligor shall be:
		(A)
	decreased to the extent that its Parallel Debt has been irrevocably and unconditionally paid or discharged; and

		(B)
	increased to the extent that its Parallel Debt has increased,

in each case provided that the Parallel Debt of an Obligor shall never exceed its Corresponding Debt.
	(e)
	All amounts received or recovered by the Security Trustee in connection with this Clause 27.2 (Parallel Debt (Covenant to pay the Security Trustee)) to the extent permitted by applicable law, shall be applied in accordance with Clause 19 (Application of sums received).

	(f)
	This Clause 27.2 (Parallel Debt (Covenant to pay the Security Trustee)) shall apply, with any necessary modifications, to each Finance Document.

	27.3
	No independent power

The Secured Parties shall not have any independent power to enforce, or have recourse to, any Security Interest created by any of the Finance Documents or to exercise any rights or powers arising under the Finance Documents creating the Security Interest except through the Security Trustee.
	27.4
	Application of receipts

	(a)
	Except as expressly stated to the contrary in any Finance Document, any moneys which the Security Trustee receives or recovers and which are, or are attributable to, Security Property (for the purposes of this Clause 27 (The Security Trustee), the "Recoveries") shall be transferred to the Agent for application in accordance with Clause 19 (Application of sums received).

	(b)
	Paragraph (a) above is without prejudice to the rights of the Security Trustee, any receiver:

		(i)
	under Clause 26.10 (Lenders' indemnity to the Agent) to be indemnified out of the Charged Property; and

		(ii)
	under any Finance Document to credit any moneys received or recovered by it to any suspense account.

	(c)
	Any transfer by the Security Trustee to the Agent in accordance with paragraph (a) above shall be a good discharge, to the extent of that payment, by the Security Trustee.

	(d)
	The Security Trustee is under no obligation to make the payments to the Agent under paragraph (a) of this Clause 27.4 (Application of receipts) in the same currency as that in which the obligations and liabilities owing to the relevant Secured Party are denominated.

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	27.5
	Deductions from receipts

	(a)
	Before transferring any moneys to the Agent under Clause 27.4 (Application of receipts), the Security Trustee may, in its discretion:

		(i)
	deduct any sum then due and payable under this Agreement or any other Finance Documents to the Security Trustee or any receiver and retain that sum for itself or, as the case may require, pay it to another person to whom it is then due and payable;

		(ii)
	set aside by way of reserve amounts required to meet, and to make and pay, any deductions and withholdings (on account of Taxes or otherwise) which it is or may be required by any applicable law to make from any distribution or payment made by it under this Agreement; and

		(iii)
	pay all Taxes which may be assessed against it in respect of any of the Security Property, or as a consequence of performing its duties, or by virtue of its capacity as Security Trustee under any of the Finance Documents or otherwise (other than in connection with its remuneration for performing its duties under this Agreement).

	(b)
	For the purposes of paragraph (i) above, if the Security Trustee has become entitled to require a sum to be paid to it on demand, that sum shall be treated as due and payable, even if no demand has yet been served.

	27.6
	Prospective liabilities

Following acceleration of any Security Interest, the Security Trustee may, in its discretion, or at the request of the Agent, hold any Recoveries in an interest bearing suspense or impersonal account(s) in the name of the Security Trustee with such financial institution (including itself) and for so long as the Security Trustee shall think fit (the interest being credited to the relevant account) for later payment to the Agent for application in accordance with Clause 19 (Application of sums received) in respect of:
	(a)
	any sum to the Security Trustee, any receiver; and

	(b)
	any part of the Secured Liabilities,

that the Security Trustee or, in the case of paragraph (b) only, the Agent, reasonably considers, in each case, might become due or owing at any time in the future.
	27.7
	Investment of proceeds

Prior to the payment of the proceeds of the Recoveries to the Agent for application in accordance with Clause 19 (Application of sums received) the Security Trustee may, in its discretion, hold all or part of those proceeds in an interest bearing suspense or impersonal account(s) in the name of the Security Trustee with such financial institution (including itself) and for so long as the Security Trustee shall think fit (the interest being credited to the relevant account) pending the payment from time to time of those moneys in the Security Trustee's discretion in accordance with the provisions of this Clause 27.7 (Investment of proceeds).
	27.8
	Instructions to Security Trustee and exercise of discretion

	(a)
	Subject to paragraph (d) below, the Security Trustee shall act in accordance with any instructions given to it by the Agent (acting on the instructions of SACE and the Majority 

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Lenders or all the Lenders (as appropriate)) or, if so instructed by the Agent (acting on the instructions of SACE and the Majority Lenders or all the Lenders (as appropriate)), refrain from exercising any right, power, authority or discretion vested in it as Security Trustee and shall be entitled to assume that:
		(i)
	any instructions received by it from the Agent (acting on the instructions of SACE and the Majority Lenders or all the Lenders (as appropriate)) are duly given in accordance with the terms of the Finance Documents; and

		(ii)
	unless it has received actual notice of revocation, that those instructions or directions have not been revoked.

	(b)
	The Security Trustee shall be entitled to request instructions, or clarification of any direction, from the Agent (acting on the instructions of SACE and the Majority Lenders or all the Lenders (as appropriate)) as to whether, and in what manner, it should exercise or refrain from exercising any rights, powers, authorities and discretions and the Security Trustee may refrain from acting unless and until those instructions or clarification are received by it.

	(c)
	Any instructions given to the Security Trustee by the Agent (acting on the instructions of SACE and the Majority Lenders or all the Lenders (as appropriate)) shall override any conflicting instructions given by any other Party.

	(d)
	Paragraph (a) above shall not apply:

		(i)
	where a contrary indication appears in this Agreement;

		(ii)
	where this Agreement requires the Security Trustee to act in a specified manner or to take a specified action;

		(iii)
	in respect of any provision which protects the Security Trustee's own position in its personal capacity as opposed to its role of Security Trustee for the Secured Parties including, without limitation, the provisions set out in Clauses 27.10 (Security Trustee's discretions) to Clause 27.28 (Full freedom to enter into transactions); and

		(iv)
	in respect of the exercise of the Security Trustee's discretion to exercise a right, power or authority under any of Clause 27.5 (Deductions from receipts) and Clause 27.6 (Prospective liabilities).

	27.9
	Security Trustee's Actions

Without prejudice to the provisions of Clause 27.4 (Application of receipts), the Security Trustee may (but shall not be obliged to), in the absence of any instructions to the contrary, take such action in the exercise of any of its powers and duties under the Finance Documents as it considers in its discretion to be appropriate.
	27.10
	Security Trustee's discretions

	(a)
	The Security Trustee may:

		(i)
	assume (unless it has received actual notice to the contrary from the Agent) that (i) no Event of Default has occurred and no Obligor is in breach of or default under its obligations under any of the Finance Documents and (ii) any right, power, authority or discretion vested by any Finance Document in any person has not been exercised;

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		(ii)
	assume that any notice or request made by the Borrower (other than a Drawdown Notice) is made on behalf of and with the consent and knowledge of all the Obligors;

		(iii)
	if it receives any instructions or directions to take any action in relation to a Security Interest under the Finance Documents, assume that all applicable conditions under the Finance Documents for taking that action have been satisfied;

		(iv)
	engage, pay for and rely on the advice or services of any legal advisers, accountants, tax advisers, surveyors or other experts (whether obtained by the Security Trustee or by any other Secured Party) whose advice or services may at any time seem necessary, expedient or desirable;

		(v)
	act in relation to the Finance Documents through its personnel and agents;

		(vi)
	disclose to any other Party any information it reasonably believes it has received as Security Trustee under this Agreement;

		(vii)
	rely upon any communication or document believed by it to be genuine and, as to any matters of fact which might reasonably be expected to be within the knowledge of a Secured Party or an Obligor, upon a certificate signed by or on behalf of that person; and

		(viii)
	refrain from acting in accordance with the instructions of any Party (including bringing any legal action or proceeding arising out of or in connection with the Finance Documents) until it has received any indemnification and/or security that it may in its discretion require (whether by way of payment in advance or otherwise) for all costs, losses and liabilities which it may incur in so acting.

	(b)
	Notwithstanding any other provision of any Finance Document to the contrary, the Security Trustee is not obliged to do or omit to do anything if it would or might, in its reasonable opinion, constitute a breach of any law or regulation or a breach of a fiduciary duty or duty of confidentiality.

	27.11
	Security Trustee's obligations

The Security Trustee shall promptly:
	(a)
	copy to the Agent the contents of any notice or document received by it from any Obligor under any Finance Document;

	(b)
	forward to a Party the original or a copy of any document which is delivered to the Security Trustee for that Party by any other Party provided that, except where a Finance Document expressly provides otherwise, the Security Trustee is not obliged to review or check the adequacy, accuracy or completeness of any document it forwards to another Party; and

	(c)
	inform the Agent of the occurrence of any Event of Default or any default by an Obligor in the due performance of or compliance with its obligations under any Finance Document of which the Security Trustee has received notice from any other party to this Agreement.

	27.12
	Excluded obligations

Notwithstanding anything to the contrary expressed or implied in the Finance Documents, the Security Trustee shall not:

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	(a)
	be bound to enquire as to (i) whether or not any Event of Default has occurred or (ii) the performance, default or any breach by an Obligor of its obligations under any of the Finance Documents;

	(b)
	be bound to account to any other Party for any sum or the profit element of any sum received by it for its own account;

	(c)
	be bound to disclose to any other person (including but not limited to any Secured Party) (i) any confidential information or (ii) any other information if disclosure would, or might in its reasonable opinion, constitute a breach of any law or be a breach of fiduciary duty;

	(d)
	have or be deemed to have any relationship of trust or agency with, any Obligor.

	27.13
	Responsibility for documentation

None of the Security Trustee, any receiver shall accept responsibility or be liable for:
	(a)
	the adequacy, accuracy or completeness of any information (whether oral or written) supplied by the Security Trustee or any other person in or in connection with any Finance Document or the transactions contemplated in the Finance Documents, or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document;

	(b)
	the legality, validity, effectiveness, adequacy or enforceability of any Finance Document, the Security Property or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document or the Security Property;

	(c)
	any losses to any person or any liability arising as a result of taking or refraining from taking any action in relation to any of the Finance Documents, the Security Property or otherwise, whether in accordance with an instruction from the Agent or otherwise unless directly caused by its Gross Negligence or wilful misconduct;

	(d)
	the exercise of, or the failure to exercise, any judgment, discretion or power given to it by or in connection with any of the Finance Documents, the Security Property or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with, the Finance Documents or the Security Property; or

	(e)
	any shortfall which arises on the enforcement or realisation of the Security Property.

	27.14
	Exclusion of liability

	(a)
	Without limiting Clause 27.15 (No proceedings), none of the Security Trustee or any receiver will be liable for any action taken by it or not taken by it under or in connection with any Finance Document or any Security Interest, unless directly caused by its Gross Negligence or wilful misconduct.

	(b)
	The Security Trustee will not be liable for any delay (or any related consequences) in crediting an account with an amount required under the Finance Documents to be paid by it if it has taken all necessary steps as soon as reasonably practicable to comply with the regulations or operating procedures of any recognised clearing or settlement system used by it for that purpose.

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	(c)
	Nothing in this Agreement shall oblige the Security Trustee to carry out any "know your customer" or other checks in relation to any person on behalf of any Lender and each Lender confirms to the Security Trustee that it is solely responsible for any such checks it is required to carry out and that it may not rely on any statement in relation to such checks made by the Security Trustee.

	27.15
	No proceedings

No Party (other than the Security Trustee or that receiver) may take any proceedings against any officer, employee or agent of the Security Trustee or a receiver in respect of any claim it might have against the Security Trustee or a receiver in respect of any act or omission of any kind by that officer, employee or agent in relation to any Finance Document or any Security Property and any officer, employee or agent of the Security Trustee or a receiver may rely on this Clause subject to Clause 36.4 (Third party rights) and the provisions of the Third Parties Rights Act.
	27.16
	Lenders' indemnity to the Security Trustee

Each Lender shall (in proportion to its share of the Total Commitments or, if the Total Commitments are then zero, to its share of the Total Commitments immediately prior to their reduction to zero) indemnify the Security Trustee and every receiver within three Business Days of demand, against any cost, loss or liability incurred by any of them (otherwise than by reason of the relevant Security Trustee's or receiver's Gross Negligence or wilful misconduct) in acting as Security Trustee or receiver under the Finance Documents (unless the relevant Security Trustee or receiver has been reimbursed by an Obligor pursuant to a Finance Document).
	27.17
	Own responsibility

Without affecting the responsibility of any Obligor for information supplied by it or on its behalf in connection with any Finance Document, each Creditor Party confirms to the Security Trustee that it has been, and will continue to be, solely responsible for making its own independent appraisal and investigation of all risks arising under or in connection with any Finance Document including but not limited to:
	(a)
	the financial condition, status and nature of each member of the Group;

	(b)
	the legality, validity, effectiveness, adequacy and enforceability of any Finance Document, the Security Property and any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document or the Security Property;

	(c)
	whether that Creditor Party has recourse, and the nature and extent of that recourse, against any Party or any of its respective assets under or in connection with any Finance Document, the Security Property, the transactions contemplated by the Finance Documents or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document or the Security Property;

	(d)
	the adequacy, accuracy and/or completeness of any information provided by the Security Trustee or by any other person under or in connection with any Finance Document, the transactions contemplated by any Finance Document or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document; and

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	(e)
	the right or title of any person in or to, or the value or sufficiency of any part of the Charged Property, the priority of any of the Security Interests created by the Finance Documents or the existence of any Security Interest affecting the Charged Property,

and each Creditor Party warrants to the Security Trustee that it has not relied on and will not at any time rely on the Security Trustee in respect of any of these matters.
	27.18
	No responsibility to perfect Security Interests

The Security Trustee shall not be liable for any failure to:
	(a)
	require the deposit with it of any deed or document certifying, representing or constituting the title of any Obligor to any of the Charged Property;

	(b)
	obtain any licence, consent or other authority for the execution, delivery, legality, validity, enforceability or admissibility in evidence of any of the Finance Documents or any Security Interest;

	(c)
	register, file or record or otherwise protect any Security Interests (or the priority of any of Security Interest) under any applicable laws in any jurisdiction or to give notice to any person of the execution of any of the Finance Documents or of any Security Interest;

	(d)
	take, or to require any of the Obligors to take, any steps to perfect its title to any of the Charged Property or to render any Security Interest effective or to secure the creation of any ancillary security under the laws of any jurisdiction; or

	(e)
	require any further assurances in relation to any of the Finance Documents creating the Security Interests.

	27.19
	Insurance by Security Trustee

	(a)
	The Security Trustee shall not be under any obligation to insure any of the Charged Property, to require any other person to maintain any insurance or to verify any obligation to arrange or maintain insurance contained in the Finance Documents. The Security Trustee shall not be responsible for any loss which may be suffered by any person as a result of the lack of or inadequacy of any such insurance.

	(b)
	Where the Security Trustee is named on any insurance policy as an insured party, it shall not be responsible for any loss which may be suffered by reason of, directly or indirectly, its failure to notify the insurers of any material fact relating to the risk assumed by such insurers or any other information of any kind, unless the Agent shall have requested it to do so in writing and the Security Trustee shall have failed to do so within fourteen (14) days after receipt of that request.

	27.20
	Custodians and nominees

The Security Trustee may appoint and pay any person to act as a custodian or nominee on any terms in relation to any assets of the trust as the Security Trustee may determine, including for the purpose of depositing with a custodian this Agreement or any document relating to the trust created under this Agreement and the Security Trustee shall not be responsible for any loss, liability, expense, demand, cost, claim or proceedings incurred by reason of the misconduct, omission or default on the part of any person appointed by it under this Agreement or be bound to supervise the proceedings or acts of any person.

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	27.21
	Acceptance of title

The Security Trustee shall be entitled to accept without enquiry, and shall not be obliged to investigate, any right and title that any of the Obligors may have to any of the Charged Property and shall not be liable for or bound to require any Obligor to remedy any defect in its right or title.
	27.22
	Refrain from illegality

Notwithstanding anything to the contrary expressed or implied in the Finance Documents, the Security Trustee may refrain from doing anything which in its opinion will or may be contrary to any relevant law, directive or regulation of any jurisdiction and the Security Trustee may do anything which is, in its opinion, necessary to comply with any such law, directive or regulation.
	27.23
	Business with the Group

The Security Trustee may accept deposits from, lend money to, and generally engage in any kind of banking or other business with, any member of the Group.
	27.24
	Winding up of trust

If the Security Trustee, with the approval of the Agent determines that (a) all of the Secured Liabilities and all other obligations secured by the Finance Documents creating the Security Interests have been fully and finally discharged and (b) none of the Secured Parties is under any commitment, obligation or liability (actual or contingent) to make advances or provide other financial accommodation to any Obligor pursuant to the Finance Documents:
	(a)
	the trusts set out in this Agreement shall be wound up and the Security Trustee shall release, without recourse or warranty, all of the Security Interests and the rights of the Security Trustee under each of the Finance Documents creating the Security Interests; and

	(b)
	any Retiring Security Trustee shall release, without recourse or warranty, all of its rights under each of the Finance Documents creating the Security Interests.

	27.25
	Powers supplemental

The rights, powers and discretions conferred upon the Security Trustee by this Agreement shall be supplemental to the Trustee Act 1925 and the Trustee Act 2000 and in addition to any which may be vested in the Security Trustee by general law or otherwise.
	27.26
	Trustee division separate

	(a)
	In acting as trustee for the Secured Parties, the Security Trustee shall be regarded as acting through its trustee division which shall be treated as a separate entity from any of its other divisions or departments.

	(b)
	If information is received by another division or department of the Security Trustee, it may be treated as confidential to that division or department and the Security Trustee shall not be deemed to have notice of it nor shall it be obliged to disclose such information to any Party.

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	27.27
	Disapplication

In addition to its rights under or by virtue of this Agreement and the other Finance Documents, the Security Trustee shall have all the rights conferred on a trustee by the Trustee Act 1925, the Trustee Delegation Act 1999, the Trustee Act 2000 and by general law or otherwise, provided that:
	(a)
	section 1 of the Trustee Act 2000 shall not apply to the duties of the Security Trustee in relation to the trusts constituted by this Agreement and the other Finance Documents; and

	(b)
	where there are any inconsistencies between (i) the Trustee Acts 1925 and 2000 and (ii) the provisions of this Agreement and any other Finance Document, the provisions of this Agreement and any other Finance Document shall, to the extent allowed by law, prevail and, in the case of any inconsistency with the Trustee Act 2000, such provisions shall constitute a restriction or exclusion for the purposes of the Trustee Act 2000.

	27.28
	Full freedom to enter into transactions

Notwithstanding any rule of law or equity to the contrary, the Security Trustee shall be absolutely entitled:
	(a)
	to enter into and arrange banking, derivative, investment and/or other transactions of every kind with or affecting any Obligor or any person who is party to, or referred to in, a Finance Document (including, but not limited to, any interest or currency swap or other transaction, whether related to this Agreement or not, and acting as syndicate agent and/or security trustee for, and/or participating in, other facilities to such Obligor or any person who is party to, or referred to in, a Finance Document);

	(b)
	to deal in and enter into and arrange transactions relating to:

		(i)
	any securities issued or to be issued by any Obligor or any other person; or

		(ii)
	any options or other derivatives in connection with such securities; and

	(c)
	to provide advice or other services to the Borrower or any person who is a party to, or referred to in, a Finance Document,

and, in particular, each Servicing Party shall be absolutely entitled, in proposing, evaluating, negotiating, entering into and arranging all such transactions and in connection with all other matters covered by paragraphs (a), (b) and (c) above, to use (subject only to insider dealing legislation) any information or opportunity, howsoever acquired by it, to pursue its own interests exclusively, to refrain from disclosing such dealings, transactions or other matters or any information acquired in connection with them and to retain for its sole benefit all profits and benefits derived from the dealings transactions or other matters.
	27.29
	Resignation of the Security Trustee

	(a)
	The Security Trustee may resign and appoint one of its affiliates as successor by giving notice to the Borrower and each Secured Party.

	(b)
	Alternatively the Security Trustee may resign by giving notice to the other Parties in which case the Majority Lenders (with the prior consent of SACE) may appoint a successor Security Trustee.

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	(c)
	If the Majority Lenders have not appointed a successor Security Trustee in accordance with paragraph (b) above within 30 days after the notice of resignation was given, the Security Trustee (after consultation with the Agent and SACE) may appoint a successor Security Trustee.

	(d)
	The retiring Security Trustee (the "Retiring Security Trustee") shall, at its own cost, make available to the successor Security Trustee such documents and records and provide such assistance as the successor Security Trustee may reasonably request for the purposes of performing its functions as Security Trustee under the Finance Documents.

	(e)
	The Security Trustee's resignation notice shall only take effect upon (i) the appointment of a successor and (ii) the transfer, by way of a document expressed as a deed, of all of the Security Property to that successor.

	(f)
	Upon the appointment of a successor, the Retiring Security Trustee shall be discharged, by way of a document executed as a deed, from any further obligation in respect of the Finance Documents (other than its obligations under paragraph (b) of Clause 27.24 (Winding up of trust) and under paragraph (d) above) but shall, in respect of any act or omission by it whilst it was the Security Trustee, remain entitled to the benefit of Clause 27 (The Security Trustee), Clause 27.5 (Deductions from receipts), Clause 27.16 (Lenders' indemnity to the Security Trustee) and any other provisions of a Finance Document which are expressed to limit or exclude its liability in acting as Security Trustee. Its successor and each of the other Parties shall have the same rights and obligations amongst themselves as they would have had if that successor had been an original Party.

	(g)
	The Majority Lenders may, by notice to the Security Trustee, require it to resign in accordance with paragraph (b) above. In this event, the Security Trustee shall resign in accordance with paragraph (b) above but the cost referred to in paragraph (d) above shall be for the account of the Borrower.

	(h)
	The consent of the Borrower (or any other Obligor) is not required for an assignment or transfer of rights and/or obligations by the Security Trustee.

	(i)
	The appointment of a successor Security Trustee pursuant to this Clause 27.29 (Resignation of the Security Trustee) shall be subject to compliance with all necessary "know your customer" requirements of the Lenders.

	27.30
	Delegation

	(a)
	Each of the Security Trustee or any receiver may, at any time, delegate by power of attorney or otherwise to any person for any period, all or any of the rights, powers and discretions vested in it by any of the Finance Documents.

	(b)
	That delegation may be made upon any terms and conditions and subject to any restrictions that the Security Trustee or that receiver (as the case may be) may, in its discretion, think fit in the interests of the Secured Parties and it shall not be bound to supervise, or be in any way responsible for any loss incurred by reason of any misconduct or default on the part of any such delegate.

	27.31
	Additional Security Trustee

	(a)
	The Security Trustee may at any time appoint (and subsequently remove) any person to act as a separate trustee or as a co-trustee jointly with it:

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		(i)
	if it considers that appointment to be in the interests of the Secured Parties; or

		(ii)
	for the purposes of conforming to any legal requirements, restrictions or conditions which the Security Trustee deems to be relevant; or

		(iii)
	for obtaining or enforcing any judgment in any jurisdiction,

and the Security Trustee shall give prior notice to the Borrower and the Agent of that appointment.
	(b)
	Any person so appointed shall have the rights, powers and discretions (not exceeding those conferred on the Security Trustee by this Agreement) and the duties and obligations that are conferred or imposed by the instrument of appointment.

	(c)
	The remuneration that the Security Trustee may pay to that person, and any costs and expenses (together with any applicable VAT) incurred by that person in performing its functions pursuant to that appointment shall, for the purposes of this Agreement, be treated as costs and expenses incurred by the Security Trustee.

	28 
	Conduct of business by the Creditor Parties

	28.1
	No provision of this Agreement will:

	(a)
	interfere with the right of any Creditor Party to arrange its affairs (Tax or otherwise) in whatever manner it thinks fit;

	(b)
	oblige any Creditor Party to investigate or claim any credit, relief, remission or repayment available to it or the extent, order and manner of any claim; or

	(c)
	oblige any Creditor Party to disclose any information relating to its affairs (Tax or otherwise) or any computations in respect of Tax.

	29 
	Sharing among the Creditor Parties

	29.1
	Payments to Creditor Parties

If a Creditor Party (a "Recovering Creditor Party") receives or recovers any amount from an Obligor other than in accordance with this Clause 29 (Sharing among the Creditor Parties) and applies that amount to a payment due under the Finance Documents then:
	(a)
	the Recovering Creditor Party shall, within three (3) Business Days, notify details of the receipt or recovery to the Agent;

	(b)
	the Agent shall determine whether the receipt or recovery is in excess of the amount the Recovering Creditor Party would have been paid had the receipt or recovery been received or made by the Agent and distributed in accordance with Clause 19 (Application of sums received) and Clause 30 (Payment Mechanics), without taking account of any Tax which would be imposed on the Agent in relation to the receipt, recovery or distribution; and

	(c)
	the Recovering Creditor Party shall, within three (3) Business Days of demand by the Agent, pay to the Agent an amount (the "Sharing Payment") equal to such receipt or recovery less any amount which the Agent determines may be retained by the Recovering Creditor Party as 

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its share of any payment to be made, in accordance with Clause 19 (Application of sums received) and Clause 30 (Payment Mechanics).
	29.2
	Redistribution of payments

The Agent shall treat the Sharing Payment as if it had been paid by the relevant Obligor and distribute it between the Creditor Parties (other than the Recovering Creditor Party) in accordance with Clause 19 (Application of sums received) and Clause 30 (Payment Mechanics).
	29.3
	Recovering Creditor Party's rights

	(a)
	On a distribution by the Agent under Clause 29.2 (Redistribution of payments), the Recovering Creditor Party will, if possible under the relevant applicable laws, be subrogated to the rights of the Creditor Parties which have shared in the redistribution.

	(b)
	If and to the extent that the Recovering Creditor Party is not able to rely on its rights under paragraph (a) of Clause 29.3 (Recovering Creditor Party's rights), the relevant Obligor shall be liable to the Recovering Creditor Party for a debt equal to the Sharing Payment which is immediately due and payable.

	29.4
	Reversal of redistribution

If any part of the Sharing Payment received or recovered by a Recovering Creditor Party becomes repayable and is repaid by that Recovering Creditor Party, then:
	(a)
	each Lender which has received a share of the relevant Sharing Payment pursuant to Clause 29.2 (Redistribution of payments) shall, upon request of the Agent, pay to the Agent for account of that Recovering Creditor Party an amount equal to the appropriate part of its share of the Sharing Payment (together with an amount as is necessary to reimburse that Recovering Creditor Party for its proportion of any interest on the Sharing Payment which that Recovering Creditor Party is required to pay); and

	(b)
	that Recovering Creditor Party's rights of subrogation in respect of any reimbursement shall be cancelled and the relevant Obligor will be liable to the reimbursing Creditor Party for the amount so reimbursed.

	29.5
	Exceptions

	(a)
	This Clause 29 (Sharing among the Creditor Parties) shall not apply to the extent that the Recovering Creditor Party would not, after making any payment pursuant to this Clause, have a valid and enforceable claim against the relevant Obligor.

	(b)
	A Recovering Creditor Party is not obliged to share with any other Creditor Party any amount which the Recovering Creditor Party has received or recovered as a result of taking legal or arbitration proceedings, if:

		(i)
	it notified that other Creditor Party of the legal or arbitration proceedings; and

		(ii)
	that other Creditor Party had an opportunity to participate in those legal or arbitration proceedings but did not do so as soon as reasonably practicable having received notice and did not take separate legal or arbitration proceedings.

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	(c)
	Following full indemnification by SACE of the SACE Agent (on behalf of the Lenders) under the SACE Insurance Policy, the provisions relating to the sharing of proceeds among the Creditor Parties in this Clause 29 (Sharing among the Creditor Parties) shall not apply to any payment made to SACE by a Lender or the Borrower following a payment by SACE to any Lender under the SACE Insurance Policy.

	30 
	Payment Mechanics

	30.1
	Payments to the Agent

	(a)
	On each date on which an Obligor or a Lender is required to make a payment under a Finance Document, that Obligor or Lender shall make the same available to the Agent (unless a contrary indication appears in a Finance Document) for value on the due date at the time and in such funds specified by the Agent as being customary at the time for settlement of transactions in the relevant currency in the place of payment.

	(b)
	Payment shall be made to such account in the principal financial centre of the country of that currency (or, in relation to Euro, in a principal financial centre in a Participating Member State or London) with such bank as the Agent specifies.

	(c)
	Payment shall be made before 11.00 a.m. New York time or 11.00 a.m. Paris time (in the case of a payment in Euro).

	(d)
	For each payment by the Borrower, it shall notify the Agent on the third Business Day prior to the due date for payment that it will issue to its bank (which shall be named in such notification) to make the payment.

	30.2
	Distributions by the Agent

Each payment received by the Agent under the Finance Documents for another Party shall, subject to Clause 30.3 (Distributions to an Obligor), Clause 30.4 (Clawback) be made available by the Agent as soon as practicable after receipt to the Party entitled to receive payment in accordance with this Agreement (in the case of a Lender, for the account of its Facility Office), to such account as that Party may notify to the Agent by not less than five (5) Business Days' notice with a bank in the principal financial centre of the country of that currency (or, in relation to Euro, in the principal financial centre of a Participating Member State or London).
	30.3
	Distributions to an Obligor

The Agent may in accordance with Clause 22 (Set-Off) apply any amount received by it for that Obligor in or towards payment (on the date and in the currency and funds of receipt) of any amount due from that Obligor under the Finance Documents or in or towards purchase of any amount of any currency to be so applied.
	30.4
	Clawback

	(a)
	Where a sum is to be paid to the Agent under the Finance Documents for another Party, the Agent is not obliged to pay that sum to that other Party (or to enter into or perform any related exchange contract) until it has been able to establish to its satisfaction that it has actually received that sum.

	(b)
	If the Agent pays an amount to another Party and it proves to be the case that the Agent had not actually received that amount, then the Party to whom that amount (or the proceeds of 

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any related exchange contract) was paid by the Agent shall on demand refund the same to the Agent together with interest on that amount from the date of payment to the date of receipt by the Agent, calculated by the Agent to reflect its cost of funds.
	30.5
	No set-off by Obligors

All payments to be made by an Obligor under the Finance Documents shall be calculated and be made without (and free and clear of any deduction for) set-off or counterclaim.
	30.6
	Business Days

	(a)
	Any payment which is due to be made on a day that is not a Business Day shall be made on the next Business Day in the same calendar month (if there is one) or the preceding Business Day (if there is not).

	(b)
	During any extension of the due date for payment of any principal or unpaid sum under this Agreement interest is payable on the principal or unpaid sum at the rate payable on the original due date.

	30.7
	Currency of account

	(a)
	Subject to paragraphs (b) and (c) of Clause 30.7 (Currency of account) Dollars is the currency of account and payment for any sum from an Obligor under any Finance Document.

	(b)
	Each payment in respect of costs, expenses or Taxes shall be made in the currency in which the costs, expenses or taxes are incurred.

	(c)
	Any amount expressed to be payable in a currency other than Dollars shall be paid in that other currency.

	30.8
	Change of currency

	(a)
	Unless otherwise prohibited by law, if more than one currency or currency unit are at the same time recognised by the central bank of any country as the lawful currency of that country, then:

		(i)
	any reference in the Finance Documents to, and any obligations arising under the Finance Documents in, the currency of that country shall be translated into, or paid in, the currency or currency unit of that country designated by the Agent (after consultation with the Lenders and the Borrower); and

		(ii)
	any translation from one currency or currency unit to another shall be at the official rate of exchange recognised by the central bank for the conversion of that currency or currency unit into the other, rounded up or down by the Agent (acting reasonably).

	(b)
	If a change in any currency of a country occurs, this Agreement will, to the extent the Agent (acting reasonably and after consultation with the Lenders and the Borrower) specifies to be necessary, be amended to comply with any generally accepted conventions and market practice in the Relevant Interbank Market and otherwise to reflect the change in currency.

	30.9
	Distributions under the Interest Make-Up Agreement

Each payment received by the Agent under the Interest Make-Up Agreement for a Lender shall be made available by the Agent as soon as practicable after receipt to the Lender entitled to 

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receive such payment in accordance with this Agreement (for the account of its Facility Office), to such account as that Lender may notify to the Agent by not less than five (5) Business Days' notice with a bank in the principal financial centre of the country of that currency (or, in relation to Euro, in the principal financial centre of a Participating Member State or London).
	31 
	Variations and Waivers

	31.1
	Variations, waivers etc. by Majority Lenders

Subject to Clause 31.2 (Variations, waivers etc. requiring agreement of all Lenders), a document shall be effective to vary, waive, amend, suspend or limit any provision of a Finance Document, or any Creditor Party's rights or remedies under such a provision or the general law, only if the document is signed, or specifically agreed to by email, by the Borrower, by the Agent on behalf of the Majority Lenders, by the Agent and the Security Trustee in their own rights, and, if the document relates to a Finance Document to which an Obligor is party, by an Obligor (provided that no amendment or variation may be made to this Agreement or any other Finance Document without the consent of the Italian Authorities); provided, further, that no amendment or variation may be made before the date falling ten Business Days after the terms of that amendment or variation have been notified by the Agent to the Lenders. The Agent shall notify the Lenders reasonably promptly of any amendments or variations proposed by the Borrower.
	31.2
	Variations, waivers etc. requiring agreement of all Lenders

However, as regards the following, Clause 31.1 (Variations, waivers etc. by Majority Lenders) applies as if the words "by the Agent on behalf of the Majority Lenders" were replaced by the words "by or on behalf of every Lender":
	(a)
	a reduction in the Margin;

	(b)
	a postponement to the date for, or a reduction in the amount of, any payment of principal, interest, fees, commission or other sum payable under this Agreement;

	(c)
	an increase in or extension of any Lender's Commitment under a Tranche or any requirement that a cancellation of Commitments under any Tranche reduces the Commitments rateably under the Loan;

	(d)
	a change to the definition of "Majority Lenders";

	(e)
	a change to Clause 2 (Facility), Clause 6 (Interest), Clause 24 (Changes to the Lenders) or this Clause 31 (Variations and Waivers);

	(f)
	any release of, or material variation to, a Security Interest, guarantee, indemnity or subordination arrangement set out in a Finance Document; and

	(g)
	any other change or matter as regards which this Agreement or another Finance Document expressly provides that each Lender's consent is required.

	31.3
	Exclusion of other or implied variations

Except for a document which satisfies the requirements of Clauses 31.1 (Variations, waivers etc. by Majority Lenders) and 31.2 (Variations, waivers etc. requiring agreement of all Lenders), no document, and no act, course of conduct, failure or neglect to act, delay or acquiescence 

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on the part of the Creditor Parties or any of them (or any person acting on behalf of any of them) shall result in the Creditor Parties or any of them (or any person acting on behalf of any of them) being taken to have varied, waived, suspended or limited, or being precluded (permanently or temporarily) from enforcing, relying on or exercising:
	(a)
	a provision of this Agreement or another Finance Document; or

	(b)
	an Event of Default; or

	(c)
	a breach by the Borrower or an Obligor of an obligation under a Finance Document or the general law; or

	(d)
	any right or remedy conferred by any Finance Document or by the general law,

and there shall not be implied into any Finance Document any term or condition requiring any such provision to be enforced, or such right or remedy to be exercised, within a certain or reasonable time.
	32 
	Notices

	32.1
	General

Unless otherwise specifically provided, any notice under or in connection with any Finance Document shall be given by letter or fax; and references in the Finance Documents to written notices, notices in writing and notices signed by particular persons shall be construed accordingly.
	32.2
	Addresses for communications

A notice shall be sent:
	(a)
	to the Borrower:

7665 Corporate Center Drive
Miami FL33126, USA
Attention: Chief Financial Officer and General Counsel
Email: [*] / [*]
	(b)
	to a Lender:

At the address below its name in Schedule 1 (Lenders and Commitments) or (as the case may require) in the relevant Transfer Certificate.
	(c)
	to the Agent or the SACE Agent:

12, Place des Etats-Unis
CS 70052
92547 Montrouge Cedex, France
Fax No. (33) 1 41 89 19 34
Attn: Shipping Middle Office – Ms Clémentine Costil and Romy Roussel
or to such other address as the relevant party may notify the Agent or, if the relevant party is the Agent, the Borrower and the Lenders.

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	32.3
	Effective date of notices

Subject to Clauses 32.4 (Service outside business hours) and 32.5 (Electronic communication), a notice which is delivered personally or posted shall be deemed to be served, and shall take effect, at the time when it is delivered.
	32.4
	Service outside business hours

However, if under Clause 32.3 (Effective date of notices) a notice would be deemed to be served:
	(a)
	on a day which is not a business day in the place of receipt; or

	(b)
	on such a business day, but after 6 p.m. local time;

the notice shall (subject to Clause 32.5 (Electronic communication)) be deemed to be served, and shall take effect, at 9 a.m. on the next day which is such a business day.
	32.5
	Electronic communication

	(a)
	Any communication to be made between any two Parties under or in connection with the Finance Documents may be made by electronic mail or other electronic means, to the extent that those two Parties agree that, unless and until notified to the contrary, this is to be an accepted form of communication and if those two Parties:

		(i)
	notify each other in writing of their electronic mail address and/or any other information required to enable the sending and receipt of information by that means; and

		(ii)
	notify each other of any change to their address or any other such information supplied by them by not less than five Business Days' notice.

	(b)
	Any electronic communication made between those two Parties will be effective only when actually received in readable form and in the case of any electronic communication made by a Party to the Agent only if it is addressed in such a manner as the Agent shall specify for this purpose.

	(c)
	Any electronic communication which becomes effective, in accordance with paragraph (b) above, after 5.00 p.m. in the place of receipt shall be deemed only to become effective on the following day.

	32.6
	Illegible notices

Clauses 32.3 (Effective date of notices) and 32.4 (Service outside business hours) do not apply if the recipient of a notice notifies the sender within 1 hour after the time at which the notice would otherwise be deemed to be served that the notice has been received in a form which is illegible in a material respect.
	32.7
	Valid notices

A notice under or in connection with a Finance Document shall not be invalid by reason that its contents or the manner of serving it do not comply with the requirements of this Agreement or, where appropriate, any other Finance Document under which it is served if:

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	(a)
	the failure to serve it in accordance with the requirements of this Agreement or other Finance Document, as the case may be, has not caused any party to suffer any significant loss or prejudice; or

	(b)
	in the case of incorrect and/or incomplete contents, it should have been reasonably clear to the party on which the notice was served what the correct or missing particulars should have been.

	32.8
	English language

Any notice under or in connection with a Finance Document shall be in English.
	32.9
	Meaning of "notice"

In this Clause 32 (Notices), "notice" includes any demand, consent, authorisation, approval, instruction, waiver or other communication.
	33 
	Confidentiality

	33.1
	Confidential Information

Each Creditor Party agrees to keep all Confidential Information confidential and not to disclose it to anyone, save to the extent permitted by Clause 33.2 (Disclosure of Confidential Information) and to ensure that all Confidential Information is protected with security measures and a degree of care that would apply to its own confidential information.
	33.2
	Disclosure of Confidential Information

Any Creditor Party may disclose:
	(a)
	to the Italian Authorities, to any of its Affiliates and any of its or their officers, directors, employees, professional advisers, auditors, partners and Representatives such Confidential Information as that Creditor Party shall consider appropriate if any person to whom the Confidential Information is to be given pursuant to this paragraph (a) is informed in writing of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of the information or is otherwise bound by requirements of confidentiality in relation to the Confidential Information;

	(b)
	to any person:

		(i)
	to (or through) whom it assigns or transfers (or may potentially assign or transfer) all or any of its rights and/or obligations under one or more Finance Documents and to any of that person's Affiliates, Representatives and professional advisers;

		(ii)
	with (or through) whom it enters into (or may potentially enter into), whether directly or indirectly, any sub-participation in relation to, or any other transaction under which payments are to be made or may be made by reference to, one or more Finance Documents and/or one or more Obligors and to any of that person's Affiliates, Representatives and professional advisers;

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		(iii)
	appointed by any Creditor Party or by a person to whom paragraph (i) or (ii) above applies to receive communications, notices, information or documents delivered pursuant to the Finance Documents on its behalf;

		(iv)
	who invests in or otherwise finances (or may potentially invest in or otherwise finance), directly or indirectly, any transaction referred to in paragraph (i) or (ii) above;

		(v)
	to whom information is required or requested to be disclosed by any court of competent jurisdiction or any governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation;

		(vi)
	to whom information is required to be disclosed in connection with, and for the purposes of, any litigation, arbitrations, administrative or other investigations, proceedings or disputes;

		(vii)
	which is a classification society or other entity which a Lender has engaged to make the calculations necessary to enable that Lender to comply with its reporting obligations under the Poseidon Principles;

		(viii)
	who is a Party, a member of the Group or any related entity of an Obligor;

		(ix)
	as a result of the registration of any Finance Document as contemplated by any Finance Document or any legal opinion obtained in connection with any Finance Document; or

		(x)
	with the consent of the Guarantor; or

		(xi)
	any employee, officer, director or Representative of any Italian Authorities to whom information is required to be disclosed in the course of such person's employment or duties;

		(xii)
	to whom or for whose benefit that Creditor Party charges, assigns or otherwise creates a Security Interest (or may do so) pursuant to Clause 24.16 (Security over Lenders' rights).

in each case, such Confidential Information as that Creditor Party shall consider appropriate if:
		(A)
	in relation to paragraphs (i), (ii) and (iii) above, the person to whom the Confidential Information is to be given has entered into a Confidentiality Undertaking except that there shall be no requirement for a Confidentiality Undertaking if the recipient is a professional adviser and is subject to professional obligations to maintain the confidentiality of the Confidential Information;

		(B)
	in relation to paragraph (iv) above, the person to whom the Confidential Information is to be given has entered into a Confidentiality Undertaking or is otherwise bound by requirements of confidentiality in relation to the Confidential Information they receive and is informed that some or all of such Confidential Information may be price-sensitive information;

		(C)
	in relation to paragraphs (v), (vi) and (xii) above, the person to whom the Confidential Information is to be given is informed of its confidential nature and that some or all of such Confidential Information may be price-sensitive 

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information except that there shall be no requirement to so inform if, in the opinion of that Creditor Party, it is not practicable so to do in the circumstances;
	(c)
	to any person appointed by that Creditor Party or by a person to whom paragraph (b)(i) or (b)(ii) above applies to provide administration or settlement services in respect of one or more of the Finance Documents including without limitation, in relation to the trading of participations in respect of the Finance Documents, such Confidential Information as may be required to be disclosed to enable such service provider to provide any of the services referred to in this paragraph (c) if the service provider to whom the Confidential Information is to be given has entered in to a confidentiality agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Borrower and the relevant Creditor Party;

	(d)
	to any rating agency (including its professional advisers) such Confidential Information as may be required to be disclosed to enable such rating agency to carry out its normal rating activities in relation to the Finance Documents and/or the Obligors if the rating agency to whom the Confidential Information is to be given is informed of its confidential nature and that some or all of such Confidential Information may be price-sensitive information.

	33.3
	Entire agreement

This Clause 33 (Confidentiality) constitutes the entire agreement between the Parties in relation to the obligations of the Creditor Parties under the Finance Documents regarding Confidential Information and supersedes any previous agreement, whether express or implied, regarding Confidential Information.
	33.4
	Disclosure to information services

	(a)
	Any FinanceCreditor Party may disclose to any national or international information service company such as Dealogic, TF, GTR, TXF, IFR and any other similar information service company appointed by that FinanceCreditor Party, the following information:

		(i)
	names of Parties;

		(ii)
	country of domicile of Obligors;

		(iii)
	place of incorporation of Obligors;

		(iv)
	date of this Agreement;

		(v)
	Clause 37 (Governing Law);

		(vi)
	the name of the Agent;

		(vii)
	amount of Total Commitments;

		(viii)
	currency of the Facility;

		(ix)
	type of Facility;

		(x)
	ranking of Facility; and

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		(xi)
	duration of Facility,

to enable such information service company to provide its usual services.
	(b)
	Each Obligor represents that none of the information set out in sub-paragraphs (i) to (xi) of paragraph (a) above is, nor will at any time be, unpublished price-sensitive information.

	33.5
	Inside information

Each of the Creditor Parties acknowledges that some or all of the Confidential Information is or may be price-sensitive information and that the use of such information may be regulated or prohibited by applicable legislation including securities law relating to insider dealing and market abuse and each of the Creditor Parties undertakes not to use any Confidential Information for any unlawful purpose.
	33.6
	Notification of disclosure

Each of the Creditor Parties agrees (to the extent permitted by law and regulation) to inform the Borrower:
	(a)
	of the circumstances of any disclosure of Confidential Information made pursuant to paragraph (b)(v) of Clause 33.2 (Disclosure of Confidential Information) except where such disclosure is made to any of the persons referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and

	(b)
	upon becoming aware that Confidential Information has been disclosed in breach of this Clause 33 (Confidentiality).

	33.7
	Continuing obligations

The obligations in this Clause 33 (Confidentiality) are continuing and, in particular, shall survive and remain binding on each Creditor Party for a period of 12 months from the earlier of:
	(a)
	the date on which all amounts payable by the Obligors under or in connection with this Agreement have been paid in full and all Commitments have been cancelled or otherwise cease to be available; and

	(b)
	the date on which such Creditor Party otherwise ceases to be a Creditor Party.

	33.8
	Disclosure by SACE

Notwithstanding any other provision of this Agreement to the contrary, SACE may disclose any Confidential Information:
	(a)
	to its ultimate shareholder, holding subsidiary, parent and affiliate companies;

	(b)
	to the Ministry of Economy and Finance of the Republic of Italy and its departments, other Italian Ministries (including any of their department), Interministerial committees of the Italian Government and any other Italian authority, committee, agency or governmental entity; 

	(c)
	to providers of any reinsurance/counter-guarantee or any form of risk enhancement (including their agents, brokers and consultants) subject to such persons undertaking confidentiality obligations with SACE, unless they are subject to professional duties of confidentiality;

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	(d)
	for the purposes of the State guarantee in favour of SACE pursuant to article 32 of law-decree n. 91/2014 converted into law 116/2014 and for the purposes of article 2 of law decree 23/2020 converted into law 40/2020; or;

	(e)
	following any payment due under the SACE Insurance Policy; or

	(f)
	with the consent of the Borrower, such consent not to be unreasonably withheld.

	33.9
	Press release

Neither SACE nor the Borrower will issue any press release or make any public announcement in relation to the SACE Insurance Policy without the prior consent of the other party (such consent not to be unreasonably withheld).
	34 
	Legal independence and Unconditional Obligations of the Borrower

	34.1
	Legal independence and Unconditional Obligations of the Borrower

This Agreement is legally independent from the Shipbuilding Contract. The obligations of the Borrower to make payments and to observe and perform its obligations under the Transaction Documents are absolute, unconditional, irrevocable and several and such obligations shall not:
	(a)
	in any way be affected or discharged by reason of any matter affecting any of the Pre-delivery Contracts including their performance, frustration or validity, the insolvency or dissolution of any party to any of the Pre-delivery Contracts or the destruction, non-completion or non-functioning of the goods and equipment supplied under the Shipbuilding Contract;

	(b)
	in any way be affected or discharged by reason of any dispute under any of the Pre-delivery Contracts or any claim which it or any other person may have against, or consider that it has against, any person under any of the Pre-delivery Contracts;

	(c)
	in any way be affected or discharged by reason of unenforceability, illegality or invalidity of any obligation of the Borrower or any other person under any of the Pre-delivery Contracts or any documents or agreements relating to any of the Pre-delivery Contracts;

	(d)
	in any way be affected by the fact that all or any part of the amount requested referred to in a Drawdown Notice is not or was not due or payable to the Builder;

	(e)
	be conditional on the performance by the Creditor Parties of any obligations (except as otherwise stated herein) in order to give rise to a relevant obligation of the Borrower hereunder; or

	(f)
	in any way be affected or discharged by the insolvency or dissolution of the Borrower.

	35 
	SACE Subrogation and Reimbursement

	35.1
	Acknowledgement of Subrogation

Each Obligor and each Creditor Party acknowledges that, immediately upon any payment being made by SACE of any amount under the SACE Insurance Policy, SACE will be subrogated to the rights of the Lenders in the amount of such payment under the Finance Documents in accordance with the SACE Insurance Policy.

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	35.2
	Reimbursement

	(a)
	Without prejudice to Clause 35.1 (Acknowledgement of Subrogation), each Obligor, jointly and severally undertakes to pay to SACE, and keep SACE indemnified from and against, each and every amount paid (whether by direct payment or set-off) by SACE to the Creditor Parties or any person on any of their behalf under the SACE Insurance Policy;

	(b)
	Each Obligor undertakes to pay SACE an amount in Dollars equal to:

		(i)
	for each payment made by SACE to any of the Creditor Parties or any person on any of their behalf under the SACE Insurance Policy, the amount of such payment; and

		(ii)
	for each deduction or withholding imposed, levied, collected, withheld or assessed on any payment by SACE to any of the Creditor Parties or any person on any of their behalf under the SACE Insurance Policy, the amount of such deduction or withholding,

in each case together with interest thereon (calculated in accordance with Clause 17.1 (Default rate of interest) of this Agreement).
	(c)
	Each Obligor further agrees that its obligations under this Clause 35.2 (Reimbursement) are separate from and in no way conditional upon the Obligor's obligations under this Agreement or any of the other Finance Documents and will not be affected or discharged by any matter relating thereto including, but not limited to, whether or not the Obligor is itself liable to make payment, or is disputing its liability to make payment, under this Agreement or any of the other Finance Documents.

	(d)
	SACE will promptly inform the Obligors of any amounts to be reimbursed and indemnified under this Clause 35.2 (Reimbursement).

	(e)
	Each amount that is payable by the Obligors pursuant to Clause 35.2 (Reimbursement) is due and payable to SACE in Dollars within five (5) Business Days of demand by SACE to the Obligors.

	35.3
	Obligations Absolute

The obligations of the Obligors under this Clause 35.2 (Reimbursement), to the extent permitted by applicable law:
	(a)
	are absolute and unconditional;

	(b)
	are to be discharged and/or performed strictly in accordance with this Agreement under all circumstances;

	(c)
	are continuing obligations and will extend to the ultimate balance of sums payable by SACE to any Creditor Party or any person on any of their behalf under the SACE Insurance Policy, regardless of any intermediate payment or discharge in whole or in part;

	(d)
	will not be affected by an act, omission, matter or thing which, but for this Clause, would reduce, release or prejudice any of its obligations under Clause 35.2 (Reimbursement) (without limitation and whether or not known to it or any Creditor Party) including:

		(i)
	any time, waiver or consent granted to, or composition with any Obligor;

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		(ii)
	any lack of validity or enforceability of, or any amendment or other modifications of, or waiver with respect to, any of the Finance Documents;

		(iii)
	any reduction or release of any other obligations under this Agreement;

		(iv)
	the release of any Obligor or any other person under the terms of any composition or arrangement;

		(v)
	the taking, variation, compromise, exchange, renewal, discharge, substitution or release of, or refusal or neglect to perfect, take up, realise or enforce, any rights against, or security over assets of, any Obligor or any non-presentation or non-observance of any formality or other requirement in respect of any instrument or any failure to realise the full value of any security;

		(vi)
	any incapacity or lack of power, authority or legal personality of or dissolution or change in the members or status of any Obligor, any Creditor Party or any other person;

		(vii)
	any amendment (however fundamental) or replacement of a Finance Document, the SACE Insurance Policy or any other document or security;

		(viii)
	any unenforceability, illegality or invalidity of any obligation of any person under any Finance Document, the SACE Insurance Policy or any other document or security;

		(ix)
	any insolvency or similar proceedings;

		(x)
	the existence of any claim, set-off, defence, reduction, abatement or other right which any Obligor may have at any time against SACE;

		(xi)
	any document presented in connection with the SACE Insurance Policy proving to be forged, fraudulent, invalid or insufficient in any respect or any statement therein being untrue or inaccurate in any respect;

		(xii)
	any payment by SACE against presentation of a demand for payment substantially, on its face, in the form of a claim under the SACE Insurance Policy where any certificate or other document required to be provided with such claim in accordance with the terms of the SACE Insurance Policy either is not provided or does not comply with the terms of the SACE Insurance Policy; and

		(xiii)
	any other circumstances which might otherwise constitute a defence available to, or discharge of any Obligor.

	36 
	Supplemental

	36.1
	Rights cumulative, non-exclusive

The rights and remedies which the Finance Documents give to each Secured Party are:
	(a)
	cumulative;

	(b)
	may be exercised as often as appears expedient; and

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	(c)
	shall not, unless a Finance Document explicitly and specifically states so, be taken to exclude or limit any right or remedy conferred by any law.

	36.2
	Severability of provisions

If any provision of a Finance Document is or subsequently becomes void, unenforceable or illegal, that shall not affect the validity, enforceability or legality of the other provisions of that Finance Document or of the provisions of any other Finance Document.
	36.3
	Counterparts

A Finance Document may be executed in any number of counterparts.
	36.4
	Third party rights

	(a)
	Except for SACE and its successors, transferees and assignees or as otherwise provided in a Finance Document, a person who is not a Party has no right under the Contracts (Rights of Third Parties) Act 1999 (the "Third Party Act") to enforce or to enjoy the benefit of any term of this Agreement.

	(b)
	Notwithstanding any provision of any Finance Document, the consent of any person (other than SACE or its successors, transferees and assignees) who is not a party to a Finance Document is not required to rescind, vary or terminate any Finance Document at any time.

	(c)
	Subject to the provisions of the Third Party Act, and without prejudice to the provisions of paragraphs (a) and (b) above, SACE has the right to enforce and to enjoy the benefit of Clause 35 (SACE Subrogation and Reimbursement), Clause 17 (Interest on Late Payments), Clause 8 (SACE Premium and Italian Authorities), Clause 10.2 (Tax gross-up), Clause 10.3 (Tax indemnity), Clause 10.11 (Transaction Costs), Clause 20.1 (Indemnities regarding borrowing and repayment of Loan), Clause 20.3 (Miscellaneous indemnities), Clause 20.4 (Currency indemnity), Clause 22 (Set-Off), Clause 27 (The Security Trustee), Clause 10.6 (VAT), Clause 10.13 (SACE obligations), Clauses 33.8 (Disclosure by SACE) and 33.9 (Press release) and Clause 38 (Enforcement).

	(d)
	Any amendment or waiver which relates to the rights of SACE under this Agreement, including under Clause 35 (SACE Subrogation and Reimbursement), Clause 17 (Interest on Late Payments), Clause 8 (SACE Premium and Italian Authorities), Clause 10.2 (Tax gross-up), Clause 10.3 (Tax indemnity), Clause 20.4 (Currency indemnity), Clause 22 (Set-Off), Clause 27 (The Security Trustee), Clause 20.3 (Miscellaneous indemnities), Clause 10.6 (VAT), Clause 10.11 (Transaction Costs), Clause 20.1 (Indemnities regarding borrowing and repayment of Loan), Clauses 33.8 (Disclosure by SACE) and 33.9 (Press release) and Clause 38 (Enforcement) may not be effected without the consent of SACE.

	36.5
	No waiver

No failure or delay on the part of a Secured Party in exercising any right, power or privilege hereunder shall operate as a waiver thereof; nor shall any single or partial exercise thereof preclude any other or further exercise thereof by the Secured Parties or the exercise by the Secured Parties of any other right, power or privilege. The rights and remedies of the Secured Parties herein provided are cumulative and not exclusive of any rights or remedies provided by law.

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	36.6
	Writing required

This Agreement shall not be capable of being modified otherwise than by an express modification in writing signed by the Borrower, the Agent and the Lenders.
	37 
	Governing Law

	37.1
	Law

This Agreement and any non-contractual obligations arising out of or in connection with it are governed by and construed in accordance with English law.
	38 
	Enforcement

	38.1
	Jurisdiction of English Courts

The courts of England have exclusive jurisdiction to settle any Dispute arising out of or in connection with this Agreement (including a dispute regarding the existence, validity or termination of this Agreement) (a "Dispute"). Each Party agrees that the courts of England are the most appropriate and convenient courts to settle Disputes and accordingly no Party will argue to the contrary.
	38.2
	Service of process

Without prejudice to any other mode of service allowed under any relevant law, the Borrower:
	(a)
	irrevocably appoints Hannaford Turner LLP, currently of 9 Cloak Lane107 Cheapside, London EC4R 2RU, UK, EC2V 6DN, as its agent for service of process in relation to any proceedings before the English courts in connection with any Finance Document; and

	(b)
	agrees that failure by a process agent to notify the Borrower of the process will not invalidate the proceedings concerned.

If any person appointed as an agent for service of process is unable for any reason to act as agent for service of process, the Borrower (on behalf of all the Obligors) must immediately (and in any event within 15 days of such event taking place) appoint another agent on terms acceptable to the Agent. Failing this, the Agent may appoint another agent for this purpose.
	39 
	Confidentiality of Funding Rates and Reference Bank Quotations

	39.1
	Confidentiality and disclosure 

	(a)
	The Agent and each Obligor agree to keep each Funding Rate (and, in the case of the Agent, each Reference Bank Quotation) confidential and not to disclose it to anyone, save to the extent permitted by paragraphs (b), (c) and (d) below. 

	(b)
	The Agent may disclose: 

		(i)
	any Funding Rate (but not, for the avoidance of doubt, any Reference Bank Quotation) to the Borrower pursuant to Clause 6.5 (Notification of Interest Periods and Floating Interest Rate); 

		(ii)
	any Funding Rate or any Reference Bank Quotation to any person appointed by it to provide administration services in respect of one or more of the Finance Documents 

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to the extent necessary to enable such service provider to provide those services if the service provider to whom that information is to be given has entered into a confidentiality agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Agent and the relevant Lender or Reference Bank, as the case may be. 
	(c)
	The Agent may disclose any Funding Rate or any Reference Bank Quotation, and each Obligor may disclose any Funding Rate, to: 

		(i)
	any of its Affiliates and any of its or their officers, directors, employees, professional advisers, auditors, partners and representatives, if any person to whom that Funding Rate or Reference Bank Quotation is to be given pursuant to this sub-paragraph (i) is informed in writing of its confidential nature and that it may be price sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of that Funding Rate or Reference Bank Quotation or is otherwise bound by requirements of confidentiality in relation to it; 

		(ii)
	any person to whom information is required or requested to be disclosed by any court of competent jurisdiction or any governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation if the person to whom that Funding Rate or Reference Bank Quotation is to be given is informed in writing of its confidential nature and that it may be price sensitive information except that there shall be no requirement to so inform if, in the opinion of the Agent or the relevant Obligor, as the case may be, it is not practicable to do so in the circumstances; 

		(iii)
	any person to whom information is required to be disclosed in connection with, and for the purposes of, any litigation, arbitration, administrative or other investigations, proceedings or disputes if the person to whom that Funding Rate or Reference Bank Quotation is to be given is informed in writing of its confidential nature and that it may be price sensitive information except that there shall be no requirement to so inform if, in the opinion of the Agent or the relevant Obligor, as the case may be, it is not practicable to do so in the circumstances; and 

		(iv)
	any person with the consent of the relevant Lender or Reference Bank, as the case may be. 

	(d)
	The Agent's obligations in this Clause 39 (Confidentiality of Funding Rates and Reference Bank Quotations) relating to Reference Bank Quotations are without prejudice to its obligations to make notifications under Clause 6.5 (Notification of Interest Periods and Floating Interest Rate) provided that (other than pursuant to sub-paragraph (i) of paragraph (b) above) the Agent shall not include the details of any individual Reference Bank Quotation as part of any such notification. 

	39.2
	Related obligations 

	(a)
	The Agent and each Obligor acknowledge that each Funding Rate (and, in the case of the Agent, each Reference Bank Quotation) is or may be price sensitive information and that its use may be regulated or prohibited by applicable legislation including securities law relating to insider 

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dealing and market abuse and the Agent and each Obligor undertake not to use any Funding Rate or, in the case of the Agent, any Reference Bank Quotation for any unlawful purpose. 
	(b)
	The Agent and each Obligor agree (to the extent permitted by law and regulation) to inform the relevant Lender or Reference Bank, as the case may be: 

		(i)
	of the circumstances of any disclosure made pursuant to sub-paragraph (ii) of (c) of Clause 39.1 (Confidentiality and disclosure) except where such disclosure is made to any of the persons referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and 

		(ii)
	upon becoming aware that any information has been disclosed in breach of this Clause 39 (Confidentiality of Funding Rates and Reference Bank Quotations). 

	39.3
	No Event of Default

No Event of Default will occur under Clause 18.4 (Breach of other obligations) by reason only of an Obligor's failure to comply with this Clause 39 (Confidentiality of Funding Rates and Reference Bank Quotations).
This Agreement has been entered into and amended and restated on the date stated at the 
​

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 ​
Execution Pages
​
BORROWER
​
SIGNED by)
)
for and on behalf of)
LEONARDO ONE, LTD.)
in the presence of:)
​
​
​
​
TRANCHE A LENDERS
​
SIGNED by)
)
for and on behalf of)
CRÉDIT AGRICOLE CORPORATE)
AND INVESTMENT BANK)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
BNP PARIBAS FORTIS S.A./N.V.)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
KFW IPEX-BANK GMBH)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
HSBC CONTINENTAL EUROPE, ITALY)
in the presence of:)
​
​
​
​

​
​

​

SIGNED by)
)
for and on behalf of)
CASSA DEPOSITI E PRESTITI S.P.A.)
in the presence of:)
​
​
JOINT MANDATED LEAD ARRANGERS
​
TRANCHE B LENDERS
​
SIGNED by)
)
for and on behalf of)
CRÉDIT AGRICOLE CORPORATE)
AND INVESTMENT BANK)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
BNP PARIBAS FORTIS S.A./N.V.)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
KFW IPEX-BANK GMBH)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
HSBC BANK PLCCONTINENTAL EUROPE, ITALY)
in the presence of:)
​
​
​
​
SIGNED by)
)
for and on behalf of)
CASSA DEPOSITI E PRESTITI S.P.A.)
in the presence of:)
​
​

​
​

​

​
​
​
TRANCHE C LENDERS
​
SIGNED by)
)
for and on behalf of)
CRÉDIT AGRICOLE CORPORATE​ ​)
AND INVESTMENT BANK​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
)
for and on behalf of​ ​)
BNP PARIBAS FORTIS S.A./N.V.​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
)
for and on behalf of​ ​)
KFW IPEX-BANK GMBH​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
)
for and on behalf of​ ​)
HSBC CONTINENTAL EUROPE, ITALY​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
​ ​)
for and on behalf of​ ​)
CASSA DEPOSITI E PRESTITI S.P.A.​ ​)
in the presence of:​ ​)
​
​
​

​
​

​

JOINT MANDATED LEAD ARRANGERS
​
SIGNED by​ ​)
​ ​)
for and on behalf of​ ​)
CRÉDIT AGRICOLE CORPORATE ​ ​)
AND INVESTMENT BANK​ ​)
in the presence of:​ ​)
​
​
​
​
​
SIGNED by​ ​)
​ ​)
for and on behalf of​ ​)
BNP PARIBAS FORTIS S.A./N.V.​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
​ ​)
for and on behalf of​ ​)
KFW IPEX-BANK GMBH​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
​ ​)
for and on behalf of​ ​)
HSBC BANK PLC​ ​)
in the presence of:​ ​)
​
​
​
​
SIGNED by​ ​)
​ ​)
for and on behalf of​ ​)
CASSA DEPOSITI E PRESTITI S.P.A.​ ​)
in the presence of:​ ​)
​
​
​
​
AGENT
​
SIGNED by)
)
for and on behalf of)
CRÉDIT AGRICOLE CORPORATE)

​
​

​

AND INVESTMENT BANK)
in the presence of:)
​
​
​
​
SACE AGENT
​
SIGNED by)
)
for and on behalf of)
CRÉDIT AGRICOLE CORPORATE )
AND INVESTMENT BANK)
in the presence of:)
​
​
​
​
SECURITY TRUSTEE
​
SIGNED by)
)
for and on behalf of)
CRÉDIT AGRICOLE CORPORATE )
AND INVESTMENT BANK)
in the presence of:)

​
​

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